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PUBLISHED: Sunday, May 4, 2008
Property tax to drop, sewer rates to increase for Imlay City residents



IMLAY CITY -- Taxpayers in Imlay City will shell out less for property taxes under the city's next budget.

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But that glee will be short lived, as taxpayers will make up half of that difference in revenue for the city with an increase in sewer rates.

Imlay City Manager Amy Planck said the millage rate for the city's property taxes dropped to 15.35 mills. That will mean a difference in $235,000 less the city will receive in revenue.

"We plan to allocate less general fund dollars to the water/sewer fund and raise sewer rates for a portion of the shortfall," Planck said. "The rest of the (difference) was accommodated by each department cutting their budgets wherever possible."

Planck said like everyone else, the city is trying to do more with less. "There are no projects or programs budgeted," she said "Anything the commission wants to do like a salt storage shed, tree replacements, fire trucks -- will have to come from general fund dollars."

"I think the lowering of the property taxes is a feather in Amy's cap. Amy's done a great job," said Imlay City Mayor Rod Warner. "I personally wasn't in favor of doing this because I wouldn't want it to drop a mill or two. Everyone remembers when you raise taxes. They don't remember when you lower them."

The difference in millage revenue for the city will be partially made up by an increase in sewer rates which will be raised for the first time in 10 years. Planck said the increased rate will be $38 for 14,000 gallons of water. She said that will equate to roughly $117,500 -- about half of the difference from property taxes.

Planck said the city sends out tax bills that are due and payable by Sept. 15. The utility rate increases take effect on bills that go out June 15.

The Imlay City Commission will hold a public hearing on the city's budget at the May 20 meeting that begins at 7:30 p.m. at the Imlay City Hall.

Jennifer Decker can be reached at (810) 664-0811, Ext. 8125 or jennifer.decker@lapeergroup.com.





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