Atherton parcel tax smoothes passage of budget Atherton parcel tax smoothes passage of budget (June 29, 2005)

By Andrea Gemmet

Almanac Staff Writer

Thanks to the recent passage of Measure W, the parcel tax renewal measure, the Atherton City Council's deliberations on the town budget for the year starting July 1 were a painless and relatively cheerful affair at the June 15 meeting.

Measure W passed with 80 percent of the vote in a special June 7 election. The current parcel tax measure expires June 30.

The sense of relief that came from knowing that they could count on another five years of revenue from the parcel tax, which adds $1.8 million annually to town coffers, didn't prevent council members from questioning town staff on a number of items of the budget, however.

The police chief's request for $5,000 surveillance gadgets to help nab construction-site burglars came under scrutiny, as did employee salary adjustments and renovations to the corporation yard in Holbrook-Palmer Park.

"I want the public to understand that while the parcel tax is a great, great help, it's not a panacea for our financial woes," said Councilwoman Kathy McKeithen.

The City Council unanimously approved an operating budget of $8.7 million and a $4.8 million capital improvement budget for the 2005-06 fiscal year beginning July 1. The operating budget is $725,000 larger than last year's.

The capital improvement budget was boosted by almost $1.5 million for the reconstruction of Selby Lane that was carried over from the current year's budget. In all, $2.8 million is slated for street repairs and $467,000 for drainage system repairs and upgrades.

Finance Director John Johns said that, thanks to the parcel tax, the town would be able to maintain and slightly improve its infrastructure, and keep up its current level of service, without having to spend down its reserves.

"When residents call the police department, they will have a reasonable expectation that an officer will arrive on their doorstep just as promptly," Mr. Johns said.

He told the council that while the town has had a very good year, he's predicting a "normal" year in the 2005-06 budget year, which starts July 1, rather than expecting another good year.

"I haven't counted on one-time revenue or major favorable occurrences to reoccur. If we're going to be surprised, we want to be pleasantly surprised," said Mr. Johns of his budget projections.

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