2018-2019 Adopted BudgetOFFICIAL BUDGET
FISCAL YEAR 2018–2019TEXAS
www.SangerTexas.org www.SangerTXEDC.org
The City of Sanger, Texas 2018‐2019 Annual Budget 2
ON THE COVER
Built in 1920 and donated to the City in 1987, the
Sanger Presbyterian Church has a rich history. Once
used as a library, the building was retired in 1995 and
sat in disrepair for 20 years. The building was fully
renovated in 2016 thanks to the Sanger Area
Historical Society and the City. A jewel of Sanger, this
beautiful building now serves as an event venue.
The City of Sanger, Texas 2018‐2019 Annual Budget 3
This budget will raise more revenue from property taxes than last year's
budget by $493,671 (12.70%), and of that amount $182,034 is tax
revenue to be raised from new property added to the tax roll this year.
CITY COUNCIL VOTE
The members of the governing body voted on the budget as follows:
FOR: Lee Allison, Councilmember Place 1
Gary Bilyeu, Councilmember Place 2
Allen Chick, Councilmember Place 4
David Clark, Councilmember Place 5
AGAINST: None
ABSENT: Thomas Muir, Mayor (only votes in case of a tie)
William Boutwell, Councilmember Place 3
PROPERTY TAX RATE COMPARISON 2017-2018 2018-2019
Adopted Property Tax Rate $0.679100 / $100 $0.679100/ $100
Effective Tax Rate $0.642543 / $100 $0.639033 / $100
Effective Maintenance & Operations Tax Rate $0.563531 / $100 $0.571004 / $100
Rollback Tax Rate $0.679100 / $100 $0.680797 / $100
Debt Rate $0.115569 / $100 $0.108096 / $100
Total debt obligation for the City of Sanger, Texas secured by property taxes: $4,782.992.
Fiscal Year 2019 Principal and Interest Requirements for Debt Service: $894,697.
The City of Sanger, Texas 2018‐2019 Annual Budget 4
DISTINGUISHED BUDGET PRESENTATION AWARD
The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget
Presentation Award to the City of Sanger, Texas for the Annual Budget beginning October 1, 2017. In order to receive this
award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an
operations guide, as a financial plan, and as a communications device.
This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements,
and we are submitting it to GFOA to determine its eligibility for another award.
The City of Sanger, Texas 2018‐2019 Annual Budget 5
CITY OF SANGER, TEXAS
ANNUAL BUDGET
OCTOBER 1, 2018 – SEPTEMBER 30, 2019
SUBMITTED TO
THE MAYOR AND CITY COUNCIL
SEPTEMBER 17, 2018
THOMAS MUIR
Mayor
LEE ALLISON
Council Member, Place 1
GARY BILYEU
Council Member, Place 2
WILLIAM BOUTWELL
Council Member, Place 3
ALLEN CHICK
Council Member, Place 4
DAVID CLARK
Council Member, Place 5
BUDGET PREPARED BY
ALINA CIOCAN
City Manager
CLAYTON GRAY
Finance Director
The City of Sanger, Texas 2018‐2019 Annual Budget 6
The City of Sanger, Texas 2018‐2019 Annual Budget 7
TABLE OF CONTENTS
INTRODUCTION ............................................................................................................................................ 11
Budget Message ............................................................................................................................ 13
Strategic Planning for Results ....................................................................................................... 26
Comprehensive Plan ..................................................................................................................... 27
Organizational Values .................................................................................................................... 28
Organization Chart ......................................................................................................................... 29
Authorized Personnel .................................................................................................................... 30
Budget Calendar ............................................................................................................................ 31
The Budget Process ...................................................................................................................... 32
List of Funds .................................................................................................................................. 33
Fund Relationship with Functional Areas ....................................................................................... 34
About Sanger ................................................................................................................................. 35
Ordinance Adopting the Annual Budget ......................................................................................... 39
Ordinance Adopting the Property Tax Rate ................................................................................... 41
BUDGET SUMMARY ...................................................................................................................................... 43
2018-2019 Budget at a Glance Graphics ....................................................................................... 44
2018-2019 Budget by Fund Graphics ............................................................................................ 46
Revenues, Expenditures & Changes in Fund Balance .................................................................. 48
Combined Funds Budget Summary ............................................................................................... 51
Combined Summary of Revenues, Expenditures and Changes to Fund Balance ......................... 52
GENERAL FUND ............................................................................................................................................ 55
Overview ........................................................................................................................................ 56
Budget Summary ........................................................................................................................... 57
Revenues ....................................................................................................................................... 59
Departmental Budgets
Police ................................................................................................................................ 63
Animal Control .................................................................................................................. 66
Fire .................................................................................................................................... 68
Municipal Court ................................................................................................................. 71
Development Services ...................................................................................................... 74
Streets ............................................................................................................................... 77
Parks ................................................................................................................................. 80
Recreation ......................................................................................................................... 83
Library ............................................................................................................................... 85
Solid Waste ....................................................................................................................... 88
Transfers to Other Funds .................................................................................................. 90
Non-Departmental Expenditures ....................................................................................... 92
The City of Sanger, Texas 2018‐2019 Annual Budget 8
TABLE OF CONTENTS (continued)
DEBT SERVICE FUND .................................................................................................................................... 95
Overview ........................................................................................................................................ 96
Budget Summary ........................................................................................................................... 97
Expenditures .................................................................................................................................. 99
Debt Service Requirements ......................................................................................................... 100
ENTERPRISE FUND ..................................................................................................................................... 101
Overview ...................................................................................................................................... 102
Budget Summary ......................................................................................................................... 103
Revenues ..................................................................................................................................... 105
Departmental Budgets
Water ............................................................................................................................... 106
Waste Water ................................................................................................................... 109
Electric ............................................................................................................................ 112
Enterprise Fund Debt Service ......................................................................................... 116
Transfers to Other Funds ................................................................................................ 118
Non-Departmental ........................................................................................................... 120
INTERNAL SERVICE FUND .......................................................................................................................... 123
Introduction .................................................................................................................................. 124
Budget Summary ......................................................................................................................... 125
Departmental Budgets
City Council ..................................................................................................................... 127
Administration ................................................................................................................. 129
Public Works Administration ............................................................................................ 132
Finance Department ........................................................................................................ 135
Fleet Services ................................................................................................................. 138
Facilities .......................................................................................................................... 141
Non-Departmental ........................................................................................................... 143
4A CORPORATION FUND ............................................................................................................................ 145
Overview ...................................................................................................................................... 146
Budget Summary ......................................................................................................................... 147
Revenues ..................................................................................................................................... 149
Economic Development Expenditures ......................................................................................... 150
4B CORPORATION FUND ............................................................................................................................ 153
Overview ...................................................................................................................................... 154
Budget Summary ......................................................................................................................... 155
Revenues ..................................................................................................................................... 157
4B Expenditures .......................................................................................................................... 158
The City of Sanger, Texas 2018‐2019 Annual Budget 9
TABLE OF CONTENTS (continued)
SPECIAL REVENUE FUNDS ......................................................................................................................... 159
Overview ...................................................................................................................................... 160
Budget Summary ......................................................................................................................... 161
Combined Schedule of Special Revenue Funds ......................................................................... 162
Hotel/Motel Tax Fund .................................................................................................................. 163
Beautification Fund ...................................................................................................................... 164
Library Restricted Fund ............................................................................................................... 165
Parkland Dedication Fund ........................................................................................................... 166
Roadway Impact Fee Fund .......................................................................................................... 167
Court Security Fund ..................................................................................................................... 168
Court Technology Fund ............................................................................................................... 169
Child Safety Fund ........................................................................................................................ 170
Police Donations Fund ................................................................................................................. 171
Fire Donations Fund .................................................................................................................... 172
Park Donations Fund ................................................................................................................... 173
Library Donations Fund ............................................................................................................... 174
CAPITAL PROJECTS FUNDS AND CAPITAL IMPROVEMENT PLAN ................................................................ 175
Overview ...................................................................................................................................... 176
Budget Summary ......................................................................................................................... 177
Capital Projects Fund .................................................................................................................. 178
Enterprise Capital Projects Fund ................................................................................................. 179
Capital Improvement Plan ........................................................................................................... 180
Capital Projects Summary 2017-2023 ......................................................................................... 184
APPENDIX ................................................................................................................................................... 187
General Fund Five Year Financial Projection .............................................................................. 188
Approved Departmental Capital Equipment Requests................................................................. 190
Financial Management Policy ...................................................................................................... 197
Investment Policy ......................................................................................................................... 204
Debt Service Schedules .............................................................................................................. 209
City of Sanger Monthly Report for September 2018 .................................................................... 214
Glossary of Terms ....................................................................................................................... 244
The City of Sanger, Texas 2018‐2019 Annual Budget 10
The City of Sanger, Texas 2018‐2019 Annual Budget 11
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12 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 13
BUDGET MESSAGE
Introduction
We are pleased to present the adopted FY 2018-2019 Budget for the City of Sanger. In the last three years, the city
has experienced steady growth. In FY 2017 we processed a record number of residential building permits while in FY
2018 we have seen more proposed development projects going through the permitting process than ever before. With
growth comes additional challenges and our job is to balance the services our citizens want while looking ahead to
ensure the sustainability of our community and address future needs. Our commitment is to achieving this balance
while exercising responsible fiscal management.
The City’s budget is the most important working policy and planning tool used by the City Council and staff to provide
quality services to the residents of Sanger as established by City Council. Municipal budgets are always challenging.
Resources are limited and it makes it difficult to address every problem and every concern. The strength of the economy
is reflected in our general fund revenues. However, budget planning should always be prudent to take into account.
The intent of this budget message is to explain both the structure of the budget and the atmosphere in which it was
created. Following the same format as previous years, the budget message outlines the highlights of this year’s budget.
It also discusses the City’s Strengths, Weaknesses, Opportunities and Threats (SWOT analysis) for the upcoming year.
Finally, it discusses the structure of the budget, where revenues come from and where the money goes. The budget
message should provide the reader insight into municipal government finances and make the raw numbers more
understandable.
2019 will see the continuance of an aggressive effort to address our deteriorating infrastructure and expand utilities to
support commercial and industrial growth. These activities are detailed in the Ten-Year Capital Plan included in this
budget. This will require strong leadership from the Mayor and Council. The result will be a community that continues
to grow and improve the quality of life for its citizens.
Current Conditions
The housing market continues to remain strong, and demand is still high due to the shortage of housing in the area.
Additional residents add to several revenue streams but also increase the need for services, which is often times
offsetting, negating any revenue gains. Sales tax in 2018 was relatively flat compared to 2017, and we are projecting
General Fund Sales Tax Revenues of $900,000 for 2019. We do expect Sanger to continue to attract new businesses
and that Sales Tax Revenues will continue to grow in the foreseeable future.
$-
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
General Fund Sales Tax Ten Year History
14 The City of Sanger, Texas 2018‐2019 Annual Budget
New residential and commercial construction and increased valuations are reflected in an anticipated increase in the
property tax base. We anticipate approximately an 10% increase in the property tax base in 2018. As always, we take
a conservative approach to budgeting revenues.
We continue to work on the Capital projects scheduled for this year, and many of these will carry over into next year.
The reconstruction of McReynolds Road is nearing completion and should wrap up in the next few months.
Construction on the rehabilitation of the wastewater treatment plant continues to be a main focus. Also, in FY 2018-
2018 we will start the engineering work in relation to relocating utilities due to the widening of FM 455 (TxDOT project).
Utility Revenues are performing well and we expect combined water, wastewater and electric revenues to increase
approximately $900,000 over 2017.
FY 2019 Budget Highlights
Capital Equipment
The proposed budget includes the following Capital Equipment.
Department Category Description Amount
Police Computer Hardware Server Storage Upgrade 77,050$
Police Vehicles 2 Police Patrol Vehicles 100,772$
Police Equipment 5 Tazers 9,000$
Fire Equipment MSA Carbon Fiber SCBA Bottle 28,400$
Parks Park Improvements Concrete sidewalks & curbs @ Downtown Park 37,000$
Water Equipment Painting of Water Tower* 104,600$
Finance Computer Hardware Automated Payment Kiosk* 52,000$
*Carried over from prior year budget
To request departmental capital expenditures, City Depatment Directors complete a request form for each requested
expenditure. These requests and supporting documentation are reviewed during individual and group budget planning
meetings. Review of the items includes discussion of any available alternatives to the requested items.
All capital requests are reviewed to determine if they are in sync with City Council goals and the City’s strategic plan.
The original requests submitted that have been approved for inclusion in the current budget are included in the
appendix section of this document.
Expenditures by Classification
As you can see in the chart below, overall expenditures are projected to decrease by 2.9%. We have been very
conservative in our budgeting and have looked at the history of each individual line item when planning next year’s
expenditures. The largest dollar increases are in Contract Services (increasing $367,638) and Salaries (increasing
$336,210). Capital expenses are decreasing 23.4% primarily due to the fact that last year included large expenditures
on the McReynolds Road project and wastewater treatment plant rehabilitation.
The City of Sanger, Texas 2018‐2019 Annual Budget 15
Expenditures by Classification 2017 Actual 2018 Budget 2019 Budget Difference % Change
Salaries & Benefits 4,995,023$ 5,905,158$ 6,241,368$ 336,210$ 5.7%
Supplies & Materials 470,784 608,706 621,429 12,723$ 2.1%
Maintenance & Operations 6,998,758 7,105,352 7,195,689 90,337$ 1.3%
Contract Services 1,567,271 1,650,186 2,017,824 367,638$ 22.3%
Utilities 458,274 418,550 526,150 107,600$ 25.7%
Capital Expenses 6,838,127 6,736,054 5,157,822 (1,578,232)$ -23.4%
Debt Service 2,282,628 2,602,862 2,608,905 6,043$ 0.2%
Other Department Expense 45,348 49,126 117,916 68,790$ 140.0%
Transfers 3,856,934 3,671,886 3,430,637 (241,249)$ -6.6%
Total 27,513,147$ 28,747,880$ 27,917,740$ (830,140)$ -2.9%
Internal Service Fund
Some departments have responsibilities in both the General Fund and Enterprise Fund. To increase transparency, and
assist operational efficiency, we have placed those departments in an Internal Service Fund (ISF). This allows us to
present a single budget for each department better reflecting that department’s true budget. It also streamlines the
purchasing process. For accounting purposes, these departments will still be allocated to the funds at year end so that
each fund’s true cost can be reflected in the audit.
Personnel
I am recommending a 3% raise for employees again this year. In the current economic climate, it is imperative that we
stay competitive on wages and benefits to keep from losing good employees to other cities.
Staffing levels will remain constant in the new year with the exception of an additional firefighter position. Our Fire
Department has applied for a grant that would pay 75% of the personnel expenses to add four new firefighter positions
to the department. It is unknown if and when the grant will be approved. This budget includes $191,877 as “Grant
Funded Personnel” expense in the Fire Department and $191,877 as “Fire Grant Funding” General Fund revenue. If
the grant is received, the City will hire four firefighters; if the grant is not received, the City will only hire one additional
firefighter.
Operating Expenses
We do not directly control many of our operating expenses like health care costs and the price of fuel. Absorbing these
costs can leave very little extra money left for the expansion of services. Any proposed increases in operating costs
must be accompanied by written justification from the department head. All of the department heads have done a good
job in their proposed budgets of keeping operating expenses in check. One big unknown this year is health insurance
costs. We will not know these numbers until late summer. Because we allocate a set amount to each employee for
insurance benefits, this will not impact the proposed budget.
Capital Projects
Capital projects are discussed in detail in the Capital Improvement Plan included in the overall budget. This year
capital projects continuing will include reconstruction and resurfacing of McReynolds Road in conjunction with Denton
County, rehabilitating the wastewater treatment plant and engineering work related to the relocation of utilities along
FM 455 .
16 The City of Sanger, Texas 2018‐2019 Annual Budget
Reserves
The Council passed a resolution that set a goal of increasing emergency reserves to $2,000,000. We realized that
goal at the end of the 2014 Budget Year. The resolution also created a “Storm Reserve Fund”. This fund is funded by
2% of electric utility revenue and is intended to be used in the event of extensive storm damage to the City’s
infrastructure. Total reserves at the end of 2018 will be close to $3,000,000. By the end of 2019, the City should have
exceeded $1,000,000 in each of the three reserve categories.
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
$1,000,000
$1,100,000
2014 2015 2016 2017 2018
Contingency Reserve Funds Five Year History
General Fund Enterprise Fund Storm Reserve Fund
Summary
While there are some structural changes in the budget, operationally there will be few changes. The staff has prepared
a proposed budget with cautious optimism for 2019 that addresses both our short term and long-term needs. As
always, we will closely monitor both revenues and expenses throughout the year and adjust accordingly as conditions
dictate.
SWOT Analysis
A SWOT analysis is a look at the City’s Strengths, Weaknesses, Opportunities and Threats (SWOT). It is intended to
give the reader a strategic perspective of current and future issues. These issues have an effect on both revenues
and expenditures.
Strengths
The local economy remains strong as indicated by the increase in construction and low unemployment. The area
continues to see a large influx of new residents each year and this trend is expected to continue for the foreseeable
future. Sanger’s location is one of its greatest strengths and something we aggressively market.
Rail and Interstate access and developable industrial land also top the list of Sanger’s strengths. Commercial interest
in the industrial property has picked up in the last year. We continue to proactively recruit retailers and other business.
We are also extending utilities along the east side of Interstate 35 to entice new businesses and industry to the City.
Another asset is the quality of life enjoyed by the citizens of Sanger. Sanger residents have access to all of the
amenities of the metroplex while enjoying life in a quiet, small town atmosphere. Access to Lake Ray Roberts is also
The City of Sanger, Texas 2018‐2019 Annual Budget 17
a quality of life asset and an economic boost for Sanger. The new sports park has been a tremendous quality of life
improvement for our citizens as well. It is well used and has been well received by the citizens. It has also been a
tremendous advertising tool for Sanger. In 2014, we added a splash park to replace our obsolete swimming pool. This
is also a quality of life improvement for our citizens to enjoy. This year the 4B board funding allowed the installation
of Shade structures to cover the bleachers at PorterPark..
Sanger Electric is another strength enjoyed by the City of Sanger. Sanger Electric generated almost $8,000,000 in
gross revenue last year. This revenue not only supports the Enterprise Fund but the General Fund, and Storm
Recovery Fund as well. Without this revenue, property taxes and other utility fees would need to be much higher.
Sanger also enjoys having both a 4A and 4B economic development board. Each of these boards generates
approximately $400,000 annually in revenue. These monies have allowed Sanger to compete economically and make
the quality of life improvements as mentioned above. 4B funds are currently being used to pay for the debt service on
the Porter Sports Complex and other projects. Emergency reserve funds are also a strength. Eventually, every city
faces some type of disaster. Be it a tornado, flood, ice storm or another disaster two things are certain; the city will
need money for the recovery efforts, and traditional revenue sources will be negatively impacted at the same time. By
the end of the 2018 fiscal year the city will have close to $3,000,000 in Reserve Funds to bridge the gap caused by a
disaster. Having these funds on hand will help us recover as quickly as possible without destroying us financially.
Weaknesses
To a large extent, cities in Texas are dependent on property taxes to fund their general revenue operations. In Sanger,
approximately 46% of general fund operating revenues come from property tax. The weakness here is that over half
of the market value of property in Sanger comes from residential improvements. Demand for service is much higher
from residential properties than from commercial properties. This means that, when averaged out, residences rarely
pay the full amount in property tax for the services they receive from the City. Commercial properties, however, typically
generate more property tax than they require in services. Growing our commercial property tax base is essential to
providing quality service to our customers while limiting the property tax burden on our residents. Recruiting more
industrial and commercial development continues to be a priority.
56%23%
5%
16%
Property Tax Values 2018
Residential Commercial Agriculture Personal Property
Another weakness is median home prices in Sanger. The median home price in Denton County is $287,200. The
median home price in Sanger is $172,000. This results in a much lower tax income per property than in other areas.
18 The City of Sanger, Texas 2018‐2019 Annual Budget
We need to diversify our housing mix to include houses in higher price ranges that generate higher property taxes.
This will also help alleviate the tax burden on families with lower incomes and those with fixed incomes. The Council
has established benchmarks that are helping to alleviate this weakness. As a result, we are seeing our average
valuation increase. We will continue to proactively encourage this trend at the staff and Council levels to eliminate this
weakness.
Another weakness that stifles growth is the fact that as the city limit expands, we add areas that are not in our water
supply CCN. Because the water supply corporation that serves these areas does not provide fire protection,
development is severely limited. Recent legislation has alleviated this to some extent by providing a mechanism to
transfer the CCN. However, the issue still remains a hindrance to growth due to the costs associated with the transfer.
Opportunities
Industrial Development
As mentioned under strengths, Sanger is uniquely located to service both North Texas and Southern Oklahoma and
has hundreds of acres of developable land with both interstate highway and rail access. Not only are these properties
being marketed by the land owners but the City is also marketing these properties through the Greater Dallas Chamber
of Commerce. Sanger must capitalize on these industrial prospects and aggressively market its strengths. To do this
will require additional investment in infrastructure to ensure that industrial sites are “shovel ready” when companies are
ready to move. To that end, we continue to extend water and wastewater lines to potential industrial sites along I35 to
entice industrial development. We are also working with private developers to develop shovel-ready industrial parks
to spur industrial growth.
Residential Development
There were 111 new home starts in Fiscal Year 2017, which was the most since 2006. There were 87 new home starts
in Fiscal Year 2018. Over 800 new residential lots are in various stages of development. Staff and Council have been
encouraging a greater mix in housing and we are starting to see our efforts pay off. Homes in higher price ranges
generate higher property taxes but typically require the same amount of services as homes of lesser appraised value.
This allows the City to provide services at a lower tax rate, saving everyone on their property taxes. Currently, the
average home value in Sanger is approximately $172,000. At that value, a home will generate approximately $1156
in City property tax each year. In comparison, a $300,000 home generates $2040 at the same tax rate. Simply put,
higher priced homes translate into lower property taxes and increased services for everyone.
Commercial Development
Commercial development will follow residential development. Sanger is experiencing some commercial growth and
should see more as the area’s population increases. The good news is that Sanger has plenty of developable
commercial property. We have invested heavily in bring utilities to these sites so that they are ready for development.
The City must continue to promote commercial development, especially development that generates both property and
sales tax.
Threats
One threat that bears close watch is the increased cost of health insurance. We will not know until late in the budget
process if we will face an increase this year or not but an increase is highly likely. Many aspects of healthcare reform
continue to drive prices higher. These new requirements will raise the cost of providing health insurance for both the
City and its employees.
The City of Sanger, Texas 2018‐2019 Annual Budget 19
Another significant threat is action taken by the State Legislature. Cities will take multiple hits this year as the State
reduces State funding for programs, keeps more revenue for themselves and passes new unfunded mandates that will
cost the cities money to implement. In their quest to balance the budget without raising taxes, they are significantly
impacting budgets and services at the local level. The legislature went even further this session and introduced multiple
bills that limit local control over a wide range of things. Some of these bills, if passed, could severely hamper our ability
to provide current service levels to our citizens.
A general downturn in the economy is another potential threat, while the local economy is booming, we are starting to
see some indicators of a slowdown. It is imperative that we monitor it closely and stay ahead of any downturn.
Understanding the Municipal Budget
This section is intended to give the reader an overview of how the budget works. Municipal budgets are governed by
Federal and State Statutes and local regulations. The intent here is not to explain every requirement for municipal
budgeting but to discuss generally how the budget works.
The City operates six major funds. They are the General Fund, Enterprise Fund, 4A Economic Development Fund, 4B
Economic Development Fund, Debt Service Fund and Capital Improvement Fund. These funds are explained in detail
below. The City’s fiscal year runs from October 1st through September 30th each year. The budget process begins in
the spring of each year internally. Budget workshops are held during the summer of each year with the City Council
and economic development boards. Public hearings are also held on the budget. The budget must be approved and
next year’s property tax rate set before October 1st each year (see Timetable for Adopting the Budget). When the
economy is volatile, such a lengthy process can lead to financial issues down the road. For example, a road project
that is scheduled to begin in the summer would be estimated in the spring of the previous year, over a year earlier.
Due to market volatility, the actual cost could be significantly higher or lower than estimated. This can occur frequently
in government and is usually not understood by the public.
To a great extent the City works on a pay as you go basis. Revenues must be sufficient to cover expenses. Sometimes
this can create some short-term issues because of the timing of revenues. For example, the largest revenue stream
in the General Fund is property taxes. However, we do not receive the bulk of these funds until the second quarter of
the fiscal year (January – March). This means that other revenues must be used to cover expenses in the first quarter
and that discretionary expenses (like buying new vehicles) are usually deferred until after the first quarter.
Because the City cannot spend money it does not have, it must find an alternative method of financing large
infrastructure projects. Replacing or adding new roadways, water lines, sewer lines and drainage improvements are
very expensive. After paying for operations, most cities do not have sufficient funds left over to pay for these
improvements as they are done. Therefore, cities sell municipal bonds to pay for these improvements up front. The
bonds are then paid off over a period of time, spreading the expense over a number of years. The City must pledge
either property tax or some other revenue like utility fees toward repaying the bonds. The downside is that these
pledged funds cannot be used for other purposes in future years. This means that long-term debt must be managed
and controlled so that necessary improvements are made without hamstringing future budgets.
Another important point is that revenue numbers in the budget are estimates of what we think will be collected next
year. The monies you see in revenue are not sitting in the bank October 1st waiting to be used. If revenues do not
meet projections, then expenditures must be curtailed to meet those shortfalls. If revenues exceed projections, then
excess fund balances at the end of the year can be used to build up reserves, do capital projects or supplant next
year’s revenues.
20 The City of Sanger, Texas 2018‐2019 Annual Budget
Understanding Property Tax
Property Taxes are historically the primary funding source for General Fund operations. The property tax calculation
process can be very complicated. Having a basic understanding of how it is calculated and the rules involved is
essential in making sound decisions on the property tax rate. Because of the way the rate is calculated, decisions
made about the rate this year will impact future year’s budgets as well.
Property tax valuations run more than a year behind. For example, at the beginning of each year, the Tax Assessors
office determines the taxable value of property for the year before. They then send notice to property owners of the
assessed value of their property. Property owners then have an opportunity to protest that value if they feel it is unfair.
The County Tax Assessors office hears the disputes and then certifies the Total Net Taxable Valuation for the City
sometime around the end of July. The City then sets the rate for the upcoming year with the taxes due in January.
Therefore, the taxes collected in January of 2019 are based on property values determined for 2017 and certified in
2018. This is why increases or decreases in property tax collections lag behind overall increases or decreases in
property values.
The property tax rate is made up of two components; the Interest and Sinking (I&S) rate and the Maintenance and
Operation (M&O) rate. The I&S rate is the rate necessary to generate enough revenue to service the debt on bonds
pledged against the property tax. The M&O rate is the portion of the property tax used for day to day operations of
General Fund departments. The I&S rate is set by the Assessor’s office based on the net taxable valuation and the
amount of debt. (Debt/Valuation= I&S tax rate). The City does not determine this rate, although it is included in the
overall rate set by the city.
Two key rules apply when determining the tax rate. The first is the Effective Rate. The Effective Rate is the rate that,
based on this year’s valuation, will service the debt (I&S rate) and raise the same amount of revenue as was raised
last year for M&O. The Effective Rate may be higher or lower than the year before depending on a decrease or
increase in the total valuation and increase or decrease in debt service.
The second term is the Rollback Rate. To oversimplify, if a City sets the tax rate so that it will generate more than
108% of the revenues generated last year, it is subject to the filing of a petition by the voters to send the tax rate to an
election. If the City stays under 108%, it cannot be challenged by petition.
When a City sets the tax rate for the year, it is really determining the M&O rate since the I&S rate is a function of taxable
value and debt. This is important for a number of reasons. First, any rate set below the Effective Rate means a
decrease in revenues. This decrease in revenue comes 100% from M&O revenue. Second, if total valuation falls (as
happened in 2010) and debt also decreases, the Effective Rate will be higher than the Rollback Rate. This means that
to raise the same amount of operating funds in 2010; we would have had to exceed the Rollback Rate. While this is a
rare occurrence for a growing City, it drives home the fact that setting the tax rate needs to be based on a number of
factors considered together.
Tax rates can vary widely between cities. For example, there are 88 Cities in Texas with a population between 5,000
and 10,000. Property taxes range from $0.1468/$100 to $0.957898/$100 in those cities. The maximum a home rule
city can charge is $2.50/$100. Net Taxable Valuations also vary widely and are the primary factor in determining
what rate a city needs to charge to pay for debt and operations. Two examples help to clarify this point. The first is
Highland Park with a net taxable valuation of over 4.5 Billion. Highland Park’s tax rate is only $0.22/100, but it
generates over $13,000,000 a year in revenue. On the other end of the spectrum is the city of Mathis with a tax rate
The City of Sanger, Texas 2018‐2019 Annual Budget 21
of $1.0117/1$100. Mathis’ net taxable valuation generates revenue of $674,298. So, even though Mathis’ rate is
over four times higher than Highland Park’s, it generates close to one twentieth of the revenue.
I do not suggest any increase lightly and in fact, would like to see us lower the tax rate over time. However, until we
start growing our commercial property tax base, this will be difficult to achieve. The key is growing our total net taxable
value without adding a greater burden on services than what we receive in additional revenue. Again, this will require
adding commercial property to the tax rolls. As stated earlier, new residential properties, while increasing the tax role,
also increase service demand and are usually break even at best.
General Fund
The General Fund is the fund used to finance the operations of general government. The General Fund includes Public
Safety, a portion of Public Works, Community Services, Sanitation, and a portion of Administrative and Support
Services. Public Safety includes; Police, Municipal Court, Animal Control, Code Enforcement, Fire and Ambulance
departments. Sanitation is solid waste (Sanitation is contracted out to a third-party operator). Community Services
include; Development Services and the Library. The Park and Recreation and Street departments are shown on their
own to more clearly show the portion of the general fund spent on these departments. Internal Services include
Administration, Facilities Maintenance, Finance, Fleet Maintenance and Human Resources as well as budgeted
transfers to other funds.
Police and Animal
Control
23%
Fire and Ambulance
20%
Municipal Court
3%
Development
Services
5%
Streets
10%Parks
8%Recreation
1%
Library
4%
Solid Waste
10%Pay Plan
Implementation
0%
Internal Service
16%
General Fund Expenditures 2018-2019
General Fund revenues come from a myriad of sources Including property tax, sales tax, court fees, Fire and EMS
revenues and franchise fees. By far, the largest revenue stream is property tax. Due to growth and appreciation of
property values, Sanger has enjoyed increasing property taxes over the last twelve years. In 2018 over $26,000,000
in new property was added to the tax rolls.
Enterprise Fund
The Enterprise Fund is made up of utility departments including Water, Wastewater, and Electric. Enterprise utilities
are intended to generate more revenue than is needed for operations. This excess revenue is used to pay for
infrastructure improvements and support the General Fund to defer higher property taxes. Not only does the Electric
22 The City of Sanger, Texas 2018‐2019 Annual Budget
Utility generate the bulk of gross revenues, but it also produces the majority of excess revenues. In fact, after adding
capital costs to operating costs the Water and Wastewater Utility barely break even. Fortunately, we have locked in
the rate we pay for wholesale electric through December of 2023, so no significant increases in Electric rates are
anticipated.
One increase we have to absorb in the electric utility is the increase in transmission and congestion costs we pay. This
cost has risen by over 60% in the last three years and continues to rise. These costs are regulated by the Electric
Reliability Council of Texas (ERCOT) and are used partially to help pay for new transmission lines from West Texas to
other parts of the State.
