Elk Ridge is whittling its budget again
Sales tax revenue, interest on city's deposits decline
ELK RIDGE — Falling revenues spurred Elk Ridge officials Tuesday to take another stab at paring down the city's budget.
The budget cuts, however, were minuscule. City recorder Jan Davis received City Council permission to zero out the tiny city's $1,000 advertising budget that was never spent and $2,000 budgeted for special park projects.
A few weeks ago, City Council members in the foothill town of about 2,700 trimmed the city's $1.2 million general-fund budget to $1.1 million. The bedroom community had expected $235,000 in sales-tax revenue from the state this fiscal year, but revenues from that source dropped to an estimated $175,000 and are now predicted to end the fiscal year June 30 around $127,000, Davis said.
Interest received from the city's deposits in the state treasury declined along with revenues. City officials originally planned to line community coffers with $70,000 from earned interest, but estimates are continuing to drop, Davis said. Now, the city is projecting about $15,000 in interest payments by June 30.
"We may hit $20,000," Davis said.
Despite the shortfall, the city will be filling potholes created by the winter weather, Mayor Dennis Dunn said. City crews will fill them first with road base until hot asphalt becomes available, he said.
— Rodger L. Hardy
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