While the city of Long Beach will likely end the 2008 fiscal year in October in a surplus—thanks, in no small part, to high oil prices that brought in an extra $11.8 million—an afternoon study session among the City Council and other officials yesterday revealed fears that the city will face a $17 million deficit in the 2009 fiscal year, an article by Paul Eakins in the Press-Telegram tells us.
The story quotes Finance Director Lori Ann Farrell as saying that pay raises for city employees are the main culprit, as those molding the ’09 budget must deal with more than $20 million in combined expenses to the Police Department, Fire Department and International Association of Machinists and Aerospace Workers.
West revealed several ideas to cut costs, including the possible elimination of anything that takes away from the city’s “core services.” A District Weekly story today brings up a few more interesting ideas—not the least of which is turning the Queen Mary over to the Port of Long Beach. A proposed 2009 budget must be presented to the Council by August 1.
The P-T’s Eakins gives us a little hope by mentioning the fact that the 2008 budget faced an $11 million deficit, and looks like it will end up in the black. Farrell noted several cutbacks and restrictions that occurred in ’08, crediting them with the turnaround.
By Ryan ZumMallen, Managing Editor