City Studies Proposals for Closing Budget Gap

Increasing business license fees, installing more parking meters, raising the tax on hotel rooms and charging for false 911 calls are among proposals the city is considering to offset a projected $3-million to $5-million budget deficit next fiscal year.

The city staff has presented 36 potential revenue alternatives that could be implemented to raise money for 1996-97 general-fund budget needs. “We’re looking at available sources at this time, but we’re a long way from any decision,” Mayor Dave Sullivan said.

A recent budget study session revealed that, without new revenue, drastic cutbacks in programs and services will be required, including possible elimination of senior citizen outreach services and the Police Department’s antidrug program in schools.

The City Council so far has steered away from a proposal for a utility tax that could raise as much as $2.5 million a year. The council is seeking more detailed information, however, on these revenue alternatives:

* Raising the $75 annual business license fee by $10 to raise about $160,000.

* Imposing a sewer maintenance fee of $2.65 for each one-eighth of an acre parcel to raise about $3.8 million.

* Contracting the Police Department’s crime lab to other agencies for a fee.

* Increasing the trash pickup fee by 50 cents a month to generate about $250,000 a year.

* Increasing beach parking fees by $1 to raise about $300,000 a year.

Another budget study session is set for next Monday, followed by public hearings during the summer before next year’s budget is adopted Sept. 16.