Fiscal Committee Meeting - May 12, 2026: Grant Acceptance, Bond Approvals, and Financial Reports
Fiscal Committee Meeting - May 12, 2026
The Fiscal Committee met on May 12, 2026, at 8:30 AM to consider six resolutions, receive the comptroller's warrant report, and hear the treasurer's economic update. All resolutions were approved unanimously.
Consent Calendar
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Resolution 1 – FEMA Grant: Accepted a $135,000 grant from FEMA for Indian Mill Creek hazard mitigation projects. The funds will support an engineering study (hydrology and hydraulics) and public engagement with residents to develop flood mitigation projects. Approved unanimously.
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Resolution 2 – Knapps Corner Drain Bonds: Authorized the execution of a continuing disclosure certificate for the Knapps Corner Drain Drainage District Drain Bonds Series 2026. The $19.75 million project will reduce flooding risk; $16.2 million will be financed through bonds with partner contributions from Kent County ($2 million), Kent County Road Commission ($1.5 million), and Grand Rapids Township ($5,000), saving approximately $2.14 million in interest costs. Approved unanimously.
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Resolution 3 – Additional Drain Maintenance Payment: Approved an additional $144,589.03 to the Kent County Drain Commissioner for fiscal 2026 maintenance assessments for Knapps Corner Drain, covering pump and hauling operations due to a wetter spring. The detention pond's design failure requires ongoing pumping until a permanent solution is completed (expected fall 2027). Approved unanimously.
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Resolution 4 – Water Supply Bonds Notice: Noted the intent to issue water supply system revenue bonds not to exceed $21.05 million through the Michigan Finance Authority (Drinking Water State Revolving Fund). The bonds will fund lead line replacement (approx. $5 million) and nine water main replacement projects. Potential principal forgiveness of $5.39 million; 20-year loan at 2% interest. Closing expected late August 2026. Approved unanimously.
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Resolution 5 – SCADA Budget Substitution: Approved a $700,000 budget substitution for the SCADA (Supervisory Control and Data Acquisition) modernization project, funded equally from sewer and water replacement fund infrastructure investment projects. No impact on fund balance. SCADA monitors and controls the city's water and wastewater systems. Approved unanimously.
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Resolution 6 – Bid List: Approved the bid list for May 12, 2026, containing approximately 10 items for equipment and services, including parks and recreation and water facilities. Approved unanimously.
Reports
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Comptroller's Warrant Report: For the period April 14–27, 2026, total cash payments of $31,012,771.96 were released, including $6.5 million in payroll, 10,221 income tax refunds totaling $1.2 million, and 1,333 accounts payable tax issues. Received and filed.
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Treasurer's Report: The treasurer provided an economic update: CPI rose to 3.8% (above expected 3.7%), inflation remains sticky, driven by energy, fuel, transportation, and construction materials. The Federal Reserve maintained rates at 3.5%–3.75%. The city's investment portfolio of $668 million is earning 3.29% interest, with a strategy to extend maturities. The treasurer cautioned about budget pressures from contract renewals and urged departments to monitor permit activity and income tax withholding for signs of economic slowdown. In response to a commissioner's question, the treasurer and staff noted that the soccer stadium bonds are secured by hotel/motel tax revenue with a waterfall structure and a rainy day fund providing about 1.5 years of debt service coverage, and expressed confidence in the local economy given regional diversification. The report was received.
Key Outcomes
- All six resolutions were passed unanimously.
- The comptroller's warrant report and treasurer's report were received and filed.
- No further action was taken; the meeting adjourned at 8:51 AM.
Meeting Transcript
Good morning. The time is now 8 30, and we're gonna go ahead and call our fiscal committee committee meeting to order. Good morning, colleagues. Nice to see everyone. First uh resolution is one accepting a grant award in the amount of $135,000 from the Federal Emergency Management Agency known as FEMA for Indian Mill Creek Hazard Mitigation Projects. So moved. Support. Moved and supported, Mr. Tabor. Uh good morning, Commissioners, colleagues. Yes, uh, excited to be up here today to present uh this option for accepting uh $135,000 grant from FEMA for uh Indian Mill Creek hazard mitigation projects. Uh this is a grant I submitted for the uh engineering review study and public engagement with uh neighbors along the Indian Mill Creek for hazard mitigation projects. Uh there will be some engineering design work uh reviewing the hydrology of the area, like how it rain and stormwater interacts with the neighborhoods, and then also hydraulic study of Indian Mill Creek itself, how it flows, how um Indian Mill Creek is actually one of our flashiest uh streams in the city, so it it rises pretty quick during heavy rain events. So doing the engineering analysis and studies there, but uh this also includes a public engagement portion where we plan on interviewing residents in the surrounding neighborhoods uh to see how flooding or the potential flooding uh impacts their lives. So there's both a both an engineering component and an engagement component, and uh really the the outcomes will be hopefully developing some some projects for the area to help mitigate flooding scenarios and high water situations. So uh yeah, seeking your support for this. Thank you. Uh questions for Mr. Tabor colleagues. Hearing and seeing none, all those in favor? Aye. Any opposed item the resolution carries. Thank you. Uh resolution number two is one authorizing an agreement to execute and deliver the continuing disclosure certificate, CDC in connection with the Knapps Corner Drain, Drainage District Drain Bonds series 2026, uh, which is a general obligation limited tax. Do you have a motion? So moved. Support and supported. Mr. Woods. Good morning, commissioners and colleagues. Uh the Knapp Corner Drain District is moving forward with a 19.75 million uh flood mitigation project to reduce flooding risk uh by creating an outlet for the detention bond. Uh 16.2 million of that will be financed through bonds that the city will repay under previously approved agreements and cost appropriate appropriates. Uh other project partners are contributing funding including two million from Kent County. Uh 1.5 million from the Kent County Road Commission and 5,000 from Grand Rapids Township, reducing the amount that must be bonded. Uh this does not increase the city's financial liability. And it is inspect expected to save approximately 2.14 million in interest costs by allowing the bonds to be sold under more favorable terms. Thank you so much. This is the one that keeps on giving. Um questions, colleagues, about this and the companion item. Hearing and seeing none. All those in favor? Aye. Any opposed? Resolution carries. Thank you. Um, next is a resolution authorizing additional payment to Kent County Drain Commissioner. Uh fiscal year 2026 maintenance maintenance assessments for Naps Corner Drain in the amount of 144,589 dollars and three cents for the pump and hauling operations. Do I have a motion? So moved. Support.
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