Council adopts 2010 budget

At the end of a marathon-length Charleston City Council meeting the city's $146.6 million 2010 budget received final approval at one minute before midnight Tuesday, containing an increase in the city's franchise fee and furloughs planned for city employees.

Some council members opposed the budget because of the increase in the franchise fee, which is a tax on electric and gas bills, from 3 to 5 percent.

'Those who vote against this, respectfully, should recommend where we can find $3.8 million,' said Mayor Joe Riley, citing the amount the increase is expected to raise.

The fee increase will not show up in consumers' bills for a year, but the city would get the revenue starting in April because utilities pay the fees in advance. Several council members expressed concern about the impact on people with low incomes.

Councilman Aubry Alexander proposed that the franchise fee increase should end in January 2013; his motion passed.

Councilman William Dudley Gregorie called for scrapping the fee increase in favor of more budget cuts. He suggested targeting contracted professional services and the roughly $2 million budgeted for overtime, and also suggested charging city employees for parking.

Riley said charging employees for parking would be akin to pay cuts on top of the already-planned furloughs. He also said overtime cuts could harm public safety.

Councilwoman Yvonne Evans said the franchise fee increase seemed to be the least painful way to balance the budget.

For someone with a $150 monthly electric bill, the increase would add $3 a month starting in January, 2011.