Cuoio told the council that with the housing market stalled and consumer confidence shaken, it’s necessary to continue to “take a conservative approach to budgeting and remain fiscally prudent.”
“We are living within our means with the 2010 budget,” he said.
The proposed budget totals $102.8 million. It includes a $35 million general fund that pays for basic services. That’s an increase of about 1.5 percent over this year if spending cuts that the city made earlier in 2009 because of a drop in revenues are included.
The city will pay Lacey Fire District No. 3 more than $4.8 million to provide firefighting and basic emergency medical response to city residents, a 10 percent increase from this year. The increase includes additional overtime the city will pay the district to keep the fire station in Hawks Prairie staffed.
The city plans to begin to operate its own fire department in January 2011, after its service contract with the district expires. The move is a result of a dispute between the city and the district related to financial decisions that included the closure of the Hawks Prairie fire station for more than four months.
Other expenditures include a major road project next year that will extend Mullen Road from Ruddell Road to College Street. The city also will finish construction of the Lacey Woodland Trail from the city limits to Woodland Creek Community Park.
The city will hire no new employees next year. It has 252 full-time-equivalent positions. Hiring for some vacant positions has been frozen, Cuoio said.
Residents also will see increases in their water rate next year.
The city has budgeted $50,000 to design a 5,000-square-foot expansion of the Lacey Senior Center, which opened in 2004.
It also earmarked funds to purchase automatic external defibrillators that will be installed in patrol cars so that police officers can aid residents suffering heart attacks.
The city will hold a public hearing about the budget Nov. 19. The council will vote on adopting the budget Dec. 3. The budget will take effect Jan. 1.
Christian Hill: 360-754-5427
chill@theolympian.com
