TROY – On April 4, Rob Maleszyk, Chief Financial Officer of the City of Troy, presented the budget for the 2022/2023 financial year and the budgetary orientations until 2025 to the city council of Troy.

The 2022-23 budget includes a total of $198.1 million between all funds, including $67.2 million in the City’s general fund, which accounts for resident and business services. It also includes special revenue funds in the amount of $26.9 million, which include maintenance of major and local roads, waste collection, disposal and recycling activities, and library operations. , as well as capital project funds totaling approximately $34.3 million.

“The budget is balanced and we are always working to do more with less since our mileage rate is lower than last year. We are in a good financial position,” Maleszyk said. “Our revenues from our general fund are up 5.8% over the previous year and our expenses are up 5% in the general fund. Water and sewer rates are up 3.9%. We have very little debt and we have a triple A rating from Standard and Poor’s, which we’ve used to refinance two debts in the past two years, giving the city a lower interest rate.

The city’s total revenue in the report was $163.8 million. Maleszyk said this shows a significant increase of $18.1 million, or 12.4%, over amounts budgeted for fiscal year 2022. Total tax revenue of $57.2 million is up 2 $.4 million, or 4.4%, due to higher assessed values ​​of residential, commercial and industrial properties.

Grants, including state-shared revenue, of $33.8 million increased $13.7 million, or 68.2%, primarily due to $8.2 million in stimulus funding state and local budgets through the American Rescue Plan Act. Service charges are budgeted at $54.0 million. Maleszyk said this represents an increase of $1.8 million, or 3.5%, over the amounts budgeted for 2022, primarily due to water and sanitary sewer costs and revenue stabilization at the following the COVID-19 pandemic. The budget also notably showed a reduction in the property tax rate, which fell to 9.8966 mills, a reduction of 0.1188 mills caused by the Headley Amendment rollbacks.

Maleszyk described the city as being in a strong financial position.

“Our roads are better than most of the surrounding communities, so we pride ourselves on spending a lot on roads, which is over $13 million,” he said. “Every time I drive Big Beaver from Sterling Heights to Troy, it’s like night and day. We really work to take care of our roads. With the federal conclusion we have achieved, we are eager to build a new park, and our water rates and mileage rates are among the lowest in the county. We are willing to spend $1.9 million on library renovations in their youth section as well.

Troy Mayor Ethan Baker agreed with Malesyzk’s assessment.

“I believe Troy is in a better financial position than other communities in the area. We are fortunate to consistently be the number one place to live, work and play, driving economic growth and keeping us ahead of neighboring communities,” noted Baker. “Our success is due to the residents and businesses that call Troy home. People want to live here. Companies want to do business here. This combination and symbiotic relationship keeps us on a stable financial footing despite a lower mileage rate and gives us opportunities for growth.

The city’s total budget for expenses was presented at $186.9 million, which represents an increase of $10.7 million, or 6.1%, over the fiscal year 2022 budget. Personal services expenses increased by $3 million, or 4.8%, primarily due to cost of living adjustments and changes in municipal employee schedules.

Other service charges increased by $2.3 million, or 3.8%, primarily due to water and sewage disposal charges and higher contract and professional services costs. Capital expenditures and debt were presented at $52.3 million, which represents an increase of $4.9 million, or 10.29%, over Budget 2022. Maleszyk said that was primarily due to increased capital expenditures budgeted as a result of federal grants received.

Maleszyk also highlighted some of the changes the city can expect as he discussed spending and upcoming plans.

“We are going to outsource our building inspection services,” he explained. “We outsourced it about 10 years ago, so now we’re bringing it back in-house. This budget primarily focuses on our spending in our capital projects fund. We got $13 million from the plan. We will spend $8.2 million of those funds on a fire truck for $1.4 million, industrial streets and the Stein Community Park Pavilion for $4.5 million. of $4 million will be used for the expansion of Rochester Road, which will provide better travel and road experiences for our residents.

He said these four projects are key efforts that the Troy government will review next year, along with building inspection services, policing and community engagement.

“We want to focus on these four major projects,” Malesyzk said. “Our staffing is increasing our building inspection department, we are increasing our police department staff, including two new police officers. We want to improve communications and city engagement, and that includes adding two new positions in this area. »

Baker said he was pleased with the progress Troy has made financially as he prepares to emerge from the COVID-19 pandemic.

“The city of Troy is in a strong financial position as a result of COVID, and yet there are still unknowns,” Baker wrote in an email. “We are fortunate to have had several years of strong, conservative budgeting, and I give great credit to previous advice and direction. Our challenges today mirror pre-COVID challenges – tax revenues that are reduced each year by (the Headlee Amendment) and the city’s aging buildings and infrastructure that require substantial reinvestment at a time when labor- work and materials exploded. Maintaining our excellent public services is always our first priority, and the challenge is to always maintain the same level of services (or better!) and to reinvest in the assets of our city. We are planning for the long term and I look forward to continuing this planning with the council and the city management. »

Baker suggested residents looking for an in-depth look at the state of Troy listen to his presentation on the state of the city at 6 p.m. on Monday, May 16. It can be viewed on the city’s website, https://troymi.gov.