Wednesday, March 16, 2016
YOUNGSTOWN
Youngstown City Council is scheduled to meet in special session March 23 to potentially vote on a $180 million overall 2016 budget, which its financial experts say is tight.
The budget, which needs to be adopted by March 31, is about the same as the 2015 budget.
It was reviewed Wednesday at a Finance Committee meeting where all council members were invited to participate.
Any significant fall-off of income tax revenue, which has trended downward for the past couple of years, primarily because of the down-turn of the gas and oil industry, could translate to cuts in purchases or programs, said Finance Director David Bozanich.
Businesses including Vallourec Star, Exterran and Parker Hannifin cut back on employees, seriously impacting the city’s 2015 income tax revenues; and failing a quick turn-around, will also negatively affect 2016 income tax revenue.
Vallourec Star, which produces pipe for the gas and oil industry, cut about 180 jobs; Exterran, which makes compressors for the gas and oil industry, is expected to completely shut down its operations this month; and Parker Hannifin, which makes hydraulic gear pumps for various industries, including gas and oil, shut down last October for 18 months, resulting in 137 job losses.
Read more about the situation in Thursday's Vindicator or on Vindy.com.