City won’t ask for tax hike to meet trimmed budget

Diana Sahagun

Tuesday, April 16, 2002 | 8:46 a.m.

Las Vegas residents aren't expected to receive a property tax hike in the upcoming fiscal year, but the city has made some drastic cuts to its own budget, leaving little room for growth.

The tentative 2003 fiscal year budget, unveiled during a City Council workshop Monday, shows an overall budget of $945 million, which includes an operating general fund of $367 million.

Mark Vincent, the city's finance director, said the 2003 budget, which begins July 1, represents a 5.8 percent increase over the current fiscal year but still falls $1 million short of covering projected expenditures.

The outlook isn't so bleak that the city will have to ask taxpayers to help cover revenue losses, but officials say the council will have to do more with less.

Much of the nearly four-hour workshop centered on the council's funding request for $82 million in parks and capital projects throughout the city. With only $24.4 million available, the council had to decide which projects would be sacrificed.

For some council members, such as Councilman Larry Brown, that meant phasing in funding of a $17 million baseball complex at Alexander Road and Hualapai Way in the northwest over the next three years, rather than completely funding it in the coming year. Other council members postponed their projects entirely until 2004.

The council is expected to make final decisions about which projects will be funded at a future meeting.

The budget reflects difficult economic times as local and state governments continue to struggle with the aftermath of Sept. 11, escalating utility rates, and threats from California gaming, said Deputy City Manager Steve Houchens.

"We are faced with an uncertain future," Houchens said. "The message for the future is not optimistic."

More than half of the city's general fund -- $202 million -- is spent on public safety. The largest portion goes to Metro Police, which will receive $89.8 million, and the fire department, which will receive $67.8 million.

The fire department will see new positions, three new fire stations, and equipment thanks to a voter-approved fire initiative of 2000.

Vincent said there would have been a $10 million shortfall had the city not made drastic cuts, including eliminating 19 staff positions that were vacant nine months or longer.

The $1 million shortfall is due to a one-time payment expected for firefighter salaries, once negotiations are finalized with Las Vegas Firefighters Local 1285. Vincent said the deficit will be carried over into the next fiscal year.

The final hearing on the budget is scheduled for May 14, before the budget is due to the state on June 1.

Not included in the tentative budget is $3.8 million that Clark County is expected to request from the city due to cost overruns at the Regional Justice Center.