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Grand Rapids to cut 150 city jobs

GRAND RAPIDS (WZZM) - "The layoffs will be significant. The layoffs will touch every area of the city," says Grand Rapids City Manager Greg Sundstrom. 


He says up to 150 city jobs in Grand Rapids could be on the chopping block. That's 18 percent of the city's workforce and those cuts will take place before the end of the year.


WZZM 13 first told you of the pending layoffs Thursday. Friday morning, City Manager Sundstrom told the Downtown Alliance he is expecting to cut up to 150 jobs.


The City of Grand Rapids was expecting a budget deficit of $20 million. But now it looks like that deficit will be more like $27 million, which means more cuts are on the way.


Whether they are protecting people from crime, raking leaves on city property or fixing sewer lines, Grand Rapids city workers are worried about their future. Sewer Department worker Ken Kibby says, "People are worried about how they're going to support their families and what's going to happen with their jobs."


City Manager Greg Sundstrom will announce the final cuts next week. He says, "Many times in the past when we've had position reductions, they've been vacant. This time we have to lay off up to 150, but they will be people that will need to be laid off. I took all of the vacant positions a month ago."


This is all a part of major changes in city government. Grand Rapids City Commissioner David LaGrand says, "This is going to be a radical restructuring. We're talking about reducing the number of city departments. We're talking about re-imagining how we provide some basic services. It's a tough conversation. ... You have to wonder how much we can cut back on things before we have a city that is not providing us the services we all want."


LaGrand points the finger at the state legislature, which further cut revenue sharing to the cities. He says, "They have a tax structure that's based in the 1950's and they don't want to reform it. The fact is, there's a lot less manufacturing than we used to have. Well, if your tax base is manufacturing, you can't just stick your fingers in your ears and pretend you didn't hear the new music."


City leaders say they will do what they can to preserve as many police and firefighters jobs as possible.


In addition to the revenue sharing cuts from the state, Grand Rapids city income tax revenue is down by 25 percent since just two years ago.


The city currently has about 800 workers. Grand Rapids has already cut 350 positions in the last seven years.


 



11/6/2009 7:21:54 PM

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