Springfield voters narrowly defeated a sales tax proposal Feb. 3 that would have brought the city's Police and Fire Pension Plan to full funding in five years.
About 52 percent of voters opted against the 1-cent sales tax, which would have brought in an estimated $40 million per year with a five-year sunset.
The result, according to city management, is that significant budget cuts will be implemented for fiscal 2010, which begins July 1. City Manager Greg Burris told Springfield City Council in January that the worst-case scenario - a failed sales tax increase coupled with 1.5 percent declines in sales tax revenue this year and next - would mean $5.7 million in budget reductions, on top of $5.2 million in cuts already in place this year.
Among the recommended reductions are a hiring freeze for 30 open job positions, a total reduction of $1 million in funding transfers to the Parks, Health and Transportation departments, and suspending merit step pay increases for all employees. The city also would eliminate contributions to nonprofits and charities, totaling nearly $600,000.
Burris previously told Springfield Business Journal that if the proposal failed he planned to resubmit the sales tax to voters, possibly as early as June.
Also at the polls, voters determined who would be on the April 7 general election ballot in the race for Springfield mayor and three council seats.
O&S Trucking President Jim O'Neal will face Zerr Auto Sales Finance Manager Christopher Donegan for mayor.
RGG Law Administrator Bob Stephens will face Missouri Liberty Coalition representative Tom Martz for council General Seat A. Former United Way of the Ozarks President and CEO John Rush will face Missouri Liberty Coalition representative Fred Ellison for General Seat B. Current Zone 1 Councilman Denny Whayne will face industrial product salesman Nick Ibarra. Springfield Cardinals broadcaster Scott Bailes will run unopposed in April for the Zone 4 seat.
This installment of Springfield Business Journal’s Architects & Engineers Project Report showcases 26 endeavors by area design and engineering professionals.