City Council
May 19, 2026
Fiscal Year 2026-27
Proposed Budget
4 General Fund FY 2026-27 Proposed Budget
FY 2024-25
Actuals
FY 2025-26
Estimated
FY 2026-27
Proposed % Difference
Revenues $25,319,616 $27,955,769 $28,425,237 +1.7%
Transfers In $4,619,556 $5,355,591 $5,827,848 +8.8%
Expenditures $30,028,553 $33,279,060 $34,219,785 +2.8%
Transfers Out $31,387 $32,300 $33,300 +3.1%
Surplus (Deficit) ($120,768) $0 $0
5 Property Tax Revenues (GF Revenues $34.3M)
$15.8M – $411k (2.7%)
Increase
6 Property Tax History
$0.00
$2.00
$4.00
$6.00
$8.00
$10.00
$12.00
$14.00
$16.00
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
FY 2021-22
Actual
FY 2022-23
Actual
FY 2023-24
Actual
FY 2024-25
Actual
FY 2025-26
Estimated
FY 2026-27
Proposed
$10.55 $11.14 $11.35
$12.19 $12.47
$13.98 $14.31
$15.39 $15.80
In Millions
8 Sales Tax Revenues
$3.5M – Increase of
$100k (2.9%)
9 Transit Occupancy Tax (TOT)
$2.0M – Increase of
3.7%
City Average Room
Rate - $130.00, approx.
72% Occupancy
12% TOT Tax paid by
guests – City receives
100%
10 Other General Fund Revenues
Permits and Fees:
$4.2M – Increase of
$13k (+0.3%)
Transfers-In:
$5.8M – Increase of
$472k (+8.8%)
Charges for Services:
$2.9M – Increase of
$25k (+0.9%)
Franchise Fee $1.3M
(+4.9%)
License and Permit
Fees $1.4M (+12.9%)
Investment Earnings
$733k (-20.86%)
Miscellaneous
Revenues $848k
(+38.5%)
Recreational
Services $475k
(+19.3%)
Plan Check $202k
(-37.5%)
Developer
Reimbursements
$2.2M (3.2%)
Support Services
$3.7M (+1.1%) Gas Tax $400k (-20%) Transfers –in Other
$1.7M (+42.9%)
11 Proposed FY 2026-27 General Fund Revenues - $34.3M
Property Tax, 15,799,265 ,
46%
Sales Tax,
3,500,000 , 10%
Transient Occupancy Tax
(TOT), 2,000,000 , 6%
Licenses and Permits,
1,356,200 , 4%
Charges for Services,
2,912,284 , 9%
Investment Earnings,
732,758 , 2%
Transfer in from Other
Funds, 5,827,848 , 17%
Miscellaneous Revenues,
847,730 , 2%
Franchise Taxes,
1,277,000 , 4%
General Fund Expenditures – Personnel $11.3M
Salaries $7.6M
• 22.3% of GF Total – $380k or 5.2% increase from FY
2025-26
• Chief Building Official
• Maintenance Worker in Parks
• Engineering Technician reclassed to Engineer I-II-III Benefits $3.7M
• 10.8% of GF Total – $163k or 4.7% increase
• Health, Workers Comp etc. +151k
• Pension +$90k
• OPEB -78k decrease (no contribution to the trust)
• Engineering Technician
• Chief Plant Operator
(non-GF)
• Water Maintenance
Worker (non-GF)
Current
Vacancies
13 General Fund Expenditures $34.3M
Police Services:
$10.5M – Increase of
$768k (7.9%)
Supplies/Services:
$9.8M – Decrease of
$971k (-8.9%)
Internal Service
Charges:
$2.5M – Increase of
$140k (5.8%)
One additional
Deputy $230k Insurance Increases Salary Increases
Enterprise Fleet
Leasing
Outfit 3 Police
Interceptors IT Software/HAAS
Insurance Cost
+$164k (+12%)
Contract Building
Services
-$223k (-25%)
14 Proposed FY 2026-27 General Fund Expenditures - $34.3M Total Personnel Cost
$11.3M, (33.1%)
Personnel - Wages,
7,623,394 , 22%
Personnel - Benefits,
1,950,636 , 6%
Personnel - Retirement &
OPEB, 1,714,441 , 5%
Debt Service, 509,751 , 2%
Supplies and Services,
8,677,115 , 25%
Sheriff Contract,
10,528,153 , 31%
Internal Service Fees,
2,548,788 , 7%
Utilities, 667,507 , 2% Transfers Out to Other
Funds, 33,300 , 0%
FY 2024-25
(Actuals)
FY 2025-26
(Estimated)
FY 2026-27
(Proposed)
GF Contingency $7,969,629 $7,514,985 $8,327,840
All Other $1,494,032 $1,683,639 $1,730,091
Unassigned $1,977,565 $2,242,602 $1,383,295
Total $11,441,226 $11,441,226 $11,441,226
General Fund FY 2026-27 Fund Balances
GF Contingency Reserve $8.3M or 25% of GF Expenditures (target is 25%) $ 34.3
$ 35.0
$ 35.2
$ 36.6
$ 37.6
$ 38.5
$ 34.3
$ 35.4
$ 36.3
$ 37.2
$ 38.4
$ 39.7
$31.0
$32.0
$33.0
$34.0
$35.0
$36.0
$37.0
$38.0
$39.0
$40.0
$41.0
FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 Millions
5-Year Forecast – GF Revenue vs. Expense
Revenues Expenditures
5 Year General Fund Forecast
Questions?
