Laserfiche WebLink
• PERS rates significantly increasing <br />• City has cut maintenance and other costs that cannot be <br />permanently eliminated, just deferred <br />PIERS Cost Increases <br />60.000% -- -- <br />50.000% 48.600% <br />42600Y.- <br />40.000% - 36.600;% 36:600%36600% <br />28.846% 30500 ' 30.000% <br />30.000% 24.499% 26.000%.,?,.. 26.400% •" ---Safety <br />22.323% 23.906% 22.S17% 22.9009£ .. <br />-Miscellaneous <br />20.000% 22.900% 22.90W% 22.900% <br />18_373% 19300% <br />10.000) 3.312% 15.00046 <br />8.214% 7.073% 6.816% <br />0.000% <br />FY 12/13 Projected Projected Projected <br />FY 06/07 FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 11112 FY 13/14 FY 14/15 FY 15/16 <br />What Does This Mean? <br />• Significant structural deficit - costs exceed revenues <br />• In spite of the significant cuts made in the last few years, economy <br />has not improved and reductions have not been enough <br />• Costs will now need to be reduced in major ways, absent major <br />new revenues <br />The Deficit <br />• Management Partners' forecast was completed in May - with a <br />deficit of $13.6M this year and over $18M in FY 12/13 <br />• The gap is now identified by City staff to be $30M for FY 12/13 due <br />to new revenue problems <br />¦ State takeaways and declining utility users tax <br />Stabilization Study Report <br />• Provides a menu of solutions and strategies <br />• Strategies could generate $26M to $27M in annual savings and <br />new revenue <br />• None of the solutions are easy <br />• They do represent ideas that are being executed around the State <br />Ultimate Goal Is to Preserve Services <br />• Services are vitally important to the people of Santa Ana <br />• Making existing services more efficient should be the first priority <br />• Reducing or eliminating services should be a last resort, only if <br />maximizing efficiency is not enough <br />CITY COUNCIL MINUTES 17 SEPTEMBER 19, 2011