TOWER— The city council here is looking for ways to hold the line on the city’s levy for 2016. Back in September, the council approved a preliminary levy increase of ten percent for next year, but indicated at the time that they’d seek to reduce that before approving a final levy in December.

At a special meeting on Monday, the council reviewed a 2016 budget that would drop next year’s levy increase to zero. But the $623,000 spending budget for next year provides for no surplus and fails to fund some needs that councilors see as critical in moving forward with the city’s harbor renaissance. The preliminary budget developed by City Clerk-Treasurer Linda Keith includes no payments to consultants Gary Lamppa and Dick Grabko, who have been charging $3,000 a month for their help in finding prospective developers at the harbor and additional grant dollars to advance the project. Now, with the city’s economic development authority planning to undertake development at the site on its own, members of the city’s harbor task force urged the council to continue funding Lamppa and Grabko, at least for the next six months as the task force fine tunes its plan for construction of condominiums at the site.

Steve Altenburg, who has served on the task force, said Lamppa was instrumental in securing $679,000 in funding from the Legislative and Citizens Commission on Minnesota Resources, or LCCMR, for trails and walkways in the harbor and riverfront area. Others on the task force noted that Grabko has extensive experience in funding for the type of housing redevelopment currently being planned by the Tower Economic Development Authority.

Councilors raised a couple funding options, including using profits from the charter school lease payments to fund the work of the consultants. The city receives $78,000 a year in lease payments on the school, but only needs approximately $55,000 of that to finance its loan payments. While the city does need to cover some maintenance costs on the building, Keith said about $19,000 of that was unspent last year. City officials had suggested the funds could be used to pay off the loan principal earlier, but Councilor Joan Broten noted that the school’s payments could provide the funding necessary to pay for consultants without raising the city’s levy next year.

Mayor Josh Carlson raised the possibility of forgoing councilor salaries next year, a move that would save just over $16,000. But his idea appeared to attract little enthusiasm from others on the council.

Councilors poured over other areas of the budget but found little wiggle room. While the budget includes $23,000 in additional spending, Keith noted most of that was for contractually-obligated pay increases for employees.

The council adjourned without any decisions. Mayor Carlson asked councilors to weigh their options ahead of a final levy decision. That vote is set for Monday, Dec. 14.