Fullerton moves to adopt late budget with nearly $7 million in cuts

FULLERTON, Calif. — Fullerton City Council members are preparing to adopt a budget more than a month late after a budgeting error overstated available reserves, Voice of OC reported Tuesday.

The plan would cut nearly $7 million in spending and shift money back into the general fund, a fiscal move with potential effects on city staffing, services and future labor talks in Orange County.

Fullerton delayed adoption of its budget past the usual end-of-June deadline after the city found it had nearly exhausted remaining reserves, according to Voice of OC.

The proposed plan cuts nearly $7 million in spending, including the elimination of vacant positions. Voice of OC reported the vacancies include six police officer jobs as well as positions in parks and public works.

To balance the general fund for the current year, the city would move $2.5 million from maintenance funds and just under $1 million from other funds back into the general fund, according to Voice of OC.

City leaders have set aside a sales tax increase for now, Voice of OC reported. The budget is expected to avoid a deficit for three years only if there are no raises and no unanticipated spending during that period.

Labor costs remain a future pressure point. According to Voice of OC, the Fullerton Firefighters Association contract expires in June 2027, while the police officer association contract expires in June 2028.

The late budget vote leaves Fullerton trying to stabilize its finances while preserving services and preparing for major union contract deadlines.