SPRINGDALE: City OKs $236,000 in budget cutbacks

Seeks more input on liquor levies

By Richard Massey

Posted: July 29, 2009 at 5:32 a.m.

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SPRINGDALE — Cost cutting continues at City Hall.

Aldermen on Tuesday approved $236,000 in budget reductions in the fire and parks departments while also considering taxes on mixed drinks served in private clubs and hotels.

The latest round of budget adjustments come two weeks after aldermen authorized cuts in the administration and building departments and implemented an increase in the permit fee for garage sales.

So far, cuts have totaled $333,000.

Using a mix of increased fees and reductions in operating expenses, Mayor Doug Sprouse is trying to improve the budget by as much as $1.9 million. Sprouse is expected to make more recommendations as the year unfolds.

The biggest cuts in the Fire Department were for fuel, at $30,000, and in personnel, where a vacant $30,000 position will not be filled. The department also recommended cuts in travel and training, supplies for public education, and annual physical examinations. But Alderman Jim Reed said the $20,000 set aside for physicals should remain in the budget, and his colleagues agreed.

"It's something we have to keep in there," Reed said.

This year's drop in fuel prices allowed the Fire Department to conclude that $85,000, instead of $120,000, was enough to make it through the year. And rather than send firemen to seminars, the department is thinking about bringing instructors to Springdale for continuing education.

"This is well within what we think we can manage," said Assistant Chief Kevin McDonald, referring to the cuts.

In the Department of Parks and Recreation, the council authorized $77,000 in reductions. The largest cut was for $52,000, the old salary for the position of assistant parks director. When Rick McWhorter was promoted from that position to director, he had his former job, and its salary, dissolved.

"I felt like these were cuts we could make without directly affecting our services," said McWhorter.

In regard to revenue, aldermen agreed to seek more public input on the issue of passing a 10 percent tax on mixed drinks served at hotels, and a 5 percent tax on alcoholicbeverages sold at private clubs.

The ordinances authorizing the taxes were read once, but before an ordinance can go up for a final vote, it must be read three times. Staggering the readings over two or even three meetings will give the public plenty of time to comment on the taxes, said Aldermen Jesse Core and Jeff Watson.

Meanwhile, Alderman Kathy Jaycox said she's against the proposals.

"Now is not the time to raise taxes," she said.

Sprouse, who supports the tax, said he hopes the levies can raise as much as $100,000 annually.

"I think people will pay the tax," said Sprouse. "I disagree with Kathy."

Northwest Arkansas, Pages 11, 12 on 07/29/2009

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