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City of Chico faces more financial problems

By Tyler May, tmay@krcrtv.com
Published On: Sep 16 2013 08:27:48 PM CDT
Updated On: Sep 16 2013 10:37:02 PM CDT
CHICO, Calif. -

It was discovered last week that there's $800,000 less than expected in last year's book for the City of Chico, which could mean even darker days ahead.

The City of Chico has made some tough decisions this year related to its finances, and this just adds salt to the many wounds that the city is trying to heal.

It’s Fund 400 that is being affected -- a fund that is used for major projects such as road work, maintaining the parks and running major equipment.

City Manager Brian Nakamura said in this year's budget, Fund 400 was supposed to have a negative balance of $2.5 million but now that number is closer to $3.3 million.

A city council member said he was outraged by the finding.

“Absolutely we are upset!  And there's no reason for our books to be run like this,” said Chico City Councilman Randall Stone.

These numbers were figured before Nakamura became city manager. The city government has said that this might lead to more salary cuts for city employees or even cut more jobs.

Both Nakamura and Stone said they believe this will be one of the last deficits the city will find.

On Tuesday night, there will be a meeting at Chico City Hall to talk about what the council plans to do to make up for the deficit.