Wednesday, 23 June 2010 06:15

Ione to OK Interim Budget, Not Ready to Decide Layoffs

slide2-ione_to_ok_interim_budget_not_ready_to_decide_layoffs.pngAmador County – The Ione City Council discussed layoff and cost cuts of about $250,000 for the coming fiscal year on Monday, then decided to adopt an interim budget next week, so that it can continue negotiations with employees. City Manager Kim Kerr said adopting an interim budget will allow the city 2 months to finalize its budget for the coming year. She said the council gave her direction to continue negotiating with employee representatives, and the council “is not ready to make any decision on layoffs.” Kerr said the interim budget “allows us to start having that initial discussion.” The council set a special meeting Tuesday (June 29th) to “adopt a budget by rolling over the interim budget.” She said it gives the council 60 days after the turn of the fiscal year to finalize budget. The city council in Monday’s workshop went over $140,000 in cuts recommended by Kerr, and after discussions, the city employee bargaining units are willing to negotiate. The recommendation said the city needed an additional $100,000 in cuts, or it could remove certain Cost Of Living Adjustment raises, totaling those up with Federal Insurance Contributions Act payments the city makes for some employees. Kerr said no decision had been made at this point, and more discussion is ahead. The council looked at her recommendations, such as laying off a mechanic, and reducing building department hours. It also let the employees see what cuts were needed in the budget. The council asked Kerr to bring back information about the mechanic and building department. She said: “Their goal is to not reduce employees.” The city manager’s recommendation “helps to bargain with employees,” she said, because it identified the issues and the gap between revenue and expenses, and what “we need from each of these bargaining units to close that gap.” The council also directed her to look at revenue streams to see if projections were correct; and look for grants. The city must also see if the state is “going to stand by its budget,” or change it. She said if the state stays with its plan, the city will back get property tax revenue, but not until fiscal year 2011-2012. That would amount to $125,000 to $130,000 the state took out last year. That funding will not help this year. The council will hold a special meeting Tuesday to consider adopting the interim budget. The agenda could also include Ione’s mention in the 2010 Amador County Grand Jury Report, which is due out Friday. The council will also have closed session discussion with bargaining units. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.