Council approves budget, tax levy

Sidney’s City Council approved its 2016-17 budget Tuesday, Sept. 13, and approved tax levies for the general fund and bonded indebtedness. The city’s total budget is $56,352,970, of which $10,763,858 will be in general fund expenditures. On the revenue side, Sidney’s tax request will be $2,098,078. General fund operations will account for $1,343,772, while $9,500 is allocated for streets, $772,273 is for bonded indebtedness, and $13,533 will be paid out for collection of fees. Sidney City Manager Ed Sadler told council members the resulting tax bill, based on the approved 0.435787 tax levy, will be $286 (based on a $100,000 valuation) for the city’s share. Sadler broke down the city’s proposed revenues and expenditures during a public hearing on the budget, showing budgets first by general fund operations, then by departments which also generate revenues either through income, or through grants and other funding. The city’s general fund, debt service funding, electric, and capital funds account for the majority of Sidney’s budget. The city’s $12,022,247 million debt service fund account for 21 percent of expenses, while the $10.763 million general fund is 19 percent of the budget, followed by capital funds of $10,115,000 and electric of $10,302,000, both at 18 percent. Sadler pointed out that the bulk of the electric expenditures go to purchasing electricity. Revenues come from a variety of sources, from usage fees and taxes, to grants. Total general and non-general revenues are budgeted at $56,142,793. General funds and the electric fund account for the lion’s share of revenue, with $22.02 million generated under general funds, and $10.3 million through electric funds. Sadler said one cent sales tax revenues, part of general fund expectations, are projected to be about $2 million. Sadler said that is slightly less, about $100,000, than those projected for the current fiscal year. A half-cent sales tax dedicated to community and economic development, is expected to net $718,776, also slightly less than currently projected $735,000, while a half-cent infrastructure sales tax will add a little more than $1 million to city coffers. The council unanimously approved the general fund summary with Appropriation Ordinance No. 1779, and related ordinance, Resolution No. 20160901, which Sadler said was required to set a property tax amount request different from last fiscal year, due to an increase of approximately $60,000. Due to requirements that budget figures be sent to local and state agencies before council could meet its normal requirement of readings at three meetings, council also voted to suspend the requirement, making the actions go into effect immediately.