(Beaver Dam) Taxpayers in the city of Beaver Dam would see their mill rate increase by 18-cents-per-thousand if a bold borrowing plan presented this week by the mayor is ultimately approved. On Monday, Mayor Becky Glewen outlined a five-year plan that would have the city borrow $3.7-million dollars for the next three years, instead of the $1.6-million that is currently allowed under the council’s self-imposed borrowing cap. In years four and five of the plan, the amount borrowed each year would decrease to $2.1-million dollars. The money would be directed to downtown revitalization and additional street projects above and beyond what had been identified in previous versions of the five-year plan.
Tax impact projections released through the Beaver Dam finance office indicate that it would cost the owner of a $100-thousand-dollar home $18 more in city taxes next year to fund this year’s increased borrowing. Without the additional borrowing, city residents would pay nearly $2.13-per thousand-dollars of assessed value for overall city debt. With the proposed borrowing increase, the debt service portion of the mill rate would increase to around $2.30. In year two of the plan, the owner of a $100-thousand-dollar home would pay $34 more to fund downtown revitalization and street rehab efforts. Year three would cost taxpayers an additional $51, year four would add $69 and, in year five, the new debt would add $85 onto the overall tax bill. It would require a three-fourths majority of the council to approve borrowing above the $1.6-million cap. Even if the council approved the five-year plan, the borrowing for each individual year would require a separate vote each year. A vote could come as early as the council’s February 19th meeting.
