Blue Lake tries to make budgetary ends meet
By Matt Kapko
Eye Reporter
The Arcata Eye
July 15, 2003


The California budget crunch is wreaking havoc on rural communities throughout the state. And in Blue Lake, “where the sunshine and sea meet,” things are no different.

The small city of 1,160 people has been struggling with economic revitalization for some time. However, in the wake of drastic budget cuts, the city now faces obstacles and impediments to its quality of life that it never expected to be boggling with.

The extended power struggle over adopting a state budget in Sacramento brings with it many financial shortcomings for a variety of organizations that serve to benefit communities and supply basic services.

Two part-time Americorps employees that have been working at the after-school program in Blue Lake are expected to be out of a job soon. With the massive slash that faces Americorps’ funding, the city will no longer benefit from the equivalent of one full-time childcare aid.

The City Council is sending a letter to Rep. Mike Thompson outlining its fears of the debacle facing Americorps.

It is also determined to continue the after-school program whether or not it receives grant funding from the state.

Many among the council and city staff fear that when programs are cut completely it becomes more difficult to jumpstart their return in the future.

Another likely forthcoming problem for local communities is increased costs from the Humboldt Bay Municipal Water District. Samoa Pacific currently covers 63 percent of the overall costs for the water district and has forewarned that it will be contracting for much less water in the coming months.

Blue Lake currently covers only 2 to 2.5 percent of the district’s costs, although the potential increase will inevitably have financial consequences for the city’s customers.

To see physical evidence of the strained economy in Blue Lake, one needs not look further than the many vacant storefronts and offices scattered throughout the city. One of those vacant buildings is owned by the city. The two-unit building on Monda Way has been slowly sucking the city’s dwindling revenue for months.

There has been minimal interest in leasing the building, although it may be fair to expect little response from a mostly non-visible rental sign that has no contact information or phone number.

The issue has been a recurring item on the City Council’s agenda for many months. At each meeting, the council has asked City Manager Wiley Buck to post a more visible sign with contact information and to advertise the building for rent.

At its last meeting on July 8, the council was again disappointed that no sign posting or attempt to advertise had been pursued.

City Councilmember Marlene Smith voiced her frustration, saying that she wanted Buck to consider leasing of the property as a first priority.

Buck has moved ahead with preparing the building for rental, but no progress had been made on inquiring for potential leasers as of last week.

Delayed budget

A ramification of these financial troubles is a delayed budget. Although Buck expects to have the budget ready for the council’s approval at its next meeting, the council took the opportunity to discuss budget issues.

One of the city’s costs that are increasing at an average rate of 25 percent a year is medical insurance.

With such high fee increases facing the city, the council may have to make changes to its medical-insurance coverage for city employees. The city’s medical insurance plan currently costs $5,000 a month.

Discussing the issue, City Councilmember Brian Julian explained, “I always make sure to call it medical insurance. It doesn’t insure your health.”

After hearing very little good news regarding the financial status of the city, Mayor Dave Nakamura and City Councilmember Sherman Schapiro were concerned that the city may not be able to uphold the 2.7 percent pay increase that it approved for city employees.

Nakamura fears that the city may not receive $64,000 in vehicle-licensing fees from the state and doesn’t want the city to be forced into reserve funds.

Rampant gunfire solution?


Julian brought to the council his finalized letter for submittal to the Humboldt County Board of Supervisors regarding the use of firearms along the Mad River. Julian noted the community’s long history in desiring no guns in the area.

Since the area where firearms are typically discharged is outside of city limits, there is little the city can do to restrict their use. It is hoping that the Board of Supervisors will heed its call to consider gunfire along the Mad River as unsafe because of its multifaceted recreational benefits.

The city is asking the county to designate a “no discharge of firearms zone, along the Mad River” starting from at the Mad River Hatchery then downstream to a half-mile past city limits.

City officials believe that existing ordinances, which prohibit the shooting of firearms in public places at Mad River Beach, should be extended to Blue Lake. They hope the county will react expeditiously and in support of the city’s desires.