Lincoln Council Reconciles 2018 Budget

LINCOLN — The City Council approved a resolution at its Feb. 19 meeting to reconcile the 2018 budget to show actual revenues and expenses.

The reconciled budget shows the city projected to receive $458,825 in revenue for the general fund for 2018 but actually received $529,489, a difference of more than $70,000. Income was up for building permits and building inspections for 2018. Revenue also was up for the county sales and use tax and the local sales tax.

The city projected to spend $408,660 in 2018 for the general fund but actual expenses were $460,211.

The biggest increase was for legal fees. The city budgeted $10,500 for legal fees and spent $32,259. According to Rhonda Hulse, city business manager, fees increased because of several situations during 2018, including legal work to demolish an apartment building and an investigation involving former police chief Brian Key.

For the general fund, the city ended 2018 with a balance of about $69,300.

In other areas, the water department received $1,776,766 in revenue in 2018 with $1,642,283 in expenses, leaving a balance of $134,482. Revenue was up in water collection fees and fees for water connections. Expenses were above budgeted amounts for technology maintenance and equipment, merchant fees for bank charges and vehicle maintenance and repair expenses.

The police department had almost $326,000 in revenue in 2018 and $410,439 in expenses, a deficit of about $85,000.

The city received $274,460 from its 1-percent sales tax for capital improvements, $40,000 more than expected, with expenses at $230,018. Of the expenses, $135,775 was spent to demolish the Town House apartments, Lincoln Lake cleanup and handrails for the public library. Money also was spent on library computers and tablets, trash truck payment, police laptops and backups and other items.

The reconciled budget for 2018 for the street department was almost $46,000 in revenue and $40,239 in expenses for a balance of $5,746.

Lincoln Public Library received $238,179 in revenue in 2018 with $206,529 in expenses, leaving an almost $32,000 balance.

In other action, the Council approved another resolution to authorize the mayor to apply for a grant with Arkansas Rural Development for fire equipment. The city will apply for a $12,500 grant and if it is approved, will match it $12,500.

Under committee reports, Hulse said the city is continuing to order radio meters to read customer’s water meters and that the city will open bids for a new water storage tank at 3 p.m. Wednesday, Feb. 27, in the district courtroom.

A special meeting and public hearing on issuing $5.5 million in bonds to pay for the water tank project will be 7 p.m. Wednesday, March 13, in the district courtroom. Hulse stressed that the Council must have at least six members present at the meeting to approve the resolution to issue the bonds.

Hulse also said the city has had two large water leaks in February. She said she would not know how much the leaks cost the city until its bill from Two Ton is submitted for the month.

The Council discussed city parks during the report from the Parks and Recreation Committee. Mayor Doug Hutchens said some activity, either human or animal, is going on at South Park and he recommended cleaning up undergrowth and using game cameras to figure out what the activity is. Hutchens said the committee also discussed upgrading trash cans and lids at the parks and installing signs that show park hours.

The report from the Committee of the Whole was about a proposal to establish procedures for City Council meetings. The Council will use Robert’s Rules of Order, allow for a public comment period at the beginning of meetings and have a rules of conduct for people to follow at the meetings. The proposal was sent to the city attorney to look over first and will be on the Council’s March agenda.

The Council also approved the annual audit for the water/sewer department and approved a request to waive fees for animal tags during an April 13 event hosted by the city and Lincoln Pound Pals.