Fairfax Approves Budget Taking $226,000 from Reserves

Last Wednesday, the Fairfax Town Council approved a final 2011-12 budget. The town resolved a $226,836 deficit by pulling the money from the Dry Period fund in order to balance the budget.

The final deficit was lower than initially anticipated because revenue from the state was higher than originally thought, said Town Manager Michael Rock. Additionally, the town has left a number of positions vacant.

At that Wednesday night meeting, new contracts with the three labor groups (including the police association) were approved. Those agreements include employees paying five percent of the employee retirement costs, which will save the town just over $45,000 in 2011-12.

"We have done every possible thing we can," said Rock.

The main issue is that revenues have gone down, said Rock. The council members discussed possible ways to increase revenue, including amending the contract with the Marin Humane Society and increasing the solid waste franchise fee.

Even if a , there will likely continue to be budget issues next year. 

The budget was approved on a 4-1 vote. Councilmember Lew Tremaine said he could not support pulling that much money out of the reserves. Tremaine also said he had a proposal to address that deficit, but would not discuss it further in public because it was a personnel matter.