Amarillo City Council reviews $75 million fund calculations and upcoming budget proposals

The Amarillo City Council held a special meeting on August 15, 2025, focusing on the city's financial status and budget projections for the upcoming year. Key discussions revolved around the available funds calculation, internal transfers between funds, and the overall health plan budget.

During the meeting, officials reviewed the city's financial documents, emphasizing the importance of understanding the available funds. The council noted that the starting point for the current year's budget was just under $75 million, which included cash and investments adjusted for depreciation and appreciation. They clarified that the general fund does not have any construction in progress, as those funds are allocated to specific construction projects in other funds.

A significant portion of the discussion centered on internal transfers between various funds, including the general fund, construction funds, and health plan funds. The council highlighted that these transfers are essential for maintaining financial balance and ensuring that funds are allocated appropriately for capital projects and operational needs. The revised estimates for transfers indicated a decrease from the previous year, reflecting a more conservative budgeting approach.

Additionally, the council addressed concerns regarding employee contributions to the health plan. They reassured attendees that the majority of funding for the health plan comes from the city, not employee contributions, which remain intact. The proposed budget for the health plan indicated a healthy reserve, with employer contributions significantly outweighing those from employees.

The meeting concluded with a positive outlook on the general fund's revenue, which is expected to exceed initial projections. The council aims to maintain a conservative approach to budgeting, ensuring that any potential increases in fees or charges are carefully considered. Overall, the discussions underscored the city's commitment to fiscal responsibility and transparency in managing public funds.