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San Jose Approves New Budget Guidelines

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Nov 5, 2009 11:16 pm US/Pacific

San Jose Approves New Budget Guidelines

SAN JOSE (CBS 5 / AP) ― San Jose officials are asking taxpayers and city workers to take part in helping the city reduce its $96.4 million deficit.

The City Council voted 10-1 Thursday on guidelines for city administrators in preparing the 2010-2011 budget.

Among those directions for administrators is a proposal for a quarter-cent sales tax that would raise an estimated $33 million. Also being considered is a higher business tax that could bring in as much as $13 million, or a parking-lot tax that would raise about $4.5 million.

The approved guidelines also provides direction to city managers in negotiating labor contracts for nine of the city's 11 employee unions.

The vote by the City Council comes as San Jose operates in its ninth straight year of a deficit

(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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