Lexington council finds money to avoid furloughs; Explorium appeals funding cut.

The Lexington-Fayette Urban County Council made last-minute tweaks Tuesday to Mayor Linda Gorton’s proposed $379 million budget that included adding money to eliminate furloughs for top staff and changing a one-time bonus payment for most city employees.

The first reading of the budget for the fiscal year that begins July 1 is Thursday. A final vote is scheduled June 20.

Gorton would not say after Tuesday’s council work session whether she would veto any changes the council has made to the proposed budget.

“I will have to wait until the budget is passed,” Gorton said.

Among the changes made Tuesday, the council tapped $116, 200 in unspent funds from the current-year budget to restore pay to more than a dozen senior-level staff that were supposed to take 12 days of furlough over the next year under Gorton’s budget proposal.

Gorton said the staff, which included her appointed commissioners, were the only city government employees whose pay would have been cut under the current budget.

The council had previously approved giving employees not covered by collective bargaining agreements a one-time $500 supplemental bonus pay in lieu of a raise. Gorton’s proposed budget included no raises for most city employees. But during Tuesday’s council work session, the council agreed to make a slight tweak to that proposal by giving employees who make under $50,000 a $500 one-time bonus. Those who make more than $50,000 would receive a one-time payment equivalent to one percent of their pay.

Some on council opposed the move because the more than $637,000 needed to cover that one-time bonus was to come from a $11.4 million budget stabilization fund the city set up in part to help cover ballooning pension payments to the state. Those pension payments are set to increase every year but are capped at 12 percent. By 2024, the city will need an additional $21.9 million to make its pension payments to the cash-strapped state pension fund, according to figures the city provided Tuesday.

“I would love to give a (pay) increase but we have to be responsible,” said Councilwoman Angela Evans. Evans said as a former state employee she knows what happens if elected officials don’t make pension payments. Her pension is currently in jeopardy.

In addition to Evans, council members Richard Moloney and Susan Lamb voted against the proposed pay increase because they opposed using money set aside for future pension payments for one-time pay bumps.

Also Tuesday, members of the board of the Explorium, the Lexington children’s museum, asked the council to restore a more than $41,000 cut the council made to its allocation. Its funding went from $191,250 in Gorton’s proposed budget to $150,000. Approximately 30 percent of the museum’s budget is city taxpayer dollars. In prior years, the council has asked the Explorium to up its private fundraising, increase its board membership and decrease its reliance on taxpayer support. Explorium board members told the council they had expanded its board membership and were working on private fundraising.

“The way to keep the Explorium going is not to slash its support,” said former board chairman Gene Guinn “We asked you fund the Explorium at the proposed level in the mayor’s proposed budget.”

Council members said Tuesday that if there is a proposed surplus from the current fiscal year the council may revisit the Explorium’s funding request in the fall.

Gorton’s proposed budget was lean compared to prior years, reflecting slow revenue growth and climbing expenses. It included a 15 percent cut in some spending areas, limited funding for new capital projects and closure of the Picadome pool.

Other changes the council made during a marathon May 28 council budget meeting included adding $850,000 for the Hope Center, the main homeless shelter for men. It also added $340,000 to the city’s park budget for police patrols in the parks, increased mowing and to restore pool hours and swim teams at the city’s pools. It also agreed to bond or borrow money to help pay for new voting machines.