May 2023
Dear Fiscal Officer:
Subject: Price Factor and Population Information
Appropriations Limit
California Revenue and Taxation Code section 2227 requires the Department of Finance (Finance) to transmit an estimate of the percentage change in population to local governments. Each local jurisdiction must use their percentage change in population factor for January 1, 20 23, in conjunction with a change in the cost of living, or price factor, to calculate their appropriations limit for fiscal year 2023-24. Attachment A provides the change in California’s per capita personal income and an example for utilizing the price factor and population percentage change factor to calculate the 2023-24 appropriations limit. Attachment B provides the city and unincorporated county population percentage change. Attachment C provides the population percentage change for counties and their summed incorporated areas. The population percentage change data excludes federal and state institutionalized populations and military populations.
Population Percent Change for Special Districts
Some special districts must establish an annual appropriations limit. California Revenue and Taxation Code section 2228 provides additional information regarding the appropriations limit.
Article XIII B, section 9(C) of the California Constitution exempts certain special districts from the appropriations limit calculation mandate. The code section and the California Constitution can be accessed at the following website: http://leginfo.legislature.ca.gov/faces/codes.xhtml.
Special districts required by law to calculate their appropriations limit must present the calculation as part of their annual audit. Any questions special districts have on this requirement should be directed to their county, district legal counsel, or the law itself. No state agency reviews the local appropriations limits.
Population Certification
The population certification program applies only to cities and counties. California Revenue and Taxation Code section 11005.6 mandates Finance to automatically certify any population estimate that exceeds the current certified population with the State Controller’s Office. Finance will certify the higher estimate to the State Controller by June 1, 2023.
Please Note: The prior year’s city population estimates may be revised. The per capita personal income change is based on historical data.
If you have any questions regarding this data, please contact the Demographic Research Unit at (916) 323-4086.
JOE SPEPHENSHAW
Director
By:
Erika Li
Chief Deputy Director
Attachment
May 2023
Attachment A
A. Price Factor: Article XIII B specifies that local jurisdictions select their cost of living factor to compute their appropriation limit by a vote of their governing body. The cost of living factor provided here is per capita personal income. If the percentage change in per capita personal income is selected, the percentage change to be used in setting the fiscal year 2023-24 appropriation limit is:
Per Capita Personal Income
Fiscal Year Percentage change
(FY) over prior year
2023-24 4.44
B. Following is an example using sample population change and the change in California per capita personal income as growth factors in computing a 2023-24 appropriation limit.
2023-24:
Per Capita Cost of Living Change = 4.44 percent
Population Change = -0.35 percent
Per Capita Cost of Living converted to a ratio: 4.44 + 100 = 1.0444 100
Population converted to a ratio: -0.35 + 100 = 0.9965
100
Calculation of factor for FY 2023-24: 1.0444 x 0.9965 = 1.0407
Fiscal Year 2023-24
Attachment B
Annual Percent Change in Population Minus Exclusions*
January 1, 2022 to January 1, 2023 and Total Population, January 1, 2023 Total
County Percent Change --- Population Minus Exclusions --- Population City 2022-2023 1-1-22 1-1-23 1-1-2023
San Bernardino
Adelanto 0.65 36,420 36,656 36,656
Apple Valley -0.37 75,277 74,996 74,996
Barstow -1.96 24,768 24,283 24,918
Big Bear Lake -0.43 4,935 4,914 4,914
Chino 0.69 88,564 89,171 93,137
Chino Hills -0.70 77,601 77,058 77,058
Colton -0.67 53,513 53,154 53,154
Fontana 0.58 212,616 213,851 213,851
Grand Terrace -0.73 12,908 12,814 12,814
Hesperia 0.19 99,855 100,041 100,041
Highland -0.53 56,283 55,984 55,984
Loma Linda -0.03 25,198 25,191 25,228
Montclair -0.51 37,688 37,494 37,494
Needles -0.77 4,793 4,756 4,756
Ontario 1.14 178,682 180,717 180,717
Rancho Cucamonga -0.31 174,090 173,545 173,545
Redlands -0.40 72,259 71,972 71,972
Rialto -0.41 103,406 102,985 102,985
San Bernardino 1.25 219,218 221,949 223,230
Twentynine Palms -0.94 15,687 15,539 25,929
Upland -0.50 78,771 78,376 78,376
Victorville 0.90 132,189 133,384 137,193
Yucaipa -0.46 54,242 53,991 53,991
Yucca Valley -0.35 21,712 21,635 21,635
Unincorporated -0.45 290,306 289,011 297,482
County Total 0.12 2,150,981 2,153,467 2,182,056
*Exclusions include residents on federal military installations and group quarters residents in state mental institutions, state and federal correctional institutions and veteran homes.
Fiscal Year 2023-24
Attachment C
Annual Percent Change in Population Minus Exclusions*
January 1, 2022 to January 1, 2023
County Percent Change
2022-23
--- Population
1-1-22
Minus Exclusions ---
1-1-23
Napa
Incorporated
County Total
-0.97
-0.99
111,917
134,274
110,833
132,945
Nevada
Incorporated
County Total
0.25 -0.26
33,423
100,926
33,506
100,667
Orange
Incorporated
County Total
-0.46
-0.46
3,018,568
3,151,305
3,004,808
3,136,922
Placer
Incorporated
County Total
0.59 0.21
296,653
409,441
298,408
410,305
Plumas
Incorporated
County Total
-1.64
-1.23
2,129
19,232
2,094
18,996
Riverside
Incorporated
County Total
0.24 0.34
2,024,892
2,423,020
2,029,837
2,431,270
Sacramento
Incorporated
County Total
0.44 -0.02
965,442
1,568,532
969,714
1,568,233
San Benito
Incorporated
County Total
0.53 0.19
44,674
65,543
44,913
65,666
San Bernardino
Incorporated
County Total
0.20 0.12
1,860,675
2,150,981
1,864,456
2,153,467
*Exclusions include residents on federal military installations and group quarters residents in state mental institutions, state and federal correctional institutions and veteran homes.