COLUMBUS, Miss. (AP) - A northeast Mississippi city could run out of cash by Sept. 30.
The Commercial Dispatch reports a consultant told Columbus officials on Tuesday that the city will be more than $300,000 in debt by the end of the budget year if current spending continues.
Accountant Mike Crowder says Columbus is on track to spend $14.2 million in the budget’s remaining six months, but projects city revenue of only $10.9 million. The deficit would wipe out $2.9 million in the bank.
Mayor Robert Smith says it’s not time to panic. He wants to wait until summer to consider sharp spending cuts. Some council members, though, say it’s time to act.
Spending cuts could include closing a health clinic for city employees, selling real estate, cutting capital improvement projects, furloughs or layoffs.
Information from: The Commercial Dispatch, http://www.cdispatch.com