No fund reserves used to balance city’s 2018-19 budget

Bid accepted for sanitary sewer rehab project

Proposed in the fiscal year 2018-19 budget for the City of Manistee is $1,907,700 total funds distributed toward street-work for major and local streets. Many projects are planned for the next few years. (Ashlyn Korienek/News Advocate)

The fiscal year 2018-19 budget for the City of Manistee features around $2 million distributed toward street-work for major and local streets. Many projects are planned for the next few years. (Ashlyn Korienek/News Advocate)

MANISTEE — Making improvements to local streets was a highlight of the final 2018-19 fiscal year budget, as the Manistee City Council recently elected to allocate money from the Oil and Gas fund to support the cause.

Manistee City Council adopted a resolution to approve the budget and Capital Improvement Plan on Tuesday. The final budget totals $17,283,771, which is a $686,810 increase from the prior fiscal year.

Ed Bradford, chief financial officer, said the budget was balanced this year without using general fund reserves, with only minor changes from the city manager’s proposed budget.

Of the few changes, council elected to shift the appropriations budget, allocating $1,000 from the Manistee Saint’s $3,000 total to the Manistee County Historical Museum, bringing the museum’s total to $10,000.

Bradford said a total of $591,042 will be withdrawn from the Oil and Gas fund, with the typical 4 percent spending rule allocation of $391,042 put toward certain areas of the budget.

An additional $200,000 from the Oil and Gas fund will be put toward local streets, which will accompany funds from city-owned property sales put toward streets, as well. The 2018-19 budget dedicated around $2 million to street improvements.

“There were very few changes,” said Bradford. “When all of the adjustments were made to the proposed general fund budget, there was an extra $2,677 that was put toward replacing the failing Crestron Controller system that runs the City Council Chambers audio and visual system.”

On Tuesday, council also approved the 2018-19 Downtown Development Authority (DDA) budget at $262,667. A hearing must be held, and then it will be adopted.

The city budget will go into effect on July 1.

Also on Tuesday, council approved a contract for the 2018 sanitary sewer rehabilitation project, which is a part of the city’s Wet Weather Corrective Action Program. The city must repair sanitary sewers that show signs of groundwater infiltration.

Jeff Mikula, DPW director, said this is the first step in the program, which was mandated by the state.

“This should add another 50 years or more of life to those 3,350 feet of pipe,” said Mikula. “We have planned this for the past year.”

Council members unanimously approved a bid from IPR Great Lakes, LLC at $464,616.90 for the project, during the meeting on Tuesday. Workers will reline the 3,350 feet of sanitary sewer pipe this year, as only the first step in the process.

Also on Tuesday, council unanimously approved a Land Use and Management Agreement from River Parc Place, LLC and North Channel Investors, LLC, which are owners of the properties west of the Maple Street Bridge on the north side of the channel.

The city has a Riverwalk easement over both properties. Council members granted a request to permit construction and maintenance of moorings along the constructed seawall.

“I think this is a really good move,” said council member Lynda Beaton. “They sold over half of those condos.”

The following agenda items were also unanimously approved on Tuesday:

• A policy to ensure the city is compliant with the collection and distribution of interest, collected on a PRE denial. The State of Michigan requires this policy to be compliant with new AMAR guidelines;

• A resolution to change the Board of Review dates for July and December, to accommodate assessors that have multiple units to assess and allow them to be present for the meeting;

• A request to eliminate soft billing for residents’ Manistee ALS services. ALS billing for all EMS services was soft billing, for the balances after insurance payments;

• An application from the Manistee Area Chamber of Commerce asking to hang a banner in the Mason Street right-of-way for the annual Manistee World of Arts and Crafts event. The banner will be up from June 25 to July 4;

• A request from Thomas Amor Sr. and Good Shepherd Lutheran Church for a parcel split and combination, which combines the north 2,196.65 square feet from the parking lot with 303 Fifth St.; and

• A Memorandum of Understanding to participate in the Project Rising Tide Program through the Department of Talent and Economic Development. The city was selected for this program.

Molly Whetstone reported on the activities of the Assessor’s Office, and Sheila Kaminski gave a report on the Alternatives for Area Youth. Barry Lind, on behalf of the PEG Commission, was not able to be in attendance for the meeting.

A council work session has been scheduled at 7 p.m. on June 12 in council chambers at City Hall on Strategic Plan updates, a non-union DC pension plan, the Motor Pool and other business.


Posted by Ashlyn Korienek

Ashlyn is the cops & courts and city reporter for the Manistee News Advocate. You can reach her at (231) 398-3109 or

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