Tim Ryan tryan@wolfrivermedia.com
Shawano taxpayers could be looking at a slightly higher tax rate in 2016 for the city’s share of the tax bill under preliminary budget figures being discussed by city officials.
City Administrator Brian Knapp said the numbers could still change, but the current projection is for an increase of roughly 13 cents per $1,000 of assessed value, rising from about $9.05 to $9.18.
That would mean the owner of a $100,000 home would pay $918 for the city’s portion of the tax bill.
The total bill also includes Shawano County, the Shawano School District, state of Wisconsin and Northeast Wisconsin Technical College.
The city’s tax levy would rise about 1.4 percent, from $4.64 million to $4.7 million, an increase of about $64,000.
The bulk of that increase, roughly $42,000, would go to covering the city’s increase in debt service.
“The only practical way to continue to do the level of street improvements that we do every year is to borrow,” Knapp said. “Levy limits restrict our ability to raise it through the levy.”
The city, which borrows for capital improvement projects two years at a time, took on about $3.1 million in debt this year: $1.5 million for its 2015 projects and $1.6 million for projects planned in 2016.
The largest share of that will go to street projects.
Major street reconstruction projects for 2016 include Stevens Avenue, from Evergreen to Park Street; Evergreen Street, from Richmond Street to Lieg Avenue; and Eagle Street, starting West of Weed Street to Lafayette Street.
Major remilling and overlay projects include Cleveland Street, from Elizabeth to Stevens Avenue; Stevens Avenue, from Lutz to Lincoln Street; and the entire length of Kleeman Circle.
One of the largest capital equipment purchases is a new fire truck, at a cost of $445,000. The city’s share is $220,000, with the rest picked up by surrounding townships that are part of the Shawano Area Fire Department.
Major park projects on tap include addressing the degrading boat landing at Huckleberry Harbor. The city hopes to get a DNR grant to cover half of the anticipated $100,000 cost of that project.
Ball diamond rehabilitation and $50,000 to jump start development of Smalley Park is also proposed.
The city is also not giving up on plans for a future dog park, despite the controversy this year over a proposed location for the park that was ultimately rejected.
The proposed budget includes $50,000 for a dog park.
The city’s general fund would increase from $6.7 million to $6.73 million, an increase of 0.4 percent.
Knapp said that increase includes a “very modest” wage increase and a 3.8 percent increase in health insurance costs. The wage increase has not yet been determined.
The city’s tax rate has risen each year since 2012, which, Knapp said, was due to the lack of growth and drop in property values that followed the national economic meltdown and subsequent recession.
“We’re still digging out on assessed valuations,” he said. “Without that growth it’s very difficult to keep the (tax) rate from increasing.”
The city will also see its state-shared revenue increase in 2016 by only $10,600, while transportation aid from the state will decrease by $13,800.
“Everything we gained in shared revenue we lost in transportation aids,” Knapp said.
The Shawano Finance Committee will take another look at the proposed budget Monday, and then again on Oct. 26.
The Shawano Common Council will review it Nov. 11.
There will be a public hearing on the budget Nov. 18, after which the council will vote on its adoption.