PRESQUE ISLE – After three months of mostly uneventful budget workshops and two public hearings that elicited no citizen comments, the Presque Isle City Council unanimously adopted on Monday night a $9,963,175 budget for 2005, according to City Manager Tom Stevens.

The budget, a $101,100 or 1.89 percent increase from 2004, includes $4,616,550 in revenues and requires the city to raise $5,346,625 in property taxes for the municipal portion of the city’s budget, Stevens said Tuesday.

School and county tax figures have not been calculated yet.

Using last year’s valuation, which was about $370 million, Stevens estimated that the city’s mill rate will increase by about .25 mill or less. Last year, the city raised 13.23 mills in property taxes for the municipal portion of the budget. The figure would go to about 13.5 mills or less depending on how much the valuation increases for 2005.

“The budget retains the current level of [city] services with a modest increase,” Stevens summarized.

The entire budget process seemed to run smoothly and quickly, Stevens said, prompting one councilor to ask during the meeting if the council had forgotten anything because this year’s budget process seemed “almost too easy.”

When councilors began working on the 2005 budget, the original projected increase over the 2004 budget was about $144,000. By the time the council posted the budget for public hearing, the figure had risen to $222,000, mostly because of increased fuel costs.

Those costs were offset by an unexpected 2 percent decrease in health insurance. Councilors further whittled down the increase to the approved $101,100, Stevens said.

Other factors driving the 2005 budget include a 3 percent wage increase for city employees, the fact that there are 53 instead of 52 payroll periods in 2005, and elimination of a debt for improvements to a city building.

There was no public comment on the proposed 2005 municipal budget during the second of two public hearings, and councilors subsequently approved the measure Monday night, Stevens said.

The council also approved the city’s five-year capital improvements plan.

The budget will go into effect on Jan. 1, 2005.

In other news, the council:

. Gave approval for the Presque Isle Housing Authority to remove a structure at the Bon Aire Housing facility at the Skyway Industrial Park. The city transferred the house to the PIHA, but as part of an accompanying agreement, the housing authority was required to obtain council approval to remove any structures, Stevens said.

. Accepted the resignation of Walt Elish as a Presque Isle Sewer District trustee and approved Ward Gerow to take the position. Elish will begin a three-year term on the Presque Isle City Council in January.

. Set Jan. 3 and 19, 2005, as public hearing dates on the planning board’s proposed changes to the city’s Land Use and Development Code. The changes will bring the city in compliance with state laws.

. Voted to accept the transfer of ownership of Cunningham Middle School from SAD 1. The actual transfer is not expected to take place until September 2005, when the district expects to open Presque Isle Middle School. The facility will house the district’s entire sixth- to eighth-grade population.

. Accepted the resignation of Martha Royer as a Presque Isle Housing Authority commissioner. Royer resigned because of scheduling conflicts, Stevens said.

The council will hold its next meeting at 7 p.m. Monday, Dec. 20, in council chambers.