02-05-09 - Special Ukiah City Council meeting
When the word “budget” appeared in the agenda for Thursday’s special Ukiah City Council meeting, it could only mean the news was bound to be less than great.
City Manager Jane Chambers delivered a bleak financial picture to the council, which was minus Councilmember Doug Crane.
Jane Chambers said the numbers discussed at the meeting were far from definite.
“This as everyone knows is a very unusual year,” she said. “This is based on projections we’ve made. When we get the real actual numbers it will be halfway through the year.”
Chambers said this budget time was unlike any other she had ever seen.
“This downturn has been more dramatic than anyone can remember in recent history,” she said. “I was advised that we need to tell the council that all of this is an estimate at this point. And if we come within 5 to 10 percent of guess we’ll be doing alright. Other years don’t have such dramatic changes. Those estimates are just out the window this year.”
Chambers said the projected actual revenues for the 2008/2009 fiscal year would most likely fall over $1.2 million short.
“The little bit of good news for Ukiah is that we have reserves,” she said. “We would still have 15.3 percent (of the general fund in reserve) if we did nothing.”
Chambers said cutting positions, salaries or a combination of the two would have to be explored to cover the gap
“The magnitude of a $1.5 to $2 million shortfall would have to mean some sort of payroll deduction,” she said. “The employees have asked to have some role in deciding (that)…I think we have to be very careful how we approach this or we’ll end up with a lot of scrambling to fill positions, so I think we need to look at a combination of things.”
Other cuts to general fund expenditures identified by Chambers included freezing travel to conferences and training and withholding of expenditures, among others.
During public comment, Dick Selzer said he was overjoyed that the council was considering reducing spending.
“I think we haven’t even seen what the worst of what’s going to happen yet,” he said. “I would love it if you’d consider cutting complete programs.”