Next month, a revised budget is likely to center around the postponement of capital projects that have yet to be started and open jobs also could go unfilled, according to Terri Thorn, director of operations/finance officer. City officials discussed ways last week to revise the budget during a special Ways and Means committee meeting. "We would rather be proactive and start now and plan," Thorn told The Record. "You don't want to be months down the road and have to take drastic measures." The city currently is facing a $54,000 year-to-date shortfall in sales tax revenue. Thorn expects the sluggish sales to continue. Should projections continue to stay under budget at 4 percent, the city would be facing a $94,000 budget shortfall at the end of its fiscal year in June. However, she noted that the percentage of declining sales tax revenue could - and is expected - to reach 10 or 12 percent. "I would be happy if we stay at 4 percent, but I don't believe we will," she said. "I believe the percentage will continue to grow." The decline in sales tax revenue is being attributed to the spiraling economy. Locally, a number of store closures at the outlet mall and around town have played a big part in the downward trend. Also, people aren't opening their wallets as much compared to past years. "It's the same thing that is happening all across the country," Thorn said. City officials spent last week trying to decide what projects could be postponed. Thorn noted a master plan detailing the city's needs for the future has been put on hold, along with $250,000 budgeted for infiltration repairs to the city's sewer lines and a vehicle for the water department. Also, $50,000 had been budgeted this year for sidewalk improvements, but that figure has been cut in half. Thorn said the project could be postponed entirely resulting in an additional $25,000 that could be used elsewhere. Other projects could be impacted as well in the revised budget, but won't be decided until January. Thorn said she and Gabrielle Currie, senior finance clerk, would be crunching numbers over the next couple of weeks to determine how to proceed. A presentation will be made to aldermen and the mayor on Jan. 20. "Capital projects are optional for the most part," Thorn said. "We could build some cash reserves that, if we really do get worse and get to 10 or 12 percent, we're making sure we have cash reserves to sustain us through that period." Some major capital projects that will continue, Thorn noted, are the city hall renovations, the Steinhagen Road pedestrian bridge and the widening of Highway 47. She added department heads are being asked to closely watch whether a vacated job can be left unfilled. For example, two openings in the public works department have not been filled when employees left. Fortunately, when the city was drafting its 2008-09 budget, all of the estimates were based on last year's numbers. Thorn said the city was aware the economy might lead to desperate times. "It was based upon the fact that we knew we wouldn't have an increase," she said. "We could start seeing businesses struggling. We could start seeing the downturn in the economy."