This past year, the City engaged NewGen Strategies & Solutions, an independent consulting firm to make
recommendations for rates for the next five years. On May 21, 2018, NewGen presented their findings and
recommendations to City Council. Council responded to the recommendations by making adjustments to utility billing
rates and plans to follow NewGen’s recommendations for the coming years.
Expenditures in the Enterprise Fund are overwhelmingly spent on Public Works as they should be. Expenditures
include daily operations of the utilities, capital improvements, and debt service on bonds for capital improvements
Internal Service Fund
The internal service fund includes departments with responsibilities in both the General and Enterprise Funds. The
Internal Service Fund allows us to show the department's entire budget in one place, making it more transparent and
easier to manage. The departments include Non-Departmental costs, Mayor and Council, Administration, Public Works
Administration, Finance, Facilities Maintenance and Fleet Services. Instead of each department having a separate
budget for each fund, those departments have a single budget in the Internal Service Fund. This makes it easier for
the reader to see the true cost of the department without having to look in two different places. It also streamlines cost
allocation internally.
Economic Development Funds
Under Texas Law, certain municipal governments can establish Economic Development Corporations for the purposes
of attracting economic development and other limited purposes. These corporations are overseen by boards appointed
by the City Council. Sanger is one of the few Cities that has both a 4A and 4B Economic Development Corporation.
Both of these corporations receive revenues from a separate ½ cent sales tax. This sales tax generates around
$400,000 each year for each of the corporations.
Due to changes in legislation the 4A board can now fund projects authorized under either 4A or 4B statutes. This gives
us the flexibility to combine 4A and 4B funds if we need to for either industrial development or to enhance the quality
of life. Historically this money has been used to pay off the debt for the land associated with the Wal-Mart Distribution
Center. Over the years, the 4A Board has also built up a healthy reserve. The 4B Board can fund any project authorized
under the 4A statutes. In addition, the 4B Board can fund improvements in other areas including parks and recreation.
Historically 4B monies have been used to help fund infrastructure improvements, park and recreation improvements
and, most recently, the new Splash Pad. The 4B Board also maintains a modest reserve and is currently committed
to servicing up to $180,000 annually of the 2009 CIP for the new sports park and $32,500 per year for the splash park
debt service. The 4B Board has also committed $300,000 to The Porter Park Trail linkage and $200,000 for shade
structures at the Porter and Railroad Ball Fields.
The City of Sanger, Texas 2018‐2019 Annual Budget 23
Thanks to these two boards the City of Sanger has been able to provide economic development incentives and make
park and recreation improvements that it simply could not afford otherwise. While these funds can only be used for
limited purposes, having them frees up other revenues for other purposes.
Debt Service Fund and Capital Projects Fund
The Debt Service Fund is where long term, property tax funded debt is paid. The Capital Projects Fund is where
expenditures on Capital Projects are paid. Both debt service and capital projects serve as internal service funds used
for accounting purposes.
Hotel/Motel Tax Fund
The expenditure of hotel occupancy tax (HOT) funds tightly regulated by state law. To ensure that these funds are
spent appropriately, they are placed in a separate fund and not commingled with the General Fund. The city also gives
up to $12,000 a year in HOT taxes to the Sanger Chamber of Commerce for marketing.
Looking toward the future
The state of Texas continues to benefit from a diverse and flourishing economy. A few key indicators of the strength
of the economy include:
Texas added 32,000 jobs in August – the 26th consecutive month of employment growth (source: Houston
Chronicle)
Forbes lists Texas as #3 of the Best States for Business (source: Forbes)
At $1.8 trillion, the Texas economy is the second biggest in the United States (source: Forbes)
In 2017, the DFW area accounted for nearly 30 percent of the state’s total employment, making the region
the largest employment base in the state. (source: Texas State Comptroller)
All indications point toward a continued healthy economy for our state and region.
Sanger has grown from a railroad stop established in the 1880’s into a thriving community that offers residents the best
of both worlds: big city opportunities combined with small-town charm. Since 2000, Sanger’s population has grown
85% from 4,534 to 8,400.
1,204 1,119 1,000 1,170 1,190 1,603
2,574
3,508
4,534
6,916
8,400
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 2018*
*Estimated
POPULATION GROWTH
According to a recent article in the Fort Worth Star-Telegram, the Dallas-Fort Worth area’s population growth of 146,000
in 2017 was the most of any metro area in the United States. In addition, Denton County was ranked number nine of
24 The City of Sanger, Texas 2018‐2019 Annual Budget
the top ten counties with the largest population growth in the United States in 2017. We believe this makes Sanger a
prime candidate for growth as the DFW area continues to attract new businesses and residents.
The northern cities of the DFW area continue to see much growth, and many people are choosing to live in a northern
suburb and drive south for work. According to the website www.factfinder.cenus.gov, 58.5% of Sanger residents drive
between 10 and 30 minutes to work. Easy access via I-35 make Sanger an excellent choice for people looking to live
in a smaller community.
14.6%
10.8%
13.7%
20.5%
5.0%
8.5%
5.0%
7.1%
14.7%
Sanger Resident Average Travel Time to Work
<10 minutes
10-14 minutes
15-19 minutes
20-24 minutes
25-29 minutes
30-34 minutes
35-44 minutes
45-59 minutes
>60 minutes
Sanger will be home to a new hotel, as a Holiday Inn Express breaks ground in the coming year. The hotel will be
located just off I-35 and is located by several well-established restaurants. Once opened, this hotel will lead to
increased sales, property and hotel tax revenues for the City. Also, next year McClain’s RV will be breaking ground
on a 93,000 square-foot super store valuated at approximately $11,330,000. R&L Carriers, a global transportation
company has started construction on a 104,714 square-foot trucking terminal in Sanger. The estimated capital
investment is approximately $14,000,000 and the projected number of jobs within the first five years is estimated at
200.
The combination of a healthy Texas economy, the population growth of the DFW area, Sanger’s ideal position for
commuters who want to live in a smaller community, and new business ventures like Holiday Inn Express, McClain’s
RV and RL Carriers in Sanger point to a bright future for our City.
Conclusion
Revenue growth will allow us to maintain current service levels and continue to maintain and repair infrastructure this
year. This means continuing to fill potholes and repave streets, replace old water and wastewater lines, build sidewalks
and maintain our parks in an attractive condition.
Staff have worked hard and kept up with their responsibilities even when short staffed. They have willingly accepted
cross training so they could help out in other departments when needed. They have been very frugal with spending. I
want to commend all of our employees for their hard work and dedication this year
The City of Sanger, Texas 2018‐2019 Annual Budget 25
I also want to thank the Mayor and Council for their continued support and leadership. The Citizens of Sanger are
fortunate to have such people guiding the City.
While the municipal budgeting process can be confusing, especially when looking only at the raw numbers, we have
worked hard to make the budget more transparent and understandable. The intent of this budget message is to shed
light on the budget process and provide a general overview of its structure. It is also intended to shed light on the
thoughts and concerns that went into formulating the budget. I hope you have found it helpful.
Alina Ciocan
City Manager
26 The City of Sanger, Texas 2018‐2019 Annual Budget
STRATEGIC PLANNING FOR RESULTS
COMPREHENSIVE PLAN
ORGANIZATIONAL VALUES
CAPITAL IMPROVEMET PLAN
ANNUAL BUDGET
RELATIONSHIPS WITH
CITIZENS
INFRASTRUCTURE
CITY SERVICES
MONTHLY REPORTING
PURPOSE
The guiding purpose of the municipal government
of the City of Sanger is to preserve, protect and
enhance the quality of life for our citizens.
VISION
To give vision to this purpose, the Sanger City
Council has adopted a Comprehensive Plan
(page 27) and City Staff has developed a set of
Organizational Values (page 28) to guide City
operations.
PLAN
To implement this vision, the Annual Budget and
Capital Improvement Plan are developed each
year as strategic planning documents. The City’s
2018-2019 Annual Budget and Capital
Improvement Plan continue with this strategy.
RESULTS
The effectiveness of any plan is measured by
results. The City of Sanger’s desired results are
to provide quality services to residents, maintain
and improve our infrastructure, and develop
positive relationships with our citizens.
In prior years, the tracking of Performance
Measures provided a check on results. During
the 2017-2018 year, the City took this idea to the
next level and began issuing a Monthly Report,
which provides a wealth of detailed and useful
information to the citizens of Sanger. These
reports are posted on the City’s website for 24/7
access. The Report for the month of September
2018 is presented on page 214.
GUIDING
PURPOSE OF
THE CITY
The City of Sanger, Texas 2018‐2019 Annual Budget 27
City of Sanger Comprehensive Plan
The Sanger City Council adopted a Comprehensive Plan to provide guidance for the future in 2007. This Plan
included a specific set of goals, which are tangible directives raised by citizens to guide the development of the City
into the next century. These goals are general statements of the community’s desired ultimate physical, social,
economic, and environmental status. These goals set the standard with respect to the community’s desired quality of
life.
Comprehensive Plan
Maintain and improve upon the existing country
living atmosphere of Sanger.
Encourage the establishment of new commercial
business and the expansion of existing
businesses in Sanger.
Encourage development and preservation of the
Historic Sanger Downtown area.
Improve the relationship of mixed land uses and
provide optimum opportunity to live and work in
Sanger.
Improve Sanger’s street network.
Encourage job development in Sanger.
Encourage development of quality single family
residential neighborhoods in Sanger.
Develop, expand, and maintain the Sanger Park
System with a variety of parks, open spaces and
recreational facilities.
28 The City of Sanger, Texas 2018‐2019 Annual Budget
City of Sanger Organizational Values
The City has adopted a set of Organizational Values, which are meant to inspire and direct City employees as they
work together.
Organizational Values
We respect each other.
We communicate.
We perform quality work.
We are responsive to our customers.
We behave ethically.
We have an attitude of service.
We are proactive.
We focus on our customers.
We work together.
The City of Sanger, Texas 2018‐2019 Annual Budget 29
ORGANIZATIONAL CHART
30 The City of Sanger, Texas 2018‐2019 Annual Budget
AUTHORIZED PERSONNEL
Full
Time
Part
Time
Full
Time
Part
Time
Full
Time
Part
Time
General Fund Authorized Personnel
Police 15 0 16 0 16 0
Animal Control 101010
Fire 724 724 824
Municipal Court 222222
Development Services 303040
Streets 404040
Parks 424040
Recreation 101010
Library 323333
General Fund Totals 40 30 41 29 43 29
Enterprise Fund Authorized Personnel
Water 606060
Waste Water 203030
Electric 707070
Enterprise Fund Totals 15 0 16 0 16 0
Internal Service Fund Authorized Personnel
Administration 403030
Public Works Administration 203030
Finance 5 05050
Fleet Services 202010
Internal Service Fund Totals 13 0 13 0 12 0
4A Fund Authorized Personnel
Administration 101010
4A Fund Totals 1 01010
Total Authorized Personnel 69 30 71 29 72 29
2016-2017 2017-2018 2018-2019
The City of Sanger, Texas 2018‐2019 Annual Budget 31
BUDGET CALENDAR
Item
Announce Budget Schedule at Staff Meeting
Director-Level Budget Meeting
Friday, April 13, 2018 - Friday, April 27, 2018 Finance Director Prepares Preliminary Budget
Finance Director and City Manager meet to discuss revenues
Submit Preliminary Budget to City Manager for Review
Monday, May 07, 2018 - Wednesday, June 13, 2018 City Manager Review of Budget
Preliminary Budget Completed
City Council Budget Workshop
City Council Budget Workshop
City Council Budget Workshop (if needed)
Chief Appraiser Certifies Tax Roll
Budget Filed with the City Secretary and Posted on the City's
Website
City Council Meeting to Discuss Tax Rate
If Proposed Tax Rate Will Raise More Revenue than the
Proceeding Year, Take Record Vote and Schedule Public
Hearing
Publish Notice of Public Hearing on Budget
Publish Notice of Public Hearings on Proposed Property Tax
Rate
Public Hearing on Budget
First Public Hearing on PropsedTax Rate
Second Public Hearing on Proposed Tax Rate
City Council Vote on Adoption of Budget
City Council Vote on Adoption of Tax Rate
City Council Vote on Adoption of Tax Rolls
Monday, August 20, 2018
Monday, August 06, 2018
Monday, September 17, 2018
Thursday, April 12, 2018
Monday, April 30, 2018
Monday, May 07, 2018
Thursday, August 09, 2018
Tuesday, September 04, 2018
THE CITY OF SANGER, TEXAS
BUDGET CALENDAR FY 2018-2019
Monday, July 30, 2018
Wednesday, June 13, 2018
Monday, June 18, 2018
Monday, July 02, 2018
Monday, July 16, 2018
Monday, July 23, 2018
Monday, March 26, 2018
Date
Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa
123 1234567 12345
45678910 891011121314 6789101112
11 12 13 14 15 16 17 15 16 17 18 19 20 21 13 14 15 16 17 18 19
18 19 20 21 22 23 24 22 23 24 25 26 27 28 20 21 22 23 24 25 26
25 26 27 28 29 30 31 29 30 27 28 29 30 31
Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa
12 1234567 1234 1
3456789 891011121314 567891011 2345678
10 11 12 13 14 15 16 15 16 17 18 19 20 21 12 13 14 15 16 17 18 9 10 11 12 13 14 15
17 18 19 20 21 22 23 22 23 24 25 26 27 28 19 20 21 22 23 24 25 16 17 18 19 20 21 22
24 25 26 27 28 29 30 29 30 31 26 27 28 29 30 31 23 24 25 26 27 28 29
30
March April May
June July August September
32 The City of Sanger, Texas 2018‐2019 Annual Budget
THE BUDGET PROCESS
The fiscal year of the City of Sanger begins on October 1st and ends on September 30th of the following calendar year.
This fiscal year establishes both the budget year and the accounting year.
The budget is developed at a departmental level. In March, the Finance Director develops worksheets that detail
expenditures for the past four years, year to date balances as of March 31st, and projected totals through the end of
the current fiscal year. These worksheets are distributed to individual departments for review and completion. Each
department prepares an estimate for their projected totals through the end of the fiscal year and estimates for the
upcoming year. For any increases or addition of new items to the budget, departments will document the justification
for the requested increases. Once the departments have completed the worksheets, they are returned along with any
supporting documentation to the Finance Director. The City Manager and the Finance Director meet with each
Department Director individually to review the budget worksheets. The City Manager and all City Directors meet an
entire day to review each department’s budget requests for the coming year.
Revenues are projected based on historical trends, the current economic climate and expected future trends.
Personnel expenses are prepared based upon the current year, adjusted as necessary for staffing changes or changes
in the cost of benefits. Utility expenses are projected based on the current and prior years, modified where applicable
due to utility rate changes or changes to City facilities.
The departmental budget worksheets are combined with revenues, personnel and utility expenses to prepare a working
budget, which is reviewed by the City Manager. The City Manager and the Finance Director meet with each department
to review and discuss the requested budget in detail. These meetings assist the City Manager in determining priorities
for the budget.
A series of public budget workshops are held with the City Council, allowing for citizen input for the budget process.
These workshops allow the City Council to formulate its priorities for the proposed budget. Following these workshops,
the proposed budget is formulated. This proposed budget is filed with the City Secretary and public hearings on the
budget to allow for citizen input. Following the public hearings, the budget is ready to be adopted.
The budget may be adopted at any regular or special meeting of the City council prior to the beginning of the fiscal
year. On final adoption, the budget is in effect for the budget year. During the year, the City Council may amend or
change the budget to provide for any additional expense.
In February and August, the City Manager and the Finance Director meet individually with each Department Director
to compare operations year to date with the annual budget.
The City of Sanger, Texas 2018‐2019 Annual Budget 33
LIST OF FUNDS
GENERAL FUND
This is the general operating fund for the City, utilized to account for all resources not required to
be accounted for in another fund.
DEBT SERVICE FUND
This governmental fund type is used to account for the accumulation of resources for, and the
payment of, general long-term debt principal and interest.
CAPITAL PROJECTS FUND
These funds were established to account for resources used for the acquisition and construction
of capital facilities by the City. Capital Projects Funds of the City include Capital Projects Fund
and Enterprise Capital Projects Fund.
SPECIAL REVENUE FUNDS
These funds are used to account for the revenue derived from specific taxes or other earmarked
revenue sources (other than for major capital projects) that are restricted by law or
administrative action to expenditures for specified purposes. Special Revenue funds of the City
include Hotel/Motel Tax Fund; Beautification Fund; Library Restricted Fund; Parkland Dedication
Fund; Roadway Impact Fee Fund; Court Security Fund; Court Technology Fund; Child Safety
Fund; Police Donations Fund; Fire Donations Fund; Park Donations Fund, and Library
Donations Fund. GO
V
E
R
N
M
E
N
T
A
L
FU
N
D
S
ENTERPRISE FUND
This fund accounts for the operations and financing of self-supporting activities of a
governmental unit that renders services on a user charge basis to the general public, similar to
private business enterprises.
INTERNAL SERVICE FUND
This fund accounts for the financing of centralized services to different funds and City
departments on a cost reimbursement basis.
4A CORPORATION FUND
This fund accounts for the operations and financing of self-supporting activities of the Sanger
Texas Industrial Development Corporation. Funded by a ½ cent sales tax, this fund is used to
help new and existing businesses expand in Sanger with a primary goal of bringing jobs to
Sanger.
4B CORPORATION FUND
This fund accounts for the operations and financing of self-supporting activities of the Sanger
Texas Economic Development Industrial Corporation. Funded by a ½ cent sales tax, this fund is
used to enhance the local economy by improving the quality of life in Sanger.
PR
O
P
R
I
E
T
A
R
Y
FU
N
D
S
FI
D
U
C
I
A
R
Y
FU
N
D
S
34 The City of Sanger, Texas 2018‐2019 Annual Budget
FUND RELATIONSHIP WITH FUNCTIONAL AREAS
Administration Public Safety
Community
Development Public Works Culture &
Recreation
General
Police, Animal
Control, Fire,
Municipal Court
Development
Services
Streets, Solid
Waste
Parks,
Recreation,
Library
Debt Service Debt Service
Enterprise Debt Service Water, Waste
Water, Electric
Internal Service
City Council,
Administration,
Finance,
Facilities
Public Works
Administration,
Fleet Services
4A 4A
4B 4B
Capital Projects Administration Public Works
Administration
Enterprise Capital Projects Administration Public Works
Administration
Hotel/Motel Administration
Beautification Administration
Library Restricted Library
Parkland Dedication Administration
Roadway Impact Fee Administration
Court Security Court
Court Technology Court
Child Safety Police
Police Donations Police
Fire Donations Fire
Library Donations Library
F U N C T I O N A L A R E A
F
U
N
D
The City of Sanger, Texas 2018‐2019 Annual Budget 35
ABOUT SANGER
OVERVIEW
The City of Sanger, Texas was incorporated in 1886 and operates under a Council-Manager form of government. The
City provides general government, public safety, public works, culture and recreation, water, sewer and electricity
operations to citizens.
LOCATION
Sanger is strategically located along in Northern Denton County and occupies 10.9 square miles along Interstate 35.
The city’s location, services and amenities make it a wonderful place to live. Uniquely situated 50 miles from both
Dallas and Fort Worth, Sanger offers residents the amenities of a major metropolitan area while retaining a small-town
quality of life. In addition, the Dallas/Fort Worth International Airport is 38 miles away.
Sanger is located minutes from the shores of Lake Ray Roberts, the 6th largest lake in Texas. Sanger is also located
in “horse country”, as Denton County has more working horse ranches than any other county in the United States.
36 The City of Sanger, Texas 2018‐2019 Annual Budget
HISTORY
During the rapid expansion of railroads following the Civil War, the Gulf, Colorado & Santa Fe Railway grew from South
Texas northward, through the area that is today known as Sanger. The railroad selected a spot between Fort Worth
and Gainesville for a new stop. The railroad had two reasons for selecting this particular spot. First, the steam
locomotives of the day required frequent stops to replenish the engine’s water supply. Second, this spot was close to
the Chisholm Trail. Cattle drives were a major economic activity at the time and the Chisholm Trail was the most
important route for cattle drives leaving Fort Worth. In a relatively short time, the railroad would replace the Chisholm
Trail as the means for moving cattle north out of Texas.
In 1886, the railroad purchased land from Mrs. Elizabeth Huling of Lampasas, Texas and built a one-room depot, cattle
pens and loading chute on the site. Mrs. Huling hired two surveyors to lay out a town around the railroad stop, and
she donated land for a wagon yard, water well, school, town square, cemetery, and a church. Lots were laid out for
stores and homes, and lots were given to anyone who would build a house costing at least $500. The city was originally
named Huling in her honor.
The community’s name was changed to New Bolivar for a short time. The railroad officially named the town Sanger in
1887 in honor of railroad customers Lehman, Isaac, Alex, Sam and Philp Sanger. Pioneers in the dry goods wholesale
and resale industry in Texas, the Sanger Brothers built a chain of stores in railroad towns to utilize the trains to move
merchandise. Although the city was named in their honor, the Sanger Brothers never lived in the city or operated a
store here.
Rail service began when the first trains came through in 1887. Cattle began loading the trains as soon as service to
Kansas City was established. The first residents of the area were Francis and Melissa Ready and their daughter Molly.
In the spring of 1887, the family sought refuge from a snow storm in the depot as they were passing through, and
decided to stay. The family built a one-room cabin, and Mrs. Ready cooked meals for the cowboys who drove the
cattle to the pens. Mr. Ready later built a hotel near the pens, and operated a post office in the lobby after he was
commissioned postmaster.
The City of Sanger was incorporated in 1892 and William E. Partlow was elected the first Mayor of Sanger. Business
thrived in the following years and led to the growth of the City. Thanks to a large mill and grain elevator, Sanger
became a large farming community.
At some point, a fire destroyed the depot and the railroad built a new station that included a larger depot building,
waiting rooms, a Western Union telegraph office, and a Wells Fargo freight office. The depot operated 24 hours a day,
6 days a week. Around 1900, ranchers began trucking cattle to Fort Worth instead of shipping them to Kansas City.
At the time when the trains stopped shipping cattle, resourceful individuals began using the railroad to ship dairy cream
to Fort Worth and Ardmore, Oklahoma.
Texas State Highway 40 ran through the area and became a portion of US Route 77 in 1929. Interstate 35 was built
along the route in the early 1960’s. As the railroad replaced the cattle trail, the highway system replaced the railway
as the conduit that brought visitors and business to Sanger. The years following World War II saw the decline of
railroads nationwide, and the Sanger depot eventually closed. Interstate 35 serves the heartland of America, running
from South Texas to Minnesota. According to the Texas Department of Transportation, more than 50,000 vehicles
pass through Sanger on I-35 daily.
The City of Sanger, Texas 2018‐2019 Annual Budget 37
QUICK FACTS
LOCATION Sanger is located along Interstate 35 in northern Denton County
in north Texas. Sanger is located less than an hour from both
Dallas and Fort Worth.
AREA 10.9 square miles
FORM OF GOVERNMENT Council-Manager
INCORPORATION 1892
POPULATION 8,400 (01/01/2018 estimate)
TRANSPORTATION Interstate 35
DFW Airport (39 miles
Love Field (48 miles)
BNSF Railway
CLIMATE Köppen Climate Classification “Cfa” (Humid Subtropical Climate)
Average temperature 64º
Average Precipitation 14.9”
SALES TAX RATE 6.25% State of Texas
1.00% City of Sanger
0.50% 4A Corporation
0.50% 4B Corporation
BOND RATING A1 (Moody’s)
TOP 10 TAXPAYERS Wal-Mart Stores East, L.P. US06068
Wal-Mart Stores East, L.P.
DCM Sanger Property LLC
Altec Capital Services, LLC
Sam’s East Inc.
MacCamp LTD
Sam’s Cross Dock
Springer Family Rentals LLC
Springer Properties LLC
Stonewood Resorts LLC
38 The City of Sanger, Texas 2018‐2019 Annual Budget
LOCAL EVENTS
Sanger takes pride in the small-town charm it offers. The City proudly hosts many community events for all ages
throughout the year, offering residents a chance to have fun with their neighbors.
Adult Kickball League
The City of Sanger, Texas 2018‐2019 Annual Budget 39
STATISTICS
Under 10, 15%
10 to 19, 15%
20 to 29, 18%
30 to 39, 10%
40 to 49, 14%
50 to 59, 12%
60 to 69, 7%
Over 70, 9%
Population Age Distribution1
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Under 10 10 to 19 20 to 29 30 to 39 40 to 49 50 to 59 60 to 69 Over 70
Population Age Distribution 1
2317 25
35 157 133 132
0 500 1000 1500 2000 2500 3000
Number
Housing Units1
1 Unit 2 Units 3 or 4 Apartments
5 to 9 Units 10+ Units Mobile Home or Other
MAJOR EMPLOYERS 2
1,000+ Employees:
• Wal-Mart Distribution Center
200 – 499 Employees:
• Sanger Independent School District
• Sam’s Distribution Center
50-100 Employees:
• City of Sanger
• A&W Productions
• Eikon Engineering
• Babe’s Chicken
20-50 Employees:
• Super Save
• Ampco
• Hollingsworth Manufacturing
• North Texas Plastics
• Sanger Bank
SCHOOLS 2
Butterfield Elementary School
Chisholm Trail Elementary School
Clear Creek Intermediate School
Sixth Grade Campus
Sanger Middle School
Linda Tutt High School
Sanger High School
University of North Texas (Denton)
Texas Women’s University (Denton)
North Central Texas College (Gainesville)
1 factfinder.census.gov
2Sanger Economic Development Corporation
40 The City of Sanger, Texas 2018‐2019 Annual Budget
ORDINANCE ADOPTING THE ANNUAL BUDGET
The City of Sanger, Texas 2018‐2019 Annual Budget 41
42 The City of Sanger, Texas 2018‐2019 Annual Budget
ORDINANCE ADOPTING THE PROPERTY TAX RATE
The City of Sanger, Texas 2018‐2019 Annual Budget 43
BU
D
G
E
T
S
U
M
M
A
R
Y
44 The City of Sanger, Texas 2018‐2019 Annual Budget
2018-2019 BUDGET AT A GLANCE
Charges for Services
$12.5 MILLION
Other
Intergovernmental Revenue
Fees
Franchise Fees
Sales/Mixed Drink Taxes
Property Taxes
$0.9 MILLION
$1.7 MILLION
$1.9 MILLION
$1.0 MILLION
$0.8 MILLION
$4.2 MILLION
TOTAL REVENUES = $23.0 MILLION
(EXCLUDING INTER-FUND TRANSFERS)
WHERE DOES THE MONEY COME FROM?
The City of Sanger, Texas 2018‐2019 Annual Budget 45
BUDGET AT A GLANCE
WHERE DOES THE MONEY GO?
Culture & Recreation
Community Development
Infrastructure
$5.3 MILLION
$0.8 MILLION
$1.0 MILLION
Debt Service
$2.4 MILLION
Public Works/Utilities
$9.4 MILLION
General Government
$2.0 MILLION
Public Safety
$3.6 MILLION
TOTAL EXPENDITURES = $24.5 MILLION
(EXCLUDING INTER-FUND TRANSFERS)
46 The City of Sanger, Texas 2018‐2019 Annual Budget
2018-2019 BUDGET BY FUND
REVENUES BY FUND
Debt Service Fund
$0.7 MILLION
Capital Projects Fund
4B Fund
General Fund
Enterprise Fund
Ent. Capital Projects Fund
$7.7 MILLION
$12.0 MILLION
$0.4 MILLION $1.0 MILLION
$0.6 MILLION
Special Revenues Funds
$0.2 MILLION
4A Fund
$0.4 MILLION
TOTAL REVENUES = $23.0 MILLION
(EXCLUDING INTER-FUND TRANSFERS)
The City of Sanger, Texas 2018‐2019 Annual Budget 47
AT A GLANCE
EXPENDITURES BY FUND
Capital Projects Fund
Debt Service Fund
Internal Service Fund
$2.0 MILLION
$0.8 MILLION
$0.3 MILLION
Enterprise Fund
$10.2 MILLION
4A Fund
$0.3 MILLION
Ent. Capital Projects Fund
$4.3 MILLION
General Fund
$6.5 MILLION
TOTAL EXPENDITURES = $28.8 MILLION
(EXCLUDING INTER-FUND TRANSFERS)
4B Fund
$0.1 MILLION
Special Revenues Funds
$0.0 MILLION
48 The City of Sanger, Texas 2018‐2019 Annual Budget
REVENUES, EXPENDITURES & CHANGES IN FUND BALANCE
OVERVIEW OF MAJOR REVENUE SOURCES
The City has numerous sources of income, including taxes, franchise fees, charges for services, fees, and licenses
and permits. For the 2018-2019 budget, two revenue sources account for almost three-fourths (73.5%) of all revenues:
Charges for Services and Property Taxes.
Charges for Services
Charges for Services includes the billing of Water, Waste Water and Electric utilities in the Enterprise Fund and Solid
Waste Collections in the General Fund. Total Charges for services totals $12,545,216, which is 54.6% of the City’s
total projected revenues.
Enterprise Fund Charges for Services
The primary revenue stream of the Enterprise Fund is the billing and collection of Water, Waste Water and Electric
utilities. Totaling $11,694,716, these combined charges for services accounts for 50.9% of the City’s projected
revenues.
Water revenues of $2,027,811 are an increase of $137,811 (7.3%) over last year’s projection of $1,890,000.
Waste Water revenues of $1,964,975 are an increase of $114,975 (6.2%) over last year’s projection of
$1,850,000.
Electric revenues of $7,701,930 are actually a decrease of $420,570 (-5.2%) from last year’s projection of
$8,122,500. The City has reevaluated projections for Electric revenues over the past several years and has
adjusted revenue estimates downward for this budget year only. Following this reevaluation, Electric revenues
are expected to rise in future years.
Water, Waste Water and Electric rates are set by City ordinance and have historically been set using trend analysis
and a cost-of-service model. The City engaged NewGen Strategies & Solutions, an independent consulting firm to
make recommendations for rates for the next five years. On May 21, 2018, NewGen presented their findings and
recommendations to City Council. Council responded to the recommendations by making adjustments to utility billing
rates and plans to follow NewGen’s recommendations for the coming years.
General Fund Charges for Services
General Fund Charges for services includes billing for Sanitation and Recycling Services. These charges total
$850,000 and account for 3.7% of total revenues. This amount is an increase of 10.4% over last year’s projection of
$7700,500.
Property Taxes
The collection of Property Taxes accounts for a total of $4,326,172 or 18.8% of the City’s projected revenues. Property
within Sanger is appraised annually by the Denton Central Appraisal District. Property Tax revenue is calculated using
the appraised values of properties and the property tax rate. Property Taxes are reported in the General Fund and the
Debt Service Fund. Projected Property Tax collections are an increase of $476,672 (12.4%) over the prior year
projection of $3,849,500.
The City of Sanger, Texas 2018‐2019 Annual Budget 49
OVERVIEW OF MAJOR EXPENDITURE CATEGORIES
Numerous expenditures are necessary to operate a municipality. Primary categories of expenditures include Salaries
& Benefits, Maintenance & Operations, and Capital Expenses. For the 2018-2019 budget, three categories combined
total 75.9% of all expenditures.
Maintenance and Operations
With a total of $7,195,689, Maintenance and Operations expenditures account for 29.4% of total expenditures. The
bulk of this amount ($6,595,986) is budgeted in the Enterprise Fund. Major components of this amount are: Electric
Wholesale Utility Purchases & Transmission Costs; Electric Franchise Fees; Water Purchases and Utility Demand
Charges; Systems Maintenance for Water, Waste Water & Electric.
Capital Expenses
With a total of $7,126,743, Capital Expenditures also account for 27.8% of total expenditures. The bulk of this amount
($6,614,680) is budgeted in the Enterprise Capital Projects Fund. The major components of this amount are
$3,803,202 for the construction of a new Waste Water Treatment Plant. A multi-year project, the new plant will replace
the City’s current facility with expanded capacity to serve Sanger for many years.
