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City projects $29 million deficit, but has yet to release hard numbers

Updated: Wednesday, 16 May 2012, 6:05 PM CDT
Published : Wednesday, 16 May 2012, 11:45 AM CDT

MOBILE, Ala. (WALA) - The City of Mobile has said the projected deficit for the upcoming fiscal year is $29 million. That number has drawn some criticism.

"Nobody knows what the real deficit is," said City Council Member John C. Williams.

Tuesday, the city's Finance Advisory Committee Chairman Bay Haas said the deficit is anywhere between $15 and $30 million.

Finance Director Barbara Malkove said there is no way to tell exactly how much of a shortfall the city is facing next fiscal year.

"What I did was come up with the worst possible scenario: if we had no more revenues and we left all of our expenses the same," said Malkove.

That mulit-million dollar estimate isn't the only scenario Malkove said she's provided.

"This worst possible scenario is the only one anyone has talked about so far. So there were other estimates given and other projections given not nearly so dire," said Malkove.

She recalls a number as low as $11 million has been mentioned.

Malkove said the $29 million deficit reflects business as usual for Mobile, if no cuts were made and no additional revenue source was found.

City Council Member William Carroll said he rather work with actual numbers and there should be a way to come up

"I think what people on the council and what others would really like to see is where are we actually and what is it we truly have to do," said Carroll.

Mayor Sam Jones said if nothing happens soon, his budget will reflect a $29 million shortfall.

 

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