The Morning News reports that the city administration continues to refuse to offer a balanced budget for council approval

A year ago, the mayor presented a budget that would have required deficit spending or a tax increase. But the council had several long public meetings with departmental leaders and finally agreed to freeze hiring and to make various cuts without a millage increase or a sales-tax raise or a dip into the reserve fund.
This year, the mayor expects the council to do the same thing. It does appear to be his turn to balance the budget. Everyone sees areas where more money is needed.
Please read The Morning News story about the city-budget issue at
City council says it is mayor's turn to present a balanced budget
The Morning News

Local News for Northwest Arkansas


Without A Balanced Budget, Council To Suspend Talks

By Skip Descant
THE MORNING NEWS
FAYETTEVILLE -- In the next few weeks Fayetteville Mayor Dan Coody would like to begin holding Saturday workshops to discuss the 2009 city budget.
It's just not so clear how much talking -- or decision-making -- will go on during those meetings.
"I'm not going to discuss the budget until the mandate by the council that the administration bring us a balanced budget come forward," said Bobby Ferrell, a City Council member from Ward 3.
"I'll show up if I have to. I'll take part. But I won't vote," said Ferrell during Tuesday's council agenda session.
His position could be sensed around the board table.
"We gave you a resolution to give us a balanced budget," council member Lioneld Jordan told Coody.
"We've asked for a balanced budget every year," Shirley Lucas, the other council member from Ward 4, chimed in.
In August the council voted 5-3 to require that the administration submit a proposed balanced budget, which does not dip into reserve funds.
"I find it rather interesting that we get slapped in the face every time we ask for a balanced budget," Ferrell said after the Tuesday meeting.
Since then, Coody brought the council a budget which would dip $535,000 into the city's surplus.
Coody was unwilling to propose a tax increase or cut service and or jobs. And -- in short -- if the council members wanted a balanced budget, they should be the ones to make the cuts or raise the taxes.
"If you don't like what you were given, you change it," Coody told the board Tuesday.
However, what can't be ignored is the upcoming general election, where Coody will face five other candidates for re-election to a third term. And one of those candidates is Jordan, who wouldn't directly say how much discussion of the budget is due to happen before Election Day. But after the meeting he reiterated his firm position that Coody's administration should make the decisions needed to bring forward what the council asked for.
"He was given a legislative directive to bring forward a balanced budget, and until he does, there's nothing that's going to be heard," Jordan said.
The hope among city officials is that the trend in sales tax collections will continue on its current track. The city's tax figures are trending 4.24 percent above projections, said Paul Becker, Fayetteville's finance director.
The impact to the budget puts the general fund $185,000 above where officials expected it would be at this time. And the capital improvement program is up by $230,000.
"Essentially, we're pretty much on course," Becker said. "I believe our revenue projection will hold at the projections."