ROSEMEAD - The new fiscal year is starting, the calendar year is at the midpoint. So, how is the city of Rosemead faring?

"The city's doing great," said City Manager Jeff Allred. "We're healthy, even though it's a tough environment right now. The city's made adjustments."

But there are major accomplishments, Allred said. No city employees were laid off, the city has a balanced budget and a $9.6 million bond issue has been approved for infrastructure improvements that will not result in an increase in taxes to residents nor businesses.

Allred said he expects to see an additional decrease in funds for the city during the next fiscal year.

"Due to the effects of the economic downturn, general fund revenues are projected to decline in (the next fiscal year) by a total of $1 million," Allred said in a report to the Rosemead City Council. "Meanwhile, expenditures beyond the city's control will increase by approximately $200,000 ... To overcome that initial deficit and achieve a balanced budget, significant spending cuts have been made by all departments without decreasing service levels."

While the city did not lay off anyone, it did eliminate positions through attrition, the report said. Positions that have now disappeared are public safety director, public affairs associate, a city planner, associate city planner and a second assistant city manager.

In addition, one maintenance position and one administrative assistant position were trimmed through early retirement incentives, Allred said in that report.

So, where is the city getting its money?

"The city's largest source of general fund revenues will continue to be derived from property tax," Allred said in that report. "These revenues are expected to decrease by $165,177 or approximately 2.2 percent below budgeted amounts for the previous fiscal year, which is a more stable condition than being experienced by many local municipalities. This relative stability can be attributed to a low foreclosure rate in the community and very stable housing stock."

Allred also said in his report that operating expenditures for the city in this fiscal year should be $16.1 million, "a $5.4 percent decrease over 2009-10 budget amounts. However, the 2010-11 fiscal year budget for all city operations, including the capital improvement program, grant-funded operations and the Community Development Commission, totals over $51.1 million."

Utilizing funds almost entirely outside of the city's general fund is the capital improvement program, "which will invest $21.5 million in improving the community's infrastructure and public facilities," Allred's report said.

Some of the projects are aquatic centers at Garvey and Rosemead parks, expanding Rosemead Community Recreation Center, the building of new parks along with Southern California Edison and street and traffic improvements, the report said.

(Shel Segal can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .)