Campbell cuts $463K in spending to satisfy state

By Jeanne Starmack

The city’s budget now has a surplus of $29,012.

CAMPBELL — The city has eliminated a $463,000 deficit in its 2010 budget, though Council President William Vansuch is loathe to call the budget “balanced.” “I hate that word,” he said Wednesday after council’s meeting, at which lawmakers introduced several more amendments to revise the budget.

“How can we have a balanced budget when all our revenues are anticipated?” he asked.

Nonetheless, he said, the budget complies with the requirement of a state commission overseeing the city’s finances because Campbell is in fiscal emergency.

The state Financial Planning and Supervision Commission for the city of Campbell told the city in December to eliminate the deficit.

City administrators and officials worked on the budget for weeks.

Rather than a deficit, the budget now has a surplus of $29,012, according to figures provided by the city’s finance director, Sherman Miles.

The change was achieved through cuts, savings and an increase in estimated revenues, said Miles and Paul Marshall, who chairs the state oversight committee.

Cut were the budgets of police, fire, city council, municipal court, the finance department, administration and civil service in the general fund. Other funds getting trimmed were the park, street, state highway, land revitalization, park improvement and sales tax development funds.

Savings were largely in health care, where an expected 15 percent increase turned out to be only a 10 percent increase, Marshall said. Workers’ compensation rates were also lower than expected, he said.

Budget revisions show estimated revenues are higher now in the general, storm water management, Community Development Block Grant, land revitalization and water funds.

Miles said, for example, that the city is expecting more revenues now from water-bill delinquencies.

He said copies of the new figures already have been given to state auditors, and on Thursday, he and other city officials met with Marshall.

The budget revisions are due by a Thursday meeting of the city and the state commission.

Marshall said he believes he can recommend the revised budget to the commission.

Now, he said, the city must concentrate on revising its five-year forecast and must work on a recovery plan.

“The question now is how to sustain the city moving forward,” he said.