“Someone has to say it, so it might as well come from me,” said Frere.

He reported the town had cut administrative expenses as much as it could, but income continues to decline, especially from the bank franchise tax which accounts for a portion of the town income.

“We’ve been fortunate with our savings,” he said, “but we need to find out from residents what operations they want and what services they don’t want.”

Frere suggested council start thinking about a business, professional and occupation license (BPOL) or meals tax.

In fiscal year 2010, income was reported at about $130,000. For FY 2011 it is expected to drop by $10,000 to $120,000. Vice mayor David Jones noted if income fell short again next year, council would need to take the necessary steps.

“It takes money to run the town,” he said.

One plan to raise additional revenue is a possible lease arrangement with Bay Transit to rent a back office at the town hall and park buses in the lot. However, because the first year’s rent would be consumed by improvements to the lot and new HVAC for the office space, council decided it would require a three-year lease in order to justify expenses.

Vice mayor David Jones made a motion to spend $7,800 for improvements if Bay Transit will sign a three-year lease at $550 per month plus one-third of utilities. The motion passed on a 4-0 vote. Members Tina Davis, Jennifer Hodges and Scott Hudson did not attend the meeting.

In other business, Irving Brittingham announced an arrangement with the Lancaster Sheriff’s Department to use the town’s fenced tennis courts for training of deputy/K9 teams. He noted the county is taking responsibility for liability.

Mayor Lloyd B. Hubbard announced that councilman Scott Hudson is leaving the area to take a job as Virginia Department of Emergency Management Region 2 coordinator in Spotsylvania County.

Also, the mayor said he would write a letter to the Clerk of the Court for an accounting of outstanding fines still owed the town.

Frere announced the next budget meeting will be held at 5 p.m. April 19 in the town hall.

Council voted to spend up to $450 to update the town’s computer software programs before the current version becomes obsolete. The town plans to advertise for bids on grass-cutting and landscaping.