Skip to main content

Staff laid off by Friday

By Sara StrongCuts in the Luverne city budget now have come down to employees, after cutting what it could still left the city $47,691 short for the year.The city will lay off three full-time employees and some part-time employees. The full-time employees are from City Hall, Public Works and Utilities departments. Originally, more were going to be eliminated from the Public Works Department, but to get through the year and be fair to workers, the Council gave Interim Administrator Jeff Haubrich direction to also take an employee from Utilities.Councilman Pat Baustian suggested the electric line burying project could be put off, to allow a smaller utility department to meet basic obligations.The first recommendation wasn’t to lay off Utility employees because that department generates its own revenues.The Utility Department draws from its own separate account, because it makes money from utility customers. Other department salaries come out of the general fund. The Utilities Department subsidizes other city functions such as the Economic Development Authority, so Baustian said the Council should be able to transfer more money out of Utilities into the general fund.Baustian said, "It’s revenue we can use elsewhere." He said a new city administrator, once someone is hired, may see things differently and can make more changes as needed.Councilman David Hauge said he feared delaying more layoffs will only cost the city more in the long run."The layoffs, as bitter as they are, should’ve been done a month ago," Hauge said.The Council has cut $119,000 from its budget and might have to trim more in December, when state subsidies to cities are due. If the state has another budget shortfall, money to cities could be cut again.Baustian said that looking at the entire way the city runs will help save taxpayers and people’s jobs in the future.He said it’s probably time for "old spending habits" to stop. Even though capital improvements are a part of what makes the city run well Baustian said, postponing those for a few years may be a good idea.He suggested taking the $39,000 left in the capital improvement fund for this year and transferring it to the general fund to help the city get through 2003. In looking at cuts outside of employees, Mayor Glen Gust said he supported keeping $4,000 in winter recreation funding, which helps the Luverne Hockey Association."I don’t like to see kids’ stuff affected. If they’re not kept busy, they’ll do something else that’ll cost us more," Gust said."The problem," Councilman Bob Kaczrowski said, "is that we can come to every one of these line items and find someone who supports it."Gust said he would like staff to examine each of their smaller expenses to get the city through the coming years, even though the city looks to make it out of 2003 with a balanced budget."What about dues, training, advertising, memberships, publishing the newsletter?" Gust said.Haubrich said, with that direction, he can bring more specific line items back to the Council.

You must log in to continue reading. Log in or subscribe today.