Even with a backward slide of $10 million in taxable property values, Springfield Township millage rates won’t increase’at least not proportionally.
At last week’s regular meeting, the township board OK’d the general operating millage at the same rate as last year, while the fire and police millages were only nudged slightly higher.
The bond millage, which repays loans used for the new civic center, was set at .5.
A millage defines the rate of taxes levied based on a mill (1/10 of one cent), or one dollar per thousand dollars of taxable value.
‘This is the first year we’ve levied the new police millage approved in 2006,? said Supervisor Collin Walls, explaining the hike. ‘And last year the fire millage was only set at .65. The fund had a fairly high reserve, so we collected less and reduced the reserves.? The increase in the fire millage, even combined with reduced tax value still gives increased money for the township fire department, Walls said, and the fund used to pay for police service form the Oakland County Sheriff’s Office got a small upward bump, as well.
But, said Walls, the decrease in taxable value will force the township, like many others across the state, to tighten its belt yet another notch.
‘Our township-wide taxable value for 2008 is approximately $10 million less than in 2007,? he said. ‘The general fund operating millage is exactly the same as it was last year so you apply that times 10 million less in taxable value and the general fund operating will be that much less.?
In 2008, he said, the township collected approximately $698,000 in property taxes for the general fund budget. In 2009, that number was expected to drop to $685,000 and early estimates for 2010 forecast about $650,000.
‘It’s less money in the budget,? he said. ‘It won’t have a major impact in 2009, but we did prepare a budget for 2010 as a guide for new board and that’s where the cumulative effect will begin to be seen. Luckily we have reserves that can be used to cover expenses for 2010.?
A $237,000 dip into the township’s rainy day fund may be required in 2010, he said, noting it was much too early for a definitive assessment.
Overall, the township’s 2008 millage rate was set at 4.7113, minus input from the library, which is directed by a separate, autonomous board.
Springfield Township Library Director Cathy Forst said she was recommending the library board OK the millage at the maximum allowable rate. The board was expected to set the rate Tuesday.
‘We’re doing OK,? Forst said, noting the library was recently able to purchase new books and other materials, as well as hire additional staff. ‘With the new millage passed a few years ago, we’re doing things we couldn’t have dreamed about before. Of course, we’re always careful and never wasteful. We like to make sure we get the most we can for our money.?
By the numbers: The Springfield Township 2008 general operating millage was set at .9950, the same rate as last year. The fire millage, at 1 mill, is up from .65, while the police millage rate increased from 2.0645 to 2.2163, reflecting voter-approved renewal in 2006. The bond millage, to repay loans used for the new civic center, was set at .5. Library director Cathy Forst recommended the library millage set at the maximum allowable rate of .9173.
For bottom-line numbers, taxpayers must also factor county and school millage rates; three school districts, Clarkston, Brandon and Holly, each with its own millage rate, claim students from Springfield Township.
The township board will hold a public hearing for comments on the 2009 budget at its next regular meeting, scheduled for 7:30, Oct. 9, at the Springfield Township Civic Center.