That is, until the end of 2002.

But 2003 could be another matter. And city council members could have some tough decisions to make as they and city staff members work this summer to draft a 2003 budget.

Of special concern to the city is $145,480 the state is scheduled to send to the city this year. The money is sent periodically throughout the year.

“To date, we’ve received what we’ve anticipated receiving,” Krull said. “When the state’s new fiscal year starts July 1, we’re up in the air on what we’re going to get.”

The state is facing a projected $700 million budget shortfall. To help make up part of that, legislators and the governor have looked at reducing the amount of money transferred to cities. The cuts have ranged, Krull said, from 14 percent to 25 percent. And Gov. Bill Graves recently proposed eliminating those transfers entirely.

“Probably the biggest concern to us, most immediately, would be in the special street and highway fund because we’ve utilize that money to do our summer street maintenance programs.”

Once the Legislature and governor approve a state budget, the city can determine its course.

“If it were a one-time fix from the state, I think it would be more manageable for us to handle,” Krull said. “If it were going to be an ongoing effort to reduce or eliminate those funds, we would have to look at other options, which are limited to property taxes and sales taxes.”

Any increases in sales taxes levied in Tonganoxie would be subject to a special election. The city could levy additional property taxes starting with the 2003 budget that goes into effect Jan. 1.

On Monday, Tonganoxie City Council members approved a resolution urging legislators to fully fund those financial transfers. The resolution will be sent to area lawmakers, Krull said.

In an effort to whittle away at the state’s projected $700 million budget shortfall, the Kansas House passed a budget that would cut spending in fiscal year 2003, but would still leave a $106 million deficit. The Senate’s spending plan would leave a deficit of $300 million to $400 million. To cover that, the Senate’s Assessment and Taxation Committee has proposed a $335 million tax package that includes hikes in sales, cigarette and income taxes.

The governor has proposed a $364 million tax increase that includes many of the same hikes.

Lawmakers currently are on break until next Wednesday, the start of a two-week wrap-up session.