He says it's not a hiring freeze, but a temporary hiring delay for city employees.
Rapid City Mayor Steve Allender is taking action in light of reduced sales tax collections and implementing a temporary hiring moratorium to take effect May 1st.
Allender says this is just a small step to save a relatively small amount of cash in 2017 to keep our revenue and expenses in balance this year and to put us in a better position as we go into 2018.
The hiring delay is for 30 to 90 days depending on the size of the city department.
Allender says the cost savings of the hiring moratorium for the remainder of the calendar year is $338,000, but comes with a cost of additional stress on current city employees.
He says there is no cause for great alarm and adds that the city is just taking a proactive measure to keep from entering into a crisis.
Steve Allender says, "Why this and why now is because this is a minor step, a small step and a current small problem. We want to apply some kind of measure early on before it becomes a crisis, when a crisis, especially a financial crisis happens, then that breeds irrational thinking and the last thing we want is 10 policy members trying to apply emergency measures to a budget which will set us in kind of a state of panic."
Allender says he is confident this will go down in history as an adjustment and that we will bounce back.
The delay does not apply to police officers and firefighters or current city vacancies that are being advertised, or are in the interview or hiring process.
Allender says the hiring delay won't be the only measure taken and says the city is currently discussing what the next measures will be.