Annapolis workers may get pay raise

December 07, 1992

A $541,000 budget surplus has given Annapolis City employees a chance at getting their first raise in two years.

The City Council will vote Dec. 14 on a proposal that would give all of the city's 459 workers a 2 percent pay increase beginning Jan. 1, city officials announced last week.

The city's Finance Committee agreed to raise salaries, at an initial cost of $167,000 for the rest of the fiscal year. The cost of raises for the full year is $340,000, said Alderman John Hammond, R-Ward 1, Finance Committee chairman.

"I can't say that I am overly impressed with giving them a raise," said Mr. Hammond, who was absent when his committee agreed to the raise. "We have a lot of other problems we have to look into."

Mr. Hammond, noting depletion of the $250,000 contingency fund that was used to pay for sewer and street repairs in fiscal 1991, said it was too soon to predict a bright financial future for the city.

"I just think it's the wrong logic," he said. "This is not a one-time expenditure."

Originally, city officials planned for a $700,000 surplus. The city has realized a $500,000 shortfall in its enterprise fund, which finances such services as water and sewer, Mr. Hammond said. But the general fund is still expected to end with a $1 million surplus, he said -- leaving a total surplus of more than $500,000. Part of the surplus comes from $200,000 in savings on group medical expenses and salaries from vacant jobs, he said.

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