REVENUE RUSH: The Big Haul at City Hall

Part Five of a series on the Columbia city budget

COLUMBIA, 8/31/10  (Beat Byte) --  Columbia city government has so many revenue streams Warren Buffett would be proud.  And Buffett could hardly do better.  City Hall's revenues are ultra-secure, arriving not only under force of law or threat of utility disconnection, but also under the twin threats of higher taxes and critical service cuts.

 

From its 2010-11 budget, City Hall's Property Tax take is up 2% this year.  Sales Taxes are up 1%. 

 

"This represents an improvement in economic conditions," says the City Budget.  Improved economic conditions.    How did that sneak in?  

 

City Hall also collects two taxes we see on our utility bills:  Gross Receipts Taxes and Payment-In-Lieu-Of-Tax, or PILOT.   "PILOT payments are projected to grow at 3.9%," the city budget claims.  But try getting nearly 4% on a savings account or CD.  Try getting a 4% pay raise.  Try raising your prices, Mr. or Mrs. Small Business Person, by 4%. 

 

Water, Electric, Trash, and Sewer fees sport a 6.2% increase for 2011.    

 

City Hall also gets a gaggle of grants, like PedNet and Federal block grants (CDBG).   From each grant, City Hall takes junk fees before distributing the money to the people.  

 

City Hall also gets investment revenue -- a return on its cash stash. 

Licenses, permits, fines, fees and miscellaneous revenue such as surplus equipment sales all add to city coffers. 

 

Here's a sample from this year's budget.   It's by no means exhaustive, and can be found starting on page 45, Revenue Summaries.  

PROPERTY TAXES

Real Estate:   $5,742,300

Personal Property:  $1,065,900
Other:   $182,000

SALES TAX:   $18,685,000

 

GROSS RECEIPTS TAXES

Telephone:   $3,500,000
Natural Gas:   $ 3,250,000
Electric:   $875,000
Cable TV:   $281,250

 

OTHER LOCAL TAXES
Cigarette Tax:   $620,000

Gasoline Tax:   $2,375,000

Motor Vehicle Tax:   $820,000

 

PAYMENTS IN LIEU OF TAX

Electric:   $10,000,000

Water:     $2,783,000

 

USER FEES
Railroad:    $818,250

Parks and Recreation:   $4,510,948
Public Transportation:   $1,571,119

Parking:  $1,756,209

 

UTILITIES
Water:     $20,167,600
Electric:   $121,712,752
Airport Utility:   $526,591
Sewer:   $13,790,575
Trash (Solid Waste):   $15,279,375
Storm Water:   $1,220,000

 

GOVERNMENT REVENUES
Federal / State Revenues:   $2,207,960

County Revenues:   $2,199,422

 

INVESTMENTS

Earnings and Interest:  $8,640,356

LICENSES
Business License:   $633,000
Liquor License:   $136,000

Animal License:   $36,000

 

FINES
Municipal Court Fines:   $1,916,000
Uniform Ticket Fines:   $108,000
Meter Fines:   $265,000
Alarm Violations:   $16,500

 

FEES

Construction Fees:   $611,460
Other Fees:   $15,000
Street Maintenance Fees:   $155,000
Animal Control Fees:   $21,000
Health Fees:   $773,255
Other Fees:   $331,716

GRANTS:  $7,965,549

 

All in all, city revenue adds up to a projected $351,177,199 for 2011, a 5% increase in two years.   Not bad for a flagging economy and a budget that's "a real bugger." 

-- by Mike Martin, who served as chairman of the City of Columbia Finance Advisory Commission between 2002-05.