Council Budget Work Session

MINUTES COUNCIL BUDGET WORK SESSION Wednesday, April 15, 2026 4:00 PM Village Hall – 21 East Church Street, Lake Orion, MI 48362 (248) 693-8391 ext. 102 1. Call to Order The April 15, 2026 Village Council Regular Meeting was called to order by President Pro Tem Ford at 4:00 PM. 2. Roll Call and Determination of Quorum PRESENT President Pro Tem Stan Ford Council Member Nancy Moshier Council Member Michael Lamb Council Member George Dandalides Council Member Eric Papacek ABSENT President Teresa Rutt Council Member Alex Comparoni Jr STAFF PRESENT Village Manager Darwin McClary Clerk/Treasurer Sonja Stout MOTION made by Council Member Lamb, Seconded by President Pro Tem Ford to excuse President Rutt and Council Member Comparoni Jr from the April 15, 2026 Special Meeting. VOTING YEA: Ford, Moshier, Lamb, Dandalides, Papacek VOTING NAY: None ABSENT: Rutt, Comparoni Jr MOTION: Carried 3. Call to the Public None. 4. Other Items A. Review and Discuss Proposed FY 2026-27 Budget Village Manager McClary provided an overview of the upcoming budget sessions, including meeting dates and times. He also summarized the General Fund revenues and expenditures outlined in his memorandum and the budget document provided to Council. Council Member Dandalides asked how this year’s budget process would differ from prior years. Village Manager McClary explained that he would present the proposed budget and Council could provide recommendations for reductions or adjustments. Administration would then revise the budget based on Council’s direction before it is brought back for approval. Council and Village Manager McClary discussed the Headlee Amendment, taxable value within the Village, and the Downtown Development Authority (DDA). Both the Village and the DDA have experienced increased revenues due to growth in taxable value. Council agreed to review the budget page by page and focus discussion on areas of concern rather than conducting a line-by-line review. Under Department Revenues (000), Council discussed boat dock fees. Council Member Dandalides referenced a prior request regarding boat dock maintenance, and Village Manager McClary indicated he would review the previous correspondence. Garbage collection accounts were also reviewed, including the budgeted 1,220 service stops. No growth was projected for State Shared Revenue, and Adult-Use Marijuana State Grant revenue was conservatively budgeted. Council noted that overall Village revenues have not increased significantly in recent years despite increases in property tax revenue. For Department Village Council (101), no significant changes were identified. Council Member Dandalides suggested eliminating Council wages; however, Village Manager McClary noted that compensation for Council Members is established in the Village Charter. Pro Tem Ford stated he donates his Council wages to certain funds. During review of Department Village Manager (171), Council Member Dandalides suggested healthcare benefits be reviewed in the coming year, noting that the Village offers three plans and that benefit costs were increasing faster than revenues. Village Manager McClary explained that multiple plans are evaluated annually and that Council has historically supported providing benefits up to the hard cap limits to limit employee costs. He also noted that alternative options, such as 80/20 plans and opt-out provisions, are available. Council Member Dandalides requested pay ranges for all job classifications. Council Member Lamb commented that staff responsibilities have increased and cautioned against selectively reducing benefits. Pro Tem Ford suggested benefits could be reviewed during upcoming contract negotiations. Council Member Dandalides also raised questions regarding the Village Manager’s pension and mileage benefits, to which Village Manager McClary indicated he was not interested in revising his current benefit package. Council Member Papacek emphasized the importance of maintaining competitive compensation to retain qualified staff.  Clerk/Treasurer Stout reviewed Department Clerk (215), noting no major changes other than the removal of codification costs from contracted services, as the codification project is expected to be completed by the end of the fiscal year. Council requested that the internal wage spreadsheet be provided for review of employee wages and benefits. Village Manager McClary reviewed Information Technology (228), which primarily includes ongoing software subscriptions. Clerk/Treasurer Stout reviewed Department Finance/Treasury (253) and noted no significant changes. Village Manager McClary reviewed Community Development, noting there are no Community Development Block Grant (CDBG) projects planned for fiscal year 2026–2027. Under Department General Activities (260), pension and waste collection expenditures were discussed. Department Planning and Zoning (721) was also reviewed, and Council expressed interest in exploring whether planning and zoning services could be competitively bid. Department Insurance and Bonds (851) was reviewed with no significant changes noted. Contracted services were also discussed, and Village Manager McClary stated he is monitoring legal service costs and will report back to Council if concerns arise. Under Department Transfers Out (964), it was noted that the General Fund contribution to the Department of Public Works would decrease, while the transfer to the Police Department would increase. Village Manager McClary stated he monitors transfers to both departments on a monthly basis. Department Capital Improvement Projects (401) was reviewed, including anticipated costs for repairs to the Village Hall air conditioning unit and ceiling. Village Manager McClary also reviewed the Escrow (701) and OPEB (737) departments, noting no significant changes. 5. Call to the Public None. 6. Adjournment MOTION made by Council Member Dandalides, Seconded by Council Member Moshier to adjourn the April 15, 2026, Village Council Special Meeting. VOTING YEA: Ford, Moshier, Lamb, Dandalides, Papacek VOTING NAY: None ABSENT: Rutt, Comparoni Jr MOTION: Carried The April 15, 2026, Village Council Regular Meeting adjourned at 6:06 PM. ________________________ _________________________ Teresa Rutt Sonja Stout President Clerk/Treasurer Date Approved: as presented April 27, 2026