NORTHFIELD — City Council has a rare opportunity to fund major improvements at City Hall and Birch Grove Park without increasing taxes.
The $14,452,912 budget introduced March 22 is up more than $1 million from 2021 but the local tax levy has actually dropped slightly, down $23,450 to $8,394,827. The municipal tax rate will remain at 96.8 cents per $100 of assessed value, or $968/$100,000.
The city budget makes up only about 30 percent of a tax bill, with the local and regional school budgets making up just more than 50 percent and the county budget another 20 percent.
City Council President Tom Polistina, head of revenue and finance, said the projects the city is undertaking with the federal funds are intentionally those with a long-term impact on the community.
Improvements planned at the municipal building include an HVAC system for City Hall ($20,000) and roof for the entire building ($225,000). Also funded is a down payment on a ladder truck ($60,000) and entry doors for the Fire Department ($50,000), as well as rehabilitation of its ready room ($16,500) and pagers for its personnel ($21,000).
Polistina said the city was able to forgo purchasing a new boiler this year after it passed inspection.
“They don’t make ’em like this anymore,” the inspector reportedly said.
Other spending for City Hall includes cybersecurity upgrades ($95,000) and digital document scanning ($100,000), as well as a vehicle for code enforcement ($40,000).
Also getting a lot of attention this year is Birch Grove Park, the city’s open-space gem that is underutilized and in need of some sprucing up. Projects planned there include a new playground ($135,590), bandstand seating ($13,500) and a memorial pavilion and picnic area ($48,000).
Councilman Greg Dewees, who oversees building and grounds, said the improvements will enhance the playground area and bring more families back to the park.
“City Council is committed to making some improvements to the park to bring our residents back out” after COVID, he said. “Birch Grove Park is one of our greatest amenities.”
Dewees said plans for the future include adding paved paths at the park to provide access to all, noting the city would seek grants to do so, as well as basketball and pickleball courts.
He said the city has a young, energetic advisory board for the park that is looking to make use of the underutilized snack bar.
“There is a lot of renewed interest in the park,” he said. “I think you will see things coming back to the park.”
He mentioned the summer concert series, the annual fishing tournament and possibly a food truck rally.
“I’m very excited for the future. I think the park is going to come back and be as good as ever.”
City Council is in the position to spend some money on capital projects this year after having received $840,000 in American Recovery Plan Act/Coronavirus Local Fiscal Recovery funding. CFO Dawn Stollenwerk said the money could not be used to reduce the tax rate, instead targeted to community improvements.
“We went forward with one-time projects that won’t be costly to the city,” Polistina said.
The city continues to see its property values fall, this year dropping about $2 million even with $3 million in added assessments in 2021.
“The overall ratable decrease was the net effect of tax appeals plus added assessments,” Stollenwerk said.
Last year, the city’s total assessed value, now $867,036,960, dropped more than $2.6 million even with $3.2 million added, mostly from the Cresson Hill apartment complex.
But that loss is much less than in years past and appears to be stabilizing. The city lost an average of $12.3 million per year between 2010 and 2020, realizing a total loss of $123 million in that time.
The city’s surplus account increased to $3.407 million, the most the city has had since 2014 and second most since at least 1999. The city will budget $2.239 million, or 65.72 percent, leaving a balance of $1.168 million, nearly $1 million more than 2021.
The capital budget is up $409,000 to $641,500. That includes recreation and facility improvements, part of which are funded by the federal funds.
Salaries and wages are up $148,055, which includes the addition of a full-time paid firefighter and the promotion of a police officer.
A public hearing is scheduled for 7 p.m. April 26 at City Hall, 1600 Shore Road.
By CRAIG D. SCHENCK/Sentinel staff