Bonners Ferry City coffers are  starting to feel the pinch of the ailing economy.

 City Clerk Kris Larson  during last week’s council meeting called for department heads to curb spending by not making unnecessary purchases and asked city council to hold off filing any vacant positions. 

“I asked that the city tighten up spending and not to spend on anything out of the ordinary, just operations costs for now, no extras,” said Larson.

The city’s general fund supports the police, fire and street departments, planning and zoning, general government functions, parks and recreation and Bonners Ferry Visitors Center.

“Our revenues are a little bit lower than anticipated for the year,” said Larson.  We looked at it last fall and we knew would be less, but didn’t know it would be quite this much.”

According to Larson, the city’s sales tax revenue sharing, which is the state’s inter-governmental revenue source, is down $30,000 than anticipated.  In addition, the highway users fund or fuel tax is down $10,000 than what was projected for the year.  Also building permits, subdivision fees, dog pound and impound fees are down $20,000, and this is where the general fund money comes from.

“Interest rates are really low right now,” Larson said noting the revenue the city earns from interest is down $36,0000.  “We budget a year out for the next fiscal year, so it is kind of a guess.”

Larson said that the city got notice from the Idaho Association of Cities that projections for next year are down.  Larson said the city will be following its recommendations for the next fiscal year’s budget.

“It is going to be a tight year next year too,” Larson said.  “ We have to look at different ways of tighten up a little bit.”

Larson said there isn’t much the community can do to help other than what it has been doing and that is paying taxes.

“The community is good at paying their taxes, we have good responsible citizens and revenue is coming in,” said Larson.  “I think Bonners Ferry is so wonderful; there are such nice people here.”