Anaheim City Council
August 25, 2026

ANAHEIM CITY COUNCIL
REGULAR MEETING OF JUNE 23, 2026
The regular meeting of June 23, 2026 was called to order at 3:05 p.m. in the Council Chamber of Anaheim City Hall, located at 200 South Anaheim Boulevard. The meeting notice, agenda, and related material were duly posted on June 18, 2026.

MEMBERS PRESENT: Mayor Ashleigh E. Aitken and Council Members Carlos A. Leon, Ryan Balius, Natalie Rubalcava, Norma Campos Kurtz, Kristen M. Maahs, and Natalie Meeks
STAFF PRESENT: Interim City Manager Greg Garcia, City Attorney Robert Fabela, and City Clerk Theresa Bass
PUBLIC COMMENTS ON WORKSHOP:

Jorge Gavino, Chair of the Budget, Investment and Technology Commission, thanked the City Council and staff for the opportunity to serve and noted that the City held approximately 15 public meetings related to the budget, emphasizing the importance of public participation and transparency in the budgeting process. He congratulated City staff and the Finance Department for receiving a Distinguished Budget Presentation Award from the Government Finance Officers Association. He shared that the Commission recommended continued efforts to attract and retain both large and small conventions at the Anaheim Convention Center, particularly longstanding partnerships. He recognized the City’s coordinated efforts to address homelessness, citing a 10% decrease in unsheltered individuals between 2024 and 2026. He reported that the Commission recommended increasing the City’s reserve target from 7% to 20-25%, emphasizing that stronger reserves would help protect public services during future economic or other emergencies. He added that the Commission expressed strong support for developing a wildland fire suppression crew within the Fire and Rescue Department and continuing investments in fire protection capacity as wildfire risks increase. He concluded by reiterating the Commission’s commitment to public trust, transparency, and responsible budgeting.

Marc Herbert questioned whether the City’s budget workshop process provides an adequate level of public engagement. He stated that workshops should facilitate transparent two-way communication, collaborative problem-solving, brainstorming, and meaningful community feedback rather than function primarily as presentations or seminars. He recommended balancing presentations with interactive discussions and providing follow-up on outcomes, responsibilities, and unresolved issues.

He expressed concern that allowing public comments before staff presentations may limit meaningful discussion and that holding the workshop on the same day as the budget vote does not provide a sufficient open opportunity for public participation.

City Clerk Theresa Bass reported that no electronic public comments were submitted related to the Workshop.

WORKSHOP: Proposed Fiscal Year 2026/27 Budget (Public Utilities; Public Works; Planning & Building; Economic Development; Housing & Community Development; and Convention, Sports & Entertainment)
Interim City Manager Greg Garcia introduced the Budget Workshop featuring presentations from Public Utilities, Public Works, Planning and Building, Economic Development, Housing and Community Development, and Convention, Sports, and Entertainment. He noted that Council would consider the adoption of the proposed budget, appropriation limits, and user fee changes during the ITEM # 25
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public hearing. He stated that the proposed FY 2026/27 budget reflects progress toward structural balance after the City navigated structural deficits since 2020, primarily driven by rising operational costs and temporarily addressed through one-time revenues while maintaining existing service levels and strategically adding services. He noted that the proposed budget includes a manageable funding gap, continued revenue growth, and a path toward structural balance as the LPMR (Lease Payment Measurement Revenues) bonds approach retirement. He reported that the budget totals approximately $2.6 billion and includes more than $324 million in capital improvement investments, focused on neighborhood improvements, utility and infrastructure reliability, and new amenities for parks and community spaces.

Public Utilities Department
Public Utilities General Manager Dukku Lee stated that Anaheim Public Utilities' (APU) core services include providing electricity and water to Anaheim homes, schools, and businesses. He noted that as a community-owned utility, our employees help customers with ways to save on their utility bills, security lighting, and efficiency programs. He reported that the Department employee count includes 361 full-time and 39 part-time FTEs. He added that for FY 2026/27, the Department is requesting three new positions. He explained that the first two positions are electric crew members, a supervisor and a line mechanic. He noted that the additions would allow the Department to perform more capital projects in-house and enhance the City’s ability to respond to emergencies. He added that the third position was a Substation Test Technician Supervisor who would support grid modernization of high voltage equipment.

General Manager Lee reported that the Department’s proposed budget of $783 million represents 30% of the Citywide budget. He added that the General Fund makes up less than 1% of the City’s budget and covers energy costs for street lights and the City’s 311 information line. He provided an overview of the Department’s five (5) divisions, along with power and water supply. He stated that the operating budget was increasing modestly from the current year by 2% while the Department’s total budget was increasing by approximately 3%, reflecting additional investments in capital infrastructure.

He added that the majority of the Department’s operating budget was due to wholesale costs in the Other Operating category, reflecting power and water supplies needed to serve Anaheim customers.

He reported that the Department finances capital investments, spreading debt service costs over the life of those assets. He added that given the long-term life of the City’s infrastructure, use of financing tools has helped keep the customer rates stable and affordable. He noted that labor makes up 12% of the operating budget, and the remaining 1% covers capital outlay for technology systems, vehicles, and facility improvements.

General Manager Lee stated that the budget reflects six (6) strategic priorities, including: reliable service, affordability and financial health, safety, community engagement, risk mitigation, and sustainability. He noted that the Department focuses on safe and reliable service to customers, while controlling our costs and managing the many risks facing the utility industry. He added that the Department was planning for the future: increasing renewable energy, prioritizing sustainable groundwater supplies, and helping customers use fewer resources that also maintain affordable bills.

General Manager Lee reported that the Administration & Risk Services Division includes customer service, which handles over 20,000 phone calls, emails, chats, Anaheim Anytime requests, and in- person visits each month. He shared that staff leverages technology, which helps keep the average call wait times to 1.4 minutes, and noted that employees helped over 25,000 customers who were eligible for bill assistance, payment plans, or bill extensions depending on their unique circumstances.

He added that the Division handles risk management, regulatory compliance, and environmental and safety oversight – conducting over 360 facility inspections and trainings over the past year.

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General Manager Lee reported that the Water Division was responsible for managing wholesale supplies from Orange County Water District and Metropolitan Water District. He stated that currently, Colorado River imports are strained by years of low precipitation and snowpack, so regional storage investments and local conservation rebates are helping the City prepare for future droughts. He noted that APU operates a state-certified water laboratory and conducts 44,000 tests annually. He added that APU has secured $10 million in State grant funding to offset groundwater treatment costs, with another $8 million pending. He stated that over half of the City’s water capital program is dedicated to replacing aging pipes and installing new ones for reimbursable development projects. He added that the water system reliability continues to perform well with lower main breaks compared to the national average.

General Manager Lee stated that the Electric Division operates and maintains the local grid. He noted that APU was recognized again as a Reliable Public Power Provider, an achievement roughly 250 of the 2,000+ publicly-owned utilities nationwide receive. He highlighted the City’s outage duration, which was better than the national average for public agencies as well as Southern California Edison who serves north and central Orange County. He added that outages can occur at any time due to weather, metallic balloons, vehicle accidents, equipment issues, and vandalism. He noted that safely responding to outages to restore customers is the City’s highest priority. He stated that capital investments are a high priority to continually upgrade or replace aging equipment, underground power lines, and increase automation, which are essential to reducing customer disruptions.

General Manager Lee reported that the Finance and Energy Resources Division manages Anaheim’s power supply portfolio in addition to the department’s financial well-being. He added that the Department continues to keep electric and water rates affordable for residents through financial strategies and cost controls even with supply chain challenges and increases to wholesale costs. He stated that as for the City’s power supplies, the Department is working to acquire the resources needed to achieve 60% renewables by 2030 and is tracking technology and industry advances to be carbon-free by 2045.

General Manager Lee stated that the General Services Division manages the customer efficiency programs for residents and businesses. He noted that through rebates, business and home surveys, high efficiency lights, and other conservation measures, the Anaheim community saved 7 million kilowatt hours and 7.5 million gallons of water last year. He added that the student programs introduce conservation concepts and environmental stewardship. He stated that over the past decade, APU expanded such efforts to incorporate career exploration with mentorships, symposiums, tours, and scholarships. He noted that over the past year, APU has partnered with Public Works to launch a skilled trades career event with students from Savanna, Loara, and Maxwell high schools.

General Manager Lee provided an overview of current year highlights. He reported that APU maintains over 24,000 street lights, prioritizing new installations based on input from other departments, residents, and businesses. He added that APU continues to address wire theft by hardening infrastructure and replacing copper wire with aluminum, while partnering with Anaheim Police, which has led to several arrests. He stated that the Dusk to Dawn program utilizes high- efficiency lights to improve safety at homes, multi-family complexes, and businesses, making a noticeable difference. He added that over the past October, students from Olive, Jefferson, and Roosevelt elementary schools helped APU dedicate the Sustainability Education Center. He noted that APU has welcomed 700 attendees through programs ranging from landscape workshops to student engagement and business customer meetings. He shared that at OCVIBE, new electric infrastructure would be completed over the summer to support the development’s full build-out as well as the 2028 Olympics. He reported that in April 2026, City Council awarded a construction project to install electrical infrastructure at Gypsum Canyon Memorial Park, which would include the Veterans City Council Minutes of June 23, 2026

Cemetery. He added that APU is working on a new water main extension to this site that will be brought to Council for consideration later in the year.

General Manager Lee stated that APU would continue modernizing the local grid to support Statewide electrification goals, and apply best industry practices such as thermal scanning of equipment to identify issues early on. He noted that the wildfire mitigation plan covers both electric and water systems. He reported that Undergrounding efforts, partially funded by a Federal Emergency Management Agency (FEMA) grant, have been completed in four (4) of the seven (7) segments, and the remaining sections are under construction. He stated that on the water side, APU’s updated plan identifies facility upgrades and pipeline interconnection projects to improve resilience in high fire risk areas. He added that 14 wildfire cameras are currently deployed to enable Anaheim Fire & Rescue and APU operations staff to improve situational awareness. He shared that in the upcoming year, four (4) additional cameras would be added to the regional camera network. He reported that additional highlights include significant investments in water and electric infrastructure.

He noted that a $7.5 million State grant would accelerate procurement and implementation of a new type of high voltage switch to strengthen grid reliability. He added that the continuation of Citywide undergrounding would improve service reliability and harden APU’s system against weather events.

He concluded that altogether the investments reflect the City’s commitment to keeping APU’s service safe, reliable, and affordable for the customers the City serves.

Public Works Department
Director of Public Works Rudy Emami stated that Public Works is proud to serve the community every day by delivering and sustaining the infrastructure that keeps Anaheim moving. He shared that Public Works touches nearly every aspect of daily life in the City, from streets and sidewalks to sewer and storm drain systems, traffic operations, fleet services, sanitation, and facility maintenance. He explained that Public Works' mission is simple: plan, build, and preserve. He added that the mission guides everything the Department does.

Director Emami reported that the Department’s proposed budget includes 261 full-time staff and 52 part-time staff. He stated that the proposed Public Works budget is approximately $349 million. He highlighted that the majority of the Department’s budget is supported by restricted and enterprise funding sources, including sanitation, gas tax, Measure M, and internal service funds. He added that only 12% of the Department’s total budget is supported by the General Fund. He stated that the structure allows the Department to continue delivering large-scale infrastructure and operational services while maximizing outside and restricted funding sources whenever possible. He provided an overview of the proposed budget by division, noting the largest increases within Capital Improvements, largely tied to the timing and delivery of several multi-year infrastructure projects. He noted that the budget reflects continued investment in maintaining infrastructure, supporting operations, and preparing for future growth throughout Anaheim. He added that the largest portion of the operating budget falls under Other Operating Costs. He explained that the category includes major contractual services such as solid waste operations and internal service charges that support Citywide operations. He reported that labor represents approximately 25% of the operating budget, which reflects the highly operational nature of the Department’s work.

Director Emami stated that Administration and Financial Services provides the operational backbone for the Department, including budgeting, accounting, administrative support, engineering records, and commuter services. He noted that the overall increase in the division is primarily related to the redistribution of insurance costs and standard contractual salary and benefit adjustments. He added that the increases are a common theme amongst the other divisions.

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Director Emami reported that Engineering Services includes development services, design, traffic engineering, and transportation planning. He noted that the division continues to play a major role in supporting both private development and public infrastructure improvements throughout Anaheim. He stated that labor increases were due to contractually obligated increases in salary and burden as well as proposed staffing additions, which are mainly tied to DisneylandForward activity and are expected to be revenue offset. He added that the team continues to deliver significant infrastructure work Citywide, including arterial paving, sewer rehabilitation, traffic signal coordination, and permit processing.

Director Emami provided an overview of the Operations Divisions, noting that Operations is the frontline of the Department. He explained that the team maintains streets, sidewalks, traffic systems, landscaping, sanitation operations, and the Anaheim Resort Maintenance District. He reported that the increase in the Division was largely tied to rising solid waste disposal and service costs, along with contractual labor adjustments and the addition of one (1) personnel to support oversight of Sewer Operations, which is funded by the Department’s Enterprise Fund. He recognized the tremendous amount of work the team handles every day responding to maintenance requests, keeping neighborhoods clean, and addressing quality of life concerns throughout the City.

Director Emami reported that Fleet and Facility Services maintains the City’s vehicles, equipment, buildings, and facilities. He noted that this year, Anaheim was recognized as one of the Top 100 Fleets in the nation, which is a reflection of the professionalism and efficiency of the team. He stated that increases in labor are due to contractually obligated salary and benefit adjustments. He added that other operating increases are related to building maintenance. He explained a decrease in capital outlay, related to the timing of the Citywide vehicle replacement schedule.

Director Emami stated that Construction Services provides contract management, surveying, and inspection for both public and private improvements throughout the City. He explained that an increase in the Division was primarily tied to additional inspection support associated with DisneylandForward. He shared that the team plays a critical role in ensuring projects are delivered safely, efficiently, and in compliance with City standards. He reported that an area the Department continues to focus heavily on is cleanliness and quality of life. He noted that through the Anaheim Litter Removal Taskforce and the HALO program, Public Works has removed more than 266 tons of debris Citywide this year. He noted that the efforts require strong coordination across departments and have made a meaningful difference in some of our most impacted corridors and public spaces.

He reported that Public Works continues to invest heavily in neighborhood infrastructure improvements across the City. He stated that this year, the concrete replacement projects improved more than 800 locations Citywide, including sidewalks, curbs, gutters, and accessibility upgrades. He added that the Department continues the annual palm tree maintenance program, which helps preserve the health and appearance of one of Anaheim’s most recognizable features.

Director Emami reported that facility maintenance happens behind the scenes, but is critical to protecting City assets and ensuring the City’s facilities remain safe and operational. He shared that this year, the City completed a full roof replacement at Canyon Hills Library, extending the life of that facility for decades to come. He noted that next year, Public Works would continue the efforts with a full roof replacement at Fire Station 9.

Director Emami stated that improving neighborhoods remains one of the top priorities for the year. He noted that Public Works successfully completed Woodsboro Phase II, including using entirely in- house crews, which provides cost savings, flexibility, and strong quality control. He added that Public Works completed the Norma-Juno neighborhood project. He reported that next year, Public Works anticipates completing the Monterey Baker neighborhood improvements. He shared that the projects City Council Minutes of June 23, 2026

directly improve the daily quality of life for residents and are a great example of the value the crews provide to the community.

Director Emami reported that Public Works continues to advance major infrastructure projects throughout the City. He stated that the projects include the La Palma Storm Drain Improvement Project, which would help address long-standing flooding and pedestrian safety concerns near schools and key travel corridors. He added that Public Works also anticipates beginning construction on the Orangewood Bridge Widening project, an important regional mobility improvement that supports the Platinum Triangle and broader transportation network.

Director Emami shared that Public Works is more than infrastructure; the Department is about people, relationships, and community trust. He noted that Public Works continues to expand outreach and engagement efforts throughout Anaheim, because the Department believes that strong neighborhoods are built not only through projects and services, but through connection with the community the Department serves. He thanked the entire Public Works Department for their dedication and professionalism. He noted that the work they do every day has a direct impact on the quality of life in Anaheim and expressed pride in what the Department would continue to accomplish.

Planning and Building Department
Director of Planning and Building Heather Allen reported that the Department has three core divisions: Building Services, Community Preservation and Licensing, and Planning Services in addition to Administration. She stated that together the Department is focused on enhancing the City of Anaheim by developing and implementing land use policies that reflect the goals of the community, ensuring safe and code-compliant development and properties, attracting and retaining businesses that contribute towards a healthy economy, and providing exceptional customer service. She shared that Building Services ensures safe, strong, durable, and functional buildings, working with design professionals and tradespeople to implement the California Building Code and facilitate development in the City. She noted that the Division strives to provide responsive professional services for the benefit of our residents and businesses through plan check, permit issuance, and inspection services on private property. She reported that Community Preservation and Licensing safeguards the public and helps maintain a high quality of life and property through the enforcement of the Municipal Code, issuance of business licenses, and collection of transient occupancy taxes. She stated that Planning Services maintains and implements the City’s General Plan and Zoning Code, assisting residents and businesses in using and developing private property in the City; participates in regional planning activities; and administers the City’s historic preservation programs. She noted that the services are provided by a dedicated team of 105 full-time positions in addition to 33 part-time employees comprising 24.75 FTEs. She added that to supplement city staff positions, the department also relies on specialized consultants as needed.

