127 city employees have agreed to postpone their salary increases for 6 months to help close the city's projected $2.2 million shortfall. This action would save the city $466,000.
The City Council approved a $57 million budget for 1993-1994 which closes a $2.1 million deficit with $266,000 in increased revenues, $880,000 in cuts and $1 million of the City's $5.6 million in reserves.
The City Council approved a $57 million budget for 1993-1994 which closes a $2.1 million deficit with $266,000 in increased revenues, $880,000 in cuts and $1 million of the city's $5.6 million in reserves.
Shortly before the city cut $400,000 in salaries and programs to help close a nearly $1 million budget shortfall, the city's managers and supervisors asked the City Council to consider giving them what they termed long-overdue raises.
The City Council approved a $25.7 million general fund budget after resolving a $418,000 projected shortfall and agreeing to the closure of City Hall on alternate Fridays.
Arcadia police and firefighters have voted to defer a portion of their salaries and health benefits to help close the city's budget shortfall. In total, employee pay and benefit deferments will free up about $300,000. The city is trying to close a $600,000 deficit this fiscal year in its $48 million general fund budget.
Measure A seeks to repeal utility users tax in Arcadia, on the April 12 ballot. The utility users tax is a source of revenue expected to generate $7 million for the city this year. Arcadia charges residents 7% for gas, water, and electricity, and 5% for telephone on utility bills. The city estimates each household pays less than $10 per person per month on average. The tax is 12.5% of the city's $54.9 million general fund budget. If repealed, it would mean a 12.5% cut to city services, including cutting 12 police officers, closing a fire department, increasing blight, street sweeping would be reduced from weekly to every other week. Programs for children and seniors would be eliminated and library and museum hours would be reduced significantly. Larry Papp helped author the initiative.
The new City Council has several options to try to fill the projected $2.2 million general fund budget gap. Options include dipping into city reserves, raising taxes and fees, salary cuts and layoffs.
The state's budget crisis could mean that Arcadia Unified School District will suffer a shortfall of an estimated $2.3 million in the 2008-2009 fiscal year. Figures for other local school districts are included.
Property owners overwhelmingly rejected the city's $2.2 million tax increase Tuesday, casting "no" votes by a 2 -to- 1 margin against the Fire Suppression District.
Arcadia voters consider extending hotel-room tax in the ballot Measure D. It is meant to close a loophole in a city ordinance on the transient tax. Currently, the city imposes a tax rate of 10% of the rent paid by guests to occupy a room up to 30 consecutive days. If the measure passes by a majority vote, the occupancy tax would be imposed the first 90 days of a stay.
Nordstrom's Department Store is scheduled to open in August 1994, while 20 specialty shops and a 292-seat food court will open in October, 1993. The $34.3 million expansion is expected to generate about $1 million in sales tax revenue each year, as well a create 250 retail jobs.
A Los Angeles County proposal to take over fire and ambulance service from the Arcadia Fire Department would cost the city as much as $8 million more than present costs over 10 years, according to a city report.
Measure A would increase sales tax by .75% to bring local Arcadia sales tax rate to 10.25%. It will be placed on a June 4 mail-in ballot. If passed, Measure A would yield about $8.6 million annually, which would be dedicated to keeping city services at the levels residents have come to appreciate.
The addition of a new hotel on the corner of Second Avenue and Santa Clara Street in Arcadia would bring an additional 159 rooms to an area which already boasts eight hotels along a one mile stretch of the Huntington Drive corridor.
A package of new and increased city service fees designed to eliminate a potential budget shortfall will take effect on September 1, 2008. The higher fees are expected to bring Arcadia nearly $512,000 in the new fiscal year, by increases in fire services, swim classes, business licenses, plan checks and library services.