UPDATED: The city is starting the year with about a third less money than it expected, spurring talk of substantial cuts to nearly every part of city government.
“There’s going to be dramatic cuts,” city Finance Director Elray Konkel said. “Nothing’s sacred. Not staff. Not community services.”
The city had predicted late last year that the city would start 2009 with $3.3 million. But the downward spiral of city revenues has only quickened, leaving the city with just $2.1 million to work with at the start of January.
In response, the administration is planning to slash about 15 percent of the operations budget, which funds staff and most city services.
“We’re looking at everything, and changing the way we do business,” Konkel said.