During a presentation to the Fiscal Sustainability Ad Hoc Committee on April 28, Fullerton’s Public Works Director, Steven Bise, warned that further budget cuts could severely impact the city’s core services. The Public Works Department, the city’s largest operation with a budget of $93.5 million and approximately 200 employees, encompasses 11 divisions, including engineering, traffic operations, water utilities, and facility maintenance.

Bise noted that the department operates with restricted funds, with only about $11.5 million, or 12%, coming from the city’s general fund. The majority of the budget is allocated for specific services, including water and state or regional funding. As a result, cuts from the general fund do not directly translate to straightforward staff reductions.

Having already made nearly $300,000 in cuts to the general fund budget for the upcoming fiscal year, Bise stated, “There’s really no more room to trim without impacting services.” He indicated that a required 5% reduction would necessitate cutting approximately $426,000, leading to potential staffing reductions and decreased maintenance services. Possible impacts include fewer engineering staff, reduced graffiti removal efforts, and slower response times to maintenance issues.

A deeper 10% budget cut could lead to even more significant consequences, such as less frequent park maintenance, delays in pothole repairs, and reductions in facility upkeep. Bise cautioned that neglecting maintenance could result in higher long-term costs, including damage claims due to poorly maintained streets.

Additionally, Bise pointed out the importance of maintaining eligibility for regional transportation funding. The city must allocate at least $5.9 million in local funds to streets to qualify for Orange County’s Measure M (M2) funding. Currently, the city operates with a narrow margin above this requirement, a situation Bise described as “not a comfortable position.”

Though the department has identified $1.5 million in one-time funds from its fleet services budget to support the general fund, Bise emphasized the unsustainable nature of these savings. “Those are one-time solutions,” he said, stressing that further cuts would result in adverse effects on visible city services.

This presentation is part of the committee’s broader effort to explore solutions to Fullerton’s ongoing budget challenges.