By Megan Wehring
DRIPPING SPRINGS – Dripping Springs is looking at a budget with $10.5 million in revenue.
The city council continues to hold workshops ahead of the vote to set the FY 2022 budget next month.
In the proposed general fund budget, the city is looking at $10,561,779.93 in revenue and $8,799,411.43 in expenses. There will be about $1.4 million in Coronavirus Local Fiscal Recovery Funds (CLFRF) at the end of FY 2022 that the city will have to allocate; there are no specific plans at this time, according to finance director Shawn Cox.
“We have not yet allocated how that is going to be spent for the city,” Cox said. “There are different ways it can be spent such as lost revenues for some of our parks programs [and other] programs that can be put on to help recoveries. The county is doing a lot, every city has been allocated a portion.”
When there are remaining funds from the revenue that has not been spent, cities typically move it to reserve accounts also known as rainy day funds, Cox explained.
The city is projecting a $1.25 million increase in revenue for the general fund budget compared to FY 2022. The boost in revenue is primarily driven by increased appraised values, Cox said, but the tax rate will stay the same at $0.19 per $100 of valuation. Sales tax is also expected to grow by 8%.
A vote on the budget is anticipated for Sept. 21, according to city secretary Andrea Cunnigham.
