The city of San Diego finished the last fiscal year with about $44 million more than projected, Mayor Jerry Sanders announced today.

The excess funds came by way of the city spending about $12.5 million less and reaping about $31.4 million more in revenues than it forecasted in the fiscal year 2007 budget.

The mayor said he wants to use about $14 million to bolster the city’s cash reserves, which would raise its reserves to 6 percent of its budget and closer to its 8 percent goal.

Sanders also said he wanted to squirrel away the remaining $30 million so that it can be used to help address a $96 million shortfall anticipated for next year. An updated forecast of the city’s financial outlook is due out before the New Year, he said in a statement.

The City Council’s budget panel is scheduled to receive a presentation on the surplus at a hearing Wednesday. Sanders’ chief operating office, Jay Goldstone, sent the council this memo explaining the mayor’s plans. The meeting will take place at 9 a.m. at 202 C St. in downtown San Diego.

EVAN McLAUGHLIN

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