The City of Brownwood took the first step to approve the $32,766,177 FY 2015-2016 budget at Tuesday’s city council meeting.
The proposed balanced budget is up 3.79% over the 2014-2015 FY budget and includes raises for city employees, slight utility rate increases to fund infrastructure improvements and no increases in taxes, rates or fees.
City of Brownwood Finance Director Walter Middleton explained that the proposed property tax rate remains the same at $0.7463/$100 valuation. However, property values have increased which gives the city an increase in revenues of $226,922 or 3.88%. Of that amount, $45,240 is tax revenue which will be raised from new properties added to the tax roll this year.
The proposed 2015-2016 budget also includes utility increases. The water base rate will be increased by 56¢ for a 3/4 inch residential meter with proportionate increases in larger meters. This will fund the improvements to the Roanoke water storage tank, Middleton explained. Sewer rates will also increase by 11¢ to fund improvements to the wastewater treatment plant. This will increase the average residential bill by 88¢ per month, according to Middleton. He stated, “Neither of these supplements the budget. They will fund bond payments (for the water storage tank and wastewater improvement projects).”
After a pay study conducted to help the council understand how City of Brownwood employee wages compare to other similar sized cities across the state, it was found that 88 city employees were being paid less than the minimum threshold. A goal to make city employees’ salaries more competitive with other cities, it is proposed through the budget to give raises to those employees up to that minimum with a cap of 10% placed on those raises. This cap was constructed to keep the amount of raises more fairly distributed across the board. After these raises are implemented, seven employees will remain below the minimum threshold and additional raises for these seven will be considered in next year’s budget. Also included in the proposed budget, a 2% raise will be given to non-civil service employees. Civil service employees are under a separate type of pay structure which is governed by ordinance, according to Middleton who explained that these employees will receive a 4% raise through the proposed budget.
Street improvements are another large consideration in this proposed budget for 2015-2016. $230,000 in street rehabilitation projects are being proposed, according to Middleton.
Continued demolition of sub-standard structures throughout the city will continue during the next fiscal year. The demolition budget for Development Services has been increased from $50,000 to $70,000, said Middleton.
Those citizens interested in more details of the city’s proposed FY 2015-2016 budget and tax rate may attend public hearings during council meetings to be held on September 2 & 8, and at council meetings on September 15, and 18 where council will consider adoption of the tax rate and budget on second and third/final readings.
