Folsom City Council has officially set its financial course for 2025-26 with the adoption of a $266 million operating budget. According to recent city's announcement, The new fiscal year, kicking off on Tuesday, will lean on a General Fund featuring projected revenues near $120 million, albeit with expenditures expected to outpace this by $3 million. To bridge this gap, the city will tap into its "rainy day reserves," the unassigned fund balance often called upon in financial shortfalls.
Despite budget limitations, Folsom's plan emphasizes a commitment to essential services. Although tax revenues show slight increases, they still face challenges from rising operational expenses and infrastructure needs. The sales tax projection remains steady at $27.9 million. This budget does not fund any new General Fund programs, reflecting City Manager Bryan Whitemyer’s statement during Folsom’s announcement: "The city must continue to reduce expenditures to live within its means, which will affect future services."
Mayor Sarah Aquino highlighted in the City of Folsom announcement that the budget is tailored to "maintaining essential core services and addressing urgent capital needs," like necessary roof replacements at various city facilities. In an effort to promote financial transparency and accountability, Folsom is rolling out a new multi-stage budget review process. This process will commence this month, with departments submitting cost-cutting proposals for fall review, followed by community workshops, and subsequent budget reassessments with the City Council come fall and a Mid-Year Budget Review slated for early 2026.
Key investments in the FY 2025–26 Budget include essential infrastructure maintenance and improvement projects, such as a Library HVAC and roof replacement, City Hall low slope roof replacement, and a Fire Department electrocardiogram (ECG) monitor purchase. Additionally, the budget allocates funds from the Water Operating Fund towards the 2025 Urban Water Management Plan, Water Master Plan, and HVAC upgrades and roof replacement at the Water Treatment Plant. Interested residents can dig into the details of Folsom's budget at their official website or reach out to Chief Financial Officer Stacey Tamagni for more intricate inquiries.
