A special fund the city created in July to make up for lost revenue during the economic downtown was intended to last two-and-a-half years, but an unexpected decline in several revenue sources may completely tap the fund a year early.
City Finance Director Chris Lyons said he anticipated using $1.3 million from the $2.9 million Budget Stabilization Fund this fiscal year. He revealed last week that the city might need to use double that amount to shore up a shortfall in four revenue streams: half-cent sales tax, state revenue sharing, investment earnings and electric franchise fee (see box).
“It’s not possible that the $2.9 million will last two-and-a-half years,” Lyons said.
City Manager Bob Bartolotta anticipates the stabilization fund will run out of money by January 2010.
“We’ll be without a safety net then,” Bartolotta said.
But Lyons said he’s not worried about the financial situation when the fund runs dry, because the city maintains a $15 million balance in its general fund reserves, which go to such things as payroll and utilities.
“It’s not that risky,” Lyons said. “We still have a pretty sizable (general) fund balance.”
Currently 0 Responses
18 600-plus pilgrims to join city leaders, clergy for Good Friday pilgrimage down Main Street
18 Jungle Trails & Bunny Tails Easter Event
10:00 am - 3:00 pm
18 Goodwill Hosts Electric Vehicle Revolution Luncheon
11:30 am - 1:00 pm
18 Friday Fish Fry
5:00 pm - 8:00 pm
Temple Beth Sholom’s youth group celebrated Passover with a Chocolate Seder Sunday, April 13.
Members of the Sarasota Seminole Club worked with Habitat for Humanity of Sarasota as part of Florida State University’s Seminole Service Day.
Piero Rivolta and his wife, Rachele, opened their home to the Pines of Sarasota March 26.