Salinas approves a rosy 2024-25 budget, but near-term projections show a tougher future.

On Tuesday, June 11 the Salinas City Council unanimously approved a $259.7 million budget for fiscal year 2024-25, $10.9 million larger than 2023-24.

Major city departments like police, fire, public works and libraries received comparable funds to last year. Salinas PD got the largest single piece of the pie with $60.5 million, or 40 percent of the general fund (slightly down proportionally from 41 percent in 2023-24), followed by the fire department with $28.9 million, or 17 percent. The city once again set aside $300,000 for prevention and wellness grants for community organizations.

Councilmember Andrew Sandoval said there is “a false narrative being pushed” regarding council’s support for public safety. He highlighted that the council has approved funds to recruit police officers. (There are 30 vacancies in SPD.)

The council has also championed equity, as seen through a road repair effort to spend equally in each of the six districts. “We want to make it even. We want the entire city to look great,” Sandoval said. Streets and sidewalks got a $7 million allocation from the capital improvement program.

Overall the budget sustains and slightly expands services. Libraries expect to extend hours of operation and increase programming, One additional position was funded in the Community Development Department.

The future outlook is less certain. Acting Finance Director Selina Andrews said in May that projections show a deficit of 1.3 percent next year, growing to 7.7 percent by 2029-30. In addition, the City relies on revenue from voter-approved measures E and G, which are expected to generate $13.2 million and $24 million, respectively, in 2024-25. Measure G – which funds 116.5 staff positions – is set to sunset in 2030. “That’s obviously a key component to keeping the city’s success running and providing the services we need successfully,” Mayor Kimbley Craig says.

In the future, Craig says the city should focus on economic development opportunities to increase revenue.