Youngstown coming to terms with it's future finances - 21 News Now, More Local News for Youngstown, Ohio -

Youngstown coming to terms with it's future finances

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YOUNGSTOWN, Ohio - Youngstown city leaders received some tough news Thursday afternoon.

They learned that they will have to offset a five and a half million dollar deficit in 2013.

A smaller government, which includes merging and consolidating departments, is among the recommendations released in an operations efficiency study that will hopefully save Youngstown money over the next five years.

David Eichenthal from the PFM Group went over the study saying if the city of Youngstown continues its current methods of operating it will be at a 28 million dollar deficit over a five year period.

One of the firm's recommendations was acted on by city council on Wednesday night in regards to restructuring the city's debt on the Covelli Centre.

"We had recommended that the city actually compete out the financing of the notes for the Covelli Centre over the next year. As a result of doing that, instead of paying close to five-percent in annual interests the city will be paying only $100,000 in interest over the coming year. That saves a little over 400-thousand dollars for the city," said Eichenthal.

No figures have been released on what the city could be saving each year by following the recommendations nor has there been any hard numbers released on positions that could be eliminated through consolidations.

21 News will have more on this story tonight at eleven.

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