Overview
- From FY2017-18 through FY2020-21, revenues grew at a low annual average rate (0-3%), below historic long-term inflation (3%).
- During that period, expenditures grew at a moderate average annual rate (3-6%), above revenue growth and similar to long-term inflation (3%), limiting reserves.
- The California Auditor ranked the City’s financial risk as 233 out of 423 (1 is riskiest) in FY2019-20.
- The amounts of the City’s Budget Stabilization Reserve was not reported in its budget or audits.
- While the indicators (based on available financial audits) show sound finances, the City’s FY2022-23 budget reports that the budget “is effectively balanced, but dogged by a modest, stubborn structural deficit that limits the City’s options to absorb cost increases or enhance community service levels.”
Annual Change in Revenues
FY17-18 through FY20-21
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Annual Change in Expenditures
FY17-18 through FY20-21
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Reserves as % of Expenditures
FY2020-21
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