ANNOTATED AGENDA
Antioch City Council
SPECIAL MEETING/BUDGET STUDY SESSION
Date: Tuesday, May 20, 2025
Time: 5:30 P.M. – Special Meeting/Budget Study Session
Place: Nick Rodriguez Community Center
213 ‘F’ Street
Antioch, CA 94509
PLEASE TURN OFF CELL PHONES BEFORE ENTERING COUNCIL CHAMBERS.
Ron Bernal, Mayor Melissa Rhodes, City Clerk
Louie Rocha, Mayor Pro Tem (District 2) Jorge R. Rojas, City Treasurer Tamisha Torres-Walker, Council Member District 1
Donald P. Freitas, Council Member District 3 Bessie Marie Scott, City Manager Monica E. Wilson, Council Member District 4 Derek Cole, Interim City Attorney
ACCESSIBILITY: In accordance with the Americans with Disabilities Act and California law, it is the policy of the City of Antioch to offer its public programs, services and meetings in a manner that is readily accessible to everyone, including individuals with disabiliti es. If you are a person with a disability and require information or materials in an appropriate alternative format; or if you require any other accommodation, please contact the ADA Coordinator at the number or address below at least 72 hours prior to the meeting or when you desire to receive services. Advance notification within this guideline will enable the City to make reasonable arrangements to ensure accessibility. The City’s ADA Coordinator can be reached @ Phone: (925) 779-6950, and e-mail: [email protected].
ANTIOCH CITY COUNCIL -1- MAY 20, 2025
Notice of Opportunity to Address Council
The City Council can only take action on items that are listed on this agenda. The public has the opportunity to address the Council on each agenda item. To address the Council, fill out a Speaker Request form and place in the Speaker Card Tray near the City Clerk before the meeting begins. Please identify the specific agenda item number you would like to speak on. Speakers will be notified shortly before they are called to speak. When you are called to speak, please limit your comments to the time allotted (up to 3 minutes, at the discretion of the Mayor). The Speaker Request forms are located at the entrance of the Council Chambers. No one may speak more than once on an agenda item.
5:33 P.M. ROLL CALL – SPECIAL MEETING/BUDGET STUDY SESSION – for Council Members – Council Members District 1 Torres-Walker, District 3
Freitas, District 4 Wilson, and Mayor Bernal
[Mayor Pro Tem (District 2) Rocha – Absent]
PLEDGE OF ALLEGIANCE
BUDGET STUDY SESSION
1. FISCAL YEAR 2025-27 BUDGET DEVELOPMENT – GENERAL FUND Direction provided to staff requesting additional information Recommended Action: It is recommended that the City Council provide feedback and direction regarding the budget development information provided for the Fiscal Year 2025-27 Budget.
MOTION TO ADJOURN – The Mayor will make a motion to adjourn the Special Meeting. A second motion is required, and then a majority vote is required to adjourn the Special Meeting.
Adjourned Special Meeting at 7:50 p.m.
SM-1 Agenda Item #
STAFF REPORT TO THE CITY COUNCIL
DATE: Special Meeting of May 20, 2025
TO: Honorable Mayor and Members of the City Council
SUBMITTED BY: Dawn Merchant, Finance Director
APPROVED BY: Bessie Marie Scott, City Manager
SUBJECT: Fiscal Year 2025-27 General Fund Budget Development
RECOMMENDED ACTION
It is recommended that the City Council provide feedback and direction on the General Fund budget models presented.
FISCAL IMPACT
Each model provides the fiscal impact of the proposals.
DISCUSSION
City Council has requested that several budget models be provided for consideration and discussion. The City Manager is requesting City Council to consider the five models provided and direct staff which elements to incorporate into a final draft for Council to evaluate for adoption.
