Friday, June 27, 2008

Mayor Shirley Franklin Directs Cabinet to Immediately Prepare for Council Ordered Additional 2.5% Cuts

Mayor Shirley Franklin has directed all Departments to immediately begin preparation for the City Council’s approved 2.5% across the board cuts. It is possible additional employees may be laid off by the end of next week.

The Council’s 15-0 vote today is indicative of the previous 15-0 vote against Hartsfield-Jackson’s Fifth Runway. So while the Council has the authority to make the cuts, I think it is a bad business decision to do so. This risky budget action will produce a reduction in City services and force additional layoffs. The City’s Chief Financial Officer, Janice Davis announced today that the City’s current revenue trends are down 4% and there seems to be no indication that the economic picture will improve soon. The action by the Council almost guarantees we will find ourselves facing even greater financial challenges next year.

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