Frankenmuth

WE WORRY ABOUT HOW WE WE WORRY ABOUT HOW WE SPEND YOUR MONEY SPEND YOUR MONEY WE WORRY ABOUT HOW WE SPEND YOUR MONEY Twice a year the City sends a tax bill to residents. While we are the tax collector, we keep only a small portion of the dollars we collect. We distribute the taxes we collect to the agencies who levy them – whether it's the school, the County, or special voted millages. - In the summer, the City collects certain operating millages, detailed below. In the summer, the City collects a total of 25.22390 mills and keeps 9.25, or 36%. - In the winter, the City collects extra voted millages from Saginaw County, the Frankenmuth School District and the District Library, totaling 9.2658 mills and keeps 0%. For a standard home that is occupied year-round by the owner, the total mills collected are 34.4889. That means for the year, the City retains about 27 cents (.268) of each dollar paid in taxes. Although we only keep a relatively small portion of your tax dollars, we worry about how we spend them. Revenue from property taxes make up the majority of the City's revenue. Other revenue includes State Shared Revenue, which all communities receive based on a set formula, other charges for services and other agreements, and even donations. In fiscal year 2022-2023, our total revenues are estimated to be about $4.6 million dollars. Of that amount, about $2.6 million or 56% come from property taxes. Every year in the spring, the City works to determine how best to budget for the next year. The preamble to the City Charter details the purpose of the City: "We, the people of the City of Frankenmuth, mindful of the ideals and labors of our fathers in founding and developing this community, grateful to God for the blessings of freedom, peace, health, safety and justice and desirous of further securing these blessings….establish this charter for the City of Frankenmuth." When we build the City budget, we budget first for "peace, health, and safety," which means we fund public safety first. This not uncommon; police typically comprise the largest portion of many city budgets. In Frankenmuth, Public Safety (police and fire) consumes about 39% of our general fund revenue. The remaining categories for spending are broken down as follows: PUBLIC WORKS – This department manages maintenance and repairs to streets, sidewalks, and drains. They pick up leaves in the fall and manage brush pick-up in the spring and fall. They provide support staff to every department in the City including water and water resource recovery. This includes the costs for streetlighting. PARKS AND RECREATION – Maintenance and improvements to all City-owned parks (large and small) are taken care of by this department. They also manage the boat launch, the kayak launches, and the City's two largest parks – Memorial Park (including the Rose Garden) and Heritage Park. In addition to managing these and other facilities like the Scout Building, Parks and Recre- ation offers programming to a variety of ages. This year they are looking to grow different programming opportunities and have started to offer indoor pickleball and partnering with other local organizations to deliver programming opportunities. Building & Grounds (4%) Public Safety (39%) Public Works (16%) Parks & Recreation (11%) Debt Service (8%) General Goverment (22%) DEBT SERVICE sounds like just what it is – payments on loans the City has incurred in order to pay for infrastructure projects including the levee improvement project, water main improvements, and others. GENERAL GOVERNMENT includes all the necessary services to run govern- ment. This cost covers administration, elections, permitting, inspections, taxes and assessing as well as planning. This department generally covers all the administrative functions to run the other city departments and to keep government functioning. BUILDING AND GROUNDS are the dollars it takes to maintain City properties that are not parks and provides for things like basic maintenance, lawn cutting, and snow removal. WHERE DO YOU THINK WE SHOULD SPEND MONEY? WHERE DO YOU THINK WE SHOULD SPEND MONEY? We know that safety is important and we spend the largest portion of our budget in this category. In order to keep our streets and sidewalks in good or- der, the City also routinely contributes additional property tax revenue dollars toward improving streets – especially local streets (neighborhood and residential streets). We would love to hear more about how you would like to see your tax dollars spent. What is most important to you? Is there a program or service you would like to have the City offer? Is there something we should be doing differently, better, or not at all? Tell us by stopping into the City offices, calling us at 989-652-9901, or emailing Bridget Smith at bsmith@frankenmuthcity.com. PUBLIC SAFETY 39% 16% PUBLIC WORKS 11% PARKS & REC. 22% GENERAL GOVERNMENT DEBT SERVICE BUILDING & GROUNDS 4% 8% By Bridget Smith, City Manager 10

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