PALISADE, Colo. (KKCO) - Palisade town leaders say layoffs for town employees are a very real possibility if their financial situation does not improve.
Town administrator Tim Sarmo tells 11 News January sales tax revenues were down 24 percent from where they were in 2009 and if that trend continues, Palisade could face a budget shortfall of $250,000 this year.
He says the town has already exhausted most of its cost-cutting options and would have little choice but to reduce the size of its staff.
The town does plan to continue moving forward with a number of capital projects this year. Sarmo says most of them are paid for with grant money or funds that were previously approved for use and could not be used to back-fill those projected losses.