St. Ignace Begins Budget Process

2009-10-08 / Front Page

By Mark Tower

As state legislators struggle to pass a workable budget for the State of Michigan's next fiscal year, the City of St. Ignace is just beginning its budget process. Council members received a draft of a 2010 budget and fouryear model at its Monday, October 5, meeting.

Council also received updates on the Portage Street sewer project, Chambers Street construction, and approved a rescheduled Bayside Fall Fest for October 24.

City Manager Eric Dodson looks back to 2007 cash flow and forward to 2013 projected cash flow when making the 2010 budget and four-year plan. The budget he presented Monday is a rough draft, he noted.

The city council is required by its charter to review a draft of the next year's budget at its first meeting in October and pass a budget at the last meeting in December. This should give city officials ample time to wait out the state budget process, giving them a clearer idea of what they will receive in state appropriations.

A joint committee from the Michigan Senate and House of Representatives passed a bill that would cut overall revenue sharing for St. Ignace by 11.1%, although the bill has not yet been signed by Governor Jennifer Granholm. The percentage of state funding that was cut is deceiving, he said, because St. Ignace receives both statutory and constitutional funding from the state.

"They can't cut our constitutional funding," Mr. Dodson said. "The only thing they can cut is the statutory amount."

Of $222,918 appropriated to St. Ignace by the state, $47,958 is statutory, and that will be reduced to $24,743, a 52% cut.

The combination of statutory and constitutional state appropriations comprised 9.7% of the city's total revenue in 2008, and the $23,215 cut now expected will constitute about 0.9% of the city's total revenue in 2010.

"That is not our only funding," Mr. Dodson said. "We are staying abreast of all of the other things that could be happening, like restructuring how streets are funded, changes to gas and weight tax, and all of those things."

The four-year plan, required by the state, will help St. Ignace better plan major expenses, Mr. Dodson said. To accomplish this goal, directors of city departments, including public works, police, and recreation, have been asked to submit a plan outlining what major purchases they need over the next few years.

"This is an evolving document that gets better with more realistic numbers at the end of the year," Mr. Dodson said.

Council will receive an updated budget draft November 30 and will review it line by line before considering it for approval at the year's last meeting of the year, December 21.

SRF Project Funds Received

The City of St. Ignace has received federal stimulus funds under the American Recovery and Reinvestment Act to begin the Portage Street sewer line project. The estimated $1.55 million project will be divided between the city and federal government, with the city being responsible for $693,000.

Department of Public Works Director Les Therrian said design and some engineering work is already done, and the city will locate underground utilities this year. The large share of the work along Portage, Central Hill, and Truckey Streets will begin next spring, he said.

Chambers Street Intersection Changes Planned

As a part of the Chambers Street resurfacing project, which will be funded by the Sault Ste. Marie Tribe of Chippewa Indians and the federal government, the City of St. Ignace plans to change the intersection of North Marley and Chambers Streets to a T-style intersection with a stop sign.

North Marley Street currently merges into northbound Chambers Street, with a sign instructing drivers to yield the right-of-way to traffic on Chambers. Mr. Therrian said the city's Department of Public Works should begin work converting the intersection by the end of the week.

"There is a chance it could sit there as gravel through the winter," Mr. Therrian said. "That would just help it compact a little better."

As well as a stop sign at the intersection, a sign warning motorists of the new T-stop will be placed further back on North Marley Street. The planned repaving of Chambers Street will stretch from US-2 to Fitch Street, and will begin as soon as funds are released by the Bureau of Indian Affairs, who have already approved the project.

Autumn Apple Days Rescheduled

The Bayside Fall Fest has been rescheduled to October 24 from October 3. It was postponed by the St. Ignace Chamber of Commerce because the weather was forecast to be cold, wet, and windy.

Although the weather cleared up in St. Ignace, the pumpkin roll, pie-in-the-face auction, and all other festivities associated with the fall festival will take place at the end of the month.

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