“We are expecting and have seen a drop in sales tax, hotel-motel tax, a drop in fines and forfeitures and other fees,” City Manager Jon Walker told the Chamblee City Council on Thursday. “Really up and down the revenue streams.”
Chamblee is considering cutting about $1.8 million from various city departments and using $1.7 million in funds that had not previously been allocated to make up for the lost revenue. The proposed budget eliminates city construction projects that have not already begun and public programs including summer camps and city events through July, according a memo to the city council.
Chamblee may also implement a hiring freeze and eliminate all “part-time employees due to lack of work,” the memo states, though it does not specify how many employees that could affect.
The amended budget could be approved at an upcoming City Council meeting.
Dunwoody has not proposed any staff cuts, but may reduce other spending by 5 to 10%, according to a recent presentation made to the council. That includes a $91,000 cut to the police department’s budget — mostly travel and training — and $200,000 from the city’s parks department, which has canceled several programs due to the pandemic.
» Follow DeKalb County News on Facebook and Twitter
The impact to smaller cities like Doraville may be less immediate. Other than a reduction in SPLOST revenue from sales taxes, Doraville’s current revenue forecasts are not as drastically impacted as some others’ because the city relies less heavily on retail, Mayor Joseph Geierman said.
He said the city expects a $200,000 drop in business taxes. Officials have discussed eliminating several vacant full-time positions and closing the pool and summer camp program for this year.
However, he said the city’s large residential tax base could take a hit next year if property values decrease as a result of economic shutdown.
“The council is committed to doing whatever it can to retain jobs and not to impact city staff,” he said.
Decatur City Manager Andrea Arnold said furloughs for 20 employees are intended to be temporary.
“The financial impact of the COVID-19 crisis requires that we must make some difficult decisions to control expenses,” Arnold said in a statement. “Our employees are our most important resource, and any decision that negatively impacts our employees is not an easy one.”