By Dennis Volkert
Sturgis City Commission last week approved an adjusted operating millage rate, following a public hearing and some discussion.
To include the city’s millage rates on 2024 summer tax bills, the commission must set the operating property tax rate by the end of June. A public hearing is required.
Due to state of Michigan’s Headlee rollback rule, the highest millage general operating rate the city may consider in 2024, without a vote of the electorate, is 11.6689. The board is not obligated to approve that level, and may choose a lower range.
The proposal to set it at 11.6689 failed. Voting against it were Richard Bir, Marvin Smith, Emmanuel Nieves and mayor Frank Perez. Vice mayor Aaron Miller, commissioners Robert Hile and Linda Harrington voted yes. Commissioner Jeff Mullins was absent.
That led to discussion. Hile asked what would be cut from the budget if the operating millage was set at a lower level, adding that the budget also involves the city’s situation with hospital transition.
Perez said, based on feedback he has received, community members believe taxes are too high. Bir said the economy is “bad” and it’s unrealistic to expect residents to shoulder additional burden.
Eventually, the board agreed to set the rate at 11.08. Bir and Miller voted no, but the proposal had enough votes to pass.
In a related, but separate decision, commissioners unanimously OK’d the streets/sidewalks improvement millage, at 2.9967, as proposed.
Rates are slightly lower than those in 2023, but the overall levy increases due to the city’s taxable value. At the maximum rate, 1 mil of the operating millage generates about $300,000 in revenue.