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Council votes to adjust budget by $1.8 million Scott Tittrington | Mon, May 17 2010 02:01 PM

The most recent gathering of the Culver City City Council was short, yet anything but sweet.

The five-man panel met as a public body for just 90 minutes Monday, May 10 in the Mike Balkman Council Chambers, with only three items requiring action from the joint council/redevelopment agency. However, the last item on that list again underscored the unfavorable financial situation of the city, resulting in a unanimous 5-0 vote to adopt amendments to the 2009-2010 fiscal budget.

City staff presented to the council the state of the aforementioned budget through the third quarter of the fiscal year, and as could be expected during the trying economic times that have gripped not only Culver City, but municipalities throughout the state and the nation, the numbers were not rosy. Projections for areas such as sales tax (down 14.1% from the same time last year, and more than 20% from two years ago), real property transfer tax and commercial/industrial development tax were proven to be far off the mark, leading the city’s finance department to recommend an adjustment of almost $1.8 million to the 2009-2010 budget.

All told, the city’s general fund is anticipated to suffer from a $3.2 million deficit when the fiscal year comes to a close on June 30 — a shortfall that will have to be made up by borrowing from the general fund reserve.

“This really is a bell weather toward what to anticipate for the next fiscal year,” said Interim City Manager P. Lamont Ewell in remarks following the finance department’s presentation to the council. “This is our economic reality and we’re trying to make the adjustment as we move forward.”

In other words, Ewell sent yet another signal that the city must be prepared to change the way it does business in several areas as he puts the finishing touches on the proposed 2010-2011 fiscal budget he plans to unveil next week and subsequently bring before the council May 24.

In their own remarks leading up to the vote, council members appeared resigned to that very fate and ready to face it head-on.

“This is not a big surprise to any of us,” said Councilman Andrew Weissman. “I think it’s important to recognize this is a financial problem, crisis if you will, that we are all faced with.”

“The city, like an individual, needs to live within its means,” added Councilman Scott Malsin. “We are ready to make tough choices. I think that we’re ready to explain them.”

In other business, the council/agency:

• Voted 5-0 to amend an existing professional services agreement with RTI Consulting and award various contracts for the completion of the construction of Fire Station No. 3 in Fox Hills. The highly anticipated opening of the newest Culver City Fire Department station has suffered numerous setbacks in the wake of a previous prime contractor, FEI Enterprises, failing to complete work that met the city’s specifications.

• Voted 5-0 to continue discussion of a proposed administrative use permit regarding parking adjustments in a lot located at 8511 Warner Dr. in the Hayden Tract.

• Issued a proclamation in honor of National Police Week.

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