City studying budget options for parks, rec

The city of Kalispell is considering removing its parks and recreation department from the general fund -and setting it up with its own property tax revenue stream.

This would not be a new tax, but rather would split the city's current property tax revenues into two streams.

Most would go to the general fund. The rest would go to the parks department, which has been the biggest sacrificial lamb in the city's budget cuts.

The city staff presented this idea to the Kalispell City Council at a Monday workshop.

Some council members liked the idea, pending obtaining additional information. The rest voiced no objections.

Interim City Manager Myrt Webb said the parks department -unlike the rest of the departments served by the general fund -has some major income sources of its own.

Consequently, splitting the parks department from the general fund -with some general fund tax money following it -would be easier than trying the same concept with the police and fire departments, he said.

Such a move would put the parks department on its own in mapping out its budget, without having to compete with police, firefighters and other departments. The police and fire departments are expected to fare better than the parks department in avoiding general fund cuts because of their lifesaving duties.

The council will discuss this concept more at later meetings.

Kalispell's general fund budget for fiscal 2010 might be about $150,000 less than it is this year, according to a preliminary city staff .

Fiscal 2009 runs from July 1, 2008, to June 30, 2009. Fiscal 2010 runs from July 1, 2009, to June 30, 2010.

Right now, the fiscal 2009 budget is roughly $52 million. But most of the money in that figure is in funds that operate independently from property taxes.

The wiggle room is in the general fund.

About 80 percent of the general fund covers personnel costs, which means cuts in funding could lead to layoffs.

The fire department currently is 12 firefighter/paramedics below its authorized strength. The police department is two officers, one animal warden and one dispatcher below its authorized strength.

A trimmed 2009 general fund is looking at estimated expenses of $10.555 million, with a predicted cash reserve of almost $180,000.

The initial general fund estimates for fiscal 2010 are $10.475 million in income, $10.404 million in expenses and a cash reserve of almost $260,000.

The estimates assume no salary increases other than contractual and longevity obligations, no hiring except for some replacements, allowing limited layoffs, and solving an ambulance fund deficit problem.

Webb declined to put a figure to "limited layoffs," other than saying it would be a small number.

Higher salaries and a decreased rate of debt collection have increased the ambulance fund's deficit from roughly $20,000 in fiscal 2008 to a predicted $50,000 in fiscal 2009. That shortfall has to be made up from the general fund.

Council members wanted more information on the ambulance fund situation.

Reporter John Stang may be reached at 758-4429 or by e-mail at jstang@dailyinterlake.com