By Mike Kruzman /

South Lyon City officials are updating a policy that will allow them to be more fluid with how water and sewer funds are spent, while ensuring they stay for those uses.

Back in 1989, the City established an administrative policy guiding its use of tap fees. City Council, then, segregated 80-percent of water and sewer tap fees, with a breakdown of 56.25% to sewer capital improvement and 43.75% to water capital. South Lyon City Councilmember Glenn Kivell said that at the time, the City was growing quickly and that money was used to build a good bank for those systems. That activity has since slowed.

Now, the City is looking to update the policy to eliminate the required percentages to each fund and combine them into one for greater flexibility. City Manager Paul Zelenak assured the funds would only be available for water and sewer purposes.
There is currently $1.7-million in the sanitary sewer fund and $537,000 in the water replacement fund. A major water infrastructure project is currently underway in the City, while the sewer fund was said to be collecting interest.

Councilwoman Maggie Kurtzweil said she has been asking to see and address this policy for 5 years and she agrees with erasing the percentages. She said they have “good people” that use “good judgement” and made a motion to draft the new policy. City Council approved the motion unanimously.