EVANS CITY — The borough council’s finance committee will have to find a way to tweak expenses to balance the 2016 borough budget.

Council President Lee Dyer, who is also on the finance committee, said at the Oct. 5 council meeting that although the police budget will decrease by $3,000 to $4,000 in 2016, the total borough budget will be difficult to balance.

“We have a shortfall for next year,” Dyer said.

Council last year decreased property taxes by 2.88 mills, which lowered the millage rate from 22.88 to 20 mills in the $1.05 million 2015 budget.

That reduction was made possible because of the increased revenue the borough got from natural gas drilling on borough property and because of the savings realized in the formation of the Evans City-Seven Fields Regional Police Department.

But now Dyer said the decrease in revenue comes from reduced income from shale gas operations.

“It has fallen significantly,” Dyer said. “We are looking for ways to replace that (revenue.)”

Dyer said the borough will step up its marketing for the sale of water from the old borough water plant. The water is used for shale gas drilling.

Public works director Norm Nelson said at the meeting that the borough earned more than $4,000 in water sales in September alone.

Dyer said he does not expect a tax increase in the 2016 budget, but the borough will struggle to balance next year’s budget because of the revenue drop.

A preliminary budget needs to be approved in November, which must be done 30 days before final approval by Dec. 31.