The City Manager and Finance Director are recommending that the City Council adopt a one-year budget that would amend FY25 and adopt FY26. This will allow staff to pursue thoughtful and vetted long term alternatives to revenues, programs and services to better build a sustainable budget. If this is amenable, the proposed FY27 budget will be a baseline to begin further evaluation. Another one-year budget would then be adopted in June 2026, with a goal to adopt a two-year budget in 2027 for the 2027-29 fiscal years.
MODEL 1: This is the baseline model initially presented to City Council that incorporated $8.7M in reductions in FY26 and $9.5M in FY27. Further refinements were made, resulting in $10.4M in total reductions in FY26 and $11.2M in FY27- refer to page 10 for the full list of reductions.
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 2
The additional reductions to the baseline Model 1 were as follows:
Cost Savings
Department Mitigation Impact FY26 FY27
Finance Freezing one (1)
Business License
Representative position
Business License
processing may take
longer, other Finance staff
will need to assist with
workload.
$141,940 $146,492
Finance Freezing one (1)
Accounting Specialist II
position
This position assists with
accounting, payables and
some payroll. Other
Finance staff will need to
assist with workload.
$161,260 $172,424
Public Works Re-allocated an
Engineering Technician in
Public Works to the Water
and Sewer Funds
This position will assist in
the development of
Capital Improvement
projects and the drafting
engineering specification,
documents and staff
reports.
$103,057 $114,932
Community
Development
Savings from removing
one (1) Code
Enforcement Officer
(CEO) position and
adding two new
promotional levels for
CEO’s in Community
Development
The Code Enforcement
Division needs more
supervisory levels and
leadership opportunities.
Making gradients in levels
will assist with cross-
training, onboarding, and
succession planning
within the division.
$82,925 $95,250
City Manager Remove second Assistant
City Manager position
request
Due to the citywide
staffing shortages, and the
need for policy briefing,
metrics, and evaluation,
as well as strategic
planning and project
management staff, a
second Assistant City
Manager position that will
be dedicated to the
executive office would
increase the bandwidth
and shorten the
turnaround time needed
for briefings, white papers,
special project
implementation and policy
support necessary for the
City. Without more help,
the City Manager’s Office
remains short-staffed
which has city-wide
implications for service
delivery.
$440,465 $452,543
(Continued next page)
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 3
Model 1 continued:
Cost Savings
Department Mitigation Impact FY26 FY27
City Manager Remove Part-time help The Office of the City Manager will no longer
have part-time assistance
when needed for special
projects and additional
work that full-time staff
cannot cover. Removing
part-time staff has city-
wide implications for
faster service delivery.
$26,302 $27,159
City Manager Adjusting library
contribution
Antioch Library
contributions paid for by
the city include options
with respect to hours of
operation and the cost
associated with keeping a
certain number of hours,
the estimated cost of
leasing new self-check
equipment and related
equipment and
maintenance. The City
can choose to increase or
decrease its library
contribution. The choice
impacts the level service
CCCL provides.
$62,899 $74,676
City Council Remove Part-time help The Mayor and City
Council will no longer
have part-time assistance
when needed for their
individual initiatives and
special projects.
Removing part-time staff
has city-wide implications
for faster service delivery.
For instance, the City
Manager and her staff
have taken on assisting
the City Council with such
things as setting up
District Meetings and
arranging travel for city
business trips, although
then City Manager’s
office is under-staffed.
$63,127 $64,329
Total Baseline Model 1: $1,081,975 $1,147,805
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 4
MODEL 2: This model builds on Model 1 and incorporates:
Cost Savings
Department Mitigation Impact FY26 FY27
Public Safety &
Community
Resources
Freeze Community
Engagement Coordinator
position
The Public Safety
Manager will have to take
on the duties under this
position in addition to
their duties. CalVIP grant
is contingent upon having
this position filled and the
City will need to negotiate
an exemption to this
requirement.
$99,897 $107,232
Public Works Freeze Administrative
Analyst position
Existing administrative
staff will continue to
perform additional duties
intended to be performed
by this position.
