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HomeMy WebLinkAbout2003-03-04 - AGENDA REPORTS - FY 03/04 BUDGET (2)CITY OF SANTA CLARITA INTEROFFICE MEMORANDUM TO: SM& & Members of the City Council FROM: 4en amp, ity n g DATE: March 4, 2003 SUBJECT: FISCAL YEAR 2003-2004 BUDGET RECOMMENDED ACTION City Council receive the presentation on the state of the budget including the City's fiscal status, outlook and update on the State budget crisis. BACKGROUND Each year the City goes through a budget process to develop the annual budget. This budget process is about six months, usually beginning in January and culminating in June with the adoption of a balanced annual budget. The budget process involves the City Council, all City departments, and the community. This year the City is contending with the State budget deficit during the preparation of the upcoming annual budget. As we have been informing the Council, we project that the development of the City's Fiscal Year 2003-2004 annual budget will be impacted by the State budget deficit. There are still a number of uncertainties with the State budget deficit and the Governor's proposal to address the shortfall. Staff is working closely with legislators to ensure that the State's budget problems do not become the City's problem. We are approaching the State budget crises prudently and considering the potential impacts to the City during the Fiscal Year 2003-2004 annual budget preparation. Therefore, staff is developing a contingency plan to address any loss in City revenues to the State. This information is being presented to the Council for review and discussion. KRP:EG:js 5\Ms\Eg\Budget 03-04\C-6lbudgetmtgs\studysession3-4-03.dm Agenda Item: /.