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Sacramento Council continues efforts to close $66M budget gap. Here’s what to know

The Sacramento City Council spent the week making painful tradeoffs as it works to close a $66 million budget deficit. Council members hiked hundreds of fees, restored some youth and pool funding, and debated the future of a key homeless shelter.

Key takeaways

  • The council approved hundreds of fee hikes Tuesday covering fire prevention, animal licensing, theater rentals and parking violations, with the changes taking effect July 1.
  • Sacramento’s general fund could grow by $7.4 million under the new fee structure, though City Manager Maraskeshia Smith vowed not to raise parking meter rates.
  • A unanimous vote restored $1.3 million for a gang prevention and intervention taskforce grant, plus $100,000 for four wading pools and $500,000 to keep 10 neighborhood pools open five days a week.
  • To pay for the restorations, the council cut vacant parking enforcement officer positions and reallocated homelessness funds originally planned for 2028, though a separate $800,000 grant for critical incident response remained unfunded.
  • Councilmember Karina Talamantes proposed cutting $10 million from the Department of Community Response and capping homelessness spending from the general fund at $30 million.
  • The 2026 Point-in-Time Count found unhoused numbers rose 13% across Sacramento County but dropped about 20% within the city of Sacramento.

This report was produced with the assistance of a proprietary tool powered by artificial intelligence based on our own originally reported, written and published content. Before publishing, journalists reviewed this content in compliance with McClatchy Media’s AI policy.

Nathaniel Levine
The Sacramento Bee
Bee visuals editor Nathaniel Levine joined the staff in 2003. His work has received awards from the Society of News Design, the Best of the West journalism competition and the California News Publishers Association, among others. A native Californian, Levine grew up in Grass Valley and attended UC Davis.
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