Mr. Stephen Allen Matherne Sr.
November 16, 2009CDBG to boost T’bonne’s push for economic growth
November 18, 2009
Spending in Thibodaux’s budget is expected to increase $4.2 million in 2010, far outpacing the city’s projected $28.6 million in revenue, according to Mayor Charles Caillouet.
The Finance Department projects next year’s budget to be $37.9 million, up from the previous year’s $33.6 million.
Finance Director Shannon Lafont said the city will begin the fiscal year with $14.9 million in its general fund – $13.9 million of which is earmarked for capital outlay and project expenditures. The city carried over 15 capital projects from 2009 totaling $6 million, she said. Nine new such projects, totaling $7.9 million, have been added for the coming year.
“The major increase in expenditures is due to the East Sector Waterline project funded by bond-issue loan proceeds of $4.6 million,” Lafont said. “The city also has a 15 percent increase in health insurance costs, an estimated 20 percent increase for general liability insurance and an estimated 25 percent increase in fire and property insurance, as well as expenses due to the wage and salary adjustments.”
Caillouet said among the capital outlay expenditures planned for next year are improvements to the Stark Complex, Peltier Park, the water plant, East Thibodaux Waterline and various roads.
Among projects carried over from 2009 are the reconstruction of the senior citizens building parking lot, renovations at the public works building, upgrades to the Warren G. Harang Municipal Auditorium, various drainage improvements and fixes to state Department of Transportation and Development road safety issues.
“Having expenditures for equipment and improvements to the parish are important,” Lafont said. “The city has set money aside for those improvements, which puts us in a better position than 2009.”
Caillouet said the budget adequately fulfills the city’s operating requirements. And, since the budgeted expenditures exceed the budgeted revenue, the gap will be covered by reducing the unreserved or undesignated fund balance and retained earnings.
“The money we will use is not earmarked for any specific thing,” Lafont said. “When the hired auditors break down the city’s funding, they place money that is not designated for a specific project or department in the unreserved fund balance. The city will use that money to get by for 2010.”
The city is looking to adopt its 2010 operating budget on Dec. 3. Public hearings will be held prior to the meeting.
Charles Caillouet – Unreserved funds to cover budget overage
