Cardwell ponders cutting city tax levy

The Cardwell City Council decided in Thursday's special tax meeting that it expects to cut taxes by trying the state suggested tax rates. The council also began to take action on the city budget with police phone service.

The council looked over state suggested tax rates levied per $100 of evaluated property for the City of Cardwell. The state suggested the general and street funds raise this year from 0.468 to 0.4881 and from 0.1427 to 0.14686.

The difference in these two categories after the rate increases combines for $.03 for the city this year because of city depreciation.

The overall city value has dropped from lack of construction and building improvements combined with depreciation. The big change will come from the Street General Obligation Bond rate, where the state suggested a drop from 1.7322 to 0.4056, less than a quarter of last year's rate.

The GOB change will result in $39,413.15 less collected in taxes this year for the city.

The Street GOB tax rate had dramatically increased the last two years because the city borrowed against the street bond, needed more to repay it for the year. The city did not borrow against it this year, and the bond is expected to be paid off in three years.

The council expects to follow the state suggested tax levies and will vote on the resolution in the Sept. 2 meeting.

The council also began to trim city expenses with the police phone service.

The council cut the phone referral service to the Kennett Police Department to save about $200 per year.

With 911 installed, the council saw no further need for the referral service.

Emergency calls can go through 911 and non-emergencies will offer enough time to look up a direct number.

The council members plan to continue examining the budget for possible cuts at a later meeting.