2003_0728_packet - Laserfiche WebLink

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Some Questions You May Have about Our Budget Situation, and Answers 1. `Why can -t we just use roscmes to makeup or any budget de cit P" We can. The Council would have to authorize that. I recommend we use a significant amount of reserves this year to help us with our budget problem this year. And if this were a one or two year problem, reserves might be the major answer. But, I don't thinly this is a one or two year situation, and reserves are not a long-tern solution. cation . You can only spend your savings so long. 2. " ;Cary we raise local taxes?" Probably not. It loops like the Legislature will be adopting some lays that prevent cities from raising their taxes to mare up for the loss of state aid. 3. "What-is going to happen to the building project?" Again, the City Council will make the final decision. I continue to support that project because police and public works are essential city services. That project will help improve those core city services for decades to come. Despite the states budget difficulties, which have in part now become our budget difficulties, I thinly it makes sense for us to continue to plan and build for the future. 4. " t does it make sense to construct a new building when we are looking at the likelihood off' reducing programs and stafp. We could wait, but the price of that construction will only u yg p over time. With the economy struggling like it is a it is actuall y a good time to be out bidding for construction work} In addition and this is a point that is not arrays clear to eo le different city p p projects and programs are paid out of different pots of money. Our project to build a new police department and to renovate the public works maintenance facility is being paid for with voter-approved bonds. That money can't be used for anythin g else. We can't use that money to pay for city programs or for city employee wages; it can only be used to construct this project.