Salaries and Benefits
With a total of $6,241,368, Salaries and Benefits account for 25.5% of total expenditures. The General Fund accounts
for $3,783,153 of this amount. The General Fund accounts for 43 of 72 full-time employees and 29 of 29 part-time
employees.
The category of Salaries and Benefits encompasses employee compensation and the City’s portion of Social Security
and Medicare taxes, Texas Municipal Retirement System, health insurance and worker’s compensation.
OVERVIEW OF CHANGES IN FUND BALANCE
City funds often will not see a great increase or decrease in Fund Balance in a single year. There are circumstances,
however, where a larger increase or decrease in Fund Balance may occur as the result of strategic planning. Changes
in Fund Balance are projected to be as follows:
Fund
Beginning Fund
Balance
Revenues &
Other Sources
Expenditures &
Other Uses
Ending Fund
Balance
%
Change
General Fund 4,567,906$ 7,897,099 7,822,200 4,642,805$ 1.6%
Debt Service Fund 455,935$ 907,656 917,551 446,040$ -2.2%
Enterprise Fund 11,049,248$ 11,994,966 11,994,966 11,049,248$ 0.0%
Internal Service Fund 86,126$ 2,031,065 2,031,065 86,126$ 0.0%
4A Fund 1,600,525$ 411,750 264,673 1,747,602$ 9.2%
4B Fund 1,270,020$ 386,000 302,500 1,353,520$ 6.6%
Capital Projects Fund 903,060$ 1,675,000 300,000 2,278,060$ 152.3%
Enterprise Capital Projects Fund 5,868,277$ 878,970 4,250,000 2,497,247$ -57.4%
Special Revenue Funds 180,265$ 212,700 34,775 358,190$ 98.7%
Total 25,981,362$ 26,395,206$ 27,917,730$ 24,458,838$ -5.9%
4A Fund
For the budget year, the 4A Fund is projected to have an increase in Fund Balance of $147,077 (9.2%). The 4A
Corporation is managed by a Board of Directors made up of five area residents appointed by the City Council. Type A
funds come from a ½ cent sales tax and can only be used for specific economic development activities. In the current
50 The City of Sanger, Texas 2018‐2019 Annual Budget
budget year, the 4A Corporation is minimizing expenditures in the current year to allow for use of the funds in future
years.
Capital Projects Fund
The Capital Projects Fund is projecting a 152.3% increase ($1,375,000) in Fund Balance this year. This increase is
due in part to the timing of reimbursements from Denton County for the McReynolds Road Reconstruction Project,
which is funded largely through and interlocal agreement with Denton County. The funds will be utilized in future years
on additional projects, including: rebuilding and expanding Marion Road; rebuilding Plum Street; rebuilding Bolivar
Street; rebuilding Belz Road and Jennifer Circle; rebuilding Duck Creek Road; and Utility Road Tie-in across Railroad.
Enterprise Capital Projects Fund
The Enterprise Capital Projects Fund is projecting a decrease in Fund Balance of $3,371,030 (-57.4%). The
construction of a new waste water treatment plant is an infrequent and massive project which will use a large portion
of fund balance. Budgeted projects in the current year include: Waste Water Treatment Plant: Cowling Road Lift
Station; and Ranger Creek Outfall Pipeline.
Special Revenue Funds
The Special Revenue Funds are projecting an overall increase in Fund Balance of $177,925 (98.7%). The majority of
this is a $65,000 projected increase in the Parkland Dedication Fund and a $100,000 increase in the Roadway Impact
Fee Fund. The monies in both of these funds will be used for future neighborhood development projects.
The City of Sanger, Texas 2018‐2019 Annual Budget 51
COMBINED FUNDS BUDGET SUMMARY
COMBINED BUDGET SUMMARY
FOR ALL FUNDS SUBJECT TO APPROPRIATION
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 23,560,462 31,316,670 31,316,670 25,981,362
Revenues
Property Tax 3,635,149 3,849,500 3,950,759 4,326,172
Sales & Mixed Drink Tax 1,754,372 1,675,000 1,750,265 1,675,000
Franchise Fees 845,378 827,800 824,864 851,668
Charges for Services 11,821,604 12,633,000 12,947,932 12,545,216
Fees 1,803,683 1,486,900 1,500,052 1,869,893
Licenses & Permits 290,884 206,070 322,230 363,070
Fines 108,735 127,500 102,205 123,000
Intergovernmental 1,452,244 1,445,812 3,465,562 1,000,000
Interest Income 40,915 27,762 35,176 28,300
Miscellaneous 235,800 157,000 181,408 182,250
Total Revenues 21,988,764 22,436,344 25,080,453 22,964,569
Other Sources
Transfers In 13,280,591 3,671,886 3,028,824 3,430,637
Total Other Sources 13,280,591 3,671,886 3,028,824 3,430,637
Total Revenues/Sources 35,269,355 26,108,230 28,109,277 26,395,206
Expenditures
Salaries & Benefits 4,995,023 5,905,158 5,170,268 6,241,368
Supplies & Materials 470,784 608,706 436,282 621,429
Maintenance & Operations 6,998,758 7,105,352 7,305,793 7,195,689
Contract Services 1,567,271 1,650,186 1,552,748 2,017,824
Utilities 458,274 418,550 341,224 526,150
Capital Expenses 6,838,127 6,736,054 12,666,023 5,157,822
Debt Service 2,282,628 2,602,862 2,602,828 2,608,905
Court Costs 35,245 46,626 23,794 48,406
Grant Expenses 10,103 2,500 - 69,500
Total Expenditures 23,656,213 25,075,994 30,098,961 24,487,093
Other Uses
Transfers Out 3,856,934 3,671,886 3,345,624 3,430,637
Total Other Uses 3,856,934 3,671,886 3,345,624 3,430,637
Total Expenses/Uses 27,513,147 28,747,880 33,444,585 27,917,730
Excess of Revenues/Sources
over Expenditures/Uses
Ending Fund Balance 31,316,670 28,677,020 25,981,362 24,458,838
7,756,208 (2,639,650) (5,335,308) (1,522,524)
52 The City of Sanger, Texas 2018‐2019 Annual Budget
COMBINED FUNDS BUDGET SUMMARY
COMBINED SUMMARY OF REVENUES, EXPENDITURES AND CHANGES TO FUND BALANCE
FOR ALL FUNDS SUBJECT TO APPROPRIATION
General
Fund
Debt Service
Fund
Enterprise
Fund
Internal
Service Fund 4A Fund
Beginning Fund Balance 4,567,906 455,935 11,049,248 86,126 1,600,525
Revenues
Property Tax 3,631,116 695,056 - - -
Sales & Mixed Drink Tax 905,000 - - - 385,000
Franchise Fees 851,668 - - - -
Charges for Services 850,500 - 11,694,716 - -
Fees 887,893 - 217,000 - -
Licenses & Permits 363,070 - - - -
Fines 112,000 - - - -
Intergovernmental - - - - -
Interest Income 4,000 100 15,000 - 1,750
Miscellaneous 77,500 - 68,250 - -
Total Revenues 7,682,747 695,156 11,994,966 - 386,750
Other Sources
Transfers In 214,352 212,500 - 2,031,065 25,000
Total Other Sources 214,352 212,500 - 2,031,065 25,000
Total Revenues/Sources 7,897,099 907,656 11,994,966 2,031,065 411,750
Expenditures
Salaries & Benefits 3,783,153 - 1,270,807 1,056,332 129,576
Supplies & Materials 368,450 - 107,640 115,964 17,600
Maintenance & Operations 506,257 - 6,595,968 87,584 5,880
Contract Services 1,219,189 - 163,700 565,185 48,250
Utilities 89,350 - 320,700 114,000 2,100
Capital Expenses 324,222 - 126,600 92,000 -
Debt Service 129,353 788,199 1,630,086 - 61,267
Court Costs 48,406 - - - -
Grant Expenses 69,500 - - - -
Total Expenditures 6,537,880 788,199 10,215,501 2,031,065 264,673
Other Uses
Transfers Out 1,284,320 129,352 1,779,465 - -
Total Other Uses 1,284,320 129,352 1,779,465 - -
Total Expenses/Uses 7,822,200 917,551 11,994,966 2,031,065 264,673
Excess of Revenues/Sources 74,899 (9,895) - - 147,077
over Expenditures/Uses
Ending Fund Balance 4,642,805 446,040 11,049,248 86,126 1,747,602
The City of Sanger, Texas 2018‐2019 Annual Budget 53
C
4B Fund
Capital
Projects
Fund
Enterprise
Capital
Projects
Fund
Special
Revenue
Funds
Total
Beginning Fund Balance 1,270,020 903,060 5,868,277 180,265 25,981,362
Revenues
Property Tax - - - - 4,326,172
Sales & Mixed Drink Tax 385,000 - - - 1,675,000
Franchise Fees - - - - 851,668
Charges for Services - - - - 12,545,216
Fees - - 600,000 165,000 1,869,893
Licenses & Permits - - - - 363,070
Fines - - - 11,000 123,000
Intergovernmental - 1,000,000 - - 1,000,000
Interest Income 1,000 - 6,250 200 28,300
Miscellaneous - - - 36,500 182,250
Total Revenues 386,000 1,000,000 606,250 212,700 22,964,569
Other Sources
Transfers In - 675,000 272,720 - 3,430,637
Total Other Sources - 675,000 272,720 - 3,430,637
Total Revenues/Sources 386,000 1,675,000 878,970 212,700 26,395,206
Expenditures
Salaries & Benefits - - - 1,500 6,241,368
Supplies & Materials - - - 11,775 621,429
Maintenance & Operations - - - - 7,195,689
Contract Services - - - 21,500 2,017,824
Utilities - - - - 526,150
Capital Expenses 65,000 300,000 4,250,000 - 5,157,822
Debt Service - - - - 2,608,905
Court Costs - - - - 48,406
Grant Expenses - - - 69,500
Total Expenditures 65,000 300,000 4,250,000 34,775 24,487,093
Other Uses
Transfers Out 237,500 - 3,430,637
Total Other Uses 237,500 - - - 3,430,637
Total Expenses/Uses 302,500 300,000 4,250,000 34,775 27,917,730
Excess of Revenues/Sources 83,500 1,375,000 (3,371,030) 177,925 (1,522,524)
over Expenditures/Uses
Ending Fund Balance 1,353,520 2,278,060 2,497,247 358,190 24,458,838
54 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 55
GE
N
E
R
A
L
F
U
N
D
56 The City of Sanger, Texas 2018‐2019 Annual Budget
GENERAL FUND
OVERVIEW
The General Fund is the principle operating fund for resources (revenues) and uses of resources (expenditures) for
what are generally recognized as governmental functions and services. In general, all activities are recorded in this
fund unless there is a managerial or legal reason for it to be recorded in another fund.
The General Fund receives revenues from property taxes, sales taxes, franchise fees, fines, fees for service, interest
income and other miscellaneous general revenue sources.
The General Fund includes these departments:
o Police
o Animal Control
o Fire
o Municipal Court
o Development Services
o Streets
o Parks
o Recreation
o Library
o Solid Waste
The basis of accounting for the General Fund for both financial reporting and budgeting is the modified accrual basis.
NOTE: Certain expenses related to facilities (utilities, maintenance, etc.) moved from individual departments to the
new Facilities Department in the Internal Service Fund as of the 2017-2018 Annual Budget.
The City of Sanger, Texas 2018‐2019 Annual Budget 57
GENERAL FUND BUDGET SUMMARY
57%
11%
22%
5%
2%
3%
General Fund Revenues 2018-2019
Taxes
Franchise Fees
Fees & Services
Licenses & Permits
Other
Transfers In
48%
5%6%
16%
1%
4%
2%2%
16%
General Fund Expenditures 2018-2019
Salaries & Benefits
Supplies & Materials
Maintenance & Operations
Contract Services
Utilities
Capital Expenses
Debt Service
Other
Transfers Out
58 The City of Sanger, Texas 2018‐2019 Annual Budget
GENERAL FUND BUDGET SUMMARY
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 2,333,736 3,160,361 3,160,361 4,567,906
Revenues
Taxes 3,834,449 4,086,000 4,153,612 4,536,116
Franchise Fees 845,378 827,800 824,864 851,668
Solid Waste 778,877 770,500 840,179 850,500
Licenses & Permits 290,884 206,070 322,230 363,070
Fines 97,007 112,000 89,572 112,000
Fire & EMS 588,124 585,000 716,651 776,877
Police & Animal Control 47,225 49,450 51,863 52,166
Parks & Recreation 18,869 18,800 34,396 33,500
Library 26,173 23,650 25,380 25,350
Interest Income 3,942 4,000 4,508 4,000
Miscellaneous 149,559 77,500 67,505 77,500
Total General Fund Revenues 6,680,487 6,760,770 7,130,760 7,682,747
Other Sources
Transfers In 286,536 292,999 292,999 214,352
Total Other Sources 286,536 292,999 292,999 214,352
Total Revenues/Sources 6,967,023 7,053,769 7,423,759 7,897,099
Expenditures
Salaries & Benefits 2,828,337 3,522,719 3,021,398 3,783,153
Supplies & Materials 266,926 382,924 284,235 368,450
Maintenance & Operations 354,416 429,780 351,513 506,257
Contract Services 1,097,027 1,044,708 989,712 1,219,189
Utilities 137,145 93,150 84,975 89,350
Capital Expenses 250,357 360,115 239,655 324,222
Debt Service 107,998 107,998 107,998 129,353
Court Costs 35,245 46,626 23,794 48,406
Grant Expenses 10,103 2,500 - 69,500
Total Expenditures 5,087,554 5,990,520 5,103,281 6,537,880
Other Uses
Transfers Out 1,052,844 1,010,846 912,933 1,284,320
Total Other Uses 1,052,844 1,010,846 912,933 1,284,320
Total Expenses/Uses 6,140,398 7,001,366 6,016,214 7,822,200
Excess of Revenues/Sources
over Expenditures/Uses
Ending Fund Balance 3,160,361 3,212,764 4,567,906 4,642,805
826,625 52,403 1,407,545 74,899
The City of Sanger, Texas 2018‐2019 Annual Budget 59
GENERAL FUND REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Taxes
4310 Property Tax 2,918,649 3,141,000 3,232,919 3,598,116
4311 Delinquent Prop. Tax 14,740 20,000 15,301 15,000
4321 Penalty & Interest Prop. Tax 17,498 20,000 27,327 18,000
4325 Sales Tax 878,041 900,000 872,201 900,000
4350 Mixed Drink Tax 5,521 5,000 5,864 5,000
Total Taxes 3,834,449 4,086,000 4,153,612 4,536,116
Franchise Fees
4460 Century Link 6,020 9,000 6,656 7,000
4461 ATMOS 40,684 45,000 47,332 48,000
4465 Suddenlink 42,232 42,000 38,701 42,000
4470 COSERV 72,282 72,500 84,238 77,000
4480 Cebridge 2,482 2,400 1,974 2,400
4483 Water 74,250 100,200 96,179 107,342
4484 Sewer 70,560 100,500 94,080 106,109
4485 Sanger Electric 485,414 406,000 406,000 403,217
4489 Progressive 42,973 42,000 41,232 50,400
4490 Roll-offs 6,124 8,000 7,380 8,000
4495 ROW fees 2,357 200 1,092 200
Total Franchise Fees 845,378 827,800 824,864 851,668
Solid Waste
4190 Sanitation Billing 768,710 760,000 829,633 840,000
4191 Sanitation Penalties 10,167 10,500 10,546 10,500
Total Solid Waste 778,877 770,500 840,179 850,500
Licenses & Permits
4510 Building Permits 246,889 175,000 261,341 250,000
4511 Zoning and Plats 19,075 7,500 30,834 32,500
4513 Civil Plan Review Fees 0 0 5,175 57,500
4515 Street Cut Permit 0 0 1,020 1,000
4520 Health Permits 17,675 17,500 16,200 17,500
4530 Electrical Licenses 2,050 1,500 75 0
4540 Plumbing Licenses 75000
4545 Fire Alarm/Sprinkler 770 200 1,475 200
4550 AC & Mechanical 1,200 1,500 525 1,500
4555 Irrigation 775 1,000 0 1,000
4560 Solicitor Permits 0 0 3,150 0
4575 RV Park Annual Permit 1,370 1,370 1,370 1,370
4581 Beer & Wine Permit 1,005 500 1,065 500
Total Licenses & Permits 290,884 206,070 322,230 363,070
60 The City of Sanger, Texas 2018‐2019 Annual Budget
GENERAL FUND REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Fines
4600 Default/Court 678 520 850 520
4603 Judicial Fee- County-JFCT 2,395 3,040 2,206 3,040
4604 Judicial Fee-City 266 336 245 336
4607 State Traffic Fee 6,190 9,840 4,947 9,840
4608 Consolidated Court Fee 17,756 22,504 16,342 22,504
4609 State Jury Fee 1,775 2,256 1,634 2,256
4615 Child Safety Court Cost 525 2,648 795 2,648
4617 Insurance & Dismissal Fees 380 80 220 80
4620 Special Expense Fee 12,404 20,000 12,206 20,000
4621 Truancy Prevention Fund 845 1,120 755 1,120
4625 Fines 37,714 35,440 35,179 35,440
4626 Impound Fees 180 0 0 0
4627 Warrant Fees 3,825 2,880 3,950 2,880
4628 Arrest Fees 1,970 2,400 1,706 2,400
4630 LEOSE-Police 30 0 0 0
4637 Traffic Code 624 1,440 495 1,440
4639 Civil Justice Fee 28 48 24 48
4640 Defensive Driving Fee 460 592 340 592
4642 Cash Bonds Court 0 0 216 0
4643 Time Payment Local 508 576 385 576
4645 Municipal Service Bureau 5,080 3,880 4,077 3,880
4646 Time Payment State 508 560 385 560
4648 Truancy Defensive Fund 886 1,120 815 1,120
4651 TLFTA1 1,320 480 1,200 480
4652 TLFTA2 396 136 360 136
4653 TLFTA3 264 104 240 104
Total Fines 97,007 112,000 89,572 112,000
Fire & EMS
4740 Fire Denton Co. Interlocal 53,575 10,000 164,025 10,000
4750 EMS Denton Co. Interlocal 219,659 250,000 147,227 250,000
4765 Fire Grant Funding 0 0 0 191,877
4772 Emergicon Revenue 314,890 0 287,541 325,000
4773 Texas Supplemental Amb 0 0 56,400 0
4774 Hurricane Relief Reimbursement 0 325,000 61,458 0
Total Fire & EMS 588,124 585,000 716,651 776,877
The City of Sanger, Texas 2018‐2019 Annual Budget 61
GENERAL FUND REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Police and Animal Control
4050 Animal Control Fees 1,135 1,250 1,745 1,250
4055 Mowing Fees 5,085 6,000 7,127 6,000
4056 Police Fees 3,464 3,000 3,362 3,000
4057 Sanger ISD Resource Officer 37,091 38,800 39,629 40,716
4058 State Reimbursements 450 400 0 1,200
Total Police and Animal Control 47,225 49,450 51,863 52,166
Parks & Recreation
4031 Park Concessions 645000
4032 Community Center Fees 6,160 6,200 16,715 15,000
4033 Park & Ballfield Revenues 6,099 7,600 10,412 10,000
4034 Tournament Fees 1,655 2,000 1,450 2,000
4035 Special Events 2,560 3,000 3,524 3,000
4036 Church Rental Fees 1,750 0 2,295 3,500
Total Parks and Recreation 18,869 18,800 34,396 33,500
Library
4180 Library Misc. 0 75 89 75
4181 Library Fines 1,681 1,500 716 1,000
4182 Library Copies 3,247 3,000 3,249 3,000
4183 Inter Library loan 1,471 100 1,617 1,500
4184 Library Cards 73 75 66 75
4185 Lost Books 511 100 268 400
4186 Yoga Class Charges 3,390 3,000 3,675 3,500
4189 Denton Co Interlocal Agreement 15,800 15,800 15,700 15,800
Total Library 26,173 23,650 25,380 25,350
4800 Interest Income 3,942 4,000 4,508 4,000
Interest Income 3,942 4,000 4,508 4,000
62 The City of Sanger, Texas 2018‐2019 Annual Budget
GENERAL FUND REVENUES
2016-17 2017-18 2017-18 2018-19
5/22/48 11/29/47 5/8/44 11/29/47
Miscellaneous Income
4009 Proceeds from Sale of Assets 10,834 25,000 27,070 25,000
4900 Rental Income 19,472 22,500 20,289 22,500
4930 Returned Check Fees 0 0 35 0
4910 Misc. Income GF 5,128 17,000 9,517 17,000
4946 Insurance Damage Reimb. 114,125 13,000 10,594 13,000
Total Miscellaneous 149,559 77,500 67,505 77,500
Total General Fund Revenues 6,680,487 6,760,770 7,130,760 7,682,747
Transfers
4980 PILOT from EF 85,000 85,000 85,000 85,000
4980 Transfer from EF 150,000 100,000 100,000 0
4987 From DSF 51,536 107,999 107,999 129,352
Total Transfers 286,536 292,999 292,999 214,352
Total General Fund Revenues & Transfers 6,967,023 7,053,769 7,423,759 7,897,099
The City of Sanger, Texas 2018‐2019 Annual Budget 63
POLICE DEPARTMENT
Overview
The Police Department provides law enforcement services for the City. It is tasked with upholding and protecting the
safety and security of citizens and visitors to the City of Sanger. The police department also is charged with code
enforcement and environmental enforcement responsibilities.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 1,022,093 1,214,194 1,099,367 1,242,324 28,130 2.32%
Supplies & Materials 41,184 63,400 37,287 52,100 (11,300) -17.82%
Maintenance & Operations 52,401 80,000 57,020 80,000 - 0.00%
Contract Services 106,641 119,998 102,545 136,234 16,236 13.53%
Utilities 24,252 7,600 5,269 6,000 (1,600) -21.05%
Capital Expenses 139,014 100,104 90,942 186,822 86,718 86.63%
Total 1,385,585 1,585,296 1,392,430 1,703,480 118,184 7.46%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 15 16 16
Part Time 000
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Responses to Calls 8,899 6,297 7,598
Average Response Time 0:06:00 04:55 05:28
Citations Issued 811 687 749
Warnings Issued 371 432 402
64 The City of Sanger, Texas 2018‐2019 Annual Budget
POLICE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 707,275 815,949 770,222 839,985
5111 Merit Increase - 28,170 - 29,400
5117 Vacation Compensation 4,864 6,000 6,468 6,800
5120 Overtime 56,694 35,390 41,595 35,000
5125 Longevity Pay 7,528 7,380 7,208 7,544
5129 Cell Phone Allowance - 9,000 8,250 9,000
5130 F I C A 58,678 68,537 62,341 70,972
5140 Retirement 59,848 71,221 65,911 74,404
5150 Health Insurance 109,614 124,800 115,531 124,800
5160 Worker's Compensation 16,812 44,840 19,884 42,889
5170 T.E.C. 290 2,907 1,947 1,530
5180 Medical/Physicals 460 - - -
5182 Background Checks 30 - 10 -
Total 51-Salaries And Benefits 1,022,093 1,214,194 1,099,367 1,242,324
52-Supplies And Materials
5210 Office Supplies 5,619 5,500 5,592 5,500
5230 Advertising 38 - - -
5235 Dues And Subscriptions 1,942 - - -
5240 Conferences And Training 7,031 - - -
5245 Janitorial Supplies, Etc. 354 500 546 500
5255 Wearing Apparel 15,339 10,000 5,420 10,000
5260 Safety Equipment 6,886 10,500 12,941 11,200
5265 Drug Prev & Investigation 306 7,000 5,494 7,000
5266 Child Safety - 1,500 711 1,500
5275 Filing Fees 690 500 - 500
5280 Computer Systems 2,979 900 720 900
5298 Non Capital Supplies And Materials - 27,000 5,863 15,000
Total 52-Supplies And Materials 41,184 63,400 37,287 52,100
53-Maintenance And Operations
5310 R& M Building 1,400 - - -
5320 Motor Vehicle Fuel 32,867 56,000 43,542 56,000
5325 R & M Motor Vehicle 15,796 20,000 11,018 20,000
5326 R & M Minor Equipment 129 1,500 50 1,500
5332 Office Machine Lease 2,209 2,500 2,410 2,500
Total 53-Maintenance And Operations 52,401 80,000 57,020 80,000
The City of Sanger, Texas 2018‐2019 Annual Budget 65
POLICE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
54-Contract Services
5430 Professional Services 26,280 40,500 28,046 40,500
5431 Forensic Analysis Services - - - 12,000
5450 Technical Support 28,106 21,000 26,446 25,000
5451 Annual Software Support 20,613 22,500 12,055 22,500
5460 Dispatch Services 31,642 35,998 35,998 36,234
Total 54-Contract Services 106,641 119,998 102,545 136,234
55-Utilities
5515 Electric 9,299 - - -
5516 Gas Utilities 715 - - -
5520 Cell Phone 14,238 7,600 5,269 6,000
Total 55-Utilities 24,252 7,600 5,269 6,000
61-Capital Outlay
6125 Computer Hardware - - - 77,050
6130 Vehicles 131,812 91,104 84,663 100,772
6135 Police Vehicles 7,202 - - -
6145 Police Equipment - 9,000 6,279 9,000
Total 61-Capital Outlay 139,014 100,104 90,942 186,822
Total 20-Police 1,385,585 1,585,296 1,392,430 1,703,480
66 The City of Sanger, Texas 2018‐2019 Annual Budget
ANIMAL CONTROL DEPARTMENT
Overview
Animal Control provides for the safety of the public through the control of wild and domesticated animals. It is also
charged with providing for the welfare of animals within the City. Animal control is responsible for the adoption of
abandoned and surrendered animals. Animal control operates under the supervision of the Police Chief.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 52,201 55,250 54,581 57,973 2,723 4.93%
Supplies & Materials 45,365 78,500 71,733 69,500 (9,000) -11.46%
Maintenance & Operations 4,248 5,500 4,985 5,500 - 0.00%
Total 101,814 139,250 131,299 132,973 (6,277) -4.51%
Personnel
Full Time 1 1 1
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
The City of Sanger, Texas 2018‐2019 Annual Budget 67
ANIMAL CONTROL DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Salaries 36,228 36,518 37,561 38,004
5111 Merit Increase - 1,266 - 1,330
5117 Vacation Compensation 637 - 710 750
5120 Overtime 369 1,020 87 1,000
5125 Longevity Pay 216 264 264 312
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 2,891 3,037 3,002 3,213
5140 Retirement 2,902 3,155 3,097 3,369
5150 Health Insurance 7,731 7,800 7,940 7,800
5160 Worker's Compensation 1,207 1,400 1,182 1,495
5170 T.E.C. 20 190 138 100
Total 51-Salaries And Benefits 52,201 55,250 54,581 57,973
52-Supplies And Materials
5210 Office Supplies 25 50 - 50
5235 Dues And Subscriptions - 250 - 250
5240 Conferences And Training 122 100 85 100
5245 Janitorial Supplies 656 900 295 900
5248 Animal Care Expense - 75,500 70,480 66,500
5250 Tools & Equipment 44,017 500 - 500
5255 Wearing Apparel 108 700 723 700
5260 Safety Equipment 138 500 150 500
5280 Computers, Printers, Etc 299 - - -
Total 52-Supplies And Materials 45,365 78,500 71,733 69,500
53-Maintenance And Operations
5320 Motor Vehicle Fuel 3,430 4,000 4,010 4,000
5325 R & M Motor Vehicle 818 1,000 975 1,000
5326 R & M Minor Equipment - 500 - 500
Total 53-Maintenance And Operations 4,248 5,500 4,985 5,500
Total 22-Animal Control 101,814 139,250 131,299 132,973
68 The City of Sanger, Texas 2018‐2019 Annual Budget
FIRE DEPARTMENT
Overview
The Fire Department is responsible for all facets of fire suppression and prevention within the City and surrounding
area of the county. It is a combination department made up of paid staff and volunteers. The fire station is staffed
around the clock for rapid response to emergencies. Other duties include rescue, emergency medical services and
public education.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 667,525 927,798 707,596 1,164,162 236,364 25.48%
Supplies & Materials 78,019 125,450 78,282 127,500 2,050 1.63%
Maintenance & Operations 60,113 54,950 49,771 76,750 21,800 39.67%
Contract Services 57,441 37,803 31,153 54,105 16,302 43.12%
Utilities 13,849 4,200 3,859 4,000 (200) -4.76%
Capital Expenses 76,109 63,200 47,710 28,400 (34,800) -55.06%
Debt Service 56,463 56,463 56,463 77,817 21,354 37.82%
Other Department Expense 10,103 2,500 - 69,500 67,000 2680.00%
Total 1,019,622 1,272,364 974,834 1,602,234 329,870 2767.90%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 7 7 8
Part Time 24 24 24
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Average Response Time 07:24 07:47 07:35
Fire-related Calls 94 166 157
Explosion-related Calls 2 1 1
Rescue & EMS-related Calls 936 1,008 1,032
Hazardous Conditions (No Fire) Calls 16 22 22
Service Calls 285 366 357
Good Intent Calls 125 168 181
False Alarm & False Calls 61 80 79
Severe Weather & Natural Disaster Calls 2 12 12
Special Type Calls - 2 1
The City of Sanger, Texas 2018‐2019 Annual Budget 69
FIRE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Salaries 264,825 395,848 315,588 438,619
5111 Merit Increase - 13,704 - 15,352
5112 Temp/Part-Time Salaries 183,896 242,640 160,138 240,000
5117 Vacation Compensation 1,607 1,500 1,249 1,350
5120 Overtime 70,812 55,508 69,078 56,313
5125 Longevity Pay 2,268 2,700 2,836 3,072
5126 Special Pay 9,193 13,292 10,177 14,954
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 41,291 55,410 41,212 58,925
5140 Retirement 23,375 35,520 26,407 39,447
5145 Pension Fund 2,808 6,000 3,035 -
5150 Health Insurance 43,585 62,400 47,731 70,200
5160 Worker's Compensation 13,068 30,676 15,417 29,963
5165 Disability Insurance 9,224 8,000 9,866 -
5170 T.E.C. 1,089 4,000 4,262 3,490
5180 Medical/Physicals 380 - - -
5182 Background Checks 104 - - -
5199 Grant Funded Personnel - - - 191,877
Total 51-Salaries And Benefits 667,525 927,798 707,596 1,164,162
52-Supplies And Materials
5210 Office Supplies 1,625 1,750 1,771 2,500
5215 Food 987 1,000 1,115 2,000
5225 Maps & Subscriptions - 1,250 750 1,250
5230 Advertising/Public Education 3,077 500 - 500
5235 Dues & Registration 11,177 3,250 2,107 3,250
5240 Conferences And Training 5,370 15,000 11,886 15,000
5245 Janitorial Supplies 819 3,200 5,275 5,000
5250 Tools & Equipment 1,719 2,000 902 2,500
5255 Wearing Apparel 8,550 11,000 10,453 11,000
5260 Safety Equipment 8,850 35,000 8,213 33,000
5262 Ems Supplies 32,958 38,500 28,448 38,500
5280 Computer Systems - 8,000 7,362 8,000
5285 Furniture & Fixtures 2,887 5,000 - 5,000
Total 52-Supplies And Materials 78,019 125,450 78,282 127,500
70 The City of Sanger, Texas 2018‐2019 Annual Budget
FIRE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
53-Maintenance And Operations
5310 R & M Building 1,941 - - -
5320 Motor Vehicle Fuel 18,723 19,000 21,518 19,000
5325 R & M Motor Vehicle 22,911 18,500 24,580 18,500
5326 R & M Minor Equipment 7,841 11,500 2,665 11,500
5345 Lease Equipment 1,344 3,200 1,008 5,000
5375 Minor Equipment - 1,750 - 1,750
5376 Hep. B Immunizations - 1,000 - 1,000
5390 Radios Fire Dept. 7,353 - - 20,000
Total 53-Maintenance And Operations 60,113 54,950 49,771 76,750
54-Contract Services
5420 Contractual Services - 3,500 - 3,500
5430 Professional Services/Emergicon 29,493 5,000 10,960 15,000
5450 Technical Support 15,985 15,500 7,785 15,500
5451 Annual Software Support 1,556 3,000 1,605 3,000
5453 EMS Vending Services - - - 4,200
5460 Dispatch Services 10,407 10,803 10,803 12,905
Total 54-Contract Services 57,441 37,803 31,153 54,105
55-Utilities
5515 Electric 9,819 - - -
5516 Gas Service 619 - - -
5520 Cell Phone 3,411 4,200 3,859 4,000
Total 55-Utilities 13,849 4,200 3,859 4,000
56-Grant Expense
5610 Grant Expense 3,265 2,500 - 7,500
5624 Grant Match 6,838 - - 62,000
Total 56-Grant Expense 10,103 2,500 - 69,500
61-Capital Outlay
6135 Mobile Equipment 76,109 63,200 47,710 -
6145 Fire Equipment - - - 28,400
Total 61-Capital Outlay 76,109 63,200 47,710 28,400
70-Debt Payments
7006 Lease Payment 54,801 53,277 53,277 75,589
7099 Interest Expense 1,662 3,186 3,186 2,228
Total 70-Debt Payments 56,463 56,463 56,463 77,817
Total 24-Fire And Ambulance 1,019,622 1,272,364 974,834 1,602,234
The City of Sanger, Texas 2018‐2019 Annual Budget 71
MUNICIPAL COURT DEPARTMENT
Overview
The Municipal Court is responsible for the adjudication of criminal matters arising from events occurring within the City.
