Costa Mesa budgets for financial growth

Costa Mesa officials are predicting increased revenues from sales and property taxes, as well as gains in fines and permits, according to the city’s projected budget for the 2015-16 fiscal year.

The $147.8-million preliminary budget, examined by the City Council on Tuesday, represents a 5.7% growth from last fiscal year’s adopted budget of $139.9 million.

City Hall is budgeting for a 4.6% growth in sales tax — the city’s biggest single revenue source, at 46% of the general fund — and 4% more in property taxes compared to last year, said interim Finance Director Stephen Dunivent. The property tax growth is attributable to the significant amounts of new residential development citywide, he added, and could be higher than the 4%.

An additional $1.2 million compared to last year is also expected from various city fines and permits.

The city workforce is projected to net one additional full-time position, from 472 to 473. Dunivent noted that some positions were added, some were lost through outsourcing — such as jailers and street sweepers — while others were simply eliminated. Six departments, including police and fire, are poised to receive new positions.

Some departments could be receiving additional funds, including $100,000 for records management efforts at the city clerk’s office, which has been dealing with increasingly high amounts of public records requests in recent years.

The city attorney office’s base budget could also be increased, from $803,000 to $1 million.

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Capital improvements

Capital improvement projects amount to 6.5% of next year’s preliminary budget, or nearly $22.3 million. Of that, half is coming from the city’s own funds. The remaining amount is from state and federal money.

Proposed projects include:

$4 million toward Lions Park projects, namely a new library or repurposing the Neighborhood Community Center into a library;

$2.5 million for putting in two artificial turf fields at the Jack R. Hammett Sports Complex. Artificial turf would allow more use of the fields year round;

$1.67 million toward demolishing and constructing a new fire station on Royal Palm Drive;

$265,000 to improve City Hall’s parking lots;

•$100,000 to replace deteriorating wooden bridges over TeWinkle Park’s lake;

$60,000 for fencing to protect Fairview Park’s vernal pools, which contain endangered species;

$50,000 toward designs to improve Bark Park, last renovated substantially in 2001;

•$50,000 for 100 replacement bus benches.

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Additional meetings

A community meeting about next year’s budget is scheduled May 21 at City Hall, 77 Fair Drive.

The council will conduct a second hearing and then adopt a budget June 15.

The 2015-16 fiscal year begins July 1.