Wright City is looking at a major rebound in city finances this year, spurred in large part by a continuing boom in new housing development.

Receipts from building permits in 2017 were almost $102,000 at the beginning of December, more than double the projected $45,000 for the year.

Treasurer and City Clerk Karen Girondo said there were 111 permits for new homes this year, compared to 73 last year.

That income boost and the expected increase in property tax revenue with it have helped to turn around a budget shortfall at the end of last year.

The bustling pace of new housing development also will result in a significant population increase for the city. With an average of two to three people per household, that pace puts Wright City on track to add almost 300 residents.

Girondo said she believes the city has already passed a population of at least 4,000.

Based on Girondo’s estimates and the pace of new home development, the population of Wright City could already have grown (or soon will) by 50 percent compared to its 2010 census count of 3,119.

Budget turnaround

At this time last year, government staff in Wright City were getting ready to tighten their belts at the end of a lackluster year for city revenues.

Shortfalls in 2016 tax revenue meant staff wouldn’t get raises in 2017, and had to put major purchases like new police cars on hold.

The city was looking for ways to trim more than $130,000 from its budget, including laying off the full-time city clerk.

Revenue projections at the end of 2017 are much more optimistic than at the beginning of the year. If end-of-year property tax collection matches expectations provided by Girondo, the city could easily exceed 2017 income estimates for its general fund. That’s the fund that pays for services such as police, street maintenance and city administration.

The rebound gives the city room to provide a 3-percent pay raise to employees in 2018, as well as allow for some expenses that were cut or put on hold in 2017.

The Wright City Board of Aldermen approved the budget resolution for 2018 at its Dec. 14 regular meeting. It was approved 3-0 with Alderman John O’Conner absent.

The board of aldermen meets the second and fourth Thursday of each month at 6:30 p.m. in Wright City Hall. Meetings are open to the public and have a time for public comment. The next meeting is Dec. 28.