Agendas

Recommended 2027 Budget July 21, 2026  Budget Calendar Jul 21 27 Aug 18 Sep 15 Work session Work session Hearing & adoption City of Fort Scott, Kansas Budget Highlights 2027 Budget Development Highlights • Maintain 35.023 mill levy • Improve General Fund from $231K deficit to $40K surplus • Apply $500K lake lot sale proceeds to debt reduction • Hold 2 Police and 1 Fire position vacant • Limit capital purchases and focus on core services • Fund 3% wage adjustment and absorb 15% health insurance increase FY 2027 Revenue/Expenses Overview Revenue Assumptions • Property tax revenue increases due to valuation growth • Sales tax revenue reduced approximately $118,930 • Franchise tax revenue reduced approximately $134,944 • Electric franchise tax estimate reduced by approximately $75,000 • Flat General Fund mill levy • 3% utility rate increase • Includes $500,000 one-time lake lot sale Citywide Revenue Projections by Source FY 2024 FY 2025 FY 2026 FY 2027 Actuals Actuals Budget Budget Property Tax $2.44M $2.55M $2.59M $2.68M Sales Tax $4.64M $4.39M $4.49M $4.36M Franchise Fees $1.03M $0.95M $1.10M $0.96M Utility Fees $8.67M $8.07M $9.08M $8.32M Citywide Expenditures by Fund Type FY 2024 FY 2025 FY 2026 FY 2027 Actuals Actuals Budget Budget General Fund $7.23M $7.45M $6.95M $6.76M Special Revenue $3.34M $4.74M $4.81M $4.56M Funds Utility Funds $10.23M $8.41M $8.95M $8.23M Debt Service Fund $0.00M $0.02M $0.00M $0.15M Capital Funds $0.58M $0.21M $1.58M $1.93M Special Revenue Funds Public Library Convention And Visitors Bureau Public Safety Equipment Streets Sales Tax Economic Development Land Bank Special Streets And Highways Recreation Special Parks And Recreation Golf Course Special Alcohol And Drugs Municipalities Fight Addiction E911 Telephone Tax (Opioid) Fund  General Fund Snapshot General Fund Revenues General Fund Expenses Capital All Other Outlay Miscellaneous 23% 1% Debt 0% Property Commodities Service Taxes 6% 7% 33% Contractual Services 17% Personnel Services 69% Sales Taxes 30% Franchise Taxes 14% City of Fort Scott, Kansas General Fund Snapshot Department FY 26 Budgeted Expenditures FY 27 Budgeted Expenditures Administration $ 1,024,718 $ 809,657 Municipal Court $ 54,534 $ 79,484 Police $ 1,920,179 $1,863,048 Fire $ 1,441,866 $1,538,056 Communications $ 605,286 $ 540,593 Animal Control $ 69,515 $ 73,804 Code Enforcement $ 275,552 $ 349,592 Airport $ 557,143 $ 283,023 Parks and Recreation $ 752,552 $ 724,331 Debt Service $ 252,114 $ 494,179 City of Fort Scott, Kansas General Fund Snapshot • General Fund projected ending fund balance = $1.2 million • Approximately 17.7% of expenditure • Approximately 65 days operating reserve • Reserve level remains adequate but should be monitored City of Fort Scott, Kansas One-Time Financial Actions One-time proceeds converted into recurring budget relief 1 2 3 4 SOURCE DEBT ACTION ANNUAL SAVINGS BUDGET IMPACT $500K Retire debt $134,733 Recurring relief Lake lot sales Fire pumper and ladder Estimated debt service One-time revenue included in budget truck debt reduction each year becomes paid down with proceeds ongoing budget capacity Estimated annual debt service reduction: $134,733 This converts one-time revenue into recurring relief for the General Fund. City of Fort Scott, Kansas Budget Strategy 2027 Budget Discussion • Maintain the General Fund levy at 35.023 mills • $500,000 of lake lot sale for debt reduction in General Fund • Hold two police positions and one fire position vacant • Limit capital purchases and prioritize essential service delivery • 3% COLA for employees Up Next August 18 • Supplemental budget workshop September 15 • Budget hearing and adoption