Price City finance staff: $54.2 million budget shows shortfall; council to review line-by-line

City finance staff told the Price City Council that the draft combined budget for all funds totals about $54.2 million and is currently out of balance, and asked council members to review line items in the coming week.

"So tonight we're not so tonight we're not adopting anything. This is just, a compilation of the time to budget so far," Lisa said when presenting the packet. She later summarized the totals: "The total budget of all funds is, $54,200,000. Combined, it's out of balance 620,180."

The presentation included several clarifying transfers and obligations that widen the gap. Lisa said transfers to the pool and other required moves — including roughly $656,000 to a pool transfer and about $113,000 to a drug task force from the general fund — increase pressure on the general fund. "So once you do that, the general fund which is out 2,900,000.0, once you do that it's out 3,700,000.0," she said, and noted that even after the normal $2.8 million electric fund transfer the city was still "out $900,000." Lisa said she would send a more detailed packet and asked council members and the mayor to review revenues and line items and bring proposed balancing measures back to the next meeting.

Staff identified several drivers of the gap: unplanned debt, rising wages and medical insurance costs, new or continuing mandates, and subscription and software expenses for multiple departments. Lisa told the council she has tentatively included $10,000 for consultants to build a fiscal sustainability model. "I think that would be helpful, to go in and look at where, you know, we want to keep our fund balances," she said.

Council members and staff discussed narrower options and constraints. Members noted that restricted funds (for example, some equipment purchases) could be used for targeted purchases that do not further unbalance the general fund. Several council members urged pursuit of additional revenue sources; one recommended examining how neighboring counties and municipalities have created dedicated revenue streams for public safety.

Other implementation items mentioned in the briefing: the capital improvements program (CIP) was reviewed by the budget committee and several projects will be paused until revenue is clearer; the Community Impact Board (CIB) application deadline was noted as imminent for projects seeking state funding; and staff flagged equipment needs for public works (replacement dump trucks and an asphalt roller) tied to available Class C road funding.

What happens next: Lisa said she will circulate a detailed packet with back-up schedules and that council members should prepare proposed line-item changes. She asked the body to take a week for review and be prepared to discuss options at the next meeting. No formal motions or votes were taken on the budget at this session.

Budget numbers and key clarifications from staff are approximate and were presented by Lisa during the meeting; staff characterized some figures as provisional pending further grant and revenue confirmation.

The council also discussed broader revenue possibilities that could affect future budgets, including county-level or special assessment approaches for public safety used elsewhere; that discussion was described by participants as brainstorming rather than a decision.

For now, staff asked the council to focus on line-item review and indicated a revised packet and suggested balancing proposals would follow in the coming days.