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City approves budget, tax rate

by | Sep 16, 2021 | Latest

Murphy City Councilmembers approved the fiscal year 2021-22 tax rate and budget at their Sept. 7 meeting.

The budget year runs from Oct. 1 to Sept. 30, 2022.

The approved budget was $44,472,286, a 7.8% decrease from the FY21 budget, officials said.

The budget includes multiple funds, including $16 mil- lion in the general fund, $12.3 million in the utility fund, $8 million in capital funds and $5 million in the debt service fund.

The general fund is the largest fund in the city budget, and the FY22 budget was based on the current ad valorem tax rate of $0.495000, which was approved in a separate item.

Officials explained in board packet information that with an increase in property values, and a lower debt rate because of the new refunding bonds, property tax revenue increased by approximately $300,000 compared to the current year. Sales taxes have increased primarily because of increased consumer spending and a recent state law change requiring sales tax remittances to be based on the point of destination rather than the point of sale. Permits and licenses revenue has decreased significantly primarily because of building permits, officials added.

For the full story, see the Sept. 9 issue or subscribe online.

By Don Munsch [email protected]

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