Carbondale looks for ways to eliminate deficit - KFVS12 News & Weather Cape Girardeau, Carbondale, Poplar Bluff

Carbondale looks for ways to eliminate deficit

CARBONDALE, IL (KFVS) -

Carbondale City Council members will meet Tuesday and try to find ways to eliminate their $730,000 deficit.

A huge chunk, over half of that amount, comes from the city's sales tax revenue. And some business owners say they not surprised.

"Internet makes it harder to sell something, and make a profit," said Joe Castrejon.

Castrejon has worked for Sound Core Music since the store opened its doors 33 years ago.

He said over the years, the store has evolved with the times, but the Internet makes it harder to bring in foot traffic.

"We make more money in service than we do in retail. We have to keep our service up," he said.

Carbondale's projects a sales tax decrease in $473,000 for the 2015 fiscal year.

Acting mayor Don Monty said the city will have to make some harsh decisions.

The city council has three options to generate revenue.

  • Increase home rule sales tax rate
  • Increase hotel/motel tax rate
  • Increase fees in service, license or court.

With a tightly strapped budget, organizations like The Women's Center might see a reduction in funding.

"Our federal and stand funders require us to have a 25 percent match in local dollars and then some of our other funders will only pay up to 80 percent. So, 20 percent has to come from local resources as well," said Executive Director Cathy McClanahan.

Copyright KFVS 2014. All rights reserved.

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