If estimates hold true, the City of Alexander is expected to bring in over $2 million in total revenue during 2021 from a variety of sources. While most of the revenue for the general fund is from sales taxes other sources include personal and real estate property taxes, franchise fees, permits, privilege licenses (business licenses), and a share of the state’s sales tax and fuel tax.
The total estimate of revenue for the General fund in 2021 is $2,058,483.00. The year 2020 is expected to close out with approximately $1,972,283.00. The original estimate for the General fund in the 2020 budget was $1,840,131.77.
Total expenses for the General Fund in 2021 are estimated at $1,616,628.00. The General Fund this year is expected to close out with expenses of $1,648,421.00. That would leave a surplus of around $323,862.00 to carry over into 2021.
For the most part, revenue for the various departments goes into the General Fund first and then is distributed to the other funds. The police, fire and parks and recreation departments are funded by two one-cent sales taxes, which were designated for those three departments when voters approved the taxes. The tax revenue is deposited into the General Fund by the state and then is redistributed to the funding accounts for those departments.
The city’s share of the state fuel tax, however, is deposited directly into the street fund by the state. The 2021 budget estimates that amount at $317,599.00. That would bring total revenue for the city at $2,376,082.00.
The 2021 budget for the police department estimates revenue at $552,226.00. Expenses are estimated at $548,144.00. The 2020 budget is expected to closeout at around $587,534.00 in revenue and total expenses of $579,339.00 leaving $8,195.00 to carry over into 2021.
Revenue for the fire department in 2021 is estimated at $606,076.00 while spending is expected to be around $588,027.00. By the end of 2020 total revenue is estimated at $688,522.00 and expenses are estimated at $607,245.00 leaving $81,277.00 to carry over into 2021.
In 2021 revenue for the street department is expected to be around $317,599.00 while expenses are expected to come in at $172,612.99. This year’s total revenue is estimated at $345,242.84 with expenses estimated at $325,944.00 leaving $19,298.84 to carry over into 2021.
The estimated revenue for the 2021 parks and recreation budget is $134,301.00 with expenses at $126,112.00. By the end of 2020 revenue is estimated to be $303,778.91 and expenses are set at $122,631.01 leaving $181,147.90 to carry over into 2021.
In 2021, payroll for all departments, city hall employees and elected officials is estimated at $1,326,657.74. By the end of 2020 that number is expected to be $1,241,759.63.
The revenue estimates stated for 2021 do not include any unspent revenue carried over from 2020 to 2021.
Also at the December 21 meeting;
Police Chief Robert Burnett presented city council members with an end-of-the-year police report. Besides providing a detailed list of the various types of crimes and number of occurrences for each, the report also lists the highlights and achievements for the year 2020. They are;
“Over 128 closed cases to include 481 felony charges and countless misdemeanors with nine outstanding warrants for arrests on suspects,”
“Set up and switched to electronic evidence processing system,”
“One 18-month multi-agency investigation through CI (Confidential Informant) cooperation along with the DEA (Drug Enforcement Agency) and US Marshals to take down three large drug dealers in the city. This resulted in one federal indictment and returned to prison, approximately 20 felony charges and approximately $34,000 in seized currency.”
“One asset forfeiture following a felony traffic stop resulting in the seizure of one Cadillac ATS, one Smith and Wesson Shield 45 and approximately $3,800 in seized currency.”
“Recovered over $15,000 in stolen property along with recovered firearms and vehicles.”
“Received approximately $187,500 in grant funding for payroll/overtime, new in-car computers and and system to switch to E-ticketing, PBTs (Preliminary Breath Test), radar recertifications, dash cameras and overtime to work the AR State Mini-Steps (DWI, Seat Belt, Speeding and Distracted Driving). Also received $25,000 in anonymous donation for upgraded equipment.”
Council members approved a resolution entitled “RESOLUTION TO ADOPT THE ALEXANDER POLICE DEPARTMENT’S RESPONSE TO RESISTANCE POLICY.” Police Chief Robert Burnett explained to council members the new policy covers the use of “choke holds” and “lethal force.” He said the policy is needed to meet Federal standards in order to continue to receive Federal police department grants.
Mayor Paul Mitchell reported on two incidents of vandalism at the long metal building (AKA the community center) located on the former Human Development Center property along Highway 111. Mitchell said both incidents occurred after the building was used to vote on election day, November 3. Damage included broken windows, lights, water over flowing and fire extinguishers sprayed inside the building. Because fire extinguishers use C02, which is caustic and can damage electrical fixtures and wiring, Mitchell said he hired ServPro to clean the building. The cost of cleaning was around $7,800.00, which is over the $5,000.00 limit the mayor is allowed to spend without council approval. Council members gave retroactive approval for the spending.
Legally the building is part of the lease with Pathfinders, Inc., which is responsible for maintenance. Mitchell said he will send them a bill for the cleaning and repairs. Whether they will pay is another issue. The lease was in effect when the State of Arkansas deeded the property to the City of Alexander and expires in August.
Most of the damage occurred during the first break in. An individual was caught during the second incident. His finger prints are being compared with prints taken after the first break in to see if they match.
Mayor Mitchell announced the city has received funding from the CARES Act. Passed by Congress in March 2020 this legislation was aimed at providing financial relief for individuals, businesses, state, and local governments that have been negatively impacted by the corona virus.
Mitchell said department heads were “kept at home” and only used “to pull back in” if they were needed. He noted that Alexander has been able to keep the various departments staffed.
The city received $114,931.18 in CARES Act funding. Mitchell explained how originally the requirements to qualify for the funding were so stringent Alexander didn’t have the staff to put in the effort needed to qualify. Because the state had to have the money spent by December 31, the requirements were loosened enough to allow smaller governmental bodies to qualify.
“It was still a lot of work though,” he said.
At the suggestion of the mayor the city council voted to leave the CARES Act money in the General Fund.
City Attorney Victoria Leigh reported on the progress concerning property, which is occupied by the eastern portion of the city park. That area of the park, containing the gazebo, fountain and most of the parking lot, is now being claimed by the property’s owner; David W. Jacks. City officials thought the property had been donated to the city prior to the current administration.
Leigh told council members the city provided Jacks’s attorney with requested documentation showing the cost of the improvements. She said the main legal defense for the city is the fact that Jacks never questioned why the city was building on his property.
Council member Dan Church asked about using eminent domain. Leigh said the fact he never questioned the improvements is a better legal defense.
As an explanation she said, “If you look out your window and someone is building in your yard and it’s ABC Landscaping, and you know you didn’t hire ABC Landscaping to come in your yard, the law provides that obligation for you to go out there and say ‘hey, Mr. ABC I didn’t hire you I think you’re at the wrong house. You need to go to the neighbor’s house.’”
She told council members the city has three options. One; the city could allow Jacks to keep his property as-is and forfeit the cost of the improvements. Two; the city could file a lawsuit against Jacks for the cost of improvements, since he never objected to the improvements being made. Or three; the city can offer to buy the property based on its fair market value without the improvements.
Leigh said the fair market value of similar properties of size, type and located in a flood plain in the area are selling between $5,600.00 to $6,200.00. She said an offer of $7,000.00 to buy the property has been made to Jacks, but there has not been a response as yet. Leigh noted it is the holiday season, which may be responsible for the slow response.
The next regular meeting of the Alexander City Council is Monday, January 25 at 6:00 PM in the courtroom at city hall. The public is invited to attend.
