Youngstown finances get worse; layoffs a possibility

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Youngstown finance director David Bozanich

YOUNGSTOWN — A combination of increased costs and decreased revenues leaves the city’s general fund with a $3.39 million deficit for this year.

Under a worst-case scenario, the city would have to lay off 60 employees to make up that projected shortfall, Finance Director David Bozanich told city council today. The city employs about 850.

Even a best-case scenario, which would include funding from the federal economic stimulus package, a better-than-expected economy and additional cuts to items such as travel and gas usage might not be enough to stop some layoffs, Bozanich said. But the number would be significantly less than 60 under an ideal scenario, he said.

The amount of money the city would receive from the federal stimulus package should be known late this week, Bozanich said.

“We’re doing all we can to avoid layoffs,” he added.

For the complete story, read Tuesday’s Vindicator and Vindy.com