“We don’t want to have the citizens pay for anymore than they need to, but at the same time, there is a lot of expense that people don’t realize is involved in it [running a city.]” This is how Lora Hahn, Calhan’s town clerk/treasurer describes the cost of running a city the size of Calhan. “It takes a lot of money to run a town,” she said.How much money?Hahn said it takes a little over a million dollars to cover the basic operations to run the city of Calhan, which was incorporated in 1919. “There’s street maintenance, our electricity is constantly going up, and fuel charges,” she said. That’s just the tip of the iceberg. She said other expenses like building inspections, park maintenance and cemeteries are paid through the city’s general fund, which, for 2005, is $481,254.The money base to build this fund is drawn from several sources, including taxes, license and permit fees as well as fines, Hahn said. She explained that the money budgeted to operate the local police department, as well as the judicial system, have their own budgets, but they are included under the same general fund umbrella.Breaking down the more than $480,000 in Calhan’s general fund, about one-third of it designated for the operation of the city’s police department. “The police department budget is $160,462,” Hahn said. The judicial system has expenses of about $8,000, which makes the total cost of the police and judicial system about $168,462.”A portion of the tax we collect, the portion of the revenue we get from fines … all that is intertwined,” she said. The city’s anticipated revenue from fines is $34,250. “So you can see we don’t take in as much as what the police department costs us.” The remainder of money needed to operate both entities is taken from property taxes, vehicle registration fees and sales tax. Calhan’s city sales tax is currently 2 percent; county tax is 1 percent and state tax is 2.9 percent.If half of Calhan’s budget falls under the general budget, where is the other half of the money going? Is it being used to pay for city government officials or the fire department?Calhan’s mayoral position and the city board is all volunteer. The fire district, which consists of volunteers, serves as its own entity. There are no city funds designated for the fire district. Calhan is similar to Falcon, in that it draws its money for operations from mil levees.The remainder of the approximately more than half-million dollars pays the city’s water and sewer system and its operation. Calhan’s water fund is $387,350, and its sewer fund is $152,763. Hahn said the money for these two funds is based on the service provided to the residents of Calhan. “We charge a monthly water and sewer bill,” she said. “And that’s what funds those two funds.” Hahn adds that there is no tax money used in the water and sewer funds.A million dollars per year for Calhan – a city covering a little more than one-square mile with almost 962 people. Does it compare to Falcon? We’ll see.
