Some city staff, entire fire department laid off as bankruptcy looms

    ISLETON, California (KOVR) -- The City of Isleton is in the midst of a financial crisis and voted to make cuts to its city staff Tuesday night in a special-called meeting to try and save money.

All paid firefighters at the Isleton Fire Department, the assistant city manager, the accounts payable clerk and the city building inspector were laid off in a unanimous vote by the city council.

"We need to staunch the immediate bleeding. We need a tourniquet yesterday," said Adam Cox, interim co-city manager.

Cox and fellow co-city manager Jon Kennedy have only been on the job for five days, hired as a last-ditch effort to try and clean up the devastating financial mess in Isleton before the consequences become officially filing for bankruptcy or the city possibly having to dissolve into Sacramento County.

Cox says the city's outlook is bleak, but that it is not beyond saving.

"This is the worst financial picture I have ever encountered. There needs to be drastic and swift action," said Jessica Bigby, the city's certified public accountant, who was also hired only within the past two weeks.

So far this fiscal year, the City of Isleton has overspent its budget by more than $350,000. These new leaders do not yet know how.

At this pace, the city admits it will be completely cashless within the next three to five months.

"It's been in a bad situation for a very, very long time," said Paul Steele, former vice mayor of Isleton.

Steele and other past council members including Kelly Hutson were in the crowd Tuesday at the packed meeting where Isleton leaders tried to transparently explain why city services needed to be cut and the consequences of the financial situation the city is in.

"We still need the fire department. We still need city employees. We need to keep the city running. If we cut the fire department, it's kind of throwing the baby out with the bathwater," Hutson said.

Though all paid fire department staff have been laid off, the department also consists of volunteer firefighters. Their future is still uncertain.

What was not voted on Tuesday night was whether or not Isleton will contract out its fire services to the River Delta Fire District or if the Isleton Fire Department station will remain open under a volunteer firefighting model only.

The council says it will vote on this in a special-called meeting in two weeks, after staff can research the options for fire protection more.

"We definitely would support Isleton in their time of need, until you guys get on your feet," said Paul Cutino, chief of the River Delta Fire District, at Tuesday's meeting.

Hutson says he and most neighbors in Isleton do not support the layoffs at the fire department.

"I'm worried. It's just a lack of response time mostly. That extra five or six miles or ten to fifteen minutes could be the difference between life and death," Hutson said.

Right now, the fire department payroll more than doubles its revenue.

The city is also at risk of losing buildings like its community center, where Tuesday night's meeting was held.

"We have a crisis here," said one neighbor in public comment at the podium.

The council also says to save money city hall may need to be closed every day for up to a month while they work to stabilize the city under the leadership of the two interim city managers, Cox and Kennedy.

News of the departure of Isleton's previous city manager, Uyiosa Felix Oviawe, has been quiet.

Cox tells CBS13 that in December, soon after the new city council was sworn in, Oviawe and about six other city staff members abruptly quit. The circumstances surrounding their departures are unknown.

Cox and Kennedy promised community members Tuesday night that they would figure out how the city of Isleton got into this mess and who is to blame. They added that they would welcome and fully cooperate with any Sacramento County sheriff or district attorney's office investigation should they find evidence that criminal action took place by any city staffer at any time.