Director Allen reported that the proposed Department budget is $41 million, which is 1.6% of the total City budget and 6.6% of the General Fund. She shared that the Department is predominantly supported by the General Fund and collects fees for services such as building permits and discretionary and regulatory permits. She added that the Community Preservation budget does include $1.2 million of federal CDBG funds for Code Enforcement activities in qualifying neighborhoods. She stated that the proposed Department budget maintains the status quo, reflecting only changes to existing salary, benefit, and intergovernmental charges and the previously approved increased cost of Animal Care Services. She noted that overall, labor is the primary expense for the Department at 60% of the budget, followed by other operating expenses accounting for 39%.

Director Allen stated that the Administration Division’s budget is $1.5 million dollars, 4% of the Department budget. She shared that the Division provides leadership on the implementation of the City Council Minutes of June 23, 2026

goals and priorities of the City Council and City Manager, and includes budget oversight, administrative support, and internal services.

Director Allen reported that the Building Services’ budget is $11 million, 27% of the Department’s budget. She shared that performance highlights this year include the issuance of 7,260 building permits, performing 5,900 building plan checks, and conducting 46,455 building inspections.

Director Allen stated that the Community Preservation and Licensing Division’s budget was $20 million, 49% of the Department budget. She explained that the budget reflects a reduction in Capital Outlay due to completion of the City’s obligation for the construction of the County Animal Shelter.

She shared that highlights include responding to 7,690 Code Enforcement cases and 11,462 Anaheim Anytime requests, removing over 1.9 million square feet of graffiti, issuing 54,274 parking citations, and processing over 26,000 business licenses.

Director Allen reported that Planning Services’ budget is approximately $8.3 million, 20% of the department’s budget. She shared that performance highlights over the year include assisting 8,502 customers at our public counter, performing 722 administrative reviews, completing 3,921 plan checks, and presenting 31 projects to the planning commission in addition to holding one (1) public workshop.

Director Allen shared a few Department highlights, noting that the Planning and Building Services Divisions continue to be actively involved in the implementation of the OCVIBE project, the mixed-use and entertainment project on 95 acres surrounding the Honda Center and ARTIC approved in 2022.

She stated that Phase 1 includes roadway improvements, three parking structures, a concert hall, office space, and restaurant and entertainment uses. She noted that two parking structures have been completed and are currently operational, with the remaining components in various stages of construction, with openings completed by 2027. She reported that recently, Final Site Plans for portions of Phase 2 were approved, including a parking structure serving ARTIC, entertainment and hotel uses south of the Honda Center, which are referred to as South Plaza and the Arena Hotel, and two residential buildings. She added that grading for the ARTIC parking structure and South Plaza is underway while plans for the vertical construction of Phase 2 are under review by the Building Division.

Director Allen reported that the DisneylandForward Project was approved by City Council in 2024 and provides for the continued, long-term growth of the Disneyland Resort. She stated that at Disney’s California Adventure, two new attractions are currently under construction in an expanded Avengers Campus, and plans for a new Coco-themed attraction in the Pixar Pier area are under review. She added that in Downtown Disney, site preparation is underway for Porto’s Bakery to replace the former La Brea Bakery, along with two new restaurants proposed in the former Tortilla Jo’s location. She noted that in December 2025, Disney submitted construction drawings for a new east parking structure and transportation hub located east of Harbor Boulevard and north of Disney Way. She stated that the project includes over 6,000 parking spaces, a new transportation hub accommodating shuttles, buses, and rideshare services, and a security screening area. She added that construction on the parking structure is anticipated to begin in late 2026.

Director Allen highlighted two efforts in response to City Council priorities. She noted that implementing the recently approved Economic Development Strategic Plan, the Planning & Building Department will lead the effort to collaborate with colleagues in Public Works, Fire, Police, Economic Development, Housing, Finance and the City Manager’s Office to evaluate the land use entitlement and development permitting process and create a plan for short-, medium- and long-term improvements that incorporates stakeholder and policy-level input, industry best practices, and the use of innovative technologies. She explained that the important effort builds on the work the dedicated staff is already doing to identify opportunities to improve service delivery and add value to City Council Minutes of June 23, 2026

interactions with customers. She added that the Planning and Building Department would re-focus proactive enforcement to systematically address commercial corridors Citywide, first providing education on common regulatory issues along with business resources, followed by Code Enforcement action as appropriate. She stated that existing efforts focused on quality of life issues in partnership with the Anaheim Police Department will continue, as will specialized enforcement related to tobacco, kratom, and nitrous oxide, and billboards.

DISCUSSION: In response to Mayor Aitken, General Manager Lee identified the evolving State requirements related to electrification and renewable energy as a key challenge over the next five or ten years, particularly balancing those goals with affordability and cost control. He emphasized the importance of maintaining local flexibility and control so public utilities are not subject to the same requirements as investor-owned utilities when circumstances differ. He also identified supply-chain pressures and wildfire risk as ongoing industry challenges. He noted that the Department’s aggressive undergrounding program was cited as an example of how local initiatives and FEMA grant funding have helped reduce wildfire exposure and avoid substantially higher mitigation costs.

Mayor Aitken inquired about how much power the City is generating from the City’s sources versus buying from other places.

General Manager Lee reported that Public Utilities works diligently to meet the 60% renewables goal by 2030. He noted challenges due to federal policy changes, market conditions, and difficulties developers face with entitlement processes. He explained that the longer-term goal of achieving carbon-free operations by 2045 presents greater uncertainty, as future technologies and energy resources are still developing. He noted that potential technologies could become viable in the coming years. He emphasized the importance of maintaining financial flexibility so the City can evaluate and invest in emerging technologies and resources needed to achieve its long-term net-zero goal.

In response to Council Member Maahs, General Manager Lee explained that 311 provides a centralized, non-emergency point of contact for general City questions and service requests, with calls routed to staff trained to address various City matters. He noted that the service operates during regular call-center hours and is not available 24/7. He explained that for utility emergencies such as power outages or other issues occurring after normal call-center hours, Public Utilities' operations staff remain available 24/7. He reported that the phone number is 714-765-4311.

Council Member Maahs inquired whether 311 would be the appropriate contact for a resident reporting a leaking fire hydrant, indicating that such a non-emergency utility concern could be directed through the City's 311 service.

General Manager Lee explained that residents can call the number on their utility bill, 714-765-3300.

He noted that the same staff would respond and route calls appropriately.

Council Member Maahs highlighted the Sustainability Education Center. She noted that the Center has been responsive to the Council’s priorities and supportive of the autistic community.

Council Member Balius questioned the difference in Water and Electric utility labor cost increases, noting that water service labor increased 12.6% compared with 10.5% for Electric, despite the addition of three new employees in the Electric Division. He inquired why the percentage increases were not more closely aligned.

General Manager Lee explained that labor costs are affected by the amount of staff labor transferred to capital projects in both the Water and Electric Divisions. He stated that the three new electric positions are intended to increase the amount of work performed in-house, which can reduce costs City Council Minutes of June 23, 2026

and provide greater City oversight and ownership of capital projects. He provided an example of the Veterans Cemetery project, noting that the civil work would be completed by the contractor and Public Utilities staff would handle the installation of new electrical materials. He noted that the approach was intended to control costs, maximize internal resources, and improve cost-effectiveness for major development projects.

In response to Council Member Kurtz, Director Emami explained that the DisneylandForward project represents a significant workload for the City, including planning, plan checking, and inspections. He stated that to ensure the project does not affect service levels for other City projects, the City Council approved a staffing agreement with Disneyland under which the company will fully fund additional City staff dedicated specifically to DisneylandForward work. He reported that the additional staffing would not be funded through the City's General Fund, while allowing the City to maintain existing service levels for other projects.

Council Member Meeks clarified that the DisneylandForward project has resulted in additional staffing in both the Planning and Public Works departments. He stated that Planning staff was added earlier because planning and entitlement work precedes construction-related Public Works activities. He noted that the additional positions are dedicated to supporting DisneylandForward and will be reimbursed by Disneyland, ensuring the costs do not fall on the City's General Fund.

In response to Council Member Kurtz, Director Allen reported that the Planning Department would partner with the Economic Development Department in the private development improvement process and in the development of a Citywide proactive corridor enforcement program. He noted that Economic Development would help provide businesses with information on City regulations, available services, and resources, such as signage, trash enclosure and landscaping requirements, lighting programs, small business loans, and Chamber of Commerce services. He stated that the initial outreach would focus on education and connecting businesses with resources, followed by stronger enforcement after property issues are identified.

Council Member Kurtz thanked staff for their work on improving the private development process, noting that Economic Development resources are stretched by major projects such as DisneylandForward and OCVIBE. She expressed appreciation for efforts to improve the process and ensure businesses and developers are served effectively.

Council Member Meeks stated that no additional Code Enforcement staffing is proposed for the current budget year but emphasized its importance to Anaheim’s quality of life. She requested that staff evaluate potential staffing augmentation for next year’s budget, including program needs, priorities, and anticipated improvements to services such as trash and property violations, hoarding cases, rental inspections, and street vendor enforcement.

Director Allen noted that two vacant part-time positions were already being considered for consolidation into one full-time position to support the proactive Code Enforcement program. She stated that staff would reassess staffing needs as the program is retooled and return to Council as necessary.

Mayor Pro Tem Leon thanked staff for their continued work and noted meetings with District 2 businesses regarding the permit process. He expressed support for the proposed permit process improvements and asked about the timeline for establishing short-, medium-, and long-term goals.

Director Allen stated that, as part of the Economic Development Strategic Plan, the department will develop short-, medium-, and long-term strategies during the first year. She noted that a work plan would identify actions for the next 12 months and longer-term initiatives, including potential staffing and technology needs, with an updated work plan to be presented to Council in one year.

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Mayor Pro Tem Leon emphasized the importance of streamlining the business permitting process for small businesses, entrepreneurs, and families, noting that delays can result in businesses paying rent while unable to open. He requested that staff communicate any needed Council support early. He asked whether the proposed proactive Code Enforcement program would include residential properties, citing concerns about vacant or deteriorated properties in the Brookhurst area of District 2.

Director Allen clarified that the proactive Code Enforcement program primarily focuses on commercial corridors, while a separate program addressing vacant and abandoned properties is also underway and will likely focus on residential properties. She noted that Council had expanded the City Manager’s authority for emergency nuisance abatement and is working to implement that authority through existing processes.

Council Member Balius echoed Council Member Meeks’ comments regarding Code Enforcement staff. He requested clarification on whether the reported inspection total represented unique properties or multiple inspections at the same job site, noting that the figure would equate to approximately 127 inspections per day if spread across 365 days.

In response to Council Member Balius, Director Allen clarified that the figures only represent inspections performed by Building Inspectors and not inspections by the Public Works or Fire & Rescue Departments.

Council Member Balius thanked Code Enforcement staff for their dedication.

Council Member Rubalcava requested additional information on Senate Bill (SB) 1383’s effects on the Public Works Department budget.

Director Emami explained that there have been increases to the Department’s rates due to SB 1383.

He noted that the largest increase was due to the County’s work at landfills to prepare for and process the requirements of SB 1383.

In response to Council Member Rubalcava, Director Emami reported that most of the City’s advocacy for SB 1383 was at the beginning of the bill’s introduction. He noted that the bill included some modifications and highlighted negotiations with the County to reduce the impacts. He added that the City worked with Republic Services to control costs. He explained that the City is using reserves to help absorb and spread out increased costs, providing residents with a more gradual transition.

Council Member Rubalcava inquired when the Republic Services contract expires.

Director Emami reported that the Republic Services contract is an evergreen agreement, with the first 13 years guaranteed. He explained that after that period, the City would need to provide seven years’ notice to terminate the contract.

In response to Council Member Rubalcava, Director Emami explained that the contract allows for renegotiation when changes in law increase the contractor’s costs. He stated that following the new waste requirements, the City engaged in an approximately 18-month negotiation process, including ride-alongs and a review of actual service costs, to determine the appropriate contract adjustment and secure the best possible rate for residents.

Council Member Rubalcava asked whether costs are expected to continue increasing as the new waste requirements are implemented Citywide and whether those increases would affect the Republic Services contract.

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Director Emami stated that the City does not anticipate further significant cost increases beyond standard CPI adjustments under the Republic contract. He explained that the major impacts from the waste hauler and County tipping fees have already occurred, with the remaining costs being phased in over five years. He noted that a new unfunded state mandate could result in additional costs.

In response to Council Member Rubalcava, Director Emami explained that evergreen contracts are normal for trash services. He stated that the Republic Services contract’s initial 13-year term followed by a seven-year notice period effectively provides a 20-year framework to allow Republic to recover its substantial upfront investment in collection and disposal infrastructure. He noted that the City retains enforcement mechanisms, including liquidated damages and performance improvement plans, and can require further improvements when necessary.

Council Member Rubalcava thanked staff for improved waste collection service but emphasized the need to continue monitoring performance, particularly as organic waste separation is implemented in District 3 and its potential impact on apartment complexes and residents. She expressed appreciation for continued Public Utilities investments in grid reliability and neighborhood technology, noting Anaheim’s preparedness for increased electrification. She acknowledged improvements in the Planning process and encouraged further efforts to streamline services for businesses, emphasizing that delays can have significant financial impacts.

Mayor Aitken inquired how many individuals have been outsourced for large projects like OCVIBE and DisneylandForward.

Director Allen reported that the DisneylandForward Enhanced Services Agreement authorized 15 positions across Planning, Building, Public Works, Development Services, and Fire. She noted that the positions are filled by experienced in-house staff, with recruitment underway to backfill their previous roles. She emphasized that OCVIBE does not have an enhanced services agreement and that the City’s goal is to provide the same quality and timeliness of service to all projects, regardless of size. She acknowledged ongoing recruitment challenges and vacancies.

In response to Mayor Aitken, Director Allen clarified that the DisneylandForward Development Agreement contemplated an Enhanced Services Agreement, while OCVIBE did not. She noted that OCVIBE does receive consistent service from dedicated staff assignments, such as the same building inspectors and planners, although those staff also work on other projects and are not exclusively assigned to OCVIBE.

Mayor Aitken requested an update on efforts to streamline service delivery for small and medium- sized businesses, including providing training for architects, planners, and business owners and assigning consistent inspection teams to avoid conflicting guidance from different inspectors. She inquired how these practices are being extended beyond OCVIBE to smaller businesses.

Director Allen stated that the City strives to provide consistent inspections and next-day service while recognizing that inspector availability can affect assignments. She added that staff is providing additional training to improve consistency among inspectors and ensure continuity when staff are unavailable. She noted that inspectors have different specialties and that the ongoing process evaluation may identify opportunities to further improve consistency by having the same inspector provide feedback when feasible.

Mayor Aitken asked whether the City provides businesses with an initial guide outlining the permitting process, required steps, and information for architects to help avoid conflicting guidance and project delays.

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Director Allen acknowledged that the process does not currently exist but identified it as a priority, noting the need for a liaison to help customers navigate complex processes and regulations.

Mayor Aitken emphasized the importance of educating both businesses owners and their professional teams about Anaheim’s processes and requirements at the outset to prevent issues later in the development process. She congratulated the Building Official on his first year with the City and asked staff to assess staffing needs in light of the increasing responsibilities and demands placed on Code Enforcement and related services.

Director Allen stated that Code Enforcement could benefit from several additional full-time officers, including staffing for a proactive commercial enforcement program, a strike team for vacant and abandoned properties, and additional personnel to conduct reinspections and ensure compliance.

She requested consideration for a dedicated attorney for Code Enforcement, noting that the department currently relies on contract legal support. She noted that the Building Division is adequately staffed if vacancies are filled, though additional needs may arise as recruitment challenges are addressed.

Mayor Aitken encouraged staff to continue communicating staffing needs, particularly for additional Code Enforcement officers and legal support. She emphasized the Department’s high volume of resident complaints and the importance of providing adequate resources to address those concerns, noting that Code Enforcement represents a small portion of the City’s overall budget.

In response to Council Member Rubalcava, Director Allen explained that the Department’s budget does not include allocations for attorneys. She stated that the City Attorney’s Office budget includes an allocation of Community Development Block Grant (CDBG) funds that covers the Planning Department’s contract attorney costs.

City Attorney Fabela stated that the requested legal support could be funded through CDBG funding and that bringing the function in-house could also allow the attorney to provide services to other areas of the City Attorney’s Office not funded through CDBG funds. He expressed interest in continuing the discussion.

