Thursday, 24 September 2009 00:27

Ione Sets Budget Hearing to Rebuild Reserve Funds

slide2.pngIone – The Ione City Council hosted a budget workshop with slight attendance Tuesday, approving staff work and setting a public hearing during the council’s first meeting in October. City Manager Kim Kerr said there was low attendance at the workshop but staff received some direction. She said the budget will be heard for possible adoption after a public hearing October 6th at City Hall. Kerr said the council directed staff that any revenues or savings that the city gets this year will not be spent this year. Instead, the council wants to save the funds for next year, and put it toward rebuilding areas where reserve funding likely will be used to cover a $698,000 deficit in the city’s budget. She said they are trying to make the deficit gap smaller. Kerr said staff is “trying to reopen negotiation with employees.” She has already spoken with the city police union, and gave them information about the city’s budget woes. She said “they have to talk amongst themselves,” because she “can’t force them to open negotiations.” She will meet October 6th with representatives of the city’s Service Employees International Union employees, and will also meet with non-represented city employees. Kerr said the city will “continue to work on savings.” She said at this point, the city has to look at personnel costs, and the council does not “want to be in a situation where we will be doing layoffs.” She said transferring money from city reserve funding “will be a lot harder next year,” because “If you continue to keep taking money out of your bank account, pretty soon you run out of money.” The city also faces “union agreements for salary increases” that are pending. “One of the revenue sources that should be there,” Kerr said, is the $122,000 that the state took this fiscal year from property taxes. She said it will be back next year, but it will be less that this year’s total, because that was based on last year’s assessments. Kerr said this year, Ione’s assessed property value dropped $55 million. The public hearing on budget is set for October 6th at City Hall. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.