The City of Tyler has unveiled its 2017-18 proposed annual budget which includes a property tax increase and cuts in non-profit funding.
"As a result of increased online shopping and a decline in the oil and gas sector, Sales Tax has not increased in the last two years," said Tyler City Manager Ed Broussard. "We are budgeting less from sales tax this year than we did in Fiscal Year 2014-15. This stagnation has been devastating to city operations."
To help balance the budget, the proposal includes reducing outside agency funding to save over $300,000. Other proposals include:
- 11 positions will continue to be frozen - $468,937
- Eliminate Associate Engineer and CIP Analyst - $76,749
- Reduction in transfers to other funds - $428,000
- Lowered fuel purchase projections from $2.50 to $2.00 per gallon - $150,000
- Removal of disability premium - $175,000
- Transfer funding of Innovation Pipeline coordinator to Utilities - $100,000
In addition, the budget proposal includes a $.24 per $100 valuation property tax increase.
"At 24 cents, Tyler's propert tax rate will remain - by far - the lowest in the State of Texas for a similarly sized city," said Broussard. "This increase will move us one step closer to stabilizing our revenue stream for general City functions, primarily public safety, streets and traffic maintenance, and parks and recreational programming."
"This is necessary so that we may continue to provide the services our citizen expect and value," stated Broussard.
The City is requesting that outside agencies with fund balances, revenue allocated by the City and unspent by the agencies in years past to utilize those balances for operating this coming year.