I am pleased to submit the adopted 2006-07 Budget pursuant to Article V, Section 41 of the City Charter of the City of Baytown and other relevant state laws. A copy of this document has been placed on file with the City Clerk and at the Sterling Municipal Library, where the public may review it during normal hours of operation. An electronic version is also available on the City’s web site: www.baytown.org.
This adopted budget does not include an increase in the property tax rate. The property tax rate of $0.73703 has not increased since the 1992-93 fiscal year. Storm water fees are also adopted to remain unchanged. A $1.00 increase is adopted in Solid Waste rates, which have not increased since 2001. Critical improvements are required in the wastewater collection and treatment facilities to address regulatory compliance and capacity needs of new and existing customers. A rate increase is adopted in the Water and Sewer Fund in large part due to the increased debt service on bond funds used to finance these improvements.
The top budget priorities are:
- Public Safety and Health
- Personnel: Employee Compensation and Benefits
- Infrastructure Capital Project/Bond Program Implementation
- Economic Development
The General Fund is the principal operating fund and accounts for many of the City’s services, such as Police, Fire & Rescue, Health & EMS, Streets & Drainage, Traffic Control, Engineering, Parks & Recreation, Library, Planning & Development Services, etc.
Cost increases have a significant impact on expenses in the General Fund as well as other funds of the City. Some of the more significant cost increases that will affect the 2006-07 budget include:
- Continuing significant increases in the cost of petroleum products (fuel, oil, etc);
- Continuing significant increases in the cost of electricity;
- Reduced and/or elimination of grants (CDBG, H-GAC, Organized Crime Task Force);
- Increased cost of steel and building materials;
- Increased cost of plastic pipe;
- Cost of raw water; and
- Cost of chemicals.
This budget reflects our commitment to develop a financial plan that the City will continue to follow in providing services to the citizens of Baytown. We have conducted a review of internal operations to ensure that we deliver services in an efficient and economical manner. The budget is intended to communicate to its readers the direction the City will follow in the future. We will continue to evaluate the City’s operations and explore opportunities to ensure the delivery of services to our citizens as "cost-effective" as possible. Our decisions today will affect us for many years to come.
Sincerely,
Gary M. Jackson
City Manager