The City of Opp approved an $8.5 million operating budget for the 2010-2011 fiscal year Monday night.

Total expenses budgeted are $7.78 million.

City Clerk Connie Smith said capital improvement projects include a $100,000 expansion to Custom Collar; $516,900 for the sidewalk projects on Main Street and East Covington Avenue; and $100,000 for roofing of the Depot building, which will be paid for using the 2007 bond issue money.

Additionally, the city has allocated $15,000 for new Christmas decorations.

Opp Mayor H.D. Edgar said the new decorations are necessary due to the new lamppost street lighting downtown.

Other highlights from the budget include:

• $1.9 million in salaries for all city employees, mayor and council. Employees did not receive a cost of living adjustment.

• $2.075 million in projected revenues from the 3-cent sales tax.

Smith said 1-cent from the sales tax goes to Opp City Schools and the other 2 percent goes into a general fund.

• $480,000 from the proceeds from 2007 bond issue

• $450,000 in industrial access road funding

• $900,000 in proceeds from a 2009 industrial board bond issue

• $300,000 in revenue from the Rattlesnake Rodeo, with $150,000 in expenses expected to go along with the rodeo.