ORANGE : City’s Projected Budget Gap Grows
City officials have revised their projected budget deficit from $10.7 million to $11.2 million for the 1993-94 fiscal year.
Scott Morgan, assistant to the city manager, said the anticipated increase is a result of a larger than expected contribution to the state-run Public Employee Retirement System.
“Our contribution increased by $500,000 to $6.5 million,” Morgan said. “But our basic retirement benefits remain the same.”
City contributions to the system fund the future retirements of municipal employees.
The City Council has already taken a number of steps toward closing the projected budget gap, including voting in April to lay off 50 employees to save $2.1 million and increasing the city’s transient occupancy tax to raise $400,000.
More to Read
Start your day right
Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week.
You may occasionally receive promotional content from the Los Angeles Times.