Officials in the San Bernardino County Government Center are seeing all red these days.

Why?

A lack of preparation combined with bad assumptions has the county facing a budget deficit in its next fiscal year, which is currently approaching an estimated $90 million. A number that will likely climb as the impact of collapsed real estate values and a disastrous drop in retail sales is fully realized.

Property and retail sales taxes are the life blood of county governments.

However, San Bernardino County officials are only projecting a 6.7% drop in property tax revenue in 2010/11 followed by an increase of 2.0% in 2011/12 and each year after. On retail sales tax the county is projecting a 10.0% reduction in the current fiscal year, flat in 2010/11, and an increase of 2.0% in 2011/12.

County projections also indicate cumulative operating deficits of nearly $350 million over the next five years. The figure takes into account an expected return to growth in 2012 with approximately $47 million in positive revenue over the same period. Should the growth not return, the deficit widens further.

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10:00 PM PST on Wednesday, December 9, 2009

By DARRELL R. SANTSCHI
The Press-Enterprise

HIGHLAND – Penny Lilburn will serve another term as Highland’s mayor.

The City Council voted Tuesday night to re-appoint Lilburn, 48, to the largely ceremonial post.

At the same meeting, the council re-appointed Councilman Ross Jones as mayor pro-tem, a post that will allow him to run council meetings when Lilburn is absent and perform other duties when she is not available.

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Mediha Fejzagic DiMartino, Staff Writer
Created: 12/09/2009 07:04:38 PM PST

SACRAMENTO – The Assembly Committee on Education approved a bill on Wednesday that would make the state eligible for $700 million in federal grants, while at the same time it killed a state Senate version of the measure.

The two comprehensive and bipartisan bills contained reforms necessary for California to be eligible and competitive for federal Race to the Top grants, but the language between the two bills differs significantly in some areas.

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Andrew Edwards, Staff Writer
Posted: 12/09/2009 07:09:21 PM PST

SAN BERNARDINO – Gloomy economic forecasts and the complexities of government finance have combined to nearly double the size of the city’s budget shortfall.

The revelation that the city’s financial problems are worse than expected, however, does not mean that City Hall is yet again contemplating the kinds of layoffs or deep service cuts that were made in 2008 and in February.

Finance Director Barbara Pachon revealed Wednesday that San Bernardino’s projected deficit is now pegged at about $4.9 million, up from an estimate of nearly $2.8 in November.

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Michael J. Sorba, Staff Writer
Posted: 12/09/2009 06:13:40 PM PST

Rep. Joe Baca, D-San Bernardino, says he will no longer lobby to award Tiger Woods the Congressional Gold Medal, the nation’s highest award presented to a civilian.

“In light of the recent developments surrounding Tiger Woods and his family, I will not pursue legislation awarding him the Congressional Gold Medal this session,” the congressman said in a statement Wednesday.

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By Rob Hotakainen
rhotakainen@mcclatchydc.com
Published: Thursday, Dec. 10, 2009 – 12:00 am | Page 4A
Last Modified: Thursday, Dec. 10, 2009 – 7:52 am

WASHINGTON – California and other financially strapped states will lose tens of millions of federal dollars that they spend to jail illegal immigrants charged with crimes, under Congress’ latest spending bill.

The $1.1 trillion plan, finalized by House and Senate negotiators Tuesday night, combines six of the large yearly appropriations bills passed by Congress to keep the government running.

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10:00 PM PST on Wednesday, December 9, 2009

By DARRELL R. SANTSCHI
The Press-Enterprise

LOMA LINDA – Loma Linda has managed to build a $7 million reserve despite a sour economy this year even as it has completed several major projects, Mayor Stan Brauer says.

“Our employees, I must give a big appreciation to,” Brauer told about 120 members of the Loma Linda Chamber of Commerce gathered Wednesday for his State of the Community address. “Our employees have been willing to sacrifice more than other surrounding entities.

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10:43 PM PST on Wednesday, December 9, 2009

By RICAHARD K. DE ATLEY and DUG BEGLEY
The Press-Enterprise

Anthony Bong Lee gave San Jacinto Councilman Jim Ayres $500 for his 2006 state Assembly race.

But Lee wouldn’t know Ayres if he passed him on the street.

Lee told prosecutors in a sweeping corruption investigation he couldn’t identify Ayres from a photo, and had “no” involvement in politics when he wrote the check.

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Staff Writer
Posted: 12/08/2009 08:03:26 PM PST

WASHINGTON – Rep. Jerry Lewis, R-Redlands, voted against a permanent extension to a 45 percent inheritance tax on estates larger than $3.5 million.

The House passed the bill 225-200 Thursday.

Voting yes were 225 Democrats and 0 Republicans.

Voting no were 26 Democrats and 174 Republicans.

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