S.L. County Council gives tentative nod to new budget

The Salt Lake County Council gave tentative approval Tuesday to a 2009 budget that found an additional $1.5 million in savings on top of Mayor Peter Corroon's fiscal package that had already slashed $11 million from last year's operating expenses.

The nod came after the board weathered another grim revenue report from County Auditor Jeff Hatch. Tax-collection figures continue their downward trend in most areas, and projections indicate that next year's numbers could be even worse. Though Hatch's "worst case" scenario posits a possible $4 million decline next year, he noted that new efforts at federal monetary controls and the changes that may come with President-elect Barack Obama's incoming administration could bode well for the county.

"A new president with new fiscal policy could actually help the county substantially if we see a jobs-creation program," Hatch said. "There's plenty of opportunity in municipal services to re-group, with federal money backing us up."

Hatch said the chaotic and unprecedented nature of local and national economic uncertainty makes fiscal projection modeling — at its best an educated guess — even less reliable. Those projections, for the moment, are indicating an increasing gap between growing county expense obligations and shrinking revenues through 2011.

The council's added budget savings were mostly accomplished through a re-allocation of fuel funds for the county fleet, an adjustment that could come back to haunt the county if fuel prices return to recent record-high levels.

Final approval for the 2009 budget is slated for Dec. 9.

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