Inland Empire News

San Bernardino City Council passes short-term emergency fiscal plan

Tuesday, July 24, 2012

Faced with bankruptcy and pressure from creditors, San Bernardino city officials are trying to work out a fiscal emergency plan that makes sense. Right now, they want to get through the next few months before filing official bankruptcy.

San Bernardino needs to shore up its cash flow in order to keep city services going. The city's most pressing issue is how to address its $18 million negative cash balance in its general fund.

City leaders on Tuesday passed a fiscal emergency plan that will allow the city to meet its financial obligations through at least the end of September.

There will be no immediately cuts to employees, but some of the cost-cutting measures that officials discussed in the short-term include deferring the city's debt and leasing payments, maintaining its current vacancies within the city, and continuing employee salary concessions while also deferring an annually required contribution to a retiree health plan. This will also include a deferment of capital improvements for the city in the foreseeable future.

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san bernardino county, budget, inland empire news, leticia juarez
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