$25,608 $26,839
Public Works Freeze Senior Engineer
position
An engineer to perform
Traffic Engineer duties
will not be hired and
consultants may have to
continue to be utilized to
perform this work, which
may result in reduced or
no General Fund savings
$46,104 $48,825
Public Works Freeze Assistant
Engineer position
An engineer to review
development plans will
not be hired, and
consultants may hav
continue to be utilized to
perform this work
resulting in reduced or no
General Fund savings.
$167,529 $182,414
Public Works Reducing landscape
expenditures by $1M in
each fiscal year
Reducing landscape
expenditures by this
much will result in the
following implications:
playground repairs will
not occur; preventative
tree maintenance will not
occur; will need to shut
off water to landscape in
some areas; sign repairs
will not occur; vandalism
and accident repairs will
not be made; will need to
close bathrooms at some
parks; dead or missing
plants will not be
replaced causing
landscape to look barren;
irrigation controllers will
not be repaired or
replaced; soundwall
repairs will not be made.
$1,000,000 $1,001,600
Total Model 2: $1,339,138 $1,366,910
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 5
MODEL 3: This model builds on Model 2 and incorporates:
Cost Savings
Department Mitigation Impact FY26 FY27
Finance Adds two (2) Buyer
positions in Finance for
purchasing
This addition is meant to
streamline and centralize
Purchasing and
Procurement City-wide to
streamline service
delivery. Centralized
purchasing and
procurement are
important because it
offers several advantages,
including cost savings,
improved compliance, and
a more streamlined
procurement process.
This add will allow for
better strategic efficiency
across departments,
procedural/operational
efficiency, and improved
control and management.
$331,266
COST
INCREASE
$341,931
COST
INCREASE
City Manager Adds one (1) Grant
Writer position in the
City Manager’s Office
The addition of a grant
writer is important for a
city because
they research and identify
potential funding sources,
prepare grant proposals,
and submit them to
appropriate agencies or
foundations. This will
assist the city in obtaining
consistent funding to run
programs and benefit the
community. Additionally,
the grant writer will play a
critical role in writing
grants for municipal
projects, leading to
advancements in our
infrastructure, and Capital
Improvement Projects.
$165,633
COST
INCREASE
$170,966
COST
INCREASE
(Continued next page)
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 6
Model 3 continued:
Cost Savings
Department Mitigation Impact FY26 FY26
Community
Development
Adds one (1) Senior
Economic Development
Program Manager in the
Economic Development
Division under
Community
Development
The Economic
Development Division
will be folded in under
the Community
Development
Department. The
Community
Development Director
will be expected to have
.25FTE dedicated
towards economic
development for the City.
As a supplement to the
Community
Development Director’s
bandwidth, the City
Manager proposes to
add 1 Senior Economic
Development Program
Manager under the
combined Department.
$261,619
COST
INCREASE
$269,253
COST
INCREASE
Public Safety &
Community
Resources
Adjust the budget for the
Angelo Quinto Crisis
Response Team
(AQCRT) to coincide
with ARPA funding
usage in the first fiscal
year.
The AQCRT service
model will be reduced
and will line up with APD
utilization rates for high-
call volume times needed
across the City.
$1,700,000 $1,395,000
Total Model 3 (Net): $941,482 $612,850
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 7
MODEL 4: This model builds on Model 3 and incorporates:
Cost Savings
Department Mitigation Impact FY26 FY27
City-wide (excludes
Antioch Police
Department and
Water Treatment)
Reflects a 5% annual
furlough of employees
(equivalent to 4 hours
pay reduction each bi-
weekly payroll), with the
exception of APSMA
and APOA bargaining
unit employees, as it
would be a public safety
risk to reduce Police
Department operating
hours by 1 day every
other week.
This is cost for General
Fund employees only
and those funds that
receive direct operating
subsidy from the
General Fund:
Recreation
Animal Services
Marina
All City offices, excluding
the Police Department
and Water Treatment
Plant, would be closed 1
day every other week.
