Serving Gogebic, Iron and Ontonagon Counties
Serving Gogebic, Iron and Ontonagon Counties
By CHARITY SMITH
Bessemer — The Bessemer City Council continues to study the implementation of a special assessment tax to help ease pressure on the city’s budget, while ensuring continued services to the citizens.
The council tabled a decision on the special assessment tax at its meeting Monday to get more information. The council has been considering implementing the tax for a few months to help pay for police and fire services and thus free up money in the general fund.
“The money that we had put in the general fund for emergency services can now be set back and used for streets, or equipment or whatever it may be,” said mayor Adam Zak.
City manager Charly Loper said that of the communities she has heard back from, three have implemented a millage. One has implemented a fee.
“I think our biggest question on this was the apartments and how we should do it and if we should do a flat rate or different rates,” said Zak.
If the city were to implement a millage, every property would be assessed at the same rate, which at two mils would be $58. It would be included on the winter taxes for 2022. A proposed fee instead could have residents pay $50 and commercial buildings pay $100. Loper said they would have to discuss more of the nuisances about apartments and other issues. Loper said that in her opinion, a millage would be the easier option.
“It seems like it would be wiser to just do a millage,” said Zak.
“I think this is the proper way to do it,” said councilman Rob Coleman. “We have to pay for our infrastructure and we have to pay for our community supports. When it comes to finding ways to fund it, I feel this is the only way.”
Loper said that it will not be effective every year. The city will have to pass a resolution and revisit it on an annual basis.
“This could get very complex,” said councilwoman Linda Nelson.
The council voted to table the issue until a later meeting.
The council also:
—Held a public hearing for the Iron Belle trailhead project.
—Authorized bidding for a new dump truck.
—Approved the health insurance policy for city employees. The rates increased by 12.8% this year. Coleman said it was the first large increase they had seen in many years and considered that they had been “pretty lucky.”
—Tabled moving forward on a generator ordinance to get more information from the fire department.
—Reviewed annual rate increases. A water rate increase for businesses based on meter size that was approved earlier in the year will take effect on Jan. 1.