The Sturgeon Bay City Council has approved the budget for 2012. As reported before, the $12.2 million budget features a tax levy of $5,758,730 & comes with a mil rate, for city purposes, of $7.56 per thousand dollars of valuation. As such, it reflects a reduction of about four cents per thousand or $3.87 on a $100,000 property. City Administrator Steve McNeil, in a report to the council Tuesday, noted that last year 63% of the budget was covered by city tax payers. However, the loss of close to $200,000 in state revenue sources will mean the local portion will jump to about 70%. For instance, shared revenue is down by over $124,000, a program to reward frugal municipalities was cut by $52,000 & funding for recycling took a $16,000 hit. The tools provided by the state to offset the revenue losses are useless because the employees involved are either exempt, under contract until the end of 2013 or the help is not available to the city. McNeil said it was difficult to say how future budgets will shake out, but continued state cuts will mean more & more of the tax burden will have to come from local sources. City council members voted on four motions during the meeting Tuesday. The council agreed to add an additional $500,000 from the general fund to protect the city’s expenditure base in future years. The action brings the city closer to the 3.1% increase allowed by the state without increasing the tax levy. Aldermen also brought the budget in line with solid figures for the city’s three tax incremental districts. Previously, the numbers were based on estimates. The council agreed to provide financial support for the Sturgeon Bay Visitor Center in the amount of $65,000 in 2012. A total of $40,000 will come from the city’s tourism fund. The remainder will be taken from the cable tv account. The final action taken by council members approved the 2012 budget & tax levy.