The Municipal Court tracks and collects fines and warrants, holds court to adjudicate cases and renders fines to the
appropriate state agency.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 110,702 140,029 102,837 117,189 ($22,840) -16.31%
Supplies & Materials 4,684 7,024 5,570 5,300 ($1,724) -24.54%
Maintenance & Operations 3,404 1,200 1,110 1,200 $0 0.00%
Contract Services 26,269 32,276 26,214 27,000 ($5,276) -16.35%
Utilities 2,484 - - - $0 -
Court Costs 35,245 46,626 23,794 48,406 $1,780 3.82%
Total 182,788 227,155 159,525 199,095 (28,060) -12.35%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 2 2 2
Part Time 2 2 2
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Citations Filed 811 704 758
Cases Closed by Driver Safety Course 33 30 31
Cases Closed by Deferred Disposition 93 66 80
Cases Closed by Payment or Time Served 380 378 379
72 The City of Sanger, Texas 2018‐2019 Annual Budget
MUNICIPAL COURT DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 80,666 101,355 74,100 81,826
5111 Merit Increase - 3,443 - 2,864
5120 Overtime - 510 387 500
5125 Longevity Pay 1,204 1,300 964 1,060
5130 F I C A 6,823 8,158 6,717 7,624
5140 Retirement 6,246 8,479 5,960 6,917
5150 Health Insurance 15,648 15,600 14,012 15,600
5160 Worker's Compensation - 499 145 479
5170 T.E.C. 115 685 552 319
Total 51-Salaries And Benefits 110,702 140,029 102,837 117,189
52-Supplies And Materials
5210 Office Supplies 1,768 2,724 2,283 1,800
5235 Dues And Subscriptions 1,200 900 - 1,100
5240 Conferences And Training 1,421 1,100 878 1,100
5245 Janitorial Supplies 295 - 750 -
5280 Computers, Printers, Etc. - 2,000 1,659 1,000
5285 Furniture & Fixtures - 300 - 300
Total 52-Supplies And Materials 4,684 7,024 5,570 5,300
53-Maintenance And Operations
5310 R & M Building 2,436 - - -
5332 Office Machine Lease 968 1,200 1,110 1,200
Total 53-Maintenance And Operations 3,404 1,200 1,110 1,200
54-Contract Services
5424 Court Services 11,964 14,276 13,133 13,500
5425 Legal Services 6,750 13,000 8,368 8,500
5426 Credit Card Fees 1,369 2,500 1,363 2,500
5450 Technical Support 3,730 2,500 772 2,500
5451 Annual Software Support 2,456 - 2,578 -
Total 54-Contract Services 26,269 32,276 26,214 27,000
55-Utilities
5515 26-5515 Electric 2,484 - - -
Total 55-Utilities 2,484 - - -
The City of Sanger, Texas 2018‐2019 Annual Budget 73
MUNICIPAL COURT DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
57-Municipal Fees
5703 Judicial Fee County Jfct 2,398 3,200 1,586 3,300
5707 State Traffic Fee 5,891 11,200 3,363 11,600
5708 Consolidated Court Cost 04 15,999 20,800 10,572 21,600
5709 State Jury Fee -Sjrf 1,600 2,400 1,057 2,500
5710 Consolidated Court Cost - 60 - 60
5714 Juvenile Crime & Delinquency - 18 - 18
5719 Jcpt - 12 - 12
5721 Tpf Fees 843 800 541 830
5724 Technolgy Fund Expenses 500 - 504 -
5725 Municipal Court Over Payments 79 16 - 16
5731 Fugitive Apprehension - 60 - 60
5733 Ctvoc - 72 - 72
5734 Idf (Court) 798 960 533 990
5735 Child Safety &Seat Belt Viol 171 60 - 60
5736 Corr.Mgt.Instit.Cjcf - 16 - 16
5738 Child Safety Seats - 32 - 32
5739 Civil Justice Fees 25 40 10 40
5745 Collection Agency Fee 4,831 4,800 4,230 5,000
5746 Time Payment State 508 880 312 900
5751 Tlfta1 - State 1,260 800 840 900
5752 0Tlfta2 - Omni 342 400 246 400
Total 57-Municipal Fees 35,245 46,626 23,794 48,406
Total 26-Municipal Court 182,788 227,155 159,525 199,095
74 The City of Sanger, Texas 2018‐2019 Annual Budget
DEVELOPMENT SERVICES DEPARTMENT
Overview
Development Services issues business related permits and provides inspection services for both new and existing
construction. Development Services also reviews and approves construction plans and documents and works with
builders and property owners on development issues. Development Services is also responsible for planning and
zoning and provides support for the planning and zoning commission. Development Services maintains the
comprehensive master plan, zoning maps and city limits maps and files the necessary documents with the County.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 201,361 254,539 245,647 313,622 $59,083 23.21%
Supplies & Materials 7,922 13,600 10,476 14,500 $900 6.62%
Maintenance & Operations 2,976 2,315 2,664 2,990 $675 29.16%
Contract Services 41,162 41,040 32,210 91,740 $50,700 123.54%
Utilities 8,911 - - - $0 -
Total 262,332 311,494 290,997 422,852 111,358 35.75%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 3 3 4
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Encourage the establishment of new commercial business and the expansion of existing
businesses in Sanger.
Improve the relationship of mixed land uses and provide optimum opportunity to live and work
in Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Residential Permits Issued - 131 140
Residential Inspections - 2,280 2,300
Commercial Permits Issued - 34 40
Commercial Inspections - 220 230
Miscellaneous Permits Issued - 410 400
Miscellaneous Inspections - 616 600
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
The City of Sanger, Texas 2018‐2019 Annual Budget 75
DEVELOPMENT SERVICES DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Salaries 154,525 187,496 187,878 230,274
5111 Merit Increase - 5,653 - 8,060
5120 Overtime - - 119 -
5125 Longevity Pay 1,292 - 444 2,000
5129 Cell Phone Allowance - - 1,000 592
5130 F I C A 11,461 584 13,756 1,800
5140 Retirement 11,939 1,450 14,988 18,416
5150 Health Insurance 21,553 14,984 25,747 19,307
5160 Worker's Compensation 402 15,591 1,286 31,200
5170 T.E.C. 49 26,975 429 1,613
5180 Medical Physicals 70 1,293 - 360
5182 Background Checks 70 513 - -
Total 51-Salaries And Benefits 201,361 254,539 245,647 313,622
52-Supplies And Materials
5210 Office Supplies 1,495 1,700 1,891 1,600
5230 Advertisement 1,877 1,500 965 -
5235 Dues And Subscriptions 1,477 3,500 2,444 1,500
5240 Conferences And Training 507 3,000 2,899 3,500
5245 Janitorial Supplies 308 - - 4,000
5250 Tools & Equipment 210 - - -
5255 Wearing Apparel 538 400 430 400
5275 Filing Fees 752 1,500 1,218 1,500
5280 Computer Systems 758 2,000 629 2,000
Total 52-Supplies And Materials 7,922 13,600 10,476 14,500
53-Maintenance And Operations
5310 R & M Building 574 - - -
5320 Motor Vehicle Fuel 786 1,000 1,023 1,300
5325 R & M Motor Vehicle 68 225 243 600
5332 Office Machine Lease 1,531 940 1,391 940
5345 Lease Equipment 17 150 7 150
Total 53-Maintenance And Operations 2,976 2,315 2,664 2,990
76 The City of Sanger, Texas 2018‐2019 Annual Budget
DEVELOPMENT SERVICES DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
54-Contract Services
5426 Credit Card Fees 555 1,500 609 1,500
5430 Professional Services 21,188 15,000 11,642 65,000
5440 Health Inspections 9,225 9,300 8,850 10,000
5450 Technical Support 6,367 4,500 3,245 4,500
5451 Annual Software Support 3,827 10,740 7,864 10,740
Total 54-Contract Services 41,162 41,040 32,210 91,740
55-Utilities
5515 Electric 8,071 - - -
5516 Gas Service 840 - - -
Total 55-Utilities 8,911 - - -
Total 28-Development Services 262,332 311,494 290,997 422,852
The City of Sanger, Texas 2018‐2019 Annual Budget 77
STREET DEPARTMENT
Overview
The Street Department is responsible for maintaining the roads, streets, alleys, sidewalks and right of ways in the City
of Sanger. They also maintain street signs. The Street Department serves as the liaison with contractors building new
streets or rehabilitating old streets.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 253,443 284,061 258,283 291,953 7,892 2.78%
Supplies & Materials 8,149 7,000 5,894 11,700 4,700 67.14%
Maintenance & Operations 145,240 215,448 176,488 265,500 50,052 23.23%
Contract Services 2,540 1,000 950 1,000 - 0.00%
Utilities 49,994 57,000 57,102 55,000 (2,000) -3.51%
Capital Expenses 11,500 53,952 55,795 72,000 18,048 33.45%
Debt Service 51,535 51,535 51,535 51,536 1 0.00%
Total 522,401 669,996 606,047 748,689 78,693 11.75%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 4 4 4
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Improve Sanger’s street network.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Road Hazard & Pothole Repairs - 152 160
Road Sign Maintenance/Repairs - 58 60
Low Branches in Roadway Cleared - 43 50
Sidewalk Maintenance/Repairs - 13 20
Miscellaneous Calls - 57 75
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
78 The City of Sanger, Texas 2018‐2019 Annual Budget
STREET DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 176,994 186,046 179,403 191,868
5111 Merit Increase - 6,451 - 6,715
5117 Vacation Compensation 1,674 1,700 1,483 1,600
5120 Overtime 2,005 1,520 1,915 500
5125 Longevity 2,108 1,492 1,484 1,532
5129 Cell Phone Allowance - 600 600 1,200
5130 F I C A 13,708 14,931 15,186 15,562
5140 Retirement 13,961 15,512 16,328 16,314
5150 Health Insurance 33,119 31,200 32,743 31,200
5160 Workers Comp 9,793 23,915 8,466 25,081
5170 T.E.C. 81 694 619 381
5180 Medical/Physicals - - 57 -
Total 51-Salaries And Benefits 253,443 284,061 258,283 291,953
52-Supplies And Materials
5223 Chemical Supplies 3,191 450 582 2,000
5235 Dues And Subscriptions - - 507 -
5240 Conferences And Training 1,023 150 166 2,000
5250 Tools & Equipment 503 1,000 1,153 1,500
5255 Wearing Apparel 2,760 3,600 2,104 4,000
5260 Safety Equipment 672 1,800 1,382 2,200
5298 Non Capital Supplies & Materials - - - -
Total 52-Supplies And Materials 8,149 7,000 5,894 11,700
53-Maintenance And Operations
5310 R & M Building 5,895 - - -
5320 Motor Vehicle Fuel 9,162 10,000 10,505 12,000
5325 R & M Motor Vehicle 9,564 14,548 15,159 12,000
5326 R & M Minor Equipment 4,146 4,000 2,492 4,000
5360 System Maintenance 106,174 175,000 140,978 225,000
5380 Street Signs 10,299 11,900 7,354 12,500
5390 Radios - - - -
Total 53-Maintenance And Operations 145,240 215,448 176,488 265,500
54-Contract Services
5420 Contract Services 2,540 1,000 950 1,000
Total 54-Contract Services 2,540 1,000 950 1,000
The City of Sanger, Texas 2018‐2019 Annual Budget 79
STREET DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
55-Utilities
5515 Electric 49,994 57,000 57,102 55,000
5520 Cell Phone - - - -
Total 55-Utilities 49,994 57,000 57,102 55,000
61-Capital Outlay
6113 Sidewalk Improvements - 41,152 42,995 50,000
6120 Building Improvements 11,500 8,848 8,848 10,000
6130 Vehicles - 2,040 2,040 7,000
6145 Streets Equipment - 1,912 1,912 5,000
Total 61-Capital Outlay 11,500 53,952 55,795 72,000
70-Debt Payments
7006 Lease Payment 39,772 40,931 40,931 42,301
7099 Interest Expense 11,763 10,604 10,604 9,235
Total 70-Debt Payments 51,535 51,535 51,535 51,536
Total 30-Streets 522,401 669,996 606,047 748,689
80 The City of Sanger, Texas 2018‐2019 Annual Budget
PARKS DEPARTMENT
Overview
The Parks Department is responsible for the maintenance operations associated with all City Park and Facilities; this
department is also responsible for all building maintenance operations throughout the organization. The Parks
Department is responsible for the brush removal program and vector control operations.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 257,407 279,350 278,910 289,069 9,719 3.48%
Supplies & Materials 35,768 37,100 28,822 40,100 3,000 8.09%
Maintenance & Operations 73,521 66,867 55,121 69,567 2,700 4.04%
Contract Services 123,979 106,941 104,227 131,800 24,859 23.25%
Utilities 20,704 24,350 18,745 24,350 - 0.00%
Capital Expenses 23,734 142,859 45,208 37,000 (105,859) -74.10%
Total 535,113 657,467 531,033 591,886 (65,581) -9.97%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 4 4 4
Part Time 2 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Encourage development and preservation of the Historic Sanger Downtown area.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Number of Acres Mowed - 2,401 2,500
Brush Hauls Completed - 914 1,000
Facility Rentals - 170 200
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
The City of Sanger, Texas 2018‐2019 Annual Budget 81
PARKS DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 176,108 177,058 186,080 188,270
5111 Merit Increase - 6,139 - 6,590
5117 Vacation Compensation 1,113 1,500 1,192 1,300
5119 Standby Pay - 4,800 - 3,512
5120 Overtime 7,791 9,070 10,792 6,000
5125 Longevity Pay 1,724 1,744 1,744 1,936
5128 Auto Allowance 4,250 6,000 6,000 6,000
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 14,205 15,380 15,547 16,387
5140 Retirement 14,612 15,977 16,304 17,180
5150 Health Insurance 31,250 31,200 31,341 31,200
5160 Worker's Compensation 6,148 8,984 8,758 9,661
5170 T.E.C. 81 798 552 433
5180 Medical/Physicals 125 100 - -
Total 51-Salaries And Benefits 257,407 279,350 278,910 289,069
52-Supplies And Materials
5210 Office Supplies 2,973 1,100 1,073 600
5211 Landscape Material 1,539 3,900 34 5,000
5223 Chemical Supplies 18,593 20,500 10,395 26,000
5230 Advertising 923 3,000 9,645 500
5235 Dues And Subscriptions 2,451 900 1,037 600
5240 Conferences And Training 2,717 2,700 1,877 3,000
5245 Janitorial Supplies 2,175 - - -
5250 Tools & Equipment 2,219 2,800 2,458 2,800
5255 Wearing Apparel 2,178 2,200 2,304 1,600
Total 52-Supplies And Materials 35,768 37,100 28,822 40,100
82 The City of Sanger, Texas 2018‐2019 Annual Budget
PARKS DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
53-Maintenance And Operations
5310 R&M Building And Structures 5,952 - - -
5320 Motor Vehicle Fuel 7,458 9,480 8,788 13,000
5325 R & M Motor Vehicle 14,899 5,000 3,260 5,000
5326 R & M Minor Equipment 6,062 3,000 1,367 3,000
5329 Christmas Lights & Accessories 1,758 4,000 1,982 4,000
5332 Office Machine Lease 1,448 1,867 1,391 1,867
5333 Flags 1,879 2,720 2,720 1,500
5343 Park Maintenance 32,041 37,000 32,940 37,000
5345 Lease Equipment 2,024 2,800 2,400 3,200
5360 System Maintenance - 1,000 273 1,000
Total 53-Maintenance And Operations 73,521 66,867 55,121 69,567
54-Contract Services
5471 Contract Tree Maintenance 3,653 10,800 9,000 7,200
5472 Contract Mowing 110,058 96,141 95,227 124,600
5475 Contract Labor 10,268 - - -
Total 54-Contract Services 123,979 106,941 104,227 131,800
55-Utilities
5510 32-5510 Telephone Service - - - -
5515 32-5515 Electric 19,123 24,000 18,482 24,000
5516 Gas Service 662 - - -
5520 32-5520 Cell Phone 919 350 263 350
Total 55-Utilities 20,704 24,350 18,745 24,350
61-Capital Outlay
6130 Vehicles - 56,000 42,422 -
6137 Tractor & Riding Mowers 15,390 - - -
6140 Parks Improvements - 86,859 2,786 37,000
6145 Parks Equipment 8,344 - - -
Total 61-Capital Outlay 23,734 142,859 45,208 37,000
Total 32-Parks 535,113 657,467 531,033 591,886
The City of Sanger, Texas 2018‐2019 Annual Budget 83
RECREATION DEPARTMENT
Overview
The Recreation Department is responsible for organizing, planning and implementation of all Department Special
Events. This Department also coordinates with all athletic leagues for facility scheduling and usage. This Department
also serves the administration function for Parks, Fire as well as Recreation.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 48,452 56,450 56,117 60,222 3,772 6.68%
Supplies & Materials 14,608 16,950 18,923 14,700 (2,250) -13.27%
Maintenance & Operations 4,514 - - 1,250 1,250 -
Contract Services 10,870 - - - - -
Utilities 9,935 - - - - -
Total 88,379 73,400 75,040 76,172 2,772 3.78%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 1 1 1
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
84 The City of Sanger, Texas 2018‐2019 Annual Budget
RECREATION DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 35,061 38,363 40,730 41,680
5111 Merit Increase - 1,351 - 1,459
5120 Overtime 515 1,000 - 1,000
5125 Longevity Pay 212 260 260 308
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 2,784 3,260 3,183 3,446
5140 Retirement 2,767 3,385 3,284 3,613
5150 Health Insurance 7,093 7,800 7,922 7,800
5160 Worker's Compensation 20 241 - 216
5170 T.E.C. - 190 138 100
Total 51-Salaries And Benefits 48,452 56,450 56,117 60,222
52-Supplies And Materials
5215 Food 353 700 737 700
5230 Advertising 485 1,000 987 1,000
5235 Dues & Subscriptions 25 500 225 500
5240 Conferences & Training - 500 164 500
5245 Janitorial Supplies - - 16,810 12,000
5270 Program Supplies/Special Events 10,585 14,250 - -
5280 Computers 3,160 - - -
Total 52-Supplies And Materials 14,608 16,950 18,923 14,700
53-Maintenance And Operations
5310 R&M Building And Structures 4,514 - - -
5347 Vandalism Replacement - - - 250
5360 System Maintenance - - - 1,000
Total 53-Maintenance And Operations 4,514 - - 1,250
54-Contract Services
5430 Professional Services 10,870 - - -
Total 54-Contract Services 10,870 - - -
55-Utilities
5515 Electric 8,576 - - -
5516 Gas Service 1,359 - - -
Total 55-Utilities 9,935 - - -
Total 34-Recreation 88,379 73,400 75,040 76,172
The City of Sanger, Texas 2018‐2019 Annual Budget 85
LIBRARY DEPARTMENT
Overview
The Library provides written, audio and video materials for loan to the public. The library also provides computer and
internet access free of charge. Librarians assist customers with researching a wide range of subjects. The Library
also provides a wide range of educational programs to both adults and children.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 215,153 233,760 218,060 246,639 12,879 5.51%
Supplies & Materials 31,227 33,900 27,248 33,050 (850) -2.51%
Maintenance & Operations 7,999 3,500 4,354 3,500 - 0.00%
Contract Services 11,909 5,650 5,215 7,310 1,660 29.38%
Utilities 7,016 - - - - -
Total 273,304 276,810 254,877 290,499 13,689 4.95%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 3 3 3
Part Time 3 3 3
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Visits to the Library (door count) 33,088 33,944 33,516
Items Checked out from the Library 25,329 23,769 24,549
New Patron Accounts 495 456 476
86 The City of Sanger, Texas 2018‐2019 Annual Budget
LIBRARY DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 135,612 140,151 134,115 148,147
5111 Merit Increase - 5,913 - 6,418
5112 Temp/Part Time Salaries 28,984 33,060 32,271 35,720
5117 Vacation Compensation 1,526 1,200 1,104 1,200
5125 Longevity Pay 1,152 1,296 1,296 200
5129 Cell Phone Allowance - 1,200 1,200 1,440
5130 F I C A 12,462 13,868 12,922 1,200
5140 Retirement 10,629 11,810 10,875 14,828
5150 Health Insurance 23,410 23,400 23,528 12,621
5160 Worker's Compensation 1,001 832 607 23,400
5170 T.E.C. 283 1,030 142 911
5180 Medical/Physicals 70 - - 554
5182 Background Checks 24 - - -
Total 51-Salaries And Benefits 215,153 233,760 218,060 246,639
52-Supplies And Materials
5200 Print Books/Materials 9,476 9,000 7,744 9,000
5201 Periodicals 652 700 643 650
5202 E-Books And E-Audio 3,173 3,600 3,145 3,700
5203 Audiobooks 891 2,000 1,274 2,000
5204 DVDs 1,431 1,500 1,418 1,500
5205 Other Electronic Services 449 1,350 1,258 450
5206 Other Collection Materials - 300 - 300
5207 Library Supplies 960 1,000 923 1,000
5208 Program Supplies 839 1,200 1,138 1,200
5209 Yoga Services 4,588 5,000 3,911 5,000
5210 Office Supplies 2,904 2,500 2,423 2,500
5215 Food 63 75 63 75
5235 Dues & Registrations 1,406 - - -
5240 Conferences And Training 1,386 1,675 1,385 1,675
5245 Janitorial Supplies 1,202 1,750 1,358 1,750
5280 Computer Systems 1,269 1,200 565 1,200
5285 Furniture And Fixtures 538 1,050 - 1,050
Total 52-Supplies And Materials 31,227 33,900 27,248 33,050
53-Maintenance And Operations
5310 R & M Building 4,499 - - -
5326 R&M Minor Equipment 757 700 566 700
5332 Office Machine Lease 2,743 2,800 3,788 2,800
Total 53-Maintenance And Operations 7,999 3,500 4,354 3,500
The City of Sanger, Texas 2018‐2019 Annual Budget 87
LIBRARY DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
54-Contract Services
5420 Contractual Services 2,152 2,750 2,513 3,050
5430 Professional Services 7,600 - 400 -
5450 Technical Support 710 1,100 561 1,100
5451 Annual Software Support 1,447 1,800 1,741 3,160
Total 54-Contract Services 11,909 5,650 5,215 7,310
55-Utilities
5515 Electric 7,016 - - -
Total 55-Utilities 7,016 - - -
Total 42-Library 273,304 276,810 254,877 290,499
88 The City of Sanger, Texas 2018‐2019 Annual Budget
SOLID WASTE DEPARTMENT
Overview
The City contracts with Progressive Waste Management for solid waste services in the City of Sanger. Progressive
is responsible for providing residential and commercial waste management services to the businesses, schools, and
residents of Sanger.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Contract Services 716,216 700,000 687,198 770,000 70,000 10.00%
Total Solid Waste 716,216 700,000 687,198 770,000 70,000 10.00%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
The City of Sanger, Texas 2018‐2019 Annual Budget 89
SOLID WASTE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
54-Contract Services
5420 Contractual 716,216 700,000 687,198 770,000
Total 54-Contract Services 716,216 700,000 687,198 770,000
Total 66-Solid Waste 716,216 700,000 687,198 770,000
90 The City of Sanger, Texas 2018‐2019 Annual Budget
TRANSFERS TO OTHER FUNDS
Overview
The City transfers between funds in order to properly account for revenues and expenses.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Transfers 1,052,844 1,010,846 912,933 1,284,320 273,474 27.05%
Total 1,052,844 1,010,846 912,933 1,284,320 273,474 27.05%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
The City of Sanger, Texas 2018‐2019 Annual Budget 91
TRANSFERS TO OTHER FUNDS
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
74-Transfers
7404 Transfer To Capital Improvement Fund 550,000 460,000 460,000 675,000
7499 Transfer To Internal Service Fund 502,844 550,846 452,933 609,320
Total Transfers 1,052,844 1,010,846 912,933 1,284,320
92 The City of Sanger, Texas 2018‐2019 Annual Budget
NON-DEPARTMENTAL EXPENDITURES
Overview
The Non-Departmental budget accounts for expenses that cannot easily be attributed to any specific department.
Expenditure Summary
2015-16 2016-17 2016-17 2017-18
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits - 77,288 - - (77,288) -100.00%
Total - 77,288 - - (77,288) 0.00%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
The City of Sanger, Texas 2018‐2019 Annual Budget 93
NON-DEPARTMENTAL
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5199 Pay Plan Implementation - 77,288 - -
Total 99-Non-Departmental - 77,288 - -
94 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 95
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96 The City of Sanger, Texas 2018‐2019 Annual Budget
DEBT SERVICE FUND
Overview
The Debt Service Fund accounts for the receipt of funds from a tax levy and other sources for the accumulation of
funds to meet the principal and interest obligations on General Fund Obligations.
The City Charter of the City of Sanger, Texas, does not provide a debt limit. Under the provision of State law (Article
XI, Section 5, of the State of Texas Constitution), the maximum tax rate is limited to $2.50 per $100 assessed valuation.
The City’s adopted tax rate of $0.571004 per $100 assessed valuation for maintenance and operations plus $0.108096
per $100 assessed valuation for debt service equals the total tax rate of $0.6791, which is well below the maximum
rates allowed by law.
The basis of accounting for the Debt Service Fund for both financial reporting and budgeting is the modified accrual
basis.
The City of Sanger, Texas 2018‐2019 Annual Budget 97
DEBT SERVICE FUND BUDGET SUMMARY
77%
0%
23%
Debt Service Fund Revenues 2018-2019
Taxes
Other
Transfers In
86%
14%
Debt Service Fund Expenses 2018-2019
Debt Service
Transfers Out
98 The City of Sanger, Texas 2018‐2019 Annual Budget
DEBT SERVICE FUND BUDGET SUMMARY
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 404,096 459,295 459,295 455,935
Revenues
Property Taxes 684,262 668,500 675,212 695,056
Interest Income 114 100 114 100
Total General Fund Revenues 684,376 668,600 675,326 695,156
Other Sources
Transfers In 212,500 212,500 212,500 212,500
Total Other Sources 212,500 212,500 212,500 212,500
Total Revenues/Sources 896,876 881,100 887,826 907,656
Expenditures
Debt Service 790,141 783,014 783,187 788,199
Total Expenditures 790,141 783,014 783,187 788,199
Other Uses
Transfers Out 51,536 107,999 107,999 129,352
Total Other Uses 51,536 107,999 107,999 129,352
Total Expenses/Uses 841,677 891,013 891,186 917,551
Excess of Revenues/Sources
over Expenditures/Uses
Ending Fund Balance 459,295 449,382 455,935 446,040
55,199 (9,913) (3,360) (9,895)
The City of Sanger, Texas 2018‐2019 Annual Budget 99
DEBT SERVICE FUND EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
70-Debt Payments
7023 Co 2007 Principal 28,900 28,900 28,900 30,600
7024 Co 2007 Interest 17,187 15,932 15,906 14,661
7026 Co 2009 Principal 175,000 180,000 180,000 190,000
7027 Co 2009 Interest 92,425 85,426 85,425 78,225
7028 Refunding 2012 Principal 154,000 156,200 156,200 162,800
7029 Refunding 2012 Interest 22,418 17,798 17,798 13,112
7030 Co 2013 Principal 20,400 21,000 21,000 21,000
7031 Co 2013 Interest 18,438 18,030 18,030 17,505
7037 Refunding 2016 Principal 218,500 220,800 220,800 230,000
7038 Refunding 2016 Interest 41,998 37,628 37,628 28,796
7080 Bond Administration Fees 875 1,300 1,500 1,500
Total Debt Payments 790,141$ 783,014$ 783,187$ 788,199$
74-Transfers
7401 Transfer To General Fund 51,536 107,999 107,999 129,352
Total 74-Transfers 51,536 107,999 107,999 129,352
Total Debt Service 841,677 891,013 891,186 917,551
100 The City of Sanger, Texas 2018‐2019 Annual Budget
DEBT SERVICE FUND REQUIREMENTS
Fiscal Year Principal Interest Total
2019 731,548 163,149 894,697
2020 703,516 136,562 840,078
2021 699,979 111,337 811,316
2022 320,190 84,765 404,955
2023 334,652 71,541 406,193
2024 346,867 57,435 404,302
2025 309,300 42,687 351,987
2026 323,900 28,193 352,093
2027 71,800 13,023 84,823
2028 28,800 9,768 38,568
2029 30,600 8,400 39,000
2030 31,800 6,870 38,670
2031 33,600 5,280 38,880
2032 35,400 3,600 39,000
2033 36,600 1,830 38,430
2034 - - -
Total 4,038,552 744,440 4,782,992
Debt Service Fund
Annual Debt Service Requirements
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
$1,000,000
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034
Debt Service Fund
Annual Debt Service Requirements
Principal Interest
The City of Sanger, Texas 2018‐2019 Annual Budget 101
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102 The City of Sanger, Texas 2018‐2019 Annual Budget
ENTERPRISE FUND
The Enterprise Fund is the financial structure used for the accounting of providing water, sanitary sewer, and electric
services to the residents of the City and for the billing and collection of charges to customers for these services.
The Enterprise Fund receives revenues from the billing of water, waste water and electric, interest income and other
miscellaneous revenue sources.
The Enterprise Fund includes these departments:
o Water
o Waste Water
o Electric
o Debt Service
The basis of accounting for the Enterprise Fund for both financial reporting and budgeting is the accrual basis.
NOTE: Certain expenses related to facilities (utilities, maintenance, etc.) moved from individual departments to the
new Facilities Department in the Internal Service Fund as of the 2017-2018 Annual Budget.
