Is uh we think uh very realistic and perhaps a little bit conservative of an estimate as we move into twenty twenty-seven.

So we're quite comfortable with the two point eight percent.

Other revenue projections that we do, we have property tax, of course.

Uh property tax does, I think as you all know, have its own table calculation that gets applied just to property tax.

So right now our property tax project projection is increasing by four point five percent.

And that basically um is close to what the table allowed growth would be.

And so that's how we budget that property tax and anything beyond what we're allowed to grow under our table calculation, then we are providing back as a property tax credit on our residents' property tax bills.

And so for the twenty twenty-seven budget, we do include a mill levy credit of one point zero seven mills, and that's to stay below the table allowed growth rate for property tax specifically.

Excuse

me.

I'm sorry, my my screen is dark, so I can't put I could

ask a question, thank you.

Share, um when you're looking overall uh at your projections on sales tax, do you break out sales tax at all by category in terms of your projections when you get down into the weeds of it, or do you just look across the board?

Um I we do pay a lot of attention to the categories of sales tax.

And there are uh we have a number of categories, and I'm not gonna remember ten or twelve or something, but there are four or five of them that are the biggest dollar drivers.

And so I look very closely at those top five, they make up about seventy-eight percent of the total sales tax revenue, and so we do pay a lot of attention to that.

And coming to the end here through this year in 2026, most of those indicators have a positive growth from not only the current from the same month of the prior year, but also year to date.

Collections are more than they were through this point of last year.

Now I know we have building reports that are coming, and they're you know not looking all that stellar.

So that's part of what we're also considering when we make um those adjustments.

Okay, that's good to know.

Thank you.

Yep.

Absolutely.

For 2027, and I'm gonna uh show a little more detail on our property tax revenue, but providing that 1.07 mill levy credit is providing uh 9.4 million of revenue that we are not collecting uh due to that temporary mill levy credit.

So that's property tax relief to our uh homeowners and property owners throughout our community.

All other revenue, we also do forecasting on that, and these are adjusted based on factors such as historical uh information and historical actuals coming in, any fee increases we may know about, and other information.

We receive some of our revenue estimates from other entities, for example, our highway user tax fund, it is uh state shared revenue, so they provide us with those estimates.

Road and bridge, uh Millivia, of course, comes from the county.

Councilman Rainey.

Thank you, Madam President.

Share uh in the second bullet there, the uh stayable table property tax cap.

Is that the five point five percent uh cap that you're referring to there, or is it a different number?

It is not the five point five because we're a home rule city, we are not subject to that, but we are subject to uh the city table calculated limit.

And so it's a different calculation that is not the 5.5, it's based on what's called local growth and inflation, and that's the uh formula we use for that.

Okay, thanks.

So

when we look at the general fund revenue overall by expenditure category, so this is the entirety of the general fund revenue and broken down by our main categories.

So sales and use tax coming into 2027 is 58 percent of our general fund revenue.

We have property tax at 6%, all other financing sources at 10 rebudgeted, and all other

for

23%.

That all other category is um mainly things like chargers for services, licenses and permits, it's just all of those other smaller buckets kind of combined.

And

looking at a little closer on the amount of change from year to year for those same categories for sales and use tax, we are increasing by 18.5 from budget to budget.

So what we looked at previously, and what we were talking about with the 2.8 was from end of year estimate to budget, and now what we're comparing is original 26 budget to 27 budget.

So it's a little bit of a different comparison, and that's why we see a little higher value there.

So from original 26 budget to 27 budget sales and use taxes increasing by 18 and a half million property tax by that 1.2, and then our other largest category is rebudgeted, and that's increasing um by the full amount because we did not have rebudgeted in 26.

We do for 27, and I'm gonna talk about specifically what's included in that rebudgeted uh here in a second.

Well, let's do it right now, actually.

So we have a couple a number of things that are included in what we are rebudgeting, and what that rebudgeted means is we had revenue coming in in 2026.

It was not budgeted, it was above budget,

and

we're carrying that forward into 2027.

And a couple of this these as we go through are for very specific purposes.

We've talked a little bit about the sales and use tax received in 2026 that was above the budget.

That's 9.2 million.

So we're pulling that forward into 27 for use on one-time items, and those one-time items are transfers to our workers' comp and claims reserve funds, our capital improvement projects.

We they capital improvement projects were cut pretty drastically in 26, so we're putting funding back for 27, and also PD vehicle uh replacement was also had a reduction in 26.

So we want to uh put an infusion back in for that.