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City budget is confusing

| July 5, 2007 11:00 PM

It is time again for the White-fish budgeting process and approval by the Whitefish City Council. Based upon recent articles, the Whitefish city manager is continuing to "grow" the budget.

The city council, which was recently booed for their attempts to micro-manage the Safeway project, have a chance to redeem themselves by supervising/managing the city manager. This is an opportunity for the city council and the citizens of Whitefish to not be swayed by smoke and mirrors.

We all need to become fully educated on the budgeting process and help determine alternatives and/or reductions in spending. For me, the real eye opener is the city's desire to spend $71 million on capital improvement projects when the budget is only $20 million. The impact fee and the resort tax will not cover the shortfall. The residents of Whitefish will end up paying for a new city hall and other improvements.

The following are thoughts generated during my study of the preliminary budget overview, the impact fee proposal and the June 25th Daily Inter Lake article.

Confusing information

The mill levy is only one part of the tax-rate formula. Comparing it to Kalispell or anywhere else is not meaningful without comparing home-value increases, commercial property mix and addition of homes due to annexation.

The important factors are the amount of revenue that will be generated compared to previous years and the actual taxes payable by taxpayers.

Whitefish is being compared with Lewistown, Livingston, Laurel, Havre and Miles City for the development of a budget. Why?

Operating appropriations, budget authority to use donations, general-fund budget authority to transfer payments are words used to confuse not communicate.

Whitefish wants to maintain a law enforcement officer-to-city-resident ratio of 2.1 to 2.3 per 1,000 city residents. Have the citizens of Whitefish been polled? Does the general public want more law enforcement?

How much of the required spending will come from the impact fee, resort tax, grants, hook-up fees, TIF, donations and other sources?

The whole picture is not being presented, only bits and pieces.

Alternatives

Purchase the old hospital property from the Aspen Group and relocate all Whitefish city government and city services to that location. Sell the downtown properties owned by the city to pay for the purchase. The downtown locations would then be tax-generating properties.

Hire and reward city employees on performance, not numbers of citizens. Reward cost-savings ideas and budget reductions.

Utilize volunteers, retired people and company community-assistance programs more and better. Get service organizations and businesses involved in a meaningful way to improve the city without incurring costs.

Provide incentives for local businesses to perform work on streets, bike paths, parks, water, sewer and other projects.

For financial analysis, budgeting, accounting and more, utilize local CPAs and/or other qualified individuals as a financial matters committee.

Peter Elespuru is a Whitefish resident.