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Artesia City Council Declares Financial Emergency

The Artesia City Council unanimously approved a resolution declaring the city is in a fiscal emergency at its June 11 meeting. City officials said historically the city has operated with fiscal prudence and caution without having to dip into the General Fund reserves. However the state takeaways in the last few years, including the state’s elimination of redevelopment agencies, has resulted in a significant decline in city revenues.


The resolution was approved in order to make the public aware of the fiscal emergency as the city continues budget discussions and deliberations.
Deputy City Manager and Finance Officer Justine Menzal said in approving the resolution, the council noted the state has taken more than $1.5 million from the city in order to reduce the state’s budget. This means approximately $1 million in annual future revenues the city has relied upon to fund various projects has been eliminated, putting into jeopardy projects that have been partially completed and which may require city funds to complete.
Menzal said the city’s general fund reserves, which are intended to protect the city in the event of a catastrophe and to provide the city with needed funds to handle unanticipated calamities, has declined by over $1 million in the last few years to approximately $2.7 million. The council noted this was not sufficient to absorb the cost of services and projects that was previously funded from other sources.
She said the city has already reduced the workforce by approximately 30 percent and reduced park and city facility hours to cut costs
The Council agreed the city will seek to maintain current levels of public safety and police services, including neighborhood patrols and crime and gang prevention programs. Other community services such as street maintenance may need to be further reduced, causing
city streets, roads, sidewalks and public infrastructure to deteriorate further and fall into disrepair.
The significant cost saving measures the city has employed in recent years to address the ongoing budget crisis will not be sufficient to avoid further cuts and community disruptions, she said, which will have a negative impact upon public safety and the character of the community in Artesia.

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One Response to Artesia City Council Declares Financial Emergency

  1. FFL Reply

    June 22, 2012 at 2:20 pm

    Sorry to be the bearer of bad news.. the result the city of Artesia is now seeing in their budget woes is a DIRECT result of years and years of liberal progressive democrat party rule. EVERY city and county that is in financial trouble usually has a majority of members in control that have a ‘D’ after their names. I know the office is SUPPOSED to be non-partisan but if ANYONE believes that I have a bridge to sell you over in San Pedro… Where ever their philosophy is in play, (spend spend spend) bad finances are the result. This can’t be blamed totally on city of Artesia BUT a lot can be blamed on the democrat controlled legislature from Sacramento where decade after decade of liberal rule had bankrupted a once great state..

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