Balanced Budget, No Tax Increase

At last week's budget meeting, city manager Scott Wood said the mayor and council made clear three things:

"We ain't raising the millage rate. B: Cut $300,000. And C: no COLAs (cost of living increases)."

Tuesday night, Wood presented the council with $299,050 worth of recommended cuts to the proposed general fund budget (see graphic at the bottom of this story for the complete list). With property values down, the city anticipates it will see a $300,000 drop in property tax collections next year.

Rather than tax residents more to make up the difference, Wood suggested the council eliminate cost of living increases, three new personnel positions in the city's finance, streets and parks departments, and needed cosmetic repairs to the .

Wood was even willing to risk the fire department's Insurance Service Office (ISO) rating, a number companies use to set insurance rates. Initially, he proposed trimming $7,800 intended to cover the cost of physicals (stress tests) for the city's firefighters.

"It’s supposed to be done in conjunction with state certification," he said. "We've not done it since I've been here. We can get routine physicals for them under our city health insurance program. This is the budgeted amount for the over and above, just for the stress test portion. I think it’s part of your whole ISO rating."

At council member John Beresford's urging, the council added that back into the budget after trimming from other areas, periodicals and furniture fixtures among them.

The public will get its first chance to discuss the budget with city leaders at 6 p.m. Thursday, during the council's meeting. The new fiscal year begins in October.

"You got a balanced budget with no millage rate increase," Wood said.

• 2.5 percent cost of living increases: $126,150

• New personnel
  • Accounting/Finance: $35,000
  • Streets: $31,000
  • Parks: $30,000

• Repairs to : $12,000

• Fire physicals: $7,800

• Computers: $8,000

• Streets
  • Digital message board: $16,000
  • Asphalt box: $20,000
  • Exmark mower: $6,100
  • Kawasaki Mule ATV: $7,000

• Total: $299,050