Marshfield council sets aside most of $355,000 windfall for contingency, reserves $8,000 for Main Street if county matches

City of Marshfield council members on Oct. 27 voted to place the bulk of a newly announced revenue windfall into the city’s contingency account, while setting aside $8,000 conditionally for downtown revitalization if Wood County agrees to match the amount.

Steve (city staff) told the council the Department of Revenue had indicated the city may receive about $355,000 tied to a chargeback from a clinic settlement, but he cautioned formal notification is still required before the amount is certain. "We have learned from the Department of Revenue that we have — we'll get $355,000 more," he said.

Jenna Hanson, a Main Street Marshfield board member, urged the council to restore funding for the building revitalization program. "It's just a critical investment in the future of our downtown," Hanson said, noting that small grants leverage private investment: "When we think about $8,000, that becomes $16,000, which becomes $32,000." Her remarks were cited by council members considering whether to restore cuts to the Main Street and related line items.

Council member Varshall moved to allocate the full amount to contingency. Council member Kran successfully offered an amendment to reserve $8,000 for the Main Street program on the condition Wood County would match it; the presiding officer recorded that amendment passing 5–3. After discussion about the merits of placing one-time funds into contingency versus using them for recurring personnel costs, the council approved the motion to place $347,000 into contingency and to hold $8,000 for Main Street Marshfield contingent on a Wood County match. The presiding officer stated the motion passes (no roll-call tally was provided in the transcript for the final motion).

During debate, staff emphasized why contingency was recommended: the city's contingency balance was roughly $65,000 against an approximately $27 million general fund, and the additional funds could be used later by budget resolution to cover wages, benefits or one-time projects if council so directs. Council members asked whether hiring an economic/community development position or restoring an ordinance officer would be sustainable if funded from one-time revenue; staff responded those decisions would be a separate council priority and would likely require additional study.

As part of the same meeting the council also voted to send a revised budget to publication for a Nov. 25 public hearing. Staff noted a few remaining items could affect the final tax rate — including an estimated $50,000 pilot change, TID increment revenues and draws on the Clean Water Fund loan — meaning the exact city tax rate is not yet finalized.

Next steps: staff will proceed with publication of the revised budget for the Nov. 25 public hearing and will follow up with Wood County about the proposed $8,000 match. If Wood County declines to match, the $8,000 allocation would be returned to the contingency balance per the staff explanation in the meeting.