Posted: May 7, 2012 5:13 PM by Kathy Kuretich
Updated: May 7, 2012 9:18 PM
In order to balance the budget, Grover Beach city officials say, six city employees may lose their jobs.
City Manager Bob Perrault said they've been working on reducing their 800-thousand dollar deficit for months, and the layoffs are needed to get the city get out of the red.
The positions include two full time clerical employees, and four temporary employees -- also in clerical and administrative positions.
He said they've already reduced the deficit by half, and currently, the city's budget is $7.2 million dollars and they need to get it $6.8 million.
But that's quite a difference from what it used to be just three years ago, when the city was working with an $8 million dollar budget.
City officials say they've taken a big hit since then, with sales tax revenues down and property tax down 12-percent.
They've made up some of the shortfall by using gas tax revenue for street repairs, and now the possible elimination of some of their workforce.
"No one wants to lay off employees. We have a hard working staff led by the city manager, and these are not decisions made lightly," said Mayor John Shoals.
The mayor said there are no tax hikes on the horizon.
But with the economy still sluggish, the city manager said they expect to remain at a $6.8 million dollar budget for the next three years.
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