Good afternoon, everyone.

This is on the session for tonight.

It's fire third.

So we'll go ahead and get started.

And I will hand the mic off.

I don't know if you're gonna break with tradition.

I just threw my game off.

I was waiting to stand up with it.

There are people who would do it.

Good evening, mayor and council and staff and public and this year, like last year, we changed the uh manner in which we do the budget in the several past years.

We would go through pretty much ad nauseum every item, uh including most items that have to be paid anyway.

And uh I still kind of weigh the pros and cons of doing that.

Uh there are some pros to doing that, but uh, but we found last year that council seemed to appreciate uh honing in on really the focused issue of the decisions that you uh will be making on priorities for us, and so um we're gonna do that.

Um we um this this year was a especially challenging year as we went forward.

There's a lot of factors that uh were unknowns, and some of them to the last minute uh of what we were gonna have for some revenues and and so forth.

Um but uh but we have a budget uh that we're presenting to you tonight, and uh and uh this is what uh this is what we're gonna go over tonight.

Um we're gonna talk about our budget revenue and our execution process.

Uh then I'm gonna turn it over briefly to uh the treasurer to talk about the the new format of the new book and and what that entails with its uh both online and physical components, and then we're going to talk about how we went through our budgeting process, uh narrowing down to uh what we have available to us in our one-to-end and how we intend to do that or how we're proposing to do that.

Uh then um I'll turn it back over to Hans who will talk about our capital projects for this year.

He will turn it over to Dan who will talk about utilities, and then we'll and then we'll finish off uh uh talking about some last uh minute stuff.

Um I've got uh on every slide I've got a number down in the bottom right-hand corner, and I think to ease the process uh rather than because we might cover some information that you might have questions on.

If you have a question on a slide, I would propose we we gave everybody notebooks if you if you write the slide number so we can easily go back to that one and then write your question down when we get to the end of all three of us.

I did not break and have questions at each section.

Um so if you if you write your questions down, we'll cover them all, and that's why I have all the department heads here because uh there's gonna be four of us uh speaking tonight uh on the different components, but we have everybody to talk about uh the information that we have.

So with that, I'll jump right into it, and we're gonna talk about our budget process and and our uh revenue projections for this year.

Um as always the uh charter ordinance governs how we go about this process.

The charter ordinance uh directs that in the roles of my duty I'm responsible for preparing a budget annually.

Uh when we get done with tonight's uh process, it the budget will then belong to council and the governing body.

Um, and it's yours to discuss and to uh uh ask further questions and so forth.

Uh but it'll be your budget.

Um just as a review, we have uh three different types of revenues, but they fall into two different categories.

Um most of our revenues are fixed revenues, just like anybody who lives on a fixed income.

We do too in most of our operations.

We get what we what we get, we uh we anticipate what we think we're going to get, um, and that's the extent of any growth that we have based on projections.

The only one that really has uh some flexibility uh in changing revenues if needed is our enterprise funds.

The mill uh driven weed and pest has a little bit of flexibility, but not a whole lot.

Um most of us are are locked into what we get, and so we have enterprise funds, we have specific use ones, and we have general operational funds, and I'll talk about those in a minute here.

This is what our uh FY27 uh complete revenue projections look like.

Um total revenue shows $52 million of revenue, but it really falls into four different categories.

Three if you're technical.

Um project funds uh are part of special revenue.

That little sliver of special revenue is actually uh not only a component of, but it's also part of special revenue.

Uh but project funds, we separate those two out.

That's uh cap tax and public benefit, and uh you put that together, and uh we have in the vicinity of uh 6.9, we're estimated about 6.9 worth of uh of revenue that we're expecting.

That's the area that Hans is going to talk about later today.

Um and then enterprise funds, uh, the stuff in green there is uh comprises of our water sewers, solid waste, uh, weed and pest and uh golf, and uh that in total covers about 19 million of that 52 million.

And uh what I am going to focus on today is the stuff in blue here, which are our top three funds are 10, 11, and 12.

You've heard that many times, uh 10 being our general fund, uh 11 being our GPET, and 12 being what I'm now referring to as our 8% distribution fund.

Used to be our direct distribution, it's not technically direct distribution now.

That came out of mineral grants and stuff.

This is coming out of uh out of sales tax.

It's yet to be determined if it's gonna rise and fall with the uh growth of or the or how well county uh sales tax goes.

Um it might just be a direct amount that we get from the state.

It and so uh you'll see us when we refer to some of the growth patterns, it's not referred to in the 8% part yet.

Um the general fund has a lot of different subfunds in there.

Um in the past, I've shown a circular thing, and it has this huge slice as miscellaneous, and that's because there's so many uh small ones like cigarette tax, alcohol, and so forth.

So they're pictured here, you can't read them, but on the next slide here, we have broken out and I've separated out uh I've highlighted FY26 budget from last year's budget book, and then as uh Darl and I have gone through and looked at the trends of the year, what we've projected as uh what we believe the revenues will be for this year.

So the ones in green are showing higher than projected higher than last year.

The ones in red are we're expecting to be lower than last year based on what we see the trends being, and then we have several that are that say same on there, and those ones are staying steady.

And so in total, compared to last year, last year's uh uh general fund, that yellow line uh next to that page that says 32 says 17.8 million dollars.