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Norway passes city budget for 2020-2021

By Betsy Bloom 3 min read

NORWAY -- The Norway City Council on Monday approved a fiscal year 2020-2021 budget that will keep the city's tax and utility rates the same.

Property owners will continue to pay 16.3942 mills, or $16.39 per $1,000 of taxable value, for the city's share of their local tax bills.

The 2020-21 budget projects $12,553,921 in total revenues from all 12 city funding areas and $12,335,765 in expenditures, for a surplus of $218,156.

General fund spending is estimated at $3,013,759, which is roughly $53,000 more than the current $2.96 million. General fund revenues for 2020-21 are anticipated to be about $2.92 million, which is down $48,144 -- or 1.6% -- from $2.97 million in the current budget and will be $90,590 less than expenditures.

The city will need to make a $91,000 fund equity transfer to cover the difference, City Manager Ray Anderson said. Other budget adjustments may be needed as well if the state Legislature cuts the amount of shared revenue to municipalities due to the economic effects of the COVID-19 pandemic.

In other action, the council, by unanimous vote unless otherwise indicated:

-- Will allow the Dickinson Trail Network to construct and operate trails on city property near Piers Gorge. The group wants to cut across the city's 4.5 acres to reach the Menominee River, then cross Verso Corp. land along the river. Mayor Candy Brew said she considers the trail an asset, bringing visitors to the city.

-- Voted to continue in the Low-Income Energy Assistance Program, which places a state-set monthly surcharge of up to $1 on city utility bills that goes to a state fund providing financial help for electric, natural gas, propane, heating oil and other home heating fuels. This charge was 92 cents in 2019-20 and generated $2,000 a month from Norway customers.

Municipalities that opt out of collecting the surcharge lose their ability to shut off utilities for residential customers who fail to pay from Nov. 1 to April 15, plus do not qualify for State Emergency Relief, or SER, funds and some Michigan Energy Assistance Program assistance.

Going this route encourages the utility to work with customers to set up a payment plan to resolve overdue bills, Anderson said, adding the municipality already does try to make arrangements with residents to avoid shutting down service.

The vote was 4-1, with council member Jeff Muraro at first abstaining and then voting no. "To me," he explained, "it's like an unlawful tax."

-- Beefed up its ordinances and penalties on improper dumping at the city's rubbish, recycling and compost collection facilities after several instances of large amounts of construction waste and other debris being left at the sites. Fines for violations could be up to $500, plus costs of prosecution and removal of the materials.

-- Authorized $44,886.50 to complete electronic distribution system upgrades on Forest Drive/ Viking Lane, but put on hold work on Kimberly Road until more information on a possible grant can be obtained. The city's electric department expects to finish work on District 5 Road, phase 1 of the project, within the week. Forest Drive will be rebuilt underground through the backyards on Forest and Viking, along with Norway-Vulcan Area Schools.

-- Said yes to Suzanne Tinti placing four signs at sites along U.S. 2, Scenic Drive and Valley View and Summit roads to direct motorists to her home June 27 during the Cities Wide Art for All event. While the Art for All show normally is in Iron Mountain's City Park, due to the COVID-19 situation participating artists now will set up in yards and garages throughout the area.

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