09/17/2019 | News release | Distributed by Public on 09/17/2019 19:22
Tonight, the Pierre City Commission passed the City's 2020 budget. Without increasing electric or wastewater utility rates, the Commission balanced the budget at $57,086,501.
Pierre Mayor Steve Harding says that because the City's 5-year plan has some big ticket items, the 2020 budget is pretty routine.
'It's conservative and straight forward because all of our big projects were already accounted for,' said Mayor Harding. 'Funding mechanisms are in place for the water treatment facility, the new outdoor public pool, and the renovation of the Boys and Girls Club.'
The $57 million budget will be used for operating expenses like street construction, recreational programming and purchasing electricity. The City also intends to replace several pieces of aging heavy equipment and expand parking at the Pierre Regional Airport.
Thanks to some state and federal grants, the City is able to continue park system improvements. In 2020, the City plans to reconstruct a portion of the walking trail that runs through Griffin Park near the swim beach.
The City's budget runs on a calendar year. The majority of the City's funds come from two pennies on every dollar of taxable local sales, the rates paid for utilities, and a small property tax allotment.
Water Rate Change
The Commission also considered a water rate change this evening. The recommended rate change is the result of the Water Treatment Facility project approved by voters last summer.
If approved at next week's meeting, the rates will increase by an average of $3.55 per month, per residential customer. The actual increase depends on individual water use. To help finance the $37-million water treatment facility, the Commission intends to increase water rates annually through 2023.