Council OKs tentative budget of $56.6 million for new fiscal year
The Kingman City Council on Monday routinely approved a tentative fiscal 2004 budget of about $56.6 million.
The budget would be $2.6 million more than for fiscal 2003, which ends June 30.
"The adoption of the budget was done after extensive prior meetings, and it is a balanced budget with the revenues and expenses," Mayor Les Byram said after the meeting.
The city plans to spend an amount similar to what is expected to be spent during the current fiscal year, $39.2 million, financial services director Coral Loyd said, meaning $14.8 million of the current budget was unspent.
Of that amount, the general fund carry-over will be $1.8 million, Loyd said.
City officials also are able to carry over special funds if they spend less than the full amount.
They budgeted about $15.9 million for enterprise funds in 2002-2003 and spent about $9.8 million, according to the budget, accounting for another $6.1 in the city's total budget carry-over.
The remaining $6.9 million of carry-over is unspent money from other special funds.
Enterprise funds, which are self-supporting, include water and sewer fees.
Special revenue funds include debt service, general obligation and improvement district debt.
The city will not have an anticipated $1.4 million in revenue because voters May 20 defeated a measure to create a property tax to pay for street improvements, Loyd said.
The property tax would have been $1 for every $100 in assessed valuation.
The proposed fiscal 2004 general fund of $21.2 million accounts for the largest share of the budget.
It is derived from local sales taxes (about $9.2 million), state revenue sharing ($1.8 million), charges for services and state-shared sales taxes (about $1.6 million each), property tax in-lieu funds ($987,000) and about $7.4 million from other sources.
Proposed spending in the general fund includes $5.6 million for police, about $5.3 million for community development, $3.8 million for fire protection, $751,603 for the magistrate and $589,615 for the finance department.
Non-general fund revenue sources include $9.5 million from enterprise funds, $6 million from special revenue funds, $2.4 million from state highway user revenue sharing and $879,532 from total construction funds.
Proposed spending for those non-general fund accounts includes $17.2 million for enterprise funds, $7.6 million for special revenue funds, $5.6 million for internal services, about $3.8 million for construction and more than $1 million for debt service.
Spending will be more than revenue in the non-general fund accounts, but federal grants and ongoing budget carry-over will make up the difference.
"We are providing similar services as we were in the past," Loyd said.
Loyd said new services, such as the bus system, will be absorbed through special revenue funds, which include state shared highway user revenue and transit system funds.
She anticipated transit funding of $272,000 during the new fiscal year.
Construction funds include the East Golden Gate Improvement District and state projects.
Internal services include the city fleet and the benefits reserve.