Fresno council passes $2.6B budget after closing $35M deficit. What about nonprofits?
As the Fresno City Council passed the $2.6 billion budget Tuesday, Mayor Jerry Dyer shared his philosophy on the role of municipal government — namely public safety and public works.
“In local government, we tend to drift outside of those core functions because we want to do more. We’re compassionate, and we know there are needs that arise in our community where, absent that, nobody else meets those needs,” Dyer said at a post-budget news conference at Fresno City Hall.
Dyer’s budget included plenty for nonprofits, but he said the city’s budget cannot sustain those needs alone. He said it “became painfully obvious” the financial challenges nonprofits face.
He challenged Fresno County to fund nonprofits, just as the city does.
“These nonprofits provide much-needed service in our community. As such, we, as a city, I think we collectively agree, want to do our part to support them. However, we cannot do it all. The burden to fill these funding gaps should not fall solely on the city of Fresno,” Dyer said during his final presentation.
Fresno County may not be as willing of a partner, as it starts its budget season.
“Government’s solution is always to throw taxpayer money at a problem, and it rarely solves the problem,” Fresno County Board of Supervisors Chair Garry Bredefeld told The Bee.
He cited the lack of a solution for the homeless problem.
“The problem is the majority of the homeless are comprised of drug addicts, mentally ill, and criminals. They need mandated treatment and strong laws that would bring accountability and consequences and not allow this behavior and conduct to continue in our communities,” Bredefeld said.
The city budget passed by a 7-0 vote.
How to balance a budget: magic and prayer
Dyer faced the challenge of balancing a budget that started with a $35 million deficit. Then, the city council made 99 changes totaling $49 million. Dyer’s administration had a week to get things back on track. A balanced budget is required by city law. Dyer said the budget will feature no position cuts and no cuts in level of service.
“A little bit of magic and a lot of prayer,” Dyer joked about how he reconciled his spending plan. In reality, he gained extra revenue from $1.6 million in interest from state and federal payments. Card room revenue was more than expected. Other revenue came from legal settlements, selling property and carryover from the prior budget.
Each department also experienced a small dose of austerity. Funding requests were denied. Vacant positions will remain vacant.
Fulfilling budget motions
Dyer said he fulfilled two-thirds of the budget motions by shifting money around from one area to another. Some rejected motions will be prioritized for next year, such as $2.1 million for Ted C. Wills Park improvements, and $1.6 million for a Manchester Park splash pad.
Others for paving projects were deemed not necessary because they are already funded in other areas of the budget.
“We’ve gone a little overboard. It’s up to us to kind of reel it back in and figure out what the ultimate priorities are,” Fresno City Council President Nelson Esparza said.
Some of the other motions outright refused included $120,000 to help re-open the Fresno EOC LGBTQ center, an unspecified amount to add shade structures at several southeast Fresno parks, and free bus fare for pregnant mothers.
City councilmembers found ways to restore funding for projects not funded. Miguel Arias wanted $50,000 for an audit operating agreement with the parent company of the Fresno Grizzlies. He will spend the amount out of his city council operational budget.
Mike Karbassi wanted to restore funding to the nonprofit African American Community Council. Funding will come from his operational budget and reducing funds for another nonprofit, the Khalsa Community Center.
Concilmember Brandon Vang acknowledged he “had some wins and had some losses.” Instead of spending $60,000 on one nonprofit, he split it equally among three.
The budget does not cover the pending $15 million racial discrimination verdict in the La-Kebbia Wilson case. The city is challenging the decision in federal court.
Social programs survive
Social programs important to the city council remained — $1.8 million for the eviction protection program, and $1.2 million for the anti-violence Advance Program. Spay and neuter programs are also protected.
Dyer funded Councilmember Tyler Maxwell’s plan to study publicly funded child care for $2 million. Maxwell requested $3.5 million.
The budget includes $1 million for Tower District sidewalk cleaning.
Dyer said the funding will allow Advance Peace to re-hire three "change agents.” He encouraged the program to find outside sources of funding.
During the budget process, several members of the public, including homeless advocates, criticized the city’s Housing Assistance Response Team. That did not sway Dyer and the city council. Arias gave an impassioned response about the need to assist the homeless and keep the streets clean.
