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City Task Force expected to explore Kalamazoo's legacy costs

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Kalamazoo City Hall
Kalamazoo City Hall

KALAMAZOO (WKZO) -- Kalamazoo city Commissioners will be asked Monday night to set up a task force to look for a way to deal with the city’s legacy costs.

THe city's biggest legacy cost is the liability it has taken on to cover the cost of providing healthcare insurance to city retirees, a number that stands at 6 million right now that is expected to grow to 14 million by 2029.

The fear is it will eat up a lot of the funding the city usually uses to pay public safety and pave roads.

Its one of the same issues that Detroit is dealing with in bankruptcy, but on a much more manageable scale.

New revenue in the form of a tax hike or some other enhancement will likely be explored. 

 

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