GENERAL FUND (CONT.) REVENUE

The General Fund saw an increase in property taxes and sales tax collections over last year. This is primarily due to increased property values and new growth within Little Elm. This, in turn, brings in more tax revenue to the Town that supports services. The Town’s newest development known as Spiritas Ranch has broken ground to bring 2,100 homes into the community. The Town also reported a strong revenue stream for building permit revenue which is another indication of growth in the community.

The Town implements a five-year financial plan that allows the Town to look forward in order to meet the growth and service needs of the Town. The Town still continues to be conservative in revenue projections; however, the Town was able to lower the property tax rate to the community while increasing services for Public Safety, Parks and Recreation, and Public Works. Due to the strong reserves, forward planning, significant ongoing development, and conservative budgeting efforts, the Town reaffirmed our bond rating from S&P and Moody’s. This means the Town is able to issue future debt at a lower cost to the residents, which in turn helps reduce the property tax rate related to debt.