Greenwood’s City Council on Tuesday announced a fiscal year 2018-19 budget that will require no increase in the tax rate. Greenwood’s current millage rate is 50.26.
A public hearing was held in council chambers to entertain comments on the city’s proposed taxing and spending for the upcoming year, but no questions were posed by the public.
The new budget year begins Oct. 3 and ends Sept. 30, 2019. The millage rate and the assessed value of property are used to calculate tax payments. A mill is one-tenth of one cent.
Mayor Carolyn McAdams said the new $12 million budget shows a
$1 million decrease from the current year’s budget, largely because the city budgeted for and made several large purchases during the 2017-18 fiscal year.
A new fire truck cost the city $616,000, and new police cars were also large budget items. Because the city won’t face similar expenses this year, the budget reflects a smaller bottom line.
Regarding revenues, McAdams said sales tax for the upcoming fiscal year, based on collections this year, are projected to be $270,000 less than the previous year’s estimate, going down from $4.85 million to $4.58 million.
Ad valorem taxes in the city, calculated on real and personal property values by the county tax assessor, are expected to increase in the upcoming year by $96,000.
On departmental line items, all departments budgeted more for fuel this year because of price fluctuations, and the Public Works Department budgeted an extra $64,000 in anticipation of purchasing two new tractors.
McAdams and those council members present agreed that they were pleased not to require new taxes this year. Ward 7’s Carl Palmer and Ward 6’s David Jordan were not at the meeting.
“When we see that there’s an absolute need to increase services, then we will have to increase taxes,” McAdams said. But by the council’s estimates, city services as they stand are adequate for the immediate needs of the community.
Informally, the mayor and council members discussed activity in Jackson on Tuesday, specifically the special session vote in favor of instituting a state lottery. A bill passed the state House of Representatives that would authorize a lottery to fund roads and bridges.
McAdams said Greenwood could expect $509,000 from the state in the upcoming year, and for several years after, for infrastructure needs.
Ward 1 Councilman Johnny Jennings said he had previously worried that a state lottery might hurt sales tax revenues, diverting spending from taxable items to lottery tickets.
“But we’re playing anyway, just in other states,” Jennings said. “When they have that big one over in Lake Village, it’s like a family reunion for Leflore County in the parking lot.”
McAdams acknowledged new City Clerk Kim Williams for preparing budget documents for the council.
Council President Ronnie Stevenson said he was “excited about the future of Greenwood and Mississippi” on this particular day.
The council voted unanimously to levy and collect taxes within the limits of the city for the year 2018 and to adopt the 2018 tax rolls. The council also voted unanimously to do the same for the Greenwood School District for 2018.
•Contact Kathryn Eastburn at 581-7235 or keastburn@gwcommonwealth.com.
