By Myrna Trauntvein
Times-News Correspondent
One week early, Mona adopted the final budget for 2019. Municipal fiscal year budgets in the state of Utah are to be adopted by the 22 of June but Mona’s next meeting will fall after that date, so it was important that the council adopt the final 2019 fiscal year budget and amend the 2018 budget. “The city is in good financial shape,” said Everd Squire, city finance director. “Total revenue for 2019 is $608,170.” He said that a budget was a “best guess” for the revenue and spending for the coming year. It is a spending plan and gives the council the needed authority to spend the money that is budgeted. “You did a great job with the budget,” said Jeff Hearty, council member. “We know you put a lot of blood and sweat into creating the budget and that it took many long hours and we appreciate your work,” said Bill Mills, mayor. The budget for 2019 will be posted on the city website as will the amended budget. In Utah, all city budgets are fund based, meaning that each city must have a general fund, a capital projects fund and an enterprise fund. Hearty asked if the property taxes were expected to be lower in 2019 than they currently are because they were lower in the budget, at the least. In 2017 the actual property tax revenue had been $57,937; in 2018, it had been $56,900; and in 2019 was expected to be $56,000. “In essence, by state law, we can only collect on the tax paid before December 31 and not on the delinquent tax paid,” said Squire. “We have been getting a bit less each year. I paid less on my property tax this past year than I did the year before.” In fact, each year for the past five years it had gone down a bit. The prior year’s property taxes revenues were $2,200 (revenue for taxes collected late), sales and use tax revenue was $220,000, the franchise tax was $400, and the fee-in-lieu of property was $10,300. All calendar and fiscal year entities set their budgets without knowing what the certified tax rate will be for the new year. This year’s certified tax rate will generate the same ad valorem property tax revenue equal to last year’s budgeted property tax revenue, plus the additional revenue due to last year’s growth. “All revenue from taxes for 2019 is expected to be $288,900,” said Squire. Business license revenue is planned for $1,200; building permits are estimated at $24,000; and animal licenses at $220 for a total of $25,420 for the licenses and permits revenue category. Class C road revenue should be $95,000 and local grants are expected to not add any revenue this coming year. Charges for services include subdivision annexation fees, inspection fees, burial lots, grave opening/closing, garbage revenue, green waste reimbursement, park and recreation fees, and community center fees added together should bring in $148,000. Interest earned is shown at $9,000 and miscellaneous revenue for rents, donations and rentals $1,000. Transfers from natural gas were $40,000 and were made for the need which occurred in 2018 to pay additional needs for the new city building and will not occur in 2019. Class C total reserve appropriated was $40,000. That is funding revenue earmarked for roads “Our fiscal year begins July 1 and ends on June 30,” said Squire. “Our budget year always ends the last day of the month.” He had listed the funds for the general plan under administrative office supplies, he said. That was the reason the fund went from $18,000 in 2018 to the figure of $34,000 for 2019. Frank Riding, council member, said he needed to know if the department of park supplies for 2018 would still be available to pay for the sprinkler system work to be done this summer. It would be charged to the 2018 budget as planned, said Squire. The project is expected to be completed by the end of the budget year. Total expenditures, by state law, must not exceed total revenues. All general government expenses total $28,250 and administrative expenses (including the general plan) total $170,775. Total transfers, including $24,570 to capital projects, are $608,170. The total for buildings and grounds is $3,230; the total budget for planning and zoning is $9,100 and the total for all general government expenses arrives at $211,355. Public safety expenditures for police, inspections and animal control ($100) total $24,600. The total expenditure budget for highways and public improvements is $132,920; the total expenditure for sanitation is $113,175; the total expenditure for parks, recreation and public property is $33,000; the total expenditure for the cemetery total is $33,690. “Why did the building permits budget go down?” asked Katrina Long, council member. “We are running out of building lots in the city,” said Squire. If an annexation with a number of homes proposed were to come to the city, then that figure would once again increase, he said. According to state code, a major responsibility of elected officials is to “appropriate funds” or, in other words, adopt and maintain a budget. Another code requirement is that a city’s fund balance cannot exceed 18 percent of projected revenue.
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