"This year's budget process involved some of the most challenging decisions and changes that the community has seen in many years," City Manager Dave Kiff said Wednesday. "In the end, the City Council, the city staff and the community really stepped up to focus on what's important for Newport Beach."
In total, the city closed a projected $8-million budget gap. In its previous study sessions, the council agreed to changes amounting to a $3.4-million savings from the police and fire departments and a $1.6 million savings from the Municipal Operations Department, among others.
There will now be 762 full-time positions with the city, down from 833 in 2009-10 and 805 in 2010-11. Some vacant positions will be left unfilled, but Kiff said at the May 25 study session that he expected about 19 layoffs.
Among the changes finalized Tuesday, lifeguard reorganization and pension reforms led to savings of $700,000. The council decided to endorse a plan that lays off one of the 13 year-round guards, and has "small impacts" to the seasonal guards, according to Kiff. It also eliminates four vacant year-round positions.
A previous proposal would have laid off five of the year-round guards, and another proposal would have laid off 35 seasonal employees. Also, the guards will have to operate with less overtime and will have to pick up more of their pension costs. Today, they pay 3.5% of their pensions, but the budget assumes they will contribute 9% and all new hires will have a less-generous plan.
The city also is entering a short-term contract with the city of Huntington Beach to cover its helicopter law enforcement service, beginning July 1. The AirBorne Law Enforcement program, or ABLE, was a partnership with Costa Mesa that dissolved in February.