CITY NEWSLETTER

This past year and a half, the City of Glendale, like all municipalities throughout the country, as well as individual homeowners, have weathered an economic storm that many have referred to as the great recession of 2008. The challenge for Glendale continues to be finding the resources necessary to continue basic services without increasing property taxes, despite a decline in property values and a State imposed limitation on tax levies and expenditures.

In addition to these financial challenges, the Governor and the State Legislature have imposed a tax levy limitation on all villages, cities and counties in the State for 2010 and 2011. Property tax levies will not be permitted to be increased by more than 3% from 2009, or by the rate of net new construction in the community from the previous year. In Glendale, the net new construction increase is 3.476%, the highest of any community in Milwaukee County. In addition, the new State legislation does allow for the use of the tax levy limitations that were not used in previous years.

The City also participates in the State's voluntary Expenditure Restraint Program. This more restrictive expenditure program enables the City, if it chooses to participate, to receive an annual incentive payment from the State as a reward for holding expenditures to a pre-determined level. For example, by the City participating in the Expenditure Restraint Program in 2009, the City will receive in 2010, $289,709 from the State. Obviously, despite these limitations and challenges, the City will continue to participate in the Expenditure Restraint Program and develop a budget that is in compliance with the State levy limit law.

During the course of 2009, the City initiated a new program aimed at promoting and marketing the City. This program is currently funded entirely from revenue generated in part by the hotel room tax. However, with hotel room tax collections decreasing, as well as individual room rates decreasing, the total amount of funds available for the promotion and marketing program will decrease from earlier projections.

One area that the City takes great pride in is its annual Capital Improvement Program. In 2010, contemplated major projects include working with Milwaukee County on the reconstruction of North Milwaukee River Parkway from West Silver Spring Drive north to West Bender Road. This project may include concrete curb and gutter from North Sunny Point Road north to West Bender Road, as well as, sidewalks on the east side of North Milwaukee River Parkway from West Bender Road south to North Sunny Point Road. Additional design considerations will be given to the pedestrian crossing between Parkway School and City Hall.

The planned Capital Improvement Program will also include continued funding for the Public Works building and the necessary replacement of the floors in the office area and part of the shop area. Street reconstruction is also planned for West Marne Avenue from North Port Washington Road east to North Lydell Avenue. The resurfacing of West Bender Road, west of North Green Bay Avenue, including North Garden Grove Lane and North Willow Glen Lane, is being planned. The addition of sidewalks on the north side of West Green Tree Road from North Green Bay Avenue east to the Milwaukee River has also been included in the proposed capital budget. Finally, funding is being proposed for the City's attempt to save the emerald ash trees from the infection that these trees are experiencing throughout the State.

The 2010 budget for operations and maintenance totals $12,641,205, an increase of $209,406 or 1.68%. The total City budget, without TIF but including Debt Service and Special Revenue Funds, is $18,774,892, a decrease of $67,458, or 0.03%.

The total tax levy is $11,817,393. The City tax rate for 2010 is $6.73 per $1,000 of assessed value, an increase of $0.02.