|At its Tuesday, August 17 Council meeting at 4 p.m., City staff will give the Mayor and Council its first presentation on the financial update for the 2011-12 year. The City’s forecasted budget shows at least a projected $12.5 million shortfall for the next fiscal year.
The City has gone through extensive budget reform since 2007 by eliminating 259 permanent full-time positions, reducing its hourly staffing to 50% and cutting services and programs across the board. Yet major revenue sources have continued to trend downward including sales tax, property tax and franchise fee revenues which continue to affect the City’s financial dilemma.
To overcome its fourth year of budget woes, City officials are preparing for the next fiscal year six months in advance. Budget balancing options will be considered at the meeting including, but not limited to, possible pension reform, franchise fee review, additional service and program reductions and increasing outsourcing services.
"While the former budget cuts were significant, City staff is committed to continue to work diligently for this community and provide the best services we can with the limited resources we have," said City Manager, Jim Sandoval. "However, difficult decisions will need to be made in the next several months. These decisions could literally change Chula Vista as we know it."
On October 5, a City Council Workshop is scheduled to present the staff’s recommended budget reduction plan. No Council action will be taken but the purpose is for public information and feedback.