As we reach the halfway mark for 2010, I thought it would be a good time to stop and report to the residents of our city on our progress to make Newport Beach an even better place to live. At the beginning of the year, I promised that Newport would end the year with a leaner, more efficient, more effective and better-managed city government. We began with the adoption of a 15-point Fiscal Sustainability Plan.
The City Council has followed the plan, and it is producing results. After projecting a possible $8-million deficit, we end fiscal year 2009-10 with a balanced budget without using operating reserves. For 2010-11, our new budget is lower than 2009-10 by $16.5 million, including an $8.7-million reduction in the operating budget. The new budget is also projected to be balanced without the need to use operating reserves. We still have work to do, but between December and June, we reduced the city workforce by the equivalent of almost 37 full-time positions, with more to come using retirements where we can.