Eureka will spend $3.1 million more than it brings in next fiscal year, largely due to some big-ticket improvements included in the 2023-2024 budget, according to the budget approved this month.
That budget calls for the city to spend $18,521,637 and bring in $15,432,050 in revenue next fiscal year, which began July 1 and ends June 30, 2024.
The city will rely on reserve funds to shore up the operational budget, according to the new budget.
“We’re spending more than last year – that’s normal,” said city finance director Barbara Flint.
The largest source of revenue for the city is the sales tax, and the city anticipates bringing in $3 million in sales tax revenue, budget documents indicate.
The city is projected to end the current fiscal year with $35,009,973 in reserve funds and the 2023-2024 fiscal year with $31,920,386 in reserves.
Mayor Sean Flower said the city continues to use the proceeds from selling the water and sewer system to Missouri American Water in 2021 for $28 million to fund road improvements and maintenance projects.
However, some of the largest projects in the city’s budget do not yet have a price tag.
According to Flint, cost estimates on the Allenton Bridge repair project, construction of the new Michael A. Wiegand Justice Center and additional flood mitigation measures will be determined later.
Funding for those projects will come from the Proposition E-Public Safety Fund, the 1/2-cent sales tax voters approved in 2018.
Already the city has agreed to spend $200,250 from those funds in the fiscal year 2023-2024, including about $100,000 on creek cleanout projects and another approximately $100,000 on preliminary planning and grading for Allen Road, according to budget documents.
Flower said the city needs approval from MODOT and two railroad companies before bidding and construction can begin on the Allenton Bridge. Final approvals are expected any day, and construction will most likely start in late fall, he said.
A $3.4 million Transportation Improvement Grant will be used to offset the costs of replacing the Allenton Bridge. The city expects to receive the grant sometime this fiscal year.
The city will use capital improvement funds to build the new government center, including administrative offices and a municipal court.
Tax Breakdown
Eureka has three taxes it uses to fund major projects and keep the city functioning.
The Park/Storm Water Sales Tax Fund comes from the 1/2-cent Storm Water/Parks sales tax and is used for operating the city’s parks, capital improvement projects and stormwater control projects.
The 1/2-cent Capital Improvement Sales Tax Fund is used for funding general capital improvements. The fund is allowed to transfer money to other funds to cover the cost of capital improvement projects.
The 1/2-cent Proposition E Sales Tax Fund is used for the construction of the Michael A. Wiegand Justice Center, the Allenton Bridge replacement and flood mitigation measures. This fund can only be used for these purposes and cannot be transferred to other funds.
Park Projects
The city will continue making improvements to the Legion and Lions Parks and expects to spend $2,393,700 in the 2023-2024 fiscal year as part of the Capital Improvement Plan. A portion of the capital improvement funds will be moved to the Park/Stormwater Control Fund for these park improvements.
The two parks are across the street from one another, on Bald Hill Road near Old Town and Hwy. 109. The renovation projects began in January of this year, with a new pavilion at Legion Park already completed and baseball fields ready for games. Lions Park will get new turf for baseball fields and a pavilion as part of the Capital Improvement Plan in the new budget.
“It will be nice to have high-quality fields,” said Flower. “The way we’re designing them, they should help drive tourism in the area and help us drive sales tax, which takes the burden off of the local people if we’ve got other people coming here and shopping.”
The city anticipates spending a total of $6,369,603 from its 1/2 cent Park and Stormwater Control Sales Tax to continue operations of the Timbers Recreation Center, park maintenance and youth sports.
The city plans to spend $1 million on citywide street rehabilitation, with an additional $60,000 used to re-stripe streets, parking lots and trails. An additional $50,000 will be spent on sidewalk repairs and replacements.
The city will spend $154,923 from the Capital Improvement Fund on new street signs.
Employment salaries
Eureka administrative staff, public works employees, youth sports employees and parks and recreation employees will receive a 6 percent pay increase.
The city has 69 full-time employees, including police officers, and an average of 70 part-time employees.
Eureka Police officers will be reclassified under a new 10-step program, with some officers receiving raises if they move up on the scale. Since some officers have topped out at their current step, they will not receive a raise without moving up a step.
The Police Department has 28 full-time police officers and four administrative staff. The payroll budget for the Police Department will be $2,462,000.
Police Chief Michael Wiegand will be paid $119,700 in 2024, up 7.61% from his salary this year, which is $111,240.05.
The payroll budget for administrative employees is $576,500. The Parks and Recreation Department will have a payroll budget of $898,000.
The Eureka Board of Aldermen voted 6-0 on June 6 to approve the 2023-2024 budget.