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Nevada City expects balanced budget


Unlike many other California cities that are struggling to bear budget cuts imposed by Sacramento, Nevada City expects to have a balanced budget for the next fiscal year, City Manager Mark Miller said Monday night.

Miller introduced the city’s $3 million 2004-05 budget to Nevada City City Council members at a sparsely attended meeting.

Half of the city’s funds go to the fire and police departments, which receive a total of $1.5 million a year. Another $840,000 pays for streets, city administration and park maintenance. The final $600,000 is used for planning and administration, Miller said.

Another set of rate increases will close the gap in the city’s water and sewer accounts, which are administered separately because of state law, Miller said.

The two accounts will take in about $1.3 million and spend only $1 million next year. But these accounts will not be used to pay for the wastewater treatment plant, which is financed separately, Miller said.

Expenditures have gone up because of increases in workers’ compensation fees, Miller said. He said Nevada City also had to pay for a significant settlement last year.

One problem plaguing the city’s early budget estimates is a missing $100,000 in property tax receipts. Miller said he is investigating the discrepancy.

The 2004-05 fiscal year begins July 1. The council will review the budget at several additional meetings before it is passed.

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