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Dallas City Manager Warns Employees Of Tough Times Due To Reduction Of Sales Tax Revenue During COVID-19 Pandemic

Coronavirus In Texas: Tough Budgets Ahead For City Of Dallas

DALLAS (CBSDFW.COM) - In a memo to City of Dallas employees Thursday, City Manager T.C. Broadnax warned of tough times due to lack of revenue resulting from the COVID-19 pandemic.

"Early estimates are that we anticipate a $25 million budget shortfall in the current fiscal year and between $73 million and $134 million in the upcoming fiscal year that begins October 1... On March 19 we placed a hiring freeze across all departments on non-essential positions... All non-essential employees, either working from home or on mandatory paid leave, will remain in that status until May 4..."

Broadnax went on to tell employees, "I know this is not the news any of you want to hear, but it's the reality we're facing right now. I can assure you that we will continue to scrub the budget to minimize, as best possible, both the short and long-term impact on you... If impacted, you will be notified directly. We have assembled a dedicated team to walk you through the next steps and actions you will need to take."

This is the fifth week of communication with employees.

The City Managers office pointed out all full-time employees, whether they are working or not, are being paid with full benefits.

Full pay with benefits will be extended through May 4.

The Dallas City Council will be briefed on May 6 on expense reductions because of the significant drop in sales tax revenue.

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