City's Budget Tight, Says Finance Director

City hall is putting an emphasis on building up reserves, which have dwindled in recent years, but may have to trim jobs, services, pensions and more.

The city is facing an $1.6 million budget deficit next fiscal year, which means that more cuts to jobs and services are expected, according to the mid-year budget review released earlier this week.

The economic picture for Petaluma is mixed, with increased revenue from property and sales taxes (up by $364,000), but a decrease in revenue in all other categories, like franchise fees and business license and real property tax revenues.

With the current projections, the city would have a shortfall of $6.4 million in just four years, unless cuts are made. Some say that instead of cutting more services, the city needs to look at ways to to reduce pension obligations. Bryant Moynihan, a former city councilman and fiscal watchdog, estimates that the city has a $65 million in underfunded pension liabilities that will continue to rise in coming years.

For more info on the city's budget situation, check out this Press Democrat article.

Mitch March 02, 2012 at 12:34 AM
And how many additional layoffs would there be without the Target shopping center coming to town? Paul Francis, can you answer this?


More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something