The City of Oceanside has fared well financially through the effects of the COVID-19 pandemic. The impact to the City’s revenues during the past year was minimal, and like any good business, we plan ahead in order to maintain a financially sound and stable city.
Property tax, sales and use taxes and occupancy taxes all exceeded revenue projections, and the City planned carefully to spend less, which resulted in a General Fund surplus of approximately $19 million.
The City’s General Fund had a total fund balance of $107.3 million at fiscal year’s end. This is an increase of $23.9 million from 2020, and is due to increases in sales tax due to strong consumer spending, property and hotel tax, as well as careful spending by City Departments.
FINANCIAL HIGHLIGHTS
An $1.9 million increase in Transient Occupancy Taxes from the prior year when hotels and short-term rentals were closed for part of the year
Sales tax was up $6.3 million from prior year, due in part to the reopening of restaurants and hotels and the return of tourism to Oceanside’s economy
The City received $16.2 million of American Rescue Plan Act (ARPA) funds in May 2021, and another payment of $16.2 million is expected in May 2022. The City is developing a comprehensive spending plan for these funds, which are in addition to the surplus
Consistent with the strong economic outlook and decreasing unemployment, Oceanside continues to see investment in commercial properties and hotels and strong home sales, which is expected to result in consistent incremental increases in revenue over the next several years.
