MARTINSVILLE, Va. -- Martinsville's City Council has shelved a proposal to revert the city to a town within Henry County.
Media outlets report that the council voted 3-2 this week to table the proposal. The council tabled a similar proposal in 2005.
A study by accounting firm Robinson Farmer Cox Associates found that Martinsville could save up to $28 million annually by reverting to a town. The savings would come from the county taking over some government functions.
The city has balanced its yearly budgets with reserve funds for several years. The study says the city's general fund could be depleted in three years.
Mayor Kim Adkins says the city isn't broke. She says city finances have improved over the past 10 years.
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