City Manager Howard Chan on Wednesday released the City’s proposed budget for fiscal year 2019/20, which bolsters and expands core city services such as public safety and park maintenance while also focusing on the City Council’s commitment to inclusive economic development and increased youth programming.

“I am proud to offer this balanced budget, one that combines and prioritizes our city’s values of inclusive growth and the delivery of quality community services,” Chan said.

The budget, which represents the City’s proposed financial plan for the upcoming year, totals $1.2 billion for operations and capital improvement projects and reflects an increase of $64.8 million or 6% compared to the FY2018/19 approved budget. The combined General Fund and Measure U fund budget of $588.5 million represents an increase of $53.3 million or 10% compared to the prior year approved budget. The Measure U fund reflects new revenues from the sales tax increase approved by voters in November 2018.

“With the passage of the expanded Measure U sales tax, Sacramento voters demonstrated their desire to invest more in their city’s future,” said Chan, adding that the newly formed Measure U Advisory Committeebudget cover art.JPG, consisting of community members, will work in tandem with City staff to make recommendations to the City Council on how best to program the funding for equitable economic development. The committee’s first meeting is scheduled for April 29, 2019.

Last fall’s voter approval of Measure U authorized the extension and expansion of the City’s Measure U sales tax from a half cent to a full cent effective April 1, 2019. The half-cent Measure U tax generated approximately $47 million a year. The full-cent is projected to generate approximately $97 million a year.

“The City stands steadfast in its commitment to empower youth, strengthen neighborhoods and help residents of all ages realize and reach their fullest potential,” Chan said.

Because of thoughtful planning, deliberate use of resources and creative partnerships, the City’s budget forecast is balanced over the next five fiscal years, Chan said. Nevertheless, “it is important to keep in mind that Sacramento, like most California municipalities, continues to face aging infrastructure, increased retirement costs and other obligations, which put pressure on our finances,” he said.

The proposed budget can be found on the City’s website: www.cityofsacramento.org

The budget will go through a series of committee meetings and hearings to solicit input and feedback from Councilmembers, constituents and other stakeholders. The vote for its adoption is scheduled for June 11, 2019. Here is the complete schedule:

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