San Gabriel : No Service Cuts in Budget

The budget unanimously approved by the City Council last week will allow the city to maintain last year’s level of spending for services and restore four public safety positions.

Spending from the general fund will increase by 3.3% from last year to $12.5 million, said City Administrator P. Michael Paules. Salaries for a new fire battalion chief and three new police personnel, positions lost in a budget squeeze two years ago, account for part of the increase. Inflation and $150,000 in new workers’ compensation coverage for the city make up the remainder.

The costs will be more than offset by $1.5 million anticipated from the city’s 6% utility users’ tax.

Because the state may take up to $417,000 in property tax revenue from the city, the budget also includes a reserve of $792,000 not slated for spending, Paules said.

Funds not taken by the state may go toward raises for members of police and fire unions if they agree on a new contract with the city, Paules said. The current budget has no pay increases.

The reserve might also pay for items deferred in the current budget, including purchase of a fire truck, repairs to city buildings, and additional training for police.