The City of Sanger, Texas 2018‐2019 Annual Budget 103
ENTERPRISE FUND BUDGET SUMMARY
17%
16%
64%
2%0%
1%
Enterprise Fund Revenues 2018-2019
Water
Waste Water
Electric
Penalties and Fees
Interest Income
Miscellaneous
11%
1%
55%
1%
3%
1%
13%
15%
Enterprise Fund Expenditures 2018-2019
Salaries & Benefits
Supplies & Materials
Maintenance & Operations
Contract Services
Utilities
Capital Expenses
Debt Service
Transfers Out
104 The City of Sanger, Texas 2018‐2019 Annual Budget
ENTERPRISE FUND BUDGET SUMMARY
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 10,322,730 10,387,905 10,387,905 11,049,248
Revenues
Water 1,743,651 1,890,000 2,095,485 2,027,811
Waste Water 1,682,105 1,850,000 1,930,541 1,964,975
Electric 7,616,971 8,122,500 8,081,727 7,701,930
Penalties and Fees 197,922 210,000 217,612 217,000
Interest Income 15,412 15,412 17,059 15,000
Miscellaneous 53,732 52,000 73,654 68,250
Total Enterprise Fund Revenues 11,309,793 12,139,912 12,416,078 11,994,966
Expenditures
Salaries & Benefits 1,107,724 1,217,690 1,147,446 1,270,807
Supplies & Materials 100,827 102,640 67,334 107,640
Maintenance & Operations 6,559,244 6,634,680 6,933,551 6,595,968
Contract Services 100,000 102,200 108,905 163,700
Utilities 288,547 325,400 256,249 320,700
Capital Expenses - 469,600 7,229 126,600
Debt Service 1,323,222 1,650,583 1,650,377 1,630,086
Total Expenditures 9,479,564 10,502,793 10,171,091 10,215,501
Other Uses
Transfers Out 1,765,054 1,811,441 1,583,644 1,779,465
Total Other Uses 1,765,054 1,811,441 1,583,644 1,779,465
Total Expenses/Uses 11,244,618 12,314,234 11,754,735 11,994,966
Excess of Revenues/Sources
over Expenditures/Uses
Ending Fund Balance 10,387,905 10,213,583 11,049,248 11,049,248
65,175 (174,322) 661,343 -
The City of Sanger, Texas 2018‐2019 Annual Budget 105
ENTERPRISE FUND REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Water
4110 Water Billing 1,698,494 1,850,000 2,073,335 1,987,811
4112 Water Meter Revenue 45,157 40,000 22,150 40,000
Total Water 1,743,651 1,890,000 2,095,485 2,027,811
4120 Total Sewer 1,682,105 1,850,000 1,930,541 1,964,975
Electric
4140 Electric Income 7,482,203 8,000,000 7,980,105 7,481,930
4141 Security Lights 66,082 70,000 64,241 70,000
4145 Construction Income 41,015 30,000 12,492 125,000
4146 Pole Contact Fee 19,565 17,500 19,565 20,000
4147 Saw Set Pole Fees 7,500 5,000 5,016 5,000
4148 Meter Bases 606 - 308 -
Total Electric 7,616,971 8,122,500 8,081,727 7,701,930
Penalties & Fees
4151 Penalties 140,202 150,000 158,612 151,000
4152 Service Fees 57,720 60,000 59,000 66,000
Total Penalties and Fees 197,922 210,000 217,612 217,000
4800 Total Interest 15,412 15,412 17,059 15,000
Miscellaneous Income
4910 Miscellaneous Income 1,845 10,000 27,390 10,000
4913 Credit Card Fees 38,447 40,000 44,619 56,250
4930 Returned Check Fees 1,470 2,000 1,645 2,000
4946 Insurance Damage Reimbursement 11,970 - - -
Total Miscellaneous 53,732 52,000 73,654 68,250
Total Revenues 11,309,793 12,139,912 12,416,078 11,994,966
106 The City of Sanger, Texas 2018‐2019 Annual Budget
WATER DEPARTMENT
Overview
The Water Department operates and maintains the city's potable water system providing service to over 2000
customers.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 359,588 386,912 358,135 404,640 17,728 4.58%
Supplies & Materials 15,036 22,500 17,140 22,500 - 0.00%
Maintenance & Operations 636,191 623,300 608,246 681,017 57,717 9.26%
Contract Services 13,623 6,500 3,688 6,500 - 0.00%
Utilities 110,176 150,400 150,581 150,400 - 0.00%
Capital Expenses - 104,600 - 104,600 - 0.00%
Total 1,134,614 1,294,212 1,137,790 1,369,657 75,445 5.83%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 6 6 6
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Performance Measures / Activity Measures*
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Line and Main Repairs - 72 75
Install/Change Out Meters - 172 200
Manually Read Water Meters - 7,108 6,500
Complete Service Orders - 1,135 1,200
Meter Disconnections - 267 275
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
*Activity measures are combined for Water and Waste Water Departments
The City of Sanger, Texas 2018‐2019 Annual Budget 107
WATER DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 241,575 237,954 234,940 249,889
5111 Merit Increase - 8,257 - 8,746
5117 Vacation Compensation 2,098 2,100 3,781 -
5119 Standby Pay - 2,500 - 4,000
5120 Overtime 19,560 26,290 23,299 2,677
5125 Longevity Pay 1,644 1,932 2,028 26,000
5129 Cell Phone Allowance - 600 600 2,136
5130 F I C A 19,523 21,230 19,857 600
5140 Retirement 19,885 22,065 20,903 22,495
5150 Health Insurance 46,860 46,800 43,475 23,583
5160 Worker's Compensation 8,218 15,987 8,423 46,800
5170 T.E.C. 225 1,197 829 17,084
5180 Medical/Physicals - - - 630
Total 51-Salaries And Benefits 359,588 386,912 358,135 404,640
52-Supplies And Materials
5220 Postage 1,645 1,500 1,977 1,500
5223 Chemical Supplies 2,733 6,000 5,639 6,000
5230 Advtg (Wa. Drinking) 706 1,300 638 1,300
5235 Dues And Subscriptions 4,489 3,000 959 3,000
5240 Conferences And Training 750 200 145 200
5250 Minor Tools - 5,000 2,912 5,000
5255 Wearing Apparel 4,238 3,000 3,493 3,000
5260 Safety Equipment 475 2,500 1,377 2,500
Total 52-Supplies And Materials 15,036 22,500 17,140 22,500
108 The City of Sanger, Texas 2018‐2019 Annual Budget
WATER DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
50-Water Expenditures Actual Budget Estimate Budget
53-Maintenance And Operations
5310 R & M Building 1,895 - - -
5320 Motor Vehicle Fuel 13,802 15,000 17,755 15,000
5325 R & M Motor Vehicle 13,630 7,500 6,786 7,500
5326 R & M Minor Equipment 2,233 5,000 70 5,000
5335 Permit Fees 31,047 34,500 14,481 34,500
5345 Lease Equipment 780 800 585 800
5350 Franchise Fees 77,024 99,000 99,000 107,342
5360 System Maintenance 95,718 70,000 86,683 100,000
5372 Water Meter & Boxes 51,859 65,000 60,167 65,000
5373 R & M Water Wells 37,301 30,000 18,573 30,000
5374 R & M Scada 2,610 10,000 8,874 10,000
5377 Testing 25,818 8,000 18,130 10,000
5385 Water Purchase 84,354 65,000 80,884 75,000
5386 Utility Dem and Charge 205,750 213,500 196,258 220,875
5399 Inventory Adjustment (7,630) - - -
Total 53-Maintenance And Operations 636,191 623,300 608,246 681,017
54-Contract Services
5430 Professional Svcs 9,620 3,000 - 3,000
5450 Technical Support 4,003 3,500 3,688 3,500
Total 54-Contract Services 13,623 6,500 3,688 6,500
55-Utilities
5515 50-5515 Electric 109,257 150,000 150,319 150,000
5520 50-5520 Cell Phone 919 400 262 400
Total 55-Utilities 110,176 150,400 150,581 150,400
61-Capital Outlay
6145 Water Equipment - 104,600 - 104,600
Total 61-Capital Outlay - 104,600 - 104,600
Total 50-Water 1,134,614 1,294,212 1,137,790 1,369,657
The City of Sanger, Texas 2018‐2019 Annual Budget 109
WASTE WATER DEPARTMENT
Overview
The Waste Water department is responsible for the collection and treatment of waste water through the City's sanitary
sewer system.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 161,772 207,949 170,970 214,408 6,459 3.11%
Supplies & Materials 39,616 38,140 14,287 38,140 - 0.00%
Maintenance & Operations 226,921 265,580 402,896 287,609 22,029 8.29%
Contract Services 11,169 3,500 14,531 3,500 - 0.00%
Utilities 169,593 175,000 105,406 170,000 (5,000) -2.86%
Capital Expenses - - - - - -
Total 609,071 690,169 708,090 713,657 23,488 3.40%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 2 3 3
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Performance Measures / Activity Measures*
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Line and Main Repairs - 72 75
Install/Change Out Meters - 172 200
Manually Read Water Meters - 7,108 6,500
Complete Service Orders - 1,135 1,200
Meter Disconnections - 267 275
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
*Activity measures are combined for Water and Waste Water Departments
110 The City of Sanger, Texas 2018‐2019 Annual Budget
WASTE WATER DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 94,913 131,497 100,737 137,075
5111 Merit Increase - 4,537 - 4,798
5117 Vacation Compensation 1,635 1,000 1,791 1,900
5119 Standby Pay - 5,100 - 4,073
5120 Overtime 28,471 10,110 27,687 10,000
5125 Longevity Pay 892 1,036 988 1,132
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 8,895 11,604 9,248 12,208
5140 Retirement 9,570 12,054 10,405 12,798
5150 Health Insurance 15,619 23,400 15,677 23,400
5160 Worker's Compensation 1,757 6,327 2,904 6,064
5170 T.E.C. 20 684 933 360
Total 51-Salaries And Benefits 161,772 207,949 170,970 214,408
52-Supplies And Materials
5223 Chemical Supplies 36,316 30,000 11,533 30,000
5235 Dues And Subscriptions 583 1,500 - 1,500
5240 Conferences And Training 150 - 118 -
5250 Tools & Equipment 642 1,500 24 1,500
5255 Wearing Apparel 567 1,140 275 1,140
5260 Safety Equipment 286 2,000 110 2,000
5270 Laboratory Supplies 772 1,500 2,227 1,500
5285 Furniture And Fixtures 300 500 - 500
Total 52-Supplies And Materials 39,616 38,140 14,287 38,140
53-Maintenance And Operations
5310 R & M Building 3,052 - - -
5325 R & M Motor Vehicle 927 1,000 1,658 1,000
5326 R & M Equipment 84 500 - 500
5335 Permit Fees 5,524 10,000 5,524 10,000
5350 Franchise Fees 70,560 94,080 94,080 106,109
5360 System Maintenance 123,798 150,000 225,750 150,000
5377 Testing 22,976 10,000 75,884 20,000
Total 53-Maintenance And Operations 226,921 265,580 402,896 287,609
The City of Sanger, Texas 2018‐2019 Annual Budget 111
WASTE WATER DEPARTMENT EXPENDITURES
54-Waste Water Expenditures Actual Budget Estimate Budget
54-Contract Services
5430 Professional Services 11,025 3,000 13,941 3,000
5450 Technical Support 144 500 590 500
Total 54-Contract Services 11,169 3,500 14,531 3,500
55-Utilities
5515 Electric 115,664 155,000 102,582 150,000
5535 Solid Waste 53,929 20,000 2,824 20,000
Total 55-Utilities 169,593 175,000 105,406 170,000
Total 54-Waste Water 609,071 690,169 708,090 713,657
112 The City of Sanger, Texas 2018‐2019 Annual Budget
ELECTRIC DEPARTMENT
Overview
The Electric department provides service to over 2000 customers and maintains the electrical distribution system with
the City's Electric service area.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 586,364 622,829 618,341 651,759 28,930 4.64%
Supplies & Materials 46,175 42,000 35,907 47,000 5,000 11.90%
Maintenance & Operations 5,696,132 5,745,800 5,922,409 5,627,342 (118,458) -2.06%
Contract Services 75,208 92,200 90,686 153,700 61,500 66.70%
Utilities 8,778 - 262 300 300 -
Capital Expenses - 365,000 7,229 22,000 (343,000) -93.97%
Debt Service 120,187 77,816 77,636 56,464 (21,352) -27.44%
Total 6,532,844 6,945,645 6,752,470 6,558,565 (387,080) -5.57%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 7 7 7
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Service Connects - 244 250
Service Disconnects - 219 220
Occupant Change Requests - 333 350
Service Cutoffs - 246 250
Service Reinstates - 205 225
Service Changes - 135 140
Customer-side Issues Resolved - 46 50
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
The City of Sanger, Texas 2018‐2019 Annual Budget 113
ELECTRIC DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 435,600 431,469 454,637 453,130
5111 Merit Increase - 14,958 - 15,860
5117 Vacation Compensation 6,055 6,000 5,674 6,000
5119 Standby Pay - 11,158 - 12,410
5120 Overtime 7,574 7,590 9,936 7,500
5125 Longevity Pay 5,392 5,728 5,728 6,064
5128 Automobile Allowance 4,250 6,000 6,000 6,000
5129 Cell Phone Allowance - 1,800 1,800 1,800
5130 F I C A 32,178 36,620 34,572 38,921
5140 Retirement 34,277 38,063 38,216 40,803
5150 Health Insurance 54,616 54,600 54,855 54,600
5160 Worker's Compensation 6,281 7,403 6,766 7,951
5170 T.E.C. 141 1,340 157 720
5180 Medical/Physicals - 100 - -
Total 51-Salaries And Benefits 586,364 622,829 618,341 651,759
52-Supplies And Materials
5210 Office Supplies 1,824 2,000 2,253 2,000
5215 Food 409 500 327 500
5230 Advertising 1,327 900 605 900
5235 Dues And Subscriptions 9,459 5,000 12,413 7,500
5240 Conferences And Training 2,799 5,000 6,066 7,500
5245 Janitorial Supplies 304 - - -
5250 Tools & Equipment 16,929 12,000 2,230 12,000
5255 Wearing Apparel 3,154 8,600 6,842 8,600
5260 Safety Equipment 9,970 8,000 5,171 8,000
Total 52-Supplies And Materials 46,175 42,000 35,907 47,000
114 The City of Sanger, Texas 2018‐2019 Annual Budget
ELECTRIC DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
53-Maintenance And Operations
5310 R & M Building 2,357 - - -
5320 Motor Vehicle Fuel 11,246 15,000 11,915 15,000
5325 R & M Motor Vehicle 27,352 20,000 15,068 20,000
5326 R & M Minor Equipment - 4,000 1,107 4,000
5329 Christmas Display 6 3,800 380 3,800
5330 Equipment Rental - 3,000 106 3,000
5340 Hazardous Waste Disposal - 1,000 - 1,000
5345 Lease Equipment 1,344 1,500 1,008 1,500
5347 Vandalism Replacement - 1,000 - 1,000
5350 Franchise Fees 485,414 406,000 406,000 404,024
5355 Meter Maintenance 14,768 14,500 21,840 14,500
5360 System Maintenance 64,320 125,000 93,740 125,000
5365 Transformers 4,100 49,000 67,493 49,000
5384 Transmission Costs 925,545 900,000 936,631 882,250
5385 Wholesale Utility Purchase 4,264,870 4,200,000 4,367,121 4,101,268
5390 Radios Electric 5,085 2,000 - 2,000
5399 Inventory Adjustment (110,275) - - -
Total 53-Maintenance And Operations 5,696,132 5,745,800 5,922,409 5,627,342
54-Contract Services
5430 Professional Services 25,000 - 25,000 40,000
5440 Engineering Architect 589 6,000 9,587 6,000
5450 Technical Support 7,837 5,600 7,504 5,600
5451 Annual Software Support 3,624 2,000 1,402 2,000
5470 Contract Utility Work 9,582 25,000 16,982 46,500
5471 Contract Tree Trimming 28,576 28,600 28,728 28,600
5472 Contractual Services - 25,000 1,483 25,000
Total 54-Contract Services 75,208 92,200 90,686 153,700
55-Utilities
5515 Electric 7,026 - - -
5520 Cell Phone 1,752 - 262 300
Total 55-Utilities 8,778 - 262 300
The City of Sanger, Texas 2018‐2019 Annual Budget 115
ELECTRIC DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
61-Capital Outlay
6130 Vehicles - 140,000 - -
6180 Electric System Improvements - 225,000 7,229 22,000
Total 61-Capital Outlay - 365,000 7,229 22,000
70-Debt Payments
7020 Lease Payment 114,676 73,425 73,245 54,847
7099 Interest Expense 5,511 4,391 4,391 1,617
Total Other Expenditures 120,187 77,816 77,636 56,464
Total 58-Electric 6,532,844 6,945,645 6,752,470 6,558,565
116 The City of Sanger, Texas 2018‐2019 Annual Budget
ENTERPRISE FUND DEBT SERVICE
Overview
Debt Service is used to pay principal, interest, and bond fees on the City's debt.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Debt Service 1,203,035 1,572,767 1,572,741 1,573,622 855 0.05%
Total 1,203,035 1,572,767 1,572,741 1,573,622 855 0.05%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
The City of Sanger, Texas 2018‐2019 Annual Budget 117
ENTERPRISE FUND DEBT SERVICE EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
70-Debt Payments
7025 Co 2007 Principal 56,100 56,100 56,100 59,400
7026 Co 2007 Interest 33,364 30,928 30,902 28,460
7028 Go Refunding 2012 Principal 196,000 198,800 198,800 207,200
7029 Go Refunding 2012 Interest 28,532 22,652 22,652 16,688
7030 Co 2013 Principal 149,600 154,000 154,000 154,000
7032 Co 2013 Interest 135,212 132,220 132,220 128,370
7035 Co 2015 Principal 100,000 115,000 115,000 115,000
7036 Co 2015 Interest 196,800 194,650 194,650 192,350
7037 Refunding 2016 Principal 256,500 259,200 259,200 270,000
7038 Refunding 2016 Interest 49,302 44,172 44,172 33,804
7040 GO 2017 Interest - 363,545 363,545 366,600
Bond Administration Fees 1,625 1,500 1,500 1,750
7080 Interest Expense - - - -
Total Debt Service 1,203,035 1,572,767 1,572,741 1,573,622
118 The City of Sanger, Texas 2018‐2019 Annual Budget
TRANSFERS TO OTHER FUNDS
Overview
The City transfers between funds in order to properly account for revenues and expenses.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Transfers 1,765,054 1,811,441 1,583,644 1,779,465 (31,976) -1.77%
Total 1,765,054 1,811,441 1,583,644 1,779,465 (31,976) -1.77%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
The City of Sanger, Texas 2018‐2019 Annual Budget 119
TRANSFERS TO OTHER FUNDS
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
74-Transfers
7401 Transfer To General Fund 150,000 100,000 100,000 -
7441 Transfer To 4A 25,000 25,000 25,000 -
7454 Transfer To WW Cap 170,000 156,800 156,800 156,800
7458 Transfer To Electric Storm Recovery 161,750 160,000 160,000 115,920
7480 Transfer Pilot 85,000 85,000 85,000 85,000
7499 Transfer To Internal Service Fund 1,173,304 1,284,641 1,056,844 1,421,745
Total Transfers 1,765,054 1,811,441 1,583,644 1,779,465
120 The City of Sanger, Texas 2018‐2019 Annual Budget
NON-DEPARTMENTAL EXPENDITURES
Overview
The Non-Departmental budget accounts for expenses that cannot easily be attributed to any specific department.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits - 58,897 - - (58,897) -100.00%
Total - 58,897 - - (58,897) -100.00%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
The City of Sanger, Texas 2018‐2019 Annual Budget 121
NON-DEPARTMENTAL
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5199 Pay Plan Implementation - 58,897 - -
Total 99-Non-Departmental - 58,897 - -
122 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 123
IN
T
E
R
N
A
L
S
E
R
V
I
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F
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D
124 The City of Sanger, Texas 2018‐2019 Annual Budget
INTERNAL SERVICE FUND
Revenues and expenses related to services provided to organizations inside the City on a cost reimbursement basis
are accounted for in an Internal Service Fund. The City’s Internal Service Fund was set up to provide administrative
support services to other Funds of the City.
The Internal Service Fund receives revenues from transfers from the General Fund and the Enterprise Fund.
The Internal Service Fund includes these departments:
o Mayor and Council
o Administration
o Public Works Administration
o Finance
o Fleet Services
o Facilities
o Non-Departmental
The basis of accounting for the Internal Service Fund for both financial reporting and budgeting is the modified accrual
basis.
NOTE: Certain expenses related to facilities (utilities, maintenance, etc.) moved from individual departments to the
new Facilities Department in the Internal Service Fund as of the 2017-2018 Annual Budget.
The City of Sanger, Texas 2018‐2019 Annual Budget 125
INTERNAL SERVICE FUND BUDGET SUMMARY
100%
Internal Service Fund Revenues 2018-2019
Transfers In
52%
6%
4%
28%
6%4%
Internal Service Fund Expenditures 2018-2019
Salaries & Benefits
Supplies & Materials
Maintenance & Operations
Contract Services
Utilities
Capital Expenses
126 The City of Sanger, Texas 2018‐2019 Annual Budget
INTERNAL SERVICE FUND BUDGET SUMMARY
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance (140,137) 22,983 22,983 86,126
Revenues
Transfers from General Fund 502,844 550,846 452,933 609,320
Transfers from Enterprise Fund 1,173,304 1,284,641 1,056,844 1,421,745
Transfers from 4A Fund - 4,100 3,548 -
Total Internal Service Fund Revenues 1,676,148 1,839,587 1,513,325 2,031,065
Expenditures
Salaries & Benefits 938,472 1,036,022 908,294 1,056,332
Supplies & Materials 97,070 93,720 79,803 115,964
Maintenance & Operations 85,098 35,012 20,358 87,584
Contract Services 350,646 442,028 429,163 565,185
Utilities 32,582 - - 114,000
Capital Expenses 9,160 16,100 12,564 92,000
Total Expenditures 1,513,028 1,622,882 1,450,182 2,031,065
Excess of Revenues over Expenditures 163,120 216,705 63,143 -
Ending Fund Balance 22,983 239,688 86,126 86,126
The City of Sanger, Texas 2018‐2019 Annual Budget 127
CITY COUNCIL DEPARTMENT
Overview
The City Council is elected by the people and is responsible for setting general policy and direction for city government.
The Council's budget is split between the General fund and Enterprise fund. The Council's budget includes funds to
pay for legal services, audit services and elections.
Expenditure Summary
2015-16 2016-17 2016-17 2017-18
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 123 125 125 150 25 20.00%
Supplies & Materials 8,461 13,500 13,247 12,000 (1,500) -11.11%
Contract Services 79,330 60,000 82,500 63,700 3,700 6.17%
Capital Outlay - - - 30,000 30,000 -
Total 87,914 73,625 95,872 105,850 32,225 43.77%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Encourage the establishment of new commercial business and the expansion of existing
businesses in Sanger.
Encourage development and preservation of the Historic Sanger Downtown area.
Improve the relationship of mixed land uses and provide optimum opportunity to live and work
in Sanger.
Improve Sanger’s street network.
Encourage job development in Sanger.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Proclamations & Resolutions Passed - 14 15
Ordinances Passed - 32 35
Plats Approved - 37 40
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
128 The City of Sanger, Texas 2018‐2019 Annual Budget
CITY COUNCIL DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5160 Worker's Compensation 68 125 219 200
Total 51-Salaries And Benefits 68 125 219 200
52-Supplies And Materials
5210 Office Supplies 359 0 0 0
5215 Food 0 500 284 500
5230 Advertising 3,688 3,500 4,065 3,500
5235 Dues & Registrations 5,296 4,000 2,926 4,000
5240 Conferences & Seminars 0 1,930 0 2,000
5280 Computers, Printers, Etc 0 2,000 2,135 2,000
Total 52-Supplies And Materials 9,343 11,930 9,410 12,000
54-Contract Services
5415 Accounting Services 23,930 25,000 25,248 27,000
5425 Legal Services 44,549 55,000 47,574 50,000
5430 Professional Services 7,054 7,500 8,614 15,000
5450 Technical Support 9,714 16,700 16,691 18,000
Total 54-Contract Services 85,247 104,200 98,127 110,000
60-Capital Outlay < $5K
6020 Improvements 0 0 0 30,000
Total 60-Capital Outlay <$5K 0 0 0 30,000
Total 10-Mayor And Council 94,658 116,255 107,756 152,200
The City of Sanger, Texas 2018‐2019 Annual Budget 129
ADMINISTRATION DEPARTMENT
Overview
Administration is responsible for the daily operations of all aspects of city government. Administration includes the
offices of city manager, city secretary and human resources. Its responsibilities include human resources and payroll,
record keeping, administration of contracts, oversight of other departments, economic development and long-range
planning.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 340,108 340,437 250,187 328,828 (11,609) -3.41%
Supplies & Materials 12,695 12,750 5,929 12,750 - 0.00%
Maintenance & Operations 10,538 10,000 - 10,000 - 0.00%
Contract Services 5,967 5,000 2,220 5,000 - 0.00%
Utilities 2,772 - - - - -
Total 372,080 368,187 258,336 356,578 (11,609) -3.15%
Personnel
Full Time 4 3 3
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Encourage the establishment of new commercial business and the expansion of existing
businesses in Sanger.
Encourage development and preservation of the Historic Sanger Downtown area.
Improve the relationship of mixed land uses and provide optimum opportunity to live and work
in Sanger.
Improve Sanger’s street network.
Encourage job development in Sanger.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Open Records Requests Processed - 127 100
New Employee Orientations - 12 12
City Council Meetings - 23 24
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
130 The City of Sanger, Texas 2018‐2019 Annual Budget
ADMINISTRATION DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 261,462 256,026 195,183 245,921
5111 Merit Increase 0 8,961 0 8,607
5117 Vacation Compensation 596 0 0 0
5120 Overtime 0 200 0 200
5125 Longevity Pay 1,760 908 446 708
5128 Auto Allowance 6,000 6,000 2,250 6,000
5129 Cell Phone Allowance 0 1,200 1,050 1,800
5130 F I C A 19,164 20,907 13,980 20,138
5140 Retirement 21,255 21,727 15,773 21,112
5150 Health Insurance 28,112 23,400 20,369 23,400
5160 Worker's Compensation 1,599 591 522 670
5170 T.E.C. 160 517 614 272
Total 51-Salaries And Benefits 340,108 340,437 250,187 328,828
52-Supplies And Materials
5210 Office Supplies 1,268 0 235 0
5215 Food 24 0 0 0
5225 Maps & Subscription 240 0 0 0
5230 Advertising 2,154000
5235 Dues & Registration 1,528 4,250 3,160 4,250
5240 Conferences & Training 6,548 5,000 1,528 5,000
5255 Janitorial Apparel 0 2,000 708 0
5280 Computers, Printers, Etc 127 1,500 298 2,000
5285 Furniture & Fixtures 806 0 0 1,500
Total 52-Supplies And Materials 12,695 12,750 5,929 12,750
53-Maintenance And Operations
5305 Contingency Reserve 10,000 10,000 0 10,000
5320 Motor Vehicle Fuel 474 0 0 0
5325 R & M Motor Vehicle 64 0 0 0
Total 53-Maintenance And Operations 10,538 10,000 0 10,000
54-Contract Services
5437 Janitorial Services 2,493000
5450 Technical Support 3,474 5,000 2,220 5,000
Total 54-Contract Services 5,967 5,000 2,220 5,000
The City of Sanger, Texas 2018‐2019 Annual Budget 131
ADMINISTRATION DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
15-Administration Expenditures Actual Budget Estimate Budget
55-Utilities
5515 Electric 2,451000
5516 Gas Service 321 0 0 0
Total 55-Utilities 2,772000
Total 15-Administration 372,080 368,187 258,336 356,578
132 The City of Sanger, Texas 2018‐2019 Annual Budget
PUBLIC WORKS ADMINISTRATION DEPARTMENT
Overview
Public Works Administration oversees the street, park and recreation, fleet maintenance, water and wastewater
departments. It is also responsible for engineering services and liaison with outside engineers and contractors. Public
Works Administration oversees most capital improvement projects. Engineering also reviews new subdivision plans
and serves as the flood plain coordinator.
Expenditure Summary
2015-16 2016-17 2016-17 2017-18
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 195,206 161,279 156,573 233,604 72,325 44.84%
Supplies & Materials 12,930 12,790 13,355 11,340 (1,450) 88.66%
Maintenance & Operations 16,560 3,500 5,000 1,512 (1,988) 43.20%
Contract Services 21,117 25,000 23,420 26,000 1,000 104.00%
Utilities 3,423 9,600 4,350 - (9,600) 0.00%
Capital Outlay 16,301 - - 1,000 1,000 -
Total 265,537 212,169 202,698 273,456 61,287 128.89%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 2 3 3
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage development of quality single family residential neighborhoods in Sanger.
Improve the relationship of mixed land uses and provide optimum opportunity to live and work
in Sanger.
Improve Sanger’s street network.
The City of Sanger, Texas 2018‐2019 Annual Budget 133
PUBLIC WORKS ADMINISTRATION DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 132,417 165,379 167,585 175,562
5111 Merit Increase - 5,645 - 6,145
5117 Vacation Compensation 669 500 1,846 1,950
5120 Overtime 79 300 - 300
5125 Longevity Pay 300 1,252 1,252 1,396
5128 Vehicle Allowance 6,000 6,000 6,000 6,000
5129 Cell Phone Allowance - 1,200 1,200 1,200
5130 F I C A/Medicare 9,944 13,760 11,574 14,731
5140 Retirement 9,684 14,297 12,358 15,443
5150 Health Insurance 15,884 23,400 19,554 23,400
5160 Worker's Compensation - 6,092 2,740 6,802
5170 T.E.C. 40 519 291 293
Total 51-Salaries And Benefits 175,017 238,344 224,400 253,222
52-Supplies And Materials
5210 Office Supplies 3,897 3,000 3,127 3,000
5215 Food 297 300 170 300
5230 Advertising 1,257 600 542 600
5235 Dues And Subscriptions 5,688 3,310 1,185 3,310
5240 Conferences And Training 3,051 1,330 1,091 2,554
5245 Janitorial Supplies 944 - - -
5275 Filing Fees - 500 - 500
5280 Computer Systems 1,367 2,000 77 2,000
5285 Furniture And Fixtures - 300 - 300
Total 52-Supplies And Materials 16,501 11,340 6,192 12,564
53-Maintenance And Operations
5310 R & M Building 3,454 - - -
5332 Office Machine Leas 1,785 1,512 1,908 1,584
Total 53-Maintenance And Operations 5,239 1,512 1,908 1,584
134 The City of Sanger, Texas 2018‐2019 Annual Budget
PUBLIC WORKS ADMINISTRATION DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
18-Public Works Admin Expenditures Actual Budget Estimate Budget
54-Contract Services
5426 Credit Card Fees - - 276 1,000
5430 Professional Service 2,875 2,500 250 2,500
5440 Engineering/Architect 1,650 62,000 69,128 75,000
5450 Technical Support 12,806 7,500 12,092 12,135
5451 Annual Software Sup 6,420 6,000 6,869 6,900
Total 54-Contract Services 23,751 78,000 88,615 97,535
55-Utilities
5515 Electric 2,344 - - -
5516 Gas Service 712 - - -
Total 55-Utilities 3,056 - - -
61-Capital Outlay
6120 Building Improvements - - - -
6145 Other Equipment - 1,000 1,231 1,000
Total 55-Utilities - 1,000 1,231 1,000
Total 18-Public Works 223,564 330,196 322,346 365,905
The City of Sanger, Texas 2018‐2019 Annual Budget 135
FINANCE DEPARTMENT
Overview
The Finance Department is responsible for all banking and investments activities of the City. Finance also handles
accounts payable and utility billing. Finance assists administration with budget preparation and monitoring and
provides reports to the manager and council on current revenues and expenditures.
