Pandemic’s Effects Expected to Take Toll on General Fund

Burbank’s budget is anticipating a dour economic outlook due to the effects of the COVID-19 pandemic that could force the city to continue its hiring freeze and cancel events.
Municipal staff members approached the City Council with an update during its Tuesday meeting, explaining that the city expects to operate at a General Fund recurring deficit of nearly $11 million this fiscal year, followed by additional millions of dollars in deficits annually through the 2024-25 fiscal year.
Without intervention, by the end of the 2021-22 fiscal year the General Fund balance will likely be in the negatives.
For the current fiscal year, city staff members project a decrease in “recurring revenue” of about $18 million from the original projection of $177 million, due to drops in sales, property, parking and hotel taxes.

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City Council Projects Steep Revenue Loss on Pandemic Recession

Burbank City Councilmembers discuss a potential new coronavirus relief package with Congressman Adam Schiff, who briefly joined their virtual meeting Tuesday to answer questions about the $3 trillion bill.

The Burbank City Council approved a tentative budget this week that estimates a revenue loss of $15-$20 million during the next fiscal year of 2020-21 due to economic fallout from the coronavirus pandemic.
The council heard eight different budget presentations on Tuesday during a virtual meeting that lasted nearly six hours, creeping past midnight. Though city officials emphasized that the extent of the COVID-19 pandemic’s financial impact on Burbank remains uncertain, they expressed confidence that the city’s prudent fiscal policies over the past several years have put it in a good position to withstand economic challenges.
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