Garden Grove Journal
The city councils of Garden Grove and Stanton will grapple with potentially thorny financial problems when they meet separately Tuesday evening.
In Stanton, city leaders will consider what course to take in the wake of rejection by voters last week of a proposed increase in the utility users’ tax from 5 percent to 7.5 percent. The hike would have brought it $1.1 million to a city which must close a $3 million deficit.
In Garden Grove, city leaders will be asked to reaffirm their decision regarding an agreement with a developer (Garden Grove MXD) to build a large hotel-retail complex on Harbor Boulevard.
Although the state has ended redevelopment, “existing obligations” are considered enforceable.
However, the state Department of Finance has resisted including this project on the list, arguing that since all agreements had not been finalized, it could not be considered an existing obligation.
The city’ s attorneys are arguing that the DOF is incorrect, and the already-approved development and disposition agreement is an “agreement to agree” and therefore qualifies for the list.
Stanton’s council meets at 6:30 p.m. in City Hall, 7800 Katella Ave. in Stanton.
Garden Grove’s council meets at 6:30 p.m. in the Community Meeting Center, 11300 Stanford Ave., Garden Grove.
