Nov. 4--CHIPPEWA FALLS -- A combination of health insurance changes, eight possible early retirements and some minor cuts will eliminate a $730,000 deficit in the 2010 Chippewa Falls city budget without any layoffs.

The council voted Tuesday on several budget items, notably a change in insurance that will save the city $365,000, said Mayor Greg Hoffman. The savings come from no increase in health insurance rates and by creating a three-tier system for city workers, Hoffman said.

Councilman Jason Anderson, chairman of the city's labor negotiations committee, thanked city employees who got behind the plan.

"I want to thank the city workers for working with us," Anderson said. "Without them being open to this, this wouldn't have happened."

Up to eight employees have indicated they plan to accept an early retirement offer, said City Clerk Lynne Bauer. Those early retirements include library director Rosemary Kilbridge, along with the library's business manager. The council voted to combine those two positions.

Other early retirements could come from one Parks, Recreation and Forestry Department employee and up to five Street Department workers, Bauer said.

The council reinstated $7,500 in funding to the Chippewa County Economic Development Corp. on a 4-3 vote. The city's Finance Committee had recommended cutting the $15,000 budget in half. Mayor Hoffman cast the tie-breaking vote to restore the money.

"I do it with some reservations," Hoffman said, adding that he believes the CCEDC needs to make some changes, though he didn't mention specifics.

Hoffman joined Councilmen Brian Flynn, Jason Anderson and Dennis Doughty in supporting the funding. Council members Susan Zukowski, CW King and Michael Dahlby voted against it.

Several city residents have been critical of the CCEDC, saying the organization works too often in secret, has been ineffective in drawing businesses to the area and has worked for the past two years on a plan to bring a controversial sand processing plant into the city.

The council also decided to maintain funds for a city administrator position. The city has been without an administrator since January, when the council voted to fire Ron Singel.

Hoffman was pleased the city was able to balance its books without any layoffs.

"I really appreciate everyone's work on the budget," Hoffman said. "It was many committee meetings, and I think everyone has a good understanding of the budget and where it's at."

City Clerk Bauer said she will have final budget numbers, showing changes to overall spending and the tax levy, by the end of next week.

In other business, the council set a deadline of noon Nov. 13 for anyone living in the Fifth Ward to submit a written application to City Hall for the open City Council position. The ward represents the city's East Hill. The position became open last week when Councilman Don Baker resigned, citing a move to California.

Vetter can be reached at 723-0303 or chris.vetter@ecpc.com.

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