Projected expenditures for the City of Hannibal exceed revenue by $6.8 million for FY 2018-19.
Finance Director Karen Burditt presented the budget at the city council meeting Tuesday evening.

Total revenue in the budget that begins July 1 is $29.1 million. Total expenditures came in at $35.9 million. Burditt says capital projects account for much of the difference. Those include the riverfront renovation project at $5 million, bond payments for street improvements, and the $1.6 million Shinn Lane Roundabout project, minus $332,000 to be received in federal matching funds. Another $350,000 is budgeted for a new tourism center building.

The council gave a First Reading to the new budget bill.

Burditt also says sales and use taxes came in higher than expected this year. Sales taxes are $64,000 higher, with use taxes up $110,000.

In other business:

  • A new staff position and raises for most city employees are proposed in the new fiscal year.  The Building Inspector’s salary would increase from $51,873 to $57,705. Street Supervisor position would change to Public Works Superintendent and salary would increase from $46,062 to $50,236. A new staff position of Economic Development Planner would be added at a salary of $62,462. Also included in the budget is a .75% cost of living increase plus a one-step increase for civilian employees, and longevity increases for fire and police uniformed officers based on council approved employment negotiations. The salary bill received a First Reading.
  • A land swap is approved that will afford mutual benefits for both parties. According to City Manager Jeff LaGarce, in 2014 the city inadvertently vacated a portion of land near the Bear Creek Dam. The 1.7 acre property along with 180 additional acres was later sold to Justin Parker. Parker owns the American Family Insurance Agency at 105 N. Maple. He wishes to acquire a small strip of city-owned land in front of his business for promotional signage. Prior to the swap, the city will make minor drainage improvements to the property.
  • The council approved a resolution creating special drainage requirements for new homes built in the Breckenridge Estates Subdivision area. The measure is to help mitigate storm water issues. It prohibits future homes built on the upper hill from piping gutters and downspouts to the rear of their property, which would exacerbate storm water problems for some Columbus Road residents below.
  • First Reading was given to a bill approving the Phase 1&2 plat of the Minnow Creek Subdivision off Jimmy O’Donnell Road. The Ball Investment Group plans to build 53 homes initially on the 50-acre tract of property. Phase 3 calls for another 47 homes to be built in the future.
  • Street Department Supervisor Mike McHargue received approval to purchase a backhoe from Altorfer Machinery for $53,000. The sale of three surplus items will more than offset the purchase: The city recently sold a street sweeper, a curber, and a 1-ton truck with a blown engine. The total received for the items was $53,500.
  • Changes are coming to the City Compost Lot after council approval. Mike McHargue presented photos of some of the ongoing abuses of the lot. The lot is for Hannibal residents only and not businesses. McHargue estimates “for profit” landscapers and lawn care companies are dumping 50% of the debris. He said a portion of one tree dumped measured 36 inches in diameter. Security cameras showed some vehicles registered in Illinois. McHargue says 26 dumpsters were hauled off in May at a cost of $200 each. The lot is currently open 24/7. Effective July 1, the lot will be open Friday, Saturday, and Sunday only from 10 a.m. until 6 p.m. The lot will be staffed during those hours.