Expenditure Summary
2015-16 2016-17 2016-17 2017-18
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 309,182 331,323 327,752 359,977 28,654 8.65%
Supplies & Materials 15,371 26,460 25,225 17,500 (8,960) -33.86%
Maintenance & Operations 3,289 2,000 1,750 - (2,000) -100.00%
Contract Services 65,615 67,852 66,350 90,028 22,176 32.68%
Utilities 3,222 3,894 2,925 - (3,894) -100.00%
Capital Outlay - - - 52,000 52,000 -
Total 396,679 431,529 424,002 519,505 87,976 20.39%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 5 5 5
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Moody's Bond Rating A1 A1 A1
Purchase Orders Processed 380 361 380
Number of AP Invoices Processed 5,761 5,386 5,500
Number of Payroll Checks Processed 2,334 2,437 2,500
Number of Utility Bills Generated 40,101 42,136 44,500
New Utility Applications Processed 87 101 120
136 The City of Sanger, Texas 2018‐2019 Annual Budget
FINANCE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 260,534 262,241 266,626 272,918
5111 Merit Increase - 9,073 - 9,553
5117 Vacation Compensation - - 776 850
5125 Longevity Pay 732 892 804 996
5128 Automobile Allowance - 6,000 6,000 6,000
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 18,226 21,337 19,459 22,256
5140 Retirement 19,686 22,165 21,727 23,332
5150 Health Insurance 38,314 39,000 39,221 39,000
5160 Worker's Compensation 621 1,324 703 1,397
5170 T.E.C. 239 855 643 459
Total 51-Salaries And Benefits 338,352 363,487 356,559 377,361
52-Supplies And Materials
5201 Other - - - -
5210 Office Supplies 5,783 7,500 5,962 7,750
5235 Dues And Subscriptions 1,095 1,000 715 -
5240 Conferences And Training 5,115 6,000 5,769 1,000
5245 Janitorial Supplies 744 - - 7,500
5280 Computer Systems 3,577 3,000 3,201 3,000
Total 52-Supplies And Materials 16,314 17,500 15,647 19,250
53-Maintenance And Operations
5310 R & M Building 4,056 - - -
Total 53-Maintenance And Operations 4,056 - - -
54-Contract Services
5426 Credit Card Fees 39,995 45,000 46,825 56,250
5429 M VBA Collection Fees 364 1,000 566 1,000
5450 Technical Support 7,942 4,500 3,212 15,000
5451 Annual Software Support 21,576 29,028 22,133 30,500
Total 54-Contract Services 69,877 79,528 72,736 102,750
The City of Sanger, Texas 2018‐2019 Annual Budget 137
FINANCE DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
55-Utilities
5515 Electric 2,451 - - -
5516 Gas Service 321 - - -
Total 55-Utilities 2,772 - - -
60-Capital Outlay
6025 Computer Hardware - - - 52,000
Total 60-Capital Outlay - - - 52,000
Total 19-Finance 431,371 460,515 444,942 551,361
138 The City of Sanger, Texas 2018‐2019 Annual Budget
FLEET SERVICES DEPARTMENT
Overview
Fleet Services provides vehicle and equipment maintenance for all City departments.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 68,412 71,629 70,117 74,721 3,092 4.32%
Supplies & Materials 7,128 8,200 6,975 8,400 200 2.44%
Maintenance & Operations 7,708 8,500 4,743 10,000 1,500 17.65%
Contract Services 1,752 1,000 1,435 3,400 2,400 240.00%
Utilities 4,355 - - - - -
Capital Expenses 9,160 3,100 - - (3,100) -100.00%
Total 98,515 92,429 83,270 96,521 4,092 4.43%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 2 2 1
Part Time 0 0 0
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Performance Measures / Activity Measures
Measure 2016-2017
Actual
2017-2018
Actual
2018-2019
Projected
Routine Maintenance Repairs - 88 90
Emergency Repair Orders - 8 10
Other Repair Orders - 633 650
**The monthly reporting format for City departments was updated in 2017. Some performance measures were kept, some were scrapped and
some new ones were added. The City’s Monthly Report for September 2018 is provided on page 214.
The City of Sanger, Texas 2018‐2019 Annual Budget 139
FLEET SERVICES DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 50,351 50,163 51,597 52,583
5111 Merit Increase - 1,739 - 1,840
5120 Overtime 497 560 203 500
5125 Longevity Pay 60 108 108 156
5129 Cell Phone Allowance - 600 600 600
5130 F I C A 3,638 4,030 3,856 4,260
5140 Retirement 3,867 4,186 4,148 4,465
5150 Health Insurance 7,824 7,800 7,824 7,800
5160 Worker's Compensation 2,155 2,263 1,165 2,422
5170 T.E.C. 20 180 616 95
Total 51-Salaries And Benefits 68,412 71,629 70,117 74,721
52-Supplies And Materials
5223 Chemical Supplies 589 500 956 1,200
5235 Dues And Subscriptions 50 500 93 500
5245 Mechanic Shop Supplies - 500 826 1,200
5250 Tools & Equipment 587 2,300 1,778 2,300
5252 Mechanic Supplies 1,880 1,700 1,574 500
5255 Wearing Apparel 1,656 2,200 1,573 2,200
5260 Safety Equipment 1,692 500 175 500
5280 Computer Systems 384 - - -
5298 Non Capital Supplies And Materials 290 - - -
Total 52-Supplies And Materials 7,128 8,200 6,975 8,400
53-Maintenance And Operations
5310 R & M Building 1,437 - - -
5320 Motor Vehicle Fuel 984 1,000 734 1,200
5321 Oil & Lubricants 3,183 4,500 2,370 5,500
5325 R & M Motor Vehicle 1,455 1,200 680 1,700
5326 R & M Minor Equipment 529 1,000 959 1,000
5345 Lease/Purchase Equip 120 800 - 600
Total 53-Maintenance And Operations 7,708 8,500 4,743 10,000
140 The City of Sanger, Texas 2018‐2019 Annual Budget
FLEET SERVICES DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
54-Contract Services
5450 Technical Support 145 - 590 -
5451 Annual Software Support 1,607 1,000 845 3,400
Total 54-Contract Services 1,752 1,000 1,435 3,400
55-Utilities
5515 Electric 3,248 - - -
5516 Gas 1,107 - - -
Total 55-Utilities 4,355 - - -
61-Capital Outlay
6120 Building Improvements 765 - - -
6145 Fleet Equipment 8,395 3,100 - -
Total 61-Capital Outlay 9,160 3,100 - -
Total 36-Fleet Services 98,515 92,429 83,270 96,521
The City of Sanger, Texas 2018‐2019 Annual Budget 141
FACILITIES DEPARTMENT
Overview
The Facilities Department provides for the maintenance and operations of City-owned buildings. This includes repairs,
janitorial services and utilities. The Facilities Department has been created for the 2016-2017 budget and assumes the
cost of facility maintenance that has previously been accounted for in individual departments.
Expenditure Summary
2015-16 2016-17 2016-17 2017-18
Category Actual Budget Estimated Budget Difference % Change
Supplies & Materials - - - 9,500 9,500 -
Maintenance & Operations - - - 56,000 56,000 -
Contract Services - - - 48,000 48,000 -
Utilities - - - 112,000 112,000 -
Capital Outlay - - - 12,000 12,000 -
Total - - - 237,500 237,500 0.00%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
NOTE: Certain expenses related to facilities (utilities, maintenance, etc.) are moved from individual departments to the
new Facilities Department in the Internal Service Fund for the 2017-2018 Annual Budget.
142 The City of Sanger, Texas 2018‐2019 Annual Budget
FACILITIES DEPARTMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
52-Supplies And Materials
Water Delivery - 10,400 10,313 2,000
Janitorial Supplies - 10,400 10,313 15,000
Total 54-Supplies & Materials - 20,800 20,626 17,000
53-Maintenance & Operations
R&M Building - 52,500 45,841 51,000
Total 53-Maintenance And Operations - 52,500 45,841 51,000
54-Contract Services
Janitorial Services - 46,600 35,615 40,000
HVAC Contract - 4,000 2,000 4,000
Pest Management Contract - - - 11,000
Total 54-Contract Services - 50,600 37,615 55,000
55-Utilities
Telephone Services - 20,000 20,174 21,000
Electric - 85,000 73,331 85,000
Gas Service - 7,000 7,361 8,000
Total 55-Utilities - 112,000 100,866 114,000
60-Capital Outlay
Improvements - 12,000 11,333 9,000
Total 60-Capital Outlay - 12,000 11,333 9,000
Total 98-Facilities - 247,900 216,281 246,000
The City of Sanger, Texas 2018‐2019 Annual Budget 143
NON-DEPARTMENTAL
Overview
The Non-Departmental budget accounts for expenses that cannot easily be attributed to any specific department. This
includes postage, property and liability insurance and tax collection fees.
Expenditure Summary
2016-17 2017-18 2017-18 2018-19
Category Actual Budget Estimated Budget Difference % Change
Salaries & Benefits 16,515 22,000 6,812 22,000 - 0.00%
Supplies & Materials 35,089 32,000 35,650 34,000 2,000 6.25%
Maintenance & Operations 57,557 15,000 13,707 15,000 - 0.00%
Contract Services 164,052 174,300 166,030 191,500 17,200 9.87%
Utilities 19,627 - - - - -
Total 292,840 243,300 222,199 262,500 19,200 7.89%
Personnel
Authorized Employees 2016-17 2017-18 2018-19
Full Time 0 0 0
Part Time 0 0 0
144 The City of Sanger, Texas 2018‐2019 Annual Budget
NON-DEPARTMENTAL EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5150 Health Insurance 7,981 10,000 2,121 10,000
5183 Safety & Incentive 8,534 12,000 4,691 12,000
Total 51-Salaries And Benefits 16,515 22,000 6,812 22,000
52-Supplies And Materials
5210 Office Supplies 1,951 - 1,216 -
5220 Postage 33,138 32,000 34,434 34,000
Total 54-Supplies & Materials 35,089 32,000 35,650 34,000
53-Maintenance & Operations
5332 Office Machine Lease 4,424 5,000 4,718 5,000
5397 Reimburse For Damage Claims 53,133 10,000 8,989 10,000
Total 53-Maintenance And Operations 57,557 15,000 13,707 15,000
54-Contract Services
5410 T.M.L. Insurance 100,017 100,000 104,475 110,000
5420 Tax Collections 28,255 26,000 26,311 30,000
5430 Professional Services 29,048 43,750 28,791 43,750
5435 Medicals/Physicals 515 2,000 1,783 2,000
5436 Background Checks 722 750 482 750
5452 Website Hosting Fees 5,495 1,800 4188 5000
Total 54-Contract Services 164,052 174,300 166,030 191,500
55-Utilities
5510 Telephone Services 19,627 - - -
Total 55-Utilities 19,627 - - -
Total 99-Non-Departmental 292,840 243,300 222,199 262,500
The City of Sanger, Texas 2018‐2019 Annual Budget 145
4A
F
U
N
D
146 The City of Sanger, Texas 2018‐2019 Annual Budget
4A CORPORATION FUND
Overview
The Sanger Texas Industrial Development Corporation (4A Fund) is funded by a 1/2 cent sales tax. It is used to help
new and existing businesses expand in Sanger with a primary goal of bringing jobs to the Sanger community. Primary
jobs include manufacturing and distribution jobs that increase income and enhance the local economy.
The Sanger Texas Industrial Development Corporation is governed by a board of five directors, all of whom are
appointed by the City Council of the City of Sanger. The 4A Fund was incorporated in the state of Texas as a non-
profit industrial development corporation under section 4A of the Development Corporation Act of 1979.
The basis of accounting for the 4A Corporation Fund for both financial reporting and budgeting is the modified accrual
basis.
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Encourage the establishment of new commercial business and the expansion of existing
businesses in Sanger.
Encourage development and preservation of the Historic Sanger Downtown area.
Improve the relationship of mixed land uses and provide optimum opportunity to live and work
in Sanger.
Encourage job development in Sanger.
The City of Sanger, Texas 2018‐2019 Annual Budget 147
4A CORPORATION FUND BUDGET SUMMARY
94%
0%6%
4A Corporation Revenues 2018-2019
Taxes
Other
Transfers In
49%
7%2%
18%
1%
23%
4A Corporation Expenditures 2018-2019
Salaries & Benefits
Supplies & Materials
Maintenance & Operations
Contract Services
Utilities
Debt Service
148 The City of Sanger, Texas 2018‐2019 Annual Budget
4A CORPORATION FUND BUDGET SUMMARY
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 2,216,910 1,774,134 1,774,134 1,600,525
Revenues
Taxes 435,405 385,000 436,100 385,000
Interest Income 13,409 1,000 3,135 1,750
Total Revenues 448,814 386,000 439,235 386,750
Other Sources
Transfers In 50,000 50,000 50,000 25,000
Total Other Sources 50,000 50,000 50,000 25,000
Total Revenues/Sources 498,814 436,000 489,235 411,750
Expenditures
Salaries & Benefits 119,916 126,227 92,130 129,576
Supplies & Materials 4,348 17,600 4,061 17,600
Maintenance & Operations - 5,880 371 5,880
Contract Services 6,059 36,250 1,468 48,250
Utilities - - - 2,100
Debt Service 61,267 61,267 61,266 61,267
Total Expenditures 191,590 247,224 159,296 264,673
Other Uses
Transfers Out 750,000 504,100 503,548 -
Total Other Uses 750,000 504,100 503,548 -
Total Expenses/Uses 941,590 751,324 662,844 264,673
Excess of Revenues/Sources
over Expenditures/Uses (442,776) (315,324) (173,609) 147,077
Ending Fund Balance 1,774,134 1,458,810 1,600,525 1,747,602
The City of Sanger, Texas 2018‐2019 Annual Budget 149
4A CORPORATION FUND REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Taxes
4325 Sales Tax 435,405 385,000 436,100 385,000
Total Taxes 435,405 385,000 436,100 385,000
Miscellaneous Income
4446 Grant Revenue 5,000 - - -
4910 Rental Income 6,555 - - -
4913 Interest Income 1,854 1,000 3,135 1,750
Total Miscellaneous 13,409 1,000 3,135 1,750
Transfers
4980 Transfers from Enterprise Fund 25,000 25,000 25,000 -
4986 Transfers from 4B Fund 25,000 25,000 25,000 25,000
Total Transfers 50,000 50,000 50,000 25,000
Total Revenues 498,814 436,000 489,235 411,750
150 The City of Sanger, Texas 2018‐2019 Annual Budget
ECONOMIC DEVELOPMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
51-Salaries And Benefits
5110 Regular Salaries 91,047 91,910 69,578 94,779
5111 Merit Increase - 3,217 - 3,318
5125 Longevity Pay 100 148 118 48
5128 Auto Allowance 6,000 6,000 4,750 6,000
5129 Cell Phone Allowance - 600 500 600
5130 F I C A 7,458 7,793 5,651 8,024
5140 Retirement 7,467 8,099 5,855 8,413
5150 Health Insurance 7,824 7,800 5,250 7,800
5160 Worker's Compensation - 489 234 504
5170 T.E.C. 20 171 194 90
Total 51-Salaries And Benefits 119,916 126,227 92,130 129,576
52-Supplies And Materials
5210 Office Supplies 231 800 568 800
5215 Food 157 300 37 300
5226 Marketing And Promotion 1,950 10,000 263 10,000
5235 Dues And Registrations 1,345 2,000 1,917 2,000
5240 Conferences And Training 665 4,000 1,276 4,000
5280 Computer Systems - 500 - 500
Total 52-Supplies And Materials 4,348 17,600 4,061 17,600
53-Maintenance And Operations
5310 R & M Building - 5,000 95 5,000
5332 Office Machine Lease - 880 276 880
Total 53-Maintenance And Operations - 5,880 371 5,880
54-Contract Services
5430 Professional Service 3,800 33,000 - 45,000
5450 Technical Support 808 1,500 118 1,500
5451 Annual Software Support 1,451 1,750 1,350 1,750
Total 54-Contract Services 6,059 36,250 1,468 48,250
The City of Sanger, Texas 2018‐2019 Annual Budget 151
ECONOMIC DEVELOPMENT EXPENDITURES
2016-17 2017-18 2017-18 2018-19
46-Economic Development Actual Budget Estimate Budget
55-Utilities
5515 Electric - - - 1,750
5516 Gas Service - - - 350
Total 55-Utilities - - - 2,100
70-Debt Payments
7005 Note Pymts - Gnb -
7007 Note Pymts - Warehouse 43,637 46,014 45,717 48,176
7099 Interest Expense 17,630 15,253 15,549 13,091
Total 70-Debt Payments 61,267 61,267 61,266 61,267
74-Transfers
7404 Transfer To CIP 750,000 - - -
7484 Transfer to Enterprise CIP - 500,000 500,000 -
7499 Transfer to ISF - 4,100 3,548 -
Total 74-Transfers 750,000 504,100 503,548 -
Total 4A Fund Expenditures 941,590 751,324 662,844 264,673
152 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 153
4B
F
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D
154 The City of Sanger, Texas 2018‐2019 Annual Budget
4B CORPORATION
Overview
The Sanger Texas Economic Development Corporation (4B Fund) is funded by a 1/2 cent sales tax. It is used to
enhance the local economy by improving the quality of life. This includes park improvements, downtown streetscaping
and other projects that make living in Sanger enjoyable.
The Sanger Texas Economic Development Corporation is governed by a board of seven directors, all of whom are
appointed by the City Council of the City of Sanger. The 4B Fund was incorporated in the state of Texas as a nonprofit
industrial development corporation under Section 4B of the Development Corporation Act of 1979.
The basis of accounting for the 4B Corporation Fund for both financial reporting and budgeting is the modified accrual
basis.
Sanger Comprehensive Plan Goals Supported Through Operations
Maintain and improve upon the existing country living atmosphere of Sanger.
Develop, expand, and maintain the Sanger Park System with a variety of parks, open spaces
and recreational facilities.
The City of Sanger, Texas 2018‐2019 Annual Budget 155
4B CORPORATION FUND BUDGET SUMMARY
100%
0%
4B Corporation Revenues 2018-2019
Taxes
Other
21%
79%
4B Corporation Expenditures 2018-2019
Capital Outlay
Transfers Out
156 The City of Sanger, Texas 2018‐2019 Annual Budget
4B CORPORATION FUND BUDGET SUMMARY
Actual Budget Estimate Budget
Beginning Fund Balance 870,460 1,069,711 1,069,711 1,270,020
Revenues
Taxes 435,405 385,000 436,100 385,000
Interest Income 1,346 1,000 1,709 1,000
Total Revenues 436,751 386,000 437,809 386,000
Expenditures
Capital Outlay - - - 65,000
Total Expenditures - - - 65,000
Other Uses
Transfers Out 237,500 237,500 237,500 237,500
Total Other Uses 237,500 237,500 237,500 237,500
Total Expenses/Uses 237,500 237,500 237,500 302,500
Excess of Revenues/Sources
over Expenditures/Uses 199,251 148,500 200,309 83,500
Ending Fund Balance 1,069,711 1,218,211 1,270,020 1,353,520
The City of Sanger, Texas 2018‐2019 Annual Budget 157
4B CORPORATION REVENUES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Taxes
4325 Sales Tax 435,405 385,000 436,100 385,000
Total Taxes 435,405 385,000 436,100 385,000
Miscellaneous Income
4913 Interest Income 1,346 1,000 1,709 1,000
Total Miscellaneous 1,346 1,000 1,709 1,000
Total Revenues 436,751 386,000 437,809 386,000
158 The City of Sanger, Texas 2018‐2019 Annual Budget
4B FUND EXPENDITURES
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
61-Capital Outlay
6113 Design Hike And Bike Trail - - - -
6115 Special Projects - - - 15,000
6116 Community Projects - - - 50,000
Total 61-Capital Outlay - - - 65,000
74-Transfers
7403 Transfer To Debt Service Fund 212,500 212,500 212,500 212,500
7441 Transfer To 4A 25,000 25,000 25,000 25,000
Total 74-Transfers 237,500 237,500 237,500 237,500
Total 4B Fund Expenditures 237,500 237,500 237,500 302,500
The City of Sanger, Texas 2018‐2019 Annual Budget 159
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SPECIAL REVENUE FUNDS
The City utilizes Special Revenue Funds to account for the proceeds of specific revenue sources tha are restricted or
committed to expenditure for specific purposes. The City utilizes the following Special Revenue Funds:
o Hotel Occupancy Tax Fund
o Beautification Fund
o Library Restricted Fund
o Parkland Dedication Fund
o Roadway Impact Fee Fund
o Court Security Fund
o Court Technology Fund
o Child Safety Fee Fund
o Police Donations Fund
o Fire Donations Fund
o Parks Donations Fund
o Library Donations Fund
The basis of accounting for the Special Revenue Funds for both financial reporting and budgeting is the modified
accrual basis.
The City of Sanger, Texas 2018‐2019 Annual Budget 161
SPECIAL REVENUE FUNDS BUDGET SUMMARY
9%
78%
13%
Special Revenue Funds Revenues 2018-2019
Taxes
Fines
Miscellaneous
4%
34%
62%
Special Revenue Funds Expenditures 2018-2019
Salaries & Benefits
Supplies & Materials
Contract Services
162 The City of Sanger, Texas 2018‐2019 Annual Budget
COMBINED SCHEDULE OF ALL SPECIAL REVENUE FUNDS
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 122,470 152,580 152,580 180,265
Revenues
Taxes 23,409 20,000 27,154 20,000
Fees 1,370 - - 165,000
Fines 11,728 15,500 12,633 11,000
Interest Income 229 - 152 200
Library Revenue - 500 - 500
Miscellaneous 9,100 7,000 13,095 16,000
Total Special Revenue Fund Revenues 45,836 43,000 53,034 212,700
Expenditures
Salaries & Benefits 574 2,500 1,000 1,500
Contract Services 13,539 25,000 23,500 21,500
Supplies & Materials 1,613 11,822 849 11,775
Transfers - - - -
Total Special Revenue Fund Expenditu 15,726 39,322 25,349 34,775
Excess of Revenues/Sources
over Expenditures/Uses
Ending Fund Balance 152,580 156,258 180,265 358,190
30,110 3,678 27,685 177,925
The City of Sanger, Texas 2018‐2019 Annual Budget 163
HOTEL OCCUPANCY FUND
The Hotel Occupancy Tax Fund is used to account for revenues from the Hotel Occupancy Tax.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 33,061 9,479 9,479 17,479
Revenues
Taxes 28,418 20,000 20,000 20,000
Total Hotel Tax Fund Revenues 28,418 20,000 20,000 20,000
Expenditures
Contract Services 12,000 12,000 12,000 12,000
Transfers to CIP 40,000 - - -
Total Hotel Tax Fund Expenditures 52,000 12,000 12,000 12,000
Excess of Revenues/Sources (23,582) 8,000 8,000 8,000
over Expenditures/Uses
Ending Fund Balance 9,479 17,479 17,479 25,479
164 The City of Sanger, Texas 2018‐2019 Annual Budget
BEAUTIFICATION FUND
The Beautification Fund is utilized to account for revenue sources dedicated to beautification of City-owned parks by
the Parks Department.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 5,526 5,526 5,526 5,526
Revenues
Miscellaneous - 500 - 500
Total Beautification Fund Revenues - 500 - 500
Expenditures
Supplies & Materials - 6,000 - 6,000
Total Beautification Fund Expenditures - 6,000 - 6,000
Excess of Revenues/Sources - (5,500) - (5,500)
over Expenditures/Uses
Ending Fund Balance 5,526 26 5,526 26
The City of Sanger, Texas 2018‐2019 Annual Budget 165
LIBRARY RESTRICTED FUND
The Library Restricted Fund is utilized to account for specific revenues set aside for future Library expenditures.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 75,564 79,392 79,392 85,344
Revenues
Library Revenue - 500 - 500
Interest Income 228 - 152 -
Miscellaneous 3,600 - 5,800 -
Total Library Restricted Fund Revenue 3,828 500 5,952 500
Expenditures
Supplies & Materials - - - -
Total Library Restricted Fund Expendit - - - -
Excess of Revenues/Sources 3,828 500 5,952 500
over Expenditures/Uses
Ending Fund Balance 79,392 79,892 85,344 85,844
166 The City of Sanger, Texas 2018‐2019 Annual Budget
PARKLAND DEDICATION FUND
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance - 1,370 1,370 1,370
Revenues
Parkland Dedication Fee 1,370 - - 65,000
Total Parkland Dedication Fund Revenues 1,370 - - 65,000
Ending Fund Balance 1,370 1,370 1,370 66,370
The City of Sanger, Texas 2018‐2019 Annual Budget 167
ROADWAY IMPACT FEE FUND
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance - - - -
Revenues
Roadway Impact Fee - - - 100,000
Total Roadway Impact Fee Fund Revenues - - - 100,000
Ending Fund Balance - - - 100,000
168 The City of Sanger, Texas 2018‐2019 Annual Budget
COURT SECURITY FUND
The Court Security Fund is utilized to account for Court Security Fees imposed on convictions by the Sanger Municipal
Court.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 5,687 7,340 7,340 7,340
Revenues
Fines 1,914 2,500 1,000 2,500
Total Court Security Fund Revenues 1,914 2,500 1,000 2,500
Expenditures
Salaries & Benefits 261 2,500 1,000 2,500
Total Court Security Fund Expenditure 261 2,500 1,000 2,500
Excess of Revenues/Sources 1,653 - - -
over Expenditures/Uses
Ending Fund Balance 7,340 7,340 7,340 7,340
The City of Sanger, Texas 2018‐2019 Annual Budget 169
COURT TECHNOLOGY FUND
The Court Technology Fund is utilized to account for Court Technology Fees imposed on convictions by the Sanger
Municipal Court.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 1,081 631 631 131
Revenues
Fines 2,683 3,000 1,500 3,000
Total Court Technology Fund Revenue 2,683 3,000 1,500 3,000
Expenditures
Contract Services 3,133 3,000 2,000 3,000
Total Court Technology Fund Expendit 3,133 3,000 2,000 3,000
Excess of Revenues/Sources (450) - (500) -
over Expenditures/Uses
Ending Fund Balance 631 631 131 131
170 The City of Sanger, Texas 2018‐2019 Annual Budget
CHILD SAFETY FUND
The Child Safety Fund is utilized to account for Child Safety Fees collected by the Sanger Municipal Court.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance - 10,305 10,305 10,305
Revenues
Fines 10,305 10,000 10,000 10,000
Total Child Safety Fee Fund Revenues 10,305 10,000 10,000 10,000
Expenditures
Contract Services - 10,000 10,000 10,000
Total Child Safety Fee Fund Expenditur - 10,000 10,000 10,000
Excess of Revenues/Sources 10,305 - - -
over Expenditures/Uses
Ending Fund Balance 10,305 10,305 10,305 10,305
The City of Sanger, Texas 2018‐2019 Annual Budget 171
POLICE DONATIONS FUND
The Police Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Police
Department.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 1,385 1,385 1,385 1,338
Revenues
Miscellaneous - 2,500 2,500 2,500
Total Police Donations Fund Revenues - 2,500 2,500 2,500
Expenditures
Supplies & Materials - 2,547 2,547 2,547
Total Police Donations Fund Expenditu - 2,547 2,547 2,547
Excess of Revenues/Sources - (47) (47) (47)
over Expenditures/Uses
Ending Fund Balance 1,385 1,338 1,338 1,291
172 The City of Sanger, Texas 2018‐2019 Annual Budget
FIRE DONATIONS FUND
The Fire Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Fire
Department.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 4,175 4,500 4,500 3,225
Revenues
Miscellaneous 325 1,000 1,000 1,000
Total Fire Donations Fund Revenues 325 1,000 1,000 1,000
Expenditures
Supplies & Materials - 2,275 2,275 2,275
Total Fire Donations Fund Expenditure - 2,275 2,275 2,275
Excess of Revenues/Sources 325 (1,275) (1,275) (1,275)
over Expenditures/Uses
Ending Fund Balance 4,500 3,225 3,225 1,950
The City of Sanger, Texas 2018‐2019 Annual Budget 173
PARK DONATIONS FUND
The Park Donations Fund is utilized to account for specific funds donated for the exclusive use of the Parks Department.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 2,536 2,536 2,536 3,036
Revenues
Miscellaneous - 2,500 500 2,500
Total Park Donations Fund Revenues - 2,500 500 2,500
Expenditures
Supplies & Materials - - - -
Total Park Donations Fund Expenditure - - - -
Excess of Revenues/Sources - 2,500 500 2,500
over Expenditures/Uses
Ending Fund Balance 2,536 5,036 3,036 5,536
174 The City of Sanger, Texas 2018‐2019 Annual Budget
LIBRARY DONATIONS FUND
The Library Donations Fund is utilized to account for specific funds donated for the exclusive use of the Sanger Public
Library.
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 1,150 875 875 375
Revenues
Miscellaneous - 500 500 500
Total Library Donations Fund Revenue - 500 500 500
Expenditures
Supplies & Materials 275 1,000 1,000 1,000
Total Library Donations Fund Expendit 275 1,000 1,000 1,000
Excess of Revenues/Sources (275) (500) (500) (500)
over Expenditures/Uses
Ending Fund Balance 875 375 375 (125)
The City of Sanger, Texas 2018‐2019 Annual Budget 175
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CAPITAL PROJECTS FUNDS AND CAPITAL IMPROVEMENT PLAN
The City maintains two separate funds for capital projects. The Capital Projects Fund was established to account for
general capital projects and the Enterprise Projects Fund was established to account for those capital projects
specifically related to the water, wastewater and electric utility.
The basis of accounting for the Capital Projects Funds for both financial reporting and budgeting is the modified accrual
basis.
The City of Sanger, Texas 2018‐2019 Annual Budget 177
COMBINED CAPITAL PROJECTS FUNDS BUDGET SUMMARY
178 The City of Sanger, Texas 2018‐2019 Annual Budget
CAPITAL PROJECTS FUND
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 1,030,872 540,574 540,574 903,060
Revenues
Donations - - - -
Intergovernmental Revenue 1,452,244 1,445,812 3,465,562 1,000,000
Total Capital Projects Fund Revenues 1,452,244 1,445,812 3,465,562 1,000,000
Other Sources
Transfers From General Fund 550,000 460,000 460,000 675,000
Total Other Sources 550,000 460,000 460,000 675,000
Total Revenues/Sources 2,002,244 1,905,812 3,925,562 1,675,000
Expenditures
Church Building Restoration 2,600 - - -
McReynolds Road Reconstruction 2,489,942 1,167,185 3,563,076 300,000
Total Expenditures 2,492,542 1,167,185 3,563,076 300,000
Excess of Revenues over Expenditures (490,298) 738,627 362,486 1,375,000
Ending Fund Balance 540,574 1,279,201 903,060 2,278,060
The City of Sanger, Texas 2018‐2019 Annual Budget 179
ENTERPRISE CAPITAL PROJECTS FUND
2016-17 2017-18 2017-18 2018-19
Actual Budget Estimate Budget
Beginning Fund Balance 6,399,325 13,749,127 13,749,127 5,868,277
Revenues
Water Tap Fees 396,000 260,000 198,150 260,000
Sewer Tao Fees 528,000 340,000 256,000 340,000
Interest Income 6,463 6,250 8,499 6,250
Total Revenues 930,463 606,250 462,649 606,250
Other Sources
Transfer from Enterprise Fund - 316,800 - 272,720
Transfer from 4A 750,000 500,000 500,000 -
2017 Bond Proceeds 9,755,407 - - -
Total Other Sources 10,505,407 816,800 500,000 272,720
Total Revenues/Sources 11,435,870 1,423,050 962,649 878,970
Expenditures
Phase I: West I35 Water/Wastewater Line 15,059 - - -
Phase II: East I35 Water/Wastewater Line 1,428,141 - 296,239 -
Phase III: View R oad Line Extension 11,691 - 977,006 -
Water Well & Ground Storage 409,907 - - -
Wastewater Treatment Plant 1,816,933 3,803,202 7,130,273 3,200,000
Railroad Lift Station 271,103 329,852 296,736 100,000
Capital Improvement Plan 29,361 - 9,085 -
Nitrification 4,313 90,000 134,160 -
WWTP Outfall Pipeline 99,560 500,000 - 500,000
FM 455 Utility Relocation - - - 300,000
Plum Street Water Line - - - 150,000
Total Expenditures 4,086,068 4,723,054 8,843,499 4,250,000
Excess of Revenues over Expenditures 7,349,802 (3,300,004) (7,880,850) (3,371,030)
Ending Fund Balance 13,749,127 10,449,123 5,868,277 2,497,247
180 The City of Sanger, Texas 2018‐2019 Annual Budget
CAPITAL IMPROVEMENT PLAN
This plan addresses capital improvement needs in the City of Sanger over the next ten years in the areas of Streets,
Thoroughfares, Sidewalks, Drainage, Water Lines, Wastewater Lines, Parks and other Facilities. The plan discusses
needs in each area and funding sources for projects expected in FY 2019.
