PEORIA, Ill. — The Peoria City Council learned Tuesday night how much the coronavirus pandemic will impact the city’s budget.
City Manager Patrick Urich said the budget is no longer balanced due to COVID-19.
“We had revenues of $217.7 million and $218 million of expenses,” Urich said.
Now, the revenue is approximately around $162.3 million and $218 million in expenses.
Urich presented future projections to the council of the loss of revenue. If the city is not back on its feet by May 1, there will be a reduction of $44.6 million from the budget. If the city is not back on its feet by July 1, then $54.5 million dollars will be taken away.
No final decisions for the budget were made Tuesday night, as the council voted on the direction they wished for the City Manager to go to help the budget.
The council voted 7-4 to have Urich look into the option of reductions from the Capital Improvement Program, which would equal up to $26.7 million.
According to Urich, there is around 100 projects in the Capital Improvement Program.
Council member Denis Cyr suggested restructuring the city’s current debts and selling assets.
“Maybe we could use our assets as collateral for some line of credit,” Cyr said.
Mayor Jim Ardis said it would be foolish to think there would not be staff reductions in the city.
Council member Sid Ruckridgel said there needs to be a plan for the next few years.
“Even when hard decisions are made, we’ve got to think long-term,” Ruckridgel said. “We can’t think of short-term because we don’t know how long this recovery will take.”
The council approved to extend the emergency declaration.
More frequent council meetings are likely as more budget discussions come forward.
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