3.0 Affected Environment - Knik Arm Bridge and Toll Authority

Knik Arm Crossing DraftFinal EIS
Affected Environment
little more than half of the FY 2005 operating budget. The Fire Department is budgeted to
receive $477,000.
Palmer’s capital improvement budget for FY 2005 is $9.5 million, with nearly all of this
amount ($8 million) targeted to the water and sewer fund. The airport fund and Palmer Ice
Arena account for most of the balance of the budget.
3.2.3.2.3 Wasilla revenue sources and major expenditure categories
The City of Wasilla’s FY 2005 budget is based on total revenues of about $15 million. Sales
taxes are responsible for more than half ($9.9 million) of the budgeted revenues. The general
fund contributes nearly $10 million to the budget, which represents over half of the total
revenues.
Wasilla levies a 0.4 mill tax on properties located inside its boundary. It also charges a
2.5 percent sales tax. The City’s property tax rate is being adjusted downward to 0.3 mills in
the next budget, with the goal of keeping property taxes at an annual collection of about
$200,000. The City levies a 2 percent sales tax that goes to the General Fund; the additional
0.5 percent was adopted at the start of FY 2003 to fund the Multi-Use Sports Complex. The
0.5 percent tax will sunset after 10 years, on June 30, 2012.
Total property tax revenues for Wasilla were $273,619 in FY 2004. From 1998 to 2004,
collections declined from over $455,000 to under $275,000. The decrease reflects the efforts
of the City to keep property tax rates low while assessed property values have continued to
grow.
Wasilla’s FY 2005 budget shows total operating expenditures of $13.2 million. The budget
has grown steadily over the last 4 years, increasing by a little under $2 million each year.
In FY 2005, Wasilla’s budget allocates over $3.5 million to public safety, followed by
$2.9 million for public works and $2.6 million for debt service. The capital improvement
budget shows a beginning fund balance for the Capital Improvement Program (CIP) and
Enterprise Funds of $3.3 million, revenues of $11.6 million, and total available funds of
$14.8 million. Capital outlays of $13.7 million are budgeted, including $7.4 million from the
CIP and $6.2 million from the Enterprise Funds.
3.2.3.2.4 Houston revenue sources and major expenditure categories
The City of Houston’s FY 2005 budget is based on total revenues of $986,000. A 2.5 mill
roads tax levied on properties is responsible for 28 percent of the revenues, followed by the
sales tax, which accounts for 24 percent.
Houston levies a 2.557 mill tax on properties located inside its boundary. It also charges a
2 percent sales tax that was implemented in 2004. Houston’s property tax revenues for 2004
were $189,000. From 1998 to 2004, total tax collections doubled from $89,500.
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