Santa Monica’s city council is facing financial struggles that have been ongoing for years. To address the issue, they created an Economic Development Ad Hoc Subcommittee to explore solutions and combat the city’s structural deficit.
The subcommittee brings together Mayor Lana Negrete and two council members, Jesse Zwick and Barry Snell. The meeting also set the framework for the upcoming Fiscal Year 2025-27 Biennial Operating Budget.
Deputy City Manager Christopher Smith emphasized the gravity of the situation, stating that Santa Monica continues to face economic vulnerabilities. He noted that the city needs to prioritize fiscal restraint and revenue generation to maintain balance.
The council directed staff to craft a budget that prioritizes these measures. This includes eliminating free parking in Downtown areas to generate $8 million annually and charging market rates for city facility events.
Some council members, including Dan Hall, argued that Santa Monica is “careening towards bankruptcy” and suggested more drastic measures, such as selling municipal assets or increasing fees. However, the council ultimately agreed on a biennial budget approach centered on fiscal discipline, economic growth, and leveraging voter-approved revenues for public safety and street improvements.
The city’s financial struggles have led to concerns over its ability to maintain services and support long-term financial stability. The council emphasized their commitment to addressing these challenges while making difficult trade-offs and tough decisions ahead.
Source: https://smdp.com/government-politics-2/brazen-suggestions-surface-during-council-meeting-to-address-budget-imbalance