A closed session for the council to discuss labor negotiations will begin at 5:30 p.m., to be followed at 6 p.m. by the regularly scheduled meeting in the council chambers at Clearlake City Hall, 14050 Olympic Drive. TV Channel 8 will broadcast the meeting live.
The council had two budget workshops last month to work on a draft budget.
City Administrator Dale Neiman's report to the council on the city's budget notes that the city's cash balance as of July 1 was $2.3 million. Revenues for 2009-10 are estimated to be $8.2 million, while appropriations are estimated to be $9.75 million, for a deficit of $1.4 million. That deficit will knock down the city's cash balance to $857,649 on June 30, 2010.
The redevelopment budget estimates a cash balance on July 1 at $12.2 million with 2009-10's revenues set at $3.6 million. The agency's 2009-10 appropriations are estimated to be negative $3.8 million, leaving a $163,080 deficit. Neiman's report estimates that redevelopment still will end the new fiscal year in good shape, with a cash balance of $12.1 million on June 20, 2010.
“It is important to recognize the draft Budget assumes the State will not financially impact the City by taking any of our revenues,” Neiman said in his report. “This will not happen. When the State does take money from us, we will need to amend the Budget to make up the difference.”
He also cautioned that the city will need to have adequate cash reserves to make it through “difficult financial times like we have now.”
“If we had an adequate level of cash reserves we would not be faced with the very difficult decisions we have to make today,” Neiman added.
In other matters on the Thursday agenda, Anna Blair of REACH Air Medical Services will give a presentation to the council, which during the meeting also will consider approval of the JAG Recovery Act Grant application and look at establishing a council policy for use of Austin Park and Austin Beach.
E-mail Elizabeth Larson at
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