LOS ALAMITOS : City OKs Austere Budget for ‘93-94

The City Council has adopted an austere, $6.9-million budget for fiscal year 1993-94 that reflects the city’s effort to control spending.

“This is a very frugal budget,� said Councilwoman Charles Sylvia after the council adopted the budget unanimously Monday “It’s as tight as the bark of a tree.�

The budget contains a $5.8-million spending plan for operations and $1.1 million for capital improvements, such as street repairs and park upgrades. It also set aside $300,000 as potential loss in property taxes to the state but officials said that amount apparently will be considerably less.

With income projected at $6.3 million next fiscal year and with a $975,000 balance carried over from fiscal year 1992-93, officials said the city is in good shape but will continue to watch its expenses closely.

City Manager Robert C. Dunek said that when adjusted for inflation, the 1993-94 spending level of $5.8 million is practically the same as the 1989-90 level.

Over the past three years, the city reduced its expenses significantly by freezing wages for 21 months, reducing the full-time work force by 5%, eliminating two police officer positions, and eliminating certain services such as full-time building inspection service, Dunek said.

In adopting the 1993-94 budget, there were no new taxes or additional cuts in jobs or services, Dunek said. A hiring freeze will continue, except for critical jobs, he said.

Dunek said the city would probably lose $129,000 in property taxes, rather than $300,000 as earlier anticipated. In addition, he said the city can expect $40,000 in vehicle license fees and another $40,000 with the extension of the half-cent sales tax.

The net loss would be about $50,000, Dunek said.

But council members said that the city, which has a population of about 12,000, is still in jeopardy because it will take some time before it is known how much in property taxes the city will lose to the state.

“This is far from over,� Mayor Ronald Bates said Monday night, adding that the state Legislature is still deliberating on so-called trailer bills to implement the state’s $52.1-billion budget.

The council will vote on a final budget in September.