This assumes all elected
officials voluntarily take a
5% reduction in stipend
as well. Should City
Council want to consider
this option, an equivalent
5% pay reduction should
be negotiated with the
APSMA, APOA and WTP
bargaining units.
Implementing a furlough
will result in service
reductions to our
community with an
impact, not only for
availability to the public,
but delay in processing
and project completion
times, due to being
closed 1 day every other
week. While there may
be minimal reduction in
utility costs due to
building closures, there is
the increased potential
for lost revenues,
particularly for
Recreation and Animal
Services.
$1,182,706 $1,231,773
City-wide Utilize $5M of Budget
Stabilization Funds in
each fiscal year to offset
the operating deficit.
Budget Stabilization
Funds are reduced by
$10M
$5,000,000 $5,000,000
Total Model 4: $6,182,706 $6,231,773
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 8
MODEL 5: This model builds on Model 3 and incorporates:
Cost Savings
Department Mitigation Impact FY26 FY27
City-wide (excludes
Antioch Police
Department and
Water Treatment)
Reflects a 10% annual
furlough of employees
(equivalent to 8 hours
pay reduction each bi-
weekly payroll), with the
exception of APSMA
and APOA bargaining
unit employees, as it
would be a public safety
risk to reduce Police
Department operating
hours by 1 day every
week.
This is cost for General
Fund employees only
and those funds that
receive direct operating
subsidy from the
General Fund:
Recreation
Animal Services
Marina
All City offices, excluding
the Police Department
and Water Treatment
Plant, would be closed 1
day every week. This
assumes all elected
officials voluntarily take a
10% reduction in stipend
as well. Should City
Council want to consider
this option, an equivalent
10% pay reduction
should be negotiated
with the APSMA, APOA
and WTP bargaining
units. Implementing an
expanded furlough will
result in further service
reductions to our
community with a greater
impact, not only for
availability to the public,
but delay in processing
and project completion
times, due to being
closed 1 day every week.
While there may be
additional minimal
reduction in utility costs
due to building closures,
there is the increased
potential for lost
revenues, particularly for
Recreation and Animal
Services.
$2,365,412 $2,463,646
City-wide Utilize $5M of Budget
Stabilization Funds in
each fiscal year to offset
the operating deficit.
Budget Stabilization
Funds are reduced by
$10M
$5,000,000 $5,000,000
Total Model 5: $7,365,412 $7,463,646
The City has a General Fund reserve policy requiring that unassigned (unencumbered, non-committed) fund balance must be 20% of revenues at a minimum. Each budget model table on the following pages depicts the fund balance in relation to this policy.
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 9
Model 1 includes $10,429,889 in FY26 and $11,281,545 in FY27 in reduction measures proposed by staff as a baseline budget scenario. No Budget Stabilization transfer is shown for fiscal years 2026 or 2027 so that the entire deficit is clear. The General Fund meets the 20% minimum unassigned fund balance level, in FY26; however, the minimum fund balance should be at least $19,297,944 in FY27 to meet a 20% unassigned reserve, meaning that is it deficient by $12,713,755. A detail of the total reductions built into Model 1 follows on the next page.
