Newport Beach : Initial Approval Given City Budget

The City Council gave preliminary approval to a 1993-94 budget that erases a nearly $6-million shortfall, largely by reducing the city staff.

The $87-million budget was tentatively approved late Monday by a 6-0 vote, with Councilman John C. Cox absent. A final vote is expected in two weeks, ending one of the toughest budget years in recent memory.

“We think we have it figured out what we need to run the city,” said Duane Munson, personnel director. “Barring any unforeseen circumstances (with the state’s budget) we won’t have to do this again until next year.”

This budget plan slashes 47 jobs from the city’s 750-person payroll, including 16 positions that will be eliminated by early retirement, 25 that will be combined with other jobs or left vacant, and six held by people who will be laid off June 30, the first day of the new fiscal year.

Workers being laid off are the mayor’s secretary, a building inspector, the purchasing manager, a code enforcement officer and two auto mechanics, City Manager Kevin J. Murphy said.

But the budget crunch at the state level offers no reassurance to local officials, who may find they need to cut even deeper.

Several dozen city employees who fear for their jobs wore baseball caps with the city logo to the council meeting.

“Layoffs, privatization studies and a year without a contract have had a chilling effect on morale,” said Jim McAfee, president of the Newport Beach Employees League. “We came here to be reassured” about job security.

Mayor Clarence J. Turner said that if the state forces local governments to make additional cuts, Newport Beach will be forced to lay off more people.

To minimize layoffs, the council has approved a series of tax and fee increases on such things as business licenses, parking, hotel beds and use of emergency paramedics, which could raise $2.7 million.

Under the new spending plan, the city has earmarked $40,000 for local arts and cultural organizations, about $750,000 for a new fire station on Balboa Island, and $600,000 to retain the police helicopter program for another year.

Eliminated from the budget are $3,000 for cellular phones for waste water officials and $11,000 for bottled water for city staff. The budget also includes drastic reductions in travel expenses for officials to attend meetings and conferences.

The city will slow down its vehicle-replacement schedule and possibly sell as many as 50 vehicles. Also, funding for street maintenance will be kept at minimal levels.

Among the jobs lost to early retirement or attrition are 11 positions within the 215-member Police Department. No officers will be taken off street patrols.