Naftzger Criticizes Council on 2012 Budget

chastised his colleagues for not doing enough as the City Council passed the 2012 budget with a 6-1 vote Monday. 

“We missed an opportunity to change the way we provide services,” Naftzger said. 

The fact that the budget did not include a property tax levy increase was not enough for Naftzger who was the lone dissenting vote. Mayor Nancy Rotering was joined by supporting the ordinance. 

“I’m sorry we could not reduce taxes," Naftzger said. He has advocated using the city’s fund balance to cut taxes throughout the months long process. 

Kirsch heaped compliments on Rotering’s stewardship through the lengthy workshops when the Council put detailed effort into all areas of the budget. 

“You have done an excellent job of leadership,” he said. 

praised city staff for their work on the budget, calling it "the strongest policy statement that can be made by this body,” 

“We have decided to invest in our future," she said. 

The mayor also expressed gratitude to , and others for the months of effort they put into the budget. 

Sewer fee increase

Four companion pieces of legislation passed unanimously while a proposal to increase user fees such as charges for sanitary and storm sewers barely succeeded with a 4-3 vote. Rotering, Kaufman, Kirsch and Blumberg supported the measure while Frank, Naftzger and Mandel were opposed. 

During the budget workshops, Mandel argued against increasing user fees for sewers because he considered it a regressive tax affecting those hardest hit during the current economic downturn. He supported the budget despite the hikes. 

“This is a work in progress and I can support this budget in spite of the fee increases,” Mandel said. “A light no,” he added when casting his vote against the fee increase. 

The City plans to spend $74.2 million next year against projected revenue of $69.8 million according to Finance Director Elizabeth Holleb. The $4.4 million differential, intended for capital improvements, will come from the city’s reserves. 

Of the money going to capital improvements, $1.275 million will upgrade facilities at the , $346,000 is for debt service and $460,000 is for pension and other employee obligations. 

The remainder of the funds taken from the city’s reserves will be used for timely payment of obligations, according to Holleb. The income will be replaced, she added, and is not deficit spending. 

A year ago the library’s needs were the main reason the city increased the tax levy. This year reserves were used instead. Council members were happy with the effort at the library. 

“There was no increase in the property tax levy,” Frank said. “We were able to use some of our reserves to upgrade our library."

While the City has had a reserve fund balance well in excess of its 25 percent requirement, the ordinance for the 2012 budget increased the standard to 35 percent. The projected balance at the end of 2012 is 43.51 percent or $13,091,736 according to Holleb. 

Read more: Check out Ed Brill's column on the 2012 budget .