Before the ink had dried on the resolution adopting this year's city budget, Mackinac Island City Council members began bracing for the even greater shortfall in tax revenue forecasted for the coming 12 months by city assessor Joe Stakoe.

The 2010-11 budget adopted by the council during a special meeting Wednesday, March 31, followed two budget work sessions and reflected a 2% drop in tax revenue.

During a budget work session March 30, Alderman Armin Porter told council members the city needs to begin preparing for next year's budget as Mr. Stakoe has advised the Island's 2% taxable value drop could seem small compared to what may happen in the coming year.

“Just a warning for next year,” said Mr. Porter, “as Joe Stakoe said what he's worried about, is what we are facing. This year is nothing.”

Rather than reduce services in the new budget, cuts were made in most accounts, including spending on supplies, travel, and educational conferences. Also a freeze was placed on non-contract wages. In a previous work session March 23, the city council made all members of the maintenance staff hourly workers, effective Thursday, April 1.

The city will also consider paying the Department of Public Works or a private company to take over the job of snowplowing, which now is performed by other city workers. The council also agreed that no seasonal staff would return to work without prior approval from a city committee that oversees the worker's department.

Summer greeters, whose job is to reduce downtown traffic congestion and answer tourists' questions, may be eliminated. The jobs are paid from tourist bicycle license revenue, collected mostly by the boat lines, which last year gave the city $33,939. According to city attorney Tom Evashevski, the revenue can be used in the police department but is not designated specifically for the greeters program.

In the wake of complaints over the effectiveness of the greeters, Council sent the issue to the Police Committee. Early discussions indicate the jobs will be eliminated and the revenue likely be used for police payroll.

The Finance Committee should consider the cost of barn permits, said Kelly Bean, assistant to the mayor, who also worked on the budget with Mike Hart, who chairs the Finance Committeet. Council took no action, although it is expected that the Finance Committee will consider increasing barn permit fees. Currently, the fees generate about $1,300 in revenue, however, the program costs the city $5,900 to operate, said Ms. Bean.

At the March 31 special council meeting set to adopt the 2010-11 budget, two aldermen proposed additional savings the city might realize through changes in operations. At the suggestion of Mr. Porter, council agreed to have the Finance Committee consider making the recreation director's salaried position hourly. Currently, the position pays an annual salary of $22,194.12.

At Jason St. Onge's suggestion, the city asked the Finance Committee to consider placing a limit on the maximum number of paid council meetings to be held yearly and to add pay increase steps to the Stuart House Museum Attendant I post. Currently, the position pays $8.29 per hour.

This year's general fund budget of $2,247,083 is $24,690 more than last year's amended budget of $2,222,393. The new budget includes a $95,000 capital expense to cover renovation work at the old medical center, now called St. Martin's Place, new septic and sewer work at Great Turtle Park, and road repair projects. Aside from that, general fund expenses are projected to be $70,310 less than last year.

The city levies 8.0472 mills, which will raise about $30,000 less this year owing to a 2% drop in taxable value of property, $199,300,845 in 2009 to $195,747,596 in 2010. Millage is decided in June, but the city does not expect to change it this year.

Council approved borrowing $55,396.45 from the capital projects fund for the St. Martin's Place project, to be repaid upon the sale of the city's condominium in the Mission, plus interest of about 1.5%. There is about $542,000 in the capital projects fund account.

St. Martin's Place is being renovated into seasonal police housing. Rowe Condominium, which the city has used for police housing, needs more work, said Ms. Bean. Old furniture should be removed and a temporary wall that was erected in a room should be removed.

Council will also keep city wages at 2009 levels, including police chief Jim Marks, building inspector Dennis Dombroski, and police officers.

Salaries for city officials and employees remains unchanged, with aldermen earning $35 per meeting and the mayor receiving $250 per month. The mayor can also receive $35 per meeting, which Mayor Margaret Doud said she does not take. Council approved the option, anyway.

Kelly Bean, the mayor's assistant, earns $27,742.52 a year, plus benefits.

Karen Lennard, the city clerk, earns $23,463.44 a year, plus benefits and $60 for each meeting attended.

Rick Linn, the city treasurer, earns $22,860.24 a year, plus benefits and $35 per meeting attended.

Dennis Dombroski, building official, city engineer, and zoning administrator, earns $42.59 per hour, plus benefits.

Jim Marks, the chief of police, earns $56,466.52 a year, plus benefits.

Police officers begin at entry level pay of $13.78 per hour. After 12 months pay is $15.55 per hour, after 24 months pay is $17.30 per hour, after 36 months pay is $18.73 per hour, after 48 months pay is $19.84 per hour, after 60 months pay is $21,68 per hour, and corporal pay is $21.99 per hour.

Dennis Bradley, the fire chief, earns $1,200 a year, plus $19.61 as a base rate per run. Past the first hour of a run, each additional hour is paid at $19.61.

The assistant fire chief is paid $850 a year, fire captain earns $750 a year, fire lieutenant receives $700 annually, fire engineer earns $300 a year, fire sergeant $250 annually, and the fire corporal $150 annually. All receive $19.61 as a base rate per run. Past the first hour of a run, each additional hour is paid at $19.61.

An entry level fire fighter is paid $12.80 per run, after five years $14.93, after 10 years $17.07, after 15 years $19.16.

Auxiliary firefighters at the entry level earn $8.54 per run, after one year $10.66, after five years $12.80, and after 10 years $14.93.

The Planning Commission recording secretary makes $105 a month, plus $62.17 per meeting.

The city librarian makes $13.65 per hour, plus benefits.

The fly control officer is paid $10.17 per hour.

The city foreman makes $18.23 per hour, plus benefits. Assistant foremen rate ranges from $11.61 to $13.10 per hour. Restroom attendants are paid from $8.80 to $13.10 per hour. Maintenance assistants pay ranges from $8.80 to $12.79. Buildings/facilities custodian is paid $23,200.84 per year plus benefits.

The recreation director's salary is $22,194.12 per year, plus benefits.

The museum attendants are paid from $7.54 per hour to $8.29 per hour.