Laws hold key to balanced budget
In October of 2003 voters here overwhelmingly supported a petition initiative that permanently codified the ideals of a balanced budget for our local government. That amended code reads as follows:
“Except as provided in this section, the proposed expenditures for all purposes shall not exceed total estimated revenues from all sources.” What this means is that the borough is required by law to prepare and pass a budget that does not exceed its projected revenue stream. Why is it then that we’re still struggling with the concept of what a balanced budget is? One thing is for sure: It’s not about deciding how much of our reserve account to spend every year. If our borough assembly needs any justification to cut spending, they don’t have to look any farther than the laws they’re sworn to uphold.