Traverse City Commissioners met Monday to approve extra expenses and revenue to this year’s budget.
The year end budget adjustments happen every year to make sure the city’s money is balanced. However, due to higher-than-expected-costs this year’s was a bit more challenging. City Manager Marty Colburn says some bids came in higher than what they originally budgeted.
“There are inflationary factors. Based on whether it’s materials cost, or time, or staffing for these different agencies that continue to try and find staff to get the job done,” Colburn says.
Mayor Richard Lewis says inflation and overall higher prices haven’t made much of a difference to this year’s year end budget adjustments. He says they are simply crossing their t’s and dotting their i’s.
“All we’re doing is housekeeping adjustment. Just like you’re balancing your checkbook,” Mayor Lewis explains. “I’ve been through numerous year end budget adjustments and they’re all the same. Something you thought you knew would happen, something wouldn’t happen and in some cases you didn’t have to spend as much.”
The Downtown Development Authority’s fund got $1,721,900. Other departments needed extra funding due to overtime and higher fuel costs.
Mayor Lewis says the extra expenses this year aren’t shocking to him. While Colburn says rising prices definitely forced them to make adjustments.
“We have rising costs, inflationary costs that again go into some of the projects, some of the materials, but also fuel and the day-to-day materials that we have to use. Unfortunately, that’s affecting local government as it is small businesses,” Colburn states.
This fiscal year budget ends Thursday.
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