Mayor conveys hopeful outlook

He said 2005 has been the city's most successful year financially.
By JOHN W. GOODWIN JR.
VINDICATOR TRUMBULL STAFF
GIRARD -- The city is still facing financial hardship, but the mayor, looking at deficit-reducing measures in 2005, is cautiously optimistic about the future.
According to Mayor James Melfi, the city started 2005 with a $1.1 million deficit but managed to reduce that amount by $750,000. After paying an additional $250,000 above this year's appropriations to the court, he said, the city will close the year with a deficit of about $600,000.
The deficit was $1,950,000 when the city was placed in fiscal emergency in August 2001.
"2005 is not only the year this city has turned the corner financially, but it is the most successful year financially in our history," the mayor said. "If we have another year like this, we are well on our way. If we have another year like we have had, it is foreseeable to be out of this in 18 months."
With such a good year under the city's belt, Melfi said he is trying, in 2006, to move away from the "cash-strapped" connotation that has haunted the city in recent months.
Melfi said the city is in fiscal emergency, but "cash-strapped" suggests the city has no money to pay its bills. Today, he said, the city has $1.1 million in all its accounts and can pay necessary bills. Upon entering fiscal emergency, the city had only $27,000 in all accounts.
Leaner operations
A major factor in the reduction of the city's overall deficit is a much leaner operating city government -- with far fewer employees than previous years, the mayor said. Functioning with a reduced staff must continue through the period of fiscal emergency and beyond, he added.
"The city of Girard can never go back to where we were in 2000. The tax base of this city will not support that," he said.
Melfi said the goal for 2005 was to bring the deficit below $1 million, and the city managed to do that and much more. He said leaders will draw from what has been successful in the past while moving forward into 2006.
"Our goal is in sight," he said. "We are just anxious to relieve the city from the term fiscal emergency."
Grants approved
Melfi and other city leaders have other reasons to be optimistic about 2006. He said the city applied for a number of grants in 2005 that were approved and will come to fruition in 2006:
UA $950,200 Environmental Protection Agency grant for water/sewer projects.
UA $550,000 in Comprehensive Housing Improvement Program funds to improve housing coming to the city.
U$875,000 in Issue 2 grant money for the extension of water lines into neighboring communities. The additional waterlines, Melfi said, will ultimately increase revenue to the city via the water department.
U$300,000 from the State of Ohio Development Grant used for infrastructure improvements in the west 422 neighborhood.
jgoodwin@vindy.com