Wake budget deficit grows to $23M

Raleigh, N.C. — Wake County's tax collections continue to lag, pushing the county budget further into the red, officials said Monday.

New projections call for a deficit of at least $23 million in the 2008-09 budget, up from earlier forecasts of a $17 million shortfall.

County departments were asked in November to cut their spending by 4 percent to match the slowdown in revenue, and officials said Monday that the cuts should cover the best case scenario of a $23 million shortfall.

Much of the savings will come from a hiring freeze the county has put in place, leaving 149 county government positions vacant, officials said. The Wake County School system, Wake Technical Community College and other programs also returned a combined $6 million to the county.

The county is projecting a 2009-10 budget of about $965 million, which could involve more extensive cuts before the budget is approved in June.

Although County Manager David Cooke previously asked department heads to outline how they would cut 10 percent from their budgets, he said Monday that he doesn't foresee having to make such drastic cuts in the coming year.

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Latest Comments

You either have to bring in more money or stop spending or some of both. Or we can spend the next 18 months trying to figure out where to go and what to do about the problem. Perhaps studies and research firms need to be hired to find out why we are in this mess.

nobama
January 27, 2009 4:53 p.m.

There are plenty of suggested ways for county leaders who really want to get budgets under control here: http://johnlocke.org/site-docs/CLI/2008issueguide/index.html

jsanders
January 27, 2009 10:07 a.m.

Simple solution...cut expenses and spend less.

whatusay
January 27, 2009 10:03 a.m.

< tax collections continue to lag >

I would like to see the reason why they lag stated in these articles. Is it because the budget is growing or because tax collections are dwindling. Put some numbers down to make the point. Here we are in a rapidly declining economy and the government is expanding, costing even more. No wonder there is a shortfall. And our elected officials have no shame in raising the hidden fees and taxes to make up for their excessive spending.

JaySee
January 27, 2009 7:33 a.m.

Wake County should invest in Nancy Pelosi style birth control and it'll save money and stimulate the county's economy at the same time!