PROVO — Economic uncertainty prompted Provo Mayor Lewis Billings to declare Thursday that his 12th State of the City address was different from all the others.

He highlighted a drop in crime and new development while handing out several awards during his speech, but he also made it clear his administration is bracing for the worst.

"We don't know what to expect in the next six to 12 months," he said. "City revenues have flattened, declining in many areas. Expenses in health care are staggering."

Some Utah cities are laying off employees, cutting services, closing facilities or reducing hours for employees. "We want to do everything we can not to join those in tragic calamity," Billings said. "We don't know what we'll face."

He honored former Congressman Chris Cannon for 12 years in Washington with the Mayor's Award of Excellence. He gave the same honor to the Provo/Orem Chamber of Commerce for annually hosting its Eggs and Issues breakfasts with legislators on Saturdays during Utah's Legislative session, and Janie Thompson, founding director of Brigham Young University's Young Ambassadors and Living Legends.

Billings said Provo has been preparing for dark economic times for most of his three terms. City departments now have reserve cash equal to 10 percent or 15 percent of their budgets. The city retired $8 million in debt last year and stepped up collections on past-due bills and tickets.

New initiatives include a review of each job when an employee leaves to see if the position can be shuttered or spread among others. City department heads also have been authorized to implement the most cost-effective work schedules for their employees.

While Provo will defer some capital improvement spending, new development continued in the city. Construction is under way on the Zions Bank Financial Center tower in downtown Provo and on the first business in the city's new Mountain Vista Business Park. Construction is scheduled to begin this year on the Duncan Aviation Western Regional Center that is expected to bring 650 jobs to the Provo Municipal Airport.

Billings said graffiti, previously a growing problem and concern, was down 34 percent in 2008. Part One crimes like murder, rape, theft and burglary fell from 33 incidents per 1,000 residents to 29 per 1,000 from the 2006 reporting period to 2007.

Other highlights of 2008 included the first year of operations at the Covey Center for the Arts, which hosted 109 events, and assumption of operations at the Peaks Ice Arena. For their efforts on those projects, Billings awarded the Mayor's Award of Excellence to facilities manager Dick Blackham and Scott Henderson, assistant director of parks and recreation.

Billings said Federal Aviation Administration officials told him in a meeting last week that radar is expected to cover flights at Provo Municipal Airport by 2011.

He also announced three new programs. First, the city has purchased two fully electric pickup trucks. The Miles ZX40 requires no gas and creates zero emissions. Provo also has added two Harley-Davidson motorcycles to its police force.

Finally, beginning Feb. 1, residents will be able to make "One call to City Hall" by dialing 311 for all non-emergency issues.

E-mail: twalch@desnews.com