PRESQUE ISLE – Councilors added back in a city planner position but reconsidered and decided against heating the recently closed Cunningham Middle School as part of their efforts on Monday night to complete the 2006 municipal budget.
By the end of the night, and after several hours of discussion, councilors added about $56,775 in expenditures and $46,000 in revenues, increasing by $10,775 the proposed budget that was posted for the public in November.
Councilors approved the total budget for 2006 at $10,629,300.
The figure, up 3.9 percent from last year, includes $5,073,325 in revenues, leaving $5,555,975 to be raised through taxes in 2006.
City Manager Tom Stevens explained to the council on Monday night that since some revenue and expenditure line items in the proposed budgets were cautious estimates or unknowns, final numbers this year increased on both sides.
On the revenue side, the city approved higher figures for revenues brought in by interest on investments, the code enforcement office, excise taxes, and the Industrial Council. On the appropriations side, the city approved expenditures for everything from a postage increase to the new planner position.
Since early this year, councilors have discussed the necessity of hiring a city planner to set a vision for the city, to concentrate on developing the downtown, and to put projects “on the shelf” so they are ready when funding becomes available. Several councilors stated that the position absolutely is needed to spur more economic development and revitalization. Councilor Ron McPherson agreed the position is needed, but said that with the rising costs of so many items on the budget, the city simply cannot afford right now to fund the position – estimated at $53,000 in salary, benefits and office needs for a full year.
Councilor Richard Scott made the initial suggestion that they hire a planner starting partway through 2006. “We have to continue to be aggressive in planning and economic development,” he said. “We need to be prepared and sometimes that means we have to staff.”
Other councilors agreed. “In order to make money, we have to spend money,” Councilor Don Gardiner said. “It’s something we really do need.”
The council agreed to set a July 1 hire date for the city planner position and expend $22,000 in the budget for the July to December salary, as well as about $9,000 for benefits and office needs.
Later in the meeting, the council reconsidered its previous vote to expend $40,200 to heat and maintain Cunningham Middle School, which was turned over to city officials on Dec. 1. Based on the vote, city officials put about $2,000 in fuel into the building to heat it.
Despite the initial expense, councilors agreed that the total figure was “a lot” to spend on a building that they were not sure had any viability.
Councilors decided 6 to 1 to spend up to $2,500 to drain the pipes and winterize the building as soon as possible. They also set aside $5,000 for building maintenance for the year.
The dissenting councilor, Don Gardiner, said the council was making a mistake because draining the building would cause irreparable damage that could only lead to demolition.
“Congratulations, council,” he said. “You’ve just added the cost of $250,000 to take it [the building] apart. And I don’t see where another quarter-million is coming from.”
Other expenditures the city council approved included:
. $1,000 for postage, based on a 2 percent increase for first class mail.
. $3,000 for stipends for the acting city manager.
. $19,650 for the maintenance of more than 12 miles of roadways which the Department of Transportation is turning over to the city in fall 2006.
. A $3,000 decrease in expenditures for the ambulance fee, as the local hospital did not raise the per capita rate.
. $2,575 for an outside request from the local chapter of the American Red Cross.
Councilors unanimously approved the 2006 budget. They also voted to set the tax levy and commitment date on or before June 26.
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