Advertisement

CITY BUDGETS : A SPECIAL REPORT : A Balancing Act Between Less Money, Rising Costs

Share
Times Urban Affairs Writer

The Irvine City Council is considering new and increased fees, with concerts at Irvine Meadows and boxing at the Irvine Marriott among the targets for the levies. In Huntington Beach, some parking rates are going up. It’s the same story all over Orange County.

With few exceptions, cities wrestling with 1987-88 budgets that refuse to balance are being forced by reductions in anticipated sales and property tax revenues to hike fees and tap reserves--a sign that the county’s economy is slowing down.

Most of the county’s 26 cities still are expecting to take in more taxes in the 1987-88 fiscal year than in the current year--4% to 8% more, in most cases. But city officials say that that rate of growth is only about half of the previous year’s and is not enough to cover rapidly escalating expenses.

Advertisement

There are a few bright spots. Santa Ana, for example, has managed to find enough money to launch a new program to spruce up neighborhoods.

But, faced with a state law requiring balanced budgets, most city councils are struggling to maintain services at current levels.

Garden Grove Assistant City Manager Mike Fenderson summed up the situation described by many of his counterparts in other cities when he said: “We see the economy weakening . . . I see where serious problems will have to be addressed in the future.”

Here is a city-by-city look, in alphabetical order, at how the budget-balancing is going at city halls across the county.

Newport Beach Capital Cost Reduction Brings Down the Total

Except for 12 new city employees, residents can expect more of the same in local government services for fiscal 1987-88.

The proposed budget for fiscal 1987-88 is $79.8 million, slightly smaller--by about $530,690--than the current fiscal year. City Finance Director George Pappas attributed the smaller budget to about $3 million less in capital improvement project carry-overs.

Advertisement

But there still are about $27 million in improvement carry-overs, so residents can expect a “continuation of present standard services with no major cuts,” Pappas said.

The sales tax is expected to produce $11.8 million in 1987-88, up 8% from this fiscal year’s $10,914,000. Property tax revenues are expected to be up 10.6%, from $14.6 million to $16.1 million.

The budget provides for 12 new employees: four in police, three in parks, two in refuse, two in marine safety and one in purchasing.

The City Council has “looked at the budget over April, May and June,” he added, so the spending plan should become effective on the July 1 target date.

Pappas said the proposed budget is different from past budgets because the city has “maintained the same level of service with the resources available.”

Contributing to this story were Times staff writers Marcida Dodson, La Mont Jones Jr., Lanie Jones, Ray Perez, Mark I. Pinsky, David Reyes, Bob Schwartz, Nancy Wride and Jonathan Weisman.

Advertisement
Advertisement