Meeting Summary
The Stillwater City Council held a special meeting to discuss the potential financial impact of the COVID-19 pandemic on the fiscal year 2019-2020 and 2020-2021 budgets. Staff presented measures taken to cut expenses and explored potential revenue sources, while also providing an update on the city's COVID-19 emergency order and its extension.
Financial Matters
Fiscal Year 19-20 and 20-21 Budget Impact
Discussion on the potential impact of the COVID-19 pandemic on the city's budgets, including revenue shortfalls from sales tax and electric utility usage. Staff outlined expense reduction strategies and explored new revenue streams like grants and federal stimulus.
Sales Tax Revenue (February 2020)
Sales tax for February transactions totaled $2.3 million, an increase of $436,000 over the previous February, partly due to a leap year. This was before significant lockdown measures were in place.
Use Tax Revenue
Use tax was nearly $236,000, up $465,000 from the same month last year and over budget, even after a budget amendment increasing the projection to $2.5 million.
Electric Usage Drop
An estimated 23% drop in electric usage was observed, impacting electric sales and subsequently sales tax revenue and transfers to the general fund.
Coming Up
Tabled
- List of significant capital improvements to be put on hold pending revenue assessment.
Deadlines
- Emergency order extended through April 30th.
Watch For
- Further federal stimulus packages, especially those addressing revenue replacement for smaller cities.
- Results of grant identification and application process.
- Detailed proposals on capital projects for federal stimulus funding.
Announcements
- Emergency order extended through April 30th, maintaining stay-at-home and business closure restrictions.
- Strong recommendation for individuals to wear cloth face coverings in public.
- Planning Commission and Board of Adjustment meetings to resume remotely.
Agenda Summary
3a. Discussion of potential impact the fiscal year 19 and 20 and fiscal year 2021 budgets through the Cova 19 pandemic will have
Presentation and discussion by city staff regarding the financial implications of the COVID-19 pandemic on the city's budget, including revenue projections, expense reduction strategies, and potential new funding sources.
3b. Update on COVID-19
Mayor's update on the extended emergency order, recommendations for mask-wearing, and the current status of COVID-19 cases and hospital capacity in Oklahoma. Discussion on the challenges of reopening the economy safely.