He said that sales tax revenues are running 23 percent less than at this time a year ago, real estate excise tax is about 30 percent less than a year ago and impact fees have dropped about 24 percent.
And, he added that tax revenue last year was down from 2007.
Hoglund also told the Council that "the city has eliminated 6.5 positions through a combination of attrition, not filling vacant positions and layoffs in 2009."
Hoglund's review of the city's current financial picture was a lead-up to a request for authorization to increase the property tax levy by one percent.
The City Council has already approved a budget for next year that includes a one percent levy increase, but Hoglund explained that due to an oversight he failed to include the required declaration of substantial need when he prepared next year's budget.
Council members indicated they would approve a resolution of substantial need. Hoglund said he would draft it and bring it to the Council's Nov. 16 meeting.
Council member Cynthia Richardson said "I know there are people who think even a one percent levy increase is hurtful. But, having to cut services can hurt people, too." Council member Bill Turner said ""I feel it very prudent that we take this one percent."
One percent is the highest the city could increase the property tax levy without voter approval. A one percent levy hike would only bring an additional $41,000 to the city next year and would cost someone paying $3,000 in property taxes about $6 in additional for the year.