Ordered not to raise taxes, Bloomington’s Rasmussen looks to cut spending

Steve Rasmussen
Acting Bloomington City Manager Steve Rasmussen is looking at ways to cut spending after the city council directed him not to raise property taxes to cover a budget deficit. (WJBC file photo)

By Howard Packowitz

BLOOMINGTON – Bloomington’s acting city manager said he’s following the city council’s directive to balance the budget without raising property taxes.

Aldermen on Monday evening will review a proposed levy to collect a little more than $20 million in property taxes next year, unchanged from the previous levy.

The tax rate of $1.08 per $100 of assessed valuation is also unchanged.

Acting City Manager Steve Rasmussen said he and his staff must find ways to fill a $1.5 million deficit in the general fund, and perhaps another $1.5 million deficit for city maintenance.

“We have a general fund of $100 million, $1.5 million is 1.5 percent. That is not an insurmountable challenge, and that’s why the council was willing to say, ‘let’s go back and look at that rather than raising taxes,’ ” said Rasmussen.

He said the city might put off equipment purchases. Rasmussen said there’s also a “soft” hiring freeze, in which staffers must justify to the city council the need to fill vacant positions.

Aldermen will also consider a levy for the public library that would cost taxpayers an extra $4.17 next year for the owner of a $165,000 home.

A staff report to the council said higher levy is necessary to begin at least $2 million worth of library repairs over the next five years.

The council is also expected to discuss a proposal by Grossinger Motors Arena managers to take over management of the city-owned Bloomington Center for the Performing Arts.

Howard Packowitz can be reached at [email protected].

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