SPRINGDALE — Pay raises will be the biggest increase in the budgets for the city’s individual departments.
The City Council reviewed department budgets Thursday, including the two largest — Police and Fire. Those two departments include 304 positions, well more than half of the 497 positions for city employees in the budget.
Mayor Doug Sprouse, in his budget for the city, proposed giving a step increase to municipal employees. Step raises are incrementally increases based on employees gaining another year’s experience to adding to their value to the city. Those who have topped out in steps would receive a $1,000 bonus, Sprouse said.
The step increases vary across the payroll according to the pay scale difference between steps. The step would cost the city about $800,000, Sprouse said. The average pay increase would be about 3.5 percent, said Laura Favorite, finance director.
Another change in the Police and Fire budgets would be the amount of overtime. The Fire Department overtime cost budgeted is $680,000, well above the $500,000 in the 2013 budget. The Fire Department is projected to exceed its 2013 budget in overtime, projected to reach $735,000.
Overtime budget in 2014 for the Police Department budget is $260,000, up from $180,000. The Police Department also is projected to go over its 2013 budget to $272,000.
Kathy O’Kelley, police chief, said 911 calls and crimes are increasing.
“If you respond to 200 calls a day, people will work over the end of their shift,” O’Kelley said.
Turnover in those departments have also caused overtime, said O’Kelley and Mike Irwin, fire chief.
The Fire Department has lost seven firefighters this year and the Police Department lost 16 employees, the chiefs said.
In the Public Works Department, the income will increase because of voters’ approval of a statewide sales tax increase for streets and highways. Springdale will receive about $1.2 million additional sales tax money turned back to the city for the 10 years the tax will be in effect. The money must be spent on costs associated with streets and highways, Sprouse said.
Sprouse proposed spending $500,000 per year on trails and sidewalks with $240,000 going to Ozark Regional Transit.
The overall city budget projects general fund revenue to be $32.16 million in 2014, with expenses of $34.57 million. Higher costs projection than income will be offset by $2 million from the Capital Improvement Program fund, according to a memo from Sprouse.
The Capital Improvement Program receives half of a 1 percent city sales tax approved by voters in 1993. The $2 million transfer from the improvement program would cut the deficit to about $400,000.
The shortfall would be made up from carryover in the general fund. That balance is projected to be $8.24 million at the end of this year, according to the budget. The balance at the end of 2014 is projected at $5.84 million.
The council plans to discuss the remaining departments at 6 p.m. Nov. 14.
Adoption of the budget is scheduled for Dec. 10.