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December 7, 2022
Carolyn Coleman, Executive Director, and CEO
League of California Cities
1400 K Street
Sacramento, CA 95814
Dear Ms. Coleman,
State Subventions for Fiscal Year 2021-22
Pursuant to subdivision (b) of Government Code section 7903, commencing with the 2021-22 fiscal year, city governments are required to include specified state subventions within their appropriations limits. Specifically, the attached spreadsheet identifies both the total dollar value of all these subventions (the “City Totals” tab) to be included within a city’s appropriations limit for the 2021-22 fiscal year, as well as additional details regarding the dollar value attributable to each individual subvention (the “City Programs” tab). Column B of the “City Programs” tab provides specific statutory references to each subvention contained in subdivision (b) of Government Code section 7903.
The language contained in subdivision (b) of Government Code section 7903 requires each city to include the full value of these subventions within the city’s appropriations limit for the 2021-22 fiscal year and each subsequent fiscal year. To the extent that any portion of the values identified for each city in the “City Totals” tab of the attached spreadsheet would cause a city to exceed its appropriations limit, subdivision (c) of Government Code section 7903 requires the city to identify the specific amount attributable to these subventions in excess of their limit and report that information to the Department of Finance. The excess amounts that cannot be included in the city’s appropriations limit will instead be included within the state’s appropriations limit pursuant to that subdivision.
The timing of this communication will not allow reporting of this information by the date specified in statute. As a result, the Department of Finance directs cities to report any amounts pursuant to subdivision (c) of Government Code section 7903 for the 2021-22 fiscal year to the department by March 1, 2023. Cities should report this information via email to the following staff: [email protected] and [email protected].
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Finance respectfully request that you share this information with cities identified in the attachment to facilitate their compliance with the provisions of Government Code section 7903.
If you have any questions or need additional information regarding this matter, please contact Susan Wekanda, Principal Program Budget Analyst, at (916) 445-5332.
Director
Attachment
cc: Melanie M. Perron, Deputy Executive Director, League of California Cities Nicolas Romo, League of California Cities
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March 29, 2023
Carolyn Coleman, Executive Director, and CEO
League of California Cities
1400 K Street
Sacramento, CA 95814
Dear Ms. Coleman,
State Subventions for Fiscal Years 2022-23 and 2023-24
In a previous communication from our office to yours, dated December 7, 2022, we provided specific information and direction to be utilized by cities to ensure their compliance with changes made to Government Code Section 7903 in the Budget Act of 2022. Changes to that statute require cities (commencing with the 2021-22 fiscal year) to include specified state subventions within their local appropriations limits. The information we provided in that previous communication identified the specific dollar amount for each city attributable to each new subvention that needed to be included in their limits for 2021-22. To the extent that any of these subventions would cause a city to exceed their local limit, our previous communication provided further direction on how to identify and report those excess values to our office by March 1, 2023.
The purpose of this communication is to inform cities that they are to utilize the same subvention information already provided in our December 7, 2022 correspondence for 2021-22, for use in both their 2022-23 and 2023-24 appropriation limit calculations and adjustments pursuant to Government Code Section 7903. To the extent that the subvention values cause a city to exceed their limit in either 2022-23 or 2023-24, those excess values should be reported to the Department of Finance by November 1, 2023 and November 1, 2024 respectively, and by that same date annually thereafter pursuant to Government Code Section 7903. Cities should report this information via email to the following staff: [email protected] and [email protected].
Moving forward, commencing with 2024-25, Finance will provide updated subvention information no later than February 1 of each year preceding the start of the subsequent fiscal year in which that information will be utilized for local appropriation limit calculations. In the case of 2024-25, that information will be provided no later than February 1, 2024.
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Finance respectfully requests that you share this information with cities identified in the attachment to facilitate their compliance with the provisions of Government Code Section 7903.
If you have any questions or need additional information regarding this matter, please contact Susan Wekanda, Principal Program Budget Analyst, at (916) 445-5332.
