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. Tustin

Major Growth Allows 40% More Spending

Growth and more growth.

To City Manager William Huston, that explains why Tustin’s budget ballooned to $67 million this year, 40% above last year’s figure.

“We’ve got some major development going on,” Huston said, “and with that, we have some major capital improvements.”

Despite such an increase, though, there will be no new fee or tax hikes this year, he said.

According to Huston, the $22 million needed to build a road on the edge of the Marine Corps helicopter base will come from a combination of gasoline tax funds, federal road funds and contributions from the Irvine Co. Improvements to an interchange at Interstate 5 are being covered by funds from an assessment district for the Tustin Ranch development. And improvements to the city’s water system are being financed with water sales to residents.

In addition, the city will create 17 new jobs this year, Huston said, with this, too, being “related to growth in the community.”