The Shawano Common Council on Wednesday approved a budget for next year that calls for a roughly 1.52 percent increase in the city’s share of the tax levy, to $4.5 million from last year’s $4.43 million.
The total tax levy — with all other taxing entities included — will increase by about 1.7 percent, to $13.4 million from $131.1 million this year.
Figuring in the state school tax credit, however, results in a net tax levy of $12.6 million compared to $12.4 million last year.
Property owners can expect to pay a tax rate of $24.63 per $1,000 of assessed valuation compared to about $24.10 per $1,000 last year. The share of that going to city taxes will be $8.76 per $1,000 of assessed value; a 16 cent increase over last year’s $8.60 per $1,000.
The council voted unanimously to adopt the budget after a public hearing that drew one resident and no public comment.
Wednesday’s budget presentation was highlighted by capital purchases and improvement projects on tap for 2014.
The city plans to spend $2.2 million on capital improvement projects next year compared to $1.4 million this year. However, most of that expense was already borrowed for this year and will not affect the 2014 tax rate.
Capital improvement plans include five major street reconstructions for the Department of Public Works:
• Hamlin Street from Fifth to Schurz streets, at a cost of $290,000.
• Bartlett Street from Division to Eagle streets, $155,000.
• Third Street from Lafayette to Washington streets, $125,000.
• Lafayette Street from Eagle to Picnic streets, $120,00o.
• Franklin Street from Third to Fourth streets, $85,000.
The DPW is also budgeting $345,000 worth of smaller street pulverizing and relay projects, which will include Park Street, from Ridlington to Robin; Stevens Avenue, Lincoln to Union; Danks Street, Bartlett to Franklin; and Stevens Avenue, Bartlett to Lafayette.
Some of the big-ticket capital equipment purchases budgeted for the DPW include $135,000 for a loader; $43,000 for a dump truck; $37,000 for a robotic total station, an electronic/optical instrument used in surveying; and $16,000 for two traffic signal controllers.
The Park and Recreation Department’s capital outlay budget includes $166,000 for new restrooms and restroom updates at Memorial Park; a renovation of Spirit of Shawano Park, with $25,000 coming from tax increment finance district revenue; $29,000 for a cemetery sweeper; $25,000 for a gazebo at Sturgeon Park, which will be reimbursed by the Rotary Club; $27,550 for a plow truck; $20,000 for playground equipment; and $10,00 for weight room equipment.
The Shawano Area Fire Department has budgeted $200,000 for a new tank and pump on one of its trucks, but half that cost will be covered by surrounding towns.
The Police Department will get $24,000 for squad replacement; $16,200 to update and replace four mobile radios; $9,752 to replace and upgrade eight Tazers; and $6,400 for two digital in-squad cameras.
The city has also earmarked $33,000 for Civic Center updates and is setting aside $20,000 a year over the next five years for an eventual revaluation of property values.
City Administrator Brian Knapp said the 2014 operating budget is basically “status quo,” however, it does include a 3 percent, mostly across-the-board wage hike. Last year’s budget had no wage increases for departments heads or their staff.
The city’s general fund expenditures will increase by 1.9 percent, or $122,000, to roughly $6.6 million.
The Common Council, which met jointly Wednesday with the Shawano Municipal Utilities Commission, also approved SMU’s 2014 budget, which foresees a small surplus in the telecom department for the first time since the city entered the cable TV, high-speed Internet and telephone business.
The city is selling the cable and Internet services to local wireless service provider Cellcom for $1.25 million, but will continue to offer the phone service for the time being. That money will go toward paying back money spent from a line of credit taken out by SMU, but won’t address the $4 million debt the city still holds from the infrastructure costs incurred setting up the retail fiber network.
SMU forecasts a $54,013 surplus for telecom next year, compared to the $517,593 loss projected by the end of the year.
SMU’s electric department is budgeting for a $332,450 surplus in 2014, though that assumes the Public Service Commission will grant the utility’s request for a rate increase.
The utility is asking the PSC for a rate increase that would give SMU a 5.5 percent rate of return on its electric utility. If approved, customers would see an average 2.6 percent increase in their bills, according to SMU’s projections.
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