Excessive personnel costs can imperil a municipality

Overpaid Government Worker reports on Martin County,Florida:

Martin County has approximately 145,000 residents. The projected budget shortfall for 2009 is in excess of $20 million. Real estate taxes, sales and gas taxes, and home sales are all down for the year and continue to decrease. The assessed value of existing homes has decreased substantially, which reduces the tax base and property tax income for the future. The fire rescue and sheriff’s deputies’ contracts have 8 percent to 10 percent raises already built in for 2009, and the Teamsters Union is at impasse with the county over a requested 8 percent increase for administration personnel.