Lakewood – Frustration with the city’s dire budgetary situation and a possible sales-tax-increase remedy dominated citizens’ comments to Lakewood officials on Tuesday.
“What bothers me is that I haven’t heard anything about what the city did to get where we are, and what is being done to ensure this doesn’t happen again,” said resident Jim Collins.
The state’s fourth-largest city must trim $10.5 million from its budget over the next two years.
City Manager Mike Rock said the cost of providing services has risen about 5 percent per year while revenues have risen only 2 percent, causing the city to cut $13 million and 101 jobs between 2001 and 2005.
The problem has been stagnating revenues from sales and use taxes, Rock said. The city gets 52 percent of its $72 million annual budget from those taxes.
The council is preparing two budgets – one with cuts that include elimination of 72 city jobs and reductions in services and programs, and another that includes asking voters to approve raising the sales tax rate from 2 percent to 3 percent.
By Aug. 1, the council must decide on what tax hike will be proposed on Nov. 1.
If a sales tax hike is approved, Rock said, the city would not make cuts such as closing outdoor pools and “mothballing” 70 parks, would restore some previously made cuts, and would replenish emergency reserves.
“Your presentation says it’s Christmas or it’s hell,” said Mark Sorecy, who owns a local gym. He accused Rock of being “a salesman and a city manager with a lot of propaganda that is creating fear.”
Bob Zachman, a retired Jefferson County band director, said he supported the sales tax increase since cutting the cultural center’s activities by 70 percent would lower Scientific and Cultural Facilities District funding.
Former Councilwoman Edie Bryant called recent budgets “a fantasy” that need to be adjusted midyear and accused city officials of “a failure to communicate” the city’s fiscal situation.
Fred Zastrow said he moved to Lakewood in 1970 since it was considered “very nice,” but “I can’t say that today.”
Mayor Steve Burkholder and about half of the 10-member council listened in the audience. Another session is set at 7 p.m. today at City Hall, 480 S. Allison Parkway.
Staff writer Ann Schrader can be reached at 303-278-3217 or aschrader@denverpost.com.
