Lewes finances take expected hit from COVID

Like most resort communities, Lewes is behind this year when it comes to finances. 

But internal measures to reduce spending have softened the blow, said Ellen Lorraine McCabe, the city’s finance officer. 

While revenues are $230,000 behind last year, she said, expenditures are also much lower; as a result, McCabe said, city coffers are down $79,000 from this time last year. Some savings are directly tied to the COVID-19 pandemic, such as payroll, which did not include lifeguards or parking enforcement officers most of May. In city hall, she said, staff has been cognizant of the need to cut back and has been making only essential purchases, while delaying other purchases until the pandemic has passed and the city has recovered. 

Parking revenue has been down because meters did not go online as usual May 1. The city began collecting parking fees May 23 at the beach parking lots and June 1 at downtown spaces and lots. Revenue downtown will continue to be lower than expected because mayor and city council decided to offer free morning parking downtown until at least June 15 to encourage people to patronize the city’s small businesses.

McCabe also expects to see a decline in revenues realized from gross rental receipts for rental properties throughout the city.