Triggered by the severe financial impact on the City from the State of California’s dissolution of redevelopment agencies throughout the State, the City has issued layoff notices to 14 full-time employees .
While Culver City has fared better than many cities, the City has seen its General Fund revenues decline by nearly 10% from its highs in the 2007-2008 fiscal year. Despite eliminating 67 positions since 2009 and reducing operating costs in all non public safety Departments, the dissolution of the Culver City Redevelopment Agency by the State of California on February 1 has added $6 to $8 million to the projected $3 million deficit for the City’s fiscal year that ends on June 30.
“The fiscal realities facing the City have prompted me to issue these layoff notices,” said City Manager John Nachbar. “The City Council, City employees, and the City’s six bargaining units have worked over the past year to reach labor agreements that lower costs to the City in the long term. However, all of the progress made at the local level to reduce costs by millions of dollars annually has been erased by the State’s action to eliminate redevelopment.”
The 14 employees, who hold positions with the City that were supported by former Redevelopment Agency revenues, will be offered positions in other Departments or an option of a severance payment of up to 12 weeks of paid leave based upon years of service with the City. Their former positions will be eliminated, which will save the General Fund approximately $2.3 million annually.
“I will be presenting my proposed budget for the upcoming fiscal year to the City Council and the Culver City community on May 7,” said Mr. Nachbar. “The proposed budget will include the elimination of more than 20 positions, but a multi-million dollar operational deficit will remain.
“ A plan with options on how to address the City’s ongoing operational deficit will also be included. During my presentation, I will be sharing with the City Council the significant service impacts that would be inherent in addressing the deficit with further cuts alone. I will be seeking the City Council’s direction on which proposals meet with their short and long term vision for Culver City.”
Reader Comments(0)