The East Lansing City Council passed its $54 million budget Tuesday night, opting to fund library materials while street and sidewalk repairs faced cuts.

The council eliminated $524,000 from street and sidewalk repairs, but saved $50,000 for the library. Council members chose not to reduce the library's budget, responding to requests by community members to restore its funding.

"There is stiff competition from other libraries in the area, and I believe our library should be No. 1," Councilmember Bill Sharp said. "Our library is the jewel of East Lansing."

Sharp proposed a resolution to renew the monies, which passed with a 3-1 vote. Councilmember Beverly Baten was absent from the meeting. Mayor Mark Meadows opposed the measure.

Meadows said the library should receive the funding, but wanted to wait on state revenue projections.

"A number of other decisions to grant money were deferred along with the library," he said. "I feel that it was right to put those in priority and the library should stay on that list."

The library money will come from the city's $2.5 million savings account used to supplement the budget in years that revenues don't equal expenses. In 1998, that fund totaled about $3.5 million in savings.

City Manager Ted Staton said the city used $600,000 from that account to balance the annual budget.

East Lansing Public Library Director Sylvia Marabate said she was surprised and grateful the council decided to grant the library the $50,000, adding the money would be used to purchase new print and electronic media, such as CDs and DVDs.

"I think the council as well as the community have made a conscious decision to continue investment in the library," she said.

Effective July 1, the adopted budget maintains cuts to other city departments as result of continued reduction in state funds and rising costs in health care, wages and retirement, city officials say.

The overall budget is down 2.34 percent from last year, but Meadows said he believes the cuts are fair.

"With this budget, we haven't had to cut very deeply into any department," Meadows said. "We want to see that the cuts are spread evenly and that everyone shares the load."

After three consecutive budget crunches, cuts have resulted in a hiring freeze in the city for the past two years. Two open positions in the city's police department will remain vacant.

"Although I didn't see much effects this year and I don't foresee much in the near future, we can't keep doing this without seeing a reduction in our ability to deliver services," he said.

Though funds might be tight, the city has offset some of the monetary constraints by taking action to increase property tax revenue.

Staton said the city has made more land available for purchase and property tax revenue is an important element of keeping budget cuts to a minimum.

In an average year, property purchases increase tax revenue by 3.5 percent, but East Lansing has seen a growth of 7.5 percent this year. This resulted in a $400,000 increase in the city's revenue.

"This money helps us make up for some of the decreasing state revenue," Staton said. "We are finally beginning to see the fruits of our labor."