The FY 2011 revenue projection is $2,541,200 or 52 percent less than the last local budget enacted into law four years ago, Dela Cruz said.
“With such a drastic reduction in projected revenue, significant cuts have to be made in all areas including personnel,” he added.
Dela Cruz presented his budget proposal to Senate President Jude U. Hofschneider, R-Tinian and the island’s legislative delegation chairman, and Municipal Council Chairman Patrick Manglona for their review and appropriation.
The budget, he said, identifies the needs of the gaming commission, the mayor’s office and the municipal treasury.
The mayor said his FY 2011 budget proposal amounts to $2,378,875.
The anticipated revenue certified by the Tinian municipal treasurer and concurred by the gaming commission is $2,378,875.
His proposal, he added, is a balanced budget.
The personnel cost for the municipality’s 26 full-time employees is $1,809,535.
A 20 percent reduction will reduce this to $1,447,628, Dela Cruz said,
The salary of each of the five commissioners will be reduced from $75,000 to $50,000.
The salary of ungraded positions that receive less than $50,000 will be reduced by 15 percent.
The mayor said the gaming commission will be given a lump sum amount that is 12.5 percent less than its current funding level.
The commission will be required to adjust personnel to operation within the new funding level, he added.
Dela Cruz said the operating funds for the commission, the mayor’s office and the municipal treasurer will be given in lump sum amounts, excluding office rental, to provide each agency with flexibility.
Public programs, he added, will account for 12.5 percent of the proposed budget, 15.5 percent of which will go to debt service.
