Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, April 16, 1991 TAG: 9104160587
SECTION: VIRGINIA PAGE: B-1 EDITION: EVENING
SOURCE: JOEL TURNER MUNICIPAL WRITER
DATELINE: LENGTH: Medium
But they are in no mood to raise taxes to provide $4 million that would be needed to increase salaries for municipal workers and teachers.
Members said City Manager Robert Herbert's budget does a good job of maintaining services during the city's worst financial crunch in 15 years, but they are troubled because there is no money for raises.
Asking the employees to work another year at the same pay is almost as distasteful as layoffs, Councilman James Harvey said.
Harvey said he was ready to push for raises until he found out that they would require a big tax increase. He did not cite an amount, but a 15-cent increase in the real-estate tax rate of $1.25 would be needed to generate $4 million. That amount would provide raises in the range of 4 to 6 percent.
Harvey told Herbert to make sure city employees get a raise next year, and Councilman William White expressed similar concern.
Scarcity is the theme of the $152.1 million budget, which is up $54,387, or .04 percent, over the current year.
The budget reduces the work force by allowing some vacant permanent jobs to remain unfilled and eliminating 10 temporary jobs. Another 50 jobs will remain vacant for varying periods. It also cuts some services and delays repairs to some buildings, and it includes a retirement incentive plan designed to persuade up to 124 employees to retire to lower payroll costs.
Herbert recommended no changes in tax rates.
Despite the bad news, Herbert was encouraged that there were no layoffs and that most services will not be reduced.
A public hearing will be held on the budget Monday at 7:15 p.m. at the Roanoke Civic Center Exhibit Hall.
"This conservative financial approach may not be pleasant, but I think it is the right one at this time," Councilman David Bowers said.
Bowers and other council members blamed the state for most of the financial woes, saying state aid will decrease by $2.7 million in the next year.
Councilman Beverly Fitzpatrick said that though he was disappointed at the lack of raises for city employees and teachers, he could not support a tax increase in the current economic conditions.
Herbert said one of his main objectives was for the city to maintain essential services without a tax raise.
During hard times, he said, "the city is committed to weathering the storm and keeping in place the framework that makes Roanoke a good place to live and work."
Although the budget is up by $54,387, Herbert said the amount of money under his control - that appropriated for city operations - will decrease by $416,530 in the fiscal year that begins July 1.
The school budget, which is included in the overall budget, will increase by $470,917. Local tax money for schools will increase by $836,668. That is still $2 million below what the School Board says it needs to avoid cuts in programs and provide raises.
Herbert's budget includes $87.8 million for operations and $64.3 million for schools. He provided an additional $127,626 for schools after the School Board adopted a $64.2 million budget that was based on preliminary revenue estimates.
"Education is a key issue in Roanoke and we have worked diligently to reduce the impact on schools," he said.
Herbert did not recommend any new programs in the coming year, but he proposed that $7,100 be budgeted for minority recruiting to try to hire more black police officers.
Herbert said he recommended the new funds as an initial step in a more aggressive minority-recruiting program. A Community Relations Task Force has not yet released its report on racial relations and black representation on the police force.
White and Bowers said they were glad Herbert included the money for minority recruiting. White said he is also happy the manager didn't cut funds for Center in the Square, Harrison Center, Total Action Against Poverty, Mental Health Services and other community service agencies.
The cost of dental and health insurance and other fringe benefits for employees will increase by $330,000 in the next year, and costs for gas for vehicles and postage also will increase. To offset higher costs in these categories, Herbert made cuts of $1.2 million in other operations.
by CNB