Summary
Financial director told the commission that operating revenue has exceeded expenses so far but large bond interest and insurance payments and accounting transitions will require budget amendments and monitoring.
Teresa McLaughlin, the township’s financial director, briefed the commission on the bridge’s initial fiscal reports and warned that one-time and timing issues make headline numbers misleading.
McLaughlin told commissioners, “The bottom line is that we have revenue in excess of expenditures of $1,300,000.” She immediately added that some receipts recorded at purchase — notably $7.5 million held for engineering work — are bond proceeds not operational revenue and that tag deposits and prepaid bridge-pass balances are not recognized as revenue until used.
Why it matters: the township sold bonds in February 2025 to buy the bridge and to fund engineering costs. McLaughlin said the first bond payment, which includes a large interest component because of the timing of sale, is due April 1, 2026; she warned the commission that interest-only and semiannual interest payments raise near-term cash demands.
Key financial details and constraints: - Fiscal year: the township’s fiscal year runs April 1–March 31; McLaughlin said she prepared reports through July 31 showing cumulative activity to that date. - Bond proceeds: $7.5 million of bond proceeds were set aside for engineering costs and are currently in fund balance; those funds are not recurring operational revenue. - Engineering and construction: the township has funded engineering costs from bond proceeds and will bond separately for construction after bids are received. - Insurance: McLaughlin and commissioners described unusually high bridge insurance premiums tied to the structure’s current rated condition; the supervisor and staff said premiums are expected to fall after upgrades.
Budget and reporting next steps: McLaughlin said the adopted budget will require amendments because initial assumptions (for example, projected free-bridge closures and short-term staffing costs) did not match actual operations. She told commissioners she will provide an amortization schedule for the bond and a more detailed monthly ledger report that breaks out vendor checks and payroll coding.
Commissioners asked for more granular reports comparing current staffing and operational costs to the vendor RFPs; they also asked staff to flag any potential exposures such as unemployment reimbursement if employees are laid off during a prolonged closure for construction. No budget adjustments were approved at the meeting; McLaughlin said she would prepare amendment proposals for the commission and township board as needed.
