Council Grapples with $1.5 Million Budget Deficit

The Hercules City Council is set to discuss the city's stubborn budget problems at Wednesday's special Council meeting.  A projected $1.5 million will need to be slashed from the 2012-13 budget, and with slim revenue raising options, the city is looking for expenses to trim.

In a budget workshop in May, the council, Citizens Finance Advisory Ad Hoc Committee and city staff discussed ways to drop the deficit from over $2 million to $1.5 million.

“Ideas to reduce the deficit (included) the elimination of senior programs, teen and youth programs and aquatic programs, and, if Measures O and N do not pass on June 5, further reducing police services,” said City Manager Steve Duran in his weekly report.

As for padding the budget, Duran said the city is considering expediting the sale of surplus real estate and allowing LED freeway signage. City staff is also investigating its ability to raise Hercules’ share of property tax revenue.

“Unfortunately, all significant revenue enhancements are longer term and do not help in fiscal year 2012-13,” Duran said.

The council will discuss the draft 2012-13 budget at Wednesday’s special meeting. Duran said staff plans to bring more budget recommendations then.