Revenue declines make 2011 city budget preparations difficult
By Jeremy Shapiro
Wednesday, July 28, 2010
Amid news of a 26 percent drop in sales tax collections, Emporia city commissioners discussed the tricky task of operating all existing Emporia programs and services without raising taxes.
The commission is in the middle stages of a summer-long effort to prepare the 2011 fiscal year budget. Wednesday’s study session was used not only to try to hash out what should be in or out of the budget, but also how today’s choices will impact finances in 2012 and beyond.
The commission is not in favor of raising the mill levy this year even with decreased property valuations. The budget does include merit raises, but does not include filling several staff positions that are already vacant.
The bottom line -- as it stands now-- is the city would whittle away a $900,000 surplus from the end of 2010 to get by in 2011. That proposition is leaving commissioners uneasy about the future.
“If our revenues and expenditures are identical next year, then after 2011 we will have to make cuts unless people have an appetite for more taxes,” said Commissioner Bobbie Agler.
City Manager Matt Zimmerman said the July sales tax numbers show collections were down 25.75 percent compared with the same month a year ago. The taxes arrive two months after purchases are made so the numbers reflect sales in May 2010 being way off May 2009 figures.
For the complete story, pick up a copy of the print edition Thursday.
railroadhorn (anonymous) says...
I don't think there's any chance we can avoid laying off staff and cutting services. That doesn't have to be a bad thing if done right.
July 28, 2010 at 4:17 p.m. ( permalink | suggest removal )
mustangsue (anonymous) says...
Please explain what "preperations " are, thanks.
July 28, 2010 at 4:31 p.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
The construction workers have left town and ordinary folks are doing what government won't do and that is, they stop spending. ..... I talked to one small businessman and his unemployment tax went up from 150 dollars per month to 700 dollars and he said, "I might have to lay some people off." I wonder what this tab is for local government?
July 28, 2010 at 4:54 p.m. ( permalink | suggest removal )
rabblerouser (anonymous) says...
The more you raise people's taxes, the less they will have to spend, which means less taxes. It's a vicious circle!
July 28, 2010 at 6 p.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
400 construction workes have left town at 20 dollars per hour plus per diem of 4 hundred per month which adds up to millions of dollars. If the city manger hasn't figured this in, were in big trouble.
July 29, 2010 at 12:36 a.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
400 construction workes have left town at 20 dollars per hour plus per diem of 4 hundred per month which adds up to millions of dollars. If the city manger hasn't figured this in, were in big trouble.
July 29, 2010 at 12:36 a.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
The per diem was 400 per week.
July 29, 2010 at 12:40 a.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
This is what I call poor city planning and were paying this guy 120,000 dollars a year plus benifits!
July 29, 2010 at 12:59 a.m. ( permalink | suggest removal )
blulitespecial (anonymous) says...
The solution is always the same - Raise taxes.
Doesn't work for me,but it IS the government way of doing things.
I don't expect things to change for several years,if ever.
July 29, 2010 at 1:20 a.m. ( permalink | suggest removal )
custom (anonymous) says...
If things are to change then you have to start at the top.
July 29, 2010 at 6:58 a.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
custom,
Or maybe knock out a few foundation blocks and let the whole thing tumble down?
July 29, 2010 at 11:14 a.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
WOW 26% !
Sounds like all those non-smokers have failed to get out and eat at their favorite "Bar & Grill".
July 29, 2010 at 11:18 a.m. ( permalink | suggest removal )
blulitespecial (anonymous) says...
Yup,Steve,I remember a Lawrence bar owner saying after the "first" smoking ban- "All the big spenders are gone,we're gonna have to sell a lot of cheeseburgers".
July 29, 2010 at 12:33 p.m. ( permalink | suggest removal )
reddog (K. B. Thomas Jr.) says...
One of the factors to consider is that we may be in 5 to 10 year recovery and surging health care costs may have significantly altered family incomes in a permanent way. 58% of the public depend on the government for money. Every time you turn around some group wants to put more regulations on Property.
July 30, 2010 at 12:02 a.m. ( permalink | suggest removal )