City council approves budget

Alexis Barker
NLJ News Editor
 
The Newcastle City Council approved a $7 million budget for fiscal year 2020, including $1.1 million for the Newcastle Police Department and over $700,000 for streets and alleys. 
On June 17, after a brief public hearing at which no comments were expressed on the budget, the council approved the budget for the upcoming fiscal year with only councilwoman Pam Gualtieri voting against the budget. 
According to a breakdown of the upcoming budget, which begins July 1, the city has $3,628,286 allocated in general fund requirements including the $1,191,450 for the Newcastle Police Department, $296,500 for the Newcastle Volunteer Fire Department, $773,950 for streets and alleys and $172,000 for health and welfare. 
When looking at a further breakdown of the budget, it is shown that the Newcastle Police Department’s budget for the upcoming year is slightly less than the current fiscal year budget, which was $1,228,450. Decreases in this budget are found in salaries, the cat impound facility and new equipment. 
Within the streets and alleys budget, increases were made in equipment at $30,000 or 300%  of the previous year’s budget, road materials by $10,000 or 120% of FY2019 budget, and in the decorations and street name sign line items. The total budget for streets and alleys is 95% of FY19’s budget of $812,200. 
Increases in overall budget also occurred in the cemetery budget and airport budget. The biggest decrease within the general fund budget occurred in the Newcastle recreation board budget with $30,000 being eliminated from the recreation director reimbursement line item. 
Overall, the upcoming year’s budget is 96% of FY19’s budget, totaling $3,628,286. 
Within the water enterprise account, budget increases are seen in interest expenses, meter maintenance and other engineering costs. The largest increase occurs in the other engineering line item with an increase of $32,500 or 1,400% of last year’s budget. 
The overall budget for the water account is 111% of last year’s budget, setting the budget for FY20 at $2,455,055. It was noted that water rates will increase in the upcoming year to help the water account continue to run in the black. 
The sewer department enterprise account saw increases in the lagoon maintenance and mains maintenance line items with both being over 200% of the current budget’s amount.
Overall the sewer budget for the upcoming fiscal year is set at $342,320 or 96% of the current year’s budget.  
Rates in garbage charges are also slated to increase in the upcoming year to help the garbage enterprise account continue to run in the black. The overall budget for garbage is set at $649,765 for FY 20, down slightly from FY19’s budget of $664,350. 
Within the garbage budget, the largest increases are seen in the supplies budget, up $9,000 from the current year’s budget and in the other engineering line item up $120,000 from the current year’s budget at $140,000. 
As far as revenue for the city goes, tax revenue is anticipated to be up by $65,000, bringing sales tax revenue to $715,000 for the upcoming year. State shared revenue is also anticipated to be up slightly with the total revenue listed as $1,627,000. 
Overall the general revenue for the city is anticipated to be $3,984,526 or 98% of the current year’s budgeted revenue. 
Revenue for the water service enterprise account is anticipated to total $1,112,800 or 138% of the current year’s budgeted revenue. Increases within this account are seen in water service increases, projected to be up $204,000 and infrastructure income anticipated to be up $106,000. 
The sewer enterprise account shows an anticipated revenue of $390,500, up $10,000 from the current year’s budget. 
Garbage revenue is anticipated to total $727,000, up from the $587,000 budgeted in the current year. Increases within this budget are seen in the garbage deposit with an increase of $140,000. 
Overall revenue for the city is set at $7,075,426 for FY20, up from the $7,005,097 budgeted for FY19. 

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