Tonight the council will be asked to sign off on a plan to use extra revenue from the Police Department and Fire Department budgets -- the result of vacant positions that aren't being filled -- to absorb a shortfall of Proposition H funding.
Prop. H is an oil tax approved by voters in 2007 to fund new police officers and firefighters. However, as the number of barrels of oil produced in Long Beach has been declining and is expected to continue to do so through next year, Prop. H funding is also dropping.
Of the $4.2 million in police and fire costs needed to maintain the positions created by Prop. H, the city will only collect $3.4 million this year, according to a city report. The remaining $735,692 can be made up with the savings from vacancies that are funded by a separate source, the general fund.
Yet this will only work for one year. A structural budget change will be needed in the 2011 fiscal year, the report says. The Prop. H shortfall is expected to increase to $1.1 million, yet Long Beach's general fund will have an estimated $18.5 million deficit as well, which means there won't be extra money to go around.
Prop. H is an oil tax approved by voters in 2007 to fund new police officers and firefighters. However, as the number of barrels of oil produced in Long Beach has been declining and is expected to continue to do so through next year, Prop. H funding is also dropping.
Of the $4.2 million in police and fire costs needed to maintain the positions created by Prop. H, the city will only collect $3.4 million this year, according to a city report. The remaining $735,692 can be made up with the savings from vacancies that are funded by a separate source, the general fund.
Yet this will only work for one year. A structural budget change will be needed in the 2011 fiscal year, the report says. The Prop. H shortfall is expected to increase to $1.1 million, yet Long Beach's general fund will have an estimated $18.5 million deficit as well, which means there won't be extra money to go around.
Paul Eakins reports on Long Beach City Hall, and local and regional
politics. A newcomer to the Press-
Kris Hanson reports on the Ports of Long Beach and Los Angeles,
covering environmental issues, economic triumphs and
pitfalls and trade trends of America’s largest port.
He also writes a weekly column “On The Waterfront”,
appearing Tuesdays, and also produces an occassional video
and column titled “On The Job,” which follows the hard-working
men and women who keep Southern California’s economy humming.
Karen Robes Meeks came to work for the Press-
Leave a comment