Branson/Tri-Lakes News: Branson administrator addresses budget issues

Kruithof made a presentation on the 2009 budget at a Sept. 6 workshop with the Branson Board of Aldermen. The city’s fiscal year starts Oct. 1, and the budget will go before the board later this month.

Overall revenue projections for fiscal 2008 are not on target, Kruithof told aldermen, citing spring floods, higher gas prices and continuingly bad news about the economy as reasons for the shortfall, according to a news release.

Tax numbers

Fiscal 2008 sales tax revenue through July was up 2.9 percent from last year, falling about $900,000 short of a projected 7 percent increase for the year, according to city spokesman Jerry Adams. Other city revenue, including development permits, convention center income, property lease income and property tax revenues, is down about $5 million.

One silver lining is the city’s tourism tax, which so far has met revenue expectations for the year.

Through July, collections totaled $9.9 million, up 2.4 percent from last year, Adams said. In the face of rising airfare and gas prices, Branson remains an attractive destination for Midwestern travelers looking for short, inexpensive getaways, he said.

To address the 2008 shortfalls, the city will need to scale back expenditures at both the operational and capital improvement levels in fiscal 2009, Kruithof told the board.

Projects including a new fire station in southwest Branson and some road improvements will be delayed, according to Adams, and city departments will hold off on some new equipment, vehicles and employees, the release said.

Fiscal discipline

Kruithof also called for more fiscal responsibility. He plans to revamp what he says is an outdated financial data system and create a compliance officer who also will serve as an internal auditor.

“We now know not to overextend ourselves and maintain fiscal discipline to avoid future problems of this nature,” Kruithof told the board, according to the release.

“And while these issues are real and must be addressed in the 2009 budget and beyond, the fundamental fiscal strength of Branson is strong. We believe the problems are short-term in nature.”

This story originally appeared in SBJ’s Sept. 9 free e-news Daily Update. Click here to register.[[In-content Ad]]