January 02, 2013 - A 2013 budget that includes employee salary increases of 1.5 percent recently was adopted by the Sunset Hills Board of Aldermen.
The budget also includes a 1-percent incentive pay pool for employees, according to Ward 4 Alderman Art Havener, who serves as chairman of the city's Finance Committee.
The city's Personnel Committee recommended a 1.5-percent salary increase for all employees receiving at least a satisfactory evaluation and a 1-percent incentive pay pool for those receiving an above-average evaluation. Employees at the top of their respective grade would receive a $500 salary increase and would be eligible for the 1-percent incentive pay, according to Havener.
The city's 2013 general-fund budget projects a surplus of more than $5,000.
The 2013 general-fund budget projects total revenues of $7,099,695 with anticipated expenditures of $7,094,373 — a surplus of $5,322.
For 2013, city officials anticipate a reduction in total general-fund revenues and expenditures compared to 2012 projections.
Total general-fund revenues are projected to decrease by $279,688 compared to 2012. However, excluding grants, revenues are projected to decrease by $29,843.
Total general-fund expenditures are expected to drop $170,533 next year. Excluding grants, expenditures are expected to increase by $79,312. With a beginning general-fund balance of $5,813,679, the city is projected to end 2013 with a general-fund balance of $5,819,001.
The capital-improvement fund projects expenditures of $865,935 with anticipated revenue of $902,000 — a surplus of $36,065.
With a beginning balance of $143,000, the capital-improvement fund is projected to end 2013 with a balance of $179,865.
In August, Sunset Hills voters approved a permanent extension of the city's half-cent, capital-improvement sales tax, which allowed the city to retire roughly $450,000 in outstanding capital-improvement bonds.
Without approval of the sales-tax extension, Proposition 1, the half-cent, capital-improvement sales tax would have ended in 2016 when the bonds were retired. Retiring the outstanding bonds saved the city roughly $41,000 in net interest expense and created a cash surplus of more than $375,000, which benefited the 2013 budget.
Department heads also helped balance the 2013 budget with the largest reduction coming from the Police Department, which eliminated a planned third detective position.
For 2013, city officials project the county road fund balance will drop to $104,641 from $124,641.