Newton Independent
The Newton City Council had few questions concerning next year's proposed budget at a workshop Monday save whether a method could be found to build a fund to finance on-going capital equipment needs.
Council member Dennis Julius asked that staff look at what other communities might do in regard to financing capital equipment, such as a sort of "savings account" or capital equipment reserve fund.
Julius said that during his years on the council, it seems the city is always trying to catch up on its capital equipment needs and would rather "get ahead of the problem."
"It always seems like we're chasing our tail," he said. "It would be nice to get ahead of the problem."
Newton Community Development Director/Interim City Administrator Bryan Friedman said cities are allowed to establish a capital levy fund but it would need voter approval to establish it.
He said another option in the future might be to designate the $132,000 interest payment the city is in the last year of making to the county for its participation in bringing TPI Composites to Newton toward capital equipment.
Council member Noreen Otto said that while did not have a problem supporting some sort of equipment fund, she said that it might behoove the council to wait until the city's new Comprehensive Plan is completed before taking such a step. However, she said, instead of waiting until the later months of the year to develop a capital equipment needs budget, the council could begin looking at the issue at the start of the next fiscal year.
Council member Jeff Price agreed that getting ahead of the situation puts the city in a better position.
"We need to be more forward thinking rather than waiting for things to happen," he said.
Next year's city budget calls for the lowest levy rate seen in 18 years. At $14.91 per $1,000 valuation, it stands 39 cents below this year's rate.
However, even with the levy decrease, homeowners will pay more in city property taxes next fiscal year due to the increase in the residential rollback. A Newton homeowner with a property valued at $100,000 will pay $14.20 more in city taxes next fiscal year, $756.70 compared to $742.50.
The council will next set a public hearing on the budget for early next month. The budget needs to be certified to the state by March 15.









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