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From YouTube: 4/11/23 - Dearborn Heights Budget Study Session
Description
The Dearborn Heights Study Session for the Corporate Fund Budget for Fiscal Year 2023-2024 taking place Tuesday, April 11th 2023 in the Dearborn Heights Council Chambers and via Zoom.
A
Good
evening,
everyone
today
is
April
the
11th
Tuesday
2023,
it's
5
p.m,
and
today
we're
having
a
study
session
presented
by
Tom
from
Tifa
and
the
presentations
in
regards
to
the
budget
and
the
audit
go.
B
Ahead:
okay,
thank
you.
Council,
chair,
I,
just
want
to
start
off
by
telling
you
this
is
you
know
every
year
when
we
do
our
budget,
we
always
have
a
study
session
to
be
able
to
answer
any
questions
you
guys
might
have
about
the
audit
report
and
also
the
budget.
This
year's
unique.
We
received
the
audit
report
later
than
usual,
we're
doing
the
budget
earlier
than
usual,
so
we've
got
them
both
on
the
same
agenda
for
the
same
day,
so
I'm
here
to
answer
questions
on
either
one
of
them.
B
First,
as
you
received
our
budget
report,
our
audit
report
I'm
sorry
the
bound
booklet.
It
has
you
know
the
standards,
the
standard
report,
as
as
usual
I,
wanted
to
point
out
it
was
it
was.
You
know
a
question.
Last
year,
I
know
a
council
chair
that
you
had
about
our
fund
balance.
You
know
we
had
a
lot
of
money.
It
looked
like.
We
had
a
lot
of
money
in
the.
A
B
You
so
I've
been
so
I've
been
researching
and
researching,
and
finally,
I
was
discussing
with
the
Auditors.
It's
it's
misleading.
Actually,
the
number
it
says
we
have
a
fun
balance
of
approximately
five
million
dollars,
but
half
of
that
is
actually
the
money.
That's
collected
that
we
get
July
1st
for
next
year's
budget,
so
that's
actually
not
money
in
the
savings.
We
only
have
half
of
that
in
the
savings
really.
B
So
we
really
have
2.5
yeah
yeah,
because
it's
it's
a
receivable
they
for
some
reason
they
lump
the
receivables
into
the
the
fund
balance
for
some
reason.
So
in
fact,
even
talking
with
the
Comptroller,
she
was
surprised
they
do
that
too,
but
that's
just
how
they
do
it.
So
it's
a
little
misleading
in
the
report,
but
but
that
that's
what
we
have
roughly
half
of
that.
Actually,
cash
and
cash
equivalents.
A
And
usually,
as
I
do
every
year,
you
know
for
those
in
the
audience
and
on
Zoom
they
are
not
familiar
with.
If
obviously,
is
a
tax
capture
type
of
entity,
can
you
just
give
at
least
a
sentence
or
two
just
briefly
describing
it,
because
a
lot
of
people
are
not
familiar
with
what
Peppa
is,
if
they're
not
familiar
with
the
city
government,
sure.
B
Sure
Tifa
stands
for
the
tax
increment
Finance
Authority.
It
was
established
in
Dearborn
Heights
in
1986..
It
allows
it's
basically
an
economic
development
tool
that
allows
the
the
city,
through
the
actually
the
Tiff
Authority,
the
tax
increment
Finance
Authority
to
capture
funds.
B
A
lot
of
it,
you
know,
is
money
that
would
have
otherwise
have
gone
outside
the
city
to
other
taxing
entities
that
we're
able
to
keep
and
then
reinvest
back
into
the
community
Through
projects
that
are
approved
through
our
artifa
plan
that
was
established
when
it
was
set
up
in
1986,
so
notable
projects
have
been
obviously
the
Justice
Center
we're
paying
the
bond
on
that
every
year.
Also,
we
have
the
the
beach
daily
project
was
their
first
project
they're
completely
redoing
the
South
Beach
Daily
road.
