The budget process in Fayetteville usually includes two public hearings before approval. But things will be different this year. The Fayetteville City Council held the first hearing June 19 and will hold a work session on July 10 before adopting the budget on July 17.
It was stated that the general fund millage rate might have to increase by six-tenths of a mill if the recent fire consolidation attempt did not occur. The move to consolidate failed, but the proposed budget would raise the millage by one-fourth of a mill.
The city will end the fiscal year in July with a $9.8 million general fund budget. The proposed FY 2015 budget shows $10.43 million in revenues, with $171,469 of that amount coming from the proposed quarter-mill increase.
The current general fund millage rate is 3.11 mills. If the budget is approved as proposed, the increase would raise the rate to 3.36 mills.
Projected general fund revenue increases are expected due to a 3 percent increase in sales taxes, a 2.39 percent percent increase in the property taxes, a 2 percent increase in business taxes and a 1 percent increase in franchise taxes.
The unassigned fund balance for FY 2015 is projected at $2.4 million.
The overall assumptions for the budget include adding 11 new positions, including seven in public safety, maintaining appropriate levels of both restricted and unassigned fund balance, increasing employees salary rates by 2.4 percent, funding the Ga. Highway 92/Hood Avenue project additional cost from the unassigned fund balance, increasing building permit fees, and increasing the water and sewer rate by 2.4 percent to reflect the Consumer Price Index.
In the near-term future, the city is also considering a Ga. Municipal Association loan for the new West Fayetteville fire station, creating 10 new staff positions during the 2015-2018 period and phasing out part-time administrative positions over the next five years.
Some on the council wanted an additional meeting to address the issues. The budget work session will be held in the council chambers on July 10 at 6 p.m.
