By James B. Bartle
The Sullivan City Council held a special budget workshop on Tuesday evening, May 26, at 6 p.m. in the council room.
The purpose of the meeting was to discuss the proposed Fiscal Year 2010 City Budget as required by state law.
City administrator Mark Falloon presented a budget overview to the council on what is being proposed in 2010.
Falloon stated that the 2009 budget reflected a year in which major capital improvement projects were winding down such as the Elmont overpass, Elmont/Euclid St. project, Wastewater Treatment Plant phase one and two, North Loop phase one and two with projects such as the treatment plant phase three, Springfield Rd. improvement project, Vine St. improvement project and Airport Master Plan land acquisition and storm water projects still pending.
Regarding personnel in the city, Falloon stated that the 2010 budget reflects no pay increases at any level in the city and the out-of-pocket health insurance costs would be increased to employees.  The personnel budget for all departments for 2010 is projected at $4,015,347 rather than $4,186,277 in 2009.
General Revenue funds were estimated at $4,013,442 in 2009 and projected at $4,101,355 in 2010. Overall expenditures in the 2010 budget would be $4,085,822 versus $4,461,345 in 2009.
The 2010 budget does not include hiring an economic developer due to overall economic conditions in the city.
The 2010 budget facing reduced revenues in sales tax and other supporting revenue will see the elimination of the City-funded fireworks display in 2010 and the marketing subsidy to the Chamber of Commerce which will provide a $16,000 savings to the city.
Falloon commented that the 2010 Capital Improvement Fund will bring in revenues estimated at $3,181,820 and expenditures of $2,962,933.
While electric rate increases may still be forthcoming from the city’s electric supplier, Sho-Me Power, revenues are expected to reach $10,607,654 in 2010 with expenditures at $10,586,063.
Water and sewer rates could see a slight decrease in the 2010 budget year with water possibly dropping from $34.32  for average users of 5,000 gallons to $24.69 and sewer rates from $45.88 to $45.11.
Falloon concluded his budget meeting by stating the city is overall financially stable. He stated that the General Fund continues to inadequately support itself based upon revenue stream from taxes. Staffing has remained flat more than 10 years with rising demands and expectations for service rendered. Expansion of services will require expansion of revenue streams to support those services.
Utility rates will continue to be a concern. Rates are generally where they should be to maintain the system and to upgrade the decaying infrastructure. Balancing the needs of working utility systems with the need to ensure reasonably affordable services and retention of residents, businesses and industry will be an ongoing effort.
The budget for FY2010 presented by Falloon to the council was deemed a balanced budget. The council will continue to hold workshops on the budget as items are “fine-tuned.”
The council is set to have another workshop on Thurs., June 4 at 6 p.m. This workshop will include the Strategic Plan update and budget review.
The council concluded their special meeting at 9:30 p.m.