Menlo Park council to mull budget cuts, reserves Menlo Park council to mull budget cuts, reserves (May 19, 2004)

Staff cuts at Menlo Park community centers and the state of the city's financial reserves are among topics scheduled for discussion on Tuesday, May 19.

As city staff members prepare another belt-tightening budget, the City Council will provide direction to help shape it. To help bridge a projected $2.24 million deficit in the $27 million general fund budget for fiscal year 2004-05, officials are proposing $1.1 million in cuts.

At the meeting, community services staff will discuss a planned reorganization of their department. The hope is to save money by cutting the equivalent of 5.75 full-time positions, demoting workers, and assigning staff to one of two citywide programs, rather than to one city facility, City Manager David Boesch said.

Officials will also discuss the city's $28.2 million general fund reserves, which some residents say should be used to avoid layoffs. Mr. Boesch is proposing using $725,000 to help cover the deficit, distributing it where needed.

Remaining reserves include $1 million earmarked for fiscal uncertainties and $1 million for retirement costs for public safety employees.

With the governor's latest budget plan, it also looks like Menlo Park could lose another $544,000 to the state, perhaps in sales-tax revenue, Mr. Boesch said. He added that it was not yet clear where Menlo Park would get that money, but that the council would discuss it May 19.

The meeting begins at 7 p.m. in the council chambers at 801 Laurel St. Another hearing is set for June 8, and the council is expected to adopt the budget on June 22.

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