11 months ago
SACRAMENTO, CA - Stockton faces a $30 million shortfall for the budget year that begins on July 1, and Stockton Mayor Ann Johnston said it's no exaggeration to call the city "an economic disaster area."
Johnston answered viewers' questions on Monday's Live_Online with News10's Sharon Ito.
Johnston said the city was able to rescind the pending layoffs of 29 officers when the police union agreed to give up a 2.5 percent pay raise this year. But the mayor said unless the union agrees to more wage and benefit concessions, cuts to public safety in the new fiscal year may be unavoidable.
City employees are currently being furloughed in to order to lower the city's payroll. Johnson said she's already turned down a nearly 17 percent pay raise that was recommended by a city salary commission, and she plans to take a one-day-a-month furlough over the next year.
Stockton is also struggling with one of the highest foreclosure rates in the country. Johnston said the city is about to receive $12.1 million from the federal government's Neighborhood Stabilization program, which would help the city buy up foreclosed houses, clean them up and then resell the properties.
Johnston acknowledged the money would barely make a dent in the city's foreclosure crisis -- about 200 homes would be purchased -- but she said it said it's still a step in the right direction for blighted neighborhoods overrun with foreclosures.
The mayor said she just returned from a trip to Washington D.C. to meet with the city's congressional delegation. She said Stockton is getting federal stimulus money to fund flood control improvements, gang and drug intervention programs and transportation projects.
News10/KXTV