Council Member Rubalcava supported bringing legal services in-house rather than relying on contracted services, citing efficiency and institutional knowledge. She emphasized the importance of adequately funding Planning, noting its significant impact on residents and businesses, and encouraged staff to identify funding opportunities in the current budget rather than delaying consideration.

Interim City Manager Garcia acknowledged the Council’s comments and stated that discussions are ongoing regarding staffing needs across Code Enforcement, Planning, and other departments. He explained that staff will continue evaluating opportunities to add positions and address needs through hiring decisions and supplemental budget adjustments throughout the year, even if changes are not included in the current budget.

In response to Council Member Rubalcava, Interim City Manager Garcia explained that departments developed their initial staffing plans beginning in January, but Code Enforcement staffing needs were identified and discussed subsequently. He stated that additional Code Enforcement officers and City Attorney resources could be addressed during the fiscal year as funding becomes available, subject to revenues, expenditures, and the City’s existing structural budget gap.

Council Member Rubalcava suggested scheduling future budget workshops separately from the budget adoption meeting to allow sufficient time for questions and discussion. She reiterated the need to consider additional Code Enforcement staffing, noting that the issue had been discussed City Council Minutes of June 23, 2026

previously and that available reserves could potentially support adding positions in the current budget.

Interim City Manager Garcia stated that he would work with Director Allen to develop a plan for additional Code Enforcement staffing and determine the appropriate staffing level and associated costs before presenting a request to Council.

Council Member Rubalcava emphasized the need to provide adequate resources and asked that the Department’s needs be prioritized.

Mayor Aitken encouraged staff to explore expanding staffing resources for the Planning Department.

Director of Economic Development Sergio Ramirez reported that the Economic Development Department aims to improve the Anaheim economy and bring forth revitalization and new investments. He explained that services include but were not limited to supporting the expansion of the City’s various economic engines, small businesses, and entrepreneurs; administering the Successor Agency to the former Anaheim Redevelopment Agency; improving business districts and commercial corridors, including revitalizing aging commercial centers through our Storefront Improvement Program; facilitating business investment through interdepartmental coordination, outreach, and collaboration; assisting the City with real estate negotiations and evaluations; and assisting with special projects and special initiatives identified by City management and City Council.

He stated that the Department’s staff consists of ten (10) full-time employees and no part-time staff.

Director Ramirez stated that the Department’s proposed budget is $41.6 million. He noted that nearly three-quarters of our budget is allocated to debt obligations of the former redevelopment agency and contractual obligations of the Successor Agency. He added that the total proposed budget represents

1.6% of the total Citywide budget, with the majority of budget revenues coming from the City’s Private Purpose Trust Fund. He stated that the allocations per program area remain relatively unchanged from prior years.

Director Ramirez reported that the budget, by expenditures, is comprised of 50% Debt Service, 6% for labor, and less than 1% for Capital Outlays. He explained that the remaining 44%, in large part, is comprised of special property-related costs such as parking garage management, maintenance of Successor Agency properties, and property carrying costs such as insurance and common-area charges. He added that only a small portion of the Operating budget is available for core economic development functions such as business recruitment and retention, and small business support.

Director Ramirez stated that the Department is proposing $2.5 million for administration and operational functions, including accounting, consultants, contract administration, and office overhead.

He explained that the functions provide the administrative foundation that supports all department programs, projects, and services.

Director Ramirez reported that the Business Development Division focuses on business attraction, retention, and expansion efforts while supporting entrepreneurs, coordinating with partner agencies, and helping businesses navigate City processes. He stated that the proposed budget for the Division was under $2 million.

Director Ramirez stated that the Property Development Division, with a proposed budget of $6.2 million, manages the Successor Agency properties that are being prepared for sale. He noted that the Division also manages the Successor Agency assets, including parking garages, plazas, and other properties. He explained that the Division encourages development of underutilized sites, identifies development opportunities, responds to investment inquiries, and helps streamline the development process through interdepartmental coordination.

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Director Ramirez noted that the Department also oversees the operations of the Successor Agency and manages the obligations under the State’s Recognized Obligation Payment Schedule process (ROPs). He explained that the Department prepares the required state reports with the assistance of the Finance Department and outside consultants. He reported that the proposed budget was $30.6 million, with $20 million allocated to Debt Service and nearly $10 million allocated to contractually obligated activities and operations.

Director Ramirez provided an overview of the Department’s highlights. He noted that over the past year, the Department has been focused on meeting the Council’s directive to deliver an Economic Development Strategic Plan. He shared that the process included robust stakeholder participation and engagement, adding that the Council adopted the Strategic Plan on June 9th. He stated that over the past year, the Department has facilitated business education programs, hosted community meetings and roundtables, participated in conferences and panels to market Anaheim opportunities, such as ICSC, or the International Conference of Shopping Centers, and worked directly with businesses and brokers to attract investment and fill vacancies throughout the City. He reported that in collaboration with Public Works, the Department kicked off the Commercial Corridor Clean Team Pilot Program through non-profit Chrysalis, which focuses on providing additional cleaning services to key commercial corridors in return for rent offset for the office building owned by the Successor Agency. He added that the Division also partnered with NAIOP for the evaluation of the Anaheim and Ball site to determine the highest and best use for the site. He shared that the Department is working with Public Works on a land swap and hopes to take the site out for RFP in the next year. He noted that in the Canyon, the property development team replaced monument signs that had been in place for over two decades. He stated that the signs have been refreshed and are beacons welcoming people to our city’s largest industrial innovation district, the Anaheim Canyon. He reported that three years ago, City Council provided staff with the directive to develop and launch a program aimed at assisting businesses and shopping centers with exterior renovations. He noted that as a result, the Storefront Improvement Program was created, which highlights that the City is partnering with the business community for the revitalization of the City. He stated that to date, 15 project sites have been completed, and a total of 218 businesses within those retail centers have benefited. He added that 21 other project sites are under construction or in the pipeline, with over 213 applicants that are on the waiting list. He displayed one of the Storefront Projects in District 6, which received a $100,000 grant for rehabilitation, including façade renovations, asphalt repair, and landscaping. He stated that the property owner leveraged the City’s grant and coupled it with their own private investment for a larger renovation of the entire center. He added that the center has secured a lease with Trader Joe’s, the first in the City, which will be opening later in the year.

Director Ramirez highlighted the 39 Commons project. He noted that over the past year, the Department has worked on obtaining the Local Enforcement Agency’s clearance for the next phase of the former landfill site. He noted that the next phase would include In-N-Out, Dutch Bros, Dave's Hot Chicken, and other retailers. He announced that a groundbreaking ceremony would be held on June 30th. He highlighted the new Porsche Project on Lincoln Avenue. He noted that the Department celebrated the groundbreaking ceremony with executives from Porsche, the Council, and the City team. He stated that the deal included a complex transaction, negotiation and settlement with an adjacent owner, relocation of a jet fuel line, and other issues.

Director of Housing and Community Development Grace Ruiz-Stepter announced that the Housing and Community Development Department’s proposed FY 2026/27 budget supports a safer, stronger, and more livable Anaheim through continued investment in housing programs, homelessness solutions, workforce initiatives, and neighborhood improvements. She noted that the Department manages a broad range of programs and funding resources that support Anaheim residents and neighborhoods. She reported that the Department’s core responsibilities include affordable housing development and preservation, rental assistance, homelessness response, workforce development, City Council Minutes of June 23, 2026

and the administration of federal, state, and local funding programs. She stated that the proposed budget supports 83 full-time employees and just under 6 part-time positions. She added that the staffing complement would remain unchanged in the upcoming fiscal year.

Director Ruiz-Stepter reported that the proposed FY 2026/27 budget totals approximately $234 million, representing about 9% of the City's overall budget. She noted that the majority of the funding, approximately $150 million, or 64%, is provided through the United States Department of Housing and Urban Development (HUD) and supports rental assistance and community development programs. She stated that the City’s General Fund contribution is approximately $14 million and primarily supports departmental staffing, homelessness outreach efforts, and operation of the Anaheim Emergency Shelter.

Director Ruiz-Stepter stated that the Department’s two largest funds are the Anaheim Housing Authority Fund, which supports rental assistance and affordable housing programs, and the Grants and Homeless Initiatives Fund, which supports homelessness services and community development activities. She reported that the largest portions of the budget are associated with direct housing assistance and project-related activities. She noted that labor costs account for approximately 7% of the Department’s overall budget.

Director Ruiz-Stepter reported that the Workforce Development Division continues to provide employment services, career training, employer engagement, youth services, and workforce readiness programs to Anaheim residents. She noted that the services are all funded by State allocations and grant funds.

Director Ruiz-Stepter highlighted the new Housing Downpayment Assistance section and highlighted the funding dedicated to the City's first-time homebuyer down payment assistance program. She reported that the Grants Management and Homeless Initiatives Division administers a wide range of federal and state grant programs. She provided examples of grants budgeted in this section, including the State allocation of the Homeless Assistance Prevention Program and our federal CDBG funds.

Director Ruiz-Stepter reported that the Anaheim Housing Authority recently celebrated its 50th anniversary and remains the Department's largest operational unit. She noted that the 12% increase in labor costs primarily reflects recently approved wage adjustments. She reported that the Administration Division provides overall leadership, fiscal oversight, and operational support for the Department. She explained that there were no significant changes in the area.

Director Ruiz-Stepter highlighted the Department’s broader role within the City organization. She stated that in addition to the Department’s direct service responsibilities, Housing and Community Development serves as a Citywide funding partner, securing and administering external resources that support priorities such as park improvements, Code Enforcement, and the Anaheim Fire Department's Advanced Provider Response Unit.

Director Ruiz-Stepter highlighted the Department’s accomplishments for major program areas. She noted that this year, the Department continued building out the Anaheim Housing Trust Fund and began delivering new programs to residents. She shared that the Department launched the My Anaheim Home Down Payment Assistance Program and the Stay Housed Anaheim Housing Stability Program, secured additional funding for the Trust Fund, and established a recurring revenue source expected to generate approximately $3 million annually. She explained that the results have been tangible, including the City’s first down payment assistance home purchase, approximately 15 additional households in the pipeline, and nearly 60 families assisted through Stay Housed Anaheim.

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Director Ruiz-Stepter reported that the Department continued to make significant progress in expanding affordable housing opportunities. She shared that a key accomplishment was the completion of the Azure Apartments, creating 89 new permanent supportive housing units for individuals exiting homelessness. She added that the Department continued advancing senior housing at Beach and Lincoln and housing for youth exiting foster care on State College Boulevard.

She noted that in addition to developing new housing, the City was preserving existing affordability through strategic acquisition and rehabilitation efforts. She shared that this year, the Department advanced a significant acquisition in the Avon-Dakota neighborhood that will support long-term affordability and neighborhood revitalization.

Director Ruiz-Stepter stated that this year, the Department continued to make progress in addressing homelessness by connecting individuals to shelter, housing, and supportive services while also responding to impacts in neighborhoods, parks, and other public spaces. She added that working closely with City departments, service providers, and regional partners, these efforts helped improve conditions in areas affected by homelessness and support a safer, more welcoming community.

Director Ruiz-Stepter noted that beyond housing and homelessness, the Department continued to strengthen workforce opportunities for Anaheim residents through employer engagement, workforce partnerships, and community outreach. She stated that this year, staff engaged more than 230 Anaheim businesses while also building stronger relationships with local labor organizations and apprenticeship programs. She shared that a key outcome of this work is a regional career expo planned for September 2026 at the Anaheim Convention Center, in partnership with Santa Ana and the County of Orange, focused on apprenticeships, skilled trades, and other high-quality career pathways.

Executive Director of Convention, Sports & Entertainment Tom Morton presented the Convention, Sports & Entertainment Department’s FY 2026/27 budget. He reported that the Department is an enterprise fund that is responsible for managing the day-to-day operations of the Anaheim Convention Center and administers the City’s agreements for Angel Stadium of Anaheim, Honda Center, the Grove of Anaheim, ARTIC, Visit Anaheim, and the Sportstown HomeOwners’ Association.

He reported that the Department budget includes 87 full-time employees, including one proposed increase, and 233 full-time equivalents. He explained that the 233 full-time equivalents represent an event-driven, part-time labor pool of approximately 543 employees, and almost 50% of all departmental employees are residents of Anaheim.

Executive Director Morton reported that the departmental operating budget totals over $96 million, making up almost 4% of the overall City budget. He stated that Convention Center Operations represent 74% of the Department’s overall budget. He added that Visit Anaheim, the City’s destination marketing organization, receives approximately 22% of the budget by pass-through funding from a self-assessment district of hotels in the Anaheim Resort and Platinum Triangle, also known as the ATID. He explained that the shown change in Visit Anaheim’s ATID funding was primarily attributable to the new Anaheim Housing Trust Fund, in support of the ATID area Workforce Housing Program. He stated that the two combined expenditures make up 96% of the Department’s overall budget. He displayed the operating budget by expenditure class. He explained that most all labor denoted was Convention Center labor, and all ‘Other Operating’ was primarily Visit Anaheim’s pass-through ATID funds.

Executive Director Morton stated that Convention Center Operations total $71 million, representing 74% of the Department’s overall budget. He explained that the increase in budgeted expenditures is primarily attributable to increased event activity and related operational costs. He noted that during the current fiscal year, the Convention Center successfully hosted several annual events, including the NAMM show, Natural Products Expo West, Medical Design & Manufacturing, Cal Dental, VidCon, City Council Minutes of June 23, 2026

and WonderCon. He added that the Convention Center hosted the Pokémon World Championships.

He stated that the upcoming fiscal year will include the return of annual events, including BlizzCon and D23, with more than one million attendees anticipated throughout the year. He noted that the Convention Center was recognized for the seventh straight year by Exhibitor magazine as a 2026 Venue of Excellence and awarded the Best Convention Center in the country with over 1 million square feet of exhibit space.

Executive Director Morton reported that Visit Anaheim, the City’s destination marketing organization, receives approximately 22% of the overall Department budget, via pass-through funds from the ATID.

He noted that key performance indicators in calendar year 2025 include 54 Citywide conventions booked, secured over 900,000 room nights, and had an economic impact of just over $2.3 billion.

Executive Director Morton reported that the Stadium Operations total proposed budget was $3.4 million. He noted that the Stadium hosted 2.7 million fans in 2025 compared to the 2.62 million fans in 2024. He shared that the City anticipates that attendance in 2026 would be 2.6 million.

Executive Director Morton stated that the Arena Operations total proposed budget was $609,000, which is comprised of labor allocations and overhead costs. He added that investment into the City- owned Honda Center, totaling over half a billion dollars, has begun. He congratulated the Anaheim Ducks on their recent Stanley Cup Playoff run into the second round. He noted that in the upcoming fiscal year, Honda Center projects to host 113 events, concerts, and shows, with an estimated attendance of over a million people.

Executive Director Morton reported that Grove Operations' total proposed budget was $14,000. He noted that the Department would receive a guarantee of $750,000 for upcoming shows in the upcoming fiscal year. He highlighted the different artists and comedians scheduled to perform.

Executive Director Morton stated that ARTIC Operations total over $230,000, mainly comprised of allocated overhead. He noted that in June, in partnership with OCTA and LA Metro, ARTIC would be providing point-to-point bus service to SoFi Stadium for the FIFA World Cup matches, and hosting a free World Cup Finals watch party on July 19th.

Executive Director Morton provided a brief Olympic update, noting that Anaheim’s Honda Center was slated to host LA28 Olympic men's and women's indoor volleyball every day from July 15 to July 30, 2028. He added that staff is also pursuing participation in the Olympic Torch Relay and hosting a live Olympic viewing site in the City. He added that the Council would need to consider agreements for the items, and to finalize the volleyball venue hosting costs to be reimbursed by LA28.

DISCUSSION: In response to Council Member Kurtz, Director Ramirez reported that without the Successor Agency funds, the Economic Development Department’s budget would decrease by 25%.

Council Member Kurtz inquired about the planned sale or potential trade of the approximately 8 to 9- acre Successor Agency property located at Anaheim Boulevard and Ball Road and requested information on its current valuation.

Director Ramirez stated that the property is valued at $30 million.

In response to Council Member Kurtz, Director Ramirez reported that the City’s portion would be 12%.

Council Member Kurtz inquired how the costs are billed for managing and preparing Successor Agency properties for sale.

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Director Ramirez explained that costs for managing and preparing Successor Agency properties for sale are included in the Long Range Property Management Plan budget but cannot be deducted from sale proceeds. He added that each taxing entity receives its respective share of the property’s sale value. He noted that property management costs are significant due to required fencing, security, and, in some cases, 24-hour security.

In response to Council Member Kurtz, Director Ramirez stated that property management is a large part of the Department’s budget due to fencing and 24-hour security on some properties.

Council Member Kurtz requested additional information on the management of the City’s parking garages.

Director Ramirez noted that the former Redevelopment Agency built five parking garages in District 3 as part of Project Area Alpha, which helped facilitate development in the Downtown/Center City area.

