Landrum City Administrator Steve Wolochowicz presented a $1,582,755 budget proposal to council July 12 containing the potential for employee raises as high as five percent.
Wolochowicz stated in his memorandum that Landrum could anticipate several increases in proposed revenues. He is also optimistic after the town ended last year with a surplus.
In the initial budget proposal, Landrum anticipates an increase of $40,000 in current taxes, $11,000 from the Homestead Tax Reimbursement, $5,000 in business licenses, $12,000 in garbage fees and $15,000 from a Polk County Community Foundation reimbursement.
The city expects to lose $20,000 in hospitality tax dollars – bringing expected revenue in that area down from $120,000 to $100,000.
The fire department anticipates an increase in its revenues from $201,201 to $205,701, or an increase of $4,500.
The town’s millage rate will remain at 73.9.
Despite the expectance of higher revenues, Wolochowicz said this proposed budget actually spends less than the budget for fiscal year 2011.
Capital project expenses, for example, are budgeted at only $25,000. Last year, this line item was budgeted at $50,000, but none of those funds had been spent as of May 31.
The city will also spend $5,000 less on insurance expense risk and $4,420 less in administrative contributions and bonuses.
The city plans to spend $50,000, or half, of the hospitality tax fund.
All considered, Landrum would spend $32,130 less than last year under the proposed budget.
Another recommendation made by Wolochowicz would be to change a temporary grounds maintenance position to full-time.
“We currently have a very motivated employee in that position and I would like to ensure that this individual stays with out organization,” Wolochowicz said. “The quality and quantity of work accomplished by the streets and sanitation department is at an all-time high and I would like to ensure that it stays that way.”
The council will again discuss the budget Aug. 9 and conduct its second reading/public hearing Sept. 13. Landrum’s fiscal year runs from October 1 to Sept. 31 each year.