AUBURN -- City officials might be asked to trim a little more fat from the budget before it is approved,
Auburn city and business officials raised some concerns Thursday during a city council meeting about the proposed city budget for the 2009-2010 fiscal year.
The questions and discussions focused mainly on some of the municipal fees the budget proposes raising, as well as how the city needs to prepare for salary increases that could come out of current contract negotiations.
Though the budget does not propose a tax, sewer or water increase, it would increase quite a few city fees for recreation and parking. Daniel Schuster, executive director for the Downtown Auburn Business Improvement District, told the council raising the parking fees would not be the best option.
If the city's goal is to increase revenue for parking, it should focus efforts on attracting more cars instead of raising rates, he said. Many of those parking downtown are employees or owners of local businesses, Schuster added.
"We don't feel it's fair for the downtown businesses to be bearing this cost," Schuster said.
Councilor Matthew Smith pointed out that the budget was formulated using current union contracts. But the contracts for many police, fire and public works employees are still in negotiations.
City Manager Mark Palesh has said those pay raises can be balanced by either raising the tax levy or pulling from reserve funds, which have been growing in recent years. But Smith, who estimated pay increases could cost $200,000 this year, said neither of those should be the first option.
"Can we find it somewhere in this budget ... without cutting anyone's position?" Smith asked.
Other members of the council suggested taking another week to come up with any possible changes. They are scheduled to vote on the budget at next Thursday's meeting.
Councilor Thomas McNabb also brought up possible future financial issues involving the state pension fund. It is likely the state will demand payment into the fund in 2011, McNabb said.
"The $200,000 you're talking about is the tip of the iceberg," he said.
The questions and discussions focused mainly on some of the municipal fees the budget proposes raising, as well as how the city needs to prepare for salary increases that could come out of current contract negotiations.
Though the budget does not propose a tax, sewer or water increase, it would increase quite a few city fees for recreation and parking. Daniel Schuster, executive director for the Downtown Auburn Business Improvement District, told the council raising the parking fees would not be the best option.
If the city's goal is to increase revenue for parking, it should focus efforts on attracting more cars instead of raising rates, he said. Many of those parking downtown are employees or owners of local businesses, Schuster added.
"We don't feel it's fair for the downtown businesses to be bearing this cost," Schuster said.
Councilor Matthew Smith pointed out that the budget was formulated using current union contracts. But the contracts for many police, fire and public works employees are still in negotiations.
City Manager Mark Palesh has said those pay raises can be balanced by either raising the tax levy or pulling from reserve funds, which have been growing in recent years. But Smith, who estimated pay increases could cost $200,000 this year, said neither of those should be the first option.
"Can we find it somewhere in this budget ... without cutting anyone's position?" Smith asked.
Other members of the council suggested taking another week to come up with any possible changes. They are scheduled to vote on the budget at next Thursday's meeting.
Councilor Thomas McNabb also brought up possible future financial issues involving the state pension fund. It is likely the state will demand payment into the fund in 2011, McNabb said.
"The $200,000 you're talking about is the tip of the iceberg," he said.
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