OGDEN -- Mayor Matthew Godfrey's proposed $153.3 million budget for fiscal 2012 projects a nearly $9 million increase in revenues from sales tax, property taxes, a sewer rate hike and other sources.
Overall, the budget proposal is about 6 percent larger than the city's $144.5 million fiscal 2011 budget. The proposal does not provide pay raises for the city's 557 employees, but includes $640,782 to cover an anticipated 12.5 percent increase in insurance premiums.
Godfrey said in a budget letter to the city council that sales tax likely will begin to rebound in fiscal 2012 because of a WinCo Foods store that opened in April 2010 at 12th Street and Wall Avenue and a Wal-Mart Supercenter preparing for operation at 20th Street and Wall Avenue.
Increased development within The Junction complex should also boost sales tax coffers, Godfrey said.
"If not for these new developments, for which planning and investment began many years ago, the fiscal 2012 budget would be significantly different than the budget we are presenting," he said in the letter to the council.
Mark Johnson, the city's management services director, projected that sales tax revenue in fiscal 2012 will total about $13.2 million compared to $12.1 million expected to be collected this year.
In addition to more sales tax, it is anticipated that consumer water use will increase in fiscal 2012, providing an additional $950,000 in revenue, Johnson said.
Godfrey's proposal calls for a 1.8 percent increase in water, sewer, storm sewer and refuse fees to offset additional fees the Central Weber Sewer Improvement District imposed on the city to help fund construction of a $140 million upgrade and expand its wastewater treatment plant.
Refuse, sewer and storm sewer fees are projected to generate a total of about $2 million in revenue. Additional property tax revenue to the Ogden Redevelopment Agency through development at Business Depot Ogden and The Junction is expected to provide an additional $3 million, Johnson said.
The proposed budget does not call for the hiring of any additional personnel. Thirteen positions are slated for elimination.
Three positions are within the George S. Eccles Dinosaur Park, management of which is being transferred from the city to a private foundation, and four from animal services, which is now being contracted with Weber County.
Three positions each are in the Management Services Department and the Community and Economic Development Department.
Johnson declined to release the names of employees who may be laid off because the budget hasn't been finalized. The budget must be adopted by the council by June 22. The 2012 fiscal year begins July 1.