The Chesterfield City Council unanimously approved the city’s 2021 budget at its meeting on Nov. 16.
“Staff prepared a conservative budget with reduced revenues as a result of the pandemic, totaling $37,569,253, which is $1.5 million below the 2020 adopted budget for the four major funds,” Finance Director Jeannette Kelly explained during her presentation to the council.
The major funds are Capital Improvements, Parks, General and Public Safety.
In the Capital Improvement Fund, which obtains revenue from a 1/2-cent sales tax of which 15% is shared with the county “tax pool,” revenue is budgeted at $5.4 million, down $256,582 from the 2020 adopted budget.
Expenditures for 2021 for the four funds are projected at $35,930,795, leaving a net revenue of $1,638,458.
“Each department reviewed their respective budgets and delayed expenditures where possible, due to the anticipated reduction in revenue,” Kelly said.
The budget includes estimated compensation for proposed step increases for Fraternal Order of Police (FOP) officers and sergeants (still in negotiations) and 2.5% for the non-FOP merit pool effective July 1.
in regard to the Parks Fund, one parks maintenance worker has been added to the 2021 budget to maintain Logan Park, Kelly said.
The General Fund reserve balance this year includes anticipated CARES funding of $3.265 million, plus a $3.9 million cash contribution for the land acquisition near Central Park, and refunding of the Certificate of Participation series 2014 debt.
“With the estimated reduced revenues and expenditures due to the pandemic, we anticipate ending December 2021 with a fund balance of $9,974,930,” Kelly said.
Of that, $642,071 will be used for addressing the emerald ash borer and snow removal reimbursement programs, leaving $1.8 million in reserves above the 40% policy threshold.