Denison City Council will consider a series of year‑end budget amendments on Monday, Nov. 16, after the city’s finance office reported that building‑permit revenue for the fiscal year ending Sept. 30 came in at $410,639 – a little more than half of the $775,000 originally projected.
Revenue shortfalls across the board
Finance Director Laurie Alsabbagh’s staff attributed the gap primarily to a slowdown in development activity. The shortfall was not limited to permits; water and sewer tap fees and meter charges also fell below expectations for the same reason.
Other general‑fund accounts showed similar deficits:
- Ambulance service collected $1.54 million against a $1.8 million budget.
- Grant revenue, largely from a federal SAFER firefighter staffing grant, was $1.06 million versus $1.93 million planned.
- Transfers from the hotel tax and other sources were about $367,000 below target.
- Residential trash revenue missed its goal by roughly $198,000.
In the utility fund, water sales reached $14.63 million, about $1.1 million under the $15.73 million budget. Card‑convenience fees dropped dramatically to $13,548 from a planned $350,000 after the city stopped collecting those fees directly from customers.
Where spending exceeded the plan
Several divisions ran over budget. Fleet services topped out about $435,000 over, driven by $646,267 spent on diesel fuel versus a $420,000 allocation and $191,476 on contract repairs against a $50,000 limit.
The facilities division spent $368,239 on building maintenance, roughly four times its $90,000 line item. In the utility fund, engineering and plan‑review costs rose to $619,339, well above the $250,000 budget, and electricity use at the water‑treatment plant exceeded expectations by about $105,000.
Procedural context
Under Denison’s year‑end process, formal amendments are required whenever a revenue account falls $50,000 or more short of budget, or a division overspends its total budget by $5,000 or more. The finance staff notes that these amendments do not alter the overall fund‑balance figures; the city’s operating‑fund position will be presented unchanged at the same council meeting.
Looking ahead
City officials plan to use the amendment discussion to identify ways to stabilize revenue streams and curb overspending. While the current shortfalls reflect broader economic trends affecting development, council members are expected to explore adjustments to fee structures and cost‑control measures for the upcoming fiscal year.
Denison’s residents can expect the council to provide a transparent accounting of the city’s financial health and to outline steps aimed at preserving essential services without imposing undue burdens on taxpayers.
Original reporting: DenisonWeekly.news — read the source article.