Westminster City Discusses Budget Cuts – September 18, 2009
CITY OF WESTMINSTER
56 West Main Street
Westminster, MD 21158
Phone 410-848-9000
Fax 410-857-7476
FOR IMMEDIATE RELEASE
Friday, September 18, 2009
http://www.westgov.com/news/documents/CityofWestminsterpressrelease--BudgetCuts.pdf
Contact: Marge Wolf
Phone: 410-848-9000
WESTMINSTER CITY DISCUSSES BUDGET CUTS
Westminster, MD -“These are challenging financial times for municipal governments,” stated city of Westminster mayor, Kevin Utz. “We are two months into the 2009 fiscal year and are now faced with a reduction of over $800,000 in our state revenue projections. A bad financial picture just got worse.”
The State Board of Public Works approved a package of budget cuts last week that included a 90% reduction in Highway User Revenues to local jurisdictions. The City had budgeted $747,850 and will instead be receiving $74,785. In addition, they reduced the State Aid to Police funding from $392,040 to $254,826, a reduction of 35%.
“In a General Fund with $13Million in total revenues, this is a 6% cut. With a cut of this magnitude we are looking at a variety of options to bring our budget into balance,” continued Mayor Utz, “including eliminating services or programs, cancelling capital projects and equipment purchases, examining the take home vehicle program, freezing employee salaries and benefits—everything is on the table for discussion.
A hiring freeze has already been implemented and we do not expect to fill any vacant positions. No new projects or programs beyond those already funded will be implemented.
Unfortunately, we expect that further cuts will be needed after the revenues are projected again in December and FY2011 looks to be even bleaker. I will be working with state, county, and municipal government partners, as well as the Maryland Municipal League to seek solutions to this problem.”
For the past two fiscal years, the financial picture has been deteriorating for local governments, with reductions in revenues from the housing sector, transportation, and property tax assessments to substantial increases in utility costs, gasoline costs, and health care. Unfortunately, at the municipal level, government provides basic quality of life services—and when these services are reduced, citizens suffer.
To cope with the reduced revenues and increased costs, the City of Westminster instituted staff lay-offs, postponed the street repaving project and increased the employee share of health benefits in FY2009. Merit increases and cost of living adjustments were eliminated and a new health care plan and provider were implemented in the FY2010 budget. City of Westminster
Page 2
We will continue to provide information on possible reductions as the Mayor and Council discuss the options and develop a plan to balance the budget. Updates will also be provided on the website www.westminstermd.gov.
###
The City of Westminster Administration Department is located at 56 West Main Street. This department oversees all of the departments in the General Government and is the central location for the City. For more information, call 410-848-9000 or visit www.westminstermd.gov.
20090918 Westminster City Discusses Budget Cuts
Here you can read about the City of Westminster in previous articles that have been published.
http://www.westgov.com/news/news_main.html
Nonprofits benefit from FallFest, Carroll County Times
FallFest to set aside time for children with special needs, Carroll County Times
September 20, 2009 Proclaimed National Neighborhood Day, Press Release
Westminster passes public decency acts, Carroll County Times
Maryland budget reductions mean 6% cuts to Westminster, Carroll County Times
Westminster City discusses budget cuts, Press Release
Toilet Rebate Program a success, Carroll County Times
Water project earns stimulus grant money, Carroll County Times
Westminster buildings to undergo energy audits, Carroll County Times
City linking to crime website, Carroll County Times
Electronics recycling program set to launch, Carroll County Times
Red-light cameras awaiting final OK, Carroll County Times
Recreation and Parks News, Press Release
Toilet Rebate Program, Press Release
Westminster Comprehensive Plan maps out water future, Carroll County Times
Westminster housing variety highlighted, Carroll County Times
Westminster OKs Streetscape bid, Carroll County Times
Plan takes look at future of Westminster water woes, Advocate
Cutting a ribbon on history at the Westminster Water Treatment Plant, Westminster Eagle
Shop with a Cop, Carroll County Times
Building to undergo reconstruction, Advocate
Westminster Clock Tower restoration, Carroll County Times
Westminster: City likes what it sees in Carroll County's Comprehensive Plan, Carroll County Times
City promoting water conservation through grants, Advocate
Upgrade could be done by winter, Carroll County Times
CITY OF WESTMINSTER
56 West Main Street
Westminster, MD 21158
Phone 410-848-9000
Fax 410-857-7476
FOR IMMEDIATE RELEASE
Friday, September 18, 2009
http://www.westgov.com/news/documents/CityofWestminsterpressrelease--BudgetCuts.pdf
Contact: Marge Wolf
Phone: 410-848-9000
WESTMINSTER CITY DISCUSSES BUDGET CUTS
Westminster, MD -“These are challenging financial times for municipal governments,” stated city of Westminster mayor, Kevin Utz. “We are two months into the 2009 fiscal year and are now faced with a reduction of over $800,000 in our state revenue projections. A bad financial picture just got worse.”
