After hearing the initial proposed Fiscal Year 2021-2022 budget on June 1, the Copperas Cove City Council heard a more detailed version of the budget Tuesday evening.
During Tuesday’s meeting, the city’s budget director, Ariana Beckman, presented the council with detailed items from each of the departments and how they compared to the projected current budget when it ends Aug. 31.
Overall, the proposed budget is around $49.4 million of expenditures across all funds. Total revenues are projected to be around $45.9 million. These proposed figures represent an overall budget deficit of around $3.5 million.
The operating deficit, however, is projected to be only $240,332.
Contributing to the large number on the bottom line are capital improvement projects from two major funds — water and sewer and solid waste.
Capital improvement projects from the water and sewer fund include the purchase of generators and switch gear for the wastewater treatment facilities and the pump station.
The total amount for this equipment is around $1.9 million.
In the solid waste fund, the Solid Waste Department is looking to expand the scale house in the transfer station as well as the transfer station itself. These projects would cost around $1.29 million.
Since the projects are capital improvement, they are one-time expenses, paid for using the corresponding fund balances.
While most of the departments expect higher expenditures than revenues, all but one of the funds (Golf Course) is expected to have an ending fund balance that exceeds the city’s ideal fund balance, which represents three months worth of operating expenses.
The General Fund, which shows just over $1 million more in projected expenditures than revenues, could have an ending fund balance of $7.47 million. That would exceed the ideal fund balance by about $2.7 million.
The Water & Sewer Fund shows over $700,000 more projected expenditures than revenues. It could have an ending fund balance of around $4.84 million, which would exceed the ideal fund balance by about $2.49 million.
The Solid Waste Fund, which shows around $1.8 million more in projected expenditures — due mostly to the expected expansion of the scale house and transfer station — could have an ending fund balance of around $1.4 million, which would exceed the ideal fund balance by around $106,000.
The Golf Course Fund shows around $43,000 more in projected revenues than expenditures, which is expected to help the fund’s ending deficit. The ending fund balance could be around a $1.25 million deficit. According to the presentation, the deficit in the Golf Course Fund has steadily decreased every year since Fiscal Year 2015-2016.
The city’s Other Funds, which include funds such as the Parks Improvement Fund, the Street Maintenance Fund and the Hotel Occupancy Tax Fund — to name a few — are expected to have a total of around $10,000 more in expenditures than revenues. That could produce an ending fund balance of around $2.44 million.
To view the same budget breakdown by department that the council viewed, go to https://www.copperascovetx.gov/budget/budget-presentations/.