Frequently Asked Questions
How exactly would this money be used?
Funds for stormwater drainage and associated street repairs would be used for program management, large infrastructure projects necessary to minimize the risk of flooding and associated street repairs, regular maintenance that is required to make the stormwater system function properly, and State and Federal compliance.
Why can’t we pay for this from the City’s General Fund?
Currently, funds for basic stormwater maintenance and related State and Federal compliance are paid from the General Fund, the fund that is used to pay for daily operations such as police, fire, parks, public works and other services. Due to restrictions on how revenue from the General Fund can be used, the City can’t use this source to pay for dedicated program management, which would be necessary for oversight of the stormwater drainage and related street repairs program. The General Fund is also not a viable source of funding for the large-scale infrastructure projects without impacting the tax rate.
What revenue source would be used to support this plan?
The proposal would reallocate one-fourth of the revenue from Economic Development Sales Tax for stormwater drainage and associated street repairs.
How much money is needed to pay for the stormwater drainage and related street repairs program?
In today’s dollars, program management requires $225,000 annually; high priority, large-scale improvements projects are estimated to cost $38 million; increased maintenance requires $550,000 annually; TCEQ and EPA compliance requires $125,000 annually.
How is this plan different from those we have previously discussed?
No fees or additional taxes would be requested for this stormwater drainage and associated street improvement program. Instead, it would be funded by reallocating one-fourth of the revenue from Economic Development Sales Tax. The City will still have a generous level of funding for business recruitment and retention efforts.
Why should I have to pay for stormwater drainage and street maintenance in areas that don’t affect me?
The stormwater drainage systems and roads in all of our neighborhoods will age. This plan ensures the financial resources would be available to make necessary improvements today and in the future.
How much money do we currently spend on stormwater drainage and related street repairs?
Currently, the only drainage programs being funded are basic maintenance and State and Federal compliance.
Would one-fourth of the revenue from Economic Development Sales Tax be enough to cover the amount necessary for the street drainage and related street repair program?
Yes, based on the City’s financial analysis the reallocation of this continually growing tax base would be enough to cover the stormwater drainage program and still leave a generous level of funding for economic development activities.
If you take this money from Economic Development Sales Tax, will there still be enough for a robust economic development program?
The City will still have a generous level of funding for business recruitment and retention efforts.
What is the anticipated cost increase for stormwater drainage maintenance and street repairs if we don’t approve this plan?
Initiating a regular stormwater drainage maintenance program will mitigate the cost of future large-scale infrastructure and street repair projects by enabling us to identify and resolve any issues at an early stage, before they turn into large, expensive projects.
Don’t I already pay for stormwater drainage through my HOA dues?
Most HOAs will not cover the cost of stormwater drainage maintenance or related improvements to public areas as the neighborhoods age.
I don’t live in Cedar Park so why should a portion of my sales tax go toward the City’s stormwater drainage and related street repairs?
If you are shopping in Cedar Park, you probably drove your car to get to the business. You would benefit from repairs to flood-damaged roads and the ability to travel across the City without the inconvenience of being detoured due to floods.
What happens next?
We are collecting public input this fall, and this feedback will be integrated into a proposal going before the City Council. In early 2018, the City Council will vote to determine if the proposal will be included on the ballot for the May 2018 election.