City of San Diego Facing Major Budget Challenges Despite CARES Act Funding

Written by Nicholas Vetrisek

Officials in San Diego estimate that the city will receive $249 million out of the $2.2 trillion CARES Act stimulus package from the federal government.

This may seem like it would cover the city’s losses. After all, Mayor Kevin Faulconer stated that San Diego’s losses would be between $250-300 million. Unfortunately, however, there’s a catch.

The money given to state and local governments is only intended to deal with new expenditures directly related to the coronavirus pandemic. That doesn’t include any revenues potentially lost by the city, so the funds must be related to combating the crisis. Though officials state that the money does have some flexibility, it will not be able to cover everything. As a result, major cuts are coming.

The cuts are primarily to recreation facilities, libraries, pools, and art programs once they are allowed to open again. The proposed cuts will be released in May, Faulconer explained.

Though the budget cuts are clearly needed, some have particular concerns regarding the programs being cut.

Council President Georgette Gómez is concerned about cutting library, recreational center and pool hours, believing that they should not be cut equally across the city. She says that some neighborhoods need those services more than others and the cuts should take this into account.

Nonetheless, San Diego is facing down a major budget crisis and whether politicians like it or not, major cuts will be needed. It’s probably better to have recreational facilities temporarily closed down than to have San Diego become San Bernardino.