Brundidge aims for conservative budget
Published 12:00 am Friday, September 11, 2009
Being conservative was the theme at the city of Brundidge’s first budget hearing for the 2010 budget year, which will begin Oct. 1, 2009.
“We’re trying to be conservative,” City Manager Britt Thomas said.
In local revenues, the city is expected to budget about $1.18 million for 2010 budget year, which is up from this current year’s $1.06 million.
The city is on track to bring in about $1.02 million in total local revenues.
“For the 2009 budget, we budgeted $454,000 in sales tax revenue. We are on track to get about $439,000 for the year,” Thomas said.
“We’re down 5 percent. We’re off by $15,000,” Thomas said.
“A normal month for us is $38,000.”
The city is expected to budget $82,000 in 2010 for state and county revenues, which is down from $109,000 it budgeted in the 2009 budget year. The city is expected to average about $127,000 for 2009.
Federally, the city is expected to budget the usual $13,000.
Thomas also said the city has a letter of credit left over from a street resurfacing project.
“We have a letter of credit that we have left over from when we did our street resurfaces,” Thomas said. “It matures in October. We have not borrowed the total amount – $185,000.” “We are asking you to renew that letter of credit.”
Another project, the city has taken on is the expansion of the city’s library.
“We are spending the grants from the state first. We will have obligations at a minimum of $70,000 by Sept. 30,” Thomas said.
Thomas said it is expected to cost $230,000 in the 2010 budget year to finish the library.
“As we get into October, November and December, we will need to borrow the money to finish it because we will have already used all the grant,” Thomas said. “It will be 2011 before we put (the money) into the budget to pay (the loan) back.”
In the Police Department, the city will budget for 10 police officers, which is the same as the current fiscal year. The department’s total budget is expected to be around $754,000, which includes the increase in the cost for the county jail to house prisoners.
“We were paying $1.75 per day, per prisoner, but the examiner of public accounts has taken the position throughout the state and has told the county commission it had to get more money. It is now $22 per day per prisoner,” Thomas said.
Parks and Recreation could see a field and building constructed, if the council votes to include that in the budget.
According to Thomas, Parks and Recreation Director Wayne Grant approached him about the possibility of making a Pee Wee-sized football field and building.
Thomas put $20,000 into the Parks and Recreation budget to allow for this if the council chooses to do so.
The total budgeted for general fund expenditures for budget year 2010 $2,797,179. In the utility fund, the city is expected to budget $6.1 million in electric revenues, $803,321 in sewer revenues, $589,978 in water revenues.
Utility fund debt service includes a 2005 series loan, which expires Sept. 30, 2032. The annual payment for this is $75,000 for principal and $348,675 in interest for at total of $423,675.
Another loan in the utility fund, which replaces 2002B, has an $106, 617 annual payment, plus a loan that matures Oct. 22, 2011 at Troy Bank & Trust for water tank repairs.
General fund debt service includes a street project loan from Troy Bank & Trust that matures Sept. 22, 2010, with an annual payment of $85,471.
The city also must pay $2,300 in interest on the letter of credit, and a loan from the Bank of New York that matures April 29, 2010.