JOE STEPHENSHAW
Director
Attachment
cc: Melanie M. Perron, Deputy Executive Director, League of California Cities Nicolas Romo, League of California Cities
City Amount
City of Adelanto 1.0
City of Alameda 3.0
City of Anaheim 12.9
City of Antioch 0.9
City of Arcata 4.9
City of Avenal 2.0
City of Bakersfield 5.3
City of Baldwin Park 6.0
City of Benicia 5.0
City of Berkeley 16.7
City of Brea 0.4
City of Chino Hills 0.1
City of Chula Vista 1.1
City of Commerce 0.4
City of Corning 0.9
City of Covina 2.5
City of Culver City 7.5
City of Desert Hot Springs 0.8
City of Downey 0.8
City of Eureka 1.7
City of Firebaugh 2.1
City of Fontana 5.8
City of Fresno 31.9
City of Glendale 1.0
City of Gonzalez 5.0
City of Hayward 0.2
City of Healdsburg 1.3
City of Hemet 1.0
City of King 2.5
City of La Puente 0.4
City of Lawndale 4.0
City of Livermore 1.0
City of Lodi 0.5
City of Long Beach 26.3
City of Los Angeles 220.9
City of Los Gatos 7.0
STATE APPROPRIATIONS LIMIT
State Subventions Pursuant to
Government Code Section 7903
Allocations to Cities
(Dollars in Millions)
March 2023
City Amount
STATE APPROPRIATIONS LIMIT
State Subventions Pursuant to
Government Code Section 7903
Allocations to Cities
(Dollars in Millions)
City of Loyalton 0.1
City of Marysville 0.4
City of Mendota 2.0
City of Merced 4.6
City of Millbrae 2.0
City of Modesto 0.9
City of Mount Shasta 0.2
City of Napa 3.0
City of National City 2.0
City of Nevada City 0.2
City of Newark 5.0
City of Novato 1.0
City of Oakland 65.6
City of Palm Springs 0.1
City of Palo Alto 4.8
City of Pasadena 1.4
City of Petaluma 2.8
City of Pismo Beach 0.5
City of Pomona 8.4
City of Port Hueneme 0.1
City of Redlands 5.9
City of Redwood City 1.8
City of Rialto 2.4
City of Richmond 6.9
City of Riverside 8.4
City of Rohnert Park 3.3
City of Sacramento 37.9
City of Salinas 22.4
City of San Bernardino 1.3
City of San Diego 31.7
City of San Fernando 2.0
City of San Jose 50.3
City of San Pablo 2.0
City of San Rafael 1.0
City of Santa Ana 16.4
City of Santa Cruz 16.0
March 2023
City Amount
STATE APPROPRIATIONS LIMIT
State Subventions Pursuant to
Government Code Section 7903
Allocations to Cities
(Dollars in Millions)
City of Santa Fe Springs 0.4
City of Santa Rosa 3.5
City of Stockton 10.0
City of Thousand Oaks 26.7
City of Tulare 1.6
City of Vallejo 1.3
City of Victorville 4.4
City of Vista 1.8
City of West Hollywood 2.4
City of West Sacramento 1.5
City of Whittier 4.2
City of Woodlake 0.1
City of Woodland 3.1
Total $760.6
March 2023
STATE APPROPRIATIONS LIMIT
State Subventions Pursuant to Government
Code Section 7903 -- Allocations to Cities
(Dollars in Millions)
Program Government
Code
Section
City of
Long Beach
City of
Pasadena
City of
Corning
City of
Los Angeles
City of
Rialto
City of
Hayward
City of
Marysville
Department of Public Health
Black Infant Health Program
7903 (b)(1)(B) 1.0 - - - - - - Department of Public Health
California Home Visiting Program
7903 (b)(1)(C) - 0.5 - - - - - Department of Public Health
Sexually Transmitted Disease Prevention and
Control Activities
7903 (b)(1)(D) 0.2 - - - - - - Department of Health Care Services
Mental Health Services Act
7903 (b)(1)(P) - - - - - - - Board of State and Community Corrections
Corrections Planning and Grant Programs
7903 (b)(1)(AG) 1.3 0.9 0.9 7.0 0.3 0.2 0.4 Department of Cannabis Control
Department of Cannabis Control - Grant
7903 (b)(1)(AK) 3.9 - - 22.3 - - - Office of Emergency Services
Pre-positioning for Fire and Rescue
7903 (b)(1)(AN) - - - - - - - Business, Consumer Services and Housing
Agency
Homeless Housing, Assistance, and Prevention
program grants
7903 (b)(1)(AR) 5.7 - - 143.6 - - - Business, Consumer Services and Housing
Agency
Encampment Resolution Grants
7903 (b)(1)(AS) 1.3 - - 5.2 - - - Department of Housing and Community
Development
Operating subsidies for Homekey facilities
7903 (b)(1)(AT) 7.9 - - - - - - Control Section 19.56 of the 2021 Budget Act 7903 (b)(1)(AU) 5.0 - - 42.8 2.1 - - Total
$26.3 $1.4 $0.9 $220.9 $2.4 $0.2 $0.4
March 2023
City of
Modesto
City of
Oakland
City of
Richmond
City of
Salinas
City of San
Bernardino
City of
Vallejo
City of
Santa Ana
City of
Adelanto
City of
Commerce
City of Desert
Hot Springs
City of
Santa Rosa
City of
Sacramento
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
0.7 2.0 2.0 1.0 1.3 0.8 0.1 - - - - - - 10.0 - - - - - 1.0 0.4 0.8 0.8 5.7 - - - - - - - - - - - - - 24.1 - - - - 10.3 - - - - 16.7 - 6.7 4.9 6.8 - - - - - - - -
0.2 4.8 - 6.5 - 0.5 - - - - 2.7 - - 18.0 - 8.1 - - 6.0 - - - - 15.5 $0.9 $65.6 $6.9 $22.4 $1.3 $1.3 $16.4 $1.0 $0.4 $0.8 $3.5 $37.9 March 2023