To South Pasadena Residents,

We are very concerned with the current budget crisis in our City and feel that several steps need to be taken immediately.  We are very proud of our City and feel that this is at a point where many of the things we know and love about South Pasadena are in jeopardy.  As of the February 21, 2024 Mid-Year Budget Update, City Staff is reporting a Budget deficit for the 2023-2024 fiscal year anticipated to be $3.7 million, a nearly 70% increase from the $2.2 million deficit budget approved by Council on June 21, 2023.  The 3 main concerns are as follows:

• On February 21, 2024, NHA Advisors, one of the top municipal financial advisors in California, presented a five-year projection of City revenues and expenses to the City Council and Finance Commission, cautioning the Council about a potential City insolvency in as little as the next three to five years;
• These ongoing operating deficits risk downgrades to South Pasadena's bond ratings, making it more expensive, and potentially impossible, to obtain the financing required to fund the long-awaited upgrades and repairs needed throughout the City's street, water, and other infrastructure systems; and
• We must prioritize spending that maintains existing City staff and the services that represent the hallmarks of our beloved community: 4th of July Festival of Balloons, Tournament of Roses, Concerts in the Park, Little League, AYSO, and SPEF (just to name just a few), and we must not only maintain our excellent Public Safety officers, but finally fill the many key positions still open within the departments.

We request that the City Council immediately do the following:

• We have full faith and confidence in the members of the Finance Ad Hoc Committee and the outstanding work they have already produced.  The Council needs to reinstate the Finance Ad Hoc Committee, comprised of the original four members - Chair Peter Giulioni, Commissioner Sheila Rossi, Councilmember Evelyn Zneimer, and Councilmember Janet Braun - to complete their work to stabilize the City's short- and long-term financial condition;
• Both the Council and Staff must fully cooperate with the Finance Commission and reinstated Finance Ad Hoc Committee, including the prompt delivery of all financial information requests; and
• Council must immediately cause Staff to follow our City's existing financial policies, including both the delivery accurate financial statements each and every month and a balanced budget. 

This will not solve our current situation, but it will put us on the right path to fiscal stability.  Join us in seeking fiscal responsibility for South Pasadena by emailing your City Councilmembers directly at:

Jon Primuth - jprimuth@southpasadenaca.gov

Michael Cacciotti - mcacciotti@southpasadenaca.gov

Jack Donovan - jdonovan@southpasadenaca.gov

Evelyn Zneimer - ezneimer@southpasadenaca.gov

Janet Braun - jbraun@southpasadenaca.gov

For more information around the City's current financial crisis, please find a timeline of recent events HERE.