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The Streamline: Mayor Gloria's revised city budget restores some services, leaves others unfunded

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Here is what you need to know in the May 14, 2026, Streamline newsletter:

This morning, we’re breaking down Mayor Todd Gloria’s revised city budget plan — one that restores some key San Diego services, but still leaves others unfunded.

We’re also following through in with a North County nonprofit honored by the state for supporting families affected by immigration enforcement.

And consumer reporter Marie Coronel shows how drivers are stretching their dollars at the gas pump ahead of a busy Memorial Day weekend.


THE STREAMLINE

WATCH — ABC 10News brings you The Streamline for Thursday, May 14 -- everything you need to know in under 10 minutes:

The Streamline: Thursday, May 14


TOP STORY

SAN DIEGO (CNS) - Some library and recreation center hours, shoreline bathrooms and "December Nights" were restored in Mayor Todd Gloria's revised Fiscal Year 2027 Budget, but arts could still be gutted if the revision passes.

Gloria was joined by civic leaders Wednesday morning to announce the revision to his earlier proposed budget, adding "targeted protections" of certain neighborhood services, maintaining police and fire service levels and arriving at a balanced budget.

"Even in a difficult budget year, we continued looking for ways to protect neighborhood services responsibly," Gloria said. "My May revise restores targeted services in some of our historically underserved communities while still maintaining our focus on the fundamentals for San Diegans: keeping you safe, fixing infrastructure, reducing homelessness and building more homes."

Proposed additions include protecting rec center and library hours in Council Districts 4, 8 and 9, Monday hours at Carmel Valley Library and preventing the North Clairemont Library Branch from closing, protection of staffing support for December Nights planning and operations, another $500,000 for youth drop-in centers and allocating opioid settlement funds toward treatment and support programs through UC San Diego and the San Diego LGBT Community Center.

"Thank you to the individuals and organizations who spoke on how limited city resources should be allocated," City Council President Joe LaCava said. "The May revise restores many of the cuts highlighted by the public and the council. The council is still listening as we build toward adoption on June 9."

Gloria said new sources of revenue to cover the above additions include an increase in tourism occupancy tax -- charged to those who stay in the city's hotels -- and a $4.3 million boost to revenue by recovering rent from the city's golf courses.

"Every private golf course in San Diego pays rent for the land it sits on," he said. "Our public courses sit on public land owned by the people of San Diego. The new legal guidance allows us to properly account for the value of that land, and to make sure the public benefits when the courses succeed."

Even as some services will seemingly be maintain in the tight budget, a nearly $12 million cut to funding for arts and culture grant programs and additional cuts to the Office of Child and Youth Success are not restored in the revised proposal.

"While we appreciate that community advocacy helped move this conversation forward, we are extremely disappointed that the mayor did not restore any of the arts and culture funding in the FY27 budget," said Christine Martinez, manager of Arts+Culture:San Diego. "Our sector made it overwhelmingly clear that these cuts would be devastating. Arts organizations are still facing enormous uncertainty and many are being forced to consider layoffs, reduced programming and cuts to community services. There is still time for the City Council to fully restore this funding and protect one of San Diego's most valuable economic and cultural assets."

The $6.4 billion proposed budget for Fiscal Year 2026/27 will be discussed, debated and amended until June 9, the city's deadline for adopting a final budget. Gloria said the nearly $120 million hole in the city's finances was built over decades of deferred maintenance, rising costs and changing priorities in Washington and Sacramento.

After widely unpopular efforts to raise revenues instead of cutting city services -- such as paid Balboa Park parking, special event parking rates increasing downtown and the trash fee -- Gloria's proposed budget appears to focus on paring down rather than expanding revenue sources.

Still, the revise does take into account community feedback.

"Libraries, recreation centers, youth programs and violence prevention services are essential investments in our neighborhoods and important to the people we serve every day," Councilman Henry Foster III said. "The proposed restorations in the mayor's May revise reflect the advocacy from residents, community leaders and my council colleagues who fought to protect critical neighborhood services, especially in historically underserved communities like District 4. While there is much more work ahead in this budget process, I remain committed to delivering a final budget that prioritizes equity, opportunity and quality of life for all residents."

Brigette Browning, president of the San Diego & Imperial Counties Labor Council, said the revise was a good sign.

"Working families can't afford a city that isn't fiscally stable, and they can't afford a city that abandons its workers when things get hard," she said. "The May revision moves in the right direction -- restoring positions, funding services, and keeping the city's commitments to the people who make it run."

Story by Ryan Murray, City News Service


MICROCLIMATE FORECAST

Coasts

Inland

Mountains

Deserts


BREAKING OVERNIGHT

BEIJING (AP) — China’s Xi Jinping warned President Donald Trump on Thursday that their two countries could clash over Taiwan if the issue was not handled properly, an unusually harsh admonition that stood in contrast to the American leader’s praise for his counterpart.

The exchange at a highly anticipated summit in Beijing underscored just how far apart Trump and Xi remain on thorny issues, including the war in Iran, trade disputes and Washington's relations with Taiwan, which is self-ruled but which China claims as part of its territory.

It also suggested that Trump’s three-day visit to China is likely to be longer on pageantry and symbolism than substantive political or economic breakthroughs.

The pair met for about two hours behind closed doors at the Great Hall of the People after an elaborate welcome ceremony featuring booming cannons, a band playing “The Star-Spangled Banner” and China’s national anthem, and hundreds of schoolchildren jumping and waving flowers and American and Chinese flags.

According to a post on X by Chinese Foreign Ministry spokesperson Mao Ning, Xi told Trump that “the Taiwan question is the most important issue in China-U.S. relations.”

