The City of Sacramento recently released its proposed budget for fiscal year 2020/21, which begins on July 1. It totals $1.3 billion for operations and capital improvement projects, supports 4,817 full-time positions and is balanced.
Here are three things to know about the proposed budget:
1. Because of COVID-19, it’s considered a “continuation budget.”
Described as a “continuation” or “status-quo” budget by City’s finance department, this budget takes into account the current COVID-19 pandemic, the County’s “stay-at-home” order and potential shortfalls in City revenue.
It does not contain any programmatic cuts or major augmentations, allowing the City to move “cautiously and pragmatically” into the coming fiscal year, said City Manager Howard Chan in his letter introducing the proposed budget.
2. The budget likely will change in the coming weeks and months.
The financial forecasts presented in the proposed budget are based on information available as of early April. However, as with the pandemic itself, information is changing daily.
It may be months before the City knows the full financial impacts to local businesses and residents, officials said. It also may be months before the City know the full extent of available federal resources.
With that in mind, City staff will continue to monitor the financial data closely and will frequently provide updates to the City Council as its fiscal picture becomes clearer.
3. The City Council will vote on the proposed budget soon.
The City Council will discuss and vote on the proposed budget in the coming weeks (likely on May 12). The Council also will discuss the $89 million the City recently received from the federal government as part of the Corona Aid, Relief and Economic Security (CARES) Act, which has not yet been incorporated into the budget.