City leaders will hold public a hearing next week before formally adopting the proposed $26.6 million budget for fiscal year 2014.<\/p>\n
The memo reported total revenues of nearly $10.4 million were projected to exceed $9.7 million in total operating expenditures and interfund service transfers for the year.<\/p>\n
The 7:30 p.m. public hearing will be held on Tuesday, Dec. 10, at City Hall on Main Street.<\/p>\n
The budget is posted on the City of Cortez website. It\u2019s a 252-page document (You can find the budget at cortezjournal.com. To see it at the city\u2019s website, go to cityofcortez.com and search for \u201cbudget\u201d in the search window.)<\/p>\n
Although capital projects, grants and loans are expected to reduce the overall fund balance by $836,919 next year, Hale vowed the city would maintain a strong reserve for emergencies.<\/p>\n
By policy, the city is required to retain 20 percent of operating expenditures as a reserve, or $1.9 million based on the 2014 budget. More than double of what\u2019s required, some $4.1 million is forecasted for reserves by the end of 2014.<\/p>\n
\u201cThe proposed 2014 budget enables the general fund to provide needed services to the community without reduction or interruption,\u201d Hale said.<\/p>\n
For 2013, City of Cortez sales tax revenues have increased modestly over the past two years. Figures were up nearly 5 percent in 2012, and projections this year are just shy of 3 percent.<\/p>\n
\u201cThe year 2013 has been a positive year for the city\u2019s general fund when it comes to revenues,\u201d said Hale. \u201cThe growth continues to be slow and steady; not a banner year, but we\u2019re going in the right direction.\u201d<\/p>\n
For 2014, municipal leaders remain conservative, forecasting a 2.5 percent increase in sales taxes.<\/p>\n
\u201cThe city will continue to hold the line on expenses,\u201d Hale added. \u201cWe want to make sure the city\u2019s financial footing remains solid.\u201d<\/p>\n
The 2014 budget contains a 2.5 percent average increase in employee salaries. The increased wages will be awarded based on merit, Hale told city council members last week.<\/p>\n
\u201cSome employees will receive more than 2.5 percent, and some will receive less,\u201d Hale said.<\/p>\n
With 2013 revenues outpacing expenditures by $528,980 this year, the city utilized its strong cash position to invest more than $1 million toward multiple projects, including new sales tax software, along with library, city park and golf course improvements, to name a few.<\/p>\n
For 2013, the general fund reserve balance will decrease by approximately $615,172, from $5.5 million in 2012 to a projected $4.9 million.<\/p>\n