B
A
Okay
and
I
I
know
you've
also
talked
at
one
point
about
doing
some
work
on
Van
Born,
the
Van
Born
Corridor
I've,
seen
it
as
a
part
of
your
asks
or
RX
I
should
say
yeah.
A
Understanding
as
to
what
Tessa
is
because
I
can
tell
you
quite
as
like
for
myself
prior
to
nine
years
back
prior
to
getting
on
city
council,
you
know
I
heard
the
term
every
now
and
then
but
I
had
no
idea
what
it
was.
That's
why
I
always
preferred
to
have
just
briefly
for
the
audience,
also
in
the
audience
sure,
council
members,
anybody
have
a
question
in
regards
to
the
audit
first
and
then
he's
going
to
go
into
the
budget
part.
A
Sure
and
for
those
in
the
audience,
I'm
glad
you
brought
that
up.
Councilwoman
the
Tifa
district
is
not
the
whole
city,
just
different
sections
of
the
city,
so
it
is
not
the
whole
city,
so
I
I
get
renowned,
and
then
people
are
asking
me
about
different
projects
yeah
and
it's
not
in
every
particular
District.
C
A
A
Okay,
any
questions,
councilman,
no
I'm
good!
Thank
you.
Okay,
we'll
go
ahead
and
go
into
the
budget
at
this
point.
B
Okay,
so
you'll
receive
the
copy
of
our
budget
that
the
Tifa
board
approved
that
it's
meeting
and
there's
according
to
State
act.
We
forward
it
now
to
the
city
council
for
your
concurrence,
your
approval,
it's
kind
of
straightforward
as
you
notice
on
there.
It
has
last
year's
budget
of
approved
budget
and
then
this
year's
proposed
budget
just
run
through.
We
have
the
estimated
Tiff
Revenue
listed
there.
I
can.
A
Interrupt
you
for
just
a
second
trickle
for
the
council.
Members
he's
referencing
9h.
The
only
reason
we
do
a
study
session
ahead
of
time
is
because
so
the
presentation
is
not
done
during
the
regular
council
meeting
so
he's
referencing
nine
eight
on
our
regular
80
Council
vendor
fun.
B
Okay,
so
kind
of
jumping
right
into
it.
The
tip
revenue
is
listed
there,
the
estimated
tax
capture
there's
the
city
portion
of
Justice
Center
Bond,
there's
an
agreement
that
part
of
all
the
revenue
from
like
tickets
and
whatnot
there's
a
portion
of
that
that
gets
applied
towards
paying
off
the
bond
of
the
the
Justice
Center.
It's
the
tifa's
bond,
we're
responsible,
Bond
and
then
there's
a
contribution
from
those
tickets.
Basically,
revenues
from
the
court
that
get
reimburse
us
for
that.
B
So
that's
why
it's
showing
his
income
there
as
revenue
and
then
you'll
see
we
have
a
fund
balance
appropriation
this
year,
estimating
over
1.1
million
there's
a
reason
for
that
I'll
get
down
and
when
we
get
into
the
the
expenses.
B
So
you
look
at
the
first
section
of
expenses.
Those
are
a
fix
right
off
the
top.
You
know
we're
responsible
for
the
Justice
Center
Bond
and
Prince
the
principal
and
interest,
so
those
numbers
are
are
locked
in
those
or
we
take
those
first
right
out.
What
is
the
expect
to
be
paid.
B
Yeah,
when
we
refinanced
I,
don't
know
if
that
changed
the
date
at
all,
but
yeah
roughly
on
the
2030s.
B
So,
okay,
so
that's
that
the
library
Bond,
as
you
know,
we
pay
also
a
portion
of
the
library
Bond,
it's
a
city's
bond
for
the
JFK
library,
but
we
contribute
42.6
percent
of
that
each
year
to
help
pay
that
off.
So
that's,
that's
also
one
of
our
bond
obligations.
Next,
we
get
into
our
Administration,
that's
a
combination
of
items.
As
you
see
there
and
the
notes,
you
know
City
contribution.
We
have
an
agreement
with
the
city
we
give
them.
