Campbell officials discuss possible layoffs

CAMPBELL -- City officials, department heads and union presidents were meeting this morning to discuss Campbell's money crunch and the possible layoff of public employees who've been waiting almost a week for paychecks they should have received last Friday.
All city employees except for elected officials were to be paid today, said Mayor Jack Dill, but it is uncertain whether next week's paychecks will be on time. "I really don't know yet if we'll be able to [issue paychecks next Friday]. It's going to be tough for the next two or three months," the mayor said.
Paychecks were not issued on time because the city did not have funds to cover payroll. If the situation is not resolved quickly, Auditor of State Betty Montgomery will place Campbell in fiscal emergency.
The city has been in fiscal watch since March 8 after analysis of the city's fiscal year 2002 records revealed several city funds operating a collective deficit of $588,725.
The primary reason for the city's cash-flow problems, the mayor said, is the lack of industry in Campbell.