SMITHVILLE — Capital projects such as the Main Street Trail and a basketball court in Heritage Park are getting their footing in Smithville after passage of a balanced 2020 budget by aldermen.
Based on projected revenue streams, Finance Director Dan Toleikis said the city will take in $4,545,530 with projected expenditures to nearly equal revenues at around $4,540,000.
“There are really three main pots,” Toleikis said of revenue sources. “There’s general fund, water and sewer, and trash.”
According to policy, the city is to maintain 40% of general fund revenues in a reserve for emergency expenditures. General revenues are those not earmarked in the budget for specific budget line items. Projected cash balance for general revenue is $2,778,219 and of that, $1,815,824 is set in reserve. This leaves the city with a balance of $962,395. With excesssome of those excess general revenue funds, the city plans to complete six projects: a comprehensive plan for $75,000, City Hall improvements for another $75,000, a City Hall/police department future needs study to determine if the two should be separated and what kind of staffing needs are foreseen for $25,000; repaving of Amory Road for $321,300; addition of a Heritage Park basketball court for $75,000; and adding an additional parking lot to Heritage Park for $85,000.
In the 2020 budget, the city is also adding to its payroll with creation of a Public Works director position and cost-of-living and merit-based pay increases for current staff.
Capital Improvements Fund
The city’s Capital Improvements Fund has a balance of $1,544,408 to be used on projects outlined when voters approved a half-cent sales tax in April 2018. Those funds will pay for engineering costs, phase two of the downtown streetscape and the Main Street Trail project that will link downtown to Smithville Lake.
Water and sewer funds
Through funds generated by water and wastewater systems, the city is projected to have $4,949,253 in revenues. Twenty percent of those funds are marked for reserve. More than $2 million of water/sewer funds are planned for future infrastructure improvement projects.
Projects are partially being funded through a series of five annual rate increases that began in June of 2019. With four annual increases remaining, residents can expect to see another increase in 2020.
Transportation Sales Tax
Funded by another half-cent sales tax, the Transportation Sales Tax Fund has a balance of $256,769 and is projected to generate an additional $475,080 throughout the year, Toleikis said. Projects funded with these dollars include $60,000 for engineering plans for a roundabout to be constructed at Bridgeport and Old Jefferson Highway that will best serve those living in the Greyhawke subdivision. While the city is funding an engineering plan, the subdivision developer is responsible for constructing the roundabout.
Using $10,000 of transportation tax funds, the city will also make repairs to the sidewalk on the south end of South Commercial Avenue.
Another $200,000 is earmarked for a future curb and stormwater project.