The Clarion-Ledger, 3/19/9

Despite stating the city was in fine financial shape a month ago, Jackson Mayor Frank Melton announced Wednesday city departments are cutting costs and freezing unfilled positions to make up for two months of sluggish sales tax revenues.

Melton said citywide budget cuts will equal 3 percent. The plan calls for all city departments to pare back, reducing expenses such as travel budgets and overtime.

Melton said no layoffs of full-time workers are planned.

“We’re doing OK, but our sales taxes are running behind,” Melton said. “I don’t want to tap into the reserves. I actually want to add to it.”