8-27-19 Leader E-Edition

Page 1

August 27, 2019 Edition

Serving all of Fannin County For 47 Years Locally owned & operated

The Paper Of Record for Fannin County Texas

Classifieds are on pages: 18, 19, 20, 21, 22 224 N. Main St., Bonham, TX 75418 fcleader@verizon.net

Circulation 15,611 - Bailey, Bonham, Dodd City, Ector,

Gober, Honey Grove, Ivanhoe, Ladonia, Leonard, Randolph, Ravenna, Savoy, Telephone, Trenton & Windom

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Expires 6/30/12 By Sandy Hood

rate adoption. The proposed taxExpires 6/30/12 The Bonham City Council rate is .6550. The hearing dates held a special meeting on Auare August 26th at 5:30pm & gust 20th for a Budget WorkSeptember 3rd at 5:30pm. Both shop. The Workshop was well hearings will be held at the City planned and impressive! City Hall. The proposed tax rate is a Manager, Sean Pate and Direc3 cent reduction from the cur- tor of Finance, Dave Struchtemeyer conducted the Workshop. rent tax rate. (Must present coupon at time of service)

A PowerPoint presentation covered key factors & significant changes and challenges in the budget process; A Plan of Action for the City’s Future. Sean stated, “The city operates on a budget and everything we do costs money. We

07/02/19

The Bonham City Council voted on the intent to establish an Ad Valorem Tax Rate for the tax year beginning January 1, 2019, and to schedule public hearing dates for the tax

try to live within the means of what taxes and user fees bring in.” They covered significant changes to expenses & revenues and challenges coming up. There were 4 funds covered: General, Water & Sewer Enterprise, Airport and EMS.

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General Fund is what citizens get for their taxes; police, fire, EMS, library, administration, streets, etc. Franchise fees and sales tax are a part of this fund. General Fund concerns are: • Available housing is a concern. Bonham is 400 housing units short. The city has been aggressive in dealing with this issue. As you drive around Bonham there are quite a few single family homes being built. • Rolling stock and heavy equipment is outdated and requires high dollar maintenance. • Infrastructure/streets are something the city is working on. • Preparing for future growth; codes are being updated, infrastructure is being improved, etc. • Staying competitive – Bonham is closely located to the metroplex and behind in pay. Bonham cannot compete with bigger cities. Creativity is being used to improve pay, benefits and the retirement system. City staff recommend a 3% raise (cost $161,000), 1 additional Personal Day off for fulltime staff and changing the retirement ratio to 2 to 1 (cost; $140,000). Revenue – Property tax revenue grew 7%. Because there was such a large increase in valuation of properties, and about $5 million in tax base growth, the rollback rate proposed is 3 cents lower than the current rate. Property taxes are 36% of revenue. Sales tax is about 19% of revenue. Property tax revenue grew 7% and the tax base grew 12%, with about 11% of that coming from increased property value. Sales tax is budgeted with a 4.5% growth rate. Continued See City on page 5

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