SANTA ANA, Calif. – The Santa Ana City Council has unanimously approved the 2024-25 City budget, adding a range of new programs sought by the community while making long-term investments in City roads and public facilities.
“This balanced budget continues the high-quality services our residents have come to expect, while also planning for Santa Ana’s future,” Mayor Valerie Amezcua said. “The City of Santa Ana is investing millions of dollars in better roads, expanded libraries, improved parks, and other City facilities that will be enjoyed by future generations.”
The budget approved on Tuesday, June 18, 2024, includes a $406.7 million general fund that pays for core services and programs such as public safety, street and facility maintenance, libraries, and parks. The total budget, including funds restricted for specific uses, is $734 million for the fiscal year that begins July 1.
Over 2,400 community members participated in the budget process by taking the City’s budget survey, attending one of seven community budget meetings or engaging with City staff to share their ideas and priorities for City spending.
The new budget and the City’s Capital Improvement Program include additional funding for:
The City of Santa Ana has a AA credit rating from Standard and Poor’s and maintains an 18% general fund reserve of $73 million, thanks to careful financial planning by the City Council.
Revive Santa Ana projects
Additionally, the City is moving forward with several major pandemic recovery projects over the next couple of years as part of the Revive Santa Ana initiative funded by the federal American Rescue Plan Act (ARPA.) Those include:
Over the past three years, the City has already used much of its $128 million in ARPA funds for numerous projects, such as neighborhood street lighting, new park restrooms, youth and library programs, free food distributions, homeless rapid response, artist grants, and financial assistance for residents, small businesses and nonprofit organizations.
Measure X spending
The voter-approved Measure X sales tax has played an essential role in the City’s ability to expand services year after year while investing in long-term improvements. From 2019 through June 30, 2025, the City estimates it will have collected $428.7 million from Measure X.
More than a quarter of the Measure X funds have gone to preserving and enhancing public safety services, and over $10 million has gone to address the impacts of homelessness. The sales tax revenue has also been used to fix streets, maintain parks, provide youth services, rehabilitate aging City facilities, increase tree trimming, and more.
Measure X funds 21% of the general fund budget, but the 1.5% sales tax rate will decrease to 1% on April 1, 2029. The City is planning now for this drop in revenue by controlling spending, modernizing services, updating the Strategic Plan, and growing the City’s tax base through new development.
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Spending money faster than a drunken sailor. What happens when the city is in a really deep debt hole AND they’ve raised taxes astronomically? What happens then?