Bay City passes next year's budget - WNEM TV 5

Bay City passes next year's budget

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BAY CITY, MI (WNEM) -

The Bay City commission voted approve a near $133 million budget for the next fiscal year on Monday night. And for a change, this year's spending plan doesn't call for drastic cuts or for the city to dip into its rainy day fund.

"The budget is going to basically continue the same level of services that we've had, and there are no effects on personnel, so we'll have the same number of people, and the important thing, probably the biggest aspect of the budget, is we don't have to use any of our surplus money," said Bay City city manager Richard Finn.

For the last four years, city commissioners have passed a budget that required the city to pull from its savings to pay for services. It not only impacted the bottom line, but it also caused commissioners to pass the buck on replacing its aging vehicle fleet.

"Our fleet is our bread and butter. We can't provide services without a good fleet," said Bay City Public Works director David Harran. "We do have an aging fleet, and as the fleet ages, so do our maintenance costs."

This year's budget directs $450,000 toward fleet repairs. Finn said that's a big number compared to other cities that are Bay City's size. He said this year with expenditures matching revenue coming in, the city can start making necessary vehicle replacements.

"We're trying to move forward with newer vehicles and things of that nature. When we do that, as we go through this year and next year, that parts budget should come down from [$450,000] to somewhere more in the neighborhood of [$300,000] as we modernize our fleet, so we'll actually have some savings in that," Finn said.

City commissioners voted Monday to purchase a new garbage truck for $330,000. It will replace one that's nine years old and needs $45,000 in repairs. Finn said having an updated fleet will help drive down the cost of repairs.

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