The North Tonawanda Common Council approved a hiring freeze at Tuesday’s meeting as it waits to evaluate the effectiveness of a retirement incentive designed to eliminate five full-time positions by the end of this month.
No new employees will be hired through Dec. 31.
The incentive takes effect Nov. 20 and would pay out a bonus of $5,000 per year for three years after retirement, totaling $15,000. The newly enacted hiring freeze would help officials analyze the results.
“This action would allow the new Common Council the opportunity to evaluate the effect of the retirement incentive, as it relates to the 2010 budget,” reads a statement by City Accountant David Jakubaszek.
Eight employees have expressed interest in the incentive, which only needs to garner five. However those interested could still cancel up to the last day, Friday.
The goal is cost savings, not as a luxury but as a necessity to balance the 2010 city budget, which remains threatened by other intangible numbers.
A $250,000 shortfall in the water and sewer budget could threaten rates that for the time being have remained the same as last year, that is if no settlement for low cost power savings can be reached with the New York Power Authority.
Also Tuesday:
• A property at 775 Oliver Street was removed from an in rem proceeding (legal action against a property rather than a person) after owners Stephen and Linda Brown reportedly paid back city, school and county taxes. The building is now being leased by Halfmoon Bay restaurant and bar, which moved there on a lease from their former location on Wheatfield Street.
• The city accepted a bid proposal for ATM services, such as for the machine installed in the main lobby of City Hall, 216 Payne Ave. Wagner Management, LLC will charge 75 cents per withdrawal, money the city collects.
Contact reporter Neale Gulley at 693-1000, ext. 114.
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