MONROE - Monroe is going to see $51,443 less in shared revenues from the state in 2010 as a result of the budget approved by the Legislature last week and signed by Gov. Jim Doyle on Monday.
State Rep. Brett Davis, R-Oregon, made the announcement to The Monroe Times Monday.
The 3.8 percent reduction brings the projected shared revenue down to a little more than $1.3 million to offset the city's expenses.
That's going to hurt at a time when uncontrolled expenses - everything from employee health insurance to road salt - are on the rise.
Furthermore, local revenue reductions are expected from the loss of parking meter revenues and parking fines, about $60,000 annually, unless a new parking system is put into effect. That revenue had helped support the Police Department and the Street Department.
A bit of good news coming with the state budget is an allowable 3 percent levy limit for Monroe, according to Davis. He was not certain about an allowance for economic growth.
But Monroe always has had to use the state-set limit, previously 2 percent, because its slow growth rate didn't qualify it for more, said Monroe Comptroller Cathy Maurer.
Whether the construction of the Walmart Supercenter this year is enough to push the growth rate to a higher tax levy limit is not known yet.
Last year, Monroe cut $490,000 from the budget, and declared $188,600 of its $210,000 in debt service to stay under $5.8 million, for a 2 percent levy increase.
But debt service allowances used one year must be deducted from the net need the following year, making it harder to keep up with rising prices. The 2010 tax levy will have to be reduced by the $188,000 debt service allowance used in 2009.
Maurer would like to get the debt service reduced in future years, because "it comes back to bite you," she said.
A debt service allowance of $156,000 taken in 2007 left the 2008 budget at $5.69 million.
State Rep. Brett Davis, R-Oregon, made the announcement to The Monroe Times Monday.
The 3.8 percent reduction brings the projected shared revenue down to a little more than $1.3 million to offset the city's expenses.
That's going to hurt at a time when uncontrolled expenses - everything from employee health insurance to road salt - are on the rise.
Furthermore, local revenue reductions are expected from the loss of parking meter revenues and parking fines, about $60,000 annually, unless a new parking system is put into effect. That revenue had helped support the Police Department and the Street Department.
A bit of good news coming with the state budget is an allowable 3 percent levy limit for Monroe, according to Davis. He was not certain about an allowance for economic growth.
But Monroe always has had to use the state-set limit, previously 2 percent, because its slow growth rate didn't qualify it for more, said Monroe Comptroller Cathy Maurer.
Whether the construction of the Walmart Supercenter this year is enough to push the growth rate to a higher tax levy limit is not known yet.
Last year, Monroe cut $490,000 from the budget, and declared $188,600 of its $210,000 in debt service to stay under $5.8 million, for a 2 percent levy increase.
But debt service allowances used one year must be deducted from the net need the following year, making it harder to keep up with rising prices. The 2010 tax levy will have to be reduced by the $188,000 debt service allowance used in 2009.
Maurer would like to get the debt service reduced in future years, because "it comes back to bite you," she said.
A debt service allowance of $156,000 taken in 2007 left the 2008 budget at $5.69 million.