Meetings with the city finance committee can sometimes be long and drawn out affairs. Today's meeting was barely 30 minutes because a penny doesn't go as far as it used to.
"It's just that one cent does not bring in as much as it did as say in '10," says Finance Director Barbara Malkove. She defended the city's budget. City sales tax revenue is more than $77 million for the first six months of the fiscal year. While revenue is down from where it was last time the sales tax was raised Malkove says they took that into consideration when they made this year's budget factoring in both a sales tax hike and a drop in sales.
"When we estimated we'd bring in $30 million that we are on a good track to get that $30 million in," says Malkove. Some on the city council were worried the drop in revenues means cutting back on public projects that were already in the budget--so far that's not happening.
"You know if that's the case then that looks good and I think we can all rest assured that right now we were on budget and not having to look at pulling back or making any cuts but we are only halfway through the year and do more study on revenues and make sure everything is going as planned and we don't have to start making cuts," says Gina Gregory.