NLV council adopts hefty budget

The 2007-2008 fiscal year budget of $749 million also includes huge increases in funding for public works and utility projects.

The increases come despite the fact the city expects to receive just $31.5 million more in revenue than last year and will have to use $91.4 million in reserves to cover the new budget.

The city’s tax rate also will remain fairly stable at just over $1.16 for every $100 of a home’s assessed value. The rate fell by half a cent from last year.

That $1.16 tax rate means that the owner of a home with an assessed value of $100,000 would pay $1,160 in taxes.

“We are continuing to try to reduce our property tax rate even though our economy isn’t as robust as it was two years ago,” City Manager Gregory Rose said. “Our rate is the highest in the valley, and we must become more competitive.”

Rose said the city is able to increase the budget despite lackluster growth in revenue because of planning.

“We took precautionary steps by increasing fund balances to buffer ourselves against a less robust economy,” he said.

City officials blamed a housing slowdown for their decision to tap reserves.

Good news for the city includes a 169 percent increase in intergovernmental revenue, from $70.7 million last year to $189.9 million in 2007-2008. The funds come from federal, state and other local governments in the form of grants or shared revenue and include monies from the Clark County Flood Control District and the Regional Transportation Commission. The intergovernmental revenue accounts for about a quarter of the city’s overall budget.

Roughly half of the city’s budget is dedicated to public works and public safety spending.

The budget allocates $314.3 million toward capital improvement projects, including $186.3 million in street and flood control projects, $55.2 million toward the design and construction of a new sewer treatment facility, $26.6 million for new parks and park facilities and $5.3 million for a new city hall.

The city plans to use 22.4 percent of its overall budget — or about $167.5 million — on public safety. In addition to more police officers, it plans to hire 10 new corrections officers and 13 other staffers.

The city plans to add 103 staffers overall.