Rolling Meadows looks at layoffs to balance books
To save almost $2 million in the 2009 budget, some Rolling Meadows City Council members backed the idea of laying off eight city employees at a budget workshop Thursday night.
"We have a problem with this budget and we need to deal with it," said Alderman John Pitzaferro. "I believe we've been fiscally irresponsible with the people's money. If people ran their household like this, they'd be out of a home."
Pitzaferro was referring to the more than $2 million deficit in 2009. Rolling Meadows is also facing a $530,000 shortfall from 2007 and a $1 million hole from 2008.
"I don't like layoffs; no one does," Pitzaferro said. "But we can't continue to spend more than we take in. Next year we're looking at $48 million in revenues and $50 million in expenditures."
The layoffs would come from the city's police, fire, public works, finance and administration departments, according to a city memo.
Besides the layoffs, city officials also discussed eliminating refuse bags and making the full-time position at the Police Neighborhood Resource Center a part-time position instead. City officials first established the Police Neighborhood Resource Center in the heart of the East Park Apartments in 1991 as a way to reach out to the mostly Spanish-speaking immigrant community. Aldermen also talked about postponing building a new fire station.
In February, the council approved spending $1.2 million to build a two-bay station at Algonquin Road, just west of Weber Drive. City Manager Tom Melena suggested moving the money into a special "future fire station" account to be used in the future.
Alderman Tom Rooney wants to make sure future city councils don't turn that future fire station account into a general slush fund account.
"It would be a broken promise to the people of this city," Rooney said.
About 74 percent of the city's operating budget pays for city employee salaries and benefits.
Finance officials blame the tough economy for the city's budget problems. This year, Rolling Meadows saw a 43 percent increase in fuel and vehicle costs, a 15 percent increase in the price of buying water from Chicago and a 9 percent increase in garbage pickup fees.
Cities throughout the northwest suburbs are facing tough budget times, Melena said.
"Naperville is looking at laying off 23 people, Des Plaines is looking at 12 layoffs," he said. "Everyone is running into the same problems."
City officials will hold a public hearing on the budget on Tuesday, Nov. 18 and approve the 2009 budget in December.