CITY BUDGETS : Budget-Balancing Deadline Sends Some Cities Scurrying

In Santa Ana, a city financial squeeze means that 90 positions are being eliminated from the city payroll. But the budget for tiny Villa Park, Orange County’s smallest city, is rising 60% this year--thanks entirely to capital spending on road improvements. And in Irvine, last year’s deficit crisis is nearly forgotten and 38 employees will be added to the city payroll.

In most cities where spending is up, it is for increases in public safety personnel or road improvements. But whether the numbers are rising or falling, the story at city halls throughout Orange County is essentially the same: it is budget-balancing time.

The new fiscal year for California’s cities began Friday, and legally they were required to have had their budgets balanced and approved by the night before. However, several Orange County cities are still working with proposed budgets, including Fullerton, which is scheduled to approve its spending plan tonight.

Following is a city-by-city look at the budget picture in each of the county’s 27 cities. Huntington Beach

Budget Increase to Fund Capital Improvements

Increased spending on capital improvement projects accounts for most of the 10% jump in Huntington Beach’s budget this year, which rose to $146.6 million, said Bob Franz, deputy city administrator.

According to Franz, the city will cover the cost of the largest of those projects--downtown parking structures--with proceeds from previously issued bonds. And with general fund revenue and expenditures both increasing 4% this year, the city was able to balance its budget.

Services such as tree and street maintenance and the Police Department are being expanded, and 14 new positions are being created citywide, Franz said. The Police Department will hire four additional officers, for example, while the Fire Department has one new position.

A major cost within the general fund this year, in Franz’s view, is the additional $1.5 million the county is demanding for waste storage. “Because we have no refuse collection fee” and can’t pass the cost on to residents, Franz said, “it’s a direct cost to the general fund for us.”