Friday, December 15, 2006

Last Budget Meeting Monday at 2.

The finance committee will reconvene Monday to decide how they will pay for the $1,010,158 or 6.81% budget shortfall for 2007. The staff's adjusted budget was $293,300 or 1.98% but council voted (or deferred) net adjustments that totaled $716,858 or 4.83%.

They will have to delve deeply into their book of tricks to minimize this years tax increases. The finance department will be sharpening their pencils and bringing back a report of the estimated 2006 surplus and the position of the reserve accounts expected at year end, Dec. 31.

The big winner in the addons by Council is the Road Rehabilitation budget which will be increased by $448,800. ( $185,000 for commonage road s of bench road and 146,300 for 27th avenue with balance to road rehab in general). A $100,400 29th street capital construction project was also added to the budget.

The proposed $300,000 cut in the Airports Capital budget was not approved and the actual proposed taxiway Charley project will be presented at Council's first meeting may come in at $400,000 which is already $40,000 more than a director estimated at an earlier council meeting in the fall. As the Airport only has $113,333 left in their capital reserve the $300,000 may be required from 2007 taxpayers.(more of that in another posting shortly)

This 6.81% possible tax increase does not include the 5.5% tax increase for fire services.

How would Don Quixote reduce this shortfall. Will Post Saturday on ways to bring this tax increase down sharply.

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