Mayor Mike Huether submitted a $307 million 2011 budget proposal to the City Council today that places a heavy emphasis on making City government even more accountable, efficient, productive, and service-friendly. The capital portion of the budget places a high priority on rebuilding, repairing, and replacing infrastructure and facilities while promoting and planning for the City’s continued growth.

The Mayor emphasized that this was a fiscally-responsible budget and outlined that the key to the 2011 budget was maximizing the value of every tax dollar spent.

Recognizing the current economic environment, the budget was built upon conservative revenue estimates, including 0 percent growth in 2010 and 2011 for the City’s primary revenue source, the sales and use tax. The budget also has no inflationary adjustment to property taxes and only has minimal growth in the property tax base.

The Mayor’s Recommended 2011 Budget of $307.0 million is a decrease of $30.0 million, or 8.9 percent, from the 2010 budget. This includes funding of operating, capital, and debt service for all areas of the City, including utility services. The 2011 General Fund, the primary operating budget, is $117.7 million, a decrease of $5.2 million, or 4.2 percent, from the 2010 budget and is flat to the 2010 holdback budget. This is the first time in 15 years that the recommended spending plan for the primary operating fund is actually lower than the previous year’s plan. In fact, it is actually lower than both the 2009 and 2010 recommended plans.

The Mayor’s Recommended 2011 Budget is available for viewing to all citizens on the City’s website at www.siouxfalls.org.