Canton Trustees Transfer Funds to Fix Deficits

Canton Township trustees approved spending $836,774 from the general operating funds to cover budget deficit. 

Earlier this month, the financial auditing firm Plante Moran reported that, despite deficits in three of the township's operating funds (accounts for public improvement, community improvement and the Pheasant Run golf course), the township's financial standing looked good.

Of the three funds in the red, two negative balances — $583,446 for public improvement and $302,917 for community improvement — were explained by Township Supervisor Phil LaJoy. He said the public improvement deficit was caused by the failure of a land contract sale; the community improvement deficit resulted when federal funding passed through Wayne County was delayed. The community fund monies were deposited in April, eliminating that deficit. Township officials plan to pay the public improvement money back to the general fund once the property is sold.

But the golf course's negative fund balance of $253,328 resulted from operating losses.

LaJoy said money generated from property taxes around the golf course has covered operating losses in the past, but the 2010 budget did not cover those losses.

Typically such deficits are covered through the public improvement fund, but because of that fund had its own shortfall, township officials were forced to withdraw the general fund money, according to LaJoy.

Public Safety

The trustees also approved $10,400.26 to pay dues for the Western Wayne County Mutual Aid Association. The association is comprised of 24 fire departments in Western-Wayne, Oakland and Washtenaw counties. It allows the participating members to provide aid to one another when additional services are required or requested.

“You can look at this as one big insurance policy,” said Patrick Nemecek, Canton's public safety director, citing the fire that destroyed the in Wayne as a prime example of the services the association provides for its members. “For a community like Canton, it’s a very good investment.”

The township trustees also approved spending $13,412 for Vanguard Fire & Security Company of Grand Rapids to conduct state-mandated safety inspections and tests on all township buildings.

LaJoy said $9,412 will be used to pay the cost of the testing and inspections, and the remaining $4,000 will serve as a fund for any corrective actions that Vanguard Fire and Security Co. deems necessary.

The township board approved the renewal of a one-year lease with Towne & Country Sports Center for four Harley Davidson motorcycles for the Canton Police Department. The lease totals $8,000 ($2000 per motorcycle). The motorcycles retail at $15,000 each.

“Public safety leaders looking to boost the department’s image realized that officers on motorcycles were considered more approachable than those in patrol cars,” said LaJoy, of the township’s motorcycle unit, which was founded in 1987. “Today motorcycle officers are still routinely approached by citizens admiring the motorcycles, prompting an opportunity for them to interact with our officers and improve police and community relations."