Mayor Scott Fadness briefed the media Wednesday afternoon on the the 2019 city budget and was quite proud of several numbers inside the spending plan. Next year’s city budget proposal, to be presented to the Fishers City Council Monday night, will total $108.69 million.
Fadness will emphasize to the council that even with an increase in the city tax rate next year, among the ten largest cities in the State of Indiana, Fishers will continue to have the lowest property tax rate, projected to be 69 cents per $100 of assessed valuation.
The mayor told the City Council Finance Committee last month he projected a property tax rate increase of 5.5 cents per $100 of assessed valuation in 2019, but Fadness said Wednesday that his staff has lowered the projected rate increase down to 4.2 cents. He estimates about 1.5 cents of that 4.2 cent rate increase will be used to pay-off a $12 million bond, $7-$9 million of that bond is projected to fund the Nickel Plate Trail. The bond will also fund some road projects.
The mayor says that $12 million bond will fund the first phase of the trail from 126th Street to 106th Street. A “separated grade crossing” at 116th Street will be funded in this first phase. The mayor says this grade crossing will be built either above 116th Street or below, but that has not yet been determined.
The mayor will also tout a 5.3% increase in assessed valuations of property in the city. He also said those increased valuations do not include property in Tax Increment Financing (TIF) districts, such as the new construction in the downtown Fishers Nickel Plate District.
He said the city’s cash reserves of more than $17 million, $4 million more than the required amount, has helped the city maintain its AAA bond rating from Standard & Poor.
The city’s General Fund is mostly used for human capital costs, at 72% of the total.
Both the Fire Department headquarters building and one other fire station may need to be demolished and rebuilt, or renovated, based on a study being conducted now. Also, City Hall may be in line for major upgrades, also based on an evaluation that should conclude later in September. Money has been set aside in the budget for that work.
2019 will also bring more road construction projects. They include completion of the four-lanes on Allisonville Road, 126th & Reynolds Drive and 96th Street will be improved to four lanes from Lantern Road to Cumberland Road.
Providing money for 911 service will cost Fishers $1.3 million in 2019, which Fadness said would fund all the new staff positions he is proposing to add in 2019. He says there are disparities in Hamilton County as to how much each government unit pays into the 911 service fund, but that would need a county-wide solution. The mayor has had informal conversations on this issue and does not believe it will be solved in this budget cycle.
Fadness once again bemoaned that fact that Carmel gets several million dollars more as its share of the county income tax money, even though Fishers and Carmel have very similar population numbers.
The Monday night City Council meeting will feature a public hearing on the 2019 budget proposal.