City of Eugene
7/23/2007 11:20:02 PM
11/2/2006 4:55:53 PM
City Council Minutes
There are no annotations on this page.
Document management portal powered by Laserfiche WebLink 9 © 1998-2015
All rights reserved.
Pages to print
Enter page numbers and/or page ranges separated by commas. For example, 1,3,5-12.
After downloading, print the document using a PDF reader (e.g. Adobe Reader).
View plain text
<br />e Mr. Gleason pointed out several major problems associated with operating <br /> under a deficit. He explained that the City's budget has become inflexible <br /> which has impacted its ability to meet unforeseen needs. He said that <br /> capital expenditures have also been affected. In particular, the quality of <br /> the City's infrastructure has been declining progressively. Because of an <br /> inability to make minor repairs, infrastructure efficiency declines and <br /> operating costs increase. As a result, the City has lost money which could <br /> have been otherwise spent on asset maintenance. <br /> Mr. Gleason provided fire redeployment as an example of problems associated <br /> with operating under an inflexible budget. He said that the City had to <br /> reduce its standard for response time because it was unable to maintain <br /> operational standards within its budget. <br /> Mr. Gleason urged the council to rethink its budgeting process. He noted <br /> that there are little opportunities within the General Fund to make budgetary <br /> cuts without totally eliminating a service and warned that if the City <br /> continues the budgeting process as it has in the past, capital will continue <br /> to erode, the quality of services will decline, and beginning cash balances <br /> will be reduced. <br /> Warren Wong, Administrative Services Director, gave a slide presentation on <br /> this issue. He briefly reviewed the council and Budget Committee actions for <br /> the past ten years. He said that with the Development Services Financing <br /> Study the City is currently in the process of reviewing its user fees and <br /> charges. A policy guideline adopted in FY88 required the City to address its <br />e projected deficits vis-a-vis the Six-Year Financial Forecast. <br /> Mr. Wong provided the council with a slide depicting what share the General <br /> Fund plays within the total City budget between FY80 and FY91. It is <br /> currently 50 percent. <br /> Mr. Wong provided a list of key changes in the General Fund over the past ten <br /> years. He also provided a list of revenues which are coming into the General <br /> Fund and pointed out that property taxes continue to be a major component of <br /> this fund. <br /> Ms. Bascom commented that the City has been unable to decrease the burden <br /> property tax must carry within the General Fund. <br /> Mr. Wong reviewed the most recent General Fund Six-Year Financial Forecast. <br /> He explained that the forecast is based on carrying the adopted service <br /> system forward and projecting no new revenue sources. He noted, however, <br /> that despite the projected deficit, the budget presented for adoption in the <br /> following year must be balanced. Mr. Wong said that the FY92 Six-Year <br /> Financial Forecast depicted a $3.4 million deficit, approximately 5 percent <br /> of the adopted FY91 budget. He noted that the forecast does not take into <br /> consideration the outcomes of Ballot Measures 4 and 5, nor other things such <br /> as wetlands or a new library. <br />e MINUTES--Eugene City Council October 1, 1990 Page 3 <br />
The URL can be used to link to this page
Your browser does not support the video tag.