Butler City Council adopted a $9.1 million general fund budget that cuts taxes by 1 mill next year.

Council unanimously voted in favor of the balanced budget with no discussion Thursday.

The street lighting tax rate was reduced 1 mill from 3.25 to 2.25 due to the energy savings from converting the street lights to LED lighting, Councilman Michael Walter said at Tuesday’s forum meeting.

The budget allocates 30 mills for general purposes, 7.5 mills for debt service, 2 mills for recreation, 0.5 mills for the Butler Public Library and 2.25 mills for street lights, according to the tax ordinance, which council adopted.

The real estate tax rate will be 42.25 mills in 2018. A mill generates a little more than $64,000 in revenue for the city.

Real estate tax revenue is projected at $2 million in the budget. Projected revenue from Act 511 taxes such as per capita, earned income, mercantile, local service and business privilege taxes, is $2.8 million and resident taxes are projected to generate $33,500.

Other revenue includes $424,880 from licenses and permits; $393,350 from miscellaneous sources such as other permits; fees and delinquent taxes; $325,663 from parking; and $280,000 from fines.

Expenses include $2.3 million for the police department; $1.9 million for the fire department; $1.9 million for debt service; $572,592 for financial administration; $442,560 for the street department; $362,855 for pension contributions; $346,759 for the department of parks and public property; $332,240 for the office of business and community development; $182,057 for the city clerk’s office; $150,000 for street lighting; and $141,005 for the treasurer’s office.

The parking fund budget is $988,500; the capital projects fund budget is $840,010; and the Liquid Fuels Tax fund budget is $431,422.

In other financial matters, council approved a motion to seek proposals from financial institutions for a $1 million tax revenue anticipation loan and a 2017 Community Development Block Grant application for $269,615.

The application seeks $127,837 for street paving and new curbs; $43,248 for a payment on the fire department’s rescue and pumper truck; $50,000 for code enforcement; and $48,530 for administration and auditing.

Bantam Jeep

Council also approved a motion to work with the Butler County Historical Society to turn over its Bantam Jeep to the city, which will entrust it to the Butler Old Stone House Region of the Antique Automobile Club of America.

Walter said the agreement between the city and club should be documented.

Club member John Pro said the club would give the city money to pay for the Jeep’s insurance.

He promised the club would get the Jeep running and use it in parades.

Hotel construction

Arthur Cordwell, Butler Redevelopment Authority rehabilitation inspector, told council that the Marriott Springhill Suites construction should be completed sometime in January.

Contractors are paving a new sidewalk and curb on McKean Street and completing interior wiring, he said. Upcoming work includes paving Cedar Street and installing benches, he said.

In unrelated business, council granted permanent employment to police department patrol officers Kevin Novak and Corey Wendel. They recently completed their probationary period.