BUENA PARK : City Eliminates 11 Jobs, OKs Cutbacks

The City Council on Monday approved elimination of 11 employee positions and making cutbacks in programs totaling nearly $468,000 to help offset a portion of the city’s $2-million budget deficit for the 1992-93 fiscal year.

To help raise revenues to trim the shortfall from the city’s $30-million general-fund budget, the council scheduled a hearing July 6 to increase the hotel bed tax from 10% to 12%. The tax increase is expected to raise $460,000.

The city hasn’t raised the hotel bed tax since October, 1989. At that time, the tax was increased from 8% to 10%. The tax currently raises about $2.4 million in revenue, officials said.

Among the jobs eliminated were four apprentice firefighters, an advanced planner, a senior custodian, and an account clerk. Other reductions included the elimination of $3,000 for the Mayor’s Prayer Breakfast and combining the finance manager and deputy treasurer positions into one position to save $50,000.

In April, the council trimmed employee benefits, saving about $500,000.

The council had also imposed a spending and hiring freeze last year.

City Manager Kevin O’Rourke said the reductions and tax increase will eliminate most of the $2-million deficit. O’Rourke said reserve dollars will be used to make up the rest.

“These actions, along with prudent use of city reserves, have and will see us through these troubled financial times,” O’Rourke said.

For the 1993-94 fiscal year, which begins July 1, the city is projecting an additional $1-million to $2-million shortfall in revenues from the state.

O’Rourke said the city has been faced with tough economic times for three years. The problems are due to a decline in the national and state economies and reductions of local tax dollars, he said.