In a recent government meeting, officials discussed the city's fiscal reserves and budget projections for the upcoming years, highlighting both challenges and positive developments. The proposed budget for 2025 includes a decrease in transfers to the emergency and revenue stabilization funds by $3 million and $11 million, respectively, compared to previous years. Despite these reductions, officials emphasized that the city is still on track to build its reserves, albeit at a slower rate than in 2024.

Director Noble noted that the policies governing these funds have not been updated since 2008, with the emergency fund policy last revised during the COVID-19 pandemic. The city has successfully replenished the emergency fund, which had been depleted during the pandemic, and is now fully funded at $88 million, in line with inflation-adjusted targets.

The meeting also addressed revenue forecasts, revealing that general fund revenues are projected to increase modestly in 2025 to $1.64 billion, a rise of only 2.3% compared to the previous year, which falls short of the anticipated inflation rate of 2.8%. However, projections for 2026 show a more robust growth of 4.3%, surpassing the expected inflation of 2.9%.

Officials acknowledged that the current economic climate is markedly different from the pre-pandemic boom, which was characterized by rapid growth driven by the technology sector. The meeting concluded with a reminder of an upcoming joint meeting on October 22, where further updates on the budget and revenue forecasts will be discussed.