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ST. JOHN--Increased revenue, decreased expenses needed for balance

Town faces $1.7M budget deficit

Town faces $1.7M budget deficit
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ST. JOHN | Town officials have two weeks to try to close a $1.7 million deficit in the 2009 budget.

A financial consultant for the town forecast that the general fund budget calls for $5.9 million in expenses but only $4.2 million in revenue.

Cutting expenses and increasing revenue is the only way to make up the difference, Councilman Mark Barenie said at Thursday's Town Council meeting.

The $1.7 million is not going to be easy to find, but Barenie said he is confident the council and staff will work to decrease the deficit.

The town is expected to revisit imposing a garbage fee. St. John pays for garbage collection for its residents, and the council in March voted down an ordinance that would've charged residents a monthly fee of $15 for garbage pickup.

Internal costs have increased, and miscellaneous revenue has decreased. Building permit fees, which fall into the miscellaneous revenue category, have dropped because of the slow housing market, Barenie said.

St. John, like neighboring communities, is dealing with frozen levies that force the town to work with 2007 figures.

The Town Council will conduct the first reading of the budget in two weeks and could adopt it two weeks after that, Town Manager Steve Kil said.

Copyright 2012 nwitimes.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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