The San Diego City Council passed a budget Monday.

It was the last spending plan for termed-out Mayor Jerry Sanders, and his administration was not reticent about proclaiming its virtues, issuing a press release declaring it to be “the city’s first structurally balanced in budget in decades.”

The Sanders administration said the fiscal 2013 budget is balanced thanks to financial reforms, including streamlining city departments, outsourcing information technology, and making major changes to the city’s retirement and retiree health care systems.

Efforts also were boosted by better than expected tax revenues.

The budget restores a variety of services that have been reduced due to the economic slump of the past several years, and pumps an additional $30 million into street resurfacing. Sanders said.

“I want to thank the council for its cooperation during this budget process, and for helping to make tough decisions over the last several years,” he said in a statement. “This budget is evidence that our hard work and reforms are paying off. We are beginning to restore services, and should see more budget surpluses in the years to come.”

Sanders took office after a 2005 special election triggered by the resignation of Dick Murphy in the wake of the pension disclosure crisis that ultimately led to Securities and Exchange Commission sanctions against the city.

City Council member Carl DeMaio will face off against U.S. Rep. Bob Filner in the November runoff to decide who will replace Sanders.

“After years of reforms, the city is now turning the page on what has been a very difficult chapter in San Diego’s history,” Sanders said. “We are moving forward into a more prosperous future.”

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.