SAUGUS – Town Manager Scott Crabtree told the Saugus Finance Committee Wednesday that more reductions are likely to come “sooner rather that later,” after six Department of Public Works employees were laid off Tuesday.?We?re working on trying to move forward to make some of these cuts sooner to reduce operating costs,” said Crabtree. “It?s a shame the way the past administration?s budgets created this issue. There are not enough funds to sustain those positions. Unfortunately this budget season we?re looking at such a large impact ? my look at this is it?s going to impact all departments.”Crabtree said the layoffs amount to almost $300,000 in salaries and benefits for those individuals.?Those guys were all hard-workers and well-respected,” said Crabtree. “What it comes to unfortunately is there will be reduction in services and inability to get things done in a timely manner.”Crabtree also said he met with the Department of Revenue again on Wednesday.?They?re concerned about trying to get an idea of exactly where we are, and if there are enough reductions to actually balance the budget and set a tax rate,” said Crabtree. “I think they were supportive of that.”Crabtree said auditors from Powers and Sullivan have told him it?s likely salaries were improperly paid out of the water and sewer accounts for “many years.”?I think we?re very lucky in the sense we just have to reclassify FY12,” said Crabtree. “The overall goal is financial transparency.”Finance Committee member Ronald Jepson said he thinks the “seeds were planted with the previous administration before the last one.”Crabtree also updated the committee on the Route 1 water main project, saying it?s “moving forward,” but noted “unfortunately” there was a “snag” with the $800,000 MassWorks infrastructure grant.Crabtree said current legislation doesn?t allow the grant to be used for utilities.?We?re looking at some options and trying to strategize how to deal with that,” said Crabtree. “We?ll meet with the state delegation to get some legislation passed.”There is no issue with the $2 million in state aid, however, said Crabtree.He said the project will move forward with the $2 million.Jepson said he was “troubled” by the news.?I don?t understand how everything wasn?t in black and white and how there are questions now,” said Jepson. “It?s hard to believe there weren?t shenanigans going on with that as well.”Matt Tempesta can be reached at [email protected].