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ITEM 1 |
City Council Memorandum Management Services Memo No. 22-067
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Date: |
June 9, 2022 |
To: |
Mayor and Council |
Thru: |
Joshua H. Wright, City Manager Dawn Lang, Deputy City Manager - CFO |
From: |
Matthew Dunbar, Budget and Policy Assistant Director |
Subject: |
Resolution No. 5590, Adopting the Annual Budget in the Amount of $1,352,658,536; Setting Forth the Receipts and Expenditures; and the Amounts Proposed to be Raised by Direct Property Taxation for the Various Purposes for Fiscal Year (FY) 2022-23, and Adopting the 2023-2032 Capital Improvement Program (CIP) in the Amount of $1,664,735,200 |
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Move City Council pass and adopt Resolution No. 5590, adopting the Annual Budget in the amount of $1,352,658,536; setting forth the receipts and expenditures; and the amounts proposed to be raised by direct property taxation for the various purposes for FY 2022-23, and adopting the 2023-2032 CIP in the amount of $1,664,735,200, as presented or amended after the close of the public hearing. |
On May 26, 2022, Council adopted Resolution No. 5586, which approved the FY 2022-23 Tentative Budget in the amount of $1,352,658,536 and set June 9, 2022, as the date for a public hearing to allow for taxpayers to comment and provide input on the Budget, CIP and Property Tax Levy. A notice of public hearing for "Adoption of the FY 2022-23 Annual Budget and 2023-2032 Capital Improvement Program and Setting of Property Tax Levies" has been posted on the official City website since June 1, 2022, and published in the Arizona Republic on June 1 and June 8, 2022, as required by State statute. The notice includes a summary of the Tentative Budget, with State Auditor General schedules (Budget Forms) attached and provides a general description of the 10-Year CIP. Council Action on the Budget and CIP is scheduled immediately following tonight's Public Hearing on the Budget, CIP and Property Tax Levy, and final action on the Property Tax Levy is scheduled for June 23, 2022. Arizona Revised Statutes provide that the total amounts proposed to be spent in the final budget shall not exceed the total amounts that were proposed for expenditure in the published tentative estimates. The Tentative Budget in the amount of $1,352,658,536 includes funding for departmental operating budgets of $492,698,662; funding for debt service of $72,317,788; budget for equipment, technology, and vehicle replacements of $4,967,053; and contingencies and reserves in the amount of $185,291,629 in various funds. The capital portion of the budget includes $310,266,982 in new appropriation, $286,866,422 in capital carryforward, and $250,000 in contingency and reserve funding, for a total of $597,383,404. Included in the projected operating revenues of $631,012,904 is a property tax levy of $40,330,417 based on a rate of $1.1026 per $100 of assessed property valuation (reduced from $1.1126 in the current year), plus $498,387 for Salt River Project’s payment to the City in lieu of property tax, for a total of $40,828,804. Arizona Revised Statutes Truth in Taxation requirements do not apply for FY 2022-23 as the Primary Property Tax Rate of $0.2326 per $100 of assessed valuation (reduced from $0.2426), does not exceed the Truth in Taxation maximum rate of $0.2391 per $100 of assessed valuation and resultant levy, as determined by the Property Tax Oversight Commission. City Charter requires the City Manager to present a (minimum) 5-Year CIP for the City of Chandler to the City Council before June 15th of the current fiscal year. The Proposed 2023-2032 CIP is a 10-Year Program totaling $1,664,735,200. Information regarding the various capital projects, cost estimates, methods of financing, recommended time schedules and estimated annual operating cost were distributed in the proposed budget, which is posted online and was discussed at the All-Day Budget Briefing held April 29, 2022. |