HomeMy WebLinkAbout1981 11-11 Maplewood faces budget deficit as revenues drop THE REVIEW Maplewood faces budget
deficit as revenues drop
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By JONATHON CLYDE GLASS aid payment for November,which had Battle Creek Regional Park will fall on
Staff Writer already been delayed several months,has Maplewood taxpayers. The council has
now been cut from$251,000 to$109,000, approved plans for the park with a
The city of Maplewood faces a$125,000 Evans says.Depending on the decisions of provision that those expenses be shared
deficit for the month of November,ac- the Governor and Legislature, the by municipalities throughout the area
cording to City Manager Barry Evans. December state aid payment may be that will be served by the park.
The city will have to sell some Treasury totally eliminated,Evans adds.Federal These economic uncertainties com-
bills prior to their maturation dates in revenue sharing,expected to be$163,000 pound themselves as city administrators
order to pay its bills and meet its payroll, next year,will certainly be reduced but try to negotiate 1902 wage contracts and
Evans notes. nobody knows how much,he continues. plan future budgets.In planning the 1982
Evans is uncertain how many months On top of these cutbacks, the city is budget,the city did not count on receiving
Maplewood can manage to absorb such considering legal action contesting the the money 3M is withholding,but the cuts
deficits. If they continue for-long, increase in sewer charges it and other in state aid have been a surprise.Evans
however,the city may have to layoff some northeastern suburbs are being asked to notes he had to withdraw his most recent
of its 107 workers,close city offices one pay for the treatment of water that contract offer to the city workers
day a week or otherwise reduce the overflows area lakes and enters the St. represented by the American Federations
number of hours city employees can Paul sewer treatment system. The of State,City and Municipal Employees
work,Evans explains. current formula,calling for a 50-50 split of Union because of dwindling revenues.
Maplewood's financial woes are caused treatment expenses between St.Paul and.
by a general sluggish economy and some the suburbs, would cost Maplewood Besides simply losing the money that is
peculiarly local dilemmas. The 3M tax residents about$131,000 next year.That being withheld by the state and federal
dispute, which reduces the city's expense would be charged directly to government and 3M, the city loses the
revenues by$937,000 over three years,is residents and would not come out of the interest it could have earned by investing
only one of the major financial problems city's general revenues. those funds,Evans notes. If the city's
confronting city administrators. The city council also is apprehensive financial condition significantly weakens,
Like other Minnesota cities,Maplewood that the cost of making public im- it also will have to pay higher interest
must respond to cuts in its state aid and provements and providing ongoing police rates when it sells bonds next year,he
federal revenue sharing funds.The state and fire protection for visitors to the adds.