FOLSOM, Calif. — A new report shows one of the fastest growing cities in California is in Sacramento County. Folsom ranks third, according to the state’s finance department.
It comes as California experienced positive population growth in 2023 for the first time since 2020. Growth can mean more jobs, investment and business opportunities.
ABC10 spoke with city leaders about how they balance preserving Folsom’s history while also embracing modern changes. It’s the second part in a series looking at growing cities around the region.
“We have a lot of people who are moving here for the quality of life,” said Joe Gagliardi with Choose Folsom. “Folsom’s becoming…a healthcare hub. We have four of the major healthcare providers that have bought land for campuses — that’s Kaiser, Sutter, UC Davis and Dignity.”
Folsom is full of history harkening back to its gold rush founding. City leaders say one of the challenges of growth is balancing the cherished past with demands for a modern future.
“I don’t get many people calling me and saying, ‘Hey can you make Folsom bigger and more dense and more crowded,’” said Folsom mayor Mike Kozlowski.
The mayor says remote work and an increase in tech companies like Samsung and Intel have played roles in more people choosing to make Folsom their home.
“I think we’re reaching a point where Folsom needs to be the size that it is, and I think that we live within the boundaries that we have going forward,” said Kozlowski.
The mayor says housing growth came in spurts over the decades and most recently with the Folsom Plan Area across Highway 50 and to the south.
“There’s 3,600 acres situated south of Highway 50,” said Gagliardi. "That’s now where most of the homes are being built but it also has a commercial district. There will also be a town center down there."
The city says Folsom has a stable financial status, a high credit rating and reserves in its rainy-day fund. Fiscal projections reveal increased challenges, though. It’s taken steps to keep costs down, including reducing benefits to new city hires and reining in city staff and retiree pension costs.
In November, voters will decide on a special sales tax to fund city services and other critical needs. Ballot Measure G, also titled the 'Folsom Residents Public Safety and Quality of Life Act,' seeks to increase the sales tax rate in the city by 1%.
The measure officially qualified for the ballot in May, ABC10 previously reported.
“Folsom is working on becoming more of a destination also, so we had an assets study and we’re working on what kind of amenities could Folsom have that could put us as a place for visitors to come beyond what we presently have,” said Gagliardi. “I think our attraction of our startup companies and being about to attract high-tech employees is becoming a bigger opportunity for us.”
Folsom isn’t alone, in fact, three other cities in the region also made the state finance department’s top 10 fastest-growing cities: Lathrop, Manteca and Yuba City.
WATCH MORE ON ABC10: Lathrop is one of California's fastest growing cities. Here's why
