The Parker Town Council has approved a budget of just over $19 million for fiscal year 2021-22, which began on July 1.
Town Manager and Finance Director Lori Wedemeyer made a point at the July 6 Town Council meeting this does not mean they have $19 million to spend. A budget is an estimate of what they will spend and how much money they will have to spend. She said that, as usual, the budget includes funds from grants and the like that the Town does not have but may apply for. These must be budgeted for if the Town wants to spend these funds.
The budget shows $4.65 million in the general fund, $5 million in special revenue funds, almost $7.8 million in capital projects funds, $1.2 million in the Utility Enterprise Fund (water system) and $330,000 in debt service funds.
The largest source of revenue for the general fund is the Town’s sale tax, which is budgeted at $1.35 million. The second largest source of revenue will be intergovernmental funds, like the shared sales tax from the state. These funds are budgeted at $1.07 million.
The largest source of revenue in special funds is $2.4 million in Highway User Revenue Funds from the state’s fuel tax. These funds can only be used for street and transportation projects.
The Town Council had agreed earlier that all Town employees should receive at least $15 per hour, and those already at that level should receive a 5 percent Cost-of-Living-Adjustment. Total salaries for FY 21-22 are budgeted at $4.43 million, with $2.65 million coming from the general fund.
As for the biggest budget for salaries, the Parker Police Department will be the biggest user of the general fund for salaries at $1.3 million.
Wedemeyer had stated at earlier budget work sessions that insurance costs would be dramatically increased for the 21-22 fiscal year. According to information she provided to the council, the total cost of insurance would go from $580,595 in FY 20-21 to $802,790 in FY 21-22. That would be an increase of $222,195. Of that increase, $131,825 will be from the general fund.
The budget will need to be published twice in a local newspaper before it can be formally adopted by the council. That adoption is set to take place in August.