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La Habra Heights council warns city may not be financially viable without new revenue or reforms

La Habra Heights City Council · February 23, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council staff summarized a series of budget workshops showing expenditures rising faster than revenues and warned the city could face loss of viability absent new, stable revenue sources or structural changes; residents pressed options ranging from increased assessments to permit modernization and potential disincorporation.

La Habra Heights city staff told residents Friday that the city’s long-running pattern of revenues rising slowly while costs — especially for roads, fire services and mandated programs — accelerate could force the city to consider major structural changes if it cannot close the gap.

"If we don't find a way to sort of close that gap in the future, I can't necessarily say that we can be here forever," Rafferty, who oversees city administration and serves as the technical city clerk, said during the workshop. "We may reach a point where we may not be viable economically to stay as a city."

The workshop was the capstone in a series of meetings reviewing the city’s budget, revenue sources and high-cost programs. Staff outlined…

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