The Clawson Downtown Development Authority on June 18 accepted its May financial reports and voted to approve proposed budget amendments that the finance director said produce a net-zero impact on the overall budget.
Board members heard that the amendments lower both revenue and expenditures by an equal amount so the fund balance is unchanged. Finance staff said the change reflects expected uncollectible delinquent property and personal property taxes and reductions to personnel-related expenses, including wages and Social Security.
“Mark has also presented the DDA budget amendments for board review and approval. Once approved, these updates will be submitted to city council,” a staff member said during the discussion. The staff member added that the adjustments “result in a net 0 impact to the overall budget.”
Board members pressed for more detail on the delinquent taxes. One board member asked about an “18,000” figure described as uncollectible and whether that represented multi-year delinquencies. “I believe it is, but I will get you details on that. Absolutely,” staff replied.
A motion to approve the amendments was moved and seconded; the board voted in favor with no recorded opposition. Earlier in the meeting the board also moved to accept the May 2025 regular meeting minutes and other consent-agenda items; that motion passed by voice vote.
The finance director offered to provide additional line-item detail on the delinquent tax amounts and on reallocated expense lines, including increases in rubbish/solid-waste costs that staff described as a reallocation of line items tied to higher take-up rates. Board members requested that staff return with the requested clarifications.
The board's formal votes recorded on the meeting agenda included acceptance of the May financial reports and approval of the budget amendments; staff will submit the approved amendments to the city council as described at the meeting.