FeedsNew millage, same rate: Smart government pays off in Northville
When officials in Northville Township requested a millage from residents to fund the purchase of the Seven Mile Road property, they promised they would not increase the general millage rate when it came up this year.
The township board kept that promise-the Aug. 3 millage request will reflect the same 5.75 rate that is has for the past four years, according to Township Supervisor Mark Abbo. It can’t be classified as a renewal, however, because it will be distributed in a different way.
“The millage rate will not increase, but the distribution will change,” said Township Manager Chip Snider. “At this time I don’t think we could have done this any smarter.”
The township will ask for an additional .3 mills for police and fire services and an additional .2 mills for the general fund. To offset that, the township will allocate .5 fewer mills for shared services, which includes operations like the parks and recreation department and Northville Youth Assistance.
“They have built up a fund balance over the years; they were in good shape,” said Snider.
Township board members had maintained they did not want to increase taxes in the down economy, according to Abbo. The township put in place several cost saving measures to help reduce the bottom line, including the implementation of furlough days every other Friday that amounted to a 10 percent pay cut for all employees. Employees are also contributing more to their health care costs. The police and fire unions made concessions, too. Public Safety Director John Werth said his department realized savings by not replacing some retiring personnel and that his departments are already running pretty thin.
“The bodies we have-if they weren’t needed, they wouldn’t be here,” he said.
Werth said he knew his department would still need more money. The state of the economy dictated that; when the millage was approved four years ago, it generated $10 million for the public safety department. In 2010, the decline in property value meant that the millage only brought in about $7 million.
He said the additional .3 mills, coupled with a dip into the fund balance, would ensure that the department would be able to maintain the same level of service.
“We’ll still have a fund balance at the end of the four years, but it’ll be reduced,” he said. “We’re spending from our bank account, but this is the proverbial rainy day. We think at the end of four years, things will be better in the State of Michigan.”
The decline in property values means that most residents will pay the same or less in taxes; the only ones who may see an increase are those that-because of a large addition or major improvement to their homes-receive a higher tax assessment.
“Everybody will be paying the exact same millage rate,” he said.
Werth said he also appreciated the efforts and sacrifices of all township employees that helped the municipality weather the tough economy.
“The direction from the board of trustees has been to trim down and cut expenses. It’s because all departments and employees have chipped in that we’ve been able to do this.”
