With the new fiscal year set to start in October, the City of Hanceville has signed off on its largest annual budget to date. The new $5.86 million budget reflects increased municipal revenues; an uptick in funding that continues to outpace city leaders’ expectations through the COVID-19 pandemic and its aftermath.

For FY 2023, the Hanceville City Council has approved a $5,856,829 budget against a projected $5,762,863 in revenues, which are augmented by an additional $288,320 in unspent funds that will carry over from the current fiscal year. Taken together, the new budget’s expenses and revenues are expected to leave the city $194,353 in the black when the 2023 fiscal year ends on Sept. 30, 2023.

The new numbers show a progressive increase over those from the soon-to-conclude current year. Last September, the city approved a $5,495,712 budget for FY 2022 — at the time setting a new spending record far beyond the previous year’s $4.67 budget — on the strength of stronger-than-expected local sales and alcohol tax revenues throughout the pandemic.

Included in the new budget is a combined 5 percent pay increase for city employees of both full-time and part-time status. All Hanceville employees will receive a 2.5 percent cost-of-living increase in the coming year, as well as another 2.5 percent across-the-board pay scale increase.

The city’s General Fund projection of $1.1 million comprises the largest single item in the new budget, followed by comparatively large departmental allocations for the police, public works, and fire departments. The city has allocated $1.68 million in police department funds for the 2023 fiscal year, followed by $1.11 million for public works and $738,278 for the fire department. The municipal court and the parks department claim the other substantial budget items, at $521,167 and $452,123, respectively.

The new budget will take effect when the 2023 fiscal year begins on Oct. 1.