2024-25 2025-26 2026-27Revised Proposed ProposedBeginning Balance, July 1 43,258,769$ 38,343,799$ 23,516,684$ Revenue Source: Taxes 57,413,720 59,374,576 61,030,598 1% Sales Tax 19,921,225 19,997,489 20,235,000 Licenses & Permits3,506,569 3,090,200 3,090,200 Fines & Penalties 19,573 25,100 50,100 Investment Income & Rentals3,140,000 1,872,500 1,210,000 Revenue from Other Agencies1,025,306 155,000 160,000 Current Service Charges4,560,195 4,668,551 4,767,181 Other Revenue862,651 934,079 936,350 Transfers In9,965,283 4,846,102 5,010,292 Total Revenue 100,414,522 94,963,597 96,489,721 Expenditures: Legislative & Administrative 7,512,007 6,387,596 5,723,216 Finance 2,030,560 1,735,211 1,910,697 Nondepartmental 6,170,786 6,932,849 7,503,655 Public Works 16,810,087 14,344,202 14,444,580 Police Services56,546,696 58,739,352 60,205,188 Police Services-Animal Support 2,262,605 2,880,326 2,970,935 Recreation/Community Services 5,298,464 5,226,965 5,465,141 Public Safety and Community Resources 2,243,481 4,442,879 5,232,015 Community Development 6,454,806 9,101,332 9,466,789 Total Expenditures 105,329,492 109,790,712 112,922,216 FY24 Encumbrance Roll-Over(5,358,842) - - Budget Stabilization Transfer - - - Surplus/(Deficit)443,872 (14,827,115) (16,432,495) Ending Balance, June 30 38,343,799$ 23,516,684$ 7,084,189$ Committed-Litigation Reserve- 500,000 500,000 Committed-Comm. Dev. Fees1,096,954 196,954 - Unassigned Fund Balance37,246,845$ 22,819,730$ 6,584,189$ Percentage of Revenue 37.09% 24.03% 6.82%Minimum Fund Balance for 20% Reserve 20,082,904$ 18,992,719$ 19,297,944$ Over/(Under) 17,163,941 3,827,011 (12,713,755) GENERAL FUND BUDGET – MODEL 1
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 10
FY26 FY27Police Department (PD) Vacancy savings(4,590,423)$ (4,704,298)$ Overtime reductions (1,020,000) (1,020,000) Contractual service/supplies reductions 67,481 (75,019) Total PD Adjustments (5,542,942) (5,799,317) Human Resources (HR) Remove request for new position(220,805) (227,269) Total HR Adjustments (220,805) (227,269) Finance Department Freeze vacant Business License Representative position(141,940) (146,492) Freeze vacant Accounting Specialist II position(161,260) (172,424) Total Finance Department Adjustments(303,200) (318,916) Public Works (PW) Re-allocated General Laborer to Gax Tax Fund (124,634) (133,472) Re-allocate Development Svcs./Engineer. Tech. to Wtr/Swr (103,057) (114,932) Remove part time help request for facilities (50,013) (52,072) Reduce contract engineering services (784,500) (984,500) Reduce other contractual services/supplies (287,000) (298,610) Total PW Adjustments(1,349,204) (1,583,586) Community Development Eliminate 1 CEO and Add Promotional Levels(82,925) (95,250) Total Community Development Adjustments (82,925) (95,250) Economic Development (ED) Eliminate Economic Development Director(365,754) (377,191) Add Administrative Analyst I213,399 220,165 Eliminate Part-Time Help(26,302) (37,160) Reduce contracts/business expenses(50,000) (50,000) Total ED Adjustments(228,657) (244,186) City Manager Remove Part-Time Help(26,302) (27,159) Remove Second Assistant City Manager(440,465) (452,543) Total City Manager Adjustments(466,767) (479,702) City Attorney Reduce legal services contracts- (250,000) Total City Attorney Adjustments - (250,000) City Council Remove Part-Time Help(63,127) (64,329) Total City Council Adjustments(63,127) (64,329) Public Safety & Comm. Resources (PSCR) Remove 4 Community Engagement Specialists(728,158) (753,109) Total PSCR Adjustments(728,158) (753,109) Other Adjustments Reduce Recreation subsidy-inc. Child Care transfer (74,905) (84,905) Reduce Golf Course water estimate (50,000) (50,000) Reduce Non-Departmental contracts (75,000) (75,000) Revised Library Contribution (62,899) (74,676) Remove vehicle replacement set aside all departments (1,181,300) (1,181,300) (1,444,104) (1,465,881) Total MODEL 1 Expenditure Budget Adjustments (10,429,889)$ (11,281,545)$ General Fund Expenditure Reductions - MODEL 1
