Commission OKs county system's 2008 budget plan.

The county Road Commission approved its 2008 budget Tuesday with only a few changes from a proposal reviewed at a public hearing earlier this month.

The commission unanimously approved a budget that forecasts $6,342,800 in spending, down 9 percent from this year’s total of $6,691,000. The budget projects revenues of $6,062,500, also down 9 percent from $6,961,500 for 2007. The commission expects to have a fund balance of $700,000 as of Jan. 1, and to spend that down to $504,700, a 28 percent drop, by Dec. 31, 2008.

Chairman Lee A. Bowen said the 2008 budget allows the Road Commission to continue to provide a quality service to county residents while keeping costs at a minimum. He said one of his concerns, however, is negative comments from residents about snowplowing on county roads. Bowen said he believes it is a residual effect from area press coverage of struggles involving neighboring county road commissions.

“We have had no problems having our roads plowed in a timely manner so far this winter. All of our routes are covered and we will continue to offer the same level of service our residents have come to expect,” he said.

The only changes made in the new budget from its proposed version are increases in the heavy maintenance line of both primary and local road expenditures, and under capital outlay. Primary road heavy maintenance increased 14 percent, from $350,000 to $400,000, while local heavy maintenance increased 25 percent, from $300,000 to $400,000. Clerk Joe Nedow said the increase is allowed because the Road Commission was originally projecting a smaller fund balance for the start of 2008.

In the capital outlay part of the budget, Nedow said adjustments were required in the cost to purchase two new tandem-axle dump trucks. The proposed budget estimated the cost at $140,000 per truck, while the approved version shows a cost of $155,000. The overall capital outlay increased 8.6 percent, to $380,000.

The Road Commission expects to receive 3 percent less in revenues from the Michigan Transportation Fund, a total of $2,533,000 for 2008. For 2007, the commission received $2,610,000. The commission is forecasting revenues of $997,500 from its half-mill property tax levy for 2008, up 5.5 percent from $945,000.

In 2007, the commission received $1,477,000 from federal transportation funds funneled through Gov. Jennifer Granholm’s 21st Century Jobs program. Every year, each county Road Commission receives money from the federal government to maintain or improve federal-aid eligible roads. Leelanau’s share of the funds averages about $300,000. In 2005, the governor established the program to help encourage job creation. Under the program a road commission could set up road improvement projects, with the state providing up-front funding, then getting repaid when the road commission received its federal aid funds.

The Road Commission took full advantage of the program and set up repaving projects on County Roads 669 and 616 for 2007. For 2008, the commission will receive $1,303,000 to improve County Road 633 and N. Bar Lake Road. After 2008, the commission will not have any federal transportation funds available for use until 2012 or 2013.

By law, the Road Commission is still required to hold a public input session on how it intends to use federal aid funds for 2008. That meeting will be held on Wednesday, Jan. 2, at 10 a.m. in the commission’s office on Eckerle Road, south of Suttons Bay.