Flint, Genesee County deal with budget shortfalls

FLINT The mayor says those reductions have cut the $8 million deficit in half, but there is still a long way to go.

Every department had to tighten its belt to get the shortfall down to $4 million.

From the mayor's office to public safety and even golf courses, no department was sparred.

"It kinda has to be done, but it shouldn't be done based on what has happened to the police and the firefighters," city worker Charles Muma said.

Police and fire soak up nearly 60 percent of the budget and took the deepest cuts. Other department layoffs, and changes like rotating trash collection helped lower the deficit as well.

"We have made tremendous progress and we have reduced that $8 million deficit by $4 million and more," Mayor Dayne Walling noted.

Walling said the City Council approved adjustment and reduced spending in April. "It brings spending more in line with projected revenue."

But he's running out to time. The end of the city's fiscal year is just weeks away, and there is still a $4 million spending gap.

City Councilman Scott Kincaid believes the city can't cut its way out the deficit by the end of the fiscal year because action wasn't taken sooner. "Steps weren't taken back in August and September to try to adjust the city finances so we didn't end up in deficit"

He believes Flint will end end of the fiscal year with a deficit and two options. "A fiscal stabilization bond or to increase taxes,and the citizens would have to approve that"

Kincaid says City Council will first have to approve the tax increase - something he doesn't support.

Genesee County also faces a deficit and will have to lay off more than a dozen employees.

County Commissioner Ted Henry said action had to be taken. "It's very difficult. Every day I watch your news and I see cuts everywhere; Bay City, Saginaw and now it's hit us. And I'm afraid we're just going to have to keep tightening, tightening and tightening. It's not the end by no means."

This year, county officials say revenues came in a lot lower than projected in the fees related to home sales - and collections that the district court takes in.

Tax revenues in general are expected to drop for the next three years - so all are expecting more cuts in the years to come.

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