Tuesday, August 29, 2006

Eastpointe, MI - New City Hall

Let's review some information mentioned thus far at various council meetings - Ref. June 20, 2006 to August 15, 2006.

Stated - Refurbish existing City Hall approx. $3,500,000.
Stated - New city hall approx. $3,700.000. Then went to $3.8m, now at $4.0m. Seems every council meeting the guesstimate amount keeps going up and we haven't even heard a factual amount for a new building.

Clearly one or both of the amounts presented are incorrect.
If $3.7m is a new building it must not be much of a building in comparison to the refurbishment figure or the refurbishment figure is extremely padded at $3.5m.

Proposed Municipal Bond
Stated - $4,000,000.
Stated - 25 year
Stated - $270,000. per year (not exceeding). This must have been figured at the 5% rate then. Interest rates not less than 3.8% or no greater than 5%.
Questions were asked by a resident 2 council meetings ago on several items regarding municipal bonds - fixed or adjustable rate, bond holders, etc. So far no response as of this date.

Something just doesn't add up here..... or does it?
$270,000 per yr x 25yrs = $6,750,000.
This sure is lot more than $3.8-$4.0 m, closer to twice the amount mentioned above. Not one person from the city has stated all the figures, only mentioning the lower expenditure, $3.7m to now $4.0m. Tell the public all the related facts, cost, etc.

The figure of $4.0m is still incorrect, no mention of % for cost overruns/changes, etc. Relocating of operating materials, equipment, staff items from and to another building. All new furnishings, equipment, etc. to go along with the new building.

Finance Director/Treasure stated, this would not cost the residence anything as payments would come out of the general fund. How can this be?
Where do you think a good portion of the money in the General Fund came from?
How is it even possible that EP can afford anything out of the General Fund at this time? There are far greater needs at the present and at the same time, appropriate allowances must be in place for future needs, the unknowns?

We could not support Police and Fire out of the General Fund, so a safety millage was pushed through and even today, not all the Public Safety positions have been filled.
Our piggy bank (the general fund) has become fully "cracked open".
A few items that have been purchase are understandable (with a few questionable items) to keep out city departments running for public services.
So, at the end of the public safety 5 years, there will be in fact, less funds available in the general fund as compared to today. Another public safety millage (or stated as something else) will again need to be pushed through in 5 years from today.

So, what is the amount and items which has been spent thus far out of the general fund since passing of the public safety millage?
There was a planned budget which was viewed by council and the public, with no entry of a new City Hall. When the P&R Manager asked for new playground equipment at approx $50k) with 1/2 the amount coming from a grant, it was rejected at the time. The Mayor and Councilwoman Klinefelt stated along these lines, we need to keep a handle on the spending and hold back until we can better see and discuss the big picture, the public will not be pleased with us if we don't watch it (the money).
The big picture was and should have been very clear at this time to the council and Mayor, page after page of necessary items along with the proverbial wish list from all departments in the 05/06 budget report.
P.S. The budget was later amended as per council meeting minutes June 20, 06..

Here are just a few items that monies have been spent on:
Pool was opened - (closed last year due to general budget cut back).
City supported Gratiot Cruise covering cost of Police, Fire, DPW, Etc. (went ahead with funding, cost in the neighborhood of $40,000 even though this is not a city supported function).
All Community Center programs back in full swing.
Senior center back in full swing.
Purchase of vacuum truck for DPW.
Purchase of truck mounted rotary brush for clean up.
Purchase of 4 wheel drive pickup for Parks & Rec.
Purchase of commercial mower for P&R.
Additional spending of these and other items can be found in the payment of the bills and/or council minutes.
Items that need to be repaired or replaced prior to the safety millage, that were cancelled, were not even listed on the budget report or allowed for?
Where are the 2 missing main public park drinking fountains?
Clean and painting of all the city fencing?
Rusted out doors on the building at Memorial field (heard the inside is not in good shape).
What has been done with the bleachers at Memorial Field?
Several street crubs in need of immediate repair.
Parking lot repair, Library, Court, Parks? Ms. Pixley brought up the library parking lot needing repair months ago as well as Ken Brown mentioned at 8/15/06 council meeting. Large holes still not repaired as of this date.

Seems very clear that a serious condition has existed for some time and continues to exist today with maintenance (lack of), quality of maintenance and preventitive maintenance.

Link to Council Meeting Minutes
http://www.lorishemka.com/
City_Council_Packets/2006/20%20June%202006b.pdf