The city of Issaquah’s finance director, Diane Marcotte, said a conservative general fund revenue forecast for 2014 will be around $35,721,000.

The general fund generates the majority of its revenue from taxes and state and local shared revenue. Due to the recent explosion of new business in the Issaquah Highlands, sales tax should boost revenue by about $945,000.

A one percent increase in property taxes was proposed and adopted at Monday evening’s regular city council meeting. Marcotte stressed that the one percent was an increase over what the city collected in 2013, not one percent of a property’s assessed valuation. An average home valued at $440,000 will see an increase of $3.83 annually.

The levy rate for 2013 is 11.6699 per $1,000 of assessed valuation, but the overall levy rate for next year cannot be determined until King County comes up with its levies in Feb. 2014.

Marcotte said it is anticipated the levy rate will go down. The city does not expect any increases in enterprise funds (utilities).

The bulk of general fund income — 66 percent — comes from taxes. Of that, 37 percent is sales tax, 31 percent is property tax, 19 percent is utility taxes, 12 percent is business and occupation tax and one percent is miscellaneous taxes.

Of the property tax collected, 63 percent goes to schools.