Budget & Strategy
Welcome to the Budget & Strategy Department!
City Manager Michael W. Goodrum recently submitted a proposed $298 million budget for Fiscal Year 2022 (FY22), which begins Oct. 1. The proposed budget includes $238.9 million for operations and $59.1 million for capital projects.
The proposed documents can be found at the links below:
Proposed FY22 Budget and Five Year CIP for FY22-26
The proposed FY22 budget and five-year capital improvement program (CIP) follows guidelines in the City Council-adopted Financial Management Policy Statements and builds on the success of the strategies implemented in FY21 to withstand the economic impact of the COVID-19 pandemic.
The focus on this year’s budget include:
- Leadership in conservative, resilient and responsible stewardship
- Balance continued uncertainty regarding the economy with guarded optimism about recovery
- Maintain flexibility for the City to respond to both opportunities and disruptions
The City has a long history of recognition as a leader in financial stewardship, with strategies specifically tailored to the community and designed to maximize both the conservative nature of the City’s finances and to offset the residential tax burden – with the City currently offering the second-lowest property tax rate in the State of Texas among similarly-sized cities.
Priorities for FY22 Budget & Five-Year CIP
The proposed budget focuses on the highest priorities identified by residents in the 2020 citizen survey, including:
- Sidewalk rehabilitation
- Drainage projects
- Public safety initiatives
The proposed budget and five-year capital improvement program are built on a 1-cent increase to the property tax rate for 2021, which was approved by voters in 2019 for projects focusing on drainage and public safety.
The proposed budget also includes recommendations from the recently completed Utility Rate Study with the second phase of utility rate increases needed to implement citizen-led proposals for the Integrated Water Resource Plan. The proposed rates for 2022 will result in an increase to a residential bill of $10 per month for 10,000-gallons usage. The current rate for residential solid waste services is $19.76 per household per month and will increase 1.25 percent based on CPI increases under the contract to $20 per month.
Additionally, the FY22 budget recognizes the City’s receipt of federal funding through the American Rescue Plan Act (ARPA), which will be formally allocated after further discussion and prioritization with the City Council this fall.
Strategies for FY22 and the Future Include:
- Limited restoration of funding levels for services to departments to allow provision of services to the public – with restoration primarily focused on infrastructure rehabilitation and investments in the fleet and high-tech replacement funds.
- Community priorities such as supplemental sidewalk rehabilitation, mobility and traffic safety and special events;
- Citizen engagement and customer service enhancements;
- Public safety training, equipment, facilities and operations; and
- Efforts to further turn the disruptions over the past two years into opportunities – including citywide “better than before” planning efforts and increased innovation.
A series of workshops, open to the public, will be held through August to discuss the proposed budget. A public hearing will be held on Sept. 7 to receive feedback from residents on the proposed budget, along with a public hearing on the proposed tax rate to be held on Sept. 14 prior to adoption of the budget and tax rate on Sept. 21. The City Charter requires the budget adoption by City Council no later than Sept. 25.
Adopted Budget and CIP for FY21
The budget for Fiscal Year 2021 has been approved by City Council. The budget totals $254.3 million including $226.6 million in operating budget and $24.65 million in capital projects.
See the FY21 Budget tab for more information.
FY21 Adopted budget and CIP documents: