Julie Yates
Ron Kolker, accountant for the City of Pryor, said Tuesday that the city’s finances are “in great shape” considering the economic conditions.
Kolker described the city as “better off than most” as he addressed committee members at the monthly Pryor budget meeting.
The committee recommended council approval of Kolker & Kolker for accounting services for the next fiscal year. Kolker raised the cost for his
services by $500, making the total fees$20,000. He told the committee that he increased the cost because of the time required to do the job.
Kolker said the city budgeted over $5 million for fiscal year 2008-2009. He said Pryor is looking at a general budget of $4.9 million in the next fiscal year, which begins July 1.
The new budget will need council approval by the second meeting in August.
Kolker said because sales taxes are down, the city’s revenue is less. Kolker said in a normal year, sales taxes increase.
“This isn’t going to be a normal year,” he said.
A city budget must be figured on 90 percent of the city’s existing and incoming revenue by law.
The city can substitute budget shortfalls by using the use tax from Internet sales and real property acquisition funds, which are one-tenth of 1 percent of the sales tax.
The city uses use tax for capital outlay funds, which are used to purchase new equipment and vehicles. The city received no use tax in April because businesses overpaid in taxes that month.
Kolker said the city can always pull the reserve funds into the budget in August if needed. Kolker said he may recommend the city add an amount from the reserve to the budget by the first August council meeting.
“We’ll let you know that ahead of time,” he said. “We want to transfer what is necessary, but not any more than what is necessary.”
The city has instructed all departments to have their purchase orders for the current fiscal year submitted by
June 13. The mayor said he has instructed city departments that all purchase orders must be approved by him.
Tramel asked all department heads to make a 5 percent cut in their budgets for 2009-2010.
Kolker said he encourages all departments not to use any funds left over. The city can incorporate those monies into next year’s budget.
Tramel repeated that Pryor cannot operate on a $5 million budget in
2009-2010.
“I don’t want to cut us to the bone,” he said. “Everybody needs to take a partial cut.”
Tramel said he wants to steer away from employee layoffs and furloughs, which are days off without pay.
“We want people to survive,” he said.
Tramel said he included himself in budget reductions.
“I have cut my salary,” Tramel said, explaining the budget for incidental expenses has been cut since his salary is set by council and cannot be reduced.
He said the city’s budget includes money for traveling to required mayoral and educational meetings. That budget was cut $1,000, leaving only $2,000 for next year. Tramel said any costs incurred above the $2,000 will be taken out of his pocket. He said the budget for hotel costs was also cut, and he will pay for any expenses over the budget.
Tramel said he plans to lay out a job description for the city’s emergency
manager. He intends to change the
functions and requirements of the
emergency manager.
“We can no longer afford to pay Johnny Janzen $15,000 a year,” he said.
Tramel also mentioned increasing the cost of rural fire runs. He said rural fire runs have not increased for eight years. On rural calls, the cost is $500 for the first fire truck and $300 for each additional truck needed.
The mayor said the fire department’s donation account, currently at $58,000, could offset some costs of volunteer firefighter training. The fire department takes in approximately $8,000 a year in donations. Tramel said the city may include 90 percent of the yearly intake for the 2009-2010 budget.
“The fire department’s budget cannot go down in order to maintain the quality of service that we have,” said Tramel.
Fire Chief Tim Thompson confirmed the fire department had close to 1,100 calls last year.
Over half the fire department’s calls were medical runs in the City of Pryor. The county ambulance service, Mayes Emergency Services Trust Authority (MESTA), is located out of town at the industrial park. On emergency calls within Pryor, Pryor Fire Department is available to be on scene first.
Tramel said he is glad to know the city’s fire department will be there if his elderly father needs medical assistance.
“MESTA’s there for us, we want to be there for them,” said Tramel.
