Loudoun County is facing a budget deficit of nearly $200 million for fiscal 2010, the county administrator said Wednesday.
“I wish I had better news for you, but we are experiencing something that’s no different than all the other jurisdictions in the region,” Kirby Bowers told the Board of Supervisors’ finance-government services and operations committee.
Bowers is projecting a $176 million deficit caused by a revenue shortfall of $97 million and a $79 million increase in expenditures.
The national economic slowdown is hurting counties around the Washington area as well as the states of Maryland and Virginia.
Last week, Maryland officials said they were looking at a budget shortfall of $432 million, while Virginia Gov. Tim Kaine’s administration has told agencies to prepare for budget cuts of as much as 15 percent.
Fairfax County is facing a $430 million shortfall, and supervisors there are reviewing county spending. Prince George’s County on Tuesday approved a two-week, unpaid furlough for 6,000 county employees.
Montgomery County also is considering a furlough to cut spending. Declining home values are hurting Loudoun’s revenues, and Bowers projected a drop of $60 million in property values for 2010.
The major cost increases are in education — $8 million for health insurance and $47 million to cover a projected influx of 3,556 students, Bowers said.
“We knew it was coming, and we’re going to have to adjust to it,” said Supervisor Jim Burton, I-Blue Ridge.
“It’s time for us to get serious about adjusting to it,” he said. “[We’d] be sticking our heads in the sand if we try to take an interim, short-term look at things in the hopes that things will get better a year from now.”
He called on supervisors to look at services that could be cut back or eliminated.
“Tough times call for tough choices, and I’m not looking forward to the overall budget,” said Chairman Scott York, I-at large, calling last year’s budget a “piece of cake” compared with what the board is facing this year.
Susan Klimek Buckley, D-Sugarland Run, called Bowers’ presentation “very grim news.”
I’m sad that it has to be a calamity of this nature, but I agree with the sentiment that we have to think outside the box,” said Eugene Delgaudio, R-Sterling.
He suggested that the board look at what surrounding jurisdictions have done to save money.
