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January 18, 2008

Norco foresees $4 million spending gap by 2010

The city of Norco faces a nearly $4 million gap between spending and revenues by 2010 unless more money is brought in or spending is cut, Finance Director Andy Okoro told the City Council at a workshop this morning.

While the city’s roughly $15 million annual income is expected to grow only minimally in the next few years, existing budget commitments are projected to cost more than $19 million by fiscal year 2010, Okoro said at the council’s biennial planning session.

On the plus side, the city’s reserve funds are higher than ever at about $8.4 million, according to city officials. City Manager Jeff Allred told the council economic development is the way out of the budget hole.

“We’ve got land that’s freeway-oriented,” mainly along Hamner Avenue, he said. “If we do things right then we can overcome this.”

—Alicia Robinson
arobinson@PE.com

Posted by PE.com at 11:17 AM, January 18