Meeting Summary
The City Council held a study session to review the proposed FYE 2024 budget, covering the general fund and special revenue funds. The discussion highlighted the city's financial health in some areas, particularly the general fund, and challenges in others, such as utility funds. Additionally, the council discussed the significantly increased cost of a proposed EV charging station project at City Hall and decided to postpone it, opting to reapply for a grant in October to potentially secure more favorable funding.
Financial Matters
FYE 2024 City Manager's Proposed Budget
Overall projected revenues of $261 million and expenditures of $273.7 million, with a projected $12 million draw from fund balances. General fund revenues projected at $105 million, expenditures at $106 million.
General Fund Surplus Allocation
Recommendation to utilize a $14 million general fund surplus (above the 3% minimum operational reserve) for increased services, employee compensation, new positions, and one-time capital expenses.
Fleet Replacement Supplement
A one-time general fund supplement of $3 million is recommended for fleet replacement, addressing rising vehicle costs and enabling the purchase of two fire trucks, a tandem dump truck, and a tree chipper.
Seizures and Restitution Fund Allocation
An additional $1.4 million from the seizures fund is allocated for police vehicle replacements, freeing up capital outlay funds for other departments.
Public Transit Fund Subsidy
The Public Transit fund requires a $700,000 subsidy from the general fund to support microtransit services.
Room Tax Rate Increase Proposal
A proposed increase in the room tax rate from 5% to 8% will be voted on May 9th, potentially generating an additional $975,000 for Visit Norman and $325,000 for the Norman Arts Council.
ARPA Fund Allocations
Ongoing allocations include $6.4 million for affordable housing, $3 million for the Lower Imhoff Creek project, $1.9 million for non-profit support, and funds for incubator arts/humanities and vaccination incentives. Funds must be spent by FY26.
Coming Up
Tabled
- EV charging station project at City Hall (reapplication for grant in October)
Deadlines
- ARPA funds must be spent by FY26
- Room tax rate increase vote on May 9th
- Water rate increase vote on June 13th
Watch For
- Capital fund budget study session on May 2nd
- Enterprise fund budget study session on May 16th
- Public budget hearing on April 25th
- Public budget hearing on May 23rd
- Final budget adoption on June 13th
- Public Safety study results (expected in ~6 months)
- Emergency Communications Facility (EOC) completion (mid-summer next fiscal year)
- Affordable housing land purchase (May 2nd meeting)
Announcements
- Budget staff, Jacob Huckabee (Budget Technician) and Kim Kaufman (Budget Manager), were recognized for their work on the budget document.
- The city clerk's role in rebuilding the City Hall campus and the police chief's role in building an Emergency Operations Center were mentioned.
- Councilmember Schuler acknowledged City staff's dedication and understaffing, urging public patience and kindness.
Agenda Summary
Discussion regarding the proposed FYE 2024 city of Norman budget general fund and special Revenue funds
Presentation of the city manager's proposed budget for the fiscal year ending 2024, covering general governmental operations, financial policies, revenue projections, expenditure allocations, and proposed staffing changes across various departments and special revenue funds.
Discussion regarding EV charging stations at City Hall
Review of the City Hall EV charging station project, including its history, grant funding, and a significant increase in projected costs, leading to a discussion of options for proceeding.