NEW MADRID, Mo. - After what New Madrid City Administrator Richard McGill described as “hours and hours and hours of discussion,” the New Madrid Board of Aldermen approved the 2021 budget just as 2020 came to an end.
For the coming year, the city of New Madrid budget forecasts general revenues of $2,112,300 and expenditures of $2,107,150. It expects to end 2021 in the black with $5,150.
Drainage and streets are the two big-dollar projects for the year.
‘We are trying spend money on the most necessary infrastructure upgrades,” McGill said.
The new budget has $770,000 set aside for the continued work on sewer line replacements. Another $638,500 is budgeted for drainage.
“Drainage has alway been an issue in town and I know that there are a lot of neighborhoods that get very worried when they see a storm coming,” said McGill.
In 2021, according to the city administrator, the city hopes to alleviate drainage issues in four, or possibly five, areas in the community. The city intends to apply for 50-50 grants to help fund the work.
As in the 2020 budget, this year’s budget includes $350,000 for street paving. McGill said not only those streets which were dug up for repairs to sewer lines will be paved but the Board of Aldermen will also look at streets throughout the community for repairs.
While it is a project the city has wanted to tackle for several years, McGill also pointed out this year’s budget includes $100,000 for repair of the water tower located on Davis Street.
City employees will see a “cost-of-living increase” to their checks in 2021. McGill noted the city will continue to pay 100 percent of the employees’ health insurance and 65 percent of the cost of insurance for spouses and/or dependents.
While COVID-19 took out many of the youth sports programs offered through the city in 2020, the 2021 budget is predicting a return to the fields and the courts.
“We budgeted the same even not knowing what restrictions are ahead,” McGill said. “It is important to myself and the board to provide the opportunities for the kids for the coming year.”
McGill said the city strives not to dip into its reserves, particularly the funds the city received from the sale of the electric plant to Associated Electric Co. Inc. However, it will use money received from the interest earned by those funds.
The city has budgeted a $350,000 transfer to the general revenue fund in 2021. According to McGill these funds will be used to supplement the street, police and fire department operations.
The Municipal Light and Power budget also was approved Dec. 30 by the Board of Aldermen. It estimates revenues of $4,660,700 and expenditures of $4,654,750 for an ending balance of $5,950.
The city manager said there is small increase in electrical rates slated for 2021.
“It is exactly the same as we have done in the past. Most people won’t even see it, it is so minimal,” he said.
As far as major ML&P expenditures, $119,500 is set aside for new equipment. Planned purchases include a new bucket truck, McGill said.