FOLEY, Ala. — The City of Foley’s 2008-2009 proposed budget expenditures for the next fiscal year look to be approximately $300,000 less than those budgeted in the current fiscal year, and City Administrator Perry Wilbourne said the reason why is “what we see out there.”

Wilbourne’s reference is to the current national financial crisis that daily produces grim headlines about financial institutional failure and government bailouts. Wilbourne is quick to point out that the effects certainly reverberate far beyond New York City and Wall Street.

“People are hurting here,” he said. “In short, this is about as serious as it gets, and we know that.”

Concerning ongoing budget deliberations for the fiscal year which begins Oct. 1, Wilbourne said Friday the city was working on final changes to a budget draft that they hoped to have in the hands of council members by day’s end. The city’s two new council members, who take council seats on Oct. 1, will also be given copies of the budget draft, Wilbourne said.

If no major changes take place in the draft, the 2008-2009 proposed budget could be presented for approval at a council meeting that is tentatively set for “late Monday afternoon” on Sept. 29 or the day after, Wilbourne said.

The city is projecting sales tax revenues 5 percent less than that in the current budget that closes Sept. 30, according to Wilbourne. He adds, however, that all revenues are projected to be up due to other factors.

For one, Wilbourne said a cost analysis done by the city on all sanitation services provided by the city has shown a loss of approximately $500,000 a year on those services. The city has been charging citizens less than the cost it takes the city to provide the sanitation services, he said. Thus, an amendment is being proposed by which the city can recover part of that loss in the 2008-2009 budget.

While Wilbourne said he wouldn’t call it a “hiring freeze,” he did say serious discussion has taken place during budget deliberations concerning not filling certain job slots during the first part of fiscal year 2008-2009 that are open unless there is good justification for doing so.

The same practice would hold true for departmental capital purchases, he said.

“A big engine in our economy is real estate and construction on homes. That has dramatically slowed down and looks like it will continue into 2009,” Wilbourne said. For that reason, the city is “moving conservatively” where next year’s budget is concerned.

“We’re in a position to be okay, but we’re watching it,” Wilbourne said, calling the city’s attitude toward fiscal year 2008-2009 “very cautious.”