DeSoto County cities tighten their budgets - WMC Action News 5 - Memphis, Tennessee

DeSoto County cities tighten their budgets

By Chip Washington - bio | email | Twitter | Facebook

HERNANDO, MS (WMC-TV) - The economic downturn has many cities in DeSoto County tightening their spending as they work on their budgets for the upcoming fiscal year.

In the city of Hernando, the budget has been reduced by 8.2 percent.  Mayor Chip Johnson said the biggest reason for the city's budget decreases this year is because of the closing of the Kwaneer manufacturing plant, which was the city's largest employer.

"Besides all those lost jobs, they'd been paying us about a quarter of a million dollars a year in sewer fees and water fees, so we've lost that revenue," Johnson said.

Johnson added that the $1.1 million difference in the 2009 budget was the spending of the city's bond money, meaning the budget itself will essentially remain the same.

Even though things are going to be a bit tighter this year in Hernando, Johnson said he has allotted enough money to allow city employees to receive a three percent raise.

Johnson called the raise small, but better than nothing at all.

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