Super Bowl 10k waiver? Pickleball certainty? Streetlight banners? City closes in on budget

by Garth Meyer

The second public hearing on the 2025-2026 city budget brought out a chorus of support for pickleball courts, waiving the Chamber of Commerce’s Super Bowl 10k/5k security fees, frustrated calls for attention to a street median project, and a question about whether the budget will be balanced.

“Our budget, as proposed, is balanced,” said City Manager Mike Witzansky at the outset Tuesday night, June 2, noting that $3.5 million is included from the city’s pension funds set-aside savings account.

Later, Councilmember Paige Kaluderovic zeroed in on what that meant.

The focus of the meeting was Capital Improvement Projects. 

Jesse Reyes, capital projects manager, laid out the proposed list – including $64 million in carryover from last year (104 projects) and $17 million for six new projects; among them pallet shelter expansion, boat launch design phase, upgrades to the historic library, design for an eight-court pickleball complex at Aviation Park, and Dominguez Park hillside stabilization. 

“That’s another item that’s critical here, amidst everything else,” Witzansky said. 

A proposed new gun range for police is at the grant applications stage, which could fund its estimated $17 million cost. 

Councilman Zein Obagi, Jr., asked about painting the Artesia Boulevard train bridge.

“We’ll need to abate the train paint first,” Witzansky said, explaining that this all would be a city expense, BNSF Railway only gives license to access the bridge. 

In public comment Tuesday, three representatives of the Chamber of Commerce, including new president/CEO Mara Santos and board president-elect Don Ford, asked for restoration of a pre-pandemic Super Bowl Sunday 10k/5k waiver to cover newly required traffic safety barriers.

They said the event has drawn 5,500 runners recently, down from a peak of 8,500 in its 47-year history. 

The council expressed its desire to help, one way or another. Councilman Obagi, Jr., asked if re-routing the race to include fewer intersections may be the answer.

City Manager Witzansky noted that the police department is closing in on a different grant this year that could fund traffic barriers. He also suggested race organizers cut the post-race Seaside Lagoon event, looking at the cost of its city fee compared to attendance. 

In further public requests, Mickey Johnson, North Redondo Beach Business Association president, asked the council for a one-time investment of $54,000, to fund a year-round streetlight banner program on Artesia Boulevard.

A woman then stepped to the podium to give support to the pickleball project. Then a man did, then another woman, then another.

A year ago, Capital improvement highlights from the 2024-25 budget were pavers on International Boardwalk, Marina parking lot pay stations and re-roofing two buildings at Veterans Park.

As the clock pushed toward 10 p.m. Tuesday, Councilmember Kaluderovic asked about the big picture.

“We’re in a deficit this year from $3.5 million in pensions?” she said. “Are we planning on being in a deficit next year?”

“… We planned for that reality,” Witzansky said, referring to a projected  $2 million this year to be drawn from the pension set-aside savings account, which became $3.5 million. “We have to continue to erase that delta.”

Obagi, Jr., and Councilman Scott Behrendt – who laid out a spreadsheet at the first budget hearing last week for what they are looking to fund – asked Councilmembers Kaluderovic, Brad Waller and Chadwick Castle what they have in mind.

Castle said a priority of his is to retrofit the former Fun Factory at the Pier, which was already in the proposed budget.

Waller talked about a $30,000 expenditure for an agreement with a non-profit, such as a church, to outfit an inclement weather shelter for the homeless; a partnership between Metro GoPass and Beach Cities Transit; pole beautification in Riviera Village (spring-loaded banner holders to cut down on wind-clanking) and Artesia Boulevard, and potentially cutting school crossing guards “by a few.”

Kaluderovic spoke in overall terms.

“Generally, I think that anything we’re allocating money for, we should be understanding that we’re borrowing that money to pay for it,” she said.

The council resumed discussion of the Obagi-Behrendt spreadsheet until 10:30. It included proposed increases for entry fees at Seaside Lagoon, maintenance fees at the Performing Arts Center and  preferential parking passes.

Talks continue June 17. The council needs to pass a new budget by July 1.

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Witzansky: Pension savings account set up for this type of occasion

The city’s proposed new fiscal year budget has $3.5 million shifting from the city pension reserves savings fund (which has $8 million in it) to the general fund to cover a gap.

The pension account is set-aside money, separate from the city’s $9 million emergency fund.

“It’s a savings account, if you will, for this type of expense,” said City Manager Mike Witzansky. “A very intentional, strategic savings account. Using this fund allows us to protect services in the community. We’ve been stockpiling savings in the employee benefit reserve. It’s like if you get a tax refund this year and you say, ‘Well I’m not going to spend that, I’m going to save it for my property tax payment next year.’”

City councilmember Paige Kaluderovic expressed unease over what may come.

“I’m deeply concerned about relying on reserve funds to balance the budget,” she said. “This should be a clear signal that we need to prioritize revenue generation and not add costs, especially ongoing structural costs.”

If the same situation arises next year, with a transfer of a similar amount needed, Witzansky said he would “likely recommend budget reductions.” ER

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