$278-million Newport budget plan up for City Council and Finance Committee review
Newport Beach City Council members Tuesday will get their first look at a proposed $278-million city budget for the coming fiscal year.
The council and the city’s Finance Committee will hold a study session to review the tentative budget for fiscal 2016-17, which includes money for a new community service officer position, new police car computers, more part-time seasonal lifeguards and increased ambulance service during the summer.
Anticipated general fund expenditures are $195.7 million, down $5.7 million from the revised 2015-16 budget. The lion’s share of that — $134 million — is proposed for employee salaries and benefits. About $55.3 million is expected to fund maintenance and operations.
General fund revenue is projected at $199.2 million from sources including property, sales and lodging occupancy taxes.
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Besides the general fund, the city has budgeted $64.7 million for capital improvements, which include long- and short-term construction projects for streets, buildings, parks and beaches. About $37.4 million of the total was rebudgeted from previous years.
Notable proposed infrastructure projects include turf replacement in city medians, Grand Canal dredging, Sunset Ridge Park access studies, a Police Department station remodel, Balboa Island seawall repairs or replacements, sewer main repairs and traffic signal synchronization.
About $23.5 million is to be allocated toward street and drainage repairs. About $13.26 million would be set aside for parks, the harbor and beaches.
The rest is expected go toward facility, transportation, water quality and environmental projects.
The capital improvement plan and the overall budget will be approved first by the Finance Committee and then by the City Council at future meetings.
About $3.5 million in surplus funds has not been committed, but City Manager Dave Kiff is recommending that city leaders allocate those dollars to the sewer fund, which pays for line repairs and other projects to maintain the city’s 50-year-old sewer system.
The fund for wastewater service is quickly running out of money, according to Municipal Operations Director George Murdoch. In March, the City Council denied a proposal to increase customers’ wastewater rates over a five-year period.
Kiff said that if the surplus $3.5 million is put in the sewer fund, future rate increases could be lower.
Tuesday’s study session will begin at 4:05 p.m. at City Hall, 100 Civic Center Drive.
Twitter: @HannahFryTCN
