San Diego to focus on housing, fixing roads and critical infrastructure in FY 2025


California Construction News staff writer

San Diego’s $5.82 billion spending plan for 2025 includes a focus on building new housing, fixing roads and critical infrastructure, even though the city was facing a $172 million deficit blamed on the end of COVID-19 recovery assistance, interest rate hikes, and inflation.

Addressing homelessness and building more housing

  • Funding is included for a proposal to turn H Barracks, the city-owned former Navy land adjacent to the San Diego International Airport, into 200 shelter spaces as part of the City’s Safe Parking Program – nearly doubling the capacity.
  • Money will also be allocated to build 1,000 homeless shelter beds, possibly at Kettner Boulevard and Vine Street in Middletown, creating the city’s largest ever homeless shelter and service campus.
  • Also, to speed up construction of affordable and middle-income homes near transit, the budget will fully fund staff needed to review – within 30 days – projects under the Affordable Housing Permit Now and Complete Communities Now programs.
  • To date the program has fast-tracked 22 projects, totaling 2,624 new affordable homes, with another 210 in process. Complete Communities Now, created by a second executive order signed this past January, expedites housing projects near transit and was fully implemented in March. Also, eight projects are in process, totaling 602 units.

Fixing roads and other critical infrastructure

  • $104.7 million for street resurfacing construction and design, increasing the number of miles of major street resurfacing from 60 in 2024 to 75 miles in 2025, along with funds for the design and planning needed to complete 105 miles in FY2026.

Major street resurfacing FY 21 – FY 25

  • In April, city council approved the Pavement Management Plan, which uses the most comprehensive assessment ever for decisions on street maintenance and investment strategies, allowing staff to pinpoint funding needs.
  • The budget includes $90 million for flood control and green infrastructure projects.


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