By Megan Wehring
Kyle City Council unanimously voted to approve the $134.2 million fiscal year 2021 (FY21) budget and ad valorem tax rate on first reading.
The proposed budget for FY21 will begin Oct. 1, 2020 and end on Sept. 30, 2021. The budget includes a 10% increase in water and wastewater service rates, 2.5% increase in solid waste service charges and a total of 279.0 full-time equivalent positions with 22 new positions. About $30.2 million will be allocated for operations and maintenance and $8.9 million in one-time transfers for capital improvement projects (CIP).
Council member Robert Rizo questioned, at the Aug. 18 first reading, whether there would be room in the budget to allocate for a pay increase for all city employees.
“During COVID-19, not only did the boots on the ground step up and help us with everything,” Rizo said. “We had staff have to relearn how to run, to do their jobs within the city, some from home, some from coming in. Some probably put in extra hours during these times. I kind of feel a 2% increase wouldn’t be so substantial if we were to look at it.”
Rizo also recommended taking a look at other areas in the budget to make the increase possible.
“One of the things that we could look at is our health insurance rates go up about 10% every year, usually they come in lower than that actually,” Rizo said. “So we budget that amount in there so I believe we could probably find the money there.”
Mayor Travis Mitchell said any possible amendments to the budget could be discussed at the second reading on Aug. 25.
The ad valorem (property tax) rate for Tax Year 2020 was also approved at $0.5201 per $100 assessed valuation. For reference, the adopted rate for Tax Year 2019 was $0.5416.
Council member Tracy Scheel reminded the public the city’s proposed budget only includes 20% of their entire property tax rate.
“I just want to get this out in the open once again,” Scheel said. “This budget and our tax rate constitutes only 20% of their entire property tax rate. The other 80% is all up in the air to everybody else. We can only control our 20%.”
A public hearing is also scheduled for Aug. 25 at 7 p.m. at Kyle City Hall or the public can submit citizen comments online.