He stated that the garages require ongoing maintenance and operations, as well as funding to address deferred maintenance needs.

Council Member Meeks inquired if other individuals were in the process for the First-Time Homebuyer Down Payment Assistance Program.

Director Ruiz-Stepter reported strong interest in the homeownership program since the application portal opened in December, with several hundred families expressing interest. She identified at least 15 viable applicants, with another potential closing expected within 30–60 days. She noted that applicants vary in readiness, including needs related to down payment assistance, credit, and financial literacy.

Council Member Meeks noted that the homeownership program initially provided $50,000 in down payment assistance and expressed interest in monitoring whether that amount remains sufficient given housing costs. She asked staff to explain significant year-over-year increases in the proposed labor and operating budgets.

Director Ruiz-Stepter explained that the budget slide is new and is still being refined to accurately present Anaheim Trust Fund programs. She noted a significant increase primarily reflects a large infusion of down payment assistance funding and associated costs, including financial literacy services and marketing materials, rather than solely additional staffing. She added that the presentation of Trust Fund expenditures remains a work in progress.

Council Member Meeks requested additional information on the labor and operating budget components of the homeownership program, particularly the approximately $3 million in operating funds compared with the $50,000 assistance provided to each homebuyer. She requested additional information on how the funds are allocated, whether they will remain available for future applicants, and how the City can maximize the amount of funding directly benefiting residents and expanding homeownership opportunities.

Council Member Rubalcava asked whether there is any duplication between the workforce development programs offered by the Economic Development Department and those administered by the Housing and Community Development Department. She requested information on the amount of funding allocated to these programs and how the departments coordinate their workforce development efforts.

Director Ramirez clarified that the Economic Development Department’s budget includes limited funding specifically for workforce development. He noted that he participates on the Workforce Development Board and collaborates closely with the Housing and Community Development City Council Minutes of June 23, 2026

Department, including the Workforce Development Manager, to address business closures and other workforce needs.

In response to Council Member Rubalcava, Director Ruiz-Stepter explained that the Housing and Community Development Department’s Workforce Development program is a federally prescribed “one-stop shop” focused on preparing job seekers for employment and upskilling workers. She noted that while the program partners with businesses to connect residents with jobs, Economic Development primarily focuses on supporting businesses, expansion, and job creation. She emphasized that the two functions are complementary, working together to support both businesses and a prepared workforce.

Council Member Rubalcava noted potential overlap in workforce readiness programs and suggested that Economic Development focus its limited resources on attracting businesses, generating tax revenue, and creating jobs. She encouraged the Housing and Community Development Department to increase outreach and marketing of its workforce development services so residents seeking employment or job-readiness assistance know where to seek resources.

Director Ruiz-Stepter stated that the Housing and Community Development Department has attempted to increase its presence. She noted that the Department has resources available at all of the City libraries and information at all of the City’s community centers.

Council Member Rubalcava suggested outreach at youth programs and on social media.

Director Ruiz-Stepter noted that the Department conducts outreach at job fairs held at least four or five times a year. She confirmed that the Department can work with the Public Information Office about ongoing advertisement.

In response to Council Member Maahs, Director Ramirez explained that the Storefront Improvement Program slots can become available when selected businesses are unable to proceed, such as when a business drops out during the bidding process or a property is sold and the new owner chooses not to continue. He stated that the City works closely with businesses throughout the process and uses a waiting list to fill vacancies when slots open.

Council Member Maahs inquired if funding was still available in the program.

Director Ramirez explained that funding is still available; however, the funding would cease after the current year. He noted that staff anticipates requesting funding during the next budget cycle.

In response to Council Member Maahs, Director Ramirez reported that the City of Long Beach’s Economic Development Department has approximately 99 employees, and the City of Ontario’s Economic Development Department has approximately 50 employees. He clarified that workforce development was not part of the Long Beach Economic Development Department.

Council Member Maahs inquired if the Workforce Development Department has any programs available for older adults reentering the workforce.

Director Ruiz-Stepter explained that Workforce does not have a dedicated program for older adults; however, they have access to all of the Workforce Development programs offered.

Council Member Kurtz inquired if housing inspections are conducted by the Housing and Community Development Department or Code Enforcement.

Director Ruiz-Stepter explained that the housing inspections are conducted by contractors in accordance with HUD standards.

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Council Member Kurtz requested clarification regarding the down payment assistance program, emphasizing that the Anaheim Local Housing Trust and Resort Housing Trust funds must remain separate from the City’s regular General Fund budget. She noted that the Housing and Community Development Department administers both housing trusts.

Director Ruiz-Stepter clarified that the Resort Housing Trust is a subset of the broader Trust Fund program with its own funding parameters. She emphasized that the funds must be tracked separately, although they collectively comprise the City’s overall Trust Fund program.

In response to Council Member Kurtz, Director Ruiz-Stepter confirmed that the funding is separate from the General Fund. She clarified that the recurring ATID funding source must be used specifically for employees of ATID-assessed properties. She also confirmed that the Anaheim Housing Trust does not currently have a recurring source of funding.

Council Member Maahs commended the Housing and Community Development Department for its work overseeing rental assistance, first-time homebuyer programs, emergency shelter funding, affordable housing, transitional and permanent supportive housing, and efforts to increase the housing supply. She requested a future presentation on the state of homelessness in Anaheim.

Mayor Pro Tem Leon thanked the Housing and Community Development Department staff for their continued work addressing homelessness and requested an update on the Mexicasa property adjacent to the Kettle Motor Motel. He asked whether the City has identified other problem motels throughout Anaheim and whether there is a strategic plan to address or potentially acquire those properties, including motels along Lincoln Avenue in District 2.

Director Ruiz-Stepter stated that the City periodically obtains a list from the Police Department identifying motels with high calls for service to help identify potential acquisition opportunities. She explained that the City’s strategy is to prioritize properties where it can address nuisance conditions, improve the surrounding community, and develop affordable housing. She reported that continued acquisitions would depend largely on the availability of state and federal grant funding due to the high cost of acquiring some properties.

Mayor Pro Tem Leon requested that staff consider incorporating strategies for addressing problem motels into the City’s planning for funds once the LPMR bond funds have been paid off.

In response to Council Member Balius, Director Ruiz-Stepter stated that uncertainty remains about State and federal funding, although all Department programs remained funded at existing levels during the previous year. She noted that maintaining status quo funding can still result in reductions, particularly for rental assistance programs, but current programs remain secure while future funding remains uncertain.

Mayor Aitken thanked the Housing and Community Development Department’s staff for their assistance during the legislative session in advocating for Housing Assistance Program (HAP) funding. She highlighted the success of securing more than $900 million in funding, which would help preserve program beds, and expressed appreciation for staff’s ongoing support and timely information.

Mayor Pro Tem Leon thanked Convention, Sports & Entertainment staff for their work in accommodating the City’s large number of annual visitors. He requested an update on the City’s planning and preparations for the 2028 Olympic and Paralympic Games in Los Angeles.

Executive Director Morton stated that the City has been working with LA 28 for several years. He noted that later in the year, Council is expected to consider an Enhanced Cities Resource Master City Council Minutes of June 23, 2026

Agreement covering additional City costs associated with the Olympic and Paralympic events, as well as potential agreements for a torch relay and a fan festival/live site.

Mayor Pro Tem Leon requested an update on the timelines for contracts related to LA 28 and progress in preparation for the Olympics. He inquired about the estimated number of attendees or visitors the City expects due to the Olympics.

Executive Director Morton estimated that the volleyball events could generate at least 3,500 hotel room nights per night, potentially exceeding 5,000 during the opening period. He explained that with up to four events per day and capacities of approximately 18,000 attendees per event, staff anticipates roughly 80,000 visitors per day over a 15-day period.

In response to Mayor Pro Tem Leon, Executive Director Morton reported that the City’s largest trade show, Natural Products Expo, brings in an estimated 80,000 people. He added that the Olympics would bring in similar numbers for a few weeks.

Mayor Pro Tem Leon requested periodic updates on LA 28 planning and asked staff to identify any actions Council could take proactively, including outreach to representatives or assistance in resolving potential issues, given the anticipated significant increase in visitors to Anaheim.

Council Member Rubalcava emphasized that planning for the 2028 Games should prioritize minimizing impacts on Anaheim residents while accommodating the anticipated influx of visitors. She questioned the decrease in Visit Anaheim’s proposed budget to approximately $20.9 million and asked whether the reduction was related to the transfer of funds to the Housing Trust or another factor.

Executive Director Morton explained that the reduction was due to the Housing Trust Fund set-aside.

He noted that revenues have been consistent with previous years' revenues and that the Transient Occupancy Tax (TOT) component with the City was doing well.

In response to Council Member Rubalcava, Executive Director Morton reported that the Housing Trust receives 9% of the monthly gross revenue. He clarified that the ATID assessment is 2% of hotel room revenue, with 9% designed for housing.

Council Member Rubalcava questioned whether Visit Anaheim is effectively marketing the City and generating increased tourism and ATID revenue, noting that greater performance would result in increased funding returning to the organization. She inquired whether Visit Anaheim is meeting its obligations and whether the City is experiencing any performance concerns.

Executive Director Morton highlighted Visit Anaheim as a great partner for the Convention Center. He noted that the City is seeing great pace for Convention Center Citywide bookings and TOT.

In response to Council Member Rubalcava, Executive Director Morton stated that Visit Anaheim’s performance is supported by a combination of large conventions that drive room rates and occupancy and smaller conventions that help maintain consistent hotel demand. He noted that the ACC North expansion has allowed the City to accommodate overlapping conventions and that Visit Anaheim is booking events up to 10 years in advance. He added that more than 55 Citywide conventions were booked during the last calendar year, with 31 scheduled for the current year, contributing to record- setting convention activity. He stated that the Visit Anaheim budget was conservative and could increase based on actualized ATID revenues.

Council Member Rubalcava questioned why Visit Anaheim’s budget was decreasing despite the City’s tourism revenue and expressed the view that effective marketing should result in continued City Council Minutes of June 23, 2026

growth. She stated that Visit Anaheim’s performance and allocation of resources should continue to be monitored, particularly regarding activities such as workforce development that may fall outside its core tourism-marketing role.

In response to Council Member Rubalcava, Executive Director Morton explained that the Department is not subsidized by the General Fund. He noted that the Department is an enterprise fund that generates revenues to offset expenses. He noted that the Convention Center generates significant revenue from hosted events, estimated at approximately $30 million to $50 million annually, and indicated there were no additional concerns to report regarding the expense side.

Council Member Meeks inquired whether leisure-oriented conventions and events, such as Pokémon, WonderCon, and BlizzCon, generate benefits to the City comparable to traditional business conventions.

Executive Director Morton stated that leisure conventions such as WonderCon generate significant economic activity and hotel stays, although attendees may share rooms more often than business convention travelers. He noted that both leisure and business conventions provide substantial economic benefits to the City.

In response to Council Member Rubalcava, Executive Director Morton emphasized that the City’s tourism strategy considers the overall economic impact, with ATID revenue serving as a major component. He noted that consumer-oriented conventions benefit the Convention Center through rental revenue that helps offset expenses, while contributing to the broader tourism ecosystem.

At 5:16 P.M., the City Council took a brief recess and reconvened at 5:26 P.M.

INVOCATION: Pastor Ryan Cheung, Chinese Baptist Church of Orange County Mayor Pro Tem Leon reflected on the upcoming 250th Anniversary of the United States. He emphasized unity and shared experiences as the world celebrates the World Cup. He expressed appreciation for public safety personnel, service members, and others who help keep communities and the nation safe.

FLAG SALUTE: Mayor Pro Tem Carlos A. Leon
PRESENTATIONS: Recognizing The Quick Track Club, a group of 7 youth athletes who competed at the USATF Junior Olympic Cross Country Championships in Shelbyville, Indiana
Mayor Aitken recognized The Quick Track Club for their outstanding performances at the USA Track and Field Junior Olympic Cross Country Championships in Indiana. She noted that qualifying for the event was a significant achievement. She shared that Anaheim runners earned strong individual and team results, including Eleanor Ramos, National Champion in the 8 and under girls’ division; Taylor Sojourn, third in the 8 and under girls' division; Brooklynn Chiya, finishing 34th in the 8 and under girls division; Vida Ramos, finishing 7th in the 9-10 girls division; Olivia Weinraub, 80th out of 248 runners; Ella Haneishi, finishing 25th out of 300 in the 11-12 girls division; and Samuel Weinraub, finishing 3rd out of 368 athletes in the 11-12 boys division.

A Quick Track Club coach praised the Anaheim youth athletes for their exceptional national-level accomplishments, emphasizing the difficulty of becoming a champion at any level, particularly competing against the best athletes in the country. He highlighted the athletes’ dedication, work ethic, perseverance, and positive attitude, noting that their commitment and achievements inspire the City Council Minutes of June 23, 2026

community. He congratulated the athletes and their families and coaches for supporting them throughout their journey.

Recognizing Anaheim Public Utilities High School Scholarship Recipients Mayor Aitken recognized the 2026 Anaheim Public Utilities Scholarship recipients, highlighting the City’s scholarship program supporting outstanding high school seniors pursuing careers in science, technology, engineering, and mathematics (STEM). She reported that the program awards $6,000 to the first-place recipient, provides scholarship support to additional finalists, and offers recipients opportunities for paid internships with Anaheim Public Utilities through the City’s workforce development team. She recognized Eva Garcia of Anaheim High School, Halle Chan from Loara High School, George Colorado from Anaheim High School, and Sarah Kirby from Cambridge Virtual Academy. She also recognized Ngoc Nguyen from Katella High School, who could not attend. She noted that the internships provide students with firsthand experience in delivering reliable electricity and high-quality water services to the community.

ACCEPTANCE OF OTHER RECOGNITIONS (To be presented at a later date):

Recognizing June 19, 2026, as Juneteenth National Independence Day Recognizing June 20, 2026, as World Refugee Day
Recognizing June 14-20, 2026, as National Flag Week
At 5:40 P.M., Mayor Aitken called to order the Anaheim Housing Authority, in joint session with the City Council.

ADDITIONS/DELETIONS TO THE AGENDAS: City Clerk Theresa Bass reported that as noted on the agenda, staff requested to withdraw Item No. 20 from the agenda and announced that Public Hearing Item No. 24-L was withdrawn by staff.

PUBLIC COMMENTS (all agenda items, except public hearings): Prior to receipt of public comments, City Clerk Theresa Bass provided an outline of procedures for public comments, notice of translation services, and a brief decorum statement.

City Clerk Theresa Bass reported that a total of forty-four (44) public comments were received electronically prior to 1:00 P.M. [A final total of seventy-seven (77) public comments were received electronically, distributed to the City Council, and made part of the official records]. – See Appendix.

R. Joshua Collins expressed concerns regarding the City’s anti-camping policies, including reports of personal property being confiscated and not returned. He questioned the disposition of approximately 10,000 items reportedly not returned to individuals. He advocated for increased affordable housing for vulnerable populations, including seniors, families, people with disabilities, and individuals experiencing mental illness or homelessness. He called for increased police training related to homelessness and mental health, greater community involvement in police hiring, and additional measures to address alleged racial disparities in police stops and arrests. He referenced the death of Albert Arzola and urged the City to take corrective action, release relevant video or information, and address potential liability concerns.

Ben Hurst, Director of The Salvation Army’s Center of Hope in Anaheim, shared a success story of a former Anaheim resident who experienced homelessness for approximately 10 years before being connected to the City’s services and Anaheim Emergency Shelter. He noted that through shelter services, job placement assistance, and supportive care, the individual obtained employment, City Council Minutes of June 23, 2026

secured permanent housing, and transitioned to independent living. He highlighted the City’s investment in the Center of Hope and broader homeless response system, noting that 42 shelter residents were placed into permanent housing at the Azure Apartments in February. He stated that Anaheim’s approach to homelessness has received positive recognition from service providers nationwide and emphasized the significant impact of the City’s shelter and supportive services.

Miles Bernal shared his experience entering The Salvation Army Center of Hope while homeless and securing employment at Angel Stadium within two weeks. He shared that he has since obtained permanent housing at the Azure Apartments and now serves as president of a network focused on employment and development, helping others transition out of homelessness. He thanked the City Council for its continued support.

Christine Lopez called for greater transparency and accountability regarding his death. She questioned City spending and vacant properties, advocated for rent control and additional residential parking, and criticized the use of surveillance drones. She called for the release of complete, unedited footage related to Albert Arzola’s death and urged the City to hold the involved officers accountable.

Matthew Compton called for accountability regarding the death of Albert Arzola and urged the City to terminate the employment of the involved Anaheim Police Department officer. He cited a petition that had received more than 1,000 signatures, with a majority reportedly from Anaheim residents, and referenced several historical police-involved deaths in Anaheim. He criticized a lack of accountability and urged the City Council to take action.

