Newport Beach’s general fund ended the last fiscal year in better shape than earlier estimates had predicted, largely due to consistently high property values generating a healthy stream of tax revenue, according to a report for consideration by the City Council at their upcoming meeting Tuesday.
The general fund had accrued a $10.8 million surplus by the conclusion of the fiscal year that ended June 30, according to the report. That’s nearly $2 million more than the $8.9 million surplus projected by estimates conducted in May.
The surplus comes despite a 6.7% decrease in sales tax revenue compared to last year. Sales were down in Newport Beach across all industry groups except for restaurants and hotels, according to city staff. Automobile and transportation businesses in particular suffered due to high interest rates curbing access to credit…