City Council Meeting - 2026-10-19

Detailed briefing

City Council Meeting — October 19, 2026 ATTENDEES: Council members, city staff, utility consultant Dawn Lund of Utility Financial Solutions, and public commenters participated; the transcript identifies Officer Nick Strobel and several commenters by name. • Council publicly recognized Officer Nick Strobel for his response to an Oct. 11 medical emergency near the Pier Restaurant. The police chief said video showed Strobel performing CPR alone for nine minutes before EMS arrived. A physician’s letter commended his calm, sustained compressions. The patient later died, according to the chief. • The corrected consent agenda was approved after a roll-call vote. The transcript does not clearly identify every agenda item included in consent. • Utility Financial Solutions presented an electric financial projection tied to the substation project, related debt, and future capital needs. The consultant said the utility would be projected to operate at a loss without changes. The presentation described approximately $8 million in bond funds for the substation and said the utility needs to maintain cash reserves. • Council directed the city manager to return at the second November meeting with rate-adjustment information for 2027 and 2028: a proposed 22.5% increase followed by 9.9%, along with fuel-cost-adjustment recommendations. This was direction to prepare a proposal, not final approval of new rates. The consultant estimated a residential customer using 600 kilowatt-hours per month could see a bill rise from about $66.50 to about $83 in the first year under the sample design. • The consultant said Harbor Springs’ current residential electricity price is about 11 cents per kilowatt-hour and compared it with a cited 25.4 cents from Consumers Energy. The consultant also recommended reviewing the utility’s fuel-cost-adjustment methodology and updating the cost-of-service study. • Council reviewed DDA/TIF finances rather than taking action on the district’s future. Staff cited a 2025 year-end cash balance slightly above $406,000 and said TIF dissolution consequences are not legally clear. Council members and commenters raised concerns about tax growth captured within the central business district versus citywide needs; staff said more comparative financial and legal information is needed. • The sewer authority reported that annual sludge hauling was completed and that an EGLE inspection found the facility in full compliance. Staff also announced leaf pickup through about Nov. 13, weather permitting, and said several seasonal restrooms have closed. Worth watching: • Staff is to bring electric-rate and fuel-adjustment proposals back in November; Council has not yet set the final rates. • Council requested more information on DDA/TIF revenues, citywide tax-base growth, and legal implications before making any decision about the district. • The DDA expects to consider a final streetscape-plan recommendation at its Nov. 11 meeting. Upcoming: The electric-rate proposal is expected at the second City Council meeting in November; board and commission applications are due Dec. 4 at noon, according to staff. Why it matters: The city is weighing higher electric charges to support system reliability and capital work while also examining how downtown tax-increment revenues fit broader city needs.

No open public follow-ups are linked to this meeting yet.