Dear Fillmore Resident and Taxpayer,

The City of Fillmore is facing a $1.9 million General Fund deficit for the 2011-2012 budget. We continue to have a substantial decline in property tax and other revenues. You know that Fillmore is not alone and many other Cities in the California are struggling to make their budgets.

There are several reasons for the deficits including; reduction in property tax revenues due to falling real estate assessment values and the current economic environment. Also, continuing litigation of Sales Tax agreements is affecting sales tax revenues. In addition, projections made for property tax revenues were based on the price of new housing to remain at bubble levels of $700,000 to 800,000.

Last year, the City also faced a $1.0 million shortfall which we were able to close by cutting expenses in many departments, including closing down the pool for a few months, instituting furlough days for all employees and closing City Hall on every other Friday. We also used part of our reserve funds to balance the budget.

We have asked the employees to work at cutting expenses to help balance the budget. While having the employee’s expertise in reviewing costs is very helpful, it is also important for the citizens to be able to participate in the decision making process. And, while cutting expenses is our goal, that is only half the equation. We may need to look at increasing revenues.

So the City has prepared a survey asking the citizens for feedback to prioritize the core services that the community wants to keep and, which are optional at this time. The survey also asks your opinion on increasing revenues.

The survey is available at the City website: www.fillmoreca.com. The survey can be taken online or printed out and mailed or dropped off at City Hall. Copies are also available at City Hall and the Fillmore Library. In addition, budget workshops and public hearings will be held June prior to final adoption.

The City Council believes that your input is important. Residents are encouraged to provide specific recommendations or ideas. Financial sustainability is key to our future.

You can view past City budgets at: http://www.fillmoreca.com/mb-doc-dl.htm

Or contact the Finance Department at 524-1500.