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Citizens to feel impact of cuts in Champaign city budget

CHAMPAIGN — The proposed city budget for the fiscal year starting July 1 has a line item that is easy to overlook but is worthy of attention.

The fiscal year 2010 budget, released Tuesday, projects spending in the general operating fund, the city´s main account, of $67.5 million.

That´s $2.3 million less in spending than was budgeted for the current fiscal year, and $900,000 less than the city actual expects to spend this year — after the city implemented a hiring freeze and other cost-saving measures last fall.

Reductions in city spending don´t come easily, according to city Finance Director Richard Schnuer. He said the city needs revenue growth of 5 percent annually just to stay even in terms of numbers of employees.

The City of Champaign/ City officials anticipate a decline in revenues next year due to the economy.

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