By Amanda Estes

Staff Writer

    With a 4-3 vote, the South Portland City Council
passed an $81.5 million budget for the next fiscal year, which reflects
a $2.6 million increase or 3.3 percent increase from the current year’s
budget.

    With the total needs from taxes at $51 million, an
increase of $2.2 million or 4.4 percent from the current year, the
median single family home assessed at $212,000 can expect to see an
increase of $117 over this year’s tax bill, provided valuation holds
said Finance Director Rob Coombs.

    Jim Soule, Ralph Baxter and Kay Loring voted against
the budget. Soule’s dissention was over the use of $57,881 in TIF funds
for the salaries of the city manager, assistant city manager, planning
director and community planner. Currently, 15 percent of both the city
manager and the city planner’s salaries and 10 percent of both the
assistant city manager and community planner salaries come from TIF
money.

    At former City Manager Ted Jankowski’s salary of
$104,000, 15 percent of TIF funds translates to $15,600. Soule said TIF
money is meant for infrastructure and economic development.

    On Tuesday, Acting City Manager Jim Gailey said the
use of TIF funds for salaries was a “confusing item at this point”
because of the vacancy due to Jankowski’s departure. 

    Baxter said he disapproved of a budget that exceeded what citizens should pay.

    “No one has mentioned citizens having trouble
keeping up with their tax bills,” he said referring to the series of
budget discussions. “I don’t understand why we don’t have the courage
to cut anything.”

    At the May 21 budget workshop there was some support
for a one percent cut across the board with some disagreements whether
the fire and police departments should be included in those cuts. On
Monday, Baxter said he was still in favor of a one percent cut that
excluded the police and fire departments.

    Maxine Beecher, who first proposed the one percent
cut, said the 4.43 percent increase “keeps the level of services at a
level we in South Portland are used to.”

    The council made several amendments regarding
municipal personnel and personnel represented the largest expenditure
increase at $594,371. Amendments include an increase of five hours per
week for the planning secretary for $10,063; the addition of three
temporary public works employees for $13,000; the creation of an IT
help desk position for $12,000; and the addition of two police officers
for $93,636.

    The IT position will be funded by the elimination of
a vacant position at the public library. To take advantage of half of a
year’s savings, the city will hire one police officer at a time,
sending the first officer to the academy in August and the second in
January.

    In May, the council explored the impact of cutting
four services: the transfer facility, the pool, switchboard operators,
and the city’s branch library.

    Gailey determined if the transfer station were
closed, the city would lose $140,000 in revenues. Closing the pool
would save the average household $0.89 per month, however, Gailey said
because of a Land and Water Conservation grant, the city would be
forced to pay the state $288,000 in federal funds.

    Eliminating switchboard operators would result in
$1.69 per year for the average household. Gailey said the operators,
similarly to dispatchers, play a key role in the city.

    Finally, Gailey determined closing the branch
library would result in a savings of $0.53 a month on the average tax
bill. Jim Hughes argued against closing the branch and said it “does
one-sixth to one-fifth of the city’s library (business) at one-tenth of
the cost of the main library.”

    Another service that faced cuts was the Engine One
Fire Station in Ferry Village. Gailey said because of the number of
calls the station receives and the long-term plan of consolidating it
with the Willard Station, Kevin Guimond, the fire chief proposed
closing it as a way to cut costs.  

    Tom Blake, Captain of the Ferry Village station,
submitted a letter to the council, which Mayor Claude Morgan read
aloud, calling for the station to remain open as the “70 plus calls we
have received in 2007 alone clearly reflect the fact that we are busy
and active.”

    Blake also said shutting the station down was never
part of the consolidation plan. Linda Boudreau proposed adding $5,100
back into the budget to support the station. She said she had seen the
delivery of services during the extreme weather events earlier this
year and the station is a “benefit to the city I’m not willing to
sacrifice for $5,100.”

    The amendment passed 6-1, with Hughes opposed.