City of La Porte Budget 1991 - Laserfiche WebLink

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I I I I I I I I I I I ... Improvement Fund. These decreases more than covered increases associated with a 3% salary adjustment for all full time employees. Other nominal increases in accounts were offset by decreases in other accounts. For fiscal year 1990-1991, the targeted fund balance at the end of the year for the General Fund is $3,271,886 which is approximately 25.4% or 92.7 days, of budget expenditures. The Utility Fund increased 9.9% over last year. The cause for the projected increase is three-fold. First, the Utility Fund will have a nonrecurring transfer of $350,000 to the Utility Fund Capital Improvement Fund (page 205) that will be used to preform some minor adjustments to the distribution system. Second, the sale of new bonds in September of 1990 will require an increase in debt service. Third, the 3% salary adjustment for full time Utility Fund employees will have its impact. The remaining Enterprise Funds increased 22%. The Sylvan Beach Fund increased as the result of implementing a marketing study recommendation. New personnel at the Sylvan Beach Center will actively market its use. The Airport Fund increase is driven by the need to update its master plan. The privatization of the Commercial Solid Waste operation will require an increase in expenses. This increase will be offset by new revenue that will be generated. And finally, the Golf Course Fund had a slight increase to help in providing proper maintenance of the City golf course that began operation in August of 1988. The increase in the Motor Pool Fund relates to larger dollars being expended for vehicle replacement than occurred in fiscal year 1989-90. One reason being the replacement of a major piece of fire equipment. The Capital Improvement Funds had an increase of 213% or $6,901,611 over last fiscal year. Major projects that will be started during the year include a Fire Training Facility, major street reconstruction, water and sewer improvements, and the construction of a Senior CitizensjWellness Facility. These projects represent the third set of projects that have been approved by the voters since 1985. There are no tax or utility rate increases what-so-ever built in the 1990-91 Budget, In all probability, a one cent tax increase will be warranted in the 1991-92 Budget to maintain a responsible debt service tax rate. The Debt Service Funds increased as a result of the sale of General Obligation and Revenue Bonds in September 1990. The debt service tax rate for the current year is .1925 cents per hundred dollar valuation (PHV). For fiscal year 1990-91, the rate will need to be increased to .2052. This increase is directly attributed to the requirement to service debt issued in 1989. In conclusion, this balanced budget represents the latest of several expenditure strategies reflecting sound, prudent, financial management policies and practices. In the recent past, our municipal corporation has been steadily recovering from the economic ~ecession that had affected the Houston-Metropolitan area. One of my major goals is building the City's financial reserves to a level that can safely respond to unexpected emergencies, I believe this goal has been met, ii