Monday, March 3, 2014

HW 3/4: Prosper

Exercise 7.4


Prosper to face coal mine shutdown, new town budget

The United Coal Company announced Sunday that they will close Mine No. 3 indefinitely in two weeks, sending the small town of Prosper into a period of cutbacks and depleted revenue.

The deep-shaft coal mine locally known as Hellpit has been the major source of employment for Prosper citizens since its opening in 1901. The United Coal Company states that a shutdown in nationwide manufacturing has lead to a severe cutback in the demand for coal. According to company president Wilson Standridge, the mine will close until demands increase.

Prosper is a town in the northeast corner of Crocker County with a population of 909 people. Over 800 additional people travel to the town daily to work in the state's deepest mine shaft which employs over 1,000 people. Financially, the mine is the main source of revenue for the small town government. 

“With the closing of the mine, our revenue is just about gone,” Mayor Lester Jenkins states.

The mine has allowed Prosper’s local budget to rise from $40,000 to $300,000 since 1901. The shutdown will necessitate cutbacks and a new budget. City clerk Wilma Foster asserts that the new budget will not exceed $60,000 and will go into effect within 30 days.

Fortunately, the town will not face debt. Councilman Ed Barnes reports that most of the coal money went into building projects. The two most recent projects, the city hall and the park, have already been paid off due to wise planning and budgeting.

The town council will meet Tuesday night to discuss the new budget.


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