Thursday 11 December 2014

Aberdeen budget passed


The City of Aberdeen adopted its 2015 budget on Wednesday.


The budget is in balance, with city reserves expected to reach about $4.8 million by the end of next year.


Additionally, some $3.4 million is set aside for working capital (representing 20 percent of expenses or 60 days of cash flow) and as a contingency reserve, and about $1.4 million will be left as “undesignated reserves.”


Taxes account for about 35 percent of the city’s revenue, and charges for services — utility rates and other fees and charges collected by the city — represent about 34 percent, according to a revenue presentation Skolrood made in October.


On Wednesday, sewer rates were increased by 2 percent, or about 69 cents per month and solid waste collection fees increased 1.5 percent or 30 cents with two bills passing their third and final reading with unanimous approval.


Second readings and public hearings were held for bills to increase the utility tax, storm drain utility tax and cable TV utility taxes, each passing to third readings.


The cable tax currently doesn’t exist and would be set at 4.5 percent.


Assuming a basic starter package for about $40 per month, the 4.5 percent increase would mean that package would cost an additional $21.60 per year. Internet services are exempt.


The budget unanimously was passed. Councilwoman Alice Phelps was absent.


Other business


• The Aberdeen Police Department was authorized to accept a grant to hire a school resource officer for the Aberdeen School District.


The grant would fund the officer for three years at $125,000, and the school district would cover a fourth year as part of an interlocal agreement.


Costs to the city would be minimal but would include uniforms, training and vehicle use.


“That’s our city’s donation,” Councilman Denny Lawrence said. “It’s well worth it to provide a safe atmosphere for our children and our school district.”


• The Tamaki Foundation provided $15,000 to the Aberdeen Police Department. The funds will be used only for the K-9 unit.


“That’s a direct savings to the general fund,” Finance Director Kathryn Skolrood said.



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