Message from the Mayor

Economic Vitality Incentive Program

Long gone are the days when the state routinely sent funds to cities like ours as part of the statutory revenue-sharing program. As belts continue to be tightened across the state and the nation, Michigan has established three criteria that must be met before any checks are cut. Even then, the City of Royal Oak will receive only two-thirds of the statutory revenue-sharing funds; the other third has been eliminated as Lansing tries to balance its own budget.

Royal Oak has three specific requirements:

• Establishing the Citizen’s Guide to Finances and Performance Dashboard. Beginning in October, each city must provide detailed data that helps measure quality of life. The report reflects the city’s stability, economic strength and public safety. While Royal Oak has always compiled this data, it was geared more towards finance wizards than the average citizen. This new system is compiled in layman’s terms and is very easy to understand – even if you aren’t a CPA.

  Some interesting facts from the Dashboard:

  ** Our population remains steady at 57,236 residents.

  ** 83.1 percent of Royal Oakers were registered to vote in 2010 -- 165 more than in 2009.

  ** Crimes, fires and traffic accidents were all down in 2010 compared to the year before.

  
  

• Planning for Cooperation/Collaboration. Royal Oak has been a leader in this area and we continue to work with surrounding communities to find ways to increase efficiency and lower costs. Every idea is being explored, and many steps have already been taken that have saved taxpayers thousands of dollars.

  Complete Report on Collaboration, Cooperation and Consolidation Efforts (updated: 12-22-2011)

• Reducing Employee Health Care/Retirement Costs. All non-uniformed city employees are now paying more than ever before in out-of-pocket healthcare costs. These concessions are essential to the city’s success and I can’t over-emphasize their importance going forward. I want to express my heartfelt thanks to each and every employee for their sacrifice. We asked them for concessions again, and again they gave concessions. It demonstrates their dedication to the City of Royal Oak, to the residents and to their own jobs.

  As City Manager Donald E. Johnson said, “I know these concessions were difficult for the employees to make, but they will result in major savings in our health care and pension costs. This means all of our non-uniformed employees have stepped up. We still need to work out agreements with the Police and Fire Bargaining Units.”

We’re all facing these uncertain financial times together. Please don’t hesitate to contact me with suggestions on how we can live leaner while still maintaining Royal Oak as a wonderful place to live and visit.