Hotchkiss town clerk Marlene Searle had some bad news to deliver to the council about revenues and expenses forecast for 2014.
"We are within budget for 2013.
For 2014 we are not," she said. Searle explained that if the Town of Hotchkiss spends "every dime" of the expenses listed and revenue does not increase, the town will have to draw about $84,000 from its General Fund reserve to meet expenses.
Searle advised that the Water Fund revenue is good and that the Sanitation Fund will be balanced. Capital projects will also be balanced. "The Conservation Trust has to be even because the State of Colorado Lottery Funds have to be zero," Searle said.
"Normally my revenues are higher and my expenses are lower. I do not expect to come in at this $84,000 but I don't believe we are going to make up $84,000 either. We will be in the hole by the end of 2014. At that point I will have to take money from our reserves, from our savings account, and balance that out," she said.
The council approved the 2014 budget on Dec. 12. The General Fund is expected to receive $735,551 in revenues and have $819,793 in expenses creating the $84,242 deficit. The Water Fund is forecast to have $797,931 in revenues, $678,960 in expenses and with $122,971 left in the fund. The Sanitation Fund should receive $210,150 in revenues and $216,233 in expenses with $6,083 in the hole. The Garbage Fund should have $100,005 in revenues and $96,000 in expenses leaving $4,005 to the good. The Conservation Trust Fund is even with $10,585 in revenues and expenses. Capital Projects expects $251,662 in revenues and $366,208 in expenses leaving a $114,546 deficit.
When TABOR went into effect, the Town of Hotchkiss was getting 10.260 mill levy. "If I would have received that on my assessment, I would have received $96,787. But when I have to go in and figure my TABOR, which only allows you so much of an increase, I lose $33,300 of it," Searle said. "So that is what the mill is that I'm giving back to the public."
Total collection of mill levy 6.730 is $63,487. The total assessed value of property within the limits of the Town of Hotchkiss for 2013 is $9,433,467.
General operating expenses of 10.260 mills equals $96,787, less temporary property tax credit of 3.530 mills is $33,300 so the total collection on property tax is 6.730 mills of $63,487.
The Town of Hotchkiss receives about $4,500 a year for the Conservation Trust Fund. These funds must be spent on town parks. The Town of Hotchkiss donates $2,500 to the fairgrounds plus pays the electricity there. The rest is spent on the Willow Heights park and a new pocket park is being placed downtown.
"Hotchkiss has de-Bruced all sales tax from the city and county, and we de-Bruced all non-federal grants," Searle said.blog comments powered by Disqus