KINGSFORD — There will be little change in the millage rate to support city government under a budget approved this week by Kingsford City Council.

The operating millage will dip to 17.8 mills, or $17.80 cents per $1,000 of taxable value, down 20 cents from the current 18 mills. The fire and pension levy remains at 2 mills, but the public works levy — approved in 1997 for general obligation bonds for the construction of a public works building — will rise by 0.17 mills to 0.85 mills.

All told, the city’s levies will add up to 20.65 mills, or $20.65 per $1,000 of taxable value, a savings of 3 cents from the current rate.

The council had a hearing for the budget at its first meeting in June but was unable to pass it at that time because they didn’t have the necessary number of council members present.

The city will carry a fund balance of $4.5 million into the budget year that begins July 1, about $500,000 more than what was projected. Revenues for the new year are anticipated at $5,301,525, up from $5,197,300.

General expenditures are budgeted at $5,238,575, and $400,000 will be tapped from the fund balance for the local street fund. The projected fund balance for June 30, 2027, is $4.16 million.

The city expects $3,005,000 in property tax revenues, up from $2,915,000. About $290,000 will be received in school resource officer reimbursements from Breitung Township Schools. State revenue sharing is estimated at $705,000, down slightly from a year ago.

Expected expenditures a year ago were $4,921,399. The largest general fund spending increases are in salaries and benefits, stockpiles for salt and chloride, parks and recreation, compost collection, and waste transfer and landfill costs.

The major street fund has estimated revenues of $785,000 and anticipated expenses of $1,221,105, which includes a $200,000 transfer to the local street fund. The undesignated balance is anticipated to drop to $662,912, down from $1,099,017. Revenues include $699,000 from state transportation funds, up from $610,000, state trunkline maintenance funds of $66,000 and winter maintenance snow funds of $10,000. A total of $500,000 is budgeted for maintenance paving, up from $150,000 last year.

The local street fund has anticipated revenues of $963,500 that includes $273,500 from state transportation funds, $400,000 from the general fund, $85,000 from a voter-approved millage and the $200,000 from the major street fund. Expenditures are anticipated at $1,080,400, which includes $700,000 in maintenance paving, $203,800 for routine maintenance, $10,250 for traffic services, $12,750 for sidewalks and $153,600 for winter maintenance.

The city sewer fund has $1,348,282 budgeted for revenues and $1,246,348 for expenditures, which includes $98,648 in debt service for project No. 3. The largest expenditure increase comes from capital expenditures of $230,000, up from $23,800. Last year there were revenues of $1,306,000 and expenditures of $982,506, which included $83,306 in bond payments.

The water department has $1,734,285 in anticipated revenues and $1,474,650 in operating expenditures, plus $441,700 in debt service for projects. Revenues and expenditures last year were $1,657,500 and $1,514,004 respectively.

City officials have identified a need for sewer and water rate increases. A study, meanwhile, is underway to evaluate the city’s fees across the board.

The city this year anticipates revenues of $44,000 in the retiree’s health insurance fund and expenditures of $76,500, with the fund balance dipping by about $30,000 to $198,000.

In other business, the council:

— Approved a request for the Civil Air Patrol to camp at Cowboy Lake on Aug. 28-30. They will be in the field east of the parking lot.

— Learned John Holland of Michigan Rural Water Association will be in town on June 29 to collect information for another water and sewer rate study.

— Approved a request to have the World of Wonders Medieval Circus perform July 11-12 at Lodal Park. It is a live show filled with acrobatics, aerial performances, comedy, storytelling, and fun for all ages.

— Learned two Kingsford Public Safety officers will be promoted to fill vacancies created by the retirement of a lieutenant. Sgt. Jeremy Maki will be promoted to lieutenant and Officer Ryan Pericolosi will advance to sergeant.

— Approved a payment of $3,500 to GEI Consultants for engineering on additional work on a sewer project on Cass Avenue.

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Marguerite Lanthier can be reached at 906-774-3500, ext. 85242, or mlanthier@ironmountaindailynews.com.