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Centralia Officials Propose Budget Change

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Posted: Wednesday, October 7, 2009 12:00 am

    Centralia city officials proposed their second budget amendment of the year before the city council Tuesday night.

    Unlike the previous amendment in April, when city departments trimmed their budgets to adapt to the weak economy, the latest amendment can be compared to balancing a checkbook. City staff reported no major new spending or drastic cuts.

    Finance Director Brad Ford told councilors during the special budget workshop that the projected 2009 ending unreserved fund balance of $2.34 million is a “healthy number,” but he cautioned councilors of preliminary numbers showing the city would operate at a deficit of $350,000 in 2010.

    Ford presented the councilors with the options of increasing taxes, making additional cuts or using reserves to balance the budget.

    Councilors reached a majority opinion that continuing to balance the budget with reserves was not the ideal option.

    “We’re at a point where we’re looking at the big picture, and my question is if we’re at the bottom,” said Councilor Ted Shannon, adding the city should anticipate even less sales tax revenue in 2010. “I don’t think we’re at the bottom, personally.”

    Councilor Lee Coumbs disagreed.

    “I don’t think we’re headed to the deep hole,” he said. “I’m comfortable using last year’s figures. I’d hate to take the ax to our budget and chop it all to pieces over a fear thing.”

    Councilors agreed decreasing expenditures seemed like the best possible solution.

    City Manager Patrick Sorensen told councilors Tuesday night that he had “identified the appropriate general fund reductions,” but refused to elaborate on cuts. Sorensen said he wants to work on the issue with councilors in upcoming workshops.

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