On Tuesday, the City of Topeka’s Administrative and Financial Services Department released the proposed 2023 operating budget.
The total City budget for FY23 is $340.1 million, a small 0.33% increase from FY22. Of this, the City’s General Fund budget is $104.1 million. The City’s General Fund is the largest single fund and funds many of the City’s municipal services.
Overall, the general Fund budget increased by 6.2% from the FY22 budget. Over the last five years, the General Fund budget has not increased more than 2% from the previous year. The larger increase this year is a direct result of inflationary costs which are as high as 8.6%. The City recognizes the impact this has on taxpayers and has raised costs carefully and with intention.
“We are excited to present the 2023 operating budget for the City of Topeka. We are confident that the budget will allow the City to offer high-quality services at an appropriate cost to taxpayers. We continue to work to align City resources with the needs and values of our community, and this budget puts us in a great place to do that,” said Stephen Wade, Director of the Administrative and Financial Services Department.
Budget priorities
The proposed 2023 budget supports the following budget priorities established by the Governing Body; investing in infrastructure, continuing a commitment to public safety, continuing a commitment to developing neighborhoods, selected strategic investments toward quality of life, and good governance.
At the beginning of this budget cycle, the City held six community workshops centered on the five budget priorities established by the Governing Body. During these workshops, the City received feedback on what the community’s goals and objectives are for each of the priorities. Since the workshops, City staff has worked to incorporate the ideas from the community into the budget, along with developing key indicators to measure progress towards each of the Governing Body’s budget priorities.
Expenditure highlights
The largest portion of the General Fund budget (77.8%) is personnel costs at $80.9 million. Personnel costs, including wages and benefits, have seen a 5.7% increase compared to the FY22 budget.
Commodities, which includes materials for asphalt, rock, sand, salt, fuel, chemicals, and office supplies, have seen the largest increase as a result of inflation, increasing 15.5% from the FY22 budget. Contractual expenses have increased 6.8%.
Like other government entities and businesses, the City faces challenges in recruiting employees. As of the publication of this budget, the vacancy rate in the City is approximately 12%. This budget includes $100,000 that has been added to the Human Resources budget for the purpose of recruiting talent to the City.
Mill levy
Each year the City adopts a mill levy rate that determines the amount of property tax the City will receive. 1 mill is roughly $1.3 million. For the previous ten years, the City’s mill levy has remained flat with no increases or decreases. After an assessed value increase of 8.5%, the Governing Body directed staff to decrease the mill levy by 1 mill.
Next steps
The Governing Body and City staff will host a Budget Workshop on Tuesday, July 26 at 6:00 p.m. at the Holliday Building. Community members can attend the workshop in person, or watch on the City’s Facebook page, the City’s Livestream, or on Cox Local Channel 4.
On July 12, the Governing Body will vote on whether or not to exceed the Revenue Neutral Rate from the previous budget year.
The budget will be presented at the July 19, August 9, and August 16 City Council Meetings. Community members can make public comment at these meetings. A public budget hearing will be held on September 6 where citizens will be given another opportunity to offer feedback on the budget. The proposed budget can be viewed online at https://www.topeka.org/finance/budget/.
2023 Citizen’s Guide to City Budget