This document summarizes the proposed FY 2019-20 operating budget and 2019 property tax rate for the city. It includes the proposed total tax rate of $0.386439 per $100 valuation, with $0.336439 for maintenance and operations and $0.05 for interest and sinking. The effective tax rate is $0.385661. It also provides summaries of the general fund budget, other governmental funds including street maintenance and capital projects, the utility fund, and capital projects fund. It discusses the policy and actions required to approve the budget and tax rate.

1. ADMINISTRATION AND
FINANCE
Presented by:
Robert Galindo
Finance Director
FY 2019-20 OPERATING BUDGET
AND 2019 PROPERTY TAX RATE
ITEM # 9
SEPTEMBER 23, 2019

2. PROPOSED 2019 TAX RATE PER $100
Proposed 2019 total rate is $0.386439
Proposed Maintenance and Operation (M&O) rate of
$0.336439
Proposed Interest and Sinking (I&S) rate of $0.050000
Effective Tax Rate is $0.385661

3. 3
Projected Beginning Balance 10/1/19 $4,985,666
Proposed Operating Revenues $10,927,616
Proposed Departmental Allocations -$10,601,645
Working Capital from Operations $325,971
Estimated Unreserved Fund Balance 9/30/20 $5,311,637
SUMMARY OF PROPOSED GENERAL FUND BUDGET AND
UNRESERVED FUND BALANCE FY 2019-20

4. 4
Funding Summary
Comprehensive
Plan
Street
Maintenance
Capital Projects Capital
Replacement
Projected Fund Balance
10/1/19
$ 66,007 $ 598,555 $ 897,333 $ 1,212,340
Revenues/Transfers $ 57,000 (2) $ 601,945 $ 0 (4) $ 353,049
Expenditures (1) -$ 57,000 -$ 1,200,000 (3) - 743,000 (5) - $ 562,586
Projected Balance
9/30/20
$ 66,007 $ 500 $ 154,333 $ 1,002,803
OTHER GOVERNMENTAL FUNDS PROPOSED FY 2019-20
1) La Jara lighting $42,000, Pocket Park $15,000
2) Street Maintenance sales tax revenue of $601,945 with a total sales tax of ½ cent dedicated to Streets Fund
3) Swimming Pool $700,000, $25,000 for Olmos Basin Cleanup and $18,000 City Hall common area improvements
4) Transfers from General Fund of $353,049
5) Police Interceptors 2 $45,500 each; PD Voice Logger $39,537 and Dispatch radio consoles $87,030, EMS
ambulance $170,000, Lease payment for 10 SCBAs $27,292, 6 SCBAs $54,816, Fire F250 Crew Cab $ 42,911,
and $50,000 for EMS equipment reserve.

5. 5
Beginning Fund Balance 10/1/19 $ 1,412,202
Proposed Revenue (includes transfer in from
Equity Balance of $635,000)
$4,528,220
Proposed Operating Expenses -$3,209,464
Working Capital $1,318,756
Capital Expenditures -$1,081,000
Bond Payment (principal & interest) -164,200
Transfers to General Fund: -$70,801
Estimated Fund Balance 9/30/20 $1,414,957
PROPOSED UTILITY FUND REVENUES/ALLOCATIONS FOR FY2019-20

6. 6
Beginning Balance 10/1/19 $897,333
Transfers from General Fund $0
Expenditures
Olmos Basin Clean-up $ 25,000
City Hall Common Areas $ 18,000
Swimming Pool $ 700,000
-$743,000
Estimated Ending Fund Balance 9/30/20 $154,333
PROJECTED CAPITAL PROJECTS FUND
REVENUES/ALLOCATIONS FOR FY 2019-2020

7. POLICY ANALYSIS
The City Charter requires the City Manager to prepare a
budget to cover all proposed expenditures of the City for the
succeeding year. The budget must be prepared in conformity
with state law and a vote to approve is required.
A record vote to set the tax rate is required by Chapter 26
of the Tax Code.
HB 3195 requires a separate vote be made to ratify the
property tax revenue increase in the budget.

8. ACTION REQUIRED
 Approve Ordinances in the following order with record vote:
1. Proposed FY 2019-2020 Budget
2. Proposed 2019 Ad Valorem Tax Rate – Motion must be made in the
following form:
“I move that the property tax rate be increased by the adoption of a tax
rate of $0.386439 per $100 valuation, which is effectively an increase
of 0.20% in the tax rate.”
3. Ratifying the increase in Property Tax Revenue reflected in the Proposed
FY 2019-2020 Budget