The move - Becker cites a $3 million plunge in sales taxes and a $1 million drop in property taxes - tightens the capital's belt without major layoffs or service pullbacks.
But the financial woes are not exclusive to Utah's capital. The governor recently called a special legislative session to shave costs. Salt Lake County essentially has imposed a hiring freeze and plans a 5 percent employee purge, through attrition, to save $11 million. And other cities - such as Sandy (a 4 percent trim) and Draper (a 6 percent clip) - are far from immune.
Becker has asked his departments to prune expenses including new computers, travel, equipment and office supplies.
"Just like our residents, Salt Lake City government is facing a different financial reality today than we were even six months ago," the first-year mayor said. "And, just like our residents, we are committed to finding ways to do more with less. We are committed to keeping our city government strong during this financial crisis."
The proposed reductions would delay plans to fill vacant positions and bumps back the cycle for replacing computers by a year. Becker's plan now goes to the City Council, where Chairwoman Jill Remington Love expects quick passage.
"We all want to own this problem," Love said. "We're doing the responsible thing right now, but we're still going to face a problem next year."
Indeed, the sales-tax hit is severe, says finance boss Gordon Hoskins, adding that the property-tax flow could get squeezed further by foreclosures.
"It could get worse," Hoskins warned, "and we've told the mayor that."
Gina Chamness, the city's budget director, agrees more cuts could come next year.
"We are fairly dependent on sales-tax revenue," she said. "Until the economy as a whole turns around, a change is really unlikely."
Anticipating additional shortfalls, Gov. Jon Huntsman Jr. has asked each state department to submit leaner budget proposals that reflect 2 percent, 4 percent and 5 percent cuts.
Salt Lake County is squirming under hard financial times, too. Recently re-elected Mayor Peter Corroon has introduced a 2009 budget that slashes spending nearly $11 million and continues a hiring freeze that would permanently reduce the county's work force by 175 employees. The move would require nearly every department to slim down its staff by 5 percent.
To help offset Salt Lake City's $4 million tax shortfall, Hoskins says nearly a quarter-million dollars from the city's 911 operation would be moved to buoy the general fund, while other contracts could be cut. Service would not be interrupted.
Love says it is a chore to siphon $1 million in any budget, never mind $4 million. "This is huge," she said.
To help, the council implemented a budget freeze, eliminated travel and agreed to only trim trees for safety, not aesthetics. Members even cut out this week's meeting meal.
"We're going to have to do a serious analysis on what are the core services," she said. "And there may be some adjustments."
Becker argued Utah's capital is in relatively good shape, considering the deficits across the nation. He pointed to construction of downtown's 222 office tower and the $1.5 billion City Creek Center along with the restoration of the old library, where the Body Worlds exhibit is drawing large crowds. All these are tax generators.
"There are a lot of things going on in the city that give us reason for optimism," Becker said.
Other valley cities also are hoping for better times, but fearing worse ones.
Riverton chopped 10 percent from this year's budget compared with last year's, explained City Manager Lance Blackwood, but will re-examine its spending plan in January to see if it needs more cutting.
"The sales tax is what we're all worried about right now," Blackwood said. "People have pulled back, and they're not purchasing things."
Murray recently snipped $1 million from its budget and launched a "soft" hiring freeze after the city's sale-tax take fell about 2 percent.
"Our sales tax isn't down crazy amounts," Chief of Staff Jan Wells said, but "we're still holding our breath."
Jennifer Sanchez, Rosemary Winters, María Villaseñor, Jeremiah Stettler and Robert Gehrke contributed to this report.
