➤ Utility Taxes:

One-Half-Cent Sales Taxes:

Franchise Fees:

Water and Sewer Sales:

• Utility Usage: Assumptions regarding the level of utility usage by residents and businesses take into consideration historical consumption patterns, population growth, and current and potential economic conditions
• Rate Structures: Changes in utility rate structures, including increases or decreases in rates, are factored into revenue forecasts
• ■ A conservative revenue growth rate of 3% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Economic Trends: The assumptions for sales tax revenue are closely tied to the overall economic health of the City. Assumptions are made regarding economic growth, consumer spending and retail sales trends
• ■ Legislative Changes: Changes in sales tax rates or regulations at the State level can impact local revenue forecasts
• ■ A conservative revenue growth rate of 3% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Franchise Agreements: Assumptions depend on existing franchise agreements with utility companies, cable providers, or other entities operating within the City. Assumptions about fee structures and collection rates are made accordingly
• Business Activity: Changes in the number of businesses operating within the City and their level of activity can affect franchise fee revenues
• ■ A conservative revenue growth rate of 2% was assumed to ensure the fiscal stability and sustainability of the City's finances. This growth rate considers the current and potential economic conditions and various factors influencing revenue generation
• Usage Patterns: Assumptions about water and sewer usage are based on historical data, seasonal variations, and expected changes in consumption due to factors like population growth and weather conditions. A 4% yearly growth in estimated revenue for water and sewer sales in FY 2027/31 was applied, considering the current growth of the City the development of pending new subdivisions
• Rate Adjustments: Forecasts consider potential rate adjustments for water and sewer services, which can impact revenue generation. Currently, the City is in the process of conducting a study on water and sewer rates. In the upcoming fiscal year, the existing revenue figures will be updated to reflect the data from the rate study

See the example below: City-wide Major Revenue Sources of $1 Million or more:

Table 17:

Revenue Forecast FY 2027-31

89