The Italy City Council spent two-and-a-half hours in a budget workshop Thursday evening.

The 2010-2011 city revenues are estimated at $2,031,002.

Teri Murdock, city secretary/administrator, presented a departmentalized budget broken down between city hall, fire district, municipal court and streets. Projected revenues are set at $1,098,150 with matching expenditures.

The expected income from water and sewer is projected to reach $932,852.

Murdock said this budget reflects a three percent pay increase for all city employees.

Concluding the meeting, Mark Souder Sr., council member, said, “It’s a good start.”

Council member Rodney Guthrie was not present at the workshop.

The Italy City Council will meet again on Monday, Sept. 13, for its regular monthly meeting.