Bumpy path ahead as Sebastopol considers tightening belts, raising fees

Sebastopol City Manager Don Schwartz has put together a laundry list of potential fixes for the city of 7,500, which faces average budget deficits estimated at just under $3 million dollars a year---though the next decade.

photo credit: Marc Albert/KRCB
Sebastopol: in search of more cash

Explore every option.

That's the message sent loud and clear to Sebastopol city staff late Tuesday night.... after a grueling hearing meant to honestly confront the city's on-going and growing financial problems.

Sebastopol City Manager Don Schwartz has put together a laundry list of potential fixes for the city of 7,500, which faces average budget deficits estimated at just under three million dollars a year---though the next decade.

The council, according to City Clerk Mary Gourley, directed Schwartz dig into every idea on his list, and present more detailed assessment of each one.

Earlier in the meeting, Schwartz told the council the city's financial problems can't be blamed on larger, national factors.

"My bottom line takeaway is that we have significant financial challenges, and it's not the economy."

Schwartz presented a lengthy list of options, none of which the council dismissed out of hand.

These include easing the city's ban on chain stores,

creating an entity called an Enterprise Infrastructure Financing District--similar to a redevelopment agency---

raising the rent, charging fees or reducing support to the Luther Burbank Farms, Western Sonoma County Historical Museum, senior center and public library.

Other options floated by Schwartz involve consolidating city committees and no longer broadcasting their meetings, eliminating community grants and adding a cable TV tax.

Increases to the city's sales, hotel and utility tax rates were already under consideration.

Consultant Bob Leland says the deficit would be even larger if the city rushed to fill vacant positions on the municipal workforce.

Leland says hiccups with inflation, Calpers, or even granting cost of living increases higher than two-and a half percent, could quickly worsen the city's position.

Leland told the council boutique lodging is the best path forward.

"New hotels are probably the best form of economic development you can have because, on the property tax and the sales tax, you are just getting a portion of the total revenue, with the hotels, you get to keep it all."