FY 2025 BUDGET BOOK - Flipbook - Page 92
requirements in alignment with City Commission goals and objectives.
The budget is prepared keeping in mind the operational requirements and capital outlays needed
to provide for the needs and growth of the City, providing anticipated sources and amounts of
revenue as well as expenditures. The City’s goal is to live within its means by keeping ongoing
operating costs at or below anticipated operating revenues. A recurring challenge that faces the
City is the ability to provide sufficient funding for responsible operations and maintenance of the
services provided and to hire and retain an excellent workforce through a competitive employee
compensation package. As the General Fund provides the funding for primary governmental
services, special attention is paid to this fund. The main financial resource for this fund is Ad Valorem
taxes, derived from property taxes based on property values throughout the City. The City strives
to diversify its revenue base, whenever possible. The Water and Sewer Utility Fund is an enterprise
fund and is operated very similar to a business. The legally enacted budget for this fund is
developed to provide funding sources for anticipated operating and capital needs.
Budget Adoption
The City’s budget is adopted by each fund at the object level through resolutions at public hearings
held during the first and last scheduled City Commission meeting each September. Upon final
adoption, the budget is in effect for the following fiscal year, with the amounts stated in the adopted
budget being appropriated to the objects and purposes named within the budget document.
Public participation in the budget process is encouraged. Prior to adoption, the City Commission
holds several public budget workshops to review the entire proposed budget and includes major issues,
programs, and capital projects to be included in the adopted budget. In addition to the workshops,
there are two public hearings in which residents can question the City Commission on the budget.
The scheduled times and locations of these meetings are advertised in accordance with Florida
Statutes.
Budget Amendments
Amendments that change the total original budget appropriation in any given fund are presented to
the City Commission for consideration and approval. Appropriations that are re-allocated within a
fund and do not change the original budget appropriation may be approved by the City Manager.
The classification detail at which expenditures may not legally exceed appropriations is at the total
fund level.
Balanced Budget
A balanced budget is a budget in which revenues are equal to expenditures so that there is no
budget deficit or surplus. The concept of a balanced budget applies to any organization that
generates operating revenues and incurs operating expenses. Although the term balanced budget
points towards a breakeven between surpluses and deficits, it can also be a budget that posts a
surplus but not a deficit. Therefore, revenues may be greater than expenses in a balanced budget,
but not vice versa.
Preparing a balanced budget helps the City avoid excessive spending and allows it to focus
resources on areas and services that require them the most. Achieving a budget surplus can provide
funds for emergencies or if the City wishes to increase spending during a recession without having
to borrow.
Truth-In-Millage (TRIM) Requirements
Chapters 200 and 218 F.S. detail the Truth in Millage (TRIM) requirements and requires the adoption
of the millage rate and budget resolution by separate votes. The process begins with the County
Property Appraiser certifying the taxable property values to the City, which are then used as a basis
for determining the millage rate for the upcoming year. The resolutions for the adoption of the
tentative millage rate and budget, and the final millage rate and budget, are ultimately certified to
the Florida Department of Revenue.
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