"If it is handled properly, the bilateral relationship will enjoy overall stability. Otherwise, the two countries will have clashes and even conflicts, putting the entire relationship in great jeopardy,” she wrote.

That came after a brief public exchange before the meeting began in which Trump told Xi: “You’re a great leader. Sometimes people don’t like me saying it, but I say it anyway, because it’s true.”

“It’s an honor to be your friend,” Trump said before promising that “the relationship between China and the USA is going to be better than ever before.”

Xi was far more stark in his opening remarks, expressing hope that the U.S. and China could avoid conflict and asking “whether the two countries can transcend the ‘Thucydides Trap’ and forge a new model for relations between major powers.”

That's a term, popular in foreign policy studies, referring to the idea that when a rising power threatens to displace an established one, the result is often war. Xi has used the term for years, but using it as Trump offered optimism was noteworthy and foreshadowed his closed-door comments on Taiwan.

Xi nonetheless struck a more conciliatory tone when describing the overall relationship. “Cooperation benefits both sides, while confrontation harms both,” he said. “The two countries should be partners rather than rivals.”

Both emphasized the importance of China-US relations

After their meeting, Xi took Trump on a tour of the Temple of Heaven, then hosted a state banquet for him. The Chinese leader used his evening toast to note that he and Trump had kept U.S.-China relations “generally stable” in a turbulent world.

“Achieving the great rejuvenation of the Chinese nation and making America great again can go hand in hand,” Xi said, referring to Trump’s political movement. “We can help each other succeed and advance the well-being of the whole world.”

In his toast, Trump again called Xi “my friend” and said his visit had been “a great honor” punctuated by a “fantastic" day. He said matters “all good for the United States and China” were discussed Thursday.

Trump also announced that Xi would make a reciprocal visit to the White House on Sept. 24 — a date not previously announced.

The positive tone also was reflected in the White House assessment of the earlier meetings, which said both leaders had touched on ways to enhance economic cooperation, including expanding market access for American businesses in China and increasing Chinese investment into U.S. industries.

The White House readout didn't mention Taiwan directly, but, in relation to Iran, said both sides had agreed that the Strait of Hormuz, a crucial waterway for oil and natural gas, must remain open. The strait's closure has stranded tankers and caused energy prices to spike, threatening global economic growth.

The war is dominating Trump's domestic agenda and stoking fears about the prospect of a weakening U.S. economy as November’s midterm elections — when Republicans hope to maintain control of Congress — approach.

China is the largest purchaser of Iranian oil, and U.S. Secretary of State Marco Rubio said in an interview with Fox News’ Sean Hannity that Trump would make the case for Beijing to exert its influence on Iran, noting that administration officials would underscore that “economies are melting down because of this crisis,” which means consumers are “buying less Chinese product.”

It's not clear if Trump persuaded Xi to wield his influence. The White House instead said Xi opposed any implementation of tolls on vessels crossing the strait — as Iran has proposed — and expressed interest in China potentially purchasing more U.S. oil to reduce Chinese dependence on Gulf oil in the future.

Taiwan issues remain contentious

Xi's warning about Taiwan reflects China's displeasure with a U.S. plan to sell weapons to the island. The Trump administration has approved an $11 billion arms package for Taiwan, but has yet to begin fulfilling it.

The U.S. has a longstanding commitment to help the island defend itself if attacked, but Trump has shown greater ambivalence toward Taiwan, fueling speculation about whether the president could be persuaded to dial back American support.

Taiwan said after the Xi-Trump meeting that it was grateful for Washington's “long-term support.”

“The government views all actions that contribute to regional stability and the management of potential risks from authoritarian expansion positively,” Michelle Lee, a spokesperson for Taiwan’s premier, told reporters. She added that the U.S. “has also repeatedly reiterated its firm and clear position of support for Taiwan.”

US still hopes to secure trade wins

The White House has insisted that Trump wouldn’t be making the trip without an eye toward securing concrete results, suggesting there could be coming announcements coming on trade.

That might include a Chinese commitment to buy U.S. soybeans, beef and aircraft. Trump administration officials also want to work toward establishing a Board of Trade with China to address commercial differences between the countries.

Trump and Xi discussed trade on Thursday, with Xi saying that China’s door of opportunity will open wider. Xi also met with a collection of U.S. business leaders who accompanied Trump.

George Chen, a partner at The Asia Group consultancy, said Xi has made his ”‘red line’ crystal clear” on Taiwan. But Chen said Xi also signaled a welcoming tone on the economic front and a desire to assure the U.S. business community that China is a place where profits can flow.

The U.S. and China reached a trade truce last year that calmed each side’s threats to impose steep tariffs on the other. The White House says there have been ongoing discussions and mutual interest in extending the agreement.

The leaders also discussed further stemming the flow of fentanyl precursor chemicals into the United States, and increasing Chinese purchases of U.S. agricultural products, according to the White House.

Story by Will Weissert and Aamer Madhani, Associated Press


CONSUMER

As the price of gas continues to rise and with the unofficial start of summer almost here, drivers are searching for ways to save ahead of one of the busiest travel weekends.

WATCH — Consumer reporter Marie Coronel looks at how motorists plan to cut costs and still enjoy their Memorial Day holiday plans:

San Diegans finding cost-efficient ways to prepare for Memorial Day weekend


WE FOLLOW THROUGH

Somos Tías, a North County nonprofit that supports families impacted by immigration enforcement, has been named California’s 38th Senate District Nonprofit of the Year.

WATCH — Reporter Laura Acevedo follows through with the organization as they continue to expand and serve more families in need:

Somos Tías named nonprofit of the year for California's 38th Senate District


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