City projects revenue gain in fiscal '13

Working toward finalizing the city’s fiscal 2013 budget by June 30, Springfield Economic Development Director Mary Lilly Smith informed city council that city revenues are projected to increase 3.5 percent next year.

Smith said the proposed budget for the fiscal year beginning July 1 projects general revenues of $72.7 million, a bump of $2.5 million compared to fiscal 2012. About 54 percent of the general revenue fund comes from the city’s sales tax, Smith said, and receipts through April are up 8.7 percent year-to-date compared to fiscal 2011. She said, however, that payments in lieu of taxes from City Utilities have not lived up to expectations this fiscal year and information gleaned from the city’s top 100 sales tax generators were factored in to the fiscal 2013 revenue estimate.

Sales tax revenue is expected to generate $38.8 million this fiscal year and $39.1 million in fiscal 2013. In fiscal 2008, the city received $39.3 million in sales tax receipts before dipping to $35.4 million in fiscal 2010.

Smith said council is expected to receive the proposed budget April 27, followed by three May workshops with city administrators before the May 21 public hearing. Council is expected to vote on the 2013 budget June 4.