Revenues
• Grants - $6.3M
• Measure U - $1.9M
• Gas Tax - $1.2M
• LLAD Assessments - $845k
• Other SRF - $313k
Special Revenue Funds
Expenses – Primarily expended for Capital Improvement Program • Capital Improvement Projects - $11.0 M
• TR16-0700 Green Island Road Construction
• TR26-0100 Citywide Pavement Rejuvenation
• TR23-0300 East AmCan Road Guardrail
• Transfers to General Fund
Fund
Balance
$9.3M
Revenues,
10,540,631
Expenditures,
14,762,421
Fund Balance
12,129,223
Parks/Traffic/Civic Impact Fees, Capital Projects
Revenues
• $11.0M Impact Fees from Developers, Interest
• Transfers In - $26.1 Special Revenue Funds, Enterprise funds, Impact Fees Capital Improvement Funds Revenues,
37,146,562
Expenditures,
39,293,978
Fund Balance
12,129,223
City Hall Debt Service $469k
Engie Loan Debt Service GF $41k
Citywide Energy Efficiency Project,
Installation of solar panels, battery storage, LED lighting retrofits, HVAC controls Debt Service Funds
• Revenues $12.0M
• Expenses $13.4M
• CIP $2.4M
• Undesignated Fund
Balance $8.9
Water
Operations
Water Enterprise Funds
• Revenues $3.2M
• Zone5 Water Pump Station $6.5M
• SCADA $50k
Water
Capacity
Fee Fund
• $8.0M IN/OUT – pass-through
fund for water related projects
Water CIP
Fund
Net of Investment in Capital Assets
Revenues,
23,520,763
Expenses,
27,990,496
Net Position
$16,019,822
Wastewater Enterprise Funds
• Revenues $7.7M
• Expenses $10.1M
• CIP $2.6
Wastewater
Operations
• Revenues $1.8M
• Transfer out to CIP $2.0M
Wastewater
Capacity
Fee Fund
• $1.8M SS4 Sewer Rehab
• $1.2M Sludge Removal
• $1.0M High Strength Waste
• $418k Andrew Rd Repair
• $350k Building E Pump Station Improvements
• $350k UV Rehab
• $153k SCADA
Wastewater
CIP Fund
$5.5M
Net
Position
$5.4M
Net of investment in capital assets
Revenues,
14,422,877
Expenses,
18,285,575
Net Position
$6,693,748
Capital Improvement Projects
• RW23-0100 Recycled Water Fill Stations $71k
• RW27-0100 Recycled Water Tank Rehab $600k
Currently experiencing annual deficits
Experience decrease in consumption
Recycled Water Fund Revenues,
1,089,666
Expenses,
2,136,729
• Revenues $418kM
• Expenses $1.5M
• CIP $0.7
Recycled
Water
Operations
Internal Service Funds
Net
Position,
$4.2M
Revenues,
4,375,854
Expenses,
4,605,434
Net Position
$1,223,366
Building Maintenance
• Expenditures
$1,356,848 (+82k)
• Net Position $152,852
Fleet Maintenance
• Expenditures
$1,435,610 (+104k)
• Net Position $380,675
Information
Technology
• Expenditures
$1,432,976 (+90k)
• Net Position
$689,834
Legal
Services
• Expenditures
$380,000 (+30k)
Questions?