After months of discussion regarding the 2017 budget and levy, the Rushford City Council has approved the originally proposed levy of $867,000. The amount represents a 9.75% or $77,000, increase from the previous year’s levy of $790,000. As explained, it would largely be used in continuing to both maintain and build fund balances.
“There’s nothing hidden in there,” said City Administrator Tony Chladek. “It’s very clear what we’re trying to do.” Cladek further stated that while the funds are to be utilized in covering operating expenses and debt service, it will also provide for funds, such as Capital Improvments, to be built up as the city continues to trek along in upgrades. Chladek indicated, as did Public Works Director Roger Knutson earlier in the month, that the city has a number of projects, such as the levee and work with Emerald Ash Borer, that the city has little control over. “There’s always one more thing to add to the list and it’s important.”
The city will also continue working to rebuild fund balances, per audit and credit rating recommendations. At the last bond review, Standard & Poor’s indicated the city should have $500,000 or more in general fund reserves. Reserves dropped drastically in 2007 to just 11% of operating expenses, but sit above 60% in 2016. City Clerk/Treasurer Kathy Zacher indicated earlier this year that a $500,000 reserve, with the current budget would represent 63%, but cautioned that the recommendation is a consistent cash amount, not a percentage.
“It was narrowed down to very specific areas,” noted Councilor Terri Benson. “It pin points what we’re trying to do as a whole; rebuild fund balances and build or maintain Capital Projects Funds to drive an increase in the tax base.”
“The thing that’s really killing us is our debt service,” added Councilor Vern Bunke, who stressed operating the city as lean as possible. “For a town our size, that’s really where we’ve fallen down for the last 15 years or so. There are possibilities for us; we missed those.”
Playing the devil’s advocate, Councilor Jim O’Donnell asked Chladek if $30,000 had to be cut, where it would come from. “What we have in front of us is pretty clear. Folks [departments/commissions] would have to stay on reserves until they run out and then, we’re in trouble.”
“I would like to get to the point where we can take on small projects without having to levy or bond,” added Councilor Mark Honsey. “The staff is disciplined enough. This isn’t just going to be wasted funds.”
“We were able to keep things flat. That’s how you end up in this position. I don’t want to keep whipsawing taxes anymore,” concluded Mayor Chris Hallum.
As the end of the year draws to a close, the city was the happy recipient of a number of donations for projects in the planning stages. First up, the city received a total of $9,900 from individual donations from Ace Telephone, Rushford Community Foundation, Arlin Falck Foundation, and the R-P Booster Club. Along with an earlier cash infusion of $5,000 from the Economic Development Authority (EDA), these proceeds will be utilized in equipment and software upgrades for the Public Access Channel.
Rushford Peterson Valley Chamber of Commerce Director Jen Hengel has been working with the Rushford-Peterson School District on the project and has secured a purchase agreement from AcenTek. The setup will be installed in the new school and greatly increases the amount of information and community coverage that will be on the channel. Council members deemed the project, “Very exciting” and “Fantastic.”
In a second project, $5,000 has been donated by the Arlin Falck Foundation towards the repair of the Rushford sign lettering on Magelsson Bluff. The donation will also aid with the installation of an appropriate lighting system. The city will solicit other donations to help “improve this iconic symbol of community pride.” With the lettering repaired, the city can begin to seek out donations from those who said they were interested if it was fixed. The Rushford EDA will provide a match for new donations received for the project, up to $5,000. They hope this will encourage Chamber fundraising efforts.
A donation was also received from Dunn Blacktop for equipment upgrades to both the Rushford Fire Department and Rushford Police Department. The funds of $750 to each department will be used for gear and washing equipment and upgrades to software and computer systems respectively.
The police department will see a new full-time officer, beginning January 10. Having completed the interview process and all necessary requirements, the council approved the hire of current part-time office Dalton Bellock to the position. Bellock has worked for the city for a little over a year and is a Rushford area native. “I think he’ll continue to grow and provide us with consistent, professional service,” said Chief Eide.
The next regularly scheduled council meeting is Monday, January 9, at 6:30 p.m., at city hall. The public is encouraged to attend.
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