Council votes yes: city to hold meeting on tax

Home News Council votes yes: city to hold meeting on tax

The Hillsdale City Council held its regularly scheduled meeting on March 18.

The council continued developing its plan for presenting Municipal Analytics’s income tax feasibility study’s findings to city residents. In addition to that, the council approved the transfer of a liquor license to the local restaurant El Cerrito, the BPU’s plan to eliminate the debt in its sewer fund, and a grant to the Headwaters Recreational Authority.

City Manager Linda Brown was directed by the council at March 5’s meeting to begin creating a plan to present Municipal Analytics’s study to the general public.

Brown met with Bonnie Tew, city finance director, and John Kaczor, founder and principal consultant of Municipal Analytics, to work towards meeting the council’s request.

Kaczor, in addition to conducting the study, administered the income tax for the City of Grand Rapids, Mich., for 25 years.

Brown asked the council to approve a plan in which Kaczor would present the study’s findings to the general public at a well-advertised time and place in the near future. She also asked that the councilmen and women would agree to not speak at the event.

“We want an un-biased presentation to the residents, so I asked that they do that and they made a decision to not speak about it,” Brown said.

In addition to the public presentation, Brown said she is also planning private meetings with large employers in the area, including the Hillsdale Community Health Center, Hillsdale College, and other local schools.

After agreeing on Brown’s plan, the council moved on to new business.

Adan Rocha, along with his father, appeared before the council to ask for approval of the transfer of a liquor license from Sue’s Lakeside Inn Inc. in Somerset, Mich., to their Mexican restaurant El Cerrito.

The state Liquor Commission Council had previously requested Director of Public Safety Chris Gutowski to create an investigative report, looking at Rocha’s background regarding the transfer.

Gutowski recommended the council approve the transfer and they did. El Cerrito’s liquor license future is now in the hands of state officials.

Next on the agenda, the council was asked to approve a plan by the BPU to eliminate the deficit in its sewer fund.

Six years ago, the BPU raised water rates so as to eliminate its water fund deficit. Because they wanted to lessen the effect of the raised water rates on city residents, the BPU lowered sewer rates. As a result, a deficit was created in the sewer fund.

The water fund deficit is now paid off and the BPU is turning its attention to the sewer deficit.

Water rates are now set at a sustainable rate, and while a memo from the BPU acknowledged its customers, city residents, did see a slight increase in rates, the sewer fund will be eliminated by 2015.

The council approved the rate increase and the plan will now be submitted to State of Michigan Department of Treasury for further approval.

Finally, the city also approved giving the Headwaters Recreational Authority $887 for its project of developing a master plan for the trails in the City of Hillsdale, Hillsdale Township, Jonesville, and Fayette Township.

The HRA received a grant of more than $3,500 from the Hillsdale Community Foundation to fund the project. As part of the grant, however, the HCF grant had to be matched by the four districts in the HRA.

Brown found money for Hillsdale’s contribution in the city manager’s portion of the budget. Funding for the previous city manager’s insurance costs were still in the budget and Brown suggested the council use that money to give to the HRA to avoid making a negative impact on the total budget.

The next Hillsdale City Council meeting will be held on April 2.

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