ELK GROVE, Calif. — As agencies across the state face sharp budget deficits, ABC10 is taking a look at where the city of Elk Grove's budget stands.
Elk Grove is in strong financial shape, according to city public affairs manager Kristyn Laurence.
She says the city finance department recently reported the City General Fund revenues are soaring past projected estimates by more than $600,000, bringing the city's total projected revenue to about $98 million for the 2023/24 fiscal year.
Expenses totaled about $89 million, according to city finance officials.
Elk Grove residents also contributed to the growth of city's tax revenue when they voted in 2022 for Measure E to increase local sales tax rates from 7.75% to 8.75% starting April 1, 2023.
Funds from the Measure E tax increase are shared between Elk Grove and the Cosumnes Community Service District. The money will go toward reducing crime, addressing homelessness and improving emergency disaster and medical responses among other citywide issues.
According to city officials, sales tax was their largest source of revenue at 39% of total budget revenues — about $37.9 million for the 2023/24 fiscal year.
The city's rainy day reserves currently sit at $22 million, said Laurence.
Click here to check out a full breakdown of Elk Grove's budget during a Feb. 28 council meeting presentation.
WATCH MORE: Sacramento faces $66M budget deficit for upcoming year, leaders to make cuts | To The Point
