CRESTVIEW — The City Council has voted down a proposed fire assessment fee, so how can councilmen bridge a more than $2 million budget shortfall?
For several years, the city has infused the general fund — day-to-day operating money for city departments — with transfers from the utility fund. However, for the 2015-16 budget year, the utility fund is too low to allow transfers.
Lately, council members have suggested these alternatives to implementing the fire assessment.
JOE BLOCKER: Get citizen input on budgeting
Blocker asked City Clerk Betsy Roy to present three options, which she did at a July 6 council workshop. Options included implementing the fire assessment fee, raising water and sewer rates or increasing the millage assessment. Monday, Blocker proposed forming four options with citizen and mayoral input.
BILL COX: Raise water and sewer rates
Several years ago, consultants recommended that Crestview raise water and sewer fees so they're comparable with surrounding communities. A 4 percent increase in water fees, 2 percent sewer rate increase, and a $1 monthly storm water assessment could generate about $335,000, Cox said.
SHANNON HAYES: Increase ad valorem tax
But even if the city does this, a 2-mill ad valorem tax increase would generate less than the fire assessment, Hayes said, with "the same people who have not been paying (taxes) still not paying.” The fire assessment fee would cover all city water customers.
MICKEY RYTMAN: Hire a city manager
A full-time city manager who daily handles the city’s finances could help identify areas where trimming is needed or duplications occur, Rytman said. He opposed the fire assessment fee and millage increase “because it puts a burden on people.” Hiring a city manager would require voters to change the city charter, Roy said.
JB WHITTEN: Raise the millage if needed
Whitten said rather than setting the millage rate — which the council must establish at its July 27 meeting — and then fitting the budget around it, city leaders should evaluate the budget and choose a millage rate that supports it.
WANT TO GO?
The Crestview City Council's next regular meeting is 6 p.m. July 27 at City Hall on Wilson Street. Those who want to offer suggestions can complete a yellow card, available outside the council chamber, and turn it in to the city clerk before the meeting.
Email News Bulletin Staff Writer Brian Hughes, follow him on Twitter or call 850-682-6524.
This article originally appeared on Crestview News Bulletin: 5 councilmen, 5 opinions: How to resolve the Crestview budget shortfall