Frankenmuth

8 The City of Frankenmuth, like many other communities, operates it's Fiscal Year (the year on which it's budget operates) from July 1 to June 30. In this coming fiscal year, the City of Frankenmuth is projected to collect about $11.5 million in revenues to provide services to its residents. It's interesting to note that while the City performs the tax collection, the revenue collected does not all stay with the City. For every one dollar in property taxes the City collects, it only retains 27 cents. The rest of the money is distributed to other taxing entities including Saginaw County, the State School Fund, the Intermediate School District and Delta College, our local Frankenmuth School District and the District Library. Property tax collections provide $2.4 million of these resources. The State of Michigan is estimated to return $965,000 to the City in the form of state revenue sharing, gas and weight taxes (helps pay for street maintenance and repairs), transportation funds and other miscellaneous grants and reimbursements. Licenses, permits and fees are generated to offset the cost of building inspections and recreational programming. User charges and fees are also collected to provide for refuse, recycling and yard waste services and well as utilities such as water and sewer. Services that the City of Frankenmuth provides: Police and Fire protection, street maintenance and improvements, sidewalks, Parks and Recreation, Planning and Zoning, Elections and voter registration, trees and greenspace, Economic Development, Public Works, Utilities (Water Resource Recovery Facilities and Water) Some of the revenue that we generate is identified only for use by specific funds. For example, the rates and fees residents are charged for water and sanitary sewer are used only to pay for those specific service (meaning the rate you pay for water is only used to maintain, improve and replace our water infrastructure, and not for example, to mow the grass in a park). The City's discretionary income is called the General Fund. This year, the City's general fund is $4.68 million. Our General Fund budget has increased just over 1% from our last fiscal year. Our largest expenditures are on public safety – which comprises 38% of our general fund. The next largest share of our general budget is used for general government services. This includes elections, general services provided like assessing, tax administration, the basic work of the government in terms of meetings, approvals, any work performed by our Public Works Department not covered through state allocations for street funding, and more. The City works hard to be responsible and frugal with the dollars we receive. Part of that is being prepared for disasters, emergencies and potential economic downturns. The City maintains a fund balance of at least three months of operating expenses. It is like the General Fund's saving account. If you have questions about the budget, please contact us. The City's budget is also available at the City and Township Governmental Center or at the City's website – frankenmuthcity.org Happy New (Fiscal) Year!

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