The Smithville Aldermen adopted the city budget for the 2012-13 fiscal year on second and final reading Monday night.
The $8.2 million spending plan includes funding for a new fire truck, a three percent cost of living increase for city employees, raises for some city officials and a new full-time fire department position.
The budget, which passed 4-1 at Monday night’s meeting, calls for the city property tax rate to remain unchanged at .6490 cents per $100 of assessed value, and no change in water or sewer rates.
The floor was opened to public discussion before votes were cast, but no member of the public offered any opinion for or against the measure.
Mayor Taft Hendrixson again made it known that he believed the plan put the city too far into the red for his taste, and warned that taking $975,233 from surplus to support the general fund and make the budget work without a tax increase was not good business.
“If we spend it all we're going to be taking $312,000 out of our savings account, not counting the fire truck and not counting the $150,000 going into the airport,” the mayor said. “Those two are $656,000 coming out of reserve. But if we spend all this budget there's another $312,000 that will come out of our reserve. In other words, we won't be taking in enough money to spend what we propose spending. I'll try my best, if I'm still here, not to spend all that, but there is a possibility it could be,”  Hendrixson said.
Alderman Cecil Burger, who cast a "yes" vote on the first reading of the budget, voted "no" on the second reading Monday night, while Alderman Steve White, who had voted "no" on the budget two weeks ago saying he needed more time to study it, voted "yes" Monday night.
On changing his vote on second reading, Burger remarked that the plan was “too much budget for Smithville.”
At first reading on June 4, Alderman Shawn Jacobs said he felt comfortable with the plan because previous budgets have been projected in the red and come out ahead due to sound spending practices.
The plan calls for a new fire administrator position to be created with  a salary of $35,000 plus benefits, increases the annual salary of the airport manager from $29,818 to $35,000, secretary-treasurer from $49,896 to $56,000, and police chief from $48,204 to $55,000 per year.
All other employees of the city will receive step raises and a three percent cost of living increase.
All city employees receive a health insurance equalling $7,905, an $85 life insurance and $276 dental insurance benefit, and receive a one-percent bonus at Christmas.
The budget breaks down to $8,297,195 as follows;
Revenues:
*General Fund: $4,424,570
*Special Revenue Fund-Sanitation: $283,000
*Water & Sewer Fund: $2,378,000
*Drug Fund: $7,050
*Appropriation of Surplus- General Fund: $975,233
*Appropriation of Surplus-Drug Fund: $11,750
*Appropriation of Surplus-Water & Sewer Fund: $217,592
Total Revenues: $8,297, 195
Expenditures:
*General Fund: $5,399,803
*Special Revenue Funds Sanitation: $282,927
*Water & Sewer Fund: $2,595,592
*Drug Fund: $18,800
Total expenditures: $8,297,195