The city council adopted a new $7.8 million budget ordinance on first reading Monday night.
The aldermen voted 3 to 2 to accept the plan, which will not include any new paid full-time firefighter positions.
 The city is apparently looking at a general-fund deficit of more than $344,000 for the 2013-14 fiscal year, and some council members voiced concerns about adding the recurring expense of a new paid firefighter.
Aldermen Tim Stribling, Jason Murphy, and Danny Washer voted in favor of the budget, while Shawn Jacobs and Gayla Hendrix cast dissenting votes.
A public hearing will be held on June 17 at 7 p.m. at city hall, followed by second and final reading of the proposal.
Officials drew up two versions of the budget to be considered Monday night.
One proposal included the addition of a full-time firefighter at $41,000 per year, including salary, payroll taxes and benefits.
The other plan, which the aldermen chose, did not include a new firefighter.
The city's financial advisor, Janice Plemmons-Jackson, told the board that the proposal with the firefighter would have increased the city’s deficit to $385,000 by the end of the fiscal year.
The city is still expected to end the year with a deficit of a little more than  $344,000 without the inclusion of a paid fireman.
During a budget workshop last week, Jackson had forecast that the budget should result in a slight deficit, but the discovery of an omission concerning the pending airport fuel-farm project will apparently put the city much deeper in the red.
“I have found a math error and made a correction, so the numbers are worse in the general fund,” Jackson said.
“We're now projecting a $344,000 deficit in current revenues to current expenses, but if you do the additional firefighter it's about a $385,000 deficit,” she told the board.
Stribling made a motion to adopt the proposal that did not include another paid firefighter, telling the assembly that he was uncomfortable with adding the expense without additional funding.
“I would like to add a firefighter, or two, three, four, five or however many, but it's got to have a funding source,” Stribling said.
“It's a recurring expense every year. I just don't see where we're able to take one on at this time so I make a motion that we adopt the budget with no additional fire employee.”
Murphy seconded the motion.
Jacobs, who also holds the office of police and fire commissioner, suggested cutting then budget in other areas to fund another firefighter.
“We are the only town our size anywhere in the area that doesn't have full-time firefighters, at least partial full-time firefighters,” Jacobs argued.
“Baxter has several, six or something like that. Tiny towns smaller than us have part-time firefighters that are being paid,” he said.
“I think you can be a penny-wise and a pound foolish. There's not all that much difference in the deficits. I just wish we could find somewhere to cut a little bit more to make them closer together,” Jacobs advised.
Stribling said he still felt that the funding should be in place first.
“I'm sure those towns that do have full-time fire departments are funded,” he said. “They've got a way to fund it. We've got to have a way to fund this every year. You're basically going to have to find $40,000 in new taxes. I mean we've got the surplus to cover it but how many years do we have a surplus to cover it?” Stribling inquired.
“I'm just advocating for the fire department because I'm the fire and police commissioner and it's my job to be their advocate and I think we need it,” Jacobs replied.
“I agree with Shawn in this matter,” Hendrix interjected. “We've had lengthy discussions in our budget workshops and I know we've gone through and trimmed a lot of the excess, but I think we are all aware there are always items budgeted that are not spent.
“Even with the way it’s trimmed, there's a lot of places to cut. I think it boils down to the fact of what's more important to you,” she said.
“I hate that we're showing a deficit,” Hendrix continued. “It's better than last year. Better than the year before. We're making progress. But we've also made some major improvements to our community.
“We talk about needing more jobs and bringing in more jobs. These improvements to the airport are going to look favorable to industries.
“This ladder truck and at least one hired firefighter is going to look favorable to industry. The disaster that happened with Moog cost us jobs and cost us tax revenue. It hurts me to think that could ever happen again.
“I think the fire chief has explained to us that if we had two staff members that could be ready to respond immediately in the middle of the day or any time of the day to our factories, to our industries as well as people's homes, we could save a lot. It would reduce our ISO rating.
“I don't like to have to look at a deficit. But in the grand scheme of things I think this budget has a lot of places we could cut. This is something I think is very much needed,” Hendrix said of the firefighter position.
Secretary-Treasurer Hunter Hendrixson told the board that the big problem is that expenses have increased while revenues have remained steady.
 “Revenues have stalled,” Hendrixson said. “We have found some other sources of revenue, but we won't know what that will be until a year from now.”
“We may say a year from now we're bringing in more in certain taxes to fund a fireman, or that could fund this or that recurring.
“That's the thing, it's not just funding it for a year or two, it's got to fund it year after year,” he said.
“Of course, we all want to do this without raising property taxes I assume. I think that's where we're at on this budget. Expenditures tend to creep up and revenues are kind of flat-lined right now,” Hendrixson said.
The budget proposal contains no increase in the city property tax rate, which is now at .6490 cents per $100 of assessed value, and no increases in water or sewer rates.
The budget proposal that the aldermen approved Monday will include a 1.5 percent pay raise for city employees.
Some city workers are budgeted for  step increases as well.
The rate for city water customers will remain at $5 for the first 1,000 gallons of water usage plus $5 for each additional 1,000 gallons of usage.
Outside city rates are $7.50 for the first one thousand gallons of water usage plus $7.50 for each additional one 1,000 gallons of usage.
The rate for city sewer customers will remain at $5 for the first 1,000 gallons of usage plus $5 per 1,000 gallons thereafter.
Sewer customers will continue to pay the $3.62 cent per month flat-rate usage fee.
The rate DeKalb Utility District pays the city for water is currently $2.05 per 1,000 gallons, but is expected to increase when a new contract is negotiated.
The current agreement will expire in January 2014.
Capital outlay expenditures in the general fund for the new year come to $2,070,670 under the plan.
The plan includes $5,000 for computer upgrades and equipment, $5,000 for parks and recreation and $10,000 for public works/buildings and grounds.
Also included are $10,000 for upkeep at city hall, $10,000 for fire protection, and $20,000 for a chipper truck and $20,000 for another vehicle for the street department.
The plan includes $25,000 for a police car, $2,000 unspecified for the police department, and $5,000 for golf-course upkeep.
Funds budgeted for the airport include $1,516,670 for a runway and apron overlay, $347,000 for a fuel farm and $95,000 for infrastructure improvements.
These are mostly grant-funded projects with local city match.
Funds included for sanitation amount to $5,000.
Also included is $410,000 for an automatic meter readers project, $80,000 for water tank improvements, $18,000 for sewer a plant improvement study and engineering fees, $250,000 for sewer plant updates and $125,000 for a sewer rehabilitation camera.
Although these capital outlay projects are budgeted, they all may not be funded during the year.
The budget proposal breaks down as follows:
Revenues:
•General Fund: $4,703,270;
•Special Revenue Fund - Sanitation: $263,330;
•Water & Sewer Fund: $2,424,500,
•Drug Fund: $10,025;
•Appropriation of Surplus - General Fund: $344,105;
•Appropriation of Surplus-Drug Fund: $5,225;
•Appropriation of Surplus-Water & Sewer Fund: $62,280;
•Total Revenues: $7,812,735; and
Expenditures:
•General Fund: $5,047,375;
•Special Revenue Funds Sanitation: $263,235;
•Water & Sewer Fund: $2,486,780;
•Drug Fund: $15,250;
•Surplus in Sanitation Fund: $95; and
•Total Expenditures: $7,812,735.