May 12, 2008 10:22 am US/Pacific
San Jose Works On More Ways To Reduce Deficit
SAN JOSE (AP) ―
San Jose officials plan on turning to collection agencies as they work on reducing a multimillion-dollar budget deficit.
With projections showing a budget shortfall of $137 million over four years, the San Jose City Council is expected Tuesday to approve hiring two collection agencies to help recover money owed to the city.
Officials say about 8,000 people and companies owe about $21 million to the city.
San Jose officials don't expect to collect all that debt, but they expect to assign $15 million worth of debt to the firms over the next three years.
In trying to raise additional cash, city officials are also considering putting a process in place to sell off or lease thousands of parcels of vacant land.
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