BUDGET 2024/2025
The City of Tulsa’s fiscal year runs from July 1 to June 30 each year. The City prepares an annual budget based on the Oklahoma Municipal Budget Act and City Charter. State law requires the City to carry a balanced budget.
The budget process includes the budget for the following fiscal year as well as a plan for the year after that, allowing the City to look ahead two years each budget. The Mayor of the City must present a budget to the City Council followed by opportunities for public hearings on the proposed budget. The budget is then voted on by the City Council.
The City has to plan for known expenses and save for future and unexpected expenses. The City must ensure adequate funding so that departments have the funds they need to operate, employees are compensated fairly, capital projects are funded, and reserve funds are available in case of an emergency.
Below is information regarding the budget process for fiscal year 2024/2025 including the budget process, timeline, and explanation of how the budget works.
The Budget Process
There are multiple steps the City of Tulsa Mayor and City Council takes in order to finalize and adopt the proposed budget for the following fiscal year:
1
The Mayor and City Council meet to discuss their priorities for the city and how each of those priorities will potentially impact the operating budget.
Mayor/Council Retreat
2
The Mayor works with their team in order to create a proposed budget. This budget is presented to the City Council for approval.
Mayor Preparation & Proposal
3
The Council holds committee meetings to discuss the Mayor's proposed budget. Citizens of Tulsa have the opportunity to voice their opinions on the proposed budget in public hearings.
Council Consideration & Public Hearings
4
After the public hearings, the budget is read for the first time at a City Council meeting. No public comment is accepted during First Reading.
First Reading
5
The budget is read for a second time at a City Council meeting where it is then voted on for approval or amendment. Public comment is accepted during Second Reading.
Second Reading & Vote
VIDEO:
Below is a video summarizing the Mayor/Council Retreat:
Timeline & Presentations
Below is a timeline with important dates. Presentations on specific budget items will be added here as they become available.
Introduction to the Budget
WHERE DO THE CITY'S REVENUES COME FROM?
Taxes - 52%
Enterprise Funds - 36%
Other Sources - 12%
TAXES
The City has five major tax categories and collectively they provide 52% of projected revenue in fiscal year 2024/2025.
SALES TAX
34%
A tax on the sale of goods.
This is the largest source of revenue for the City.
USE TAX
6.4%
A tax on goods purchased outside the state but consumed within the City. Includes taxes on online purchases.
FRANCHISE TAX
3.2%
A tax levied on certain businesses for the right to do business within the City. Also known as a Right-of-Way (ROW) tax.
HOTEL/MOTEL TAX
0.9%
A tax paid by hotel occupants for lodging and related services of less than 30 consecutive days within the City of Tulsa.
AD VALOREM TAX
7.1%
Commonly referred to as property taxes. This is used to pay General Obligation (GO) Bonds and judgments against the City.
REMAINING REVENUES COME FROM:
ENTERPRISE FUNDS
36%
Generated by City functions for which customers are charged a fee.
Used for the following service areas:
-
water
-
sewer
-
stormwater
-
trash
-
emergency medical services (EMSA)
Enterprise funds can only be used for these specific services. They can't be spent in other City budget areas.
By law, the City can't charge more than the cost of the service and can't make a profit.
OTHER SOURCES
12%
Licenses, Permits and Fees - 1%
Business licenses (occupational, taxicabs, amusement/recreation, restaurants, and liquor), non-business licenses, building inspections, and permits
Intergovernmental Grant Revenues - 2%
Revenue the City receives from Federal, State, and County governments for grants, charges for services, and taxes on vehicle licenses, liquor, gasoline, and tobacco
General Government - 2%
Administrative items the City charges fees to cover such as transfers from County and State, zoning fees, document sales; Public Safety fees for fire service outside City limits, special event coverage, HAZMAT fees, animal welfare fees; Culture and Recreation fees such as shelter and park rentals, swimming pool entry, park special events; and Miscellaneous Government revenue such as code enforcement and nuisance abatement
Fines & Forfeitures - 1%
Municipal Court fines, court-related fines, probationary fees, court penalty assessment fees, and the sale of stolen and confiscated property
Investment Income - 2%
Interest earnings
Miscellaneous - 3%
Fee in Lieu, Reimbursements, Recoveries, Program Income, Sale of Property, Donations, and Other
WHERE DO MY SALES TAX DOLLARS GO?
There are three taxing jurisdictions in Tulsa. The 8.517% total tax rate is divided among the three as follows:
STATE OF OKLAHOMA
4.5%
TULSA COUNTY
0.367%
CITY OF TULSA
3.65%
HOW DOES THE CITY SPEND ITS MONEY?
Public Works & Transportation - 38%
Public Safety - 27%
Administration - 17%
Transfers & Debt - 9%
Culture & Recreation - 5%
Social & Economic Development - 4%
PUBLIC WORKS & TRANSPORTATION
38%
Public Works:
Streets | Household Pollutant Facility | Stormwater Quality | Mulch Site | Refuse and Recycling | Engineering Services
Water & Sewer
MetroLink Tulsa (Bus Service)
PUBLIC SAFETY
27%
Police
Fire
Municipal Court
Emergency Medical Services Authority (EMSA)
Tulsa Area Emergency Mangement
ADMINISTRATION
17%
Mayor | City Auditor | City Council
Legal |Human Resources
General Government | INCOG
Finance | Information Technology
Customer Care (311)
Communications | Asset Management
CULTURE & RECREATION
5%
Park and Recreation
River Parks Authority
Tulsa Zoo
Gilcrease Museum
BOK Center
Cox Convention Center
Performing Arts Center
SOCIAL & ECONOMIC DEVELOPMENT
4%
Department of City Experience:
Community Development | Code Enforcement | Animal Welfare | Special Events | Resilience and Equity | Design Studio Planning Office
Development Services
Tulsa Authority for Economic Opportunity (PartnerTulsa)
Downtown Tulsa Partnership
Managed Entities - Economic Development
TRANSFERS & DEBT
9%
Transfers - Internal & Outside:
Amounts transferred from one fund to another to assist in financing the services for the recipient fund.
Debt Service:
The cost of paying principal and interest on borrowed money according to a predetermined payment schedule.
BUDGET NEWS
