Sault Ste. Marie is on its way to recording a rare budget deficit, city council was told Monday.

The third quarter budget update suggests the city is on track to post a deficit of about $2.75 to $3.25 million by year end.

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In the past 20 years there has only been one other deficit noted.

Municipalities are not permitted to post deficits. Any deficit must be funded, said Steve Facey, the city’s manager of finance.

“In the city’s case, any deficit may be funded by city reserves, which will require council approval,” his report to council states.

Two big culprits of the anticipated deficit are the winter control budget, which remains about $2.1 million over budget, largely due to last years significant snow removal activities, and Sault Ste. Marie Police Services, whic

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