Indio City Council Passes Budget

For months, the City of Indio was facing a $6 million budget shortfall for the next fiscal year.

But concessions from unions and other cuts have put projected revenues and expenditures in line, city officials said.

The presentation made by the finance director to the City Council and following discussion on the budget lasted an hour on Wednesday, but in the end, the budget plan passed with overwhelming support.

“Motion carries 4-1,” said Mayor Lupe Ramos Watson, after the City Council approved a $122 million budget for the 2011/12 fiscal year.

Watson was the lone dissenting vote, because she said that she didn’t believe the plan goes far enough and doesn’t address future concerns.

But she still praised her colleagues on their teamwork.

“Thank you everyone,” she said. “Honestly, you really did a great job.”

City manager Dan Martinez said the city will continue looking at ways to restructure wherever necessary to reduce costs.

The council has been working on the budget since April.

At that time, the city was $6 million in the hole.

“We were able to implement cuts in the current fiscal year of $3 million that carry over to next,” said Martinez. “So, that automatically reduced the $6 million to about three.”

The city’s four unions also made concessions that totaled about $2.4 million in savings for the City of Indio, despite the fact that union employees will still receive a 5-percent cost of living increase.

“They were slated to receive increases that amounted, potentially, up to 17 (and) 20-percent, overall, with furloughs going away (and) COLA’s being implemented with other increases that were negotiated in 2009,” said Martinez.

In a separate vote, the council approved the city manager’s classification and compensation plan.

It will reduce the salary ranges for executive staff by 10-percent for at least the next two years.

There will be no pay cuts, but no increases either, Martinez said.

These new plans will go into effect on Friday — the start of the new fiscal year.

It was also announced that a retiring police captain’s position will not be filled.

The money saved from that position will go to the reserve fund, city officials said.