City of Grosse Pointe Council Passes Budget

The City of Grosse Pointe council unanimously passed its 2011-2012 fiscal year budget Monday, which maintains its current millage rate and preserved the general fund balance. 

The roughly $13.1 million budget includes reductions across all departments and divisions of the city. Additional savings came through changes in staffing, including one retirement in the public safety department, contracting a court administrator and elimination of seasonal employees. 

Residents did not speak about the budget during the council's public hearing last week and no one spoke about it Monday, City Clerk Julie Arthurs said. 

The council also approved a new fee schedule for the 2011-2012 fiscal year, generating $15,000 for the city. The majority of that comes from a new fee requiring alarm owners to register their alarm system with the city. The other large portion is generated from a $0.50 increase per cubic yard of commercial refuse pickup/removal, which is currently $4.50 per cubic yard.

Another fee—False Alarm Response—is being implemented to discourage the thousands of accidental setting off of alarms, which require a response by police officers. Residential false alarm response will incur a $30 fee while commercial false alarm response will cost $100. The city has not included these fees as part of the increase because the revenue generated is dependent on how many, if any, alarms are accidentally set off. 

The council also approved an increase in water/sewer rates, which is expected to increase the average homeowner's bill by $2.50 per quarter, according to a city memo prepared for the meeting.

The 2011-2012 fiscal year budget includes a project along Mack Avenue in which a water main will be replaced and the streetscape will be given a face-lift. The council approved the $2 million project Monday, of which $640,000 will be paid through Michigan Department of Transportation monies; $250,000 will be paid from the Ruth Hoffman Estate Trust; $100,000 will be paid through a special assessment on business owners and the remaining $995,000 will be paid through a bond to be repaid through the water/sewer fund.