FY2023 Adopted Budget

ROAD USE TAX FUND The Road Use Tax Fund (RUTF) accounts for revenue sharing from state taxes related to transportation (road use taxes). The City’s use of road use taxes is restricted to street and storm sewer maintenance, repair, and construction including engineering, streetlights, traffic signs and signals, snow removal, street cleaning, right-of-way maintenance, etc. Fund Balance: Road Use Tax Fund’s fund balance on June 30, 2022 is projected to be $4,136,788, a decrease of $268,528 or 6.1% from the fiscal year 2021 year-end balance. This decrease is primarily due to a decrease in Road Use Tax revenue stemming from COVID-19 and an increase in transfers out for Capital Projects. The fiscal year 2023 estimated fund balance is budgeted to decrease by another $282,891 to $3,853,897. This decrease is a result of increased expenditures within Streets System Maintenance and an additional position added within Traffic Engineering.

(1) FY22 - FY24 figures are estimates.

The Road Use Tax Fund borrowed $1.4 million from the Landfill Cell Replacement Reserve during fiscal year 2019 to help construct portions of the new Public Works Facility. The following is a summary of that loan:

Principal Outstanding as of 6/30/22

Total Payment FY23

Final Payment

FY23 Principal

FY23 Interest

Loan

Date

Loan Amount

2019 Public Works Facility Loan

6/30/2019

$ 1,400,000

2036

$ 1,200,106

$ 93,172

$ 75,687

$ 17,485

386