2004 Budget
The total 2004 Budget on the agenda of $6,936,382 is $46,000 less than 2003. Among the challenges in preparing the 2004 Budget was a substantially lower General Fund unencumbered balance available for 2004 due to increased health care costs and a reduction in state local government funding in 2003.

On the positive side, an increase in estimated gasoline tax receipts have reduced the dependency of Street Department operations on the General Fund.

The General Fund Budget of $3,541,803 is approximately $100,000 less than 2003 and is based on a conservative estimate of income tax receipts for 2004. The General Fund Budget maintains the current level of services, addresses all contractual obligations and provides funding for capital improvements and capital equipment.

However, the rising cost of health care experienced in 2003 is of primary concern as it relates to the 2004 Budget. As provided by negotiated contracts and wage ordinances, the health care containment provisions are being implemented. The results of that process and level of claims will determine how those costs will impact the 2004 Budget in the months to come.

Health Care Containment Committee
The Health Care Containment Committee has been meeting to evaluate current health care costs and health care plan provisions to implement ways to reduce those costs.

The next meeting of the committee will be March 3, 2004. At that meeting, various options will be introduced with the expectation changes can be made by April 1, 2004 that will result in a reduction of costs.

Representatives of the employee groups and officials on the committee have displayed a cooperative and positive approach in addressing the issue in a timely and forthright manner.

Clean Ohio Assistance Fund
On February 23, 2004,1 attended a meeting of the State Controlling Board where the $176,762 Clean Ohio grant to perform phase II assessments on the former Struthers Coke works site was given final approval. We can now move forward in the assessment of the property in preparation of seeking Clean Ohio funding for remediation.

Public Library Meeting
On February 19, 2004, a public meeting was held at the Main Library in Youngstown to discuss the strategic plan to realign library services in Mahoning County. As it relates to the Struthers Branch, no final decision has been made and that decision is not expected in the near future. Among the possible scenarios are the possibilities of upgrading the present facility or combining the Struthers and Brownlee Woods facility in a, as yet, undetermined location and turning over the existing facilities to a public entity for some public purpose.

I maintained, if the later is pursued, the location is in Struthers and, due to the limited availability of space, a possible location is identified as soon as feasible.

Mahoning River Corridor of Opportunity Planning Committee
A MRCO PC meeting was held on Wednesday, February 24, 2004 at Mauthe Park to assess the current status of projects and plan future activities. The various subcommittees reported on their activities and 2004 goals and URS Corporation provided an updated preliminary concept design and cost estimate for constructing the Lower Struthers Connector phase of the master plan. The Lower Struthers Connector would include the extension and realignment of Bob Cene Way (Union Street), a bridge crossing into Campbell and a bikeway. Estimated costs for all phases of the project would be $3,109,000.

CASTLO has selected the certified professional to conduct assessment activities as provided by a recently acquired Federal Brownfield Grant and remediation activities on the materials storage yard as part of a Clean Ohio Grant.

On a related note during his visit to CASTLO and Astro Shapes, I had the opportunity to meet with Senator John Kerry to apprise him of the MRCO effort and the need for a more substantial and focused national commitment to urban redevelopment. He indicated he wanted to pursue the matter more when he returned to the valley later this year.

Respectfully Submitted,
Daniel Mamula, Mayor