CLAREMONT — City Manager Yoshi Manale is proposing a $19.6 million operating budget for the fiscal year beginning July 1.

The proposal represents an increase of $100,000 or about a half of one percent over the current year. Costs for road maintenance and health insurance are among the driving factors.

Because revenues are down, if the council approves the budget as recommended, Manale projects an increase of 27 cents on the municipal tax rate, bringing it to $10.57 per $1,000 of assessed valuation and adding $62 in annual taxes on a property assessed at $230,000.

Manale also has proposed a $425,000 capital budget includes construction of a splash pad at Barnes Park off North Street.

The proposed splash pad, with a price tag of $325,000, is in response to a survey of residents, Manale said in his budget letter to the council.

“Last summer, we conducted a city-wide survey on future park needs and a splash pad was the top choice, especially since the city no longer has an (outdoor) summer water option after the outdoor city pool closed,” Manale wrote to the council.

Splash pads or spray pools have ground nozzles that spray water upwards. There is no standing water in a splash pad. The splash pad would be located in a grassy area bordering Elm Street that was once flooded in the winter for ice skating, Manale said Monday. If the council approves the proposal, Manale expects it to be operational next summer.

Revenue from the sale of tax deeded properties will pay for the project, as well as the estimated $100,000 cost to bring bathrooms at Barnes and Arrowhead Recreation Area off South Street into compliance with the Americans with Disabilities Act, Manale said in his letter to the council.

“We are scheduled to have a substantial tax auction in June, which will bring significant funds into that account for this and future capital projects,” Manale said.

Last October, the council approved more than 30 properties with more than $1.8 million in combined assessed value of land and building for the auction.

The budget as proposed includes $900,000 for sidewalks and road paving, an increase of $120,000 from this year. Health insurance costs are up 15%. Manale also is asking for a new deputy director position in the Planning and Development office at a cost of $100,000 to $120,000 in salary and benefits to work with local contractors, developers and businesses on housing and bringing new businesses into the city.

Other spending noted by Manale include $30,000 for a slide for the indoor pool. The police budget is up about $200,000 to $3.26 million. Manale said most of that is for two positions that were not filled and removed from the current budget by the council last year.

Though the budget increase in Manale’s proposal is small, non-tax revenues are estimated at $6.7 million, a decrease of 6.5% from the current year.

A new $100,000 revenue item for next year is code enforcement. Manale told the council in his letter that the city is making “substantial headway” holding violators of city code accountable. The past practice of only sending notices was not yielding results. Now, Manale said the city is seeing success with a local law firm on retainer dedicated to pursuing code violations, which has more than paid for the legal fees.On the spending side, in addition to just over $900,000 for sidewalks repairs and paving, .

Manale’s budget does not use the city’s surplus or fund balance to lower the tax rate or pay for infrastructure repairs, and there are no fund balance transfers in this budget, he said.

“It is best practice to use fund balance for expenditures such as capital and infrastructure expenses or other one-time spending,” Manale said. “Using it to lower the tax rate does not reduce the city’s obligations but pushes necessary tax increases to future years.”

The council will begin budget deliberations Wednesday and continue throughout May with a public hearing on the budget scheduled for June 12.

Patrick O’Grady can be reached at pogclmt@gmail.com.