During a recent government meeting, officials discussed the current state of the budget and potential financial strategies moving forward. The conversation highlighted the unassigned fund balance, which was reported at approximately $19.9 million for fiscal year 2023, a slight increase from the previous year's $17 million. However, this figure is subject to various transfers, including those needed to address a sanitation shortfall.

Council members expressed concerns about budget amendments, particularly in light of the upcoming election year. It was decided that no new budget amendments would be allowed for the remainder of the fiscal year, except for those necessary for budget closeout. This decision aims to maintain fiscal discipline and avoid unnecessary expenditures, such as purchasing additional vehicles.

The council also clarified that the current budget proposal does not include a millage increase, although some future desires may necessitate one. Special considerations were noted for departments, which are restricted to spending no more than 75% of their budgets in the first three quarters of the year.

Additionally, discussions touched on the remaining $2 million in American Rescue Plan Act (ARPA) funds, which must be obligated by December 2024 and fully expended by 2026. A proposal was made to create a revolving loan fund to facilitate development projects within the city, allowing developers to access loans at more favorable rates than traditional banks. This initiative aims to stimulate economic growth while ensuring that the city can continue to support development efforts over time.

The council is awaiting further clarification on whether the establishment of the revolving loan fund would meet the necessary appropriation requirements by the December deadline.