City
cuts jobs and may derail
gravy trains to balance budget
City
trying to make
up $609,000 shortfall
By
Fred Mramor
of the Desert Journal
Truth
or Consequences city commissioners Wednesday said they’ll consider
reducing funding to the Sierra County Economic Development
Organization (SCEDO) and other service organizations in order to get
closer to a balanced budget.
Ongoing
budget meetings were held Monday and Wednesday as commissioners
grapple for ways to either increase revenues such as through utility
rate hikes or by cutting expenses such as through layoffs.
At
the beginning of Monday’s special budget meeting, city
commissioners needed to find $609,000 in cuts to produce a viable
budget to which the New Mexico Department of Finance and
Administration will grant final approval.
Before
eliminating 13 city jobs, commissioners rescinded their motion of
last week to eliminate their own salaries for the rest of the fiscal
year and saving the city about $15,000 until June 30, 2002.
City
Attorney Jay Rubin informed commissioners that the state
constitution prohibits public officials from raising or lowering
their own salaries during their terms.
Commissioner
Lois Reaver-Black announced
Wednesday evening that she has returned her most recent paycheck to
the city.
As
proposed by Acting City Manager Mark Huntzinger, commissioners
agreed to eliminate 12 occupied city positions as of Jan. 5:
assistant city manager, one police officer, two street laborers,
Parks and Recreation facilities manager, two part-time park
laborers, one weed control position, one part-time library clerk,
electrical utilities office manager, one Water Department employee,
one recreation maintenance worker and the city’s code enforcement
officer.
Commissioners
agreed also to Huntzinger’s recommendation of not filling four
vacant positions: part-time library clerk, journeyman lineman
(downgrade position to lineman Class II), waste water treatment lab
assistant and service center (fleet maintenance) intern.
Commissioners
did not agree to eliminate the positions of grant writer, assistant
utilities director, human resources tech and, most contentiously,
construction projects coordinator.
The
construction projects coordinator position was one of 25 positions
created under former City Manager Sam Isom and is compensated by
$54,000 in annual salary and benefits.
Commissioner
Reaver-Black argued that the coordinator’s function could be
performed by two other city employees who hold contractor’s
licenses and perhaps by the city’s building inspector.
Mayor
Everett Banister, Commissioners Nadyne Gardner and Jimmy Rainey
outvoted Commissioners Reaver-Black and Cookie Johnson to retain the
position held by Jack Baker, reportedly a friend of Commissioner
Gardner’s.
Reaver-Black
and Johnson were defeated in their second attempt to eliminate the
construction projects coordinator and grant writer positions in a
two-two vote during Wednesday’s continuation of the budget meeting
from which Gardner was absent.
Commissioners
agreed to freezing wages for the remainder of the fiscal year except
when employees receive additional training or certification for
their jobs. Commissioners are considering also wage cuts of two or
five percent which would save the city $55,552 or
$138,881, respectively.
Commissioners
agreed to transfer $150,000 from a sewer repair and replacement
account to the joint utilities fund.
Huntzinger
said the transfer helps the city find the money it needs to balance
the budget but that it is a use of city savings.
Commissioners
will keep $45,000 in the general fund by amending a city ordinance
that mandates transfers to electrical construction and repair and
replacement accounts.
Commissioners
will reduce the city manager’s budget by $17,000 this year.
Commissioners had allocated $20,000 for the hiring of a city planner
(off the table indefinitely); $3,000 of that amount has been
allocated to the hiring of a developer who can tell the Joint Powers
Commission what they can do with their old Sierra Vista Hospital
building if a new hospital building is constructed.
Commissioner
Reaver-Black’s suggestion to eliminate the position of library
administrative assistant at $28,553 per year went nowhere but
commissioners will consider cuts to various “sub-recipients”
that Reaver-Black proposed.
“They’ll
be mad but they’ll get over it,” Reaver-Black said. She said the
sub-recipients counted on the funds the city had promised this year
but that city employees likewise had counted on their jobs. Reaver-Black
said the sub-recipients could hold bake sales.
Commissioners
determined they could save $25,000 this year by cutting grants and
subsidies to SCEDO, the Retired Volunteer Service Program, the
Foster Grandparents Program, the Senior Companion Program and the
Domestic Abuse Intervention Center. The city could save another
$8,525 by voiding its contract with SCEDO to run the Civic Center
and letting city staff do it.
Representatives
from the sub-recipients will be invited this Tuesday to discuss with
commissioners how they can work with the city to cut their grants
and subsidies.
Mark
Huntzinger proposed closing the city’s golf course or reducing its
$87,000 a year subsidy but Mayor Banister said he didn’t want to
discuss it Wednesday evening. Banister asked that commissioners wait
a couple days as “something is going on” that could help cut
golf course expenses.
T
or C resident Mildred Hooper asked if the city could save money by
not buying property for $75,000 for the eventual expansion of the
golf course from nine to 18 holes. Hooper said golfers could instead
play the course twice and pay twice the fee.
Commissioner
Reaver-Black said it would be a good idea to get out of its deal
with property seller Randy Ashbaugh but Mayor Banister said it would
cost the city more to break its agreement.
As
proposed by Mark Huntzinger, the city will save $7,200 by delaying
the opening of the city’s swimming pool four weeks next summer and
$30,000 by purchasing less electricity from outside sources.
The
acting city manager proposed raising revenues by increasing
residential solid waste removal rates from $9.71 to $10.68 but
commissioners said they do not want to consider more utilities rate
increases until the Utilities Advisory Board conducts a rate study.
Commissioners, for now at least, passed on Huntzinger’s suggestion
to raise property taxes.
Commissioners
will consider eliminating reimbursements for their travel expenses
and their per diems and may pay for their trips themselves.
Asked
how much time the city has before the Department of Finance and
Administration takes over the city’s management and suspends the
commissioners, Huntzinger said DFA will allow the city to continue
to do what it’s been doing as long as it appears to be making
progress. Huntzinger said DFA budget analyst Gloria Gonzales is
pleased with the actions the city has taken so far.
In
wrapping up Wednesday’s meeting, Huntzinger said he has run out of
rabbits to pull out of his hat and can propose more cost-saving
measures only with line-by-line deletions of city budget items.
After
taking the actions they did this week, the acting city manager and
the city commissioners will still have to find $162,300 in cuts to
produce a viable budget for this fiscal year.
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