Lyle Holmgren, Mayor

Shawn Warnke, City Manager, Marc Christensen, Assistant City Manager

The pursuit of a safe, healthy, caring, and flourishing community is something we all strive for. In Tremonton, this can mean many things, but generally includes public safety, clean and reliable water, sewer, road maintenance, parks, library, senior center, food pantry, and other programs that benefit our community. These services and programs have become something we all rely on and expect, but they require resources, both human and financial.

Each year, the city must approve a balanced budget that accounts for all revenue and expenditures for the current fiscal year. The City’s fiscal year runs from July 1 – June 30.

Like other cities and towns, Tremonton generates revenue to pay for the current costs of operation and capital improvements through taxes, fees, and grants. All these services and facilities have a cost, and some have enormous costs that require many years to fund. To provide these services, the city must have dependable revenue. The following are the primary sources of revenue the city receives in its Governmental Funds to cover these costs.

Transparency promotes accountability and provides an opportunity for residents to be better informed about what is going on in our community. In short, a better-informed public creates an opportunity for improved conversation and better understanding.

The city maintains several funds. In this article, I will discuss the city’s Governmental Funds, which include the General Fund, Special Revenue Funds and Capital Project Funds. All of which rely heavily on taxes, fees, and grants to operate.

Where does the money come from? General, Special Revenue, and Capital Projects Funds

Tremonton City FY ’24 Governmental Funds Revenue Sources

Property Taxes – $3.06 million. Property taxes provide the city with a stable revenue source for personnel and services that we all rely on. Services such as public safety, parks and recreation, senior center, library, food pantry, justice court, cemetery, community events, and city administration are funded through property tax revenue.

Sales Tax – $2.88 million. The State of Utah allows municipalities to collect sales tax revenue as an added source of revenue to meet growing financial needs. The legislative intent is to use this revenue for capital outlay requirements and to service a municipality’s bond indebtedness. This source of revenue is less stable and can be affected by economic cycles.

Energy and Other Taxes – $1.33 million. Tremonton City levies municipal energy sales and use tax on the delivered value of taxable energy (gas and electricity) sold or used within the city’s boundaries. Other taxes include franchise taxes and transient room taxes.

Licenses, Permits, Grants and Miscellaneous – $2.08 million. This category covers multiple sources of income for the organization, including revenue from business licenses, garbage and recycling collection funds, grants like police staffing and community development, essential resources for road maintenance from B&C Road Funds, and revenue from cemetery fees and Fee In Lieu arrangements, all supporting the city’s operations and services.

Community Services – $1.12 million. Tremonton City Community Services funding comes from various sources such as, state and federal funds for senior services and the food pantry, which help senior programs and food assistance. Donations from the community also play a vital role in keeping these services running. Furthermore, revenue comes from user fees for recreation programs, ensuring access to recreational activities. Park impact fees and grants are used to improve parks for the community’s benefit. These different funding sources together support the organization’s mission and services.

Public Safety – $1.32 million. Revenue coming from Fire & EMS services.

Capital Projects – $92k. Revenue received within the Capital Projects funds comes from Transfers, Roads Impact Fees, and interest from the fund balance.

Where does the money go? General, Special Revenue, and Capital Projects Funds

Tremonton City FY ’24 Governmental Funds Expenditures

In August, the Tremonton City Council approved the FY ’24 budget. Rather than try to explain every detail of the city’s expenditures (the complete budget can be found on Tremontoncity.org), I will share the expenditures associated with governmental funds in the FY ‘24 budget and explain the need for these expenditures.

Administration – $1.45 million. City Administration, City Council, Human Resources, City Treasurer, City Recorder, Elections, Planning and Zoning, Economic Development, these are the departments that are required to maintain the day-to-day operations of the city.

Public Safety – $5.87 million. Police, Fire, and EMS make up Public Safety for Tremonton City. A major part of the FY ’24 budget includes an increase to the city’s portion of the property tax rate by 50.2 percent. This amount equates to an increase in property tax revenue for Tremonton City of $1.02 million and will help fund one city planner position and five new positions in our police department (one sergeant, three officers, and one civilian office staff), the funding will provide the necessary wages and benefits, personal gear, equipment, fuel, and building upgrades for these new officers to do their job.

Community Service – $2.61 million. Community-wide events bring our people together, strengthening our community. Establishing a strong town identity is important. Parks and Recreation provides open space, events, and recreation for the whole community. Our Senior Center serves the elderly with activities, healthy meals, and opportunities to associate with other seniors in our community. In addition to providing reading resources for our community, the library provides activities and opportunities to learn more about our history and community. The food pantry provides much-needed support to our community. Some families need only a few groceries to tie them over until the next paycheck, while others may not have employment or are unable to work, there are the elderly on fixed incomes, and families with young children in need of diapers and other hygiene items. Whatever the reason, the Tremonton Food Pantry is there to help.

Transfers and Debt Service – $314k. Each year the transfers funds from the general fund to pay for the UTOPIA bond and to transfer funds to the city’s Redevelopment Agency (RDA).

Capital Projects – $3.21 million. This year, the city budgeted 80 percent of the estimated revenue gathered from sales tax to go toward capital purchases such as roads, building improvements, vehicles, and bond payments. In FY ‘24, the city is scheduled to transfer over $2 million to capital project funds.

Streets – $800k. Each year the city budgets money for the operation and maintenance of roads such as snow removal and road repair.

Of all governments, federal, state, and local — local municipalities affect our daily lives the most. Local government touches almost all facets of our lives, from the water we drink, to the roads we drive on, or the parks we enjoy, to public safety that keep us safe. All these services, and more, require people and resources to operate and maintain. So, to ensure our long-term success and viability, we must not only maintain but improve these services. This responsibility is a public trust.