For Immediate Release: 
June 6, 2001                       

Contact:
David Vossbrink, (408) 277-3515, Office of Mayor Ron Gonzales

Mayor Gonzales Proposes City Budget

Priorities include neighborhoods, education, housing

San Jose, CA ----  Mayor Ron Gonzales released his budget recommendations to the San Jose City Council today that will continue the City’s investments in neighborhood improvements, support for education, affordable housing, traffic relief, and public safety.

The proposed $2.4 billion City budget and the Redevelopment Agency budget for the coming fiscal year starting July 1 will be considered by the San Jose City Council next Tuesday, June 12.  The Council also will hold a public hearing at 7:00 p.m. Monday, June 11.

“The people of San Jose will see the results and feel the benefits of investments in their neighborhoods, schools, and streets every day as we continue our commitment to improve the quality of life in our community,” said Mayor Gonzales.

“This budget also reflects our continuing commitment to fiscal discipline and strong financial management in an economy with many mixed signals.”

The proposed City budget for next year includes an aggressive capital improvement program of nearly $1 billion for public facilities, parks, libraries, and streets throughout San Jose neighborhoods.  Next year’s capital budget exceeds the total five-year plan in the 1997-98 budget.  Over the next five years, the capital improvement program is projected at nearly $2 billion, including branch libraries and park projects approved by voters last November.

In addition, the Redevelopment Agency budget forecasts a five-year capital improvement program for San Jose neighborhoods and downtown totaling $1.8 billion, continuing the shift of funds for neighborhoods.  This includes funding for priority neighborhood projects identified by residents and businesses through San Jose’s Strong Neighborhood Initiative.

“This balanced budget sticks to the basic goals of our city to benefit the quality of life for people in San Jose,” said Gonzales.  “It sets aside prudent reserves to meet future needs, continues our efforts to secure economic development and prosperity, and invests in the future of our community to ensure opportunities for our next generation.”

Recently San Jose received a AA+ bond rating from financial credit rating services.  This is the highest credit rating for any city in California with more than 200,000 population.  The rating reflects the financial community’s confidence in San Jose’s fiscal management, and it will result in savings in bond costs estimated at $21 million.

Among the highlights of the proposed budget recommended by the mayor are:

Neighborhoods

§         Delivering the City’s commitment to the voters for better parks and libraries, including $440 million in the capital plan for next 10 years for 20 new or expanded branch libraries and 100 park improvements

§         More than 60 neighborhood improvement projects proposed by City councilmembers, including community and teen centers, street landscaping, street lighting near schools, and park and trail enhancements.

§         Expand anti-graffiti efforts to build on the City’s successful 85% reduction in graffiti tags over last two years.

§         Repair and replace sidewalks, curbs and gutter and install streetlights in neighborhoods to improve safety and attractiveness.

§         Proactive Code Enforcement to protect renters and help ensure that families have clean and safe homes.

§         Noise proofing homes in neighborhoods near San Jose Airport with air conditioning and sound-insulating windows.

§         Continuing the reemphasis of Redevelopment Agency investments to improve neighborhoods, including $171 million over next five years

Education

§         Doubling the funding for Future Teacher Scholarships to encourage more local college students to become teachers and serve in San Jose public schools.

§         Doubling the commitment to build Smart Start Centers so that 20 centers will be open by 2005 to help 1200 young children get ready to learn when they enter kindergarten.

§         Complete the expansion of homework centers to serve every school in the city.

Traffic

§         Speeding the construction to relieve traffic congestion at critical freeway interchanges in San Jose by providing $1 million in matching funds for VTA projects.

§         $5 million for traffic calming projects in neighborhoods to improve safety for pedestrians and bicyclists.

Housing

§         Expansion of commitment to build homes for extremely low income families (incomes less than $26,000 income for family of four), including a reserve of more than $30 million next year for ELI housing projects.

§         Continuing aggressive commitment to leverage approximately $300 million of Redevelopment Agency funds to create 6000 affordable homes by 2004.

§         Establishing a program to help educate renters on their rights under San Jose’s comprehensive rent control ordinance.

Public Safety and Fire Prevention

§         Internet Sexual Predator Program to train middle school students and their parents on how to avoid becoming victims of sexual predators.

§         Continuing emphasis on fighting domestic violence, including increased services for domestic violence victims such as counseling and more police investigators to handle of domestic violence and elder abuse cases.

§         Improving safety on school campuses in partnership with school administrators, teachers, students and families, including expansion of the Safe Schools Initiative to all middle schools and an innovative pilot program for campus crisis intervention with East Side Union High School District.

§         Fire prevention efforts, including Wildland Fire Program to better prevent and fight hillside fires in the summer months, and public education to help residents reduce fire risk to protect families and neighborhoods.

§         Adding more paramedics to fire companies to help save lives in neighborhoods.

The City of San Jose budget may be seen online at  www.ci.san-jose.ca.us, and the mayor’s budget message is at http://www.sjmayor.org/press_room/66junemessage.html.