Skip to Content

City of Capitola presents proposed FY 2024-25 budget at special city council meeting

CAPITOLA, Calif. (KION-TV) - The City of Capitola’s proposed budget was the focus of Thursday night’s special city council meeting.

Capitola's city manager said multiple challenges have resulted in this year’s budget being tighter compared to previous years.

“The number one challenge City of Capitola is faced with this is that sales tax just doesn't keep up with inflation, hasn't for a long time," Capitola City Manager Jaime Goldstein said.

This city is planning on reducing expenditures by $1.2 million to get to a balanced budget.

Officials said many projects like the Capitola Wharf and Cliff Drive stabilization have received help through state and federal funds. However, they remain worried about the long-term financial future.

“Our future forecasts don't look terrific. We have Measure F expiring in a couple of years and I think we're gonna have to take a hard look at what we can do to grow revenue here locally, to support the services that the community desires," Goldstein said.

Measure F, a quarter-cent sales tax first passed in 2004, is set to expire in 2027. The city said they’ll explore options in addressing that later this summer.

Other key projects in the works include a renovation of the police department and pavement management throughout the city. Despite these economic challenges, the city said they remain committed to many of their goals.

“We haven't had as much available resources to put into sort of some of the discretionary projects that we've put into the past, which might be a good thing, because we have a lot of really big projects in the world works right now," Goldstein said.

The city is expected to discuss and adopt a finalized budget next month, before the next fiscal year begins.

Article Topic Follows: News

Jump to comments ↓

Author Profile Photo

Austin Castro

Reporter for KION News Channel 46.


KION 46 is committed to providing a forum for civil and constructive conversation.

Please keep your comments respectful and relevant. You can review our Community Guidelines by clicking here

If you would like to share a story idea, please submit it here.

Skip to content