CITY OF LOS ALAMITOS
For Immediate Release – October 7, 2015
Contact: Bret M. Plumlee, City Manager
(562) 431-3538 x 201
The General Fund of the City of Los Alamitos had an operating surplus of $713,500 for Fiscal Year 2014-15 with $12.8 million in revenue and $12.1 million in operating expenditures. The original budget was balanced with approximately $12.2 million in operating revenues and expenditures. Actual revenues were higher than what was originally budgeted largely due to strong growth in building and construction, which resulted in an increase in sales and use tax revenues and building permit revenue. The City also realized savings by partnering with its two bargaining groups for employees to pay their share of pension costs.
The strong fiscal results for 2014-15 combined with a history of consistently balanced budgets for over 8 years has resulted in healthy fund balance reserves, which were approximately $7.7 million at July 1, 2015. On September 21, 2015 the City Council unanimously adopted a Fund Balance Policy that set aside reserves for emergencies, CalPERS reserves, other postemployment benefits (OPEB), workers’ compensation/liability reserves, and future capital needs. The City’s funded status for pensions, including $3.15 million set-aside by the City Council, is 88% funded. The Fund Balance Policy paves the way for long-term fiscal sustainability and also attributed to the City receiving a AAA issuer credit rating from Standard & Poor’s.
The City also improved its budget process for Fiscal Year 2015-16, which involved 7 budget workshops including 3 stand-alone meetings that provided an overview of each department’s budget, goals and service objectives. The improved budget process provides greater transparency.
The actions taken by the City Council over the years have positioned the City for long-term fiscal success.
Mayor Richard D. Murphy added that he would like to thank his colleagues and staff for all their efforts as we work to secure the city’s future.
For additional information on the City of Los Alamitos, visit www.cityoflosalamitos.org for more or call (562) 431-3538.