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Cape Coral considers cuts, new taxes for 2010
By
WINK News
Story Created:
Mar 9, 2009 at 11:52 PM EDT
Story Updated:
Mar 10, 2009 at 12:42 PM EDT
CAPE CORAL, Fla. - The struggling economy already has Cape Coral considering what to do about next year's budget.
March is the earliest Cape Coral has ever discussed a budget for the following year. With a $33 million shortfall expected in fiscal year 2010, nothing is off the table yet.
One savings plan presented to the council in a memo looked at the impact of one week furloughs for salaried city workers; but it found the savings would only amount to about $241,000.
Another idea to reduce city hall hours would only trim a little less than a million dollars.
But some on the council are hesitant to go to the next level of layoffs.
"I'm not happy with layoffs and adding to the worst economy we've ever had," said council member Dolores Bertolini.
Without job reductions, however, some on the council say there's only one other option: new taxes.
City financial staff is recommending a 10% public service tax on utilities like electricity, propane and natural gas; though the millage rate that determines property taxes would be reduced at the same time.
The city council directed city staff to come up with budget scenarios for 2010 based on about $116 million in revenue; that's about $11 million less than the city's 2009 operating budget.
The council must approve the 2010 budget by July 2009.
