Phoenix cuts 520 jobs, still faces $64 million deficit Reported by: ABC15.com staff Last Update: 3/02 11:08 pm More cuts on the way as city leaders continue work on budget? Phoenix cuts 520 jobs, still faces $64 million deficit Related Links
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PHOENIX – After hours of public testimony, the Phoenix City Council has passed a budget that reduces the state deficit to $64 million and eliminates more than 500 jobs.
The 7-to-2 vote came with dissent from Councilmembers Peggy Neely and Sal DiCiccio.
The reductions include the cutting of 520 jobs.
According to the City Council, many of the job loses will be spared through retirements and pay cuts/demotions.
The budget plan will be effective April 5, 2010, and city council members say they will continue to look for ways to cut the remaining deficit.
Under the plan, there will be "no sworn layoffs" of police officers or firefighters in Phoenix. Six libraries that were slated to be closed under the first trial budget will now remain open. Five senior centers and most parks programs and community centers were spared.
In an attempt to limit the layoffs, City Council members voted to approve a 2 percent tax on food purchases in February. And many millions of dollars were from one time "financial transactions" or juggling that won't be available for next year's budget. The city will spend $500,000 for an audit to find even more ways to save money.
The council voted 6 -3 on the tax as a way of closing a $241 million budget deficit.
That tax will take effect in April and last five years.
Over the last few months, the city has held a series of public meetings to get citizen input about the proposed budget cuts.
For the city, budget cuts have already turned back the clock. Right now, the police department is at 2004 staffing levels.
