Commerce : Budget Up to $21.1 Million

The Commerce City Council on Tuesday approved a budget for the 1988-89 fiscal year that anticipates spending $21.1 million to provide the same level of services as last year, said John Mitsuuchi, director of finance. The spending plan includes a 5% pay raise for city employees.

The city is expected to finish the fiscal year, which started July 1 and ends June 30, 1989, with a general operating reserve of $5.2 million, Mitsuuchi said. Revenues are expected to match expenditures. In addition, the city has set aside $2 million for capital improvements that still must be approved.

The city ran on a $18.68-million budget last year. The additional spending this year will pay for increases in what Los Angeles County charges Commerce for police and fire protection, park improvements, employee raises and other expenses, Mitsuuchi said.