As in any city with older infrastructure, maintenance and rehabilitation of existing infrastructure is an ongoing and never-
ending process. It is easy to get behind and hard to catch up. Over the last five years more and more resources have
been dedicated to infrastructure maintenance and replacement and several projects have been completed. We have
rebuilt several thoroughfares including portions of Keaton Road, Freese Drive, Railroad Avenue and Cowling Road.
We have replaced several thousand feet of deteriorated Wastewater Lines. We have rebuilt three major drainage
structures and rehabbed several smaller ones. We have purchased and remodeled a new police station and remodeled
the Municipal Court. This is a trend that needs to continue as we try to catch up with our aging and ailing infrastructure.
At the same time, we must continue to expand our water and wastewater lines into areas that are prime for commercial
and industrial development. We recently completed expansion of water and sewer service on the west side of I35. In
2017, we began the first phase of expansion on the east side of I35 by upgrading the wastewater trunk line from FM455
north to Lois Road to a 21” line. In 2018, we extended water and sewer lines on the east side of I-35 from Lois Road
to View Road. While residential development is nice, commercial and industrial development produce far more revenue
and are less of an impact on services. Commercial and Industrial development also create jobs for our citizens and
improve the quality of life.
Over $100,000,000 in water, wastewater, roads and drainage projects have been identified that should be completed
in the next ten years. This includes the two big ticket items of expanding the wastewater treatment plant and expanding
FM 455.
To spur economic growth, the Council issued $4,500,000 in bonds in 2013 to fund extending water and wastewater
lines into industrial and commercial areas. The objective is to attract new businesses to these areas that will help fund
future improvements such as rehabbing and expanding the wastewater treatment plant. In addition, these bonds
helped pay for two new water wells completed in 2017 and the splash park completed in 2014. The water wells will
ensure we have sufficient water to meet peak demands while maintaining sufficient fire protection reserves. Addition
of these wells has more than doubled our pumping capacity. The sale of these bonds represents a proactive step by
the Council to facilitate commercial and industrial growth.
Projects in progress continuing in FY 2019: Anticipated Funding Source
McReynolds Road Reconstruction Denton County/Street Funds
Railroad Lift Station Replacement Design 2015 Bond Funds
and Easement Acquisition
WW Treatment Plant Rehabilitation WW Tap Fees/ 2017 Bond Funds
Ranger Creek Outfall Pipeline Design Water CIP & WW Capital Funds/Possible Bond Issue
and Easement Acquisition
FM 455 Widening (TXDOT Project) TXDOT/County/City
Interstate 35 Expansion (TXDOT Project) TXDOT
New Projects in 2019: Anticipated Funding Source
Replacement of Water and Sewer Lines Along Water CIP & WW Capital Funds
Plum (engineering)
Relocation of Utilities along FM 455 TXDOT/County/City
Expansion (engineering)
The City of Sanger, Texas 2018‐2019 Annual Budget 181
Future Projects: Anticipated Funding Source
Rebuild Plum Street Street Funds
Rebuild & Expand Marion Road Not Identified
Rebuild Belz Road & Jennifer Circle Not Identified
Rebuild Duck Creek Road Not Identified
Utility Road Tie in Across Railroad TBD
Rebuild Bolivar Street TBD
Relocating Utilities for I35 Expansion Not Identified
FM 455 Expansion Issues:
One issue looming on the horizon is the relocation of utilities for the expansion of FM 455. For us, that includes water,
wastewater and electric utilities. We have had some preliminary discussions with TXDOT and the County on who will
pay for these relocations. At this time, we are working on identifying funding sources for this project.
Another big issue with the expansion of FM 455 will be traffic congestion during construction. McReynolds Road will
be completed before FM 455 begins to help relieve some of the congestion. Additionally, we are considering alternative
streets to serve as a reliever for FM 455 construction. Plum Street has been identified as an option. To do this we
also need to replace the water and sewer lines along Plum.
Wastewater Capital Projects
Development along the I35 corridor is accelerating the need to extend wastewater lines to the area. Upgrading the
line from FM455 to Lois Road on the East side of I35 was completed in the Fall of 2017. In 2018., extension of this
line was completed from Lois to View Road.
To create more revenue for wastewater infrastructure improvements we started setting aside 10% of monthly
wastewater revenues in 2014. The current balance in this fund is $713,235. We are using these funds to address I&I
issues and replace older wastewater lines in conjunction with street improvements. We intend to use these funds to
replace the line along plum before street reconstruction.
We currently have over $1,500,000 in waste water tap fees. We have used these funds primarily to pay for the design,
engineering and permitting of the waste water treatment plant refurbishing and expansion. As that phase of the project
comes to an end, we will have the opportunity to use these funds on other projects identified in the Capital Improvement
Plan.
At the recommendation of Alan Plummer and Associates, Council decided to refurbish and expand the existing waste
water treatment plant rather than build a new one in January 2014. Construction began in May of 2017 and should be
completed by the end of the 2018-2019 fiscal year.
The Cowling Road lift station is reaching capacity and needs to be replaced. This will also require replacing the force
main with a higher capacity main. The Lift Station will also be moved to Railroad and Rector Road. Design and
engineering will continue this year and we will begin obtaining the necessary easements. 2015 Bond funds or
wastewater tap fees will be used for this project.
Streets and Thoroughfares:
Many streets in Sanger are in dire need of rehabilitation. The last few years we have concentrated our efforts on
improving the thoroughfares that carry the most traffic. This does not mean that there are not residential streets that
are in as bad or worse condition. However, focusing on thoroughfares as our priority gives us the greatest positive
impact for the most people. If funding can be secured in the future, Marion Rd., Bolivar from 5th to the Service road,
Belz Rd. and Duck Creek will also be candidates for improvement.
182 The City of Sanger, Texas 2018‐2019 Annual Budget
Plans this year call for completion of the reconstruction of McReynolds Road, which has been funded through County
Funds and Sanger Street Funds.
FM 455 is scheduled for widening in the next few years. At this time, we are working on identifying funding sources
associated with the City’s utility relocation. Currently, we plan on reconstructing Plum street from Fifth to Tenth so
that it can serve as a reliever during the FM 455 widening.
Sidewalks:
We made great strides on sidewalks in the last few years. Sidewalks were extended the entire length of Keaton Road
from FM 455 to the Sports Park. Our goal is to connect existing sidewalks and add new ones that allow pedestrians
to travel throughout town without having to walk on busy streets. Although some of these sidewalks will pass through
residential neighborhoods, the goal is not to build residential sidewalks but to create paths that link subdivisions with
destinations such as schools, parks, downtown and commercial areas. We normally budget $50,000 per year for
sidewalks, so the work will have to be done in phases. Other portions will be done in conjunction with other projects
such as the future widening of FM 455.
Phase I will be to connect existing segments and create a central loop. This phase will provide access between five of
the seven schools, Downtown, and several neighborhoods and subdivisions.
Phase II will link the other two schools to the inner loop. It will also connect the Sable Creek and Ranger Creek
subdivisions to the system.
Phase III connects the Quail Run and Lake Ridge subdivisions to the system, creates an old town loop and connects
Switzer Park. It also extends the sidewalk up 5th street to FM 455.
Phase IV extends the system along FM 455 from Metz Road to Marion Road. It also connects the Sanger Trail
Apartments and subdivision to the system. This section needs to be done along with or after the road is widened.
Once completed, sidewalks will link every school and major subdivision. Links will also provide walking access to the
new sports park, public facilities and business areas throughout town without having to walk on busy streets.
Parks and Facilities:
By far our greatest and most expensive facility need has been the rehabilitation and expansion of the wastewater
treatment plant. The construction cost of this project has been financed through the 2017 bond issue. Financing this
plant will significantly encumber our ability to do other projects for several years. However, this project was necessary
to handle future growth.
Facility needs that are farther out on the horizon include: Expansion of the library and a new fire station. A remodel of
the community center also needs to be considered as it is becoming worn and dated. An expansion of the police
department will also be necessary in the near future as the department continues to grow. Farther out will be a
recreation center and building a second fire station. Many of these are expensive projects that would require bond
funding.
4B has committed funds for extending the trail system at Porter Park to the parkland on the east side of I35. Other
parks projects as identified in the parks master plan will soon undergo a prioritization process involving the community,
parks board, 4B board and City Council. Once prioritized, these projects will be programmed in as funds are available.
Conclusion:
As you can see, a myriad of projects is planned over the next ten years and they will keep us very busy. Many of these
projects will go unseen to most citizens but they all directly impact the quality of life in the community by ensuring
reliable utilities, safe streets and sidewalks and adequate public facilities. It is important to note again that even after
The City of Sanger, Texas 2018‐2019 Annual Budget 183
all of this work is complete, there will still be other needs arise as our infrastructure continues to age. Like every City,
we will continue the struggle of balancing needs and resources to maintain current facilities and infrastructure, prepare
for growth and improve the quality of life in our community.
Adequate funds for large capital projects will continue to be a hindrance until other bond issues begin paying off in
2021 and until we grow sufficiently to expand the tax base. For the last two years we have diverted more resources
for infrastructure rehabilitation. In the 2019 budget we have added additional funds for street maintenance, increasing
that line item to $225,000. You will see expenditures in the 2019 proposed budget for such improvements as street
reconstruction, new sidewalks, water and wastewater line replacement, wastewater plant rehabilitation and expansion,
and electrical system improvements. As future revenues improve, we need to channel more funds toward these needs.
This plan identifies and prioritizes our most pressing needs in capital improvements for the next ten years. Some parts
of the plan, like sidewalk improvements, project out further than ten years for comprehensive planning purposes.
Revenue sources are identified for those projects ongoing in the 2019 budget year. As with any plan it will change
over time and it will be updated on an annual basis to keep it current and relevant.
Alina Ciocan
City Manager
184 The City of Sanger, Texas 2018‐2019 Annual Budget
CAPITAL PROJECTS SUMMARY 2017-2023
2016-2017 2017-2018 2018-2019
Actual Estimate Budget
Capital Projects Fund
McReynolds Road Reconstruction 2,494,942$ 3,586,830$ 300,000$
Rebuild and Expand Marion Road - - -
Rebuild Plum Street - - -
Rebuild Bolivar Street - - -
Rebuild Belz Road and Jennifer Circle - - -
Rebuild Duck Creek Road - - -
Utility Road Tie in across Railroad
Capital Projects Fund Totals 2,494,942$ 3,586,830$ 300,000$
Enterprise Capital Projects Fund
Phase I: West I35 Water/ Wastewater Line 15,157$ -$ -$
Phase II: East I35 Water/Wastewater Line 1,428,142 278,949 -
Phase III: View R oad Line Extension 11,691 1,009,050 -
Water Well & Ground Storage 409,906 - -
Wastewater Treatment Plant 1,812,681 6,814,864 3,200,000
Raiload Lift Station, Force Main & Gravity Line 365,604 266,669 100,000
Capital Improvement Plan 29,361 10,000 -
Nitrification 4,313 134,160 -
Ranger Creek Outfall Pipeline 99,560 - 500,000
Water & Waste Water Lines along Plum - - 150,000
Boliver Street Water and Sewer
Relocation of Utiliities along FM 455 - - 300,000
Relocation of Utiliities along I35 - - -
Enterprise Capital Projects Fund 4,176,415$ 8,513,692$ 4,250,000$
Total Capital Projects 6,671,357$ 12,100,522$ 4,550,000$
The City of Sanger, Texas 2018‐2019 Annual Budget 185
Projected Projected Projected Projected
2019-2020 2020-2021 2021-2022 2022-2023
Capital Projects Fund
McReynolds Road Reconstruction -$ -$ -$ -$
Rebuild and Expand Marion Road - 4,000,000 - -
Rebuild Plum Street 1,500,000 - - -
Rebuild Bolivar Street - - - 5,500,000
Rebuild Belz Road and Jennifer Circle - - 3,529,185 -
Rebuild Duck Creek Road - - 4,000,000 -
Utility Road Tie in across Railroad - 3,155,370
Capital Projects Fund Totals 1,500,000$ 4,000,000$ 10,684,555$ 5,500,000$
Enterprise Capital Projects Fund
Phase I: West I35 Water/ Wastewater Line -$ -$ -$ -$
Phase II: East I35 Water/Wastewater Line - - -
Phase III: View R oad Line Extension - - - -
Water Well & Ground Storage - - - -
Wastewater Treatment Plant - - -
Raiload Lift Station, Force Main & Gravity Line 4,500,000 - -
Capital Improvement Plan - - - -
Nitrification - - - -
Ranger Creek Outfall Pipeline 3,400,000 - - -
Water & Waste Water Lines along Plum 750,000 - - -
Boliver Street Water and Sewer 2,250,000 2,250,000
Relocation of Utiliities along FM 455 2,000,000 1,000,000 - -
Relocation of Utiliities along I35 - 2,000,000 - -
Enterprise Capital Projects Fund 6,150,000$ 7,500,000$ 2,250,000$ 2,250,000$
Total Capital Projects 7,650,000$ 11,500,000$ 12,934,555$ 7,750,000$
186 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 187
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188 The City of Sanger, Texas 2018‐2019 Annual Budget
GENERAL FUND FIVE YEAR FINANCIAL PROJECTION
Actual Estimate
2016-17 2017-18
Beginning Fund Balance 1,813,402 2,657,635
Revenues
Property Taxes 2,950,887 3,275,547
Sales and Mixed Beverage Taxes 875,373 878,065
Franchise Fees 845,378 824,864
Charges for Services 695,722 840,179
Licenses & Permits 290,884 322,230
Fines 97,007 89,572
Fees 697,076 716,651
Interest Income 3,942 4,508
Miscellaneous 241,826 179,144
Total General Fund Revenues 6,698,095 7,130,760
Other Sources
Transfers In 286,536 292,999
Total Other Sources 286,536 292,999
Total Revenues/Sources 6,984,631 7,423,759
Expenditures
Salaries & Benefits 2,828,337 3,021,398
Supplies & Materials 266,926 284,235
Maintenance & Operations 354,416 351,513
Contract Services 1,097,027 989,712
Utilities 137,145 84,975
Capital Expenses 250,357 239,655
Debt Service 107,998 107,998
Court Costs 35,245 23,794
Other 10,103 -
Total Expenditures 5,087,554 5,103,281
Other Uses
Transfers Out 1,052,844 912,933
Total Other Uses 1,052,844 912,933
Total Expenses/Uses 6,140,398 6,016,214
Ending Fund Balance 2,657,635 4,065,180
The City of Sanger’s Annual
Budget is prepared matching
available revenue sources and
operational expenditures. This
General Ledger Five-Year
Financial Projection provides a
broader perspective than the
budget of any single year is
able to provide.
This projection includes the
results of operations for the
2016-2017 year as well as
projected results for the 2017-
2018 year. Also included (as
Year 1) is the current 2018-
2019 budget.
Years 2-5 are projected based
on a set percentage increase
per each revenue or
expenditure category. These
percentages have been
developed reviewing 3-year
and 10-year trends for each
category, while considering the
current economy and growth
projection for the City.
While not a crystal ball, this
projection is a useful planning
tool. Future year budgets will
obviously be developed
considering the resources,
needs and economy of that
time period.
The City of Sanger, Texas 2018‐2019 Annual Budget 189
Budget Projection Year 2 Year 3 Year 4 Year 5
2018-2019 Percentage 2019-2020 2020-2021 2021-2022 2021-2022
Beginning Fund Balance 4,065,180 4,140,079 4,196,338 4,232,335 4,246,339
Revenues
Property Taxes 3,631,116 5% 3,812,672 4,003,306 4,203,471 4,413,645
Sales and Mixed Beverage Taxes 905,000 4% 941,200 978,848 1,018,002 1,058,722
Franchise Fees 851,668 1% 860,185 868,787 877,475 886,250
Charges for Services 850,500 6% 901,530 955,622 1,012,959 1,073,737
Licenses & Permits 363,070 8% 392,116 423,485 457,364 493,953
Fines 112,000 8% 120,960 130,637 141,088 152,375
Fees 776,877 5% 815,721 856,507 899,332 944,299
Interest Income 4,000 2% 4,080 4,162 4,245 4,330
Miscellaneous 188,516 3% 194,171 199,996 205,996 212,176
Total General Fund Revenues 7,682,747 8,042,635 8,421,350 8,819,932 9,239,487
Other Sources
Transfers In 214,352 2% 218,639 223,012 227,472 232,021
Total Other Sources 214,352 218,639 223,012 227,472 232,021
Total Revenues/Sources 7,897,099 8,261,274 8,644,362 9,047,404 9,471,508
Expenditures
Salaries & Benefits 3,783,153 6% 4,010,142 4,250,751 4,505,796 4,776,144
Supplies & Materials 368,450 6% 390,557 413,990 438,829 465,159
Maintenance & Operations 506,257 4% 526,507 547,567 569,470 592,249
Contract Services 1,219,189 5% 1,280,148 1,344,155 1,411,363 1,481,931
Utilities 89,350 2% 91,137 92,960 94,819 96,715
Capital Expenses 324,222 5% 340,433 357,455 375,328 394,094
Debt Service 129,353 5% 135,821 142,612 149,743 157,230
Court Costs 48,406 2% 49,374 50,361 51,368 52,395
Other 69,500 2% 70,890 72,308 73,754 75,229
Total Expenditures 6,537,880 6,895,009 7,272,159 7,670,470 8,091,146
Other Uses
Transfers Out 1,284,320 2% 1,310,006 1,336,206 1,362,930 1,390,189
Total Other Uses 1,284,320 1,310,006 1,336,206 1,362,930 1,390,189
Total Expenses/Uses 7,822,200 8,205,015 8,608,365 9,033,400 9,481,335
Ending Fund Balance 4,140,079 4,196,338 4,232,335 4,246,339 4,236,512
190 The City of Sanger, Texas 2018‐2019 Annual Budget
APPROVED DEPARTMENTAL CAPITAL REQUESTS
To request departmental capital expenditures, City Depatment Directors complete a request form for each requested
expenditure. These requests and supporting documentation are reviewed during individual and group budget planning
meetings. Review of the items includes discussion of any available alternatives to the requested items.
All capital requests are reviewed to determine if they are in sync with City Council goals and the City’s strategic plan.
The following are the original requests submitted that have been approved for inclusion in the current budget.
The City of Sanger, Texas 2018‐2019 Annual Budget 191
192 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 193
194 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 195
196 The City of Sanger, Texas 2018‐2019 Annual Budget
The City of Sanger, Texas 2018‐2019 Annual Budget 197
FINANCIAL MANAGEMENT POLICY
**The Sanger City Council approved the City’s Financial Management Policy on September 17, 2018**
Introduction
The City of Sanger, Texas financial policies set forth the basic framework for the fiscal management of the City. These
policies were developed within the parameters established by applicable provisions of the Texas Local Government
Code and the Sanger City Charter. The policies are intended to assist the City Council and city staff in evaluating
current activities and proposals for future programs. The policies are to be reviewed on an annual basis and modified
to accommodate changing circumstances or conditions.
The scope of these policies generally spans accounting, auditing, financial reporting, internal controls, operating and
capital budgeting, revenue management, expenditure control and debt management, all to make it possible both: (a)
to present fairly and with full disclosure the financial position and results of financial operations of the City in conformity
to generally accepted accounting principles (GAAP), and (b) to determine and demonstrate compliance with finance-
related legal and contractual provisions.
It is the goal of the Statement of Financial Management Policies to enable the City to adhere to the principles of sound
municipal finance and to continue its long-term stable and positive financial condition.
Annual Budget
1. The fiscal year of the City of Sanger shall begin on October 1 of each calendar year and will end on September
30 of the following calendar year. The fiscal year will also be established as the accounting and budget year.
2. The City Manager, prior to August first of each year, shall prepare and submit to the City Secretary the annual
budget covering the next fiscal year. The budget shall provide a complete financial plan of all city funds and
activities and, except as required by law or the City Charter, shall be in such form as the Council may require.
The budget shall contain the following information:
a. The City Manager’s budget message outlining the proposed financial policies for the next fiscal year
with an explanation of any changes in expenditures from the previous year, any major changes in
policies, and a complete statement regarding the financial condition of the City. (Proposition 1
approved at an election held November 7, 2006 and certified by Resolution 11-19-06 adopted
November 20, 2006.)
b. An estimate of all revenues from taxes and other sources, including the present tax structure, rates,
and property valuations for the ensuing year;
c. A carefully itemized list of proposed expenses and revenues by fund, service type, and project for
the budget year, as compared to actual expenditures and revenues of the last ended fiscal year and
the projected final expenditures and revenues for the current fiscal year;
d. A description of all outstanding bond indebtedness, showing amount, date of issue, rate of interest,
and maturity date; also, any other indebtedness which the City has incurred and which has not been
paid;
e. A statement proposing any capital expenditures deemed necessary for undertaking during the next
budget year and the recommended provision for financing; and
f. Such other information as is required by City Council or deemed desirable by the City Manager.
198 The City of Sanger, Texas 2018‐2019 Annual Budget
3. The City Manager’s budget should assume, for each fund, operating revenues that are equal to or exceed
operating expenditures (i.e., a balanced budget). The City Manager’s budget message shall explain the
reasons for any fund that reflects operating expenditures exceeding operating revenues.
4. The City Council shall hold a public hearing on the budget, as submitted, at the time and place so advertised
in the official newspaper, which will be no less than seven (7) days or more than fifteen (15) days after the
date of notice. All interested persons shall be given the opportunity to be heard, either for or against, any item
of the proposed budget.
5. The budget and tax rate may be adopted at any regular or special meeting of the Council prior to the beginning
of the budgeted fiscal year by a majority vote of two thirds (2/3) quorum. The Council may amend the proposed
budget by increasing, decreasing, or removing any programs or amounts, except for expenditures required
by law, for debt service, or for estimated cash deficit. No amendment to the budget shall increase the
authorized expenditures to an amount greater than the total of estimated income plus funds available from
prior years.
6. If the Council fails to adopt a budget by the beginning of the fiscal year, the budget currently in place for the
preceding year shall remain in place on a month-to-month basis until such time as a new budget has been
adopted.
7. On final adoption, the budget shall be in effect for the budget year. Final adoption of the budget by the City
Council shall constitute the official appropriations for the current year and shall constitute the basis of the
official levy of the property tax. Under conditions which may arise, the City Council may amend or change the
budget to provide for any additional expense.
Capital Program
1. The City Manager shall submit a five-year capital improvement program (CIP) as an attachment to the annual
budget. The CIP shall induce the following:
a. A clear, general summary of its contents;
b. A list of all capital improvements which are proposed for the five (5) fiscal years including the budget
year, with appropriate supporting information as to the necessity for such improvements;
c. Cost estimates, method of financing and recommended time schedules for each improvement; and
d. The estimated annual cost of operating and maintaining the facilities to be constructed or acquired.
Basis of Accounting and Budgeting
1. The City’s finances shall be accounted for in accordance with generally accepted accounting principles
(GAAP) as established by the Governmental Accounting Standards Board (GASB).
a. The accounts of the City are organized and operated on the basis of funds and account groups. Fund
accounting segregates funds according to their intended purpose and is used to aid management in
demonstrating compliance with finance-related legal and contractual provisions. The minimum
number of funds is maintained consistent with legal and managerial requirements. Account groups
are a reporting device to account for certain assets and liabilities of the governmental funds not
recorded directly in those funds.
b. Governmental fund types use the flow of current financial resources measurement focus and the
modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are
recognized when susceptible to accrual (i.e., when they are “measurable and available”).
“Measurable” means the amount of the transaction can be determined and “available” means
collectible within the current period or soon enough thereafter to pay liabilities of the current period.
The City of Sanger, Texas 2018‐2019 Annual Budget 199
Substantially all revenues are considered to be susceptible to accrual. Ad valorem, sales, hotel,
franchise and tax revenues recorded in the General Fund and ad valorem tax revenues recorded in
the Debt Service Fund are recognized under the susceptible to accrual concept. Licenses and
permits, charges for services, fines and forfeitures, and miscellaneous revenues (except earnings
on investments) are recorded as revenues when received in cash because they are generally not
measurable until actually received. Investment earnings are recorded as earned since they are
measurable and available. Expenditures are recognized when the related fund liability is incurred, if
measurable, except for principal and interest on general long-term debt, which are recorded when
due, and compensated absences, which are recorded when payable from currently available
financial resources.
c. The City utilizes encumbrance accounting for its governmental fund types, under which purchase
orders, contracts and other commitments for the expenditure of monies are recorded in order to
reserve that portion of the applicable appropriation.
d. The City’s proprietary fund types are accounted for on a flow of economic resources measurement
focus and use the accrual basis of accounting. Under this method, revenues are recorded when
earned, and expenses are recorded at the time liabilities are incurred.
2. The City’s annual budgets shall be prepared and adopted on a basis consistent with generally accepted
accounting principles for all governmental and proprietary funds
3. The issuance of Statement 34 by GASB has influenced the creation and reporting of individual funds. GASB
34 essentially mandates dual accounting systems: one for government-wide (i.e. the government as a single
entity) reporting and another for individual fund reporting. Under GASB 34 for individual funds, the City will
continue utilizing the accounting and budgeting processes as described in paragraphs (1) and (2) of this
section. However, because GASB 34 mandates the flow of economic resources measurement focus and
accrual basis of accounting for the government-wide reporting, extensive reconciliation must be performed to
present aggregated fund information in the government-wide reporting model. Therefore, individual operating
funds will be created with the objective of reducing fund to government-wide reconciliation as much as
possible. When appropriate, individual funds will be examined as to whether it will be appropriate to account
for them as proprietary fund types. Also, the City will limit the use of internal service funds and incorporate the
financial transactions of those funds into other governmental funds.
Budget Administration
1. All expenses of the City shall be made in accordance with the adopted annual budget. Budgetary control is
maintained at the individual expenditure account level by the review of all requisitions of estimated purchase
amounts prior to the release of purchase orders to vendors.
2. The following represents the City’s budget amendment policy delineating responsibility and authority for the
amendment process. Transfers between expenditure accounts in one department may occur with the approval
of the City Manager and Finance Director Transfers between operating departments may occur with the
approval of the City manager and Finance Director provided that a department’s total budget is not changed
by more than $50,000. Transfers between funds must be accomplished by budget amendment approved by
the City Council. Budget amendments calling for new fund appropriations must also be approved by the City
Council.
200 The City of Sanger, Texas 2018‐2019 Annual Budget
Financial Reporting
1. At the close of each fiscal year, and at such other times as it may be deemed necessary, the Council shall
direct that an independent audit be made on all accounts of the City by a certified public accountant. The
certified public accountant shall have no personal interest directly or indirectly, in the financial affairs of the
City or any of its officers and shall report directly to the Council. Upon completion of the audit, a summary of
the results thereof shall be placed on file in the City Secretary's office for public record. A copy of the
comprehensive financial annual report shall be available at City Hall.
2. The City Manager shall submit to the Council a monthly report of the financial condition of the City by
department for the fiscal year-to-date. The financial records of the City will be maintained on a modified accrual
basis to support this type of financial management. The City Manager shall make available to the Council the
monthly cash disbursements journal of the City of all funds and accounts.
Revenues
1. To protect the City’s financial integrity, the City will maintain a diversified and stable revenue system to shelter
it from fluctuations in any one revenue source. Recognizing that sales tax is a volatile, unpredictable source
of revenue, the City will attempt to reduce its dependence on sales tax revenue.
2. For every annual budget, the City shall levy two property tax rates: operation/ maintenance and debt service.
The debt service levy shall be sufficient for meeting all principal and interest payments associated with the
City’s outstanding general obligation debt for that budget year. The debt service levy and related debt service
expenditures shall be accounted for in the Debt Service Fund. The operation and maintenance levy shall be
accounted for in the General Fund. City Council will consider exceeding the rollback rate only after options
have been presented by staff to avoid the rollback by increasing revenue from other sources or reducing
expenditures.
3. The City will maintain a policy of levying the lowest tax rate on the broadest tax base. Minimal exemptions
may be provided to homeowners, senior citizens, and disabled veterans. The City may consider providing tax
abatements or other incentives to encourage development.
4. The City will establish user charges and fees at a level that attempts to recover the full cost of providing the
service.
a. User fees, particularly utility rates, should identify the relative costs of serving different classes of
customers.
b. Where possible, utility rates should be designed to reduce peak (hour and day) demands on the
utility systems.
c. The City will make every reasonable attempt to ensure accurate measurement of variables impacting
taxes and fees (e.g. verification of business sales tax payments, verification of appraisal district
property values, and accuracy of water meters).
5. The City will attempt to maximize the application of its financial resources by obtaining supplementary funding
through agreements with other public and private agencies for the provision of public services or the
construction of capital improvements.
6. The City will consider market rates and charges levied by other public and private organizations for similar
services in establishing tax rates, fees and charges.
7. When developing the annual budget, the City Manager shall project revenues from every source based on
actual collections from the preceding year and estimated collections of the current fiscal year, while taking
into account known circumstances which will impact revenues for the new fiscal year. The revenue projections
for each fund should be made conservatively so that total actual fund revenues exceed budgeted projections.
The City of Sanger, Texas 2018‐2019 Annual Budget 201
Operating Expenditures
1. Operating expenditures shall be accounted, reported, and budgeted for in the following major categories:
a. Operating, Recurring Expenditures
i. Salaries and Benefits
ii. Supplies and Materials
iii. Maintenance and Operations
iv. Contractual Services
v. Utilities
vi. Capital Replacement
vii. Other Expenses
b. Operating, Non-Recurring Expenditures
i. Capital Equipment
2. The annual budget shall appropriate sufficient funds for operating, recurring expenditures necessary to
maintain established (i.e. status quo) quality and scope of city services.
3. The City will constantly examine the methods for providing public services in order to reduce operating,
recurring expenditures and/or enhance quality and scope of public services with no increase to cost.
4. Salaries and benefits expenditures will reflect the minimum staffing needed to provide established quality and
scope of city services. To attract and retain employees necessary for providing high-quality service, the City
shall maintain a compensation and benefit package competitive with the public and, when quantifiable, private
service industries.
5. Supplies and materials expenditures shall be sufficient for ensuring the optimal productivity of City employees.
6. Maintenance and operations expenditures shall be sufficient for addressing the deterioration of the City’s
capital assets to ensure the optimal productivity of the capital assets. Maintenance should be conducted to
ensure a relatively stable level of maintenance expenditures for every budget year.
7. Utility expenditure providers shall, when options are available, be selected on the basis of the provider’s
competitive pricing and service.
