RESIDENTS WIELDING PENS IN NEWHALL; PETITION BACKS LOAN FOR INFRASTRUCTURE WORK.

Byline: Amy Collins Daily News Staff Writer

Newhall residents are circulating a petition they hope will persuade the City Council to borrow nearly $5 million to hasten the construction of sidewalks and gutters in low-income neighborhoods.

Under current plans, the sidewalks won't be finished until January 2007.

Fifty signatures have been filed with the city clerk and more are expected to be turned over to the City Council today when it holds a study session on the proposed 1997-98 budget.

``We've written letters, we've made phone calls, we've done everything we can. And we've been doing it for years,'' said Larry Bird, a Newhall resident and member of the committee that advises the city on its downtown Newhall redevelopment project.

The older neighborhood lacks curbs, gutters and sidewalks. It's considered a safety risk since children are forced into the street as they walk from school. The city plans to build the infrastructure over the next several years with its annual block grant allocation from the federal government.

But rising costs could scrap the project unless it's all done now, Bird said.

``I don't think Phase 4 and 5 will ever be done. I think the costs will be prohibitive,'' he said. ``I think this is the last chance we'll have to get the entire project finished.''

In January the City Council voted to delay a decision on whether to fund all the projects this year. It deferred a decision until now, when the annual budget is discussed.

Kevin Tonoian, who oversees the block grants for Santa Clarita, said the council will be asked to make a policy decision on how to fund the sidewalks. The council has been warned of the disadvantages of borrowing, which would prevent the city from using the grants for any unforeseen capital needs, a possible decrease in the city's annual grant and the need for collateral for the loan.

The council study session on the budget will be held from 3:30 to 5:30 p.m. today in the Orchard Rooms of City Hall. The council will reconvene at 6:30 p.m. in council chambers for a study session on the Newhall redevelopment project.