July 28 Council Meeting
On Thursday, the Sierra Vista City Council adopted the City’s final budget for the new fiscal year that began on July 1 with no changes made since the tentative budget was approved in June.
The final budget of about $204 million reflects a 76.5% increase over last fiscal year primarily due to pending grant applications. The value of all potential grants must be included in the City's budget under Arizona state law so that, if awarded, the funds can be spent. These grants account for $81.4 million of the final budget and are largely focused on road maintenance and improvements with significant federal transportation money available this year.
An energy initiative being completed with Schneider Electric accounts for about $26 million, which is funded through bonds issued this year. The initiative tackles major City needs and numerous strategic objectives set by the City Council without requiring any additional tax burden on local citizens as the debt service will be repaid by a portion of the City’s sales tax collection reserved for capital improvements. It will also result in significant energy and water savings over time.
Notable projects in the budget include significant improvements to the Veterans Memorial Park Sports Complex, various infrastructure upgrades that will improve energy and water efficiency, the installation of EV charging stations in some public parking lots, and the next phase of streetscape improvements in the West End that will extend along North Garden Avenue.
The council also held a public hearing on the proposed property tax levy for fiscal year 2023. The proposed rate of $0.1098 per $100 of assessed value is slightly lower than last year due to an increase in valuation of taxable property. Lowering the rate ensures citizens pay the same amount as last year. The City’s estimated property tax revenue is $379,068, which is an increase from $377,145 in fiscal year 2022 due to new construction. The property tax levy will return to the council for final action in August.
Council reaffirms annexation proceedings
The City Council also voted to continue the process to annex 19 commercial properties located immediately south of the current City limits.
The area, referred to as the South City Annexation Area, is on the east side of Highway 92 south of Canyon de Flores. Staff began reaching out to businesses in that area last year, a move that was prompted by a sewer line extension being constructed to service the Veritas Christian Community School. The efforts resulted in 10 owners who signed pre-annexation and development agreements, eight of whom have properties that fall in the proposed annexation area. The remaining two could not be included because the annexation of their properties would create a county enclave.
The property owners who signed pre-annexation agreements said they were motivated by the ability to connect to City sewer and property tax savings. They account for a majority of the properties in the proposed area and a majority of the property value, which is required for the annexation to move forward. Following Thursday’s reaffirmation, the City Council will be able to take its final action to approve the annexation in August. The annexation will take effect 30 days after final approval.
In other business the City Council approved:
- The donation of the Sierra Vista Police Department’s forensic computer to the Cochise County Sheriff’s Office.
- An amendment to the personnel rules and regulations allowing more flexibility in the use of public safety take-home vehicles to benefit employees living outside Sierra Vista on a case-by-case basis. This change will help retain and recruit police officers.
- The designation of Chief Financial Officer David Felix as the person authorized to sign and submit the City’s Annual Expenditure Limitation Report for fiscal year 2023.
More information from Thursday’s City Council meeting is available in the supporting documents for the Thursday, July 29, City Council meeting. They can be accessed via the City’s website at www.sierravistaaz.gov/government/city-council/council-documents.
City Council meetings can be streamed live and past meetings can be viewed on YouTube. The meetings are also aired on Cox Channel 12. Learn more at www.sierravistaaz.gov/government/city-council/council-meetings.
