The community is being fed the status of the City budget, for the 2009/2010 fiscal year, a little at a time, which makes it difficult to gain a full understanding of the City's deficit financial problems.

The report to the City Council several weeks ago indicated that the City's revenue including sales, utility user, property and hotel/motel taxes would be substantially decreased from last years estimates. These revenues pay for the most important city services including Police, Fire, Public Works, Parks etc.

When preparing the budget for the lasts fiscal year, the City used substantial increases in revenues and determined during the year that the revenues would have to be revised downward, requiring reduced expenditures during the budget year.

Let's hope the City will be very careful estimating its revenues and costs so that it doesn't find itself in a serious fiscal position.The City is using practically all of its reserve funds for this year's budget. The State may also be robbing revenues from the City.

It may be possible for Chico residents to review the budget in the very near future.