DAPHNE, Ala.—The Daphne City Council will vote on the new fiscal year budget at tonight’s meeting, which begins at 6:30 p.m. in City Hall.

City Finance Director Kim Briley said the proposed budget is set at around $20.4 million, which is in line with the city's expected revenue for 2011.

“The estimated revenue for 2011 is expected to be $20.4 million,” Briley said. The council also is required by ordinance to take $500,000 from general revenue incurred throughout the year and place it into a reserve fund for capital road projects.

The general fund pays for bid awards and city projects, and it was set at just over 19.8 million last year, Briley said.

The council appropriated an additional $800,000 throughout the year, so the total amount of expenses from the general fund was at approximately $20.6 million.

The council held two work sessions devoted to finding ways to balance the new budget heading into 2011, and they brainstormed ideas along with asking Mayor Fred Small to cut around $500,000 from expenses.

Council members brought up the idea of a hiring freeze, and the estimated cost it would save the city is around $850,000 for the 2010-2011 fiscal year. If the budget is enacted at tonight’s meeting, the hiring freeze will take effect immediately and certain positions, when they become vacant, can only be filled by approval of the council.

The council also discussed putting extra money into investment. The city currently has around $3 million invested with Eagle Management Investments at around a six percent interest rate, and Boulware said if the city were to hypothetically double the amount invested it could double the amount of new revenue.

Daphne currently has around $11 million in reserve funds, Briley said.