The fiscal state of Murray is sound, with business and residential growth at an all-time high.

But Murray Mayor Lynn Pett cautions that in the light of of the current world situation, prudence must be the buzzword of the future."Never in my recollection has there been a year of such vibrant growth within the business sector," Pett said during his annual state of the city address Tuesday night. "Additionally, we issued approximately 91 building permits for new homes. The total value of construction in the city in 1990 was $29.7 million - up $2 million from the previous year."

Pett, who soundly defeated LaVarr McMillian in November 1989 mayor race, outlined citywide accomplishments during his first year at helm:

- Completion of a Jordan River Master Plan and acquisition of four additional land parcels.

- Completion of Power Central Substation, five years of major capital improvements by the Murray City Power Department.

- Murray Golf Course was at maximum capacity and the busiest in the state for a second consecutive year. Approximately 114,000 9-hole rounds were played last year.

- New wetlands at the golf course have been recognized by the EPA as a model project for the '90s.

- More than 10,000 youngsters participated in 34 park and recreation programs; 334 people volunteered to help run programs.

- Some 15 percent of residents participate in the automated refuse collection program. Pett wants a total automated refuse collection system by Jan. 1.

But what about the future? Pett said the recession doesn't apply to Murray - yet. But could.

"The future as viewed in 1991 is not as clear as it has been in years past. It seems almost weekly we are notified of new federal or state mandated programs that directly affect our local government," Pett said.

Among those programs are the Clean Air Act, storm-water runoff, non-point pollution control, new liquor laws, hazardous and solid waste, he said.

"These all become local government responsibilities without new money sources. Anxieties exist in all our minds," Pett said. "And because of these anxieties, people aren't as forgiving or understanding as in the past. There seems to be more of a spirit of contention, confrontation and criticism."

Comparing Murray with a pearl, Pett urged residents to keep it polished and bright without stains. "But for us to do so, we must be willing to make good, tough decisions that benefit the majority and not the few," he said.