The Chula Vista City Council has declared a fiscal emergency.
At a special meeting Thursday night, council members voted unanimously for the designation. The City's Public Information Officer, Liz Pursell, says it allows the council to consider new revenue sources.
One of those potential revenue sources could be an increase to the sales tax rate. However, any tax increase plan would have to be approved at a future council meeting and would eventually have to be approved by voters as well.
Chula Vista faces a $4 million budget deficit and a $20 million revenue gap in the next budget.