Morgantown Facing $800,000 Shortfall In Taxes
Written by Your 5News Team
Last updated on May 22, 2013 @ 7:19PM
Created on May 22, 2013 @ 5:55PM
It looks like city officials in Morgantown need to get use to the color red. That's because they're facing a shortfall of $800-thousand.
Morgantown City Manager, Jeff Mikorski, told 5 News that shortfall is due to the fact that projections for the taxes they would get from construction was admittedly higher than they should have been. He said luckily that shortfall really won't have an impact on services provided by the city.
Mikorski said officials started noticing some red flags in the beginning of this year. That's when they started looking at some of the revenues that were projected to come in this year.
Mikorski said the reason they're so far in the hole is because several projects in town have been delayed. That's also why city officials are making changes to the current budget.
Mikorski mentioned folks who live in Morgantown won't see much of a change. That's because that money doesn't go their general fund, which helps pay for fire and police services. He said it also means no one will lose their job and no services will be cut.
The only difference folks will see is that there will be a few less construction projects that take place.
Mikorski mentioned that it'll probably take two years for the city to get back on track.
"People shouldn't be worried about the services that we provide being impacted by this," he said. "We're making modifications to this budget and the next year's budget to offset a lot of those delays."
Mikorski added that the city is seeing an increase in their capital escrow fund, but he mentioned again that won't make up the entire difference.
City council members are supposed to take another look at these changes at their meeting the first week of June.
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