Council OKs $12.7 million budget

From staff reports
Published: October 1, 2008

The Eufaula City Council approved a $12.7 million budget this week at a special-called meeting.

But despite the council’s vote, there will likely be some concern this year from city officials due to the nation’s struggling economy. At a work session held last week to discuss the budget, Eufaula Mayor Jay Jaxon said the city will be “as conservative as we can under the circumstances.”

“This is the most challenging economic time my generation has experienced,” he said, referring to a letter he had wrote to council members regarding the budget.

Jaxon later said, “We’re not proposing laying anybody off. We’ll be able to fund our employees, but it’s just a tight budget.”

The city is projecting an increase of approximately $326,000 in general revenues. The projected increases are expected because of an increase in Southeast Alabama Gas’s distribution and garbage collection fees.

Jaxon told council members in the letter that the city should “look at the relationship with our economic development partners and the structure of our efforts. For our prosperity we must seek industrial growth, build our retail base and take advantage of our Top 100 Retiree Community designations.”

The budget presently does not include a cost of living increase, but does include a 3 percent merit increase for all eligible employees. The city is also planning to absorb an increase in health insurance premiums. The possibility of a cost of living increase will be revisited at the beginning of 2009.

The budget that was passed was based on level staffing.

More information will appear in an upcoming edition of The Tribune.