Crestwood budget projects surplus of $9,825 for 2008

2008 budget for Crestwood includes employee pay hike

By BURKE WASSON

The city of Crestwood is projected to end 2008 with a $9,825 surplus with the help of transfers between funds.

The city anticipates collecting revenue of $12,668,404 and projects expenditures of $12,676,109 in its three major funds — general, capital improvements and park and stormwater, according to the city’s 2008 budget, which recently was approved unanimously by aldermen.

But with the help of three interfund transfers, the city is budgeted to finish the year in the black.

The capital-improvements fund will transfer $155,000 to the general fund, the general fund will transfer $89,000 to the park and stormwater fund and the city’s performing-arts fund, which is no longer in operation, will transfer $17,532 to the park and stormwater fund.

The 2008 budget includes a 2-percent pay increase for all employees and a 15-percent increase in employee health-care costs effective July 1.

The budget also reflects the elimination of the post of economic and community development manager. Aldermen voted 7-1 in a Nov. 6 work session to approve City Administrator Frank Myers’ proposal to allocate $41,044 in the 2008 budget for the newly created position of management analyst to fill that former position. With $41,044 in total costs for the new post of management analyst and the $11,889 in savings by eliminating an administrative intern position at the end of August, the total impact to the 2008 budget between the personnel shuffling would be $29,155.

When subtracted from the city’s previous 2008 budgeted surplus of $38,980, that $29,155 overall cost of replacing the position of economic and community development manager equates to a new surplus of $9,825 for 2008.

The general fund is expected to generate $9,013,930 in revenues in 2008 compared to the city’s estimate of $9,150,606 collected in revenue in 2007. The general fund projects $8,985,622 in expenses this year compared to the city’s estimate of 2007 expenditures totaling $8,660,778.

The capital-improvements fund projects revenue of $1,492,502 in 2008 compared to the city’s estimate of $2,686,600 collected last year. The capital-improvements fund anticipates 2008 expenditures of $1,348,570 compared to an estimated $2,316,708 spent in 2007.

The park and stormwater fund projects 2008 revenues of $2,161,972 compared to an estimated $2,228,825 collected in 2007.

The park and stormwater fund projects 2008 expenditures of $2,341,917 compared to last year’s estimated expenditures of $2,241,650.

In all funds, the city anticipates 2008 revenue of $12,668,404 compared to 2007’s estimated revenue of $14,066,030. Total 2008 expenditures are projected at $12,676,109 after spending an estimated $13,219,135 in 2007.

The administration and aldermen requested a variety of cuts in the 2008 budget. In November, aldermen recommended cutting $30,000 from the capital-improvements fund for a new sound system in the Government Center and $10,000 from the general fund for employment-security benefits.

Before aldermen could recommend cuts to the 2008 budget, the Ways and Means Committee made several cuts and additions to the budget in October.

Among the budget additions requested by the Ways and Means Committee, comprised of Mayor Roy Robinson, Ward 3 Alderman Jerry Miguel and Ward 4 Alderman John Foote, are:

• $99,460 retained in the budget for one 2.5-ton dump truck after the committee initially recommended its removal. The 2008 budget has the purchase of two such dump trucks earmarked.

• $30,000 for “any legal services rendered through the redevelopment process for the Crestwood mall.”

• $18,000 retained in the budget for two seasonal park workers after the administration recommended cutting those two positions.

• $8,000 for “additional professional services associated with the redevelopment of the Crestwood mall.”

• $1,200 as a stipend for a resident manager in the city’s historic-facilities budget.

• $900 to allow the city’s municipal court to transfer detainees with “mental-health conditions” to St. Louis County.

The Ways and Means Committee also recommended the following cuts from the 2008 budget:

• $25,000 for a new phone system at the Government Center.

• $3,000 to hire an outside consultant for annual strategic-planning sessions. Committee members recommended Myers facilitate discussion at next year’s sessions.

Among the budgeted expenditures for 2008 is a $471,317 principal and interest payment from the general fund to the city’s seven-year annual-appropriation note with Royal Banks of Missouri.

That note, approved in October 2006 by the Board of Aldermen, transferred the city’s remaining $2.87 million in debt at that time from a promissory note and line of credit with Southwest Bank to Royal Banks of Missouri.