PICKENS — As the current fiscal year winds down, department heads with the city of Pickens are being advised to watch spending closely from now until April 30.

“We’re pretty much maxed out for each department,” said city administrator Katherine Brackett.

For the current budget, the city has cut $100,000 in expenses in order to stay within its spending limits, and Brackett predicts another tough year as the city starts working on the fiscal year 2010-2011 budget.

“Last year was tough. This year is going to be really tough,” she said, pointing out the county will be going through a reassessment, and revenue in all areas is declining because of the economy, including business license fees, accommodations tax, local option sales tax, and state funding to local governments.

She also said the city expects a decline in revenue from property taxes and that the city has a lot of exempt property.

In preparing the new budget, Brackett said she has asked department heads to provide a list of long-term needs, like replacing police vehicles and other equipments, so the city can be better prepared.

City council members will meet Saturday, Feb. 27 for a retreat to work on the coming year’s budget.