Budget woes far from over
Mar 12, 2014 at 11:40 AM
The financial pinch Sandusky officials just faced seems small compared to an economic catastrophe headed their way.
“If you thought 2014 was tough, wait until you look around the corner,” Sandusky ex officio mayor Dennis Murray Jr. said. Projections on the city’s budget, funding day-to-day services, show Sandusky generating about a $1 million shortfall over the next two years.
The city’s revenues remain flat, hovering at about $16.2 million, in 2015 and 2016.
But costs continue to spike over this period, with estimated expenses totaling about $16.7 million in 2015 and $16.9 million in 2016.
The cause of the surge: rising health insurance costs, unionmandated raises for police officers and firefighters and other expenses.
City commissioners seemed defeated when analyzing the figures. In February, they completed a process in which they slashed $1.1 million in services to balance the budget.
The cuts forced officials to reduce many services, including:
•Eliminating four full-time firefighter positions.
•Closing the Venice Road fire station for six months, beginning in May.
•Axing various recreation programs.
Municipal governments such as Sandusky must have a balanced budget by March of each year. Up to 80 percent of Sandusky’s everyday operating budget covers salaries.
To offset the budget — and to avoid other financial shortfalls in upcoming years — commissioners must consider further downsizing staffing levels.
Layoffs are a common practice in Sandusky.
Case in point: The city’s full-time staffing levels have plummeted, from 291 in 2004 to 212 as of this past December.
“We can’t wait eight months to start discussing the next budget,” commissioner Dick Brady said. “We need to start discussing it today. There are only so many things you can cut. We’ve done the hard things. We’ve cut expenses. Now we need to find ways to generate more revenue”
At a recent public meeting, commissioners discussed possible ways to generate more money in hopes of offsetting the projected increase in expenses.
Many voiced support for a levy if, and only if, commissioners specifically dedicate these funds toward a certain purpose.
“The projections look grim,” commissioner Scott Schell said. “But I have talked with people throughout the community, and we agree that if (commissioners) can be specific and identify what we are going to attack, whether it’s safety services or to fix streets, then I think, by in large, people would support that”
If officials do proceed with a levy, they must be clear in their overall campaign message, commissioner Naomi Twine said.
“Starting these conversations with the public is very important,” Twine said. “The feedback that I am getting is that we need to share information to receive information back from the public”
If layoffs occur, they’d surely hit fire and police operations the hardest. The two departments today eat up about $10 million of the city’s $16.3 million operating budget.
“If we don’t make a move and get some revenue into the city, then we are going to have to make layoffs in both the police and fire departments next year,” commissioner Julie Farrar said. “I don’t see this going anywhere good unless we make some sort of move, go to the community and ask for help”
Some residents at the meeting offered their support for a levy.
“I really believe the city has made as many cuts as possible,” 42nd Street resident Timothy Work said.
Said Third Street resident Mark Norman: “If you could give us a vision that we could believe in that would carry us forward, that will make a huge difference for this community. Marketing comes down to education”