Dublin facing $4.6 million budget deficit
DUBLIN — A year after dealing with a $4.1 million deficit, city officials say they are now projecting an estimated shortfall of $4.6 million for the 2010-2011 fiscal year budget. In a report presented to the council at a special meeting last week, officials said the city is expecting a revenue drop of $1.4 million to $2.4 million. At the same time, the city’s expenditures are projected to rise any where from $500,000 to $1.5 million.
The bulk of the city’s revenue, 71 percent, comes from property and sales tax, which are expected to decrease by $2.1 million and $360,000, respectively.
In April, city staff will present options to the council that could include cuts to services, borrowing again from the city’s rainy fund and delaying some capital projects.
“We are focused on trying to protect and maintain the services that the community relies on, such as the number of firefighters and paramedics needed to keep emergency response times short, saving lives,” City Manager Joni Pattillo said in a news release. “While we want to protect and maintain our emergency responses times, the city can’t ignore the fact that more than half of the Dublin’s operating budget is comprised of costs relating to public safety and these budget areas must be examined.”
The city spends about $24 million of its $45 million budget on police and fire services.
In the budget report, the city is expecting a majority of its cost increases from park maintenance ($525,000) and storm water mandates from the state ($100,000 to $250,000) that involve storm water discharge and drainage. A majority of the increase in park maintenance is due to the expansion of Heritage Park and the addition of Fallon Sports Park, which is expected to open later this year.
To balance its current year budget, the city was able to minimize effects on residents through a series of consolidations to certain departments and not filling open positions. It also borrowed just over $1.1 million dollars from its rainy day fund. The city’s shortfall also does not include the $2 million the state has taken or any other possible state takeaways.
Written by Robert Jordan, Contra Costa Times.
