City Adopts Balanced Budget Without Tax Increase
The Lexington City Council adopted a balanced budget for their fiscal year October 1, 2010 through September 30, 2011, at their regular council meeting on Wednesday, September 8, 2010.
The approved budget has total expenditures of $2,931,503, an increase of $228,780 from the previous year’s budget. Most of this increase is due to the fact that the current year budget includes a sewer improvement project which is estimated to cost $265,000. A Federal grant of $250,000 has been received to fund the majority of this project.
The General Fund budget has a projected surplus of $672. Projected expenditures for this budget are $884,675, which is down $26,182 from the previous budget of $910,857. Highlights of the General Fund Budget include the following:
* The City did not increase the property tax rate. The tax rate remained at .4609.
* The Police Department budget decreased from $299,034 to $285,168.
* The Fire Department budget decreased from $37,700 to $33,500.
* The EMS budget remained the same as last year at $15,000, which represents the subsidy payment to the Lexington EMS each year.
* The Municipal Court budget increased from $58,703 to $83,418, primarily due to increased attorney fees and state fees.
* Park Department budget increased by $10,670 from $14,629 to $25,299, due to an addition of a sprinkler system to the park.
* The Street Department budget decreased by $48,931, decreasing from $188,254 to $139,273. The budget decreased because the prior year budget included the road improvements to the cemetery road.
The Utility Fund has projected expenditures of $2,046,828 which is up $254,962 from the previous year’s budget of $1,791,866. This increase is primarily due to the planed sewer improvement project with an estimated cost of $265,000. Highlights of the Utility Fund include the following:
* The Electric Fund budget increased by $2,643 over the previous year, increasing from $1,256,384 to $1,259,027. This represents a 0.2% increase over last year.
* The Water Fund budget decreased by $31,944, from $255,267 to $223,323. This represents a 12.5% decrease from the previous year.
* The Sewer Fund budget increased by $284,134 from $145,933, to $430,067. This increase is due primarily to the planned sewer project with an estimated cost of $256,000.
* The budget for Debt Service also increased from $132,282 to $155,011, which represents debt payments due on the Certificates of Obligation and a note on electrical improvements.