Ventura Foresees a $1.2-Million Deficit for Year

After granting raises of nearly 3% to hundreds of employees, Ventura city officials are projecting a $1.2-million deficit for the fiscal year beginning July 1.

The estimated shortfall was disclosed publicly for the first time at a meeting of the city’s finance committee late Wednesday. Last spring, analysts projected a $600,000 surplus for the 1995-96 budget year.

“We knew we were going to have a deficit when we approved the salary increases,” said Councilman Gregory L. Carson, who chairs the finance committee.

“We’re concerned, but we’ve been dealing with (budget cuts) for three years,” he said.

The salary hikes approved last spring for the city’s 468 employees cost $780,000.

But other factors contributing to the $1.8-million swing over the past 10 months include $600,000 in revenue estimates that never materialized and $589,000 in expenditures not counted in the city’s preliminary budget.

Another $191,000 was saved by cutting supplies and services, said Terry Adelman, the city’s director of management resources. The preliminary general fund budget for next year is $47.8 million, he said.

Department heads said the latest deficit would probably mean cuts in services, but none of the managers would say what programs they would recommend be pared.

“There will be some belt-tightening,” Adelman said. “Nothing will be easy. In all probability, it will (result in cutbacks) because we’re past finding easy money in the budgets.”

Committee members, including Carson and two other councilmen, told managers to find ways to balance the budget without going through lengthy budget hearings that have plagued the city for several years.

That decision suited top officials. “We’ll manage it,” Police Chief Richard Thomas said.

City Manager Donna Landeros, who will present the recommended budget to the City Council in April, was not available for comment Thursday.

Under the city’s charter, staff must present a balanced budget to the City Council by May 1, at which time council members will make whatever adjustments they deem necessary. A final spending plan must be adopted by June 30.

There is more than $2 million in uncommitted money that city officials have available to balance the budget, Adelman said.

But a handful of key development projects proposed by local builders could cut into those dollars because they require some public funding in addition to the private investments.

Among them are a $15-million sports complex that would include a minor league baseball stadium and a swimming center; a downtown theater and retail center that would need a multimillion-dollar parking structure; and a marine center at the Ventura Harbor.

“I support anything that would bring revenue to the city,” said Councilman Jack Tingstrom, who has supported the drive for local professional baseball.

“The studies show that a multipurpose stadium would bring about $19 million to the economy every year,” said Tingstrom, who also sits on the finance committee. “Business gives you income for the city.”