Monday, June 10, 2019 - NEWS RELEASE
San Diego – Today Mayor Kevin L. Faulconer won support from a City Council supermajority for his Fiscal Year 2020 Proposed Budget to fund the largest infrastructure investment in City history for the second year in a row while prioritizing funding for homelessness, the “Clean SD” initiative, housing reforms, road repair and neighborhood quality of life.
“This plan builds on the progress we’ve made over the past few years to put neighborhoods first and delivers the largest infrastructure investment in city history,” Mayor Faulconer said. “We’ve got a lot of work to do to reduce homelessness, make housing more affordable, fix our streets and clean up our neighborhoods, and this budget prioritizes each as we work together to solve San Diego’s biggest challenges.”
Despite a lean budget year and modest revenue growth, Mayor Faulconer’s $4.3 billion budget continues his commitment to investing in all neighborhoods by focusing on core community services. It includes funding for a major expansion of the popular “Clean SD” program to remove trash and debris from public spaces, the equivalent of 430 miles of street repair and key initiatives such as the Climate Action Plan, Pure Water San Diego, Vision Zero and the expansion of housing and homeless programs.
The annual budget for the Capital Improvement Program, which funds most infrastructure projects throughout the city, has seen massive growth since Mayor Faulconer took office. It has nearly quadrupled from $179.4 million in FY 2014 to an all-time high of $710.4 million in this budget. The total includes funding to begin construction of the first phase of Pure Water San Diego – a multi-year program that uses proven technology to clean recycled water to produce safe, high-quality water.
“I am pleased to see the Council approve a balanced budget, which includes the largest infrastructure investment in City history,” said City Councilmember Chris Cate. “We must continue to support our parks, libraries, and public safety personnel. Several critical investments in District 6 include the following: allocating $250,000 for my City of San Diego Police Officer Homebuyer Down-Payment Assistance Program, dedicating more than a million dollars to Olive Grove Park improvements in Clairemont, and investing $1 million in the Hickman Field Athletic Area in Kearny Mesa.”
Mayor Faulconer balanced this year’s budget with about $15 million in reductions spread across various General Fund departments, rolling over $35.6 million in surplus from the current fiscal year budget and the use of $10.7 million in excess funds available in risk management reserves, among other things. The reductions were made possible thanks in part to the Mayor’s directive to reduce the budget by 3 percent in many departments.
The structurally balanced budget follows responsible financial practices by ensuring that ongoing expenses are funded with ongoing revenues and that one-time expenses are paid for with one-time revenues. Budget highlights include:
The budget sets spending for city operations and capital projects for Fiscal Year 2020, which runs from July 1, 2019 through June 30, 2020. For more information, view the initial proposed budget online along with additional changes made during the May Revise.