COUNCIL DEBATES TRASH FEES; VARIOUS WAYS TO CUT BUDGET ARE DISCUSSED

Cape Girardeau City Council members Thursday sought ways to further trim a lean city budget in hopes of avoiding staff recommended hikes in the property tax levy and in trash and water fees.

Some of the council members said they were "uncomfortable" raising sewer fees in particular, because solid waste has been such a volatile issue among residents in the past year.

The council already has voiced support for various increased user fees for the city's golf course, swimming pools and recreation programs.

The city's administrative staff also has recommended raising trash fees from $8.90 to $10.50. And water fees would be increased 3 percent in the proposed budget, which also includes a recommended 3-cent hike in property tax.

Assistant City Manager Al Stoverink said the property tax increase would amount to about $3 annually on a $50,000 home. He said the total of all three rate hikes would be about $4 monthly for the average Cape Girardeau household.

But Mayor Gene Rhodes said he opposed raising trash fees. Other council members suggested waiving the fee increase until a citizen task force could be appointed to study solid waste issues and make fee recommendations.

The city staff had recommended the task force be formed to consider various methods of billing trash fees on "per volume" basis and to study the impact of a regional solid waste district on local recycling and solid waste operations and costs.

But Councilman Melvin Gateley said he would rather wait to impose higher fees until after the task force had a chance to study the issue. Councilman Doug Richards said he agreed.

"I would personally like to see no increase on the trash until after the task force makes a recommendation," Richards said.

"People are up in arms about the trash right now, and I'm sure they would appreciate the opportunity to provide some input or look at some alternative ways to increase revenue."

But Councilman Al Spradling III said that every month that goes by without a fee increase will only increase the hike when it's finally implemented.

"If we put it off, we're going to be postponing the inevitable," he said. "The longer you wait, you're going to put yourself in a world of hurt."

Stoverink said that without a fee increase, solid waste operations will run a monthly deficit of about $20,000. "The longer it delays, the more you'll eat up cash reserves," he said.

The city's cash reserves traditionally about $1 million for the general fund have dwindled to slightly less than $500,000 in the past two years. Rhodes said earlier in the meeting he supported a staff recommendation to begin to replenish the reserves.

Gateley said he thought a task force on solid waste wouldn't need a lot of time and could make a recommendation to the council within 90 days.

But Mary Wulfers of the council and Richards both said they thought 90 days was insufficient to fully consider the matter and would also limit public comment.

Spradling said he wasn't opposed to forming a task force to study solid waste, but that the council needed to approve a fee hike with the budget.

Councilman David Limbaugh said he agreed. He said the fee issue isn't something that should be studied by a citizens committee.

"I see a potential danger in letting a committee feel they're going to have a say in fees," he said. "I think we're copping out when we say that.

"We know what the costs are. If you guys (staff members) know it's going to take a fee increase, then let's take the political heat and raise them."

Gateley said he thought citizen participation in the decision was important.

"My philosophy is, if you've got a challenge, go to the people, and you'll get an answer," he said. "This is something that's been a real bone of contention."

But Wulfers said the task force and fees should remain separate issues.

"The task force is to look at the methodology of how people are to be billed," she said. "The other item is making sure that the fees we charge are covering our costs so that we're breaking even."

Rhodes asked if money could be cut from other areas, such as capital equipment, to compensate for the solid waste deficit.

But Richards said he was surprised that the staff was able to trim the capital equipment purchases as much as it has. "I think this is going to bite us in the next few years as it is," he said.

City department heads said they have continually trimmed expenses.

Fire Chief Gene Hindman said he buys used car parts for his non-emergency vehicles when they break down; shops at discount stores for supplies; and recently used pieces of tin to fix a truck so the driver's feet wouldn't "go through the floorboard."

Stoverink said: "When you talk about cutting costs, you're essentially talking about cutting personnel.

"We just eliminated 10 to 12 people and cut $200,000. That wasn't a very popular issue, but that's what we've had to do."

The council took no formal action on the budget, which will be considered further at a council meeting Monday. Final budget approval would come at the council's June 15 meeting.