Council adopts nonbinding hiring-freeze resolution as auditor seeks authority to begin appropriation reductions

Council and its finance committee discussed an auditor request to authorize early reductions to 2026 appropriations after an unexpected $750,000 tax refund payout and rising health-care bills strained the general fund.

Committee members questioned the timing and whether suspending the three-reading rule was necessary. Some members said they would not vote to suspend rules without the auditor present; others argued early review would give the auditor time to prepare actionable cuts. Mayor Patterson acknowledged the $750,000 refund and said he would work with the auditor to provide details and, if necessary, call a special session.

Council adopted Resolution 03‑26, a one‑reading, nonbinding request that elected officials institute a hiring freeze for full‑time positions until a position review occurs; the resolution explicitly excludes part-time seasonal positions (for example, lifeguards). Members emphasized that the resolution is a statement of intent rather than a mandatory order.

Key numbers and actions recorded in committee: members said the auditor paid a $750,000 refund that was not anticipated in earlier budgeting and that health‑care costs for city employees had risen substantially, prompting the auditor’s request to begin reductions earlier than usual. The auditor and administration will return to council with a list of potential reductions and justification; council asked for the auditor to attend the next meeting or for a special session if necessary.

What happens next: the auditor will provide detailed proposals and lists of potential reductions; council and administration agreed to communicate those items publicly before any formal line‑item cuts are enacted.