JACKSON, Mississippi — Estimates show $15 million gap in what tax revenue will bring in to the city of Jackson for the next fiscal year compared to the amount requested by city departments, according to the city director of administration.
The Clarion-Ledger reports (http://on.thec-l.com/1LpDz0L) the city is in the process of preparing a budget for the new fiscal year, which begins in October.
On Monday, the city council's budget committee had a discussion about the 2015-2016 budget and received a report from Director of Administration Trivia Jones.
City Council President Melvin Priester Jr. said the city's budget is in a dire situation.
Jones said the city is moving to a priority-based budget for the upcoming fiscal year. She said the estimated amount of property tax revenue to come in for the next budget year is $106 million. She said department heads were asked to provided figures on the amount needed for their departments to operate.
Initially, the total amount sought by departments heads was $138 million, $32 million more than tax revenue estimates. The administration told them to cut back their budget requests to 2014 budget year levels, and the total amount requested under that level is $121 million, or $15 million more than property tax revenue estimates.
"Get ready to roll up your sleeves," City Councilman De'Keither Stamps said Monday at the budget committee meeting.
Jones said the city is estimates to have 0.1 percent decrease in tax revenue for the upcoming budget year.
However, Jackson's total assessed property value decreased slightly. The 2015 value is $1.212 billion, which is down 0.1 percent. Hinds County Tax Assessor Charles Stokes said a state law that went into effect Jan. 1 exempting disabled veterans and their surviving spouses from homeowner's taxes is primarily responsible for the decrease in Jackson.
Information from: The Clarion-Ledger, http://www.clarionledger.com