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SR-9A (2) FD:CMD:brjSRll4.word.pobas Council Meeting: Jan. 14, 1992 2::4 , Santa Monica, California TO: Mayor and City Council FROM: eity staff SUBJECT: RECOMMENDATION TO INVITE PUBLIC COMMENT AND REQUEST CITY COUNCIL DIRECTION REGARDING 1992-93 CITY BUDGET PRIORITIES ON JANUARY 28, 1992 Introduction This report recommends that the City Council hold a public hearing on January 28, 1992 to invite public comment and request that Council provide direction to staff regarding 1992-93 City budget priorities. Background In January, 1991, the Council held its first public hearing on community budget priorities. Staff believes such a hearing is useful and should be incorporated as a regular part of the city'S budget process. The hearing provides an opportunity for public input earlier in the budget preparation process, allows time for more thorough staff and council consideration and evaluation of suggestions, and allows more time for public education on budget parameters and constraints. Analysis A public hearing focusing on City budget priorities is particularly important at this time. Although the City of Santa Monica ended 1990-91 in a relatively strong financial position 9-fr - 1 - JAN 1 4 1991.. compared to many other jurisdictions, the current recession has been substantially deeper and is proj ected to be much longer lasting than was expected when budget decisions were made in June 1991. As a result, city financial resources are being stretched. Preparing and adopting a city budget for 1992-93 will be a difficult process. As was the case last year, the public hearing is proposed to be held prior to submittal of department budget requests to the City Manager. It is important to note, however, that this early hearing does not preclude or supplant the public review opportunity and hearing process normally scheduled for May and June. staff will also make a brief presentation on the 28th to set a context for Council consideration of public input and subsequent Council deliberation. Recommendation It is recommended that the Council hold a public hearing on January 28, 1992 to hear public comment and provide staff direction on City budget priorities for 1992-93. Prepared by: Mike Dennis, Director of Finance - 2 -