DESOTO – The DeSoto City Council spent a good part of the meeting Tuesday night discussing the upcoming FY 2024/2025 budget.
There was one citizen comment, 34-year resident Anna Williams who thanked the DeSoto Police Department regarding city safety. Williams mentioned a former local Sheriff having said “Thank you for the most thankless job in America” adding “quite often that happens in DeSoto. Chief Costa and his policemen and policewomen, they are great and they do an amazing job in helping us in DeSoto to clean up crime, to clean up gambling that should not have been here, but they have done that and they have done an amazing job and I hope they continue to stay with us and with the citizens.”
Bernadine Harrison did not speak, but noted on a public comment card she was confused on how agenda items are presented.
The budget item was a discussion-only public hearing with no residents speaking.
The adoption of the Budget, Tax Rate, Capital Improvement Plan (CIP), and Council Business Plan is set for Tuesday, September 17, 2024, at 7 p.m.
DeSoto City Manager Majed Al-Ghafry said regarding the budget that staff was able to maintain the existing tax rate, and create a balanced general fund “as well as focusing to achieve the business plan priorities and strategic plan finally investing in areas identified as high priorities with citizen survey results while focusing on implementing large and prioritizes capital projects.”
The proposed budget, including the CIP, was first presented to the council on July 11 with two budget workshops held at the end of July.
The next steps will be for the council to prepare the draft and finalize its business plan during its upcoming summer retreat.
In staff notes it was pointed out the tax rate necessary to pay the debt obligations and provide the level of operating services as proposed in the budget is 68.4934 cents per $100 valuation, which is slightly lower than the tax rate in Tax Year 2024. The proposed rate is comprised of the Debt Service and Maintenance & Operations rates. The Debt Service rate is 18.1000 cents per $100 valuation, 0.0607 cents lower than Tax Year 2024. The Maintenance and Operations rate is 50.3934 cents per $100 valuation, 0.0449 cents higher than the Tax Rate in 2024. Adopting this tax rate will lower the overall tax rate by .000158 and enable the City to cover additional personnel compensation, salary, and associated benefits increases, supplies and equipment costs, contractual services, and professional fees.
The City is not required to hold an election with the proposed tax rate equal to the voter approval tax rate. The FY2024-25 budget is projected to raise more total revenue taxes than last year’s budget by $6,389,424 or 13.87%. Of that amount, $1,067,228 is tax revenue to be raised from new property added to the tax roll this year.
The Public Utility Fund Budget for FY 2024-25 has proposed a 9% increase in the water base and volume rates from the current base rate of $10.64 to $11.60 and the current volume rate of $3.70 to $4.03. The fund also has proposed a 9% increase in the sewer base rate from the current rate of $12.87 to $14.03 and a 9% increase in the sewer volume rate from the current rate of $12.87 to $14.03. The increase is proposed to cover the costs of contract water and wastewater treatment services, maintain current service levels, and continue capital improvements.
The Sanitation Fund Budget for FY 2024-2025 proposes a 5% increase in the sanitation rate from the current $29.97 to $31.47. The increase is proposed to maintain current service levels and cover the cost of the City’s new waste hauler contract with Republic Services.
Place 2 councilmember Pierette Parker had several questions about the increase $11.64 average of residential accounts proposed increase for water and sewer. Staff emphasized these costs are not controlled by the city and are passe