Big debts stand in way of 2010 budget

TOLEDO, Ohio (WUPW) - The Bell administration has to turn over a proposed 2010 budget to Toledo City Council members Monday, and it needs to be balanced but that's going to be difficult to do since the city is in the hole $48 million. On top of that, Toledo has to pay another nearly $3 million bill in March.

George Sarantou says the time to act now because the city is bleeding money and it needs to stop. He says after September of this year, there won't be any money left to play with.

Toledo City Councilman, George Sarantou says he pretty much expects the proposed 2010 budget will have some mention of layoffs, and to him that's a scary notion.

"I hope there will be no layoffs," Sarantou said. "I hope there are other proposals there that can balance the budget, but I have to be pragmatic; and the fact is, personnel expenses are the largest part of the budget."

The city needs to make up about $48 million, and since the unions didn't agree to previous proposed concessions, Sarantou says everyone needs to keep trying. He says layoffs could mean hurting public safety in the city of Toledo.

"It would be devastating. It should be a last resort," he said. "That's why I'm hopeful that our mayor and labor unions sit down at the table each and every day and talk."

Meanwhile, there's another money issue going on right now. Mayor Bell's spokesperson tells FOX Toledo the city owes police and firefighters about $2.8 million right now.

They are cashing in on things like overtime, unused sick days and holiday pay. If the city doesn't pay up it'll be in violation of contract agreements.

Overall, Councilman Sarantou says he's grateful that the mayor has been so honest about the financial crisis because everyone has to work together to fix it.

"The Bell administration has been very transparent, very honest, has open meetings with the media, to look at all of the numbers," Sarantou said.

Sarantou doesn't know what time he'll get the budget tomorrow, but he says there's still a long way to go before the deadline of March 31, when the final budget must be passed and balanced.