City likely to face $2.1 million deficit

Local News

March 18, 2010

By Ronica Shannon Register News Writer The Richmond Register Thu Mar 18, 2010, 03:40 PM EDT

RICHMOND — At the end of this fiscal year, the city of Richmond likely will face a $2.1 million deficit in its budget. That’s the message city commissioners received Tuesday night from Jimmy Howard, the city’s interim manager. “We can make it through to June 30 without borrowing money, but come July, we’re going to have to borrow money,” Howard said. It would not be realistic to count on finding new avenues of revenue for the city in that short of a time period, he said. Howard said he hopes to be able to present commissioners with a revised 2009-2010 operating budget proposal by the next meeting, scheduled for noon on Tuesday, March 23. Mayor Connie Lawson said the city has done more work on solving the budget crisis than what many realize. The suggested number of layoffs for the city was 30, she said, and Lawson reminded commissioners that the number of eliminated personnel had almost reached that number. The eliminated personnel include employees who have taken a voluntary layoff, retired or resigned since September. “I don’t think we’re paying enough attention to what we’ve done (since September),” Lawson said. There are fewer positions in several of the city’s departments, including police, fire, human resources, tourism, finance, parks and recreation and at Gibson Bay Golf Course, she said. The elimination of the city’s emergency dispatching center, upon consolidation with the Berea/Madison County E-911 system, will eliminate 14 positions from the city’s payroll, said Richmond Police Chief Larry Brock. However, a final date for consolidation has yet to be set, he said. In other business: • Two voluntary layoffs were announced Tuesday, one being Anthony Schwab, Richmond’s former economic development director. Schwab “… volunteered to be laid off as part of the city’s reduction in force,” the order reads. “The board extends its sincere thanks to Mr. Schwab for his services to the city, and for the sacrifice inherent in his volunteering to be part of the city’s reduction in force.” Commissioners also recognized the voluntary layoff of Sharon Isaacs, who served as a data entry clerk for the Richmond Police Department. • The commission heard the first reading of an ordinance that, if passed upon a second reading, would authorize an assistance agreement with the Kentucky Rural Water Finance Corporation for the purpose of refinancing the city’s water, gas and sewer revenue bonds. Refinancing to a lower interest rate could save the city up to $13,000 a year, said Richmond Utilities Superintendent Scott Althauser. However, the decision to pass the final reading will depend on the market at the current time. “We’ll only do it if we see a cost-savings benefit to reduce our overall interest payments,” Althauser said. The current interest rate on the bond is set at 5.45 percent, and could drop as much as two percentage points. • Commissioners heard the first reading of an ordinance that, if passed upon a second reading, will establish a tow zone to eliminate parking problems along Professional Drive that runs parallel to the Robert Martin Bypass. “So as to permit free travel by emergency vehicles, it shall be unlawful to park beyond the point approximately 100 feet from the driveway entrance to the city’s fire station on Professional Drive,” the ordinance reads Signage installation and curb painting already is under way, according to Richmond City Attorney Garrett Fowles. • Lawson read a proclamation during Tuesday’s meeting deeming March as Richmond Hunger Awareness Month. • The commission heard the first reading of an annual ordinance that establishes regular meeting dates of the Richmond City Commission. The dates and times of meetings will continue to be conducted at 6 p.m. on the second Tuesday of each month and at noon on the fourth Tuesday of each month. Ronica Shannon can be reached at rshannon@ richmondregister.com or 624-6608.

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Finally February
Ian Rosser, an Eastern Kentucky University student from Lexington, clears snow from his car parked on campus Wednesday
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