Grace Arzola called for greater investment in Anaheim’s youth and community programs, particularly proactive summer activities and outreach in neighborhoods. She criticized the Anaheim Police Department's use of force and police practices, questioned the use of officer cameras and drones, and expressed concerns about community trust and police accountability. She urged the City prioritize prevention, youth engagement, and community-based solutions rather than punitive measures. She called for justice in the death of her nephew Albert Arzola.

Cecil Jordan Corkern urged increased security and screening measures at Disney properties, particularly if future development occurs, and requested assistance from City staff with organizing and typing the reports into the issues.

Ruben Greg Soto expressed concerns about being tested or challenged by others, stated that their First Amendment rights had been violated, and referenced their personal mental health history. He expressed frustration about not receiving adequate support from the government.

Mark Richard Daniels reflected on the upcoming 250th Anniversary of the United States and Anaheim’s upcoming 150th Anniversary of incorporation, emphasizing the importance of recognizing the country and City’s history despite ongoing challenges. He urged the community and City leaders to support residents facing hardship, particularly people experiencing homelessness, and called for greater compassion and outreach to those struggling in the community.

Anonymous (Card No. 7480) urged the City to address significant compensation disparities for Anaheim Convention Center duty managers. He explained that duty managers oversee large numbers of people, vendors, employees, security, emergencies, and facility operations, while serving as on-site backups to event managers and having authority to close the Convention Center in extreme situations. He stated that duty managers are the Convention Center’s lowest-paid employees at $22.84 per hour, have received no raise since 2016, and work part-time without benefits. He stated that duty managers' responsibilities have continued to increase while their compensation has not kept pace with the cost of living. He added that duty managers were excluded when other Convention City Council Minutes of June 23, 2026

Center employees joined a union and that their unanimous effort to join the union in 2024 was denied by the City.

Mazatl Tepehyolotzin thanked community members for participating in a recent neighborhood meeting and emphasized the importance of listening to residents, particularly families in Anaheim’s neighborhoods. He raised concerns about dangerous conditions along railroad tracks near Olive and Vermont, including pedestrian safety, needles, and children crossing the tracks, and advocated for a walking and bicycle trail with fencing. He called for additional community amenities, including skate parks and improved restrooms, and emphasized preserving neighborhood history and culture. He raised concerns about discrimination, substance abuse, domestic violence, and police interactions in the community, while advocating for neighborhood improvements and more drought-tolerant landscaping.

Sergio Pelayo expressed grief over the death of Albert Arzola and called for the release of his autopsy and information regarding the official cause of death. He questioned the circumstances surrounding the incident, particularly the alleged lack of body-camera footage and audio from the involved officer’s partner, and emphasized the trauma experienced by Albert’s 14-year-old cousin, who witnessed the shooting. He urged for greater transparency and accountability from the City and law enforcement.

Pearl Arzola reported that a petition has received 1,013 verified signatures supporting the release of unreleased body-camera footage, the full incident report, and an explanation for why the second officer’s body camera was not activated in the death of Albert Arzola. She criticized the City for a lack of transparency and urged the City Council to provide the requested information to the public. She questioned the Council’s relationship with the Anaheim Police Department and called for greater accountability to Anaheim residents.

Art Castillo raised concerns about alleged police misconduct, mistreatment of young people, and possible corruption based on experiences dating back to the 1970s and 1990s. He described a case involving a young student whom he believed was wrongly prosecuted and argued that some criminal cases should be expunged. He called for greater scrutiny and accountability of officers accused of misconduct. He offered to share additional information with the City Council about alleged problems and urged local businesses to become more involved in supporting Anaheim communities.

Tom Fielder raised concerns about PFAS contamination and drinking-water safety, particularly the potential impact on residents with compromised immune systems. He questioned whether the City adequately warned residents about PFAS exposure associated with Well 51, which they stated operated for 74 days before being taken offline. He criticized the City’s Annual Water Quality Report for not mentioning Well 51 and questioned why the information was not publicly disclosed. He called on the City Council to conduct an independent audit or investigation into the matter, determine who was responsible for the lack of disclosure, and provide greater transparency regarding residents’ exposure and water safety.

Marc Herbert criticized the City Council’s discussion of restoring the Angels' name, arguing that residents are more concerned with accountability, public safety, housing, and other community issues than team branding. He expressed concerns about the City’s history of stadium negotiations and alleged a continuing lack of transparency, including limited public access to commissions and boards, delayed accountability, and difficulties obtaining public records. He questioned whether the City has learned from past stadium-related controversies and whether residents should trust City Hall to negotiate another major development agreement. He urged the Council to prioritize residents’ concerns, including supporting the Arzola family.

City Council Minutes of June 23, 2026

Mike Robbins raised allegations of improper water treatment practices and called for an independent investigation. He claimed that a valve reopened in September 2025 and released organic material into the treatment process, causing brown water in Anaheim Hills, and alleged that staff continued operating the valve despite employee concerns. He added that additional chlorine increased trihalomethane (THM) levels and that excessive flushing was conducted before state compliance testing, potentially affecting water-quality sampling results. He criticized the omission of these events from the City’s water quality report and urged the City Council to investigate the allegations, release its findings publicly, and ensure the safety and transparency of Anaheim’s drinking water system.

Georgia Price stated that integrity and accountability must start with City leadership and expressed concern that employees who raise concerns or challenge questionable decisions are retaliated against, while those responsible for poor decisions may be rewarded. She criticized the City Council’s handling of alleged misconduct by a former city manager and argued that failing to address such issues contributes to a culture of insufficient accountability. She referenced ongoing concerns involving drinking water, Dig Alert violations, fireworks contamination, and other alleged cover-ups, urging the Council to demonstrate stronger leadership, transparency, and oversight.

Jeanine Robbins questioned the City’s oversight of professional services agreements and other contracts, arguing that simply posting contracts online does not ensure transparency or accountability. She called for greater scrutiny of whether contracts provide value, are appropriately awarded, meet their stated scopes, and deliver the promised results. She questioned the City’s use of Brown and Caldwell auditors at the Lenain Water Treatment Plant, particularly whether the audit adequately examines laboratory data, treatment operations, compliance practices, and alleged excessive flushing before water-quality testing. She urged stronger financial and operational oversight and concluded by calling for stricter police body-camera requirements and disciplinary action for officers who fail to keep cameras activated.

Stephanie Mercadante stated that family and close personal relationships between City Council members and municipal employees can create perceived pressure and influence over personnel decisions, even without direct authority. She expressed concern that employees may believe certain individuals receive preferential treatment or are protected because of their connections to City leadership. She urged the Council to recognize the impact of these relationships on employee morale, accountability, and public trust, emphasizing that consistent standards must apply regardless of an employee’s proximity to political power.

Dave Duran criticized the City’s financial management, stating that Anaheim faced budget deficits of approximately $60 million and $40 million over two consecutive years. He questioned increases for Executive Management that were not adequately presented or debated publicly and noted significant increases for Executive Management members. He questioned the City’s reliance on one-time funding sources to balance the budget and called for a long-term strategy to address the structural deficit. He raised additional concerns about the City’s purchasing-card program and approximately $10 million in employee purchases between 2023 and 2025.

Jack Williams, Public Affairs Specialist for the U.S. Small Business Administration, announced federally funded assistance for businesses and organizations affected by the May 21–29 hazmat incident in Orange County and surrounding declared counties. He explained that the programs offer economic injury disaster loans of up to $2 million for eligible small businesses, agricultural cooperatives, and nonprofits, with interest rates as low as 3.6% for nonprofits and 4% for businesses and terms of up to 30 years. He noted that businesses do not need to have suffered physical damage to qualify; losses from evacuations, reduced customer traffic, employee disruptions, or supply-chain impacts may also qualify. He stated that the application deadline is March 11, 2027. He added that the Small Business Administration is coordinating with Anaheim officials and plans to conduct City Council Minutes of June 23, 2026

outreach, workshops, and business-resource events, with assistance available through Business Recovery Centers and a Mobile Recovery Vehicle.

In response to Mayor Aitken, Mr. Williams shared that additional information is available by telephone at 1-800-659-2955, and on the Disaster Customer Service website. He emphasized that the application process is straightforward and that SBA representatives will remain in the community for the next several months to assist impacted residents and businesses.

Rosie Camacho expressed grief over the death of her son Albert Arzola and called for justice, transparency, and accountability. She thanked the Community Service Organization (CSO) for helping the family’s petition gather more than 1,000 signatures and thanked community members for their neighborhood support. She called for the release of all body-camera footage and the 911 call from the incident, questioning why a second officer’s body camera was not activated. She alleged harassment by the Police Department and expressed concern about how Anaheim police respond to young people experiencing mental-health crises. She advocated for a bike trail to support youth mental health and urged the City to take greater steps to protect and engage young people in the community.

COUNCIL COMMUNICATIONS:

Council Member Kurtz reported her attendance at a few events including a groundbreaking the Center Applied Research Innovation at The Salvation Army, a Police Foundation dinner for the Mounted Police efforts, a Flag Day celebration, a Senior Care 101 event held in collaboration with Council Member Maahs, and Anaheim’s Youth LA28 kick-off. She highlighted the District 4 community meeting and the turnout. She thanked Community Services and each of the City departments for participating and residents for attending the meeting. Council Member Kurtz shared that a cleanup was held in the Orange Olive neighborhood. She highlighted Public Utilities General Manager Dukku Lee and thanked AMEA and OCEA for bringing a hot dog wagon to feed the participants.

Council Member Maahs thanked the City departments that provided resources at the Senior Care 101 event. She shared that the event received positive feedback with hopes to hold another. Council Member Maahs highlighted the 50th Anniversary of the Sunkist Library. She noted that they hold a monthly senior art class. She thanked Director of Community Services Sjany Larson-Cash and Library staff for their work. She congratulated the Library for receiving an award from the American Library Association, in recognition of its public relations efforts and promoting different books and reading programs. She mentioned that the public can visit their local library branch and check out a State Parks Pass. She stated that the pass is valid for three weeks and the public can check out hiking gear at the library. Council Member Maahs reported that she was invited to a neighborhood cleanup by the Anaheim Rotary Club and thanked the Club for organizing the event. She shared that they have organized the event for over 13 years and thanked them for working with resident leaders.

She added that Code Enforcement, Neighborhood Services, and the Police Department joined the cleanup efforts. Council Member Maahs announced a cleanup on Saturday, June 27th at Edison Park from 9 a.m. to 10 a.m. She noted that supplies are available and encouraged attendees to wear closed-toe shoes. Council Member Maahs announced a Concert in the Park at Pioneer Park on Thursday, June 25th at 6:30 p.m. She noted that the concert would feature The Convertibles performing pop, rock, R&B, soul, and Motown music. Council Member Maahs shared that a Sensory with a Patch event, in collaboration with first responders, at Zion Lutheran Church from 10 a.m. to 2 p.m. She noted that the event builds on efforts initiated by Mayor Pro Tem Leon and is intended to strengthen relationships between the special needs community and public safety personnel. She added that the event would provide opportunities for participants to interact with first responders, access community resources, and enjoy activities.

City Council Minutes of June 23, 2026

Mayor Pro Tem Leon announced his attendance at the swearing-in ceremony for the newly elected officers of the American Legion Post 72, the Sons of the American Legion, and the Auxiliary Unit. He highlighted the importance of the events to support fellow veterans and preserve the legacy of military service and strengthen the community. He congratulated the officers and thanked the veterans for their service and continued leadership. Mayor Pro Tem Leon highlighted The Salvation Army’s Center for Applied Research and Innovation groundbreaking ceremony. He noted that the Center represents an important investment in expanding services and improving outcomes for individuals experiencing homelessness. He thanked The Salvation Army and the City’s partners for their leadership and dedication. Mayor Pro Tem Leon shared that he joined Anaheim students for the LA28’s Day of Sport. He noted the excitement surrounding the upcoming Olympics and thanked the Community Services Department for organizing the event. Mayor Pro Tem Leon announced that OCTA recently adopted their $2 billion budget. He noted that Anaheim is receiving significant investment in infrastructure and transit services, including freeway improvements, bus operations, senior mobility programs, safer transit stops, and traffic signal coordination throughout the City. He highlighted Project J, the State Route 91 Eastbound Corridor Project, to add a general-purpose lane between the 241 and the I-15. He noted that although the project is led by the Riverside County Transportation Commission (RCTC), it would improve traffic flow between the Orange County line and the 71. He noted that the project is an example of how the City continues working with regional partners, continued advocacy to address transportation and infrastructure concerns, and continued investment in bus service and mobility programs. Mayor Pro Tem Leon requested to adjourn the meeting in memory of Darnell (DJ) Jones. He shared that he was a kind and caring 10th-grade student at Magnolia High School. He highlighted his determination and resilience, particularly during a transition to Magnolia High School. He stated that outside of the classroom, DJ loved playing basketball and brought his passion to the Boys and Girls Club of Anaheim. He shared DJ’s excitement to join the basketball team and highlighted his respect and gentle nature toward classmates, teachers, Magnolia High School staff, and the community.

Council Member Balius announced a groundbreaking at 39 Commons on Tuesday, June 30th at 10 a.m. He invited the public to attend and highlighted the upcoming In-N-Out, Dave’s Hot Chicken, and Dutch Bros Coffee. He wished everyone a Happy Fourth of July and encouraged the public to celebrate safely.

Council Member Rubalcava introduced her office’s new Council Aide, Brianna Aranjo. She shared that she grew up in Anaheim and graduated from Anaheim High School in 2022. She added that Brianna’s parents immigrated from Jalisco and Zacatecas and highlighted her deep roots. Council Member Rubalcava highlighted students at Horace Mann Elementary School who approached her regarding a public safety concern at a crosswalk on Citron. She shared that the students gathered hundreds of signatures from students and neighbors regarding the crosswalk. She thanked the City’s Traffic Safety Division, including Traffic Engineer Rafael Cobian, and the Police Department for addressing the issue. She noted that she has received additional requests regarding other stop signs and requested blinking stop signs in the community. Council Member Rubalcava noted that the Flag Day ceremony took place in District 3 and thanked non-profit and local community leaders for organizing the event. She explained that it is not a City-led event; however, many Council Members and the Community Services Department sponsor the event. She highlighted the value the event has for students and residents to display pride in the County. Council Member Rubalcava noted that an essay contest is held as part of the Flag Day celebrations. She shared that District 3 Vibrant Minds Charter School student Nigel Bonnenberger, was the winner of the contest. Council Member Rubalcava highlighted the recipients of her District 3 scholarship program. She thanked Council Services Coordinator Starla Huerta and Police Lieutenant Steve Pena for reviewing the essay submissions and helping select the winners. She announced the winners: Emily Valdez, Noah Valenzuela, Jose Valle, Mariella Jones, and Valeria Gutierrez. Council Member Rubalcava thanked staff for attending the District 3 community meeting. She highlighted the new open house format, City Council Minutes of June 23, 2026

which allows residents to speak to each department and ask questions. Council Member Rubalcava requested to adjourn the meeting in memory of lifelong Anaheim resident and District 3 resident, Paul Samuel Hinojosa and expressed her condolences to his family.

Mayor Aitken thanked the Fire and Rescue Department for inviting her to meet the new peer support canine, Riley. She highlighted Riley’s role in providing comfort and support to firefighters and community members during stressful situations. She expressed her appreciation for Engineer Gillaspie for caring for Riley as part of the Department’s wellness and community outreach efforts.

Mayor Aitken shared that she attended the USA-Paraguay World Cup game. She highlighted OCTA and Metrolink for providing a bus service to SoFi Stadium. She expressed support for offering similar services for future events at SoFi Stadium. She thanked the Flag Day Committee for organizing the Flag Day event and the staff who assisted. Mayor Aitken highlighted the District Open Houses and thanked everyone in the community who attended. She thanked Code Enforcement for bringing a television to the District 5 meeting to watch the World Cup. Mayor Aitken announced that on Thursday, June 25, there would be a community wildfire meeting from 6 p.m. to 7:30 p.m. at the East Anaheim Community Center. She wished everyone a Happy Father’s Day. She acknowledged and expressed appreciation for fathers throughout the community and City organization, recognizing their support, dedication, and positive contributions to their families.

CITY MANAGER’S UPDATE:

Interim City Manager Greg Garcia announced that, as presented at the June 9, 2026 Council meeting, the City was taking a tougher stance on illegal fireworks. He noted increased patrols on the ground and in the air. He reported that citations have already been issued and staff are utilizing every tool to keep the community safe. He noted that signs have been installed at each City park prohibiting fireworks. He added that digital message boards have been deployed on the City’s roadways.

Residents could report illegal fireworks by calling 714-765-1900 or online on the City’s website.

