Budget cuts just 1 project

In a year when many cities are slashing spending and issuing layoff notices, the Newport Beach City Council took less than five minutes to approve the city’s more than $200-million annual budget Tuesday night.

“How many cities were able to approve their budgets that fast this year?� Councilwoman Leslie Daigle wondered after the brief budget hearing.

“I know it wasn’t that easy in Costa Mesa,� said Councilman Steve Rosansky.

In stark contrast, Costa Mesa approved a contentious budget last week that called for laying off 23 city employees, primarily from the police and fire departments.

The Newport Beach City Council approved a little more than $2 million in supplemental budget requests, which still included projects like $195,000 for a tsunami warning system and landscaping improvements, despite stagnating sales and property tax revenue in the city.

Newport Beach Mayor Ed Selich volunteered to give up a $12,000 budget request for a new teaching lab at the Back Bay Science Center because of tighter funds this year, but no other projects were trimmed from the budget Tuesday.

Newport Beach is tightening its belt somewhat this year, slashing city department budgets by 2% and reducing spending on capital fund projects by 2%, resulting in a savings of about $5 million. City officials expect property-tax revenue to grow by only 2% in the next budget year, or from $55.8 million to $56.9 million.

Historically, property-tax revenues have grown by about 6% to 8% yearly, but property values have been trending downward.

The city also budgeted $20.2 million for sluggish sales tax revenues in the coming year, compared with $19.8 million last year.

The budget includes about $125 million in salaries and benefits, $60.8 million in maintenance and operations, and $30.5 million in capital improvements.

The city budgeted $10 million for the new Sunset Ridge Park in West Newport Beach. The park, which includes plans for two soccer fields, a baseball diamond and walking trails, has been in the planning stages for several years.

The project is scheduled to be completed in spring 2011.

The budget also includes $6 million for design and environmental planning for a new City Hall and park, $7 million for underground utilities in Santa Ana Heights and $30,000 to replenish sand on beaches at China Cove and Balboa Island, among other projects.

Budget Highlights

 $66,059 for Central Library Bookstore renovations

 $6,900 for Newport Coast Community Center audio-visual equipment

 $589,692 for street rehabilitation in Corona del Mar

 $503, 272 for traffic signal modernization

 $195,890 for a tsunami warning system