Monday's Internet Edition, October 06, 2008.
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| THE SOUTH PARK pool is scheduled to open Monday after workers fixed leaks that plagued the pool last summer. The entire pool was re-plastered, and the city began filling the pool Wednesday. The pool is located next to Martin Walker Elementary, off FM 3046. See story in Friday's issue, on Page 6A. – Photo by TERRY BEEKMAN |
News editor - Residents of Copperas Cove could see an increase of 1.5 cent in property tax under the city’s proposed 2003-2004 budget, presented by Steve Alexander, city manager, to council members in Tuesday’s workshop session.
If the rate were approved, the tax rate would change from 74.5 cents per $100 valuation to 76 cents. Alexander said the rate increase is needed to cover the cost of several replacement vehicles at the animal control, parks and recreation, police and fire departments.
The proposed budget also reflects changes to employee pay and benefits, with the exclusion of two- percent cost of living adjustments and increases in insurance co-pays. The employees’ insurance co-pay would increase from $10 to $20 and in-patient hospital co-pay would increase from $100 a day to $200 a day.
Employees’ out-patient surgery co-pay will increase from $10 to $100, while prescriptions drop from $3,000 maximum to $2,000 maximum with a $100 deductible.
Alexander said reducing employees’ pay and benefits was not what the city wanted. “We still have a good benefit package for our employees,” he said. The total impact these changes will have on the city’s funds is $238,087, said Alexander.
As the result of a market analysis performed by human resources, the benchmark for the city’s employee pay schedule has been set at 80 percent of the market or better. The total cost of adjusting the pay structure within the benchmark would equal $44,617, said Alexander.
The operating fund revenue, which represents the general fund, water and sewer fund, solid waste and the golf course, is projected at $19.89 million, while expenses are projected at more than $20.46 million. A beginning fund balance will cover the excess.
Expenditures in the proposal include the salaries of two police officers, equipment for parks and recreation, streets and fire department, a transfer to the golf course, an update to the comprehensive plan and the addition of a junior building inspector.
In preparing the budget, Alexander received funding requests from several outside organization. The Hill Country Transit District asked for $50,050 and Alexander slated $7,500 for them in the proposal. The Chamber of Commerce requested $65,000 and will receive $50,000 if the council approves the proposed budget.
The Heart of Texas Defense Alliance requested $15,000 and Alexander budgeted the full amount in the proposal. The Downtown Association asked for $22,600, while the Boys’ and Girls’ Club of Coryell County requested $13,700. Neither the Downtown Association nor the Boys’ and Girls’ Club receive funds in the proposed budget.
The YMCA, which asked for funds in the amount of $5,000, won’t receive funding as well; however, with council approval, the organization will receive a water and wastewater waiver, not to exceed $8,000 a year.
The amount of funds granted to outside organizations can change at the discretion of the council, said Alexander.
The 2003 bond program was also discussed during the workshop session. At its June 3 meeting, the council authorized First Southwest Co. to proceed with the preparation of certificates of obligation documents for a proposed $14 million-plus bond package.
Per an earlier request from Mayor Pro Tem Bradi Diaz, Alexander briefed council members which projects could be done with no tax rate increase and what could be done at .5 cent, 1 cent and 1.5 cent tax increases.
With no increase in taxes, the city could pay for the communication system, partial improvements to Farm-to-Market 1113 and the expansion of Constitution Drive. With a .5 cent increase in property taxes, the city could fund those projects, plus phase 1A of the feeder road project.
If property taxes were increased by 1 cent, the city would have the funds available for those projects and construction of Big Divide. A 1.5 cent increase would fund the aforementioned projects, plus the purchase of a pumper truck for the fire department, construction of a skate park, renovations to the municipal building and the reconstruction of four city streets.
Alexander said there would be no need for an adjustment to the water and wastewater rates because of a proposed refunding of 1993 and 1994 revenue bonds.
Later at the regular meeting, council members approved a resolution approving the publication of notice of intent to issue both tax and revenue certificates of obligation for the proposed 2003 bond package. Robert Camareno, the city’s finance director, said publication of the notices does not bind the city to issuing the certificates.
Council members did not discuss the proposed budget or bond issue during the workshop, but the city manager’s proposal also schedules dates for council input once it has a chance to review the complete budget.
Discussions begin July 17, when the council will discuss the general fund. The council will then discuss the water and sewer fund and the market-based pay plan adjustment on July 24, with the solid waste fund up for debate on July 31.
Other scheduled budget workshops are planned throughout August, with a public hearing scheduled for Aug. 19 and another one on the changes on the budget and the tax rate set for Aug. 26. Alexander said the council would adopt the proposal and tax rate on Sept. 9.
The complete budget proposal is available for citizens’ viewing at City Hall, located at 507 S. Main St.