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From: City of Pittsburg <webmaster@ci.pittsburg.ca.us>
Date: Sat, May 7, 2011 at 12:26 PM
Subject: City of Pittsburg: Pittsburg council puts ceiling on rainy day fund use
PITTSBURG -- The City Council has cut nearly in half a recommendation from its finance staff to use $3 million from a rainy-day fund to close a gap in the city's 2011-12 budget.
In setting a limit of about $1.6 million that can be used from a budget stabilization fund next year, the city will probably have to rely on budget cuts or finding ways to raise more money to balance the budget, Finance Director Tina Olson said.
The city will have a budget deficit of $18.3 million over five years if it doesn't reduce expenses, increase revenue or draw on the $8.5 million stabilization fund created seven years ago, according to a draft general fund budget.
Pittsburg also has $6.8 million in general fund reserves.
The proposed 2010-11 budget calls for $31.4 million in spending and anticipates about $28.9 million in revenue.
City Manager Marc Grisham said the council doesn't want to put off hard decisions about the budget to the future.
The proposed budget includes cutting 14 jobs in the maintenance, finance and human resources departments, along with dropping employee recognition events and a city subsidy to the annual Seafood Festival.
The city's employee count would fall from 259 to 245. The proposal would keep vacant positions of police officers on leave, with no police layoffs.
Olson has compiled a list of $1.12 million in additional cuts for the council to consider, including eliminating subsidies to a lighting and landscaping fund and a senior center, closing a teen center, and eliminating youth summer programs.
Grisham has raised the possibility of selling the rights to place electronic billboards on city property adjacent to Highway 4, and negotiating more revenue from dumping fees at the Keller Canyon landfill, as well as other ideas.
State budget cuts, negotiations with police officers over a new contract and the possibility of rising inflation are all wild cards in the budget-balancing effort, according to the budget proposal.
The council will consider a revised proposal at a May 23 workshop and hopes to pass a final budget at its June 20 meeting.
In other news, the council will begin interviewing soon from a slate of 28 candidates to replace Grisham, who plans to step down June 30, according to Councilman Ben Johnson. Grisham retired in December but agreed to continue on a contract basis while the council searched for a successor.
Contact Rick Radin at 925-779-7166.
From: City of Pittsburg <webmaster@ci.pittsburg.ca.us>
Date: Sat, May 7, 2011 at 12:26 PM
Subject: City of Pittsburg: Pittsburg council puts ceiling on rainy day fund use
Pittsburg council puts ceiling on rainy day fund use
Posted Date: 5/7/2011
By Rick Radin
Contra Costa Times
Contra Costa Times
Posted: 05/07/2011 07:59:48 AM PDT
Updated: 05/07/2011 07:59:55 AM PDT
PITTSBURG -- The City Council has cut nearly in half a recommendation from its finance staff to use $3 million from a rainy-day fund to close a gap in the city's 2011-12 budget.
In setting a limit of about $1.6 million that can be used from a budget stabilization fund next year, the city will probably have to rely on budget cuts or finding ways to raise more money to balance the budget, Finance Director Tina Olson said.
The city will have a budget deficit of $18.3 million over five years if it doesn't reduce expenses, increase revenue or draw on the $8.5 million stabilization fund created seven years ago, according to a draft general fund budget.
Pittsburg also has $6.8 million in general fund reserves.
The proposed 2010-11 budget calls for $31.4 million in spending and anticipates about $28.9 million in revenue.
City Manager Marc Grisham said the council doesn't want to put off hard decisions about the budget to the future.
The proposed budget includes cutting 14 jobs in the maintenance, finance and human resources departments, along with dropping employee recognition events and a city subsidy to the annual Seafood Festival.
The city's employee count would fall from 259 to 245. The proposal would keep vacant positions of police officers on leave, with no police layoffs.
Olson has compiled a list of $1.12 million in additional cuts for the council to consider, including eliminating subsidies to a lighting and landscaping fund and a senior center, closing a teen center, and eliminating youth summer programs.
Grisham has raised the possibility of selling the rights to place electronic billboards on city property adjacent to Highway 4, and negotiating more revenue from dumping fees at the Keller Canyon landfill, as well as other ideas.
State budget cuts, negotiations with police officers over a new contract and the possibility of rising inflation are all wild cards in the budget-balancing effort, according to the budget proposal.
The council will consider a revised proposal at a May 23 workshop and hopes to pass a final budget at its June 20 meeting.
In other news, the council will begin interviewing soon from a slate of 28 candidates to replace Grisham, who plans to step down June 30, according to Councilman Ben Johnson. Grisham retired in December but agreed to continue on a contract basis while the council searched for a successor.
Contact Rick Radin at 925-779-7166.
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