8. The City will utilize contractual services for the provision of city services whenever private contractors can
perform the established level of service at less expense to the City. The City will regularly evaluate its
agreements with private contractors to ensure the established levels of service are performed at the least
expense to the City.
9. Capital equipment is defined as equipment that exceeds $5,000 and has a useful life of at least one year. Bulk
purchases of smaller equipment with a useful life of at least one year will be capitalized if the total amount of
the purchase exceeds $25,000. Existing capital equipment shall be replaced when needed to ensure the
optimal productivity of City employees.
10. Expenditures for additional capital equipment shall be made only to enhance employee productivity, improve
quality of service, or expand scope of service.
11. Expenditures for other expenses not included in the categories above shall be made strictly on the basis of
economic and business merit, ensuring the best possible return on each dollar spent.
12. To assist in controlling the growth of operating expenditures, operating departments will submit their annual
budgets to the City Manager during the budget preparation process. Departments shall provide justification
where projected expenditures exceed prior year budgeted amounts.
202 The City of Sanger, Texas 2018‐2019 Annual Budget
Fund Balance
1. The annual budget shall be presented to City Council with each fund reflecting an ending fund balance which
is no less than 25 percent of that fund’s annual operating expenditures. To satisfy the particular needs of
individual funds, ending fund balances may be established which exceed the 25 percent minimum.
2. Fund balance that exceeds the minimum level established for each fund may be appropriated for non-recurring
capital projects or programs, reserves or as the Council directs.
3. The City will exercise diligence in avoiding the appropriation of fund balance for recurring operating
expenditures. In the event fund balance is appropriated for recurring operating expenditures to meet the needs
of the Sanger community, the budget document shall include an explanation of the circumstances requiring
the appropriation and the methods to be used to arrest the future use of fund balance for operating
expenditures.
Fund Transfers
1. With the exceptions noted below, there will be no operating transfers between funds. Any costs incurred by
one fund to support the operations of another shall be charged directly to the fund.
2. Fund transfers may occur when surplus fund balances are used to support non-recurring capital expenses or
when needed to satisfy debt service obligations.
3. Transfers are permitted between funds to support economic development programs.
4. Transfers are permitted from the Enterprise Fund to other funds to cover the cost of operations.
Debt Expenditures
1. The City shall have the right and power, except as prohibited by law or the City Charter, to borrow money by
whatever method it may deem to be in the public interest.
2. The City shall have the power to borrow money on the credit of the City and to issue general obligation bonds
for permanent public improvements or for any other public purpose not prohibited by law and the City Charter
and to issue refunding bonds to refinance outstanding bonds previously issued. All such bonds or certificates
of obligation shall be issued in conformity with the laws of the State of Texas and shall be used only for
purposes for which they were issued. General obligation bonds shall not be issued without an election. In all
cases when the City Council shall order an election for the issuance of bonds of the City, it shall, at the same
time, state whether or not a tax rate increase is anticipated for the purpose of paying the principal and interest
on the bonds and to create a sinking fund for their redemption.
3. The City shall have the power to borrow money for the purpose of constructing, purchasing, improving,
extending or repairing public utilities, recreational facilities, or any other self-liquidating municipal function not
prohibited by the Constitution and the laws of the State of Texas, and to issue revenue bonds to evidence the
obligation created thereby. Such shall be a charge upon and payable from the properties, or interest therein
pledged, or the income therefrom, or both. The holders of the revenue bonds shall never have the right to
demand payment thereof out of moneys raised or to be raised by taxation. All such bonds shall be issued in
conformity with the laws of the State of Texas and shall be used only for the purpose for which they were
issued.
4. When needed to minimize annual debt payments, the City will obtain insurance for new debt issues.
Capital Project Expenditures
The City of Sanger, Texas 2018‐2019 Annual Budget 203
1. The City will develop a multi-year plan for capital projects, which identifies all projects likely to be constructed
within a five-year horizon. The multi-year plan will reflect for each project the likely source of funding and
attempt to quantify the project’s impact to future operating expenditures.
2. Capital projects will be constructed to:
a. Protect or improve the community’s quality of life.
b. Protect or enhance the community’s economic vitality.
c. Support and service new development.
3. To minimize the issuance of debt, the City will attempt to support capital projects with appropriations from
operating revenues or excess fund balances (i.e. “pay-as-you-go”).
Purchasing
1. All purchases and contracts over $3,000 shall conform to Chapter 252, Subchapter B of the Local Government
Code of Texas, as amended. Purchases of goods or services over $50,000 shall be submitted to the City
Council for approval. The adoption of the annual budget gives the City Manger the authority to approve all
other purchases for goods or services in accordance with each department’s approved budget.
2. Purchases of goods or services at a total cost of $1,000 or more must be made through the City’s purchase
order system. Written purchase orders shall also be used for vendors requiring formal City authorization
regardless of dollar amount.
3. Purchases of goods or services at a total cost of less than $1,000 may be made via a written Accounts Payable
Voucher, signed and submitted by the applicable Department Director to the Finance Department.
4. All invoices approved for payment by the proper City authorities shall be paid by the Finance Department
within thirty (30) calendar days of receipt in accordance with provisions of Article 601f, Section 2 of the State
of Texas Civil Statutes.
204 The City of Sanger, Texas 2018‐2019 Annual Budget
INVESTMENT POLICY
**The Sanger City Council approved the City’s Investment Policy on September 17, 2018**
POLICY STATEMENT
It is the objective of the City of Sanger, Texas (“City”) that the administration of its funds and the investment
of those funds shall be handled in the highest public trust. Investments shall be made in a manner which will
provide the maximum security of principle invested through limitations and diversification while meeting the
daily cash flow needs of the city and conforming to all applicable federal, state, and local statutes, rules and
regulations governing the investment of public funds. The receipt of a market rate return will be secondary to
the requirements for safety and liquidity. The earning from investments shall be used in a manner that best
serves the public trust and interest of the City. This policy serves to satisfy the statutory requirements of
defining and adopting a formal investment policy and shall be reviewed annually for modifications. It is the
intent of the City to be in compliance with local law and the provisions of Public Funds Investment Act of the
Texas Government Code Chapter 2256.
SCOPE
This Investment Policy applies to the investment activities, all financial assets and funds held by the City of
Sanger, Texas. Funds covered and managed by this Investment Policy include:
A. General Fund – Used to account for resources traditionally associated with government, which are not
required to be accounted for in another fund.
B. Debt Service Fund – Used to account for resources to be used for the payment of principle, interest
and related costs on debt.
C. Enterprise Fund – Used to account for operations that are financed and operated in a manner similar
to private business enterprises.
D. Capital Improvement Fund – Used to account for resources to enable the acquisition or construction
of major capital facilities which are not financed by enterprise funds, internal service funds, or trust funds.
E. Special Revenue Funds – Used to account for proceeds from specific revenue sources which are
restricted to expenditures for specific purposes.
1. 4A Fund
2. 4B Fund
3. Employee Benefits Fund
INVESTMENT OBJECTIVES AND STRATEGY
It is the policy of the City that all funds shall be invested in conformance with state and federal regulations,
applicable bond ordinance requirements, and adopted Investment Policy. In accordance with the Public Funds
Investment Act, the following prioritized primary objectives, in accordance with the Texas Government Code
Section 2256.005(d) apply to the City’s investment strategy. Listed in order of their priority, these objectives
encompass:
A. Suitability – Understanding the suitability of the investment to the financial requirement of the City is
important. Any investment eligible in the Investment Policy is suitable for all City funds.
B. Safety – Preservation and safety of principal are the primary objectives of the Investment Policy.
Investments of the City shall be undertaken in a manner that seeks to insure the preservation of
capital in the overall portfolio. To obtain this goal, diversification is required in the portfolio’s
The City of Sanger, Texas 2018‐2019 Annual Budget 205
composition. The suitability of each investment decision will be made on the basis of these
objectives. The City prefers to invest in money market accounts, certificates of deposits, and United
States government backed agency discount notes.
C. Liquidity – The City’s investment portfolio will remain sufficiently liquid to meet operating
requirements that might be reasonably anticipated. The City’s investment portfolio will remain
sufficiently liquid and enable it to meet all operating requirements which might be reasonably
anticipated.
D. Diversification – Investment maturities shall be staggered throughout the budget cycle to provide
cash flow based on the anticipated needs of the City. Diversifying the appropriate maturity structure
will reduce market cycle risk. Diversification of the portfolio will include diversification by maturity
and market sector and will include the use of a number of brokers/dealers for diversification and
market coverage. Competitive bidding will be used on each sale and purchase.
E. Yield – Attaining a competitive market yield, commensurate with the City’s investment risk constraints
and cash flow characteristic of the portfolio, is the desired objective. The City’s investment portfolio
shall be designed with the objective of attaining a market rate of return throughout budgetary and
economic cycles, taking into account the City’s risk constraints and the cash flow of the portfolio.
“Market rate of return” may be defined as the average yield of the current three-month U.S. Treasury
Bill or such other index that most closely matches the average maturity of the portfolio. The City’s
objective shall be a reasonably safe yield rate in accordance with payment schedules and other
investment goals.
Effective cash management is recognized as essential to good fiscal management. Cash management is
defined as the process of managing monies in order to ensure maximum cash availability. The City shall
maintain a comprehensive cash management program which includes collection of accounts receivable,
prudent investment of its available cash, disbursement of payments in accordance with invoice terms and the
management of banking services. The City staff will follow the “Prudent Person” statement relating to the
standard of care that must be exercised when investing public funds as expressed in the Texas Government
Code Section 2256.006(a-b). The Investment Officers shall avoid any transactions that might impair public
confidence in the City’s ability to govern effectively. The governing body recognizes that in diversifying the
portfolio, occasional measured unrealized losses due to market volatility are inevitable, and must be
considered within the context of the overall portfolio’s investment return, provided that adequate diversification
has been implemented. The prudence of the investment decision shall be measured in accordance with the
tests set forth in the Texas Government Code Section 2256.006(b).
It shall be the policy of the City not to invest in speculative instruments such as derivatives.
LEGAL LIMITATIONS, RESPONSIBILITIES AND AUTHORITY
Direct specific investment parameters for the investment of public funds in Texas are found in the Public
Funds Investment Act of the Texas Government Code Section 2256. The Interlocal Cooperation Contracts,
Section 791, of the Texas Government Code authorizes local governments to participate in public funds
investments in conjunction with other local governments and agencies of the state of Texas. Section 791
along with Section 2256 of the Texas Government Code provides authorization for participation in investment
pools to invest public funds jointly with objectives of preservation and safety of principal, liquidity, and yield.
206 The City of Sanger, Texas 2018‐2019 Annual Budget
DELEGATION OF INVESTMENT AUTHORITY
The City Manager and the Finance Director acting on behalf of the City Council are designated as the
Investment Officers of the City and are responsible for investment management decisions and activities. The
Council is responsible for considering the quality and capability of staff, investment advisors, and consultants
involved in investment management and procedures. All participants in the investment process shall seek to
act responsibly as custodians of the public trust.
The Investment Officers shall develop and maintain written administrative procedures for the operation of the
investment program which are consistent with the investment policy. Procedures will include reference to
safekeeping, wire transfers, certificates of deposit, and fund accounts. Additional procedures will be
documented for the performance of wire transfer agreements; banking services contracts, and other
investment related activities.
The Investment Officers shall be responsible for all transactions undertaken and shall establish a system of
controls to regulate the activities of subordinate officials and staff. The Investment Officers shall designate a
staff person as a liaison/deputy in the event circumstances require timely action and the Investment Officers
are not available.
No officer or designee may engage in an investment transaction except as provided under the terms of this
policy and the procedures established by the Investment Officers and approved by the City Council.
PRUDENCE – STANDARD OF CARE
The standard of prudence to be used in the investment function shall be the “prudent person” standard and
shall be applied in the context of managing the overall portfolio. The Texas Government Code Section
2256.006(a) states Investments shall be made with judgment and care, under prevailing circumstances, that
a person of prudence, discretion, and intelligence would exercise in the management of the person’s own
affairs, not for speculation, but for investment, considering the probable safety of capital and the probable
income to be derived.
Limitation of Personal Liability
The Investment Officers and those delegated investment authority under this policy, when acting in
accordance with the written procedures and this policy and in accordance with the written procedures and this
policy and in accord with the Prudent Person Rule, shall be relieved of personal responsibility and liability in
the management of the portfolio provided that deviations from expectations for a specific security’s credit risk
or market price change or portfolio shifts are reported in a timely manner and that appropriate action is taken
to control adverse market effects.
INTERNAL CONTROLS
The Investment Officers shall establish a system of written internal controls which will be reviewed annually
with the independent auditor of the City. The controls shall be designed to prevent losses of public funds
arising from fraud, employee error, misrepresentation by third parties, unanticipated changes in financial
markets, or imprudent actions by employees or Investment Officers of the City.
The City of Sanger, Texas 2018‐2019 Annual Budget 207
Cash Flow Forecasting
Cash flow forecasting is designated to protect and sustain cash flow requirements of the City. Supplemental
to the financial and budgetary systems, the Investment Officers will maintain a cash flow forecasting process
designed to monitor and forecast cash positions for investment purposes. Cash flow will include the historical
researching and monitoring of specific cash flow items, payables, and receivables as well as overall cash
position and patters.
AUTHORIZED INVESTMENTS
Acceptable investments under this policy shall be limited to the instruments listed below. The investments
shall be selected in a manner which promotes diversity of the market sector and maturity. The selection of
high-grade government investments and high-grade money market instruments is designed to assure the
marketability of those investments should the need for liquidity arise.
A. Obligations of the United States Government, its agencies and instrumentalities, and government
sponsoring enterprises, not to exceed two years to stated maturity;
B. Fully insured or collateralized certificates of deposit from a bank doing business in the State of Texas
and under the terms of a written depository agreement with that bank, not to exceed three years to
the stated maturity;
C. Money market funds authorized by the Public Funds Investment Act of the Texas Government Code
Chapter 2256.
D. Texas Local Government Investment Pools authorized by the Public Funds Investment Act of the
Texas Government Code Chapter 2256.
Additional types of securities approved for investment of public funds by Texas state statutes are not eligible
for investment by the City until this Investment Policy has been amended and the amended version approved
by the City Council authorizing investment of these additional types of securities.
Competitive Bidding Requirements
All securities, excluding certificates of deposit, will be purchased or sold after three (3) offers/bids are taken
to verify that the City is receiving fair market value/price for the investment.
Delivery versus Payment
All security transactions, including collateral for repurchase agreements, entered into by the City, shall be
conducted on a delivery versus payment (DVP) basis.
SAFEKEEPING AND COLLATERALIZATION
The laws of the State and prudent treasury management require that all purchased securities be bought on a
delivery versus payment basis and be held in safekeeping by either the City, an independent third-party
financial institution, or the City’s designated depository.
All safekeeping arrangements shall be designed by the Investment Officers and an agreement of the terms
executed in writing. The third-party custodian shall be required to issue safekeeping receipts to the City listing
each specific security, rate, description, maturity, cusip number, and other pertinent information. Each
safekeeping receipt will be clearly marked that the security is held for the City or pledged to the City.
208 The City of Sanger, Texas 2018‐2019 Annual Budget
All securities pledged to the City for certificates of deposit or demand deposits shall be held by an independent
third-party bank domiciled in Texas. The safekeeping bank may be written within the same holding company
as the bank, from which the securities are pledged.
Collateralization
Collateralization shall be required on all public funds of the City over the FDIC insurance coverage limit, and
in order to anticipate market changes and provide a level of additional security for all funds, the collateralized
level required will be 102% of the market value of the principal accrued interest.
PERFORMANCE EVALUATION AND REPORTING
The Investment Officers shall submit quarterly and annual reports to the City Council containing a written
report of investment transactions and investment positions as of the date of report. The report will be prepared
jointly by all involved in the investment activity and be signed by the Investment Officer(s).
DEPOSITORIES
The City will designate one banking institution through a competitive process as its central banking service
provider. This institution will be used for normal banking services including disbursements, deposits, and
lockbox. As a matter of ensuring liquidity and security should the funds deposited with the designated bank
be temporarily unavailable, the City will maintain an emergency reserve in another qualified bank.
INVESTMENT POLICY ADOPTION BY CITY COUNCIL
The City’s Investment Policy shall be formally approved and adopted by resolution of the City Council and
reviewed annually in accordance with the provisions of the Public Funds Investment Act of the Texas
Government Code Chapter 2256.
AMENDMENT
In the event Texas state law changes and the City cannot invest in the investments described by this policy,
this policy shall automatically be conforming to existing law.
The City of Sanger, Texas 2018‐2019 Annual Budget 209
DEBT SERVICE SCHEDULES
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total Principal Interest Total
2019 731,548 163,149 894,697 881,188 768,500 1,649,688 48,176 13,091 61,267 1,660,912 944,740 2,605,652
2020 703,516 136,562 840,078 830,200 739,992 1,570,192 50,439 10,828 61,267 1,584,155 887,382 2,471,537
2021 699,979 111,337 811,316 885,200 711,400 1,596,600 52,809 8,458 61,267 1,637,988 831,195 2,469,183
2022 320,190 84,765 404,955 616,500 679,741 1,296,241 55,290 5,977 61,267 991,980 770,483 1,762,463
2023 334,652 71,541 406,193 633,600 660,427 1,294,027 57,887 3,380 61,267 1,026,139 735,348 1,761,487
2024 346,867 57,435 404,302 658,000 640,328 1,298,328 41,887 4,063 45,950 1,046,754 701,826 1,748,580
2025 309,300 42,687 351,987 675,700 618,518 1,294,218 985,000 661,205 1,646,205
2026 323,900 28,193 352,093 701,100 593,114 1,294,214 1,025,000 621,307 1,646,307
2027 71,800 13,023 84,823 998,200 566,322 1,564,522 1,070,000 579,345 1,649,345
2028 28,800 9,768 38,568 1,086,200 526,357 1,612,557 1,115,000 536,125 1,651,125
2029 30,600 8,400 39,000 1,124,400 482,800 1,607,200 1,155,000 491,200 1,646,200
2030 31,800 6,870 38,670 1,173,200 436,574 1,609,774 1,205,000 443,444 1,648,444
2031 33,600 5,280 38,880 1,221,400 387,920 1,609,320 1,255,000 393,200 1,648,200
2032 35,400 3,600 39,000 1,269,600 337,337 1,606,937 1,305,000 340,937 1,645,937
2033 36,600 1,830 38,430 1,323,400 284,626 1,608,026 1,360,000 286,456 1,646,456
2034 1,420,000 229,713 1,649,713 1,420,000 229,713 1,649,713
2035 1,475,000 173,656 1,648,656 1,475,000 173,656 1,648,656
2036 1,535,000 115,344 1,650,344 1,535,000 115,344 1,650,344
2037 1,585,000 63,400 1,648,400 1,585,000 63,400 1,648,400
Total 4,038,552 744,440 4,782,992 20,092,888 9,016,069 29,108,957 306,488 45,797 352,285 24,437,928 9,806,306 34,244,234
TotalGeneral Fund Enterprise Fund 4A
Total Debt
210 The City of Sanger, Texas 2018‐2019 Annual Budget
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total
2019 30,600 14,660 45,260 59,400 28,460 87,860 90,000 43,120 133,120
2020 32,300 13,314 45,614 62,700 25,846 88,546 95,000 39,160 134,160
2021 34,000 11,894 45,894 66,000 23,086 89,086 100,000 34,980 134,980
2022 35,700 10,398 46,098 69,300 20,182 89,482 105,000 30,580 135,580
2023 37,400 8,826 46,226 72,600 17,134 89,734 110,000 25,960 135,960
2024 37,400 7,180 44,580 72,600 13,940 86,540 110,000 21,120 131,120
2025 39,100 5,536 44,636 75,900 10,744 86,644 115,000 16,280 131,280
2026 42,500 3,814 46,314 82,500 7,406 89,906 125,000 11,220 136,220
2027 44,200 1,944 46,144 85,800 3,776 89,576 130,000 5,720 135,720
Total 333,200 77,566 410,766 646,800 150,574 797,374 980,000 228,140 1,208,140
Fiscal
Year Principal Interest Total
2019 190,000 78,225 268,225
2020 195,000 70,625 265,625
2021 205,000 62,825 267,825
2022 215,000 53,856 268,856
2023 225,000 44,450 269,450
2024 235,000 34,325 269,325
2025 245,000 23,750 268,750
2026 255,000 12,112 267,112
Total 1,765,000 380,168 2,145,168
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total
2019 162,800 13,112 175,912 207,200 16,688 223,888 370,000 29,800 399,800
2020 169,400 8,228 177,628 215,600 10,472 226,072 385,000 18,700 403,700
2021 145,200 3,993 149,193 184,800 5,082 189,882 330,000 9,075 339,075
Total 477,400 25,333 502,733 607,600 32,242 639,842 1,085,000 57,575 1,142,575
General Obligation Refunding Bonds, Series 2012
General Fund 44% Enterprise Fund: 56% Total
General Fund 34% Enterprise Fund: 66% Total
General Fund 100%
Certificates of Obligation, Series 2007
Certificates of Obligation, Series 2009
The City of Sanger, Texas 2018‐2019 Annual Budget 211
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total
2019 21,000 17,505 38,505 154,000 128,370 282,370 175,000 145,875 320,875
2020 21,600 16,980 38,580 158,400 124,520 282,920 180,000 141,500 321,500
2021 22,200 16,332 38,532 162,800 119,768 282,568 185,000 136,100 321,100
2022 22,800 15,666 38,466 167,200 114,884 282,084 190,000 130,550 320,550
2023 24,000 14,982 38,982 176,000 109,868 285,868 200,000 124,850 324,850
2024 24,600 14,262 38,862 180,400 104,588 284,988 205,000 118,850 323,850
2025 25,200 13,401 38,601 184,800 98,274 283,074 210,000 111,675 321,675
2026 26,400 12,267 38,667 193,600 89,958 283,558 220,000 102,225 322,225
2027 27,600 11,079 38,679 202,400 81,246 283,646 230,000 92,325 322,325
2028 28,800 9,768 38,568 211,200 71,632 282,832 240,000 81,400 321,400
2029 30,600 8,400 39,000 224,400 61,600 286,000 255,000 70,000 325,000
2030 31,800 6,870 38,670 233,200 50,380 283,580 265,000 57,250 322,250
2031 33,600 5,280 38,880 246,400 38,720 285,120 280,000 44,000 324,000
2032 35,400 3,600 39,000 259,600 26,400 286,000 295,000 30,000 325,000
2033 36,600 1,830 38,430 268,400 13,420 281,820 305,000 15,250 320,250
Total 412,200 168,222 580,422 3,022,800 1,233,628 4,256,428 3,435,000 1,401,850 4,836,850
Fiscal
Year Principal Interest Total
2019 115,000 192,350 307,350
2020 110,000 189,550 299,550
2021 180,000 185,200 365,200
2022 295,000 178,075 473,075
2023 285,000 169,375 454,375
2024 290,000 160,750 450,750
2025 300,000 151,900 451,900
2026 310,000 142,750 452,750
2027 320,000 132,900 452,900
2028 330,000 121,925 451,925
2029 340,000 110,200 450,200
2030 355,000 97,594 452,594
2031 370,000 84,000 454,000
2032 380,000 69,937 449,937
2033 395,000 55,406 450,406
2034 410,000 40,313 450,313
2035 425,000 24,656 449,656
2036 445,000 8,344 453,344
Total 5,655,000 2,115,225 7,770,225
Certificates of Obligation, Series 2015
General Fund 12% Enterprise Fund: 88% Total
Certificates of Obligation, Series 2013
Enterprise Fund: 100%
212 The City of Sanger, Texas 2018‐2019 Annual Budget
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total
2019 230,000 28,796 258,796 270,000 33,804 303,804 500,000 62,600 562,600
2020 241,500 19,596 261,096 283,500 23,004 306,504 525,000 42,600 567,600
2021 248,400 9,936 258,336 291,600 11,664 303,264 540,000 21,600 561,600
Total 719,900 58,328 778,228 845,100 68,472 913,572 1,565,000 126,800 1,691,800
Fiscal
Year Principal Interest Total
2019 - 366,600 366,600
2020 - 366,600 366,600
2021 - 366,600 366,600
2022 85,000 366,600 451,600
2023 100,000 364,050 464,050
2024 115,000 361,050 476,050
2025 115,000 357,600 472,600
2026 115,000 353,000 468,000
2027 390,000 348,400 738,400
2028 545,000 332,800 877,800
2029 560,000 311,000 871,000
2030 585,000 288,600 873,600
2031 605,000 265,200 870,200
2032 630,000 241,000 871,000
2033 660,000 215,800 875,800
2034 1,010,000 189,400 1,199,400
2035 1,050,000 149,000 1,199,000
2036 1,090,000 107,000 1,197,000
2037 1,585,000 63,400 1,648,400
Total 9,240,000 5,413,700 14,653,700
General Obligation Refunding Bonds, Series 2016
General Fund 46% Enterprise Fund: 54% Total
Certificates of Obligation, Series 2017
Enterprise Fund: 100%
The City of Sanger, Texas 2018‐2019 Annual Budget 213
Fiscal
Year Principal Interest Total
2019 48,176 13,091 61,267
2020 50,439 10,828 61,267
2021 52,809 8,458 61,267
2022 55,290 5,977 61,267
2023 57,887 3,380 61,267
2024 41,887 4,063 45,950
Total 306,488 45,797 352,285
Fiscal
Year Principal Interest Total
2019 42,301 9,235 51,536
2020 43,716 7,819 51,535
2021 45,179 6,357 51,536
2022 46,690 4,845 51,535
2023 48,252 3,283 51,535
2024 49,867 1,668 51,535
Total 276,005 33,207 309,212
Fiscal
Year Principal Interest Total Principal Interest Total Principal Interest Total
2019 54,847 1,616 56,463 75,588 2,228 77,816 130,435 3,844 134,279
Total 54,847 1,616 56,463 75,588 2,228 77,816 130,435 3,844 134,279
Prosperity Bank - 4A
Spirit of Texas Street Equipment
4A 100%
General Fund: 100%
General Fund 42% Enterprise Fund: 58% Total
Government Capital Fire & Electric Equipment
214 The City of Sanger, Texas 2018‐2019 Annual Budget
CITY OF SANGER MONTHLY REPORT FOR SEPTEMBER 2018
During the 2017-2018 fiscal year, City staff developed a new
Monthly Report to keep the public informed. This report
provides in-depth details of operations and results.
The City’s Monthly Reports are posted on the City’s website,
www.SangerTexas.org
The City of Sanger, Texas 2018‐2019 Annual Budget 215
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GLOSSARY OF TERMS
Accrual Basis of Accounting
The basis of accounting whereby revenue projections are
developed recognizing revenues expected to be earned in
the period, and expenditure estimates are developed for all
expenses anticipated to be incurred during the last fiscal
year.
Ad Valorem
Latin for “according to the value of.” Refers to the tax
assessed against real (land and building) and personal
(equipment and furniture) property.
Appropriation
A legal authorization granted by a legislative body to make
expenditures and to incur obligations for specific purposes.
An appropriation is usually limited in the amount and as to
the time when it may be expended.
Assessed Valuation
A valuation set upon real estate and certain personal
property by the appraisal district as a basis for levying
property taxes.
Assets
Resources owned or held by a government which has
monetary value.
Audit
The annual formal examination of the City’s financial
statement by an independent third-party accounting firm.
Balanced Budget
A budget that is resources (revenues, fund balance) that
equals, or is greater than, uses (expenditures/expenses,
capital outlay).
Basis of Accounting
The timing method used in the recognition of revenues and
expenditures for financial reporting purposes.
Bond
A written promise to pay a specified sum of money at a
specified date or dates in the future, called the maturity
date(s), together with periodic interest at a specified rate.
Budget
A plan of financial operation embodying an estimate of
proposed expenditures for any given period and the
proposed means of financing them.
Capital Expenditures/ Outlays
Expenditures which result in the acquisition of or addition of
fixed assets.
Capital Projects Funds
Funds created to account for financial resources to be used
for the acquisition or construction of major capital facilities
(other than those financed by proprietary funds and trust
funds).
Cash Basis of Accounting
The method of accounting under which revenues are
recorded when received and expenditures are recorded
when paid.
Debt Service
Payment of interest and repayment of principle to holders
of a government’s debt instruments.
Debt Service Fund
A fund established to account for the accumulation of
resources for, and the payment of, general long-term debt
principal and interest. The Town has no debt; therefore, no
debt service fund budget is presented.
Encumbrances
Commitments related to unperformed (executory) contracts
for goods and services.
Expenditures
Decreases in net financial resources. Expenditures include
current operating expenses which require the current or
future use of net current assets, debt service, and capital
outlays.
Fund
An independent fiscal and accounting entity with a self-
balancing set of accounts recording cash and/or other
resources together with all liabilities, obligations, reserves,
and equities which are segregated for the purpose of
carrying on specific activities or attaining certain objectives.
The City of Sanger, Texas 2018‐2019 Annual Budget 245
Fund Balance (Equity)
The difference between fund assets and fund liabilities
reported in the Town’s governmental funds. For Budget
presentation purposes, Fund Balance shall be defined as
Unassigned Fund Balance for governmental funds and as
Net Working Capital for proprietary funds.
GAAP
Acronym for Generally Accepted Accounting Principles,
which are a collection of rules and procedures that set the
basis for the fair presentation of financial statements. The
accounting and reporting policies of the Town conform to
the GAAP applicable to state and local governments.
GASB
Acronym for Government Accounting Standards Board, an
independent, non-profit agency responsible for the
promulgation of accounting and financial reporting
procedures for governmental entities.
General Fund
General Operating Fund of the Town, accounting for the
resources and expenditures related to the generally
recognized governmental services provided.
Governmental Funds
Funds generally used to account for tax-supported
activities. There are five (5) types of governmental funds;
the general fund, special revenue funds, debt services
funds, capital projects funds and permanent funds.
Infrastructure
Public domain fixed assets such as roads, bridges, curbs
and gutters, streets and sidewalks, drainage systems,
lighting systems and similar assets that are immovable and
of value only to the government unit.
Internal Service Fund
A fund used to account for the financing of goods or
services provided by one department or agency to other
departments or agencies of a government, or to other
governments, on a cost-reimbursement basis. The Town’s
Equipment Replacement, Technology Replacement and
Building Maintenance & Investment Funds are internal
service funds.
Modified Accrual
A combination of cash basis and accrual basis. Revenues
are recognized when they are (1) measurable and (2)
available. Expenditures are fully accrued as they are
measurable when they are incurred.
Ordinance
A formal legislative enactment by the governing body of a
municipality. If it is not in conflict with any higher form of
law, such as a state statute or constitutional provision, it
has the full force and effect of law within the boundaries of
the municipality to which it applies. The difference between
an ordinance and a resolution is that the latter requires less
legal formality and has a lower legal status. Revenue
raising measures, such as the imposition of taxes, special
assessments and service charges, usually require
ordinances.
Revenues
Increases in net financial resources. Revenues include the
receipt of assets for goods sold or services provided in the
current reporting period, intergovernmental grants, and
interest income.
Special Revenue Fund
A fund used to account for the proceeds of specific
revenue sources (other than expendable trusts or major
capital projects) that are legally restricted to expenditure for
specifies purposes. GAAP only require the use of special
revenue funds when legally mandated. These include the
Court Technology and Court Security Funds.
Tax Levy
The total amount of taxes imposed by the Town of taxable
property within in its boundaries.
Tax Rate
The dollar rate for taxes levied for each $100 of assessed
valuation.
Transfer
The movement of monies from one fund, activity,
department, or account to another. This includes
budgetary and/or movement of assets.
246 The City of Sanger, Texas 2018‐2019 Annual Budget