Interim City Manager Garcia reported that safe and sane fireworks were the only fireworks allowed in the City. He explained the fireworks are permitted on July 4th between 10 a.m. and 10 p.m. He announced that nonprofits and high schools would be fundraising by selling safe and sane fireworks throughout the City beginning Sunday, June 28th, through Saturday, July 4th. He stated that stand locations are available on the City’s website. Interim City Manager Garcia encouraged the public to attend Anaheim’s Fourth of July celebration. He noted that the day would begin with the Firecracker 5K and 10K at 7 a.m., followed by the Yankee Doodle Dog Show at 9 a.m., and the Patriotic Parade at 1 p.m. He announced that the fireworks show would begin at 9 p.m. at Peralta Canyon Park. He stated that additional information on the event was available on the City’s website. Interim City Manager Garcia wished his youngest son a Happy 12th Birthday.

At 7:22 p.m. Mayor Aitken recessed the City Council to address the Anaheim Housing Authority agenda, and reconvened at 7:23 p.m.

CONSENT CALENDAR: At 7:23 p.m., the consent calendar was considered with Council Member Rubalcava pulling Item No. 18, Mayor Pro Tem Leon pulling Item Nos. 7 and 16, and Council Member Balius pulling Item No. 17.

MOTION: Council Member Balius moved to waive reading of the ordinances and resolution and adopt the balance of the consent calendar as presented, in accordance with reports, certifications, and recommendations furnished each City Council Member, seconded by Mayor Pro Tem Leon. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

City Council Minutes of June 23, 2026

3. Receive and file minutes of the Library Board meeting of May 11, 2026; the Public Utilities Board meeting of April 22, 2026; and the Sister City Commission meeting of April 27, 2026.

4. Receive and file the Budget, Investment, and Technology Commission's recommendation letter dated June 10, 2026 regarding the Fiscal Year 2026/27 Proposed Budget.

5. Ratify a certificate recognizing George J. Gilliam, Elena Gilliam, Dr. Cynthia Smith, and Creative Identity in recognition of Creative Identity’s 30th Anniversary of service to adults with intellectual and developmental disabilities; approve certificates recognizing the following:

Logan Ostaszewski, Antonella Villa, and Shane Wexelman, students from an Anaheim Ballet Studio who represented Anaheim in a Ballet Competition; Comunidad Madres Ponderosa for their contributions to their neighborhood; Leonardo Salazar for his accomplishments in Muay Thai; Servite High School’s Golf and Track and Field teams for their CIF Championships; Marie Antoineta Bueno in honor of her 100th Birthday; and Angie Beccia in honor of her 100th Birthday; and approve a proclamation recognizing Hot Car Awareness Day.

6. Receive and file, with the possibility of discussion, the list of Professional Services Agreements authorized by the City Manager for May 2026.

8. Determine that on the basis of the evidence submitted by Walt Disney Parks and Resorts U.S., Inc., that the property owner has complied in good faith with the terms and conditions of First Amended and Restated Development Agreement No. 96-01 for the 2025-2026 review period for The Disneyland Resort Project located in The Anaheim Resort.

9. Waive the sealed bid requirement of Council Policy 4.0 and approve an increase to the current master agreement with OCR Aviation, in the amount of $30,000 increasing the agreement from $50,000 to $80,000, for as needed airplane engine and airframe parts, components and labor for the Police Air Support Division.

10. Accept the bid from LC Action Police Supplies, in the amount of $220,700 plus applicable tax, for the purchase of rifles and associated parts for the Anaheim Police Department; and authorize the Purchasing Agent to issue Purchase Order No. 309-408629, in accordance with Invitation for Bid No. 9896.

11. Approve Purchase Order No. 515-408647 with Fujitec America, Inc., in an amount not to exceed $225,145.27 plus a 15% contingency, for the purchase and installation of replacement step chains for Escalators 7 and 8 at the Anaheim Convention Center; and authorize the Purchasing Agent, or designee, to execute all necessary contractual documents, in accordance with Axia Cooperative Contract No. 37457.

City Council Minutes of June 23, 2026

12. Approve Contract No.MA 106-499159 with R.J. Noble Company for the purchase of asphalt concrete and other paving materials for the Public Works Department, in the amount of $2,387,461 for an initial one-year term, with up to four optional one year renewals, for a cumulative amount of $11,937,305 plus applicable sales tax, quarterly indexed price adjustments based on the California Statewide Crude Oil Price Index and Consumer Price Index increases for non-indexed items/fees applicable to renewals, and a 15% contingency; and authorize the Purchasing Agent, or designee, to execute all contractual documents and to exercise the renewal options, in accordance with Invitation for Bid No. 9884.

13. Approve Amendment No. 3 to Cooperative Agreement No. MA-080-19010444 with the County of Orange for the Brookhurst Street Widening, Phase 2 Project, to update the Boundary Adjustment and Maintenance responsibilities of the Project area following completion of the Project; and authorize the Director of Public Works, or designee, to execute the amendment and any related documents and to take the necessary actions to implement and administer the agreement.

14. Approve the Service Agreement with Contemporary Services Corporation to provide contract Event Crowd Control services at the Anaheim Convention Center (ACC) to supplement the Convention Center’s existing labor force, in an amount not-to-exceed $350,000 per contract year, for a three year term with two additional one-year renewal terms (cumulative contract amount not-to-exceed $1,750,000, with a majority of the costs being reimbursed by the tenants or promoters of the ACC and with the City’s cost not to exceed $15,000 per contract year); authorize the Executive Director of the Convention, Sports & Entertainment Department to execute the agreement and any other related documents, including all actions necessary to implement and administer the Agreement; and approve additional expenditures not to exceed 20% of the contract amount for extra work not included in the Scope of Work.

15. Approve an Agreement with Emergency Ambulance Service, Inc., in an amount not to exceed $412,500, to provide on-call surge ambulance services to Anaheim Fire & Rescue for a five year term; and authorize the Fire Chief, or designees, to execute the agreement and related documents, including any cost-neutral amendments and to take the necessary actions to implement, fund, and administer the agreement.

19. RESOLUTION NO. 2026-066 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM approving a Cooperative Fire Protection Agreement with the California Department of Forestry and Fire Protection, and authorizing the Anaheim Fire Chief to execute the operating plan and any other documents required in connection with that agreement.

Authorize the Interim City Manager to execute the Cooperative Fire Programs Local Responsibility Area Wildland Protection Reimbursement Agreement (Agreement No. 3CA07795) with the California Department of Forestry and Fire Protection, in an amount not to exceed $202,660.10, for wildland fire protection for the term of July 1, 2026 to June 30, 2027.

City Council Minutes of June 23, 2026

20. Withdrawn by Staff - RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM authorizing the application to and participation in the Prohousing Designation Program through the California Department of Housing and Community Development [includes determination that the action is not subject to the California Environmental Quality Act pursuant to Section 15378(b)(5) of the CEQA Guidelines because it consists solely of an administrative action of the collection of information for the City’s authorization to submit an application to the State of California requesting a Prohousing Designation and will not result in any direct or indirect physical changes to the environment] (continued from the Council meeting of June 9, 2026, Agenda Item No. 17).

Item No. 20 was withdrawn by staff.

21. RESOLUTION NO 2026-067 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a Memorandum of Understanding establishing terms and conditions of employment for employees represented by Teamsters, Local 952 [effective March 2, 2026 through March 3, 2029].

22. Approve minutes of the City Council meeting of April 7, 2026.

BUSINESS CALENDAR:

7. Approve response to the 2025-2026 Orange County Grand Jury Report entitled “Connecting Orange County to LAX: Evaluating Transportation Options,” and authorize the Interim City Manager to execute a letter and forward the response to the Presiding Judge of the Orange County Superior Court and the Orange County Grand Jury, pursuant to California Penal Code Section 933(c).

DISCUSSION: Mayor Pro Tem Leon requested a clerical update to the response letter.

In response to Council Member Balius, Director of Public Works Rudy Emami stated that Anaheim supports improved regional transit connectivity between Orange County and Los Angeles County, including the potential benefits of the Southeast Gateway Line. He explained that the project was not addressed in the City’s formal response to the Grand Jury report because it is an LA Metro project located entirely within Los Angeles County, and the report made no findings or recommendations involving Anaheim. He emphasized Anaheim’s interest in developing a seamless regional transit network connecting Orange County with destinations throughout Southern California. He cited Metrolink improvements, the Link Union Station program, Anaheim AeroLink, and potential future connections to LAX as complementary efforts, and said Anaheim intends to work with OCTA and other regional agencies to improve transit connections to LAX.

MOTION: Council Member Balius moved to approve response to the 2025-2026 Orange County Grand Jury Report entitled “Connecting Orange County to LAX: Evaluating Transportation Options,” and authorize the Interim City Manager to execute a letter and forward the response to the Presiding Judge of the Orange County Superior Court and the Orange County Grand Jury, pursuant to California Penal Code Section 933(c), seconded by Mayor Pro Tem Leon. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

City Council Minutes of June 23, 2026

16. Approve the Sixth Amendment to the Agreement Regarding Homeless Shelter with The Salvation Army (TSA) for the continuation of shelter services, extending the term of the agreement for two years from July 1, 2026 to June 30, 2028 with an additional one-year option to expire on June 30, 2029; increase the maximum contract to an amount not to exceed $74,204,000, which includes additional authority of $25,400,000 to reimburse TSA for services rendered from July 1, 2026, to June 30, 2029; and authorize the City Manager, or designee, to execute the Amendment, and to execute subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place provided they are approved by the City Attorney’s Office and do not increase the total maximum reimbursement amount payable to TSA.

Director of Housing and Community Development Grace Ruiz-Stepter reported that if approved, the item would extend the term of the Agreement with The Salvation Army for an additional two years to June 30, 2028 with a one-year optional extension and increase the maximum contract amount to $74,200,000. She added that the action would include authority to reimburse The Salvation Army $25 million for services rendered from the period of July 1, 2026 through June 30, 2029. She stated that Anaheim Emergency Shelter is a critical part of Anaheim’s homeless system of care, providing a bridge between street outreach and permanent housing. She noted that since opening in 2019, The Salvation Army has been a valued partner to the City, helping individuals experiencing homelessness access shelter services and pathways to housing. She explained that the proposed extension allows the City to continue the partnership and maintain a coordinated response that supports both individuals in need and the broader community.

Director Ruiz-Stepter stated that since opening in 2019, the Anaheim Emergency Shelter has provided far more than a safe place to stay. She reported that the shelter has served nearly 1,900 individuals and provided more than 690,000 nights of lodging and over half a million meals through intensive case management and coordinated services. She noted that hundreds of individuals have secured employment and transitioned to permanent housing. She explained that the outcomes reflect the important role the shelter plays in the Anaheim homeless system of care, helping individuals move from crisis towards stability and self-sufficiency.

Director Ruiz-Stepter reported that the Anaheim Emergency Shelter operates through a coordinated referral process system and is not a walk-in facility. She added that on average approximately two individuals enter the shelter each day through referrals from street outreach teams, law enforcement, and other community partners. She noted that because the shelter is funded by the City, admissions priority is given to individuals with established ties to Anaheim, helping ensure resources primarily benefit Anaheim residents and those connected to the community. She provided data for the shelter for the last three years. She explained that the numbers illustrate both the demand for shelter and the complexity of the population being served. She reported that the shelter remained more than 95% occupied during that time, serving over 1,600 individuals during the reporting period. She stated that many guests entered the shelter after experiencing homelessness for a year or more, and a significant number had been homeless for more than two years. She noted that despite those challenges, nearly 280 individuals were able to move from shelter into permanent housing.

Director Ruiz-Stepter shared that the Anaheim Emergency Shelter is much more than a place to sleep. She explained that The Salvation Army provides substantive case management, housing navigation, workforce support, and a range of supportive services designed to help individuals regain stability during the three-year reporting period. She reported that the Anaheim Emergency Shelter staff conducted more than 8,000 case management sessions. She noted that the services are what transform the shelter from a temporary refuge into a pathway to long-term stability. She explained that while the emergency shelter provides immediate safety and stability, the immediate goal is reintegration into the community and permanent housing. She reported that in the past year, 84 City Council Minutes of June 23, 2026

shelter guests have moved into permanent housing, including 41 residents who have moved into the recently completed Azure Apartments. She referenced a previous public commenter who is an example of how shelter case management, employment support, and housing navigation can work together to help someone move from homelessness back into stable housing and community life.

She explained that his story is one that demonstrates the impact of the program.

Director Ruiz-Stepter noted that when the shelter was established, the vision extended beyond emergency shelter beds to a comprehensive campus that could support individuals on a pathway from homelessness to community reintegration. She reported that today, the campus includes 72 permanent supportive housing apartments and most recently, the groundbreaking of the Center for Applied Research and Innovation (CARI). She added that The Salvation Army continues to implement a robust good neighbor policy that includes 24-hour security, neighborhood outreach, and coordination with City staff and public safety partners. She announced that as a result of those efforts, calls for services in and around the campus have declined by 34% since July 2025. She stated that the groundbreaking of CARI represents the next phase of investment in the Emergency Shelter. She noted that while the Emergency Shelter provides immediate safety and stability, CARI would expand the services available to help guests successfully transition back into the community.

She added that more than 75% of the building would be dedicated to guest services, such as case management and health services.

Director Ruiz-Stepter reported that the proposed Sixth Amendment reflects the evolution of Anaheim’s homeless system of care and represents the first reduction in General Fund support for the Anaheim Emergency Shelter since the facility opened in 2019. She stated that the need for emergency shelter remains significant; however, several factors support a gradual reduction in funding over the proposed three-year term. She added that since February 2026, the average shelter occupancy has stabilized at approximately 275 guests per night below historic peak utilization levels.

She noted that at the same time, Anaheim has expanded permanent supportive housing opportunities, including the Azure Apartments, and created additional pathways from shelters to transition into housing and reduce pressure on shelter capacity. She added that the proposed amendment recognizes ongoing efforts to improve the effectiveness of the shelter system. She reported that the City and The Salvation Army are exploring expanded stabilization, recovery, and substance abuse treatment services that may help individuals address barriers to housing more quickly and reduce the length of time spent in the shelter. She stated that staff are recommending a phase reduction of funding from $9.2 million in year one to $8.5 million in year two and $7.7 million in year three. She explained that the approach preserves Anaheim’s Emergency Shelter capacity while aligning resources with current utilization trends, expanding housing opportunities, and a service model increasingly focusing on housing outcomes and long-term stability.

Director Ruiz-Stepter recognized that the Anaheim Emergency Shelter has become much more than a shelter. She explained that it serves as a critical gateway to housing services, employment, and long-term stability for individuals seeking to exit homelessness. She noted that the proposed amendment allows the City to continue the important partnership while responsibly reducing General Fund support.

DISCUSSION: Mayor Pro Tem Leon inquired whether the two-year contract term and potential extension were intended to allow the City to evaluate the expanded stabilization, recovery, and substance-use treatment services before committing to a longer-term arrangement.

Director Ruiz-Stepter stated that the City regularly meets with the Salvation Army to evaluate shelter residents and discuss the potential transition toward more substance-use treatment beds. She reported that CARI would provide additional information on ways to shorten shelter stays, while expanded affordable housing and other efforts are also contributing to a decline in the shelter City Council Minutes of June 23, 2026

population. She acknowledged that Anaheim will likely always need some level of emergency shelter but said the City is trending toward a point where it may be possible to reduce, though not eliminate, shelter capacity.

Mayor Pro Tem Leon expressed support for the item and appreciation for the work of The Salvation Army and City staff. He noted that the City is setting the standard for different partnerships and addressing concerns within the City. He noted that the presentation is beneficial for the public in response to homelessness within the City. He highlighted the improvements in the City’s response to homelessness throughout the City and positive responses from the community to the City’s work.

MOTION: Mayor Pro Tem Leon moved to approve the Sixth Amendment to the Agreement Regarding Homeless Shelter with The Salvation Army (TSA) for the continuation of shelter services, extending the term of the agreement for two years from July 1, 2026 to June 30, 2028 with an additional one- year option to expire on June 30, 2029; increase the maximum contract to an amount not to exceed $74,204,000, which includes additional authority of $25,400,000 to reimburse TSA for services rendered from July 1, 2026, to June 30, 2029; and authorize the City Manager, or designee, to execute the Amendment, and to execute subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place provided they are approved by the City Attorney’s Office and do not increase the total maximum reimbursement amount payable to TSA.

DISCUSSION: Council Member Maahs acknowledged Deputy Director of Housing and Community Development Sandra Lozeau, who helped her assist someone to enter The Salvation Army. She explained that the individual did not have the proper documentation due to their Anaheim connection; however, Deputy Director Lozeau was able to assist. She inquired about the status of a direct line for individuals seeking assistance.

Director Ruiz-Stepter thanked Council Member Maahs for the recognition of Deputy Director Lozeau and her management of the City’s homeless system of care. She stated that the staff is working closely with the Anaheim Police Department on a central dispatch system and expects it to be available in the fall, around September or October. She added that the groundwork for the system is already underway.

