STAR CITY — Mayor Gene Yarbrough has asked all city departments to cut spending however they can because sales tax revenue has temporarily dropped.
“We’re kind of going on an austerity program around here,” Yarbrough told the Star City City Council Monday.
“We asked everybody to cut their departments — everybody. We met and decided it would be good to cut because our income is down some and we’re trying to keep it level and keep it going.”
Yarbrough said Police Chief Steve Young had his officers cut down on mileage to save fuel costs.
Young then said the officers cut their miles by “a little more than half.”
Independent reporting for Pine Bluff & Jefferson County since 1879.
The mayor said if problems arise in town because of the fewer miles patrolled, the police can again increase their patrol mileage.
“Right now we got a good town, a safe town; nobody is causing any problems,” Yarbrough said.
Reports show that officers drove a total of 2,397 miles on duty in May, contrasted with 3,068 miles in April. In March, officers logged 4,414 miles, while in February odometers rolled up to 5,230 miles.
Yarbrough later said he is optimistic about revenue climbing up again and he believes the slump is only temporary.
In another matter, the council unanimously passed a resolution authority short-term borrowing from the Bank of Star City to complete a renovation project at the Star City sewer plant. Specifically, the city is opening a line of credit loan 5.5% interest.
The resolution states”the city is in need of $180,000 to complete the project.”
Yarbrough said after the meeting he believes the total cost would be about $500,000.
However, the mayor said the city will be reimbursed weekly by the Federal Emergency Management Agency for whatever it spends on the project as the city turns in receipts. FEMA is reimbursing the city because the agency has concluded that storms last year damaged the sewer pond.
City Attorney Phillip Green said the city must borrow and spend the funds before FEMA will reimburse it but the city will never borrow all of the $180,00 at one time.
“It’s like a revolving line, open-end local advance on that,” said Economic Development Coordinator Dwayne Snyder, a former banker.