Politics & Government

Local Leaders Address Budget Deficits and Growing Business Community of Clawson

Accomplishments and budgetary concerns were key topics in speeches from Mayor Penny Luebs and school board President Kevin Turner at an event on Wednesday.

Local leaders touted new jobs and new businesses in Clawson at a Wednesday morning event, but warned of belt-tightening due to declining revenues, and a budget deficit for both the city and school district.

The Chamber of Commerce sponsored the annual event at , which included the State of the City and State of the Schools Address and an awards ceremony for Business Person of the Year, Volunteer of the Year and Business Community Involvement.

"There's much to be proud of in Clawson," said Mayor Penny Luebs, before an audience of residents and prominent local figures. "We've built on our accomplishments from generations past and laid a foundation for a stronger future.”

Find out what's happening in Clawsonwith free, real-time updates from Patch.

The mayor touched on a number of topics in her State of the City Address, including accomplishments the city has made in the last year with new businesses and more jobs as well as the challenges the city faces with the budget deficit.

Something to celebrate

  • Mayor Luebs said in her speech that 74 new jobs have been created in Clawson in the last year with the arrival of many new businesses including , , , Nick's Country Oven and Quality Associates. The mayor also announced that a new gourmet chili business would open up on 14 Mile this year.
  • The streets of Clawson have had vast improvements, from the reconstruction of Elmwood, Mayor Luebs said, to additional on-street parking. The mayor also noted the streetscape program, which adds banners to streetlights and flowers to the downtown area.
  • underwent with a $1.5 million bond voters passed in 2009. The library now has 40 percent more space, a larger parking lot and updated furniture and computers.
  • The city renovated its bathrooms at City Hall, purchased bulletproof vests and two police cars, fire safety equipment and more.

Budgetary concerns

  • The city of Clawson is now facing a budget deficit of about 10 percent of their budget of $7 million because of the decline in propery tax revenues, Mayor Luebs said. She said the city has budget workshops planned for April where city leaders plan to explore ways to reduce the budget by 10 percent in the coming year.
  • Mayor Luebs said the city will actively pursue delinquent water bills this year and require residents to make payment arrangements with City Hall if they are behind on their bills. The mayor has previously said that 11 percent of residents don't pay their water bills each year.

Good things to come

  • The city plans to adopt a two-year budget projection to help manage their finances more effectively.
  • The mayor touched on a few of including a program to increase recycling among residents, host a citywide open house to showcase businesses, city and school buildings and real estate properties, building new visitor bleaches at City Park, displaying resident artwork at city buildings and developing a Youth Council for Clawson.

"Our community is changing," Mayor Luebs said. "But one thing that's not changing is our ability to come together and capitalize on our strengths even during a slow economic recovery."

Find out what's happening in Clawsonwith free, real-time updates from Patch.

State of the Schools

School Board President Kevin Turner addressed the projected budget deficit for Clawson Schools in the coming year and the the district will ask voters for in the May election.

  • Turner said with a loss in federal funding, a proposal from Gov. Rick Snyder to cut school funding, combined with retirement and insurance cost increases, the district projects it will lose about $880 per pupil next year.
  • The district's projected fund balance for next year, which includes money outside of the district's budget often used for "rainy day" expenses such as building maintenance, is running at a loss of about $1.3 million.
  • The school district is trying to reduce its expenses by encouraging higher-paid teachers to retire and hiring newer teachers at a lower rate. 
  • Despite its budget shortfalls, Clawson is one of few districts that has maintained and added students each school year.
  • Clawson Schools haven't a technology upgrade in 10 years and hope to purchase updated computers, Smart Boards, clickers and more if voters pass the technology bond worth $4 million.

"I'm confident Clawson Public Schools will find ways to have the least impact on the great learning that goes on in every one of our schools," Turner said.

Business leaders and volunteers honored

In the last part of the event on Wednesday, the Chamber of Commerce presented awards to standout business leaders and community volunteers.

Business Person of the Year— , a licensed realtor, rotary club member, and city councilwoman are among her titles.

Volunteer of the Year— Friends of Blair Memorial Library, Travis Cochran and Tierney Keyes from the Farmer's Market

Business Community Involvement— ,


Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.

We’ve removed the ability to reply as we work to make improvements. Learn more here