Council Member Maahs shared the success story of an individual who overcame challenges with alcohol and drug use, entered the shelter program, and ultimately regained his sense of purpose, self-respect, and independence. She stated that he now works for one of Anaheim’s largest employers and recently returned from a work trip to Ireland. She emphasized that there is always hope and thanked staff for their work in changing lives.

MOTION: Mayor Pro Tem Leon moved to approve the Sixth Amendment to the Agreement Regarding Homeless Shelter with The Salvation Army (TSA) for the continuation of shelter services, extending the term of the agreement for two years from July 1, 2026 to June 30, 2028 with an additional one- year option to expire on June 30, 2029; increase the maximum contract to an amount not to exceed $74,204,000, which includes additional authority of $25,400,000 to reimburse TSA for services rendered from July 1, 2026, to June 30, 2029; and authorize the City Manager, or designee, to execute the Amendment, and to execute subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place provided they are approved by the City Attorney’s Office and do not increase the total maximum reimbursement amount payable to TSA, seconded by Council Member Maahs. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

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17. Approve the Fifth Amendment to Agreement with Lyons Security Service, Inc. for Emergency Shelter Security at The Salvation Army (TSA) Anaheim Emergency Shelter (AES) located at 1455 S. Salvation Place and surrounding area extending the term of the Agreement by two years from July 1, 2026 to June 30, 2028 with an additional one-year option; increase the maximum contract authority by $5,112,815.68; authorize the Housing and Community Development Director, or designee, to execute the Amendment, as well as any subsequent amendments or documents necessary for the continuation or clarification of security services at TSA AES and surrounding area, provided they are approved by the City Attorney’s Office and do not increase the maximum contract authority payable to Lyons Security.

DISCUSSION: Council Member Balius questioned why the contract had not undergone a competitive bid process, noting that the question was raised the year prior.

Director Ruiz-Stepter explained that the City inherited the contract, which was established alongside the shelter’s security contract. She acknowledged the issue had been raised the previous year but said the contract was not put out for an RFP because the Council had not specifically directed staff to do so. She indicated that if the Council wants the contract competitively bid, they can proceed in that direction.

In response to Council Member Balius, Interim City Manager Garcia stated that the current contract is for three years but allows the City to terminate without cause. He identified two options: begin an RFP process now or wait for the citywide security RFP planned for next year and potentially combine the contracts to achieve economies of scale. He agreed that the contract should be reviewed given the length of time since it was last competitively evaluated.

Council Member Balius supported combining the contract with the upcoming Citywide Security Services Request for Proposal (RFP) and inquired whether the current item needed to be placed on a future agenda.

Interim City Manager Garcia explained that the Council can include the request with approval of the item.

Council Member Balius expressed his support to include the request to include the services with the Citywide RFP along with approval of the item.

MOTION: Council Member Balius moved to approve the Fifth Amendment to Agreement with Lyons Security Service, Inc. for Emergency Shelter Security at The Salvation Army (TSA) Anaheim Emergency Shelter (AES) located at 1455 S. Salvation Place and surrounding area extending the term of the Agreement by two years from July 1, 2026 to June 30, 2028 with an additional one-year option; increase the maximum contract authority by $5,112,815.68; authorize the Housing and Community Development Director, or designee, to execute the Amendment, as well as any subsequent amendments or documents necessary for the continuation or clarification of security services at TSA AES and surrounding area, provided they are approved by the City Attorney’s Office and do not increase the maximum contract authority payable to Lyons Security, including direction that the agreement be included as part of the Citywide Security Services Request for Proposals (RFP) when it is released, seconded by Council Member Kurtz.

DISCUSSION: City Attorney Fabela clarified that the motion includes approval of the staff recommendation with direction to begin the RFP process within the next year concurrent with the Citywide contract.

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Interim City Manager Garcia noted that the Citywide contract expires in 2028, with the RFP process beginning in 2027.

In response to Mayor Aitken, Director Ruiz-Stepter clarified that the contract term is two years with an optional renewal.

Interim City Manager Garcia explained that if the contract was approved, the optional renewal may not be needed if the services are included with the Citywide RFP. He noted that Lyons has been a strong partner and done an excellent job mitigating impacts in the area. He explained that the recommendation reflects the City’s commitment to protecting the surrounding community and businesses.

Council Member Balius stated that the contract appeared reasonable but emphasized that certain contracts should be competitively bid approximately every five years, and the contract was one that should undergo that process.

MOTION: Council Member Balius moved to approve the Fifth Amendment to Agreement with Lyons Security Service, Inc. for Emergency Shelter Security at The Salvation Army (TSA) Anaheim Emergency Shelter (AES) located at 1455 S. Salvation Place and surrounding area extending the term of the Agreement by two years from July 1, 2026 to June 30, 2028 with an additional one-year option; increase the maximum contract authority by $5,112,815.68; authorize the Housing and Community Development Director, or designee, to execute the Amendment, as well as any subsequent amendments or documents necessary for the continuation or clarification of security services at TSA AES and surrounding area, provided they are approved by the City Attorney’s Office and do not increase the maximum contract authority payable to Lyons Security, including direction that the agreement be included as part of the Citywide Security Services Request for Proposals (RFP) when it is released, seconded by Council Member Kurtz. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

18. Approve the Memorandum of Understanding (MOU) with the County of Orange and the City of Garden Grove for School Mobile Assessment Resource Team (SMART); accept funding, in the amount of $305,732, under the Juvenile Justice Crime Prevention Act; and authorize the Chief of Police, or designee, to execute the MOU and all required documents and take the necessary actions to implement required documents.

Police Department Lieutenant Stephen Pena reported that the Juvenile Justice Crime Prevention Act has allocated funding for a program in Orange County known as the North School Mobile Assessment and Resource Team (SMART), which allows participation of multiple law enforcement agencies in the northern region of Orange County to combat threats of violence and violent crimes committed on, near, or impacting school campuses and communities.

DISCUSSION: Council Member Rubalcava requested an example of a situation where the grant may have assisted.

Lieutenant Pena explained that the SMART team responds to and investigates threats against schools, including threats received through social media or campus rumors. He noted that investigators are available 24/7 and may remain involved for multiple days until a threat is fully resolved.

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In response to Council Member Rubalcava, Lieutenant Pena confirmed that the SMART team has responded to several swatting incidents throughout the school year, including one that occurred that day. He added that investigators coordinate with multiple jurisdictions, including federal authorities, to identify and track down swatting callers, who are often located out of state.

Council Member Rubalcava requested clarification on whether the funds were related to a grant and if the program intends to harm or inflict negativity upon the students in the City.

Lieutenant Pena confirmed that the program was not intended to harm or inflict negativity upon the students in the City.

Council Member Rubalcava highlighted the SMART team’s role in enhancing school safety and asked staff to describe Anaheim PD’s youth engagement initiatives. She emphasized the Department’s commitment to protecting and serving youth and noted their participation in community events throughout Anaheim, including on Pauline Street, Glen Neighbors, and Balsam.

Lieutenant Pena explained that the Anaheim Police Department (PD) has nine school resource officers serving 15 high school and junior high campuses, where officers engage with students during school activities and provide presentations on issues such as e-bikes and vaping. He added that the Department also has a Youth Engagement Team, led by Youth Engagement Specialist Carmela Mendoza, which partners with schools, nonprofits, and city departments to connect officers with youth in neighborhoods and at community events. He highlighted programs such as Fun on Wheels, as well as partnerships with Neutral Ground, Project Youth, and Orange County Probation on diversion and crime-prevention efforts. He noted that the goal is to intervene early and address underlying issues before youth become involved in crime.

Council Member Rubalcava praised Anaheim PD’s youth engagement efforts, particularly its partnerships with organizations such as Neutral Ground amid increased gang activity in the district.

She shared an example of a 14-year-old father in continuation school who has had prior law- enforcement contact and has benefited from positive interactions with APD officers through the Fun on Wheels program. She emphasized the importance of early, positive intervention to prevent at-risk youth from joining gangs or otherwise going off track, and highlighted APD’s investment in community outreach and its increasingly diverse, representative police force.

MOTION: Council Member Rubalcava moved to approve the Memorandum of Understanding (MOU) with the County of Orange and the City of Garden Grove for School Mobile Assessment Resource Team (SMART); accept funding, in the amount of $305,732, under the Juvenile Justice Crime Prevention Act; and authorize the Chief of Police, or designee, to execute the MOU and all required documents and take the necessary actions to implement required documents.

DISCUSSION: Council Member Maahs acknowledged the SMART team for preventing a potential school shooting during the past year, noting that law enforcement often receives little recognition for incidents they successfully prevent. She thanked the SMART team, School Resource Officers, and Carmela Mendoza for their work and emphasized the importance of building strong connections with youth early on.

Chief of Police Manuel Cid added that, given the influence of social media on youth, the SMART team and Lieutenant Pena’s group proactively monitor and vet concerning information shared online.

He explained that their efforts are intended to identify potential threats early and prevent incidents before they occur.

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Council Member Rubalcava thanked APD for participating in the City’s mental health and wellness initiatives and school resource drives, emphasizing the importance of addressing bullying and supporting youth mental health. She expressed interest in strengthening anti-bullying initiatives through greater collaboration between the City and local schools.

MOTION: Council Member Rubalcava moved to approve the Memorandum of Understanding (MOU) with the County of Orange and the City of Garden Grove for School Mobile Assessment Resource Team (SMART); accept funding, in the amount of $305,732, under the Juvenile Justice Crime Prevention Act; and authorize the Chief of Police, or designee, to execute the MOU and all required documents and take the necessary actions to implement required documents, seconded by Mayor Pro Tem Leon. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

23. Consider appointments to fill two (2) scheduled vacancies, terms ending June 30, 2030, on the Library Board.

Library Board:

APPOINTMENT: Billie Joe Wright (term ending June 30, 2030) APPOINTMENT: Jessica Chesebro (term ending June 30, 2030) NOMINATION: Council Member Maahs nominated Billie Joe Wright and Council Member Meeks nominated Jessica Chesebro.

DISCUSSION: Council Member Rubalcava expressed support for the nomination of District 3 resident, Billie Joe Wright.

NOMINATION: Council Member Maahs nominated Billie Joe Wright and Council Member Meeks nominated Jessica Chesebro. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Nominations approved.

City Clerk Theresa Bass confirmed that the appointees would be contacted by the City Clerk’s Office, provided the Boards and Commission handbook, and connected with the Board’s liaison. She added that as part of the application process, staff notifies the applicants that they would be included on the nomination list.

PUBLIC HEARING:

24. Public hearing to consider the Fiscal Year 2026/27 Budget and budget appropriations limits for the City and its Community Facilities Districts, and changes in various fee schedules.

A. RESOLUTION NO. 2026-068 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Fiscal Year 2026/27 Budget.

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B. RESOLUTION NO. 2026-069 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the annual appropriations limit for the Fiscal Year 2026/27.

RESOLUTION NO. 2026-070 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 06-2 (Stadium Lofts) annual appropriations limit for the Fiscal Year 2026/27.

RESOLUTION NO. 2026-071 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 08-1 (Platinum Triangle) annual appropriations limit for the Fiscal Year 2026/27.

C. RESOLUTION NO. 2026-072 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a schedule of fees for services rendered by the Office of the City Clerk [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

D. RESOLUTION NO. 2026-073 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing fees to be charged for Community Services Department programs and services [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

E. RESOLUTION NO. 2026-074 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the schedule of rates, fees and charges for rental of space, parking and for certain labor, equipment and services at the Anaheim Convention Center effective July 1, 2026 [includes determination that the action is exempt from the California Environmental Quality Act, pursuant to Section 21080(b)(8) of the Public Resources Code and California Code of Regulations Section 15273].

F. RESOLUTION NO. 2026-075 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing paramedic fees in connection with emergency medical services to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2025-057 [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

RESOLUTION NO. 2026-076 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing Life Safety Division fees to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2025-056 [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

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RESOLUTION NO. 2026-077 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM relating to fees and penalties in connection with implementing the Unified Hazardous Waste and Hazardous Material Management Regulatory Program Act and rescinding Resolution No. 2025-058 [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code and California Code of Regulations Section 15273].

G. RESOLUTION NO. 2026-078 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a new schedule of fees, charges and rates for building, construction, and National Pollutant Discharge Elimination System (NPDES) permits, services and activities [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the California Public Resources Code].

RESOLUTION NO. 2026-079 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for the Community Preservation & Licensing Division of the City of Anaheim [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the California Public Resources Code].

RESOLUTION NO. 2026-080 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for planning, zoning, and environmental petitions, applications, permits, approvals, appeals and inspections [includes determination that the action is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the California Public Resources Code].

H. RESOLUTION NO. 2026-081 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the schedule of fees to be charged for certain services provided by the Anaheim Police Department.

I. RESOLUTION NO. 2026-082 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a schedule of fines for false alarms pursuant to Section 4.95.120 of Title 4 of the Anaheim Municipal Code.

J. RESOLUTION NO. 2026-083 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting new fee schedules for the Public Works Department of the City of Anaheim.

K. RESOLUTION NO. 2026-084 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a revised schedule of sanitation fees for wastewater and solid waste and rescinding Resolution Number 2025-063 and determining such actions are exempt from the California Environmental Quality Act pursuant to Public Resources Code Section 21080(b)(8) and Guideline Section 15273 (a).

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L. Withdrawn by Staff - RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the Sewer Impact and Improvement Fees for the Central Area of the City of Anaheim and determining such actions are exempt from the California Environmental Quality Act pursuant to Public Resources Code Section 21080(b)(8) and Guideline Section 15273 (a).

Item No. 24-L was withdrawn by staff.

Interim City Manager Garcia introduced the public hearing on the proposed FY 2026/27 City budget, fee changes, and budget appropriations limits, noting that the process included two budget workshops, six neighborhood meetings, and extensive staff preparation. He stated that the proposed budget includes a structural General Fund gap of more than $42 million, which would be addressed through remaining Hilton parking structure sale proceeds and a draw on General Fund reserves. He noted that the forecast does not account for expiring labor agreements, potential additional costs, or an economic contraction. He explained that the planned retirement of the LPMR bonds near the end of the fiscal year is expected to return more than $120 million in annual revenue to the General Fund.

He stated that approximately half could address the existing structural deficit, while the remainder could support enhanced services, reserve replenishment, community improvements, and debt repayment. He emphasized the need for fiscal restraint and said a future strategic-plan workshop would help establish priorities and funding considerations for a balanced and sustainable budget.

Director of Finance Deborah Moreno presented the proposed FY 2026/27 budget, totaling approximately $2.6 billion in Citywide expenditures. She added that Enterprise funds account for 38% of the budget from restricted sources, while the General Fund represents 22% and contains most unrestricted funding. She reported the Five-Year General Fund forecast projects an operating deficit of approximately $42.3 million, increasing to nearly $45 million after recently approved adjustments, including the proposed labor agreement with the American Federation of State, County, and Municipal Employees (AFSCME) and $500,000 for improvements at the West Anaheim police substation. She stated that the deficit would be addressed through one-time funding, including remaining Hilton parking structure sale proceeds, reserves, and the anticipated spring 2027 payoff of LPMR bonds. She noted that General Fund reserves are estimated at about 11% of expenditures, within current policy levels.

Director Moreno emphasized that, while the City is approaching a stronger financial position following the bond payoff, continued attention is needed to responsibly prioritize reserves, debt repayment, service enhancements, and capital improvements. She reported that the proposed budget also includes annual appropriations limits for the City and two Community Facilities Districts, along with fee changes. She noted that the appropriations for Community Facilities Districts are required under the California Constitution and are calculated using the prior year's limit, adjusted for factors including City population growth and California per-capita personal income growth.

Director Moreno presented proposed changes to City fees. She reported that proposed increases for General Fund user fees are approximately 3%, covering services provided by Community Services, Fire and Rescue, Planning and Building, Public Works, Police, and the City Clerk. Staff said market conditions or comparable fees could justify adjustments above or below 3%. She noted that Anaheim Convention Center fees are structured around the goal of recovering operating expenses, including overhead, through charges to facility users. She added that rates are intended to be fair and equitable and generally consistent with comparable convention venues. She reported that Public Works is proposing a 5% increase in solid waste collection fees to address increasing operating costs and contractual payments to the City's waste hauler and the county landfill system. She added that a 5% increase for wastewater collection and disposal services are proposed to help cover operating City Council Minutes of June 23, 2026

and maintenance costs, regulatory compliance requirements, and ongoing debt-service obligations.

DISCUSSION: Mayor Aitken noted that Item 24-L was withdrawn by staff.

In response to Mayor Pro Tem Leon, Director Moreno clarified that the majority of the budget adjustment reflects Citywide costs associated with the recently approved AFSCME agreement, which was approved June 9 and therefore was not included in the original proposed budget. She added that the remaining $500,000 is designated for improvements to the West Anaheim Police Substation.

