Mayor’s proposed biennial budget bolsters public safety, health departments in Lincoln | Local Government

The budget — bolstered by an anticipated 18% increase in sales tax revenue in 2022-23 and a smaller 1.2% increase the following year — adds 67 new city jobs to better serve the public, Mayor Leirion Gaylor Baird said.

The number of city employees per capita has decreased from 9.1 to 7.8 over the past 16 years, Gaylor-Baird said, when Lincoln’s population grew by 53,000 people.

“This budget enhances our strong commitment to customer service for both our residents and the private-sector partners with whom we collaborate to grow a more prosperous and vibrant community,” she said.

The past two budgets, each single-year budgets instead of the traditional biennial city budget because of the uncertainty of the pandemic, worked to meet the challenges of the pandemic and to recover.

Now, low unemployment, and “record-setting building and development activity,” marked by a record 2,273 building permits issued for homes, duplexes, townhomes and apartments, is evidence of strong growth, she said.

“As we turn to the future we are looking to build on that success and use it as a springboard to propel us forward, building on the success of a growing economy,” she said.

The $243.5 million tax-funded budget for 2022-23 represents a 7.4% increase in spending — or nearly $16.7 million. The budget will increase $9.8 million, or 4%, in the second year of the budget cycle.

The two primary sources of revenue are property and sales taxes, though various fees and an occupation tax comprise about a quarter of the city’s revenue.

Last year, the city benefited from a volatile housing market that resulted in a record increase in valuations and more than $3 million more property tax revenue than it anticipated.

This year, the assessor’s office doesn’t plan a total revaluation of property — which means valuations shouldn’t go up so dramatically — and the city built its budget based on an assumption that property valuations will rise 3% in 2022-23 and 7% the following year.

That means the city anticipates getting $77.7 million in property tax revenue the first year and $83.2 million the following year. The budget also includes some unused property tax revenue from the current budget.

Robust sales tax revenue — which officials expect to level out in the coming years — is expected to bring in $99.8 million in 2022-23 and $101 million the following year.

The city plans to lower its tax rate by a half-cent, saving taxpayers $1.2 million.

The overall tax rate — for the general fund, plus smaller levies for the library, police and fire pension and bond repayment — will be 31.293 cents per $100 of valuation. The owner of a $226,342 home in Lincoln — the average price in 2021 — would pay $708.29 to fund city government, a savings of $11.31

The city’s share of property taxes collected is 16%. The lion’s share of a homeowner’s tax bill — 61% — goes to support Lincoln Public Schools.

More than half of new positions in the budget will bolster public safety and health departments.

The police department will hire five additional police officers in 2023-24, the second year of the budget cycle, spending 2022-23 trying to fill what the police chief has said is about 40 vacancies. The department also will hire three civilian employees, to free up more officer time. The city also plans to add $150,000 for mental health services crisis-response programs.

The fire department will hire six additional firefighters, and the city will add two emergency dispatchers. It will also add an additional $250,000 for fire equipment and will replace one fire station and make improvements on two others.

The health department will add eight public health nurses to expand a health visitation program to support women and infants, a program now available to low-income residents but that will be available to all new mothers.

Existing money will pay for expanding the program the first year, and it will cost $153,633 the following year. After that, the annual cost will be $737,725, a portion of which will be paid by the county.

The health department also will add two environmental health educators, a dental assistant to help provide care to low-income residents and one animal control officer to address what has been a 22% increase in pets since 2007.

Other new positions include an economic development specialist, a human resources recruitment manager, a fleet manager to coordinate the city’s different vehicle fleets and a cybersecurity manager for the city’s water supply.

The budget also adds other positions in building and safety, finance, purchasing, the city clerk’s office, the water department and StarTran.

Sherry Wolfe Drbal, the city’s budget officer, said each officer and firefighter costs about $100,000 for salaries and benefits, as will some other positions such as the fleet manager. Others are slightly less costly.

Not all positions are paid through the tax-funded budget, she said. Some, such as the animal control officer, will be paid through pet licensing fees, and others are paid with federal funds. Some are in joint city-county offices, so the county assumes a portion of the cost.

The mayor would continue funding added in the last budget from the additional property tax revenue, including $100,000 each year for creating inclusive playgrounds, $1.57 million each year for sidewalk replacement, $244,000 for tree trimming and $710,000 to increase affordable housing — including creating a rental rehab program.

Bus riders — who have been able to ride for free because of pandemic aid — will have to begin paying again, but will pay $1.25 instead of $1.75 for regular bus fare and $2.50 instead of $3.50 for paratransit.

The mayor plans to spend $42.6 million in 2022-23 and $45.5 million the following year on street improvements and new construction. That includes about $15 million each year in revenue from the quarter-cent sales tax for streets.

Other capital outlays include:

* $5.3 million for StarTran, the bulk of which is federal money, for, among other things, new paratransit vans and to make bus stop improvements.

* $33.8 million in 2022-23 and $40.7 million the following year for seven miles of water main replacement, 3 miles of new water mains, replacement of lead service lines, and water quality measures.

* $19.4 million in 2022-23 and $23.4 million the following year for wastewater improvements, including sewer main repair and extension, increasing capacity and other improvements at the Theresa Street plant.

The City Council can propose changes to the budget and will vote on them before an Aug. 1 public hearing. First reading on the final budget will be Aug. 15, followed by adoption Aug. 22.