Background

The Fiscal Year 2024 (FY24) proposed budget and five-year Capital Improvement Program (CIP) were presented to the City Council on July 18, 2023, in accordance with the City Charter. The proposed budget includes $288 million for operations and $65 million for capital projects.

The Five-Year CIP totals $291 million, with $65 million in projects funded in FY24. It is important to understand that only the first year of the CIP is included for funding in the annual budget, while the remaining years are included for planning purposes only and will change from one year to the next based on the best information available at the time.

The proposed Fiscal Year 2024 (FY24) budget and five-year capital improvement program (CIP) follow City Council-adopted Financial Management Policy Statements guidelines. The focus of this year’s budget is on continued leadership in conservative, resilient, and responsible stewarding – making strategic investment in our high-priority areas – with the goal of maintaining flexibility for the City to respond to opportunities and disruptions in a time of economic uncertainty.

The proposed budget ensures continued financial strength and resiliency by meeting all fund balance requirements, including the structural balance of the General Fund, and includes significant investment in public safety, infrastructure, and Sugar Land’s high quality of life. 

The City continues to be recognized as a leader in financial stewardship, with strategies specifically tailored to the community and designed to maximize both the conservative nature of the City’s finances and to offset the residential tax burden. 

Priorities for FY24 Budget & Five-Year CIP

The FY24 budget provides leadership in conservative, resilient & responsible stewardship through strategic investment in priority areas. The focus of the proposed budget is an investment in priorities and services that provide high value to the Sugar Land community today and into the future, including public safety, redevelopment, data-based decision-making, and a championship workforce.

Workshop Discussion

Staff will review the proposed budget and Capital Improvement Program with the City Council through a series of workshops. This workshop will include the proposed budget for FY24 and any relevant information to facilitate City Council discussion of the proposed budget inclusive of all funds and revenue sources.

Next Steps

The proposed budget will be discussed in detail during a series of morning workshops throughout August. A public hearing will be held on August 15, 2023, to receive feedback from residents on the proposed budget. A public hearing on the proposed tax rate to be held on September 12, 2023. The adoption of the budget and tax rate is scheduled for September 19, 2023. The City Charter requires the budget to be adopted by City Council by September 25, 2023. 

Recommended Action

Review and discussion of the Fiscal Year 2024 proposed budget and five-year CIP, inclusive of all funds and projects.