Budget Workshop
April 13, 2011
The budget session was called to order by President Rusas at 7:05 p.m. and adjourned at 9:45 p.m.
Councilmembers
President Theresa Rusas; Councilmembers Michael Glagola, Elizabeth Heer, James Kovach, Jerry Aubry, and Jennifer Frankford.
Others Present
Keith Hughes and Richard Harrison, Parking Authority; Thomas Mackenzie, WWTP; Robert Calley, DPS Director; Ann Barnette, DDA Director; Arthur Shufflebarger, Village Manager; and Becky Jacques, Treasurer/Financial Director.
Parking Authority
Keith Hughes updated Council on proposed capital outlay projects. These included paving East Municipal lot and fencing around the trash compactors. He stated they were working on a grant with General Motors and the State to place charging units for electric vehicles in the lots. The only cost involved would be providing electricity to the meters.
Becky Jacques stated an electric vehicle for the Ordinance officers is included in the budget. The current vehicle maintenance costs on the ordinance vehicle are high, and purchasing this vehicle would eliminate these costs as well as gas/oil.
Wastewater
Tom Mackenzie discussed the WWTP budget with Council highlighting ways they have been able to reduce costs. They hope to combine bidding on sludge hauling with another community for reduced costs. Variable frequency drives have been added throughout the plant to reduce wear and tear on motors. Capital Outlay projects included land acquisition, modifications to the raw lift station to make it safer, additional sewer line inspection and repairs, and maintenance management added to the SCADA system.
Water
Becky Jacques discussed the water/wastewater rates, explaining there has been a decrease in usage resulting in a necessary increase of approximately ten percent in rates. She added the change adopted with shut-off notices has worked very well. The delinquent water bill amount estimated to be placed on the tax bills has decreased significantly.
Bob Calley covered the projected expenses for the water budget. He stated in order to cut costs, they will be working with MRWA on mass bidding for chemicals and supplies being used. Capital outlay water projects include water meters, abandonment of a water main at Commerce and Summit Sts., and a dual chloride ejection system.
Bob Calley continued discussing the following departments: Civic Center, DPS, Street Lighting, Fleet Maintenance, Parks and Recreation, Major and Local Road funds. Bob stated he is working with other communities whenever possible for purchasing services, such as street line painting, in order to reduce costs. DPS and the Police Dept. have renegotiated the HVAC service contract which has brought considerable savings. The Village is experiencing a reduction in electric and gas bills due to the replacement of the water heater and removal of the boiler system. Overtime has been reduced significantly; and DPS is currently working 4½ -day work weeks. One full-time position has been reduced to part-time.
Capital Outlay funding included is for crack sealing of major and local roads and changing out street lights (with DTE).
Refuse Collection
Kathy Lewis, Township resident and volunteer on the Wellhead Protection Program, commented on Council’s earlier discussions regarding holding Household Hazardous Waste collection day every 18 months to two years, rather than every year. Council was considering this to reduce costs. Being an Environmental Engineer she did not feel this would be good for the community or environment. She was concerned residents would not hold onto their waste for longer than a year. Ms. Lewis also felt the Township should be considered in this decision since the communities work jointly on this project.
There was discussion on the RRRASOC, which is a HHW/refuse collection program that works with other communities, and the possibility of the Village getting on board with this program.
Council discussed the Refuse millage. They discussed the difference of levying 2.6 mills versus 2.8 mills. Increasing the millage from 2.0029 to 2.6, without the DDA capture, would cover costs as they are now. Levying 2.8 mills would cover the refuse expense and the DDA capture. A portion ($25,000/year) of this DDA capture could be refunded and accumulated over four years to be held in an emergency fund along with the money already in reserve from the Refuse Special Assessment. Council discussed what the approximate cost difference would be with the millage rate at 2.821.
Downtown Development Authority
Ann Barnette discussed the DDA budget. She explained to Council the DDA would realize 6.5 percent reduction in taxable value which equates to a loss of approximately 11 percent in tax revenue. Capital outlay funding is earmarked for land acquisition, while some of the smaller projects scheduled include joint Southside private/public right-of-way maintenance and negotiations for the TRW site.
Ms. Barnette discussed with Council the Refund Refuse Tax line item in the DDA 2010-11 budget. She questioned whether the DDA still needed to refund this revenue since the Village had a reserve from the Refuse Special Assessment collection. Council felt the special assessment was outside the normal revenue stream and decided the refund should take place as budgeted. Brownfield Authority Nothing new to report.
Submitted by:
Deborah S. Frazer, CMC
Milford Village Clerk | 