Council Member Rubalcava requested clarification on why the proposed budget and timelines for the Wildland Hand Crew Program and Fire Station 13 had not been adjusted following questions raised at the June 9th budget workshop. She expressed concern that the timelines appeared longer than previously discussed, particularly for the hand crew program. She suggested beginning recruitment and training of full-time technicians sooner, rather than waiting until FY 2027/28, and asked Chief Russell to explain the rationale behind the proposed timeline.

Director Moreno explained that the Wildland Hand Crew Program timeline is primarily driven by staffing and recruitment needs, including hiring a new captain and allowing time to evaluate the program before recruiting additional personnel. She stated that there would not be an immediate cost associated with the delayed timeline, but if recruitment and implementation can be accelerated, the City would return to Council with a budget adjustment to move the program forward sooner.

Council Member Rubalcava expressed concern that the Wildland Hand Crew Program was not scheduled to begin until FY 2027/28. She urged staff to move the timeline forward to FY 2026/27 to begin planning, preparation, and recruitment.

Interim City Manager Garcia explained that the Wildland Hand Crew Program timeline was developed by the Fire Department and that the City supported moving forward with the concept. He stated that the original schedule contemplated using some funding during the current fiscal year to begin preparatory work, with additional positions added sooner if the department could accelerate implementation. He noted that some planning and program development needed to occur first and deferred to Chief Russell f to explain the timeline in greater detail.

In response to Council Member Rubalcava, Fire Chief Patrick Russell explained that the Wildland Hand Crew Program is expected to begin with a captain position around mid-year, who will handle recruitment, HR processes, hourly wage setup, and other program preparations. He noted that the Department plans to initially hire 10 hand crew technicians, provide training, and deploy them for weed-abatement work. He reported that an additional 10 members could be added later as the program develops. He stated that the long-term goal is for the crew to become fire-suppression trained and qualified, allowing them to assist Anaheim during fires and potentially support neighboring agencies on a cost-recovery basis. He added that the Department also plans to begin ordering vehicles in July, with temporary vehicle options available while the appropriate equipment is being procured. He emphasized that implementation will depend largely on how quickly recruitment, training, equipment, and other preparations can be completed.

Council Member Rubalcava inquired why the hand crew positions were scheduled for FY 2027/28, expressing concern that waiting could mean missing two fire seasons before the City has personnel available for fire prevention. She asked whether the program could be implemented sooner and whether the 10 positions should instead be added to the FY 2026/27 budget, emphasizing the value of investing in the hand crew as soon as possible.

Chief Russell stated that the Department would prefer to reach full staffing as quickly as funding City Council Minutes of June 23, 2026

allows. He noted that the first priority is hiring and training 10 crew members to begin weed abatement, which would have a significant impact. He explained that expanding the crew to 20 members would increase its capacity and allow it to function as a fire-suppression unit to assist with Anaheim fires.

In response to Council Member Rubalcava, Chief Russell explained that the City could potentially hire all 20 hand crew members by mid-year of FY 2026/27, provided funding is available and it is determined to be appropriate. He reported that the Department is exploring ways to combine recruitment with its existing Ambulance Operator (AO) recruitment process, since some qualifications and requirements would be similar. He added that based on the strong applicant pool for the AO program, approximately 300 candidates, recruiting 20 hand crew members could be feasible rather than limiting the initial hiring to 10.

Council Member Rubalcava requested that staff move the Wildland Hand Crew Program timeline into FY 2026/27, specifically to add the 10 positions to the current budget. She explained that the estimated $973,000 cost was justified because the program could begin providing wildfire prevention and weed abatement services sooner, and noted that the program was expected to eventually become cost-neutral. She raised concerns about the timeline for the Fire Station 13 project in District

3. She stated that the City had already acquired the property for approximately $1.4 million, but the proposed schedule appeared to delay significant site improvements or preparation for several years.

She questioned why the timeline was so far out and asked the Chief Russell whether any work could begin during the current budget cycle so residents could see progress toward developing the property into a functioning fire station.

Chief Russell explained that the next steps for Fire Station 13 would include funding architectural plans, surveying, soil testing, and other preliminary work. He reported that based on the timelines for Station 12 and the former relocation of Station 5, completing this work would take approximately eight months to one year. He stated that the next phase would depend on the City's funding priority for station construction, followed by funding and recruiting firefighters to staff the facility. He added that the Department would coordinate firefighter recruitment and the 12-week academy so personnel are ready when the station becomes operational. He noted that the City has already secured a place in the production line for a new fire apparatus, recognizing that fire equipment can take years to manufacture. He reported that the City would not be required to pay for the apparatus until delivery.

The expected equipment timeline is approximately three years, although existing reserve apparatus could be used if the station moves forward sooner.

In response to Council Member Rubalcava, Interim City Manager Garcia stated that he would meet with Chief Russell to reassess the timeline for Fire Station 13. He noted that the upcoming strategic- plan discussions would address the station as a priority project, including its timing and financing. He committed to developing a more specific schedule and identifying preliminary work that could potentially be completed during the current fiscal year, then bringing the project forward as part of the Strategic Plan discussion.

Council Member Rubalcava advocated for starting Fire Station 13 improvements sooner rather than back-loading the entire project, suggesting that work could be completed incrementally and costs spread over time. She noted that the City has not yet determined how the future LPMR bond revenue will ultimately be allocated and argued that, given the uncertainty, it would be preferable to begin necessary work as soon as possible rather than delay the project.

Council Member Kurtz supported moving forward with the Wildland Hand Crew Program without unnecessary delays but emphasized the importance of developing it properly. She asked staff to consider the time needed to hire a captain, develop the crew’s responsibilities and operational City Council Minutes of June 23, 2026

guidelines, establish training requirements, and determine how the crew will be deployed. She recommended evaluating potential federal and State funding opportunities related to fire suppression.

She asked that all of these factors be incorporated into the timeline discussion so the City establishes a comprehensive program rather than simply hiring personnel without a clear operational plan.

Interim City Manager Garcia agreed to review the Wildland Hand Crew Program timeline and reiterated that if the department can develop the program faster than anticipated, staff will return to Council during the mid-year budget process to request funding for the positions and bring the crew onboard as soon as possible.

At 8:22 p.m., Mayor Aitken opened the public hearing.

Marc Herbert criticized the City Council for not addressing issues he previously raised during budget workshops and requested follow-up responses. He questioned Anaheim’s progress toward its 9,100- unit state housing target, noting that only 367 units had been completed by the mid-year point. He also questioned why Anaheim received no funding through the State’s California Affordable Housing and Sustainable Communities program, which distributed approximately $4 billion over 10 years and leveraged additional funding for affordable housing. He raised concerns about City overtime, particularly police and fire staffing. He cited vacancies among police and fire dispatchers that had previously been covered through overtime and questioned whether those positions had since been filled. He also questioned the number of police officers attending City Council meetings, suggesting that overtime costs could be reduced by keeping officers on patrol rather than assigning them to Council meetings. He asked the Council to provide answers to these concerns at the hearing.

A total of fifteen (15) public comments were received electronically related to Public Hearing Item No.

24. [A final total of twenty-one (21) public comments were received electronically, distributed to the City Council, and made part of the official records]. – See Appendix.

At 8:26 p.m., Mayor Aitken closed the public hearing.

Council Member Kurtz requested clarification on the proposed Public Works fee increases, noting that Council Members had received numerous emails from residents expressing concerns. She asked staff to explain the increases so residents would understand that the fees were intended to offset higher costs from the County and other external increases, rather than generate additional revenue for the City's General Fund.

Director of Public Works Rudy Emami explained that the proposed 5% Public Works fee increase is primarily intended to offset higher costs imposed by the County and contractual increases from the City's waste hauler. He noted that the City is absorbing part of the County's new fees and is spreading the County's three-year increase over five years to lessen the impact on residents. He reported that the remaining increase reflects the contractually required Consumer Price Index (CPI) adjustment for the City's waste-hauling contractor.

Council Member Kurtz thanked staff for clarifying that the Public Works fee increases are not discretionary increases imposed solely by the department but are largely intended to account for higher County fees and contractual cost increases.

Council Member Meeks expressed support for implementing the wildfire hand crew as soon as possible, while acknowledging the time needed for hiring and program development. She suggested adding the program during the mid-year budget process to give the Fire Department an opportunity to accelerate implementation. She requested clarification on whether increasing the City’s reserve policy City Council Minutes of June 23, 2026

from 10% to 20-25% would require separate Council action or should instead be addressed as part of the upcoming Strategic Plan and financial-strategy discussions.

Interim City Manager Garcia stated that the reserve policy will be addressed as part of the upcoming Strategic Plan discussion, including determining the appropriate reserve level, how the City would reach that target, and how quickly it should be achieved. He explained that the current reserve range of approximately 7% to 11% is established by Council policy. He reported that increasing the target toward 20% would require Council to adopt a new resolution changing the existing policy. He stated that during the Strategic Plan discussion, staff would provide numbers and strategies for a reserve policy.

In response to Mayor Aitken, Director Moreno reported that the Government Finance Officers Association (GFOA) recommends maintaining at least two months of operating reserves, or approximately 17%. She stated that because the City no longer has some reserves it has historically relied on, such as funds borrowed from its internal service fund, that 17% benchmark is particularly important. She noted that a recent ratings report from Fitch identified the City’s reliance on the Resort area as a risk and indicated that reserves should be increased accordingly. She confirmed that 25% would be a safe level and not exorbitant.

Council Member Balius thanked staff for their work preparing the annual budget and asked about the increase in the projected operating surplus, noting that it had risen from $42.3 million to $44.8 million over the previous few weeks.

Director Moreno explained that the increase was due to adjustments from the AFSCME agreement and the West Anaheim Police Substation improvements.

In response to Council Member Balius, Director Moreno stated that unanticipated expenses would be for labor contracts and direction based on Strategic Plan conversations.

Council Member Balius expressed enthusiasm about the upcoming Strategic Plan updates and the opportunity to identify priorities for potential use of additional funding. He cautioned that the projected $58.8 million surplus may not materialize at that level and noted that even a reduced $40 million surplus may not go far when considering the City’s strategic priorities. He emphasized the importance of remaining realistic about available funding.

Mayor Aitken asked Director Moreno whether, if fiscal conditions allow, the City could responsibly increase Code Enforcement staffing and fill vacant Planning positions during the current budget year, potentially before the mid-year budget review.

Director Moreno advised that the mid-year budget review would be the appropriate time. She recommended a bigger picture plan rather than individual actions.

In response to Mayor Pro Tem Leon, Budget Supervisor D’Anne Lee explained that the appropriations limit is recalculated annually based on the prior year’s limit, with adjustments for cost- of-living and population changes provided by the California Department of Finance. She reported that the appropriations limit traces back to its original establishment when a district is formed and is adjusted annually based on population changes and growth in personal income. She noted that the appropriations limit was reviewed annually by the City’s external auditors.

Mayor Pro Tem Leon thanked City staff for their work developing the budget and emphasized public safety as a core priority, highlighting investments in police and fire services and upgrades to the West Anaheim substation. He noted continued investments in housing, community services, infrastructure, City Council Minutes of June 23, 2026

transportation, parks, and neighborhood improvements, including streetlights, undergrounding projects, storm-drain infrastructure, and the La Palma Storm Drain project. He emphasized neighborhood quality of life as a top priority and expressed support for services benefiting seniors, youth, working families, and residents experiencing homelessness. He expressed support for the budget and looked forward to future Strategic Plan discussions and opportunities to further improve services for Anaheim residents.

Council Member Meeks thanked staff and noted that the City is fortunate to approve a budget that adds services while many other cities are making cuts. She credited financial investments and strategies implemented over the past 30 years for putting Anaheim in this position and emphasized the need to carefully invest current revenues while planning for long-term revenue growth.

MOTION: Council Member Meeks moved to approve Resolution Nos. 2026-068 through 2026-084 identified in Item Nos. 24-A through 24-K, seconded by Mayor Pro Tem Leon. ROLL CALL VOTE:

AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

25. Public Hearing to consider a resolution confirming the diagram and assessment and providing for the levy of the annual assessment in and for The Anaheim Resort Maintenance District for Fiscal Year 2026/27.

RESOLUTION NO. 2026-085 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM confirming the diagram and assessment and providing for the levy of the annual assessment in and for the Anaheim Resort Maintenance District.

Director of Public Works Rudy Emami reported that the public hearing concerned the annual levy of assessments for the Anaheim Resort Maintenance District for FY 2026/27. He stated that the City Council initiated the levy proceedings on May 12, 2026, by accepting the assessment engineer’s report and scheduling the public hearing. He explained that the Anaheim Resort Maintenance District was created to ensure the high level of care needed to maintain a distinctive and festive destination.

Director Emami reported that the Anaheim Resort Maintenance District is approximately 2.2 square miles and was formed July 1, 1999 by the City Council, based upon a vote by the property owners in the Anaheim Resort. He stated that the assessment rate for FY 2026/27 was recommended to increase 4% in conformance with the allowable increase of 3% in the Consumer Price Index from January to January of the previous calendar year, plus a catch-up factor of 1%, 98% of the maximum allowable rate. He explained that the assessment would generate $6.5 million to be deposited into the Anaheim Resort Maintenance District Fund.

Director Emami stated that the District has dedicated Public Works staff to oversee the operations and maintenance contracts 24/7, 365 days a year. He stated that the Five-Year Resort Improvement Program addresses replacement needs of landscape and hardscape within the District. He shared that projects included in the next year’s proposed budget are sidewalk replacement, updating landscape designs, replanting parkways, and continuing to update and replace existing irrigation to be more efficient and conserve water.

At 8:47 p.m., Mayor Aitken opened the public hearing.

City Council Minutes of June 23, 2026

Marc Herbert raised concerns about the accuracy of the Anaheim Resort Maintenance District assessment methodology, particularly the use of average daily trips and front footage. He requested an audit and questioned how the Wyndham Hotel’s additional, allegedly unauthorized rooms may have affected its assessments over the past 27 years. He also questioned how the additional rooms went undetected for so long, whether City departments properly communicated information about the property, and whether the assessment records have been corrected. He asked for greater transparency regarding the hotel’s historical payments and how the issue was discovered, and expressed concern that limited public interaction may have contributed to the issue going unnoticed.

City Clerk Theresa Bass reported that no electronic public comments were received related to Public Hearing Item No. 25.

At 8:51 p.m., Mayor Aitken closed the public hearing.

DISCUSSION: In response to Council Member Rubalcava, Director Emami confirmed that the levy was a self-assessment by the hoteliers in the Resort District for enhanced maintenance. He reported that the assessment is conducted annually following confirmation by the Engineer’s Report.

Council Member Rubalcava requested clarification on potential increases due to inflation.

Director Emami explained that the assessment can be increased annually by CPI, but the City chose not to apply increases during the more difficult COVID years due to reduced visitation. He reported that a catch-up provision allows the City to recover those deferred increases when conditions improve. He noted that additional increases were applied over the past two years and that the current proposal includes another 1% catch-up increase.

In response to Council Member Rubalcava, Director Emami confirmed that the assessments are audited to verify frontages and other assessment information, particularly in light of changes associated with the DisneylandForward project. He noted that the review goes beyond the annual assessment Engineer’s Report.

Council Member Rubalcava emphasized that the assessment revenues are public funds and should be subject to auditing and transparency. She noted that the funds are placed in a dedicated fund and can only be used for purposes benefiting the participating hoteliers and maintaining the Resort area, rather than being redirected to the General Fund or unrelated priorities such as affordable housing.

Director Emami confirmed that the assessments are public funds and any other uses would require a new vote by the assessed properties.

MOTION: Council Member Meeks moved to approve RESOLUTION NO. 2026-085 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM confirming the diagram and assessment and providing for the levy of the annual assessment in and for the Anaheim Resort Maintenance District, seconded by Council Member Kurtz. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Leon, Balius, Rubalcava, Kurtz, Maahs, and Meeks); NOES – 0. Motion carried.

PUBLIC COMMENTS (non-agenda items): None
City Council Minutes of June 23, 2026

COUNCIL AGENDA SETTING:

Council Member Kurtz requested that staff prepare a report regarding a biking and walking path along Olive Street south of Vermont to be shared with the community.

Mayor Pro Tem Leon requested to meet with staff to discuss next steps to include the Little Arabia Business Improvement District as part of the City’s Economic Development Strategic Plan.

Council Member Maahs requested to meet with staff regarding backyard beekeeping practices. She shared that a resident approached her about the benefits of backyard beekeeping. She requested an evaluation of policies from surrounding cities and their potential negative impacts.

Mayor Aitken requested to include an evaluation of the City’s regulations regarding backyard chickens, including the current limits allowed under the Municipal Code and a comparison of other cities.

Council Member Rubalcava requested an informational update regarding the City’s efforts to enforce the State’s rent control laws in Anaheim.

ADJOURNMENT: With no further business before the Council, Mayor Aitken adjourned the City Council, in memory of Darnell Jones and Paul Samuel Hinojosa, at 8:57 p.m.

Respectfully submitted,
Theresa Bass, CMC
City Clerk