Bobkiewicz said he would come back to the council with “some onetime cuts to make up,” the deficitIn addition, there is a question of repayment from the state.The RDA fund is also up for state grabs and “We can either pay the money from the fund balance,” or slash programs including housing and economic development, he noted. The RDA is still the receiving payments from the water fund - for past misallocation of funds - and payments could be delayed during the budget crisis, among other options covered by Bobkiewicz.“We’re not accomplishing anything except robbing Peter to pay Paul,” and the state has gone back on repayment promises of the past, said Councilman Rick Cook.Funding options being examined by the state and the California League of Cities should be considered, said Councilwoman Mary Ann Krause. “I agree with Councilman Cook. . .in the past we have not been repaid by the state,” and the council cannot rely on such promises.The council will be kept up to date as state funding is finalized, said Bobkiewicz.
Council: State singing the same song with projected funding shortfalls
August 13, 2003
Santa Paula City Council
The City of Santa Paula is still having to contend with the unknown when it comes to state budget crisis, including local funding shortfalls with promises to pay in the future, the same old song the state is singing all over the state.
By Peggy KellySanta Paula TimesThe City of Santa Paula is still having to contend with the unknown when it comes to state budget crisis, including local funding shortfalls with promises to pay in the future, the same old song the state is singing all over the state.Bills are still pending that will impact the local budget City Manager Wally Bobkiewicz told the City Council at the Aug. 6th meeting.Redevelopment Agency financing and the Vehicle License Fee are two sources of funding that are seriously jeopardized.“In late June the state pulled the trigger on the increase of the Vehicle License Fee,” restoring the former cut of about 2/3 approved several years ago, said Bobkiewicz.Cities and counties receive the “lion’s share” of the VLF - and lost the most with the initial cut - but the increase to the former level won’t help anyone but the state.“The state is choosing to keep this gap money,” over $345,000 to Santa Paula, said Bobkiewicz.The state has promised to pay the sum back in three years “without interest” and now the council must decide how to make up the shortfall.There is about $250,000 in General Fund reserves and approximately $100,000 left over from last year’s city budget: “If we add that to the reserves it would be okay but we would not have reserves,” said Bobkiewicz, who did not recommend that the council consider the emergency funds.