Immediate Release

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March 20, 2002

David Vossbrink, (408) 277-3515
Communications Director

Mayor Gonzales Releases Budget Proposal
Focus on efficiency, balanced budget, critical priorities and continuing commitments to strong neighborhoods

Correction Advisory: The San Jose City Council will consider the mayor's March budget message at its meeting on Tuesday, March 26, that starts at 1:30 p.m.

San Jose, CA ---- Building strong and safe neighborhoods continues to be the focus of budget proposals that San José Mayor Ron Gonzales has recommended to the City Council for the coming fiscal year.

Gonzales emphasized that the national and local economic slowdown requires the continuing commitment to fiscal prudence by the city that has helped ensure balanced budgets and high quality services in San José.

"In these challenging times, we must do more with less," said the mayor. "We must continue our efforts to improve efficiencies in all our operations, but we also will protect critical services for our neighborhoods and for San Jose families."

Gonzales noted that farsighted budget decisions over the past three years led to the creation of a $25 million reserve and established a strong financial foundation in anticipation of the current recession. San José also is the only large city in California that has a AA+ bond rating, which reflects the high level of confidence held by the financial community.

"While we seek opportunities to reduce costs, we will continue to make smart investments that will make our neighborhoods stronger, our city safer, and our economy prosperous for the future of our community."

In his budget message to the City Council and city administration, Gonzales set the framework for the preparation of the annual city budget that will be submitted for review in May. He called upon the city staff to present strategies and proposals that will achieve priority goals and services and make recommendations for specific reductions that will result in a balanced budget.

The mayor outlined his five priorities for securing San José's future, which include building stronger neighborhoods; remaining the safest big city in America; achieving schools that sustain community pride; building better transportation; and sustaining a strong economy

"As we develop our budget this year, we must always focus on the outcomes for our residents and businesses that achieve these goals," he said. "The administration will review all programs and proposals to ensure that we are consistently working toward our five priorities."

Neighborhood investments remain a high priority in the mayor' budget proposals. Highlights include:

1. Continued commitment to fund affordable housing investments with redevelopment resources.

2. Expanding the city's successful anti-graffiti campaign to include anti-litter efforts to ensure San José neighborhoods are clean.

3. Establishment of a "Strong Neighborhood Initiative" reserve fund to ensure that capital improvements recommended by residents can be accomplished.

4. Continued commitment to complete voter-approved park, library, police, and fire capital projects on time and on budget.

5. Expansion of the "San José Prepared!" emergency preparedness program throughout the city to achieve greater community self-sufficiency in the event of disasters.

6. A renewed commitment to address the child care crisis in San José by investing in quality child care facilities, training, and programs in partnership with schools, businesses, and community organizations.

Each March the mayor makes recommendations to the City Council to provide direction for the preparation of the annual city budget. The city manager will release the proposed budget in May for consideration and adoption by the Council in June after public hearings.

The City Council will consider the mayor's proposed budget guidelines next week at its regular meeting that starts at 1:30 p.m. (Tuesday, March 26).

The mayor's March budget message can be found on the web at www.sjmayor.org.

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