SAGINAW -- City leaders in Saginaw want more flexibility in their budget as the recession eats away at government money across MidMichigan. Council members are talking about lifting a tax cap that has been in place since 1979.
It is an issue that has been brought to the people several times before for a vote, but failed. The most recent effort was just a few years ago. Councilman Dr. Bill Scharffe said inflation has crippled the city’s ability to fund projects at 1979 cash value.
"We are operating on 1979 dollars when gasoline was 86 cents, and a loaf of bread cost about 65 cents, and the average price of an automobile was about $4,000. Things have changed dramatically,” he said.
“It would make it easier for the city staff to run the City of Saginaw,” said City Councilman Paul Virciglio said.
The measure will be placed on the November 3 ballot along with seven other ballot proposals designed to help improve city government, officials said.
