Schmenk's laundry list of cuts includes the elimination of as many as seven city employees, reductions in city services and a number of other across the board cuts.

"In preparing the 2010 budget, we recognized the general fund cash balance has decreased to the minimum acceptable level and the city cannot rely on the carryover balance to absorb any portion of the 2010 planned expenditures," Schmenk told city council members. "The general fund budget presented to you tonight is a balanced budget with expenditures reduced to the level of anticipated revenues."

Council will be holding several budget work sessions in the coming months to discuss the reductions the city's administrative staff is proposing. They include:

• Cutting seven full-time employees, including two police officers and one firefighter;

• The reduction of part-time staffing in the fire division, equivalent to 1.5 employees;

• The layoff or elimination of all seven part-time and permanent part-time employees funded by the general fund;

• The elimination of all 12 seasonal part-time employees funded by the general fund;

• The elimination of cost of living pay increases for non-bargaining unit employees;

• The elimination of vacation buyout monies for employees not using their annual vacation;

• Severe reductions in overtime funding;

• The elimination of tuition reimbursement;

• And the elimination of the employee health fair.

An emotional Schmenk had to pause several times during the presentation to compose herself. "Personnel are one of our greatest resources," she said. "Each position that goes unfilled represents services that will not be provided in the city."

Due to the reductions in staff, the administrators' report included the following expected impacts on services:

• Eliminating crime prevention material used in DARE programs, block watch programs and self defense training;

• Minimum on-duty staffing for the fire department, reduced from seven to six firefighters;

• Reduction of fire prevention activities, fire inspections and fire code enforcements;

• Elimination of police, fire and street services provided free for parades, special events and other functions;

• Elimination of all grant applications that require a local funding match;

• Elimination of the sidewalk program that provides a 50 percent match to residents for sidewalk replacement;

• Elimination of the Downtown Revitalization Plan update;

• Elimination of the street paving program;

• Limitations on snow removal;

• The elimination of the Concerts in the Park and the Day in the Park programs;

• The elimination of funding for all scheduled capital improvement projects and equipment.

Several other reductions were presented, and the city anticipates more.

"If revenues fail to perform as projected, additional cuts will be required during 2010," Schmenk said.

Council members expressed both disappointment and resolve following Schmenk's presentation. "You could all hear what cuts are being made here," councilman Dan Fogy said. "This is serious."

"We will get through this; this is our community," said councilman Nevin Taylor. "Tough times don't last; tough people do."

Council president John Gore said it will probably take several work sessions to go through the reductions presented.

The first budget public hearing is tentatively scheduled for 6:30 p.m. Nov. 23, at city hall, 125 E. 6th St.