SAN BERNARDINO – The city’s budget deficit for the rest of the fiscal year has nearly doubled and is growing.

A report presented Wednesday to a Ways and Means Committee put the shortfall at $4.9 million or $2.2 million above an initial estimate last month.

Property tax valuations are down and there have been increased losses in sales tax and business registration.

City Finance Director Barbara Pachon says the city “is under financial duress”.

Potential budget-balancing strategies:
·Review all revenue and trust accounts for additional collections
·Audit/review of various revenue resources like TOT, Business Registration, Utility Companies, Franchise Agreements, etc.
·Evaluate all City debt for possible refinance options
·Ensure all direct costs are allocated to appropriate funding sources
·Identify new revenue opportunities

Story Date: September 2, 2010