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 11
Model 2 includes additional reductions of $1,339,138 in FY26 and $1,366,910 in FY27 beyond measures in Model 1. The General Fund meets the 20% minimum unassigned fund balance level in, FY26; however, the minimum fund balance should be at least 2024-25 2025-26 2026-27Revised Proposed ProposedBeginning Balance, July 1 43,258,769$ 38,343,799$ 24,842,822$ Revenue Source: Taxes 57,413,720 59,374,576 61,030,598 1% Sales Tax 19,921,225 19,997,489 20,235,000 Licenses & Permits3,506,569 3,090,200 3,090,200 Fines & Penalties 19,573 25,100 50,100 Investment Income & Rentals3,140,000 1,872,500 1,210,000 Revenue from Other Agencies1,025,306 155,000 160,000 Current Service Charges4,560,195 4,668,551 4,767,181 Other Revenue862,651 934,079 936,350 Transfers In9,965,283 4,846,102 5,010,292 Total Revenue 100,414,522 94,963,597 96,489,721 Expenditures: Legislative & Administrative 7,512,007 6,387,596 5,723,216 Finance 2,030,560 1,735,211 1,910,697 Nondepartmental 6,170,786 6,932,849 7,503,655 Public Works 16,810,087 13,117,961 13,197,902 Police Services56,546,696 58,739,352 60,205,188 Police Services-Animal Support 2,262,605 2,880,326 2,970,935 Recreation/Community Services 5,298,464 5,226,965 5,465,141 Public Safety and Community Resources 2,243,481 4,342,982 5,124,783 Community Development 6,454,806 9,101,332 9,466,789 Total Expenditures 105,329,492 108,464,574 111,568,306 FY24 Encumbrance Roll-Over(5,358,842) - - Budget Stabilization Transfer - - - Surplus/(Deficit)443,872 (13,500,977) (15,078,585) Ending Balance, June 30 38,343,799$ 24,842,822$ 9,764,237$ Committed-Litigation Reserve- 500,000 500,000 Committed-Comm. Dev. Fees1,096,954 196,954 - Unassigned Fund Balance37,246,845$ 24,145,868$ 9,264,237$ Percentage of Revenue 37.09% 25.43% 9.60%Minimum Fund Balance for 20% Reserve 20,082,904$ 18,992,719$ 19,297,944$ Over/(Under) 17,163,941 5,153,149 (10,033,707) GENERAL FUND BUDGET – MODEL 2
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 12
$19,297,944 in FY27 to meet a 20% unassigned reserve, meaning that is it deficient by $10,033,707. A detail of the reductions built into Model 2 is provided below.
FY26 FY27MODEL 1 REDUCTION TOTALS(10,429,889)$ (11,281,545)$ MODEL 2 PROPOSALS:Public Works (PW) Reduce landscape expenditures (1,000,000) (1,001,600) Freeze Administrative Analyst (.10 FTE Gen Fd) (25,608) (26,839) Freeze Senior Civil Engineer (.25 FTE Gen Fd) (46,104) (48,825) Freeze Assistant Engineer (167,529) (182,414) Total PW Adjustments(1,239,241) (1,259,678) Public Safety & Comm. Resources (PSCR) Freeze vacant Community Engagement Coordinator (.5 FTE)(99,897) (107,232) Total PSCR Adjustments(99,897) (107,232) Total Additional Expenditure Budget Adjustments (1,339,138) (1,366,910) MODEL 2 REDUCTION TOTALS (11,769,027)$ (12,648,455)$ General Fund Expenditure Reductions - MODEL 2 Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 13
Model 3 includes additional “net” reductions of $941,482 in FY26 and $612,850 in FY27 beyond measures in Models 1 and 2 as the reduction in funding for the AQCRT offsets the cost of adding 4 positions. The General Fund meets the 20% minimum unassigned fund balance level in, FY26; however, the minimum fund balance should be at least $19,297,944 in FY27 to meet a 20% unassigned reserve, meaning that is it deficient by $8,479,375.
