City debt payments

The proposed 2017-2018 city budget includes an item for $59,808,247 for principal payments on debt.

That amount combined with the $60,986,279 the city is budgeting for interest expense brings this year’s cost of debt to $120,794,526.

They are budgeting $272,808,158 in revenue from property taxes.

That means that 44% of our property tax money is not going to be used to finance current operations, but instead will be used to pay for past spending.

We deserve better

Brutus

14 Responses to City debt payments

  1. Tim says:

    Why in the world are governments at all levels still providing defined benefit pensions when the entire private sector has switched to defined contribution plans? Idiocy at its finest

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  2. Tickedofftaxpayer says:

    The graphic we need is a pie chart that shows interest payments, principal payments, retirement fund payments and funding used for operating expenses as percentages of total revenue. Then we need a separate line item that shows deficit. Because I suspect the piece of the pie representing revenue available for operating expenses is pretty small. Cities all over the country are complaining about the shadow workforces (retirees) they are obligated to fund. Often that takes nearly half the tax revenue. If 44% of our revenue goes to debt service already, we are really screwed. Brutus, see if you can find out where the retirement obligations are listed.

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  3. ManintheMoon says:

    Brutus what is the actual total debt of El Taxo and how much does the city actually bring into it’s coffers each years. Does any one out here have at least a ball park answer to these questions. Seems no one can come up with a income to actual debt for the City of El Taxo, it seems to be all smoke and mirrors.If no one knows the real truth then how the hell do you know if the city isn’t feeding you guys a line of B.S.?

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    • TRUTH, HONOR, INTEGRITY, HONESTY, TRANSPARENCY has NEVER been things to remember, consider when it comes to El Taxo Politicians, Public Officials. The local D.A., Law Enforcement “Authorities” would never dig into the inherent corruption here. It’s like “Go along, get along”. ONLY the FBI can be expected, TRUSTED to do the job. EPISD case in point.

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      • Tickedofftaxpayer says:

        But what percentage of annual revenue is going into current obligations related to the pension program? In other words, how much does the pension fund cost taxpayers annually?

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    • Brutus says:

      2017-2018 city budget projects $895,459,846 in total revenue. The city obtains revenue from sales taxes, franchise fees, licenses, fines, use fees, bridges, airport landings, and other sources. The bonds are secured by pledges against ad valorem (property) taxes.

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      • ManintheMoon says:

        Brutus
        Can you tell us why a few month back that city was claiming they take in half this amount and were two years ago were claiming far less. Either the city has been lying to the people are some one is playing with the numbers. What the City take in seems to change to what agenda the city is push and when they want to get into the people’s back pocket.

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  4. Old Gringo says:

    Doesn’t that just show the intelligence and foresight of the goatrope clusterf&&k in City Hall? When the interest payment exceeds the principal? How long before we hear ‘file bankruptcy’?

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    • Bankruptcy is just around the corner. Over a BILLION$$$$ in DEBT and no way out of it. THEY only survive by continuing to increase OUR inflated, fabricated Property “Values”, ALWAYS followed by MORE tax INCREASES. EVERYTHING THEY do to US, EVERYTHING the politicians WANT is ALWAYS another tax INCREASE. The City Manager doesn’t give a damn. If the going gets rough, he can just simply resign, leave town with a suit case full of OUR money. El Taxo, politicians, Public Officials just one big Society of Corruption/.

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  5. But, that yuge debt doesn’t even include properly maintained streets, adequate police and fire, or even decent vehicles for police and fire, does it? Shame on us!

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  6. A BILLION$$$ in DEBT and no way out. Tax, waste, spend, tax some more. Wished I lived downtown so that they could kick me out of my house and I could get out of El Taxo.

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  7. The Oracle says:

    Are there. . .ANY LAWS . . which prohibit the % of debt a city can have ?
    Can it be 50% ? 70% ? 90% ? 100% ?

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