July 2009
Dear Ypsilanti Neighbors and Friends:
Last year the city of Ypsilanti passed a balanced two-year budget to meet its economic challenges. This year’s budget preserves city staff levels and provides funding for road repair and energy conservation improvements (see tables below), but it doesn’t address the reduction in revenues for the upcoming years due to the sharp economic downturn.
Property tax revenues are expected to decrease by 8 percent in 2010, another 8 percent in 2011, and another 10 percent in 2012. State statutory revenue sharing (Michigan sales tax revenues distributed to local governments) is in jeopardy as state tax revenues drop. Ypsilanti’s police, fire, road maintenance, and administration expenditures will remain constant or increase as the city’s two highest sources of revenue decline. City council must make hard decisions that will affect the structure and delivery of services for years to come.
To inform city council and the public of the restructuring options, city staff will make cost-reduction and service-delivery presentations for police, fire, administration, and maintenance services. The dates for the public discussion of options are:
- Thursday, July 9 – Police services
- Tuesday, August 11 ─Fire services
- Tuesday, September 8 ─Administration
- Tuesday, October
13 ─Public services (road maintenance, etc.)
The hard decisions ahead should not overshadow the recent great strides made in the city of Ypsilanti. The SPARK East small-business incubator is training people, J. Neil’s Mongolian Grille and the Keystone Martini Bar are new downtown attractions, the Hope Clinic on Harriet Street is undergoing a $3.2 million renovation, and $850,000 in grants will restart demolition at the Water Street property this year. We must continue development so that Ypsilanti can stay on track as it transforms itself from an industrial city to a city of knowledge, culture, and entertainment.
Best regards,
Paul Schreiber
Mayor, City of Ypsilanti
734-277-5446
2009-2010 Budget Year General Fund Revenues
|
Revenue Source |
Revenue (Millions $) |
Revenue (% of Total) |
|
Property Tax |
8.9 |
59% |
|
State Statutory Revenue Sharing (variable) |
1.6 |
11% |
|
State Constitutional Revenue Sharing (fixed) |
1.4 |
9% |
|
Payments and Grants |
1.0 |
7% |
|
Fees for Services |
0.9 |
6% |
|
Appropriation from General Fund Balance |
0.8 |
5% |
|
State Fire Protection for EMU (Public Act 289) |
0.3 |
2% |
|
Total |
14.9 |
100% |
2009-2010 Budget Year General Fund Expenditures
|
Service Description |
Expenditure (Millions $) |
Expenditure (% of Total) |
|
Police Field Service and Administration |
5.2 |
35% |
|
Fire Field Service and Administration |
2.8 |
18% |
|
Retiree Health Care, Capital Improvements, AATA Bus Service Contract, Recreation Facility Utilities |
2.2 |
15% |
|
Building Inspection, Finance, City Manager, Planning and Development, Human Resources, City Council |
1.7 |
11% |
|
Streetlights, Public Building Maintenance, Parks and Parking Lot Maintenance |
1.1 |
7% |
|
Major Street Renovation (new this year) Cross Street, Mansfield, College Place |
0.8 |
5% |
|
Water Street Bond Payment (new this year) |
0.5 |
4% |
|
Legal Services |
0.4 |
3% |
|
City Clerk and Elections |
0.2 |
2% |
|
Total |
14.9 |
100% |
City of Ypsilanti 2009-2010 budget available at: http://cityofypsilanti.com/services/fiscal_services/accounting_division/Reports/Budgets/index.html
