La Palma Ca Finances

Anticipating a $27,000 windfall for the library, the City Council has reactivated a citizens' advisory group to study how to spend the money. City Manager Daniel E. Keen told the council this week that the county library system recently revised its funding formula to account for changes in cities' populations as well as circulation of books and other library materials. "After applying the new formula to the [library system's] new budget, the results for La Palma are very positive," Keen said.

Because of a tower-lease arrangement, a tiny plot of city-owned land is going to bring the city treasury $16,000 a year. The City Council has agreed to lease to Nextel Communications about 450 square feet of land adjoining the city's water well at 6800 Walker St. Nextel plans to construct a 72-foot tower on the property that will be used for communications relays, including cellular phones. In a memo to the council, City Manager Daniel E.

City Manager Daniel E. Keen has unveiled a proposed 1996-97 city budget that forecasts more services but slightly less overall spending than in the current fiscal year. "It is a budget which maintains the high service levels which La Palma's residents and businesses have enjoyed for many years," Keen said. The current budget is $5,393,700. Next fiscal year's budget would lower expenditures to $5,295,300. The new city budget would go into effect July 1.

Animal control is going to cost the city less than half as much next year, officials said. Interim City Manager Len Wood said the city's 1995-96 contract with county government for animal-control services calls for spending $10,435, compared to $21,498 for 1994-95. "A reduction in the [county] employee burden rate, salaries were frozen, and a lower than expected activity rate account for the reduced cost," Wood said in a written report.

In a resolution that rebuked county government, the City Council has demanded that all of its $5.5 million be returned from the county's bankrupt investment pool. The council's resolution accused the County Board of Supervisors of giving too little information to the city about the status of invested money. "The Board of Supervisors has not been responsive in disclosing all pertinent information," the resolution said.

Despite a sputtering state economy and a bankrupt county, city finances so far this fiscal year are in very good shape, City Manager Pamela Gibson said in a report this week to the City Council. "Our expenditures are running below our revenues, and we're doing pretty well in the general fund," Gibson said. "The utility tax is probably doing the best. We're exceeding our projections" for income from the city utility tax. Gibson also reported that despite the city's $5.

City Councils in La Palma, Laguna Beach and Fullerton agreed Tuesday night to accept settlements with the bankrupt Orange County investment pool. The county last month offered cities and other investors three options for settlement of their invested money. Option A allows the investors about 76% in immediate cash settlement, about 4% in negotiable notes, 9% in "secured claims" and 10% in vague IOUs. Those taking option A agree not to sue the county for additional money.

To publicize a free December holiday concert, the City Council has approved $300 for use by the city's Cultural & Beautification Committee. Recreation and Community Services Director Ron Kenny told council members that the La Palma String Ensemble has offered to perform and that the La Palma Christian Center has offered its building.

As the saying goes: Once bitten, twice shy. The city, which had $5 million in the Orange County investment pool when the fund collapsed last year, approved a policy this week that forbids putting any city money into county hands. Revisions in La Palma's fiscal policy were made after the city's attorney, auditor and finance director called for limiting investments to a narrow range of "authorized instruments" such as U.S. Treasury bills.

Pending further study by city staffers, the City Council has delayed action on a proposal to reinstate the Family of the Year competition. The city launched its Family of the Year award in 1992 but later dropped it because of budget problems. The competition was coordinated by a city advisory group, the Cultural and Beautification Committee. Kathy Grover, a member of that committee, urged the council last week to reinstate the Family of the Year competition.