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HomeMy WebLinkAbout1981 11-11 Maplewood faces budget deficit as revenues drop THE REVIEW Maplewood faces budget deficit as revenues drop .yov //,ifl/ 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.