BonnerSprings.com

Edwardsville resident Rebecca Carter, for one, did not want to see a proposed mill levy increase in the city’s 2012 budget approved.

But Carter, who raised her concerns during the 2012 budget public hearing Monday night, had no cause for alarm. After the public hearing, the Edwardsville City Council unanimously adopted a budget that will hold the levy steady at 44.505 mills.

A mill is $1 in taxes for every $1,000 in assessed valuation. Subsequently, for the owner of a home appraised at $100,000, the portion of that homeowner’s property taxes dedicated to the city will be about $512 — the same as last year.

The city had originally published a proposed budget setting maximum expenditures at $5.78 million and an increased levy of 45.445 mills. The .94 mill increase was to be directed to the debt service fund. City Administrator Michael Webb said that was where an increase in funds was needed most, with debt service payments in 2012 totaling $890,909.

Though the majority of council members have stated they do not support a mill levy increase, the council opted to publish the budget with a levy increase to allow for more time to consider all the funding options available. Once a city’s proposed budget is published, neither its expenditures nor its property tax rate can be increased without notice to the public and another public hearing. Both expenditures and the property tax rate can be lowered, however, once a proposed budget has been published.

Instead, council members unanimously adopted another budget option Webb had originally presented. Instead of raising the levy, 1 mill will be transferred out of the general fund into the debt service fund, leaving the general fund levy at 33.775 mills and increasing the debt service levy to 10.730. Webb said the hit, however, by not increasing the mill levy would be taken in the city’s cash balance at the end of 2012, reducing it by $101,270 and leaving an estimated total cash balance of $465,530 at year’s end.

Edwardsville residents and commercial businesses will see a 5 percent increase in their sewer bills, which are sent out quarterly, while those residing in Edwardsville’s mobile home park will see a 50-cent quarterly increase in their bills. The increased charges will support a $10,000 transfer from the sewer fund to the debt service fund, Webb said.

General fund spending in 2012 will fund four new sets of bunker gear for the fire department, at a total of $7,800; replace one fire vehicle at a per-year lease amount of $10,500 for three years; and replace one police vehicle at a per-year lease amount of $10,200 for three years. Webb has said in previous meetings and budget workshops it would be unsafe to not replace the items.

Total general fund expenditures will be $4.41 million, an increase of $639,192 over 2011 year’s expenditures, which are projected to be about $3.78 million. Debt service expenditures will total $890,909, which is a slight decrease from 2011’s projected total of $892,509.

Special highway funds will total $162,500, a decrease of $79,492 from this year’s budgeted expenditures of $241,992. And both the sewer and solid waste funds will see significant increases over the current year’s budget. Sewer expenditures will total $108,000, where this year they are projected at $97,442, and the solid waste fund expenditures will total $133,424, compared to a projected $120,804 in 2011.

Council member Chuck Adams said he was in favor of not raising the mill levy because it showed residents the city was acting conservatively in financially conservative times.

“I think we need to do the same things our citizens are doing,” he said, noting that residents are “buckling down” when it comes to their finances in response to the tight economy. “… It’s not going to get better for a while.”

The only other comment made during the public hearing was from Edwardsville resident Gary Carpenter, who asked whether the city was going to fund the salary of a public works supervisor in 2012. The council had been discussing the position as a possibility in previous budget work sessions.

The 2012 budget does not include funding for a public works supervisor, as council members have said before enhancing the public works department they want to see what revenue would come to the city from the Hollywood Casino. The city will receive a share of gambling receipts from the casino, which is slated to open in early 2012.

Also on Monday, the council:

• Unanimously approved minutes from the Aug. 8 meeting.

• Unanimously approved payment of bills totaling $105,097.

• Unanimously adopted the 2011 Standard Traffic Ordinance No. 905 and the 2011 Uniform Public Offense Code Ordinance No. 906, both of which contained no changes or updates.

• Unanimously adopted a resolution authorizing the city’s participation in the Midwest Public Risk of Kansas Inc. property and liability pool. This is the second time the city has passed a resolution to join the MPR pool but MPR hit a brick wall after failing to meet all the requirements set forth by the Kansas Department of Insurance.

Edwardsville’s annual contribution to the pool will be $70,059, which is slightly lower than the cost of the city’s current property and liability insurance, which is $70,086.

City Administrator Michael Webb said the pool would go into effect in January 2012, but that the city’s current insurance policy runs through May of 2012. He said once the program was formed, the city would cancel its policy effective Dec. 31 and the city would receive a refund for the unused months. The pool also will cover any early termination fees, Webb said.

The city of Bonner Springs also is a member of the pool, having adopted a resolution Monday night to join.

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