According to Brownwood City Manager Bobby Rountree, a balanced budget for fiscal year 2013/2014 forced the city council to consider raising city service rates for the first time in many years.

The $30,585,664 (which is a 1% increase over the FY 2012/2013 adopted budget) has been accomplished through adjusting the base rates of water, sewer and sanitation.  In a letter presented to city council members, Rountree explained the need for such increases.

“The staff and I have worked hard the past five years to avoid fee increases due to the difficult economic times, this year increases could not be avoided,” said Rountree.  “For the past five budgets, we have been subsidizing the increased costs of providing services by cutting capital and operational costs without reducing services or furloughing employees.”

He explained that economic factors have led to this decision.

“The budget has been impacted by increases in a variety of areas such as oil based costs (diesel, gasoline, asphalt, tires) water/wastewater supply costs, medical insurance costs, etc.  Water sales have declined due the drought restrictions and sales tax revenue has flattened,” explained Rountree.  “These factors have forced us to consider increasing rates for the first time in many years.  The sewer, sanitation and water base rates have not been increased in six years.”

Unfortunately, there are no cost of living increases proposed for city employees in the already stretched thin budget, according to Rountree.

 

In order to balance the budget, the following increases are proposed:

• Monthly water base rate increase of $0.72 cents or 3% for a ¾ residential meter.  ($23.95 to $24.67)
• Monthly sanitation rate increase of $0.61 cents or 3% for a residential customer. (20.30 to $20.91)
• Monthly sewer rate increase of $0.17 ($1.36 for a residential sewer base from $22.56 to $23.92 for an average residential user).  This is a 6% increase.  This rate increase is proposed to cover the bond payments for the required improvements to the wastewater treatment plant.

Rountree further explained that the city’s policy is to adopt a sound and fiscally conservative budget and to adhere to it closely during the budget year.  Any amendments that need to be made during the year will be accomplished according to established policies, including obtaining authorization from the City Council for any significant changes.  A copy of the proposed budget has been placed on file with the City Secretary and the Brownwood Public Library, where the public may review it during normal hours of operation.

Rountree praised the city staff and administration for their work to balance the budget and for conserving city resources and funds.

“Once again, the city department heads deserve credit for responding to my request to ‘hold-the-line’ on expenditures,” Rountree commended.  “Finance Director Walter Middleton and his staff are to be congratulated for their efforts during this process.”