The State Board of Public Works approved a package of budget cuts last week that included a 90% reduction in Highway User Revenues to local jurisdictions. The City had budgeted $747,850 and will instead be receiving $74,785. In addition, they reduced the State Aid to Police funding from $392,040 to $254,826, a reduction of 35%.
“In a General Fund with $13Million in total revenues, this is a 6% cut. With a cut of this magnitude we are looking at a variety of options to bring our budget into balance,” continued Mayor Utz, “including eliminating services or programs, cancelling capital projects and equipment purchases, examining the take home vehicle program, freezing employee salaries and benefits—everything is on the table for discussion.
A hiring freeze has already been implemented and we do not expect to fill any vacant positions. No new projects or programs beyond those already funded will be implemented.
Unfortunately, we expect that further cuts will be needed after the revenues are projected again in December and FY2011 looks to be even bleaker. I will be working with state, county, and municipal government partners, as well as the Maryland Municipal League to seek solutions to this problem.”
For the past two fiscal years, the financial picture has been deteriorating for local governments, with reductions in revenues from the housing sector, transportation, and property tax assessments to substantial increases in utility costs, gasoline costs, and health care. Unfortunately, at the municipal level, government provides basic quality of life services—and when these services are reduced, citizens suffer.
To cope with the reduced revenues and increased costs, the City of Westminster instituted staff lay-offs, postponed the street repaving project and increased the employee share of health benefits in FY2009. Merit increases and cost of living adjustments were eliminated and a new health care plan and provider were implemented in the FY2010 budget. City of Westminster
Page 2
We will continue to provide information on possible reductions as the Mayor and Council discuss the options and develop a plan to balance the budget. Updates will also be provided on the website www.westminstermd.gov.
###
The City of Westminster Administration Department is located at 56 West Main Street. This department oversees all of the departments in the General Government and is the central location for the City. For more information, call 410-848-9000 or visit www.westminstermd.gov.
20090918 Westminster City Discusses Budget Cuts
Here you can read about the City of Westminster in previous articles that have been published.
http://www.westgov.com/news/news_main.html
Nonprofits benefit from FallFest, Carroll County Times
FallFest to set aside time for children with special needs, Carroll County Times
September 20, 2009 Proclaimed National Neighborhood Day, Press Release
Westminster passes public decency acts, Carroll County Times
Maryland budget reductions mean 6% cuts to Westminster, Carroll County Times
Westminster City discusses budget cuts, Press Release
Toilet Rebate Program a success, Carroll County Times
Water project earns stimulus grant money, Carroll County Times
Westminster buildings to undergo energy audits, Carroll County Times
City linking to crime website, Carroll County Times
Electronics recycling program set to launch, Carroll County Times
Red-light cameras awaiting final OK, Carroll County Times
Recreation and Parks News, Press Release
Toilet Rebate Program, Press Release
Westminster Comprehensive Plan maps out water future, Carroll County Times
Westminster housing variety highlighted, Carroll County Times
Westminster OKs Streetscape bid, Carroll County Times
Plan takes look at future of Westminster water woes, Advocate
Cutting a ribbon on history at the Westminster Water Treatment Plant, Westminster Eagle
Shop with a Cop, Carroll County Times
Building to undergo reconstruction, Advocate
Westminster Clock Tower restoration, Carroll County Times
Westminster: City likes what it sees in Carroll County's Comprehensive Plan, Carroll County Times
City promoting water conservation through grants, Advocate
Upgrade could be done by winter, Carroll County Times
*****
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