Looming Macomb Co. deficit threatens Freedom Hill

BY STEVE NEAVLING

FREE PRESS STAFF WRITER

August 31, 2008

http://www.freep.com/apps/pbcs.dll/article?AID=/20080831/NEWS04/808310387/1006

Freedom Hill facts

• Facing a record $33-million budget deficit next year, Macomb County commissioners are considering severe cuts, including the closure of Freedom Hill County Park in Sterling Heights. Here are some facts about the park:

• Opened: 1976• Size: 100 acres• Annual cost to taxpayers to operate: $1 million• The park's offerings: Music concerts, festivals,

fireworks, car shows, dances, playground, nature trail, picnic areas and conference center.

Prime Target for Closure

• Freedom Hill County Park is quickly emerging as a prime target for closure as Macomb County commissioners try to cut their way out of a record $33-million budget deficit projected for next year.

• Since commissioners indicated last week they would not entertain a tax hike to help eliminate the deficit, they must make severe cuts that could include hundreds of layoffs, closing a tax-funded nursing home and cutting services for children, seniors and people with disabilities.

• The county's budget problems largely stem from dwindling tax revenues from declining property values and a pension plan that allows employees with 20 years' experience to retire as young as 50 years old.

Daunting Deficit• Commissioners say the deficit is so daunting that keeping the

park in Sterling Heights open is not an option. Opened in 1976, the 100-acre park costs county taxpayers $1 million a year, largely because of subsidies to the amphitheatre that attracts national musical acts.

• "The county board has already proven that it cannot properly run a park, let alone a concert venue," said Commissioner Leon Drolet, R-Macomb Township. "It may be best to move on and close the park."

• But other commissioners say the park is too popular to close, drawing tens of thousands of residents a year to concerts and other events. Republican presidential candidate Arizona Sen. John McCain plans to deliver a speech at the amphitheatre Friday.

• The park, which is open daily from dusk to dawn, generates revenue from parking fees, but that alone is not enough to cover costs.

User fees?

• One of the biggest park supporters, Commissioner Phil DiMaria, said Freedom Hill could raise money by offering a volleyball court, disc golf, baseball diamond, putting green and ice-skating rink.

• "The potential is enormous," said DiMaria, D-Eastpointe. "I don't think we should get rid of the park under any circumstance."

• The county also may consider more user fees.• Commissioners plan to meet in September to

consider budget cuts, including closing the park.

The Economics

• Expenditures are related to preferences.

Tax Base, B

Revenues, Expenditures

Exp• Revenues are related

to tax base.

Rev = tB

• When in balance, Rev equal Exp.

• What has happened in Macomb?

Deficit!