Denver Mayor John Hickenlooper’s administration is planning to slash an additional $22 million from the city’s budget next year — beyond the $34 million in budget cuts in place or proposed.
City employees and the public will get details on the latest proposed reductions Thursday, said Ed Scholz, the mayor’s director of budget and management.
“We’re still tweaking the plan,” Scholz said.
Scholz told members of the Denver City Council during a meeting Tuesday that the latest proposals may include furlough days for city workers.
“There is not going to be anything drastic, like closing rec centers,” Scholz said. “But you will see on there some difficult choices.”
The administration originally crafted a budget for 2009 that projected revenues for the general fund would grow 2.9 percent, up to $896 million.
Instead, the downturn in the economy has taken a toll. Sales-tax collections, which make up nearly half of the city’s revenues, have lagged significantly. In November, the city collected 5.9 percent less sales-tax revenue than it did in November 2007.
Already, the administration has proposed using about $12 million in reserves, temporarily halting a bonus-pay program that rewards performance, and limiting merit increases for career service employees to 2.25 percent to help close the budget gap.
The administration also has asked the unions that represent police officers, firefighters and sheriff’s deputies to accept $4.9 million in salary cuts beyond what their negotiated contracts call for in 2009. The unions are still crafting a response.
Tuesday, the City Council’s General Government Committee forwarded to the full council the proposal to temporarily halt the bonus-pay program.
Councilwoman Carol Boigon expressed concern, saying she hoped there would be a way to restore the bonus pay and increase pay if the budget situation improved.
“We will continue to monitor sales- tax receipts and economic indicators to see if additional furlough days are necessary throughout the year,” Hickenlooper said in an e-mail he sent Tuesday to city workers. “If additional measures are required, mandatory furlough days remain an option and were suggested by many of you.”
Christopher N. Osher: 303-954-1747 or cosher@denverpost.com
