Crestwood Board of Aldermen conducts public hearing on city’s proposed 2017 budget

Amended budget increases projected deficit to $773,880

Crestwood Board of Aldermen conducts public hearing on city's proposed 2017 budget

By Mike Anthony

A public hearing on Crestwood’s 2017 budget that projects a deficit of nearly $731,000 was set to be conducted this week by the Board of Aldermen.

The Board of Aldermen was scheduled to meet Tuesday night — after the Call went to press.

The proposed 2017 budget projects total expenditures of $11,360,881 with anticipated revenues of $10,630,001 — a deficit of $730,880. An ending fund balance of $6,912,600 is projected on Dec. 31, 2017.

City Administrator Kris Simpson originally proposed a 2017 budget that projected a deficit totaling $518,766.

However, during a Ways and Means Committee meeting n which all eight aldermen participated, the projected deficit increased by $212,114.

As proposed, general fund revenues for 2017 total $7,712,827 with anticipated expenditures of $8,236,913 — a deficit of $524,086. With an estimated beginning fund balance of $4,604,418, an ending fund balance of $4,080,332 is projected.

Aldermen last year adopted a fund-balance policy mandating the city maintain a general fund reserve of no less than 45 percent. The proposed 2017 budget projects a general fund reserve of 49.5 percent.

At the Nov. 9 Ways and Means Committee meeting, aldermen reduced the original deficit in the general fund by $52,489.

The board discussed the impact of the employee pay plan that was implemented this year at a total cost of roughly $151,000.

As originally proposed, the 2017 budget included a 2-percent matrix increase to the plan, which provided 18 employees with raises of over 7 percent this year, according to Ward 3 Alderman Jerry Miguel.

But aldermen reduced the general fund cost of the pay plan by approving Miguel’s motion to remove the proposed 2-percent matrix adjustment and add a 2-percent raise for employees not receiving a 5-percent step increase, except for new employees hired after July 1 and any employees with an unacceptable performance review.

As proposed for 2017, park and stormwater fund revenues total $1,738,587 with anticipated expenditures of $1,870,768 — a deficit of $132,181. With an estimated beginning balance of $756,552, an ending fund balance of $624,372 is anticipated.

As originally proposed by Simpson, the parks and stormwater budget projected a surplus of $12,422.

Capital projects proposed for the parks and stormwater fund include replacing/repairing the Community Center roof, $80,000, and renovating The Barn Restaurant, $30,000.

Aldermen voted Nov. 9 to reduce $55,000 in proposed improvements to Rayburn Park to $10,000 to remove unsafe playground equipment and add $80,000 for renovating the men’s and women’s locker rooms at the Community Center so they comply with the Americans with Disabilities Act.

As originally proposed, $25,000 was included to renovate the Community Center kitchen, but aldermen voted to remove the $25,000 for the kitchen and add $150,000 for HVAC repairs at the Community Center.

As proposed, the capital improvement fund anticipates revenues of $1,040,387 with projected expenditures of $1,118,200 — a deficit of $77,813. As originally proposed by Simpson, the parks and stormwater budget projected a surplus of $42,187.

Aldermen added $120,000 to the capital improvement budget to construct a sally port for the Police Department at City Hall and $50,000 for a future sidewalk replacement program.

As proposed, the sewer lateral fund projects total revenues of $138,200 with anticipated expenditures of $135,000 — a surplus of $3,200. With an estimated beginning balance of $263,729, an ending fund balance of $266,929 is projected.