In the last article I summarized the need for budget reductions as follows:

"We will be addressing the third error of $646,800 in the immediate future. A truly balanced general fund is only $1,523,449 away assuming the recession does not deepen and revenue projections hold. The Council and City Manager Simmons are poised and determined to make 2009 a successful year."

On March 6 th the Council met in a retreat setting at the Recreation Center to discuss budget reductions. The numbers above were revised by the new Finance Director prior to the meeting to $181,226 in place of $646,800 and $926,649 in place of $1,523,449. Utilizing newer information he was able to correct some omissions and over statements in the projected expenditures and revenues.

The discussion on the 6 th gave the City Manager some ideas as to where reductions might be located. He is to report back to Council in the near future. Finding the money to make up the $181,226 could be easy considering we have a general fund contingency of $200,000 that is tentatively marked for other activities but not committed. Hopefully he will find other expenses that can be reduced as a result of some increased efficiencies.

After these reductions are made we will be back to where we thought we were when the 2009 budget was adopted on December 13 th. The big hit we've already experienced in Sales Taxes during January is yet to be addressed; as is whatever lies ahead.

My solutions? The City is over staffed. Additionally, even during these times, it is still taking a Cadillac or Lexus approach to most projects and services. Call it downsizing or rightsizing; but it must be done.

During the previous seven years the general fund was balanced only once and that was the year the entire street program was canceled, the voters turned down the first recreation building project and the Mayor was up for re-election; 2005. I want a balanced budget now and every year!