The proposal would maintain the City's cash reserve and use some of the interest from the legacy funds.
The mayor says by using a one-time distribution of interest from the Legacy funds they can steer clear of the City's savings account. The newly proposed budget still includes a tax hike for homeowners but it's about half of what was originally proposed
City Controller Pat Roller says a 2.8 % tax levy is needed to keep the city in good financial shape. She says if approved, it would mean the owner of a $100,000 home would be paying an additional $11 in property taxes next year.
City council will vote on the 2013 budget on October 23. The following week, recommendations will be presented to City Council regarding the Legacy funds.