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Bessemer Considers Budget Cuts
Bessemer - February 17, 2010

Prior to Monday night’s marathon Commission Meeting,  Bessemer Employees met with Vince Babcock, from Employee Benefits Agency, Marquette Michigan.

Babcock reviewed the current employee health care coverage and discussed possible changes for the coming year. 

Changes in the workers plan last year were expected to produce $50,000 in savings for the City. The plan produced actual savings of $58,000.

Later in the evening, the City Commissioners would here the same information from Babcock.

The Commission at the urging of Mayor Frillo held a Budget Workshop. Frillo believes that cuts in the current year’s budget were necessary. Frillo wanted $10,000 in cuts for the fiscal year ending this June.
The Commissioners went over the Mayor’s laundry list of possible cuts and other suggestions from the city staff.

Equipment budgeted for $4,000 by the DPW was eliminated from this year’s budget. The employees present in the room suggested that the additional $8,000 in savings in the insurance plan should be considered into the savings. They were told that the $8,000 had already “been absorbed” into the budget. HMMM.

The  City Commission had sent a letter to the workers Union Representative, Bob Murphy, advising him that the city was ready to begin discussing the renewal of the Union Worker’s Contract. Murphy provided the city with a quick reply outlining the Union’s expectations. The workers are seeking a wage increase of approximately 2.5%.  The cost to the city would be approximately $800 per worker, or a total increase of $9,000 .

At the February 1st meeting, the Commissioners went into closed session to discuss the Union offer. After an hour of deliberation, the Commissioners voted to table the matter. Stating they wanted to wait until Commissioner Al Gaiss returned from vacation.

Last night Gaiss was back, and the Commissioners again went into closed session. This time the deliberations took an hour and a half.  Again, the Commissioners came back into open session and again voted to table the issue. HMMMM.