City finalizes budget with no tax increase
City officials have approved an $18.4 million budget for this fiscal year, including budgeting for the downtown revitalization and economic development project.
City officials voted unanimously to adopt the 2004-2005 fiscal year budget on second reading Tuesday after approving it on first reading two weeks ago.
There is no tax increase as city officials are making good on their promises to reduce property taxes in exchange for a public vote to increase the local option sales tax last year.
This year, the tax rate was actually reduced to $1.48 due to state property re-assessments that are supposed to be revenue-neutral for local governments.
Fiscal year budgeting for Main Street construction is $4.2 million and costs are being paid through a bond fund, public and private funding, as well as a number of grants.
Other big projects include about $250,000 in improvements to parks and recreation facilities that could include a Civic Center expansion and new roof, as well as a new roof for the Riverfront Park gazebo.
The general fund has been set at $8.9 million and supports departments like police, fire, codes, the city garage, cemeteries, animal control, urban forestry and general government and administration.
This year’s property tax decrease follows last year’s property tax decrease, which was reduced by city officials to $1.60 from $1.94 after citizens approved a local sales tax increase in September.