Revenue from Cape Splash, air show boost Cape Girardeau's budget

Better-than-expected revenue -- buoyed by Cape Splash Family Aquatic Center, sales-tax income and an unanticipated air show -- have helped Cape Girardeau to come in under budget by more than $700,000, an amount that was double what city officials expected in a struggling economy.

"We're very conservative in our budgeting for our revenue anyway," Mayor Harry Rediger said. "That usually pays off with dividends, but we really exceeded that and then some. This is really good news."

For fiscal year 2009-2010, which ended June 30, city leaders had projected $336,436 in net revenue, but $707,619 came in, said city finance director John Richbourg. Richbourg presented the figures to the Cape Girardeau City Council at its meeting Monday night.

"It was a little bit higher than we expected," Richbourg said of the revenue. "We felt we were doing OK through the year, but it was better than even we thought."

There were several factors, Richbourg said. The city had projected a half-percent of growth in the city's sales-tax revenue. When the final numbers were tallied, the city actually saw growth of 1.5 percent, or about $84,000 more than it anticipated.

"That's not gangbusters," Richbourg said. "But, again, it's better than we thought we were going to do."

Fuel sales at the Cape Girardeau Regional Airport were 50 percent higher than the city expected, which put the city at more than $130,000 to the good, Richbourg said. The Cape Girardeau Regional Air Festival, which wasn't going to happen at all until the Blue Angels became available, generated $80,000, none of which was anticipated, Richbourg said.

Perhaps the biggest boost came from Cape Splash, the city's new aquatics center on South Kingshighway.

While city officials expected Cape Splash to about break even in its first year, it generated more than $200,000 for fiscal 2009-2010, he said. For its full year of operation, which spans two fiscal years, Richbourg said, Cape Splash saw a profit of $322,000, which is the total after direct expenses were deducted, he said.

The city was also watchful when it came to personnel cost, Richbourg said. One position was eliminated at the airport, but most of the savings came by keeping positions open for hiring longer than they normally would, he said.

"There wasn't an edict to do that or anything, but some departments that had issues with salaries would keep the position open to make up some of that," he said.

There was also some savings in the city's use of motor fuel. Projections called for using $1.17 million for fuel, but the city actually used $970,000.

The city's overall budget for 2009-2010, including capital projects, was $54.1 million.

The city may see some similar situations for this year's budget, Richbourg said. The city has 12 acres for sale along Southern Expressway near Dana Corp. that it bought several years ago. That land was originally going to be used for a new Public Works facility until it settled on the nearby site.

Also, if the city were to sell the site at the airport where Commander Premier Aircraft Corp. is, that would generate additional income and cover bond payments the city is paying.

All said, those two items alone would have more than $650,000 positive effect to the city's general fund, Richbourg said.

City manager Scott Meyer said it was a total city staff effort.

"It was the whole team," Meyer said. "This really shows the citizens are getting their money's worth and hopefully we'll continue to see that."

smoyers@semissourian.com

388-3642

Pertinent address:

401 Independence, Cape Girardeau, MO