Great Falls city commissioners have approved the annual budget, which includes cuts to the Park & Recreation department workforce despite expenses rising by nearly 5.5%.
Justin Robicheau reports - watch here:
"When we talk about our city budget, total combined taxes, fees, etc. is nearly $170 million per year," City Commissioner Joe McKenney said.
The city has managed to maintain all services despite having to reduce staff in some departments.
"We haven't cut any services, but we did cut some employees, and that was a handful of employees with the Parks and Rec department," McKenney said.
Inflation is having a significant impact on the public safety fund, which receives the majority of property tax revenue.
"Nearly 85% of the property tax fund goes to public safety. When that fund can only grow half the rate of inflation, public safety is frozen," McKenney said.
According to McKenney, state legislation limits how much the general fund taxes can increase, which is creating challenges for the city's finances.
"What the state legislature has done is determine how much our general fund taxes can increase. And what that rate is, is half the rate of inflation," McKenney said.
This limitation is affecting the city's ability to properly fund public safety services.
"If we can't keep up with inflation, then what that means is public safety either freezes, gets cut or doesn't grow the way it needs to grow. So by accident, our state legislature is defunding public safety," McKenney said.
The commissioner emphasized that budget management is a continuous process for the city.
"The budget doesn't start, 30 days before it's due. We're working on the budget every day, all year long. It's a living document," McKenney said.
