Mayor Calls Support For ’07 Pay Raise For City Workers A ‘Mistake’
LOS ANGELES (CBSLA.com) — A $7.7 billion budget plan for the city of Los Angeles released Monday was accompanied by a mea culpa of sorts from outgoing Mayor Antonio Villaraigosa.
KNX 1070’s Ed Mertz reports after years of deficits, Villaraigosa said he believes a budget surplus for the city is possible in 2017 if the next mayor follows his guidelines.
The proposed budget for fiscal year 2013-2014 closes a previously estimated $216 million deficit and includes no employee furloughs or layoffs, while also calling for a city reserve fund of $255 million – more than five percent of general fun receipts.
In his eight an final proposed budget as Mayor, Villaraigosa also dedicated a “modest” surplus made up primarily of one-time revenues that would fund critical infrastructure needs previously deferred due to the economic crisis.
The budget does not provide funding for previously negotiated 5.5 percent pay raises set to go into effect on Jan. 1, 2014, for 60 percent of the civilian workforce, while also calling for city employees to contribute 10 percent of their health care benefits on an ongoing basis.
Villaraigosa said he now regrets supporting a 25 percent pay raise for city workers in 2007.
“We’ve had to face a fiscal cliff over the last few years, but let’s be clear: I’ve played a role as well,” he said. “I feel compelled and I have felt compelled to make up for that mistake.”
Under the proposal, a pay freeze on all city salaries would take effect with no additional raises for three years beyond July 1, 2014.
Click here (PDF) to read the entire text of the Mayor’s 2013-14 Budget Presentation.