The City of La Mirada is in the top tier of financially sound cities in California according to State Auditor Elaine Howle. The State Auditor’s Office recently released its annual update on the fiscal health of California cities. La Mirada was ranked 24th from the top among 453 cities statewide and 5th from the top among the 130 cities in the Los Angeles/Orange County region. The City has placed among the most fiscally healthy cities for several years.
The most recent update, from Fiscal Year 2018-19, resulted in La Mirada increasing its score from 94.02 to 94.30. The City scored high in eight of 10 categories including general fund reserves; debt burden; liquidity; pension obligations; pension costs; future pension costs; post-employment benefits obligations; and post-employment benefits funding. The City scored moderate in the pension funding category and scored low in revenue trends. The low score in revenue trends is partially due to the sunset of the one percent Measure I sales tax on April 1, 2018.
The City’s score might improve further next year, as the City has established a trust account for future pension obligations and has made additional payments from the trust’s investment earnings to reduce its pension liability.
The State Auditor’s complete update on the Fiscal Health of California Cities can be found at www.auditor.ca.gov/local_high_risk/dashboard-csa.html.
Source: City of La Mirada