Anniston, AL – The Anniston City Council recently convened for a budget work session to review financial trends, discuss upcoming expenditures, and strategize around the fiscal year 2025 budget. The session, led by the city’s finance team, highlighted revenue projections, capital projects, and the challenges of maintaining competitive pay rates for city employees, particularly in public safety departments.
City leaders expressed optimism about the sustainability of employee recruitment and retention initiatives, noting how these efforts have become a growing focus in recent budgets. One council member praised the way the budget addresses staffing concerns, thanking the finance department for its collaboration with other city departments to balance community needs and the financial health of Anniston. The city’s capital recruitment process, refreshed annually, was also commended for its forward-thinking approach.
The fiscal year 2025 budget proposal shows general fund revenue trends stabilizing after a significant sales tax growth of $3.6 million between fiscal years 2021 and 2022. The jump in fiscal year 2023 was attributed to a $3.7 million transfer from debt service and a $1.1 million increase in service charges. However, bond project funds are expected to decrease by $2.4 million in fiscal 2025 as capital projects are completed. Business license revenue is projected to increase by $228,000, and the city expects to see additional revenue from the opioid fund.
Despite this, expenditures are expected to rise. The city projects a $3.4 million increase in capital projects and a $500,000 increase in economic incentives in 2023. Additionally, expenses related to insurance, garbage collection, payroll, and debt service are all expected to rise.
A major focus of the meeting was the need for competitive pay in the public safety sector. The city has proposed increasing salaries for police and firefighters, while reducing overall staffing levels. Seven police positions and six fire positions are proposed to be cut in 2025, with the remaining employees receiving pay increases to stay competitive with neighboring municipalities. Additionally, a cost-of-living adjustment (COLA) of 2.5% is proposed for all general pay scale employees, along with merit-based raises for those eligible.
Council members also discussed whether to increase employee contributions to health insurance costs, considering that 85% of employee health costs are currently covered by the city. While no decision was made, it remains a point of consideration moving forward.
As Anniston continues its budget process, the city’s leadership aims to balance necessary expenditures with maintaining a stable workforce, particularly in critical public service roles. The proposed budget of $51.5 million will undergo further adjustments as the council works toward final approval.
