The Chronicle of Mt. Juliet, May 27, 2009, Page 3
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MJ manager: recession hasofficially hit City, budget suffers
www.thechronicleofmtjuliet.com
Mt. Juliet citycommissioners battledagainst an economicrecession that “has
fi
nallyhit” the city in order toapprove its
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scal year2009/2010 budget on
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rstreading Monday night.“The funds in Mt. Juliet have dried up, guys,”remarked City ManagerRandy Robertson at thetable Monday. “We’re notbuilding. I don’t want to doa budget based on hope.”Those “hopes” referto the eventual sales taxincome from big box retailerssuch as Wal-Mart, Lowe’s,and Publix opening in thenext year in Mt. Juliet. TheCity imposes a zero propertytax on its citizens, relyingheavily on sales tax incomeand new construction feesfor municipal income. The projected “
fl
at”general fund balance for June30, 2010, is $507,000.51. The budget includes a one-half percent pay raise for Cityemployees, which Robertsonreferred to as “fat” thatcould be trimmed but whichhe considered “incentive” foremployees within City Hall. The only additionalCity personnel affecting theproposed budget are threeadditional Mt. Juliet PoliceDepartment of
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cers, whichcould be covered by FederalHomeland Security stimuluspackage funds. Robertsonnoted that some $600 billion was requested nationwideand only $1 billion budgeted – so, best case scenario, theCity could hope to get one-half of additional of
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cersneeded, which is estimatedto be eight.Two issues surfacedas sticky points to theproposed budget, includingfee hikes for park rentalsand an increase in sewercharges.District 3Commissioner Ed Hagertytook issue with the proposedhikes early in the meetingduring the commissionercomments portion, statingthat people is his district“are suffering” due to theeconomic downturn. He saidthe rise in park fees, which heand District 4 Commissioner Jim Bradshaw voted againston both
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rst and secondreadings, was “indicativeof people suffering butgovernment growing.”As far as the budgetgoes, Mayor Linda Elamcommented that the GeneralFund is some $793,000 lessthan what was proposed forthis year, and that a lossof some $11 million “needssome explanation.”“That’s a disturbingpicture,” she remarked.“We’re taking in lessmoney than last year butspending more than last year,” Hagerty added. “If we did that with our own(personal) budgets we’d getinto trouble pretty quick.”Robertson said thatthere are two “primaryconcerns” with the proposedbudget: City staffers “did notbuild a Wal-Mart – basedbudget,” and that privatehome building permitnumbers are drasticallydown from previous years.As for the “Wal-Mart – based budget,” Robertsonsaid that there is “addedprosperity around thecorner, but we can’t base abudget on that.”And it’s commonknowledge that new homeconstruction has stalled,and that Mt. Juliet is,according to Robertson, nolonger immune.“The recession hascaught up with Mt. Juliet,”he told commissioners.Robertson addedthat “there’s nothing goingon of substance,” as faras potential, substantivecommercial developmentin Mt. Juliet. He said that,after speaking with Mt. Juliet Director of EconomicDevelopment Kenny Martin,“there is nothing on thehorizon for the next
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scal year.”“There are some Momand Pops, but nothing majorthat we know of,” Robertsonsaid.The hike in sewerfees stems from the factthat, of
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cials said, there hasbeen no increase in sewer
See BUDGET, Page 5
“We’re not building. I don’t want to do a budget based on hope..”
-- MJ City Manager Randy Robertson
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