Chelsea approves budget for 2022 fiscal year

Published 1:28 pm Wednesday, September 22, 2021

By EMILY SPARACINO | Staff Writer

CHELSEA – The Chelsea City Council approved the city’s operating budget for the 2021-2022 fiscal year on Tuesday, Sept. 21.

The budget represents an increase from the previous year’s budget, with an anticipated total income of nearly $17.7 million.

“We’ve come a long way in our city,” Mayor Tony Picklesimer said, noting the city’s first budget in 1996 was $32,500. “I appreciate the work of this council.”

The Fiscal Year 2022 budget includes $14,706,786 in total income in the general fund, along with $7,163,668 in total expenditures and $7,342,648 in total operating transfers out, leaving a balance of $200,470.

The following is a breakdown of expenditures:

  • General city expenditures – $2,332,852
  • Planning and zoning – $7,000
  • Library – $541,490
  • Maintenance department – $315,000
  • Park and recreation – $817,650
  • C.O.P. Program – $23,400
  • Citizen protection contracts – $1,412,000 (includes an additional deputy per shift)
  • Streets and roads – $40,000
  • Community center – $606,700
  • Senior center – $4,980
  • Museum – $4,650
  • ARPA expenditures – $1,057,946

The following is a breakdown of operating transfers out:

  • Fire department – $4,236,000 (includes three new fire trucks)
  • Highway 49 (ARPA) – $619,390
  • Debt service – $1,719,258
  • Capital projects – $768,000

Regarding the total city budget, operating transfers in are estimated to total about $7.6 million, with the use of remaining bond proceeds of $2 million and an additional bond issuance for 2021-2022 of $6 million to cover capital projects, such as the splash pad, that have exceeded initial estimates due factors such as materials and cost escalations.

Total expenditures are expected to total about $23.7 million.

The net balance, minus the educational reserve of $1,931,500, is $155,494.

In other business, the council:

  • Approved a proclamation declaring Sept. 27 as Family Day and Sept. 26-Oct. 2 as Family Week.
  • Voted to increase the fee to process assessment letter requests to $25.
  • Approved a restaurant retail liquor ABC license for Southern Wings Fourteen LLC doing business as Buffalo Wild Wings.
  • Approved annexation requests for properties on Forest Lakes Lane, Highway 336 and Country Manor Drive.
  • Voted to authorize right-of-way deeds for the conveyance of permanent easements to Shelby County.