MODESTO — The Modesto City Council is expected to hear today from city officials on how they would develop priorities for additional spending or budget cuts depending upon the fate of a proposed 1 cent sales tax increase.
The council is expected to vote next week on whether to place the tax increase on the November ballot.
City officials say the tax would generate $26 million annually for Modesto's general fund. The money would be used to close the general fund's roughly $11 million annual deficit and to hire more police officers and firefighters and bolster other services.
If the council votes not to put the tax on the ballot, or the tax fails, then Modesto faces finding roughly $11 million in general fund spending cuts for its 2014-15 budget, which starts July 1, 2014.
The city balanced its general fund for fiscal year 2013-14, which started Monday, by using about $10 million in one-time reserves and cutting about $2 million in spending.
City officials are expected to report back to the council in September with plans for additional spending and budget cuts.
The council meets at 5:30 p.m. in the basement chamber, Tenth Street Place, 1010 10th St.