Giving part-time employees a $1-an-hour raise will cost the Bismarck park district $202,500 in 2007, a necessary increase to keep the district competitive with the city's other employers, the park board concedes.

The park board reviewed the preliminary budget for 2007 at last week's meeting, approving a first reading and calling for a public hearing at the Sept. 21 meeting.

Director Steve Neu said that part-time workers are critical to the district's operations, with some 230,000 part-time hours scheduled for 2006. Next year's budget includes a 4 percent merit increase for all full-time staff and the hiring of two new full-time employees, split between park operations and recreation. Total salaries and wages for 2007 will be $2,971,000, 36.4 percent of the general fund's expenses.

"We've looked at our part-time salary scale and ability to compete. We made wage scale adjustments throughout, nearly a dollar an hour average," Neu said. "That will get us to $8 an hour, but we're still behind other sectors."

The budget calls for a 1.16 mill levy reduction, the first reduction by the district since 2000. Estimated value of a mill in 2006 is $149,745 up from $132,395 in 2005. Property taxes are expected to raise $3,117,100 for 2007 or about 38.2 percent of the $8,164,050 general fund budget. The general fund is seeing a 6 percent increase in 2007 of $484,300 over 2006.

General fund revenues include $4,429,200 generated by the district and $617,750 through state aid-replacement funds.

The overall budget - general fund, pension, Social Security, construction and special assessments - totals $15,391,700.

Increased property values will boost tax collections $343,300, and another $140,971 will be generated by various management areas and fee increases.

The increased funds from property value increases do not constitute a windfall, according to Neu, just help the district keep up with the community's growth.

While revenues are up an estimated $484,300, new expenses including salary increases, a 15 percent health insurance increase, two new employees, increased utility costs of $90,000, fuel of $35,000 and other expenses of $22,015 total $522,637, leaving a deficit of $38,337. Neu said that adjustments were made throughout the general fund so it will balance.

The district is planning for $2.5 million in capital improvements if the improvement district is approved.

Some of the projects being considered include renovations to Lion's Hillside Park with updates to roads, parking lots, playground equipment, sidewalks, water and sewer; the Valley Drive greenway, which will connect Tyler Parkway to Mustang Drive to include a trail; begin to develop a recreational complex adjacent to the Pebble Creek golf course in northeast Bismarck; Riverwood parking and cart-trail overlay; improving the trail along University Drive from Wachter Middle School to Wachter Avenue; drainage at Pebble Creek; improving Canary Avenue near the Community Bowl; and the Clem Kelly parking lot.

(Reach reporter Gordon Weixel at 250-8255 or gordon.weixel@;bismarcktribune.com.)