City of Canyon approves proposed budget for 2022-2023
AMARILLO, Texas (KFDA) - The city of Canyon held a public hearing today and approved the proposed budget for 2022-2023.
At the last meeting, the budget was proposed to the commission where decisions were made on how to resolve a $250,000 deficit in the budget.
Between that meeting and tonight, changes were made and those were presented at tonight’s meeting.
The final adjusted proposed budget was approved with a three to one vote.
Those changes were to make up for the deficit. Estimates were reevaluated, increasing the budgeted revenue.
“We had estimates for interest income and the federal reserve has been increasing interest rates, so that means the interest the bank is paying us is more, so we went and reevaluated our estimates and were able to increase budgeted revenue, quite a bit for that,” said Joel Wright, director of finance, city of Canyon.
On the expenditure side, changes were made as well. The most significant being a reduction to the expansion of a certification pay program.
“We had initially included on the proposed budget about $155,000 costs for that and in the last meeting, the commission voted to reduce that by half,” said Wright.
Since last year’s budget there’s been about a $385,000 decrease.
“Last year, we were budgeting for a purchase of a building for the water department, we didn’t have that this year, but we do have several other capital type projects, just not that much, most have to do with grants that we’re receiving and we’re budgeting for the local match that we’ll be responsible for with those grants,” said Wright.
Wright says there will be a minor tax increase.
“The total tax rate is .40016 per $100 of value, that’s actually a six percent decrease in the tax rate from last year. However property values have increased about 17 percent, so the city is lowering its tax rate even though that value has gone up significantly and that’s why the increase in tax rate is only about eight percent because we’ve lowered our rate even though the values have gone up,” said Wright.
The majority of that increase coming from new property.
“I feel like with inflation and all the demands on us as we’re a growing community. I feel like the commission has been responsible in adopting this budget, it is a slight increase in tax revenue, but it’s meeting the needs of the citizens of Canyon and allowing us to serve them the best we can,” said Wright.
The next step is a public hearing and approval on the actual tax rate, which will be done on August 15.
Once that is completed, the budget and tax rate will be set and the city will be ready for Oct. 1.
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