CITY EMPLOYEES TO RECEIVE 5 PERCENT RAISE; JACKSON ALDERMEN APPROVE BUDGET

JACKSON -- The Jackson Board of Aldermen Monday approved what was described as a tight but fiscally sound 1991 budget that gives city employees a 5 percent raise and includes major capital improvement projects.

The budget was adopted by a 7-0 vote following a public hearing prior to the regular board meeting.

The budget calls for spending $9,488,996 from estimated receipts of $9,258,592. It includes a carryover of $3,074,757 in various fund balances from last year's budget. That balance is expected to be reduced to $2,844,353 by Dec. 31.

In a cover letter to the board, City Administrator Carl Talley said there are increased costs in almost every phase of city operations in the new budget.

He said departmental expansions or unexpected expenditures will need additional revenues to meet cash-flow requirements. He cautioned: "The development of this city's economic growth is needed before large expansions can be recommended for the future. It will be very important that this budget be followed very closely and revenues be studied frequently."

Talley said during the next 10 years city funds will not grow as fast as desired to meet planned repairs and replacement of equipment. He recommended some changes in the structure of revenue sources to maintain an adequate cash flow to meet city needs.

In addition to the 5 percent pay raise for employees, there is a 6 percent increase in water rates and money for the replacement of Well No. 4.

Capitol projects in the new budget include $500,000 for a water and sewer extension along East Jackson Boulevard; $125,000 for reconstruction of 34.5-kilovolt power lines; a Jackson Trails Road extension from Highway 25 into the Jackson Industrial Park, including construction of a new bridge over Hubble Creek; and a Bainbridge Road improvement project.

Talley said the budget is designed to allow the board to pick and choose some projects and, or, equipment needs as necessary. He said each major expenditure in the budget will be voted on as a line item at the time it is presented to the board for action.

Talley said after the meeting there is very little change from last year's budget.

"Every year it seems to get tighter," he said. "That's the problem of all cities ... the new projects they want to do, the old projects that are continuing, and equipment to be replaced. The budget battle is always there."

Although the city's financial condition remains sound, Talley said: "We're a growing community, and, when you have a growing community, you have growing costs of services that go along with that growth."

He said the challenge Jackson will face in the coming years is providing services to the growing areas of the city before tax revenues can catch up with the costs of those new services.

In other business, the board accepted the low bid of Fronabarger Concrete Finishing of Jackson for the Bainbridge Road improvement project. Fronabarger's bid of $185,314 was well under the engineer's estimate of $225,194, and was the lowest of bids, which ranged from $196,406 to $252,129.