B
We
give
the
city
six
percent
of
our
estimated
Tiff
Revenue
for
administrative
work
that
the
city
does
for
us
throughout
the
year.
Then
we
have
the
salaries
benefits
FICA.
That
number.
If
I
can
interrupt
you.
A
There
sure
I
just
want
to
clarify
that's
for
work
done
on
your
behalf
by
the
city.
It
is
not
reimbursing
the
city
for
work
they're
doing
on
behalf
of
one
of
the
city
work.
B
Right
right:
it's
because
when
they
set
up
the
tiffas,
it
was
kind
of
a
testy
subject
of.
If
tiffas
could
give
cities
money
just
for
administration,
why
not?
And
there
is
allow
an
allowance
there
at
the
time
you
know
it
was
negotiated-
that
we
can
give
the
city,
because
we
have
the
city
to
handle
like
our
financing,
for
our
finances
for
us,
whereas
we
could
have
say
just
gone
and
hired.
You
know
John
Smith's
CPA
to
be
our
CPA
and
not
run
everything
through
the
books,
but
they
said
well
for
transparency
issues.
B
It's
good
to
have
everything
you
know.
Have
the
city
manage
the
money
for
well
at
our
at
the
Tifa
boards?
You
know
Direction,
but
they
write
the
checks
and
you
know,
invest
the
money
and
whatnot.
So.
A
A
million
dollar
question
when
I
seen
that
just
visually
looking
at
it,
it
sounds
like
I'm
trying
to
say
it
in
probably
the
sweetest
nicest
way,
the
first
smaller
Administration
or
smaller
organization
or
entity.
A
B
But,
like
I
said
the
150,
that's
an
obligation
right
from
1986
with
six
percent.
That's
right!
You
know
it's
just
an
automatic
number.
Six
percent
of
the
estimated
Tiff
Revenue
that
the
top
size
dictated
by
that,
so
the
2.5
million,
that's
the
estimated.
So
six
percent
is
the
150
000..
So
that's
right
there.
Now,
when
you
get
into
the
salaries,
benefits
and
FICA
that
includes
two
employees,
one
full-time
administrator
director
and
one
part-time
office
secretary.
The
full-time
of
course
has
the
benefits
and-
and
you
know
we
have
to
fight
the
obligations
and
whatnot.
B
So
that's
rolled
into
that
plus
okay.
So
it
includes
the
salary.
Yes,
okay,
that
makes
more
yeah
and
benefits.
You
know
health
benefits
plus
plus
also
we
can
keep
a
little
cushion
in
there
in
case
we
have
to
hire
any
kind
of
part-time
help
through
the
year
or
you
know
worth.
If
expenses
go
up.
You
know
you
know,
Health
Care
can
fluctuate.
So
that's
also
there's
a
padding
in
there
for
that
too,
a
little
bit
so,
okay,
so
that's
in
there,
then
the
Professional
Services.
That's
a
combination.
B
You
know
if
we
need
funds
for
Auditors
attorneys
Consultants
things
like
that
they
used
to
be
I
used
to
kind
of
think
of
them
separately,
but
now
we
just
kind
of
think
of
them
together.
As
a
group,
then
you
know
obviously
just
things
like
office
supplies
and
mileage
reimbursement.
So
that's
that's
the
admin
section
then,
under
the
expenses
they're
pretty
straightforward,
I'll
point
out:
Van
Born,
since
it
was
brought
up.
B
We
had
in
previous
years,
put
100
000
aside
for
the
Van
Born
project
kind
of
in
anticipation,
but
we
weren't
using
it.
So
we
knocked
it
that
to
50
000,
but
we
did
increase
the
commercial
rehab
program
by
an
additional
75
I
mean
additional
25
000
up
to
75,
because
that
that's
our
grant
program
that
we
give
businesses
who
need
to
freshen
up
their
buildings
on
the
outsides
and
whatnot,
and
now
that
the
overlay
district
is
in
the
process
of
being
approved,
it
looks
pretty
close.
B
You
know,
there's
going
to
be
these
new
standards
that
everybody's
gonna
have
to
meet
when
they
do
projects
and
stuff
so
we're
anticipating.
