City Budget to Be Passed

The city of Chelsea 2013 budget will amount to $120.7 million dollars, according to City Manager Jay Ash. The budget is now before the city council in its final form having already been discussed in detail by the council.

Passage of the budget is perfunctory, Ash said.

“The council has technically agreed upon the budget before it comes up for a final vote,” he said.

Of that $120.7 million total amount, $68 million will be going to the city’s public schools.

“There will be no layoffs at city hall or in the school department. We have budgeted the funding necessary for an additional estimate of 138 more public school students entering the system,” he added.

Ash pointed to continued strong development and commercial growth in the city and the reduction of the city’s employee health insurance bill as two major factors contributing to the continuing economic stability of the city.

In addition, he said the city’s structural deficit had been cut to less than $1 million.

Free cash on hand amounts to $7 million. Reserve funding in the stabilization account, which exists to fund unforeseen necessities stands at $5 million.

The 2013 budget is up 4.9% from the previous year’s budget which came in at $115.2 million.

Ash said the city’s financial position remains strong.

He said new developments coming up in the next year could add major funding to the city’s cash balance.

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