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Kingsford millage down slightly

May 30, 2008
Daily News

News Editor

KINGSFORD — The city of Kingsford’s 2008-09 fiscal year budget calls for a millage rate of 20.92 mills, a reduction of about 1 percent from the current rate.

A public hearing on the budget will be held at 6:45 p.m. Monday at city hall.

The general fund budget provides operating and capital spending totaling $4.8 million, an increase of about $100,000 (or 2 percent) from a year ago.

The city will spend $225,000 to meet its commitment towards infrastructure work on the River Pointe condominium and subdivision development.

“We want to make sure that it keeps proceeding in positive way,” said Darryl Wickman, city manager.

The planned 40-acre development, with up to 21 condominium duplexes (for a total of 42 residences) and about 36 home sites, promises a significant boost in the city’s tax base.

The total taxable valuation in the city for 2008-09 is estimated at $120 million, up nearly $6 million from a year ago.

The total proposed millage rate is down 0.205 mills from a year ago.

The city plans to spend $265,000 from its sewer fund for engineering services, mainly to proceed with a storm sewer separation project in the Breitung area.

“We’re probably at least a year away from construction,” said Wickman, adding that a request for engineering proposals will be completed soon.

The city anticipates having reserves of about $450,000 in its sewer fund a year from now,

which is far less than the estimated $1.5 to $2 million needed to launch the sewer separation project. Federal and state financing will be pursued, Wickman said.

Other highlights from the budget follow:

— As previously disclosed, the water budget includes a rate increase to $1.75 per 1,000 gallons for all users. Current rates are $1.57 for commercial users and $1.12 for residential users.

— The city expects $606,000 in state shared revenues, which is about $8,000 less than a year ago.

— The proposed general fund millage levy is 17.064 mills, down 0.047 mills. The millage will generate just over $2 million in tax revenues, or about $50,000 more than a year ago.

— The proposed police and firefighters pension levy is 2.616 mills, down 0.148 mills. The levy will generate $313,896, or about $9,000 less than a year ago.

— The proposed public works facility debt millage is 1.24 mills, down 0.01 mills. It will generate $148,789, nearly $3,000 more than a year ago.

— Major capital spending includes $275,000 for a new vactor (sewer cleaning) truck, a purchase that has been budgeted but delayed for several years.

— A public safety patrol car purchase is planned at $25,000, along with a public works pickup truck at $22,000.

— Parks spending includes $65,000 to replace lights at Lodal Park for the tennis and basketball courts. Surface restoration of the Lodal Park and Ford Park tennis courts is also planned, at a total cost of $26,000. Wickman said there is a “pretty good chance,” of these projects proceeding. They were also part of the 2007-08 budget.

— The anticipated general fund balance for June 30, 2009, is $436,745.

Jim Anderson’s e-mail address is


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