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Mayor Todd Gloria warns of $258 million budget gap, pledges housing, homelessness action
Summary
In his 2025 State of the City address, Mayor Todd Gloria said the defeat of Measure E leaves San Diego facing a $258 million deficit and outlined immediate spending freezes, operational reviews and continued investments to speed housing production and expand shelter options.
Mayor Todd Gloria told the San Diego City Council and the public on Jan. 15 that the city faces a significant fiscal shortfall after voters rejected Measure E and outlined steps to close the gap while sustaining progress on housing and homelessness.
"Its defeat means that we as a city face a $258,000,000 budget deficit this upcoming fiscal year, about 12% of our current $2,100,000,000 operating budget," Gloria said, calling the gap a test that will require "responsible stewardship of every dollar and clear-eyed decisions." He said the city previously closed a $170,000,000 shortfall with "surgical cuts and one-time measures" and that this year will require structural solutions rather than temporary fixes.
Gloria said he has already taken immediate steps to curb spending, including freezing hiring "for all but the most essential positions," stopping nonessential spending and…
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