Clearly, the City Council was not pleased this week when confronted with the fact that Glendale’s water revenue transfers to the General Fund — a practice that stretches back a decade — might be against the law. That determination was made Tuesday by the city attorney, based primarily on a 2006 state court decision.
The council’s pique is not surprising. Since 2000, the city has transferred nearly $35 million from Glendale Water & Power water revenues to support the General Fund, which pays for firefighters, police and other services — a provision written into the city’s Charter more than 60 years ago.
Without that income, the city’s projected budget deficit of $10 million could deepen, although more money from electricity revenues — which aren’t covered by the court decision — could be theoretically tapped to make up some of the difference.