A combination of small givebacks from employees and a bold development gamble should guide the town of Williams away from financial shoals, its city administrator said.
Facing a budget deficit of $367,000 would likely be more than welcome in most larger cities in California. But in a valley town of just over 5,100, that works out to $71 per person.
Perhaps best known for Granzella’s Restaurant, Williams is somewhat dependent on freeway traffic, according to City Administrator Frank Kennedy. Specifically, gasoline sales taxes.
Kennedy said when gas prices began falling, the amount of sales tax collected slipped, pushing the city’s budget out of balance.
Initially, everything was on the table. Officials floated outsourcing law enforcement to Colusa County. They considered altering fire response and looked into furloughing employees.
Kennedy and local elected leaders managed to stave all of that off. With a building inspector agreeing to switch to part time, and city employees relinquishing their right to cash out vacation pay, the city got some financial breathing room.
The bigger break lies ahead. In a real estate deal involving a state grant and a plan to develop a large industrial park, Kennedy believes he has found a way forward. Part of the site is slated to become a Love’s truck stop, with the rest potentially generating jobs and more sales tax in the future.
“We want people to get off the highway,” Kennedy said. “Whatever businesses we’re looking at and that hopefully would come to Williams. Once people get off the highway, they’re more likely to spend money.”
If the plan works, Williams will gain a little economic diversity and be less dependent on the ebb and flow of pump prices. If it fails, it will have still have one of the biggest gas stations between Dunnigan and Corning.