There
may
be
some
more
people.
You
know
looking
to
do
some
work
and
needing
some
help,
so
we
figured
well
we'll
put
more
the
funds
there
right
now,
because
that
may
be
a
more
immediate.
A
Is
there
is
there
a
financial,
a
cap
or
anything
like
that?
As
far
as
somebody
applying
for
the
for
the.
B
Loan
or
the
it's
a
grant
actually
yeah
the
standard.
Grant
is
five
thousand
dollars.
It's
a
matching
Grant
up
to
five
thousand,
but
if
it's
a
larger
project
they
can
ask
the
board.
There
have
been
times
where
people
apply
to
the
board
once
it
was
a
very
large
project
they
awarded
twenty
thousand
and
a
few
times
they
awarded
ten
thousand.
B
Or
right,
it's
just
open
to
businesses
who
are
in
the
Tifa
District,
who
like
say
they
want
to
redo
the
facade
of
their
building,
put
a
new
sign
out
and
it's
going
to
cost
and
say
cost
them
sixteen
thousand
dollars
if
they,
if
they
just
want
to
take
the
the
five
thousand
dollar
Grant,
we
can
take
care
of
that
administratively.
You
know
between
the
administrator
and
the
chairman,
but
if
they
want
say
to
go
for
8
000,
you
know
we
can.
They
would
apply
to
the
board.
B
A
B
Thank
you
yeah,
so
then
also
another,
the
one
I
said
I
was
pointing
out,
especially
here.
If
you
look
down
the
second
from
the
bottom
on
the
expenses,
the
sewers
you
know,
we've
been
working
with
the
administration.
The
past
year,
they've
been
putting
together,
Capital
Improvements
list
of
of
dealing
with
improvements
that
need
to
be
done
in
the
city.
B
I
was
talking
with
the
city
engineer
and
he
said
the
the
big
number
one
top
priority
so
far,
he
told
me
would
be
sewers
at
least
at
this
point
in
time.
B
That's
what
he's
looking
at
would
be
the
sewers,
so
we
were
able
to
contribute
1.5
million
towards
that,
which
is
an
unusual
unusual
for
us,
but
the
city
really
needs
you
know
some
help,
so
we
were
able
to
take
that
basically
from
that
fund
balance
the
half
of
the
half
that
we
thought
we
had
so
we
you
know
that
that's
going
to
help
with
that,
at
least
at
this
point
in
time.
You
know
if
there's
a
higher
priority
that
comes
up.
You
know
that
can
be.
Obviously
we
could
do.
B
You
know
a
budget
amendment
if
there's
something
changed,
but
at
this
point
in
time
that
was
the
estimated
big
need
really
for
the
city
to
help
with.
So
that's
where
a
lot
of
the
other
programs
are
kind
of
the
standard,
nothing
really
changed.
It's
the
same
categories.
We
have
you
know
as
in
past
years,
just
maybe
the
numbers
change
a
bit.
But
okay,
that's
one
of
those.
If
you
have
any
questions
on
anything,
what's
contingency
stands
for
contingency?
B
It's
like
you
know
for
unexpected
things
you
know
like
when
you
do
a
construction
project.
They
say
you
should
have
like
a
15
contingency.
You
know
in
your
budget,
you
plan,
you
know
money
for
the
unexpected,
so
we
put
a
number
like
that.
Aside
at
first,
when
the
Auditors
told
us
we
should
do
it.
We
were
figuring
like
15
we're
looking
at
hundreds
of
thousands
of
dollars,
but
over
time
we
realized.
We
didn't
need
that
much.
B
A
Thank
you
any
other
council
members
now,
obviously
we're
going
to
vote
on
this
when
it
comes
up
on
the
during
the
council
meeting,
but
Tom
just
wanted
to
have
some
sort
of
early
presentations.
Remember
not
doing
a
full
15
minutes
during
the
meeting
any
other
questions
for
Tom.
Thank
you
cool.
Thank
you.
Thank
you.
As
always,
and.