Mayor Gina Ortiz Jones’ efforts to trim the upcoming city budget continued Friday as she asked local businesses and philanthropists to take the place of city-funded donations for 15 local charitable organizations.
The City of San Antonio funds a variety of local nonprofits and programs with dollars from its general fund.
Jones said while those organizations have strengthened San Antonio, she reminded donors that the city is facing a significant budget gap. Property values and population growth have stabilized, leading to the city getting lower property tax revenues than it had expected in the coming year.
“The economic environment has changed, as evident by our city’s estimated $158 million gap in our [Fiscal Year] 2027 budget,” Jones said. “Therefore, I write to see if you might consider a three-year funding commitment for any of the below entities that matches or exceeds what the City of San Antonio contributed.”
Jones identified 15 organizations, which ranged from Diez y Seis de Septiembre Commission, which the city supported with $40,000 from its general fund last year, to the San Antonio Education Partnership Scholarship and Outreach Program, which received almost $2.5 million.
The mayor’s letter asked that anyone interested in supporting one of the organizations reach out to her office by Aug. 21.
Read Mayor Gina Ortiz Jones’ July 24 letter here.
Several of the nonprofits mentioned in Jones’ letter said they hope city officials find a solution to its budget issues.
Nonprofit community lender LiftFund said it uses the $500,000 it receives from the city to reduce the interest on loans to small local businesses. The city’s zero-interest loan program has been in place for almost 10 years, the organization stated.
In that time, LiftFund has loaned out $14 million to 450 small businesses, according to an email from spokesperson Caitlin Cowart-de Leon. The funding focuses on businesses that might not be able to afford traditional loans from banks.
“LiftFund values its longstanding partnership with the City of San Antonio and understands the difficult choices city leaders face when balancing community priorities,” Cowart-de Leon said in the email.
BioMedSA, an economic development organization focused on healthcare and biosciences, received $100,000 from the city last year.
“BioMedSA is a committed partner in advancing San Antonio’s economic future, and we are hopeful that city leaders will reach a resolution that addresses the budget shortfall while sustaining the investments that drive continued economic growth,” said the organization’s president, Heather Hanson, in an email.
Also, mentioned in the email is the Avenida Guadalupe Association, which works with residents and businesses around Guadalupe Street, including those with low income and seniors.
“No funding transition should move forward without a clear plan to ensure that essential community services continue,” wrote Gabriel Quintero Velasquez, president and CEO of the association, in an email. “Three-year philanthropic pledges end after three years, but the need for affordable housing, community services and neighborhood investment does not.”
Quintero Velasquez added that the city should convene the organizations that could be affected.
Jones has been busy throughout San Antonio City Council’s summer break in meetings. Her July 24 letter, which she posted on Instagram on Saturday, was the latest in a list of ideas she’s put forward to help bridge the city’s $158 million budget gap.
Jones has already raised the possibility of cuts to San Antonio institutions like Fiesta, the San Antonio Botanical Garden and the San Antonio Book Festival.
Last week, she also floated ending the Ready to Work program early to free up to $100 million for city programs. Doing so would require a public vote and those funds could have limited uses, according to a memo from City Attorney Andy Segovia, but Jones said there was a path forward on using those funds.
Ready to Work funds could be used on literacy or educational programs supported by the general fund, she suggested, either saving those programs from cuts or freeing general fund dollars to be used elsewhere.
Her Ready to Work proposal drew both support and criticism from city council members, who will discuss the budget when they return to session in August.
