HOOD RIVER — The City of Hood River’s revenue did not decline last year as expected, due in large part to in-coming federal pandemic stimulus funds known as the American Rescue Plan. City Manager Rachael Fuller and Finance Director Will Norris presented the fiscal year 2021-22’s proposed budget to the Budget Committee at its first meeting April 28.

The committee will continue to discuss the 2021-22 budget at 6 p.m. May 5, and at 7 p.m. May 12. Public testimony is welcomed at the May 12 meeting. All meetings are live online and available to the public. The city council will formally adopt the budget in June for the fiscal year that begins July 1.

“While we’re not out of the emergency yet, we withstood a financial shock to the organization,” said Fuller, in her budget message to the committee that includes the city council and four additional community members. Grant Polson of Westcliff Lodge was chosen to chair the meetings, and Rudy Kellner of Pfriem was tapped for vice chair.

The $1.6 million in federal relief coming to the city over the next two years will go into the general fund, according to the proposed budget.

Hood River’s $54 million all-funds proposed budget for next fiscal year is a nearly $7 million increase over this year’s $47.1 million all-funds budget. Next fiscal year’s proposed budget includes nearly $10 million in the general fund, a reduction from this year’s $10.5 million general fund budget. Property tax income is proposed to drop from $3.5 million this year, to $3.2 million in fiscal year 2021-22 to support the general fund. The general fund is the unrestricted portion of the budget supported mainly by property taxes, lodging taxes, franchise fees, fines and other city fees, such as for parking and permits, to pay for police, fire, parks, maintenance and planning. Total revenue for the general fund from other sources, including fees and other taxes, is expected to increase from $6.4 million this year to $7.1 million. The rest of the proposed $54 million budget — mostly infrastructure expenditures — is supported by development fees, user fees and grants, and is restricted to pay for specific projects related to city infrastructure and development.

The 2021-22 proposed budget continues the city’s projects to provide affordable housing, with hopes to begin constructing at least 100 units on Rand Road in 2022. The proposed budget also adds a part-time community engagement staff to its equivalent of 70.1 full time employees (about 2 less than the current year); funds projects in its five-year transportation plan, continues repairs to its water, sewer and street infrastructure, adds new utility discounts for low-income renters, improves parks, and further invests in projects that reduce its carbon footprint to zero by 2035. The proposed budget would fund a feasibility study for a hydro-electric generation in the city’s water line, with help from matching funds from Energy Trust of Oregon.

Details about specific portions of the budget will be discussed in reports to the Budget Committee May 5 and May 12.