By Megan Kelley
Clarkston News Editor
mkelley@mihomepaper.com
CLARKSTON — The City of the Village of Clarkston unanimously approved its 2024-25 fiscal year budget and millage rate earlier this month during its regularly scheduled meeting on June 10.
The budget was presented and a public hearing was held on May 24.
The millage rate approved was for 10.978 mills, down from the previous millage rate of 11.669 due to a .691 reduction in the Clarkston Independence District Library millage.
Additionally, the city’s taxable value has increased to $60.4 million from $56.4 million effective July 1.
The proposed budget for the upcoming fiscal year includes a general fund revenue of $856,877 and a projected general fund expenditure of $851,796. This would reduce the fund balance from an estimated $270,451 to $149,032.
“Income expected is $856,877. Largely the biggest increase of that, of course, is the actual tax and that’s not because our millage is going up, our millage is going down, but assessed values in the city have made some healthy improvements,” said City Manager Jonathan Smith. “While, Headlee (tax limitations) is driving the millage rates down, our actual income is going up because of property taxes and property assessed value is going up. It also means your actual market value is going up. Everyone should feel really good about that.”
The budget also includes a five year capital improvement plan that was reviewed by the planning commission for the 2025-26 fiscal year to the 2029-2030 fiscal year. The improvement plan identified 25 prioritized projects and proposed funding sources.
According to city documents, proposed projects listed are $200,000 for road repaving, $40,000 for sidewalk repairs, $35,000 for document scanning, $10,000 for the Mill Pond dam and salary increases. With other additional improvements, the grand total for expected improvements is about $326,500.
“We have $326,000 of expenditure planned for this year. That’s a lot for this small city. So, that’s not sustainable. That’s not something we can do every year but we’re doing it this year because we’re taking $100,000 out of the parking fund and $100,000 out of the local road fund,” said Smith. “I think this is a really strong story and we’re doing a lot of good things for improvements to the city and at the same time keeping our fund balance at the appropriate level.”
Employees of the city will be receiving a 4% raise, with the exception of James Turner, DPW Supervisor who received a 6% raise.
“We feel 4% is a good average increase year over year for the staff,” Smith said. “I made one exception and that was with Jimmy (James Turner) because I talked with Jimmy specifically about what he needs to stay and that would be a 6% increase.”