Henry Showalter

Richard Ballengee

Mike Barber

Jim Vanhoozier

| Lerone Graham

lerone.graham@roanoke.com, 381-8621

CHRISTIANSBURG -- The town council passed another cost-saving measure Tuesday, freezing step increases for town employees who are not currently receiving them and for new hires.

The motion, which passed unanimously, was brought forth by Councilman Henry Showalter, who has made known his discomfort with spending money from the town's reserves.

The step increase freeze will go into effect Wednesday, per the council's request.

"I do feel like it's a shame that we're put in a situation to do this. ... It's just fiscally responsible to remove these step increases," Showalter said.

Step increases for town employees generally begin after a six-month probationary period, said Finance Director Valerie Tweedie. The next comes about a year later.

Typically, employees receive five step increases at different intervals, and each averages about 5 percent, Tweedie said.

Tweedie said the measure originally would have saved the town $160,000 this year, but some employees have already begun receiving increases so the figure will be smaller.

Councilman Cord Hall agreed with Showalter and said he'd rather inconvenience town employees temporarily than ignore financial problems and eventually get to a point where layoffs are necessary. Hall said he'd feel even worse if "our lack of foresight" cost town employees their jobs.

"I don't want us to get there," Hall said.

The budget was amended last month to cut about $728,000, bringing the deficit down to $1.5 million. The remaining funds needed will be pulled from reserves. Other town employee cuts included $160,000 in salary reductions from a hiring slowdown and vacancies.

Mayor Richard Ballengee was hesitant about the freeze and expressed his concern.

"I will tell you right now that we have good employees that work hard, and this isn't going to sit well," Ballengee said.

"This is something they were looking forward to, and now we're saying no."

Vice Mayor Mike Barber responded that it's unfortunately a decision that the council had to make for the well-being of the town.

"It's business," Barber said. "We're into a situation now that calls for some rather drastic action."

The council said the step increases could be reinstituted when the financial situation looks more favorable, but did not want to give a definitive time frame.

The council also appointed former Councilwoman Ann Carter to the planning commission. The position was vacated by Councilman Steve Huppert, because a person cannot serve on the town council and the planning commission at the same time.

The council will also look at increasing the membership of the commission. Councilman Jim Vanhoozier suggested increasing by one member, while Hall suggested three new members.

Each member appeared on board with adding to the planning commission's membership, so they will hold a work session in October to interview candidates.