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Politics & Government

Sunset Hills’ Aldermen Approve 2012 Budget, Hear Revenue Review Committee Recommendations

The 2012 alternate budget, potential tax increase and contract with St. Louis County all were discussed in last night's meeting.

Sunset Hills’ Mayor Bill Nolan and the Board of Aldermen adopted the 2012 alternate budget as presented by Alderman Thomas Hrastich of the finance committee in last night’s boardmeeting. Hrastich reported to the board that the city’s revenue from sales tax were up 4.7 percent in 2011, and the city was on track to increase revenue in 2012.

The board approved Hrastich’s proposal of a 1.5 percent pay increase for “all receiving an appropriate performance rating” and a $250 year bonus for those in higher ranking positions. These increases will be afforded by cutting $25,000 from the police department’s budget to purchase of new computers and $10,000 from trails in parks.

“The city has cut expenses in 2011 to better balance the budget; therefore, the budget is positive at the end of the year,” said Hrastich.

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Revenue Review Committee Chairman Mike Sawicki recommended that the board consider extending a half cent sales tax as “a neutral way to increase revenue for the city” in the future. The marginal sales tax increase will help the city pay off its bonds by 2016 and generate additional revenue to be used for capital improvements like maintaining the city's roads and other infrastructures.

Residents will be allowed to vote on the sales tax increase on the April 3 election ballot. The ordinance only needs a majority vote to pass. Sunset Hills grossed $1 million and netted $850,000 in 2010 from the half cent tax increase. Sawicki and fellow committee members are researching renting cellphone towers and possibly increasing utility and business taxes as other means to create more revenue for the city.

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The meeting continued with the aldermen approving a contract with St. Louis County for computer-assisted report entry and record analysis and mapping system services. Cindy Kostial of the Swim and Dive Advisory Commission also was appointed to a three-year term replacing Mary Anne Vitale.

The board voted to hold closed meetings following adjournment of the Jan. 10 and 24 public meetings. The tentative subject matters of these meetings include discussing of leasing, purchasing or sale of real estate, disciplining employees and proposals and negotiations for future contracts.

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