Aside from the two customary public hearings on the budget, some on the Fayetteville City Council wanted an additional work session to address the proposed FY 2015 general fund budget that begins in August. The work session will be held at 6 p.m. on July 10 in the council chambers.
Council members will review the proposed $10.4 million general fund budget. 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 .25-mill increase.
Projected general fund revenue increases are expected due to a 3 percent increase in sales taxes, a 2.39 percent increase in property taxes, a 2 percent increase in business taxes and a 1 percent increase in franchise taxes.
The unassigned fund balance — the same thing as a reserve fund — for FY 2015 is projected at $2.4 million.
It was previously stated that the general fund millage rate might have to increase by .6 mills if the recent fire consolidation attempt did not occur. Though the move to consolidate failed, city staff are recommending an increase of .25 mills rather than the original .6-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.
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.
The budget is expected to be adopted at the July 17 meeting.
