Southeast/ Long Beach : City Turns to Reserves but Still Has Shortfall
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The Long Beach City Council, surfing in a wave of red ink, has decided to do what just about every red-blooded American governmental body has done of late: Spend reserves and put off any Draconian cuts until next year.
After a marathon discussion, the council in California’s fifth-largest city took the easy way out late Tuesday, deciding to spend about $25 million in reserves to handle most of a projected $40-million shortfall for the fiscal year that begins July 1.
Still, pain is involved--$8 million in cutbacks, at least 20 layoffs, higher utility rates and fees . . .
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