TRAVERSE CITY -- Wednesday night, the Grand Traverse County Board of Commissioners worked on shrinking their multi-million dollar budget deficit.
Entering Wednesday’s special meeting, commissioners were over budgeted approximately $2.8 million. The commission is also facing about 39 layoffs county-wide. They are problems commissioners say stem from the struggling economy.
“Tax revenues are down. There are more delinquents…and the other thing…what money we do have that the treasurer normally invests in short term investments…the interest rate is down,’ said Commission Chairman Richard Thomas.
Commissioners have decided to tap into their rainy-day fund to help ease budget woes.
It was decided Wednesday that $625 thousand will be allocated to the 2011 budget. That money will come from the County's Fund Balance.
“It’s what's called an economic stabilization fund. You should be saving a certain amount of money of your yearly expenditures for ups and downs in the economy, so you are no constantly hiring and firing people and laying people off,” Vice Chair Larry Inman said.
Even with the stabilization fund, the county still faces a major deficit and jobs will be cut.
Thursday and Friday will be spent choosing where.
“We will have our department heads coming in and giving a presentation of their budgets.... then we will deliberate for the following week,” Inman said.
While every department will be heard, officials say the county's priorities will be upheld.
“Pretty much the strategic vision of the county…and the strategic plane we put in place through 2012…calls for public safety to be our number on priority…and so I could see the board leaning strongly toward supporting the sheriffs department,” Inman said.
