Tax Reductions Cause Budget Headache For BH City Manager

The matter of the budget is weighing heavily on the mind of Benton Harbor City Manager Darwin Watson. He tells WSJM News the city is facing a crunch caused by a combination of reductions in property values, unfavorable tax tribunal decisions, business tax breaks, and tax chargebacks.

“It’s the perfect storm,” Watson said. “Everything is happening at a time where they’re all coming together, and what we’ve got to do is we’ve got to make adjustments.”

Watson tells us the city is having to pay back property taxes it’s already received while revenues go down. This comes as Watson puts together the city’s budget, and he tells us cuts are coming. Watson will update city commissioners Wednesday at 5:30, and then there will be another budget meeting next Monday at 6 p.m.