2024-25 2025-26 2026-27Revised Proposed ProposedBeginning Balance, July 1 43,258,769$ 38,343,799$ 25,784,304$ Total Revenue 100,414,522 94,963,597 96,489,721 Total Expenditures 105,329,492 108,464,574 111,568,306 EXPENDITURE ADJUSTMENTS:Add 2 Buyer positions for purchasing - 331,266 341,931 Add 1 Grant Writer position - 165,633 170,966 Add 1 Senior Economic Development Program Manager- 261,619 269,253 Reduce AQCRT funding - (1,700,000) (1,395,000) Total Expenditure Adjustments - (941,482) (612,850) Total Revised Expenditures 105,329,492 107,523,092 110,955,456 FY24 Encumbrance Roll-Over(5,358,842) - - Budget Stabilization Transfer - - - Surplus/(Deficit)443,872 (12,559,495) (14,465,735) Ending Balance, June 30 38,343,799$ 25,784,304$ 11,318,569$ Committed-Litigation Reserve- 500,000 500,000 Committed-Comm. Dev. Fees1,096,954 196,954 - Unassigned Fund Balance37,246,845$ 25,087,350$ 10,818,569$ Percentage of Revenue 37.09% 26.42% 11.21%Minimum Fund Balance for 20% Reserve 20,082,904$ 18,992,719$ 19,297,944$ Over/(Under) 17,163,941 6,094,631 (8,479,375) GENERAL FUND BUDGET – MODEL 3
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 14
Model 4 builds on Model 3 and incorporates a 5% furlough (5% pay reduction/reduced work hours) for employees, excluding APOA and APSMA bargaining unit employees, and assumes all elected officials take a 5% stipend reduction as well as a full fiscal year implementation. A 5% equivalent pay reduction for APOA and APSMA positions would be $1,306,530 in FY26 and $1,350,062 in FY27 that Council should negotiate for not only further reducing the deficit, but parity as well, if a furlough is implemented.
2024-25 2025-26 2026-27Revised Proposed ProposedBeginning Balance, July 1 43,258,769$ 38,343,799$ 31,959,527$ Revenue Source: Taxes 57,413,720 59,374,576 61,030,598 1% Sales Tax 19,921,225 19,997,489 20,235,000 Licenses & Permits3,506,569 3,090,200 3,090,200 Fines & Penalties 19,573 25,100 50,100 Investment Income & Rentals3,140,000 1,872,500 1,210,000 Revenue from Other Agencies1,025,306 155,000 160,000 Current Service Charges4,560,195 4,665,815 4,764,291 Other Revenue862,651 934,079 936,350 Transfers In9,965,283 4,841,355 5,005,432 Total Revenue 100,414,522 94,956,114 96,481,971 Expenditures: Legislative & Administrative 7,512,007 6,316,623 5,648,648 Finance 2,030,560 1,964,043 2,148,021 Nondepartmental 6,170,786 6,920,649 7,490,855 Public Works 16,810,087 12,908,063 12,979,960 Police Services56,546,696 58,608,006 60,067,589 Police Services-Animal Support 2,262,605 2,802,888 2,891,077 Recreation/Community Services 5,298,464 5,132,645 5,366,889 Public Safety and Community Resources 2,243,481 2,595,148 3,679,968 Community Development 6,454,806 9,092,321 9,450,676 Total Expenditures 105,329,492 106,340,386 109,723,683 FY24 Encumbrance Roll-Over(5,358,842) - - Budget Stabilization Transfer - 5,000,000 5,000,000 Surplus/(Deficit)443,872 (6,384,272) (8,241,712) Ending Balance, June 30 38,343,799$ 31,959,527$ 23,717,815$ Committed-Litigation Reserve- 500,000 500,000 Committed-Comm. Dev. Fees1,096,954 196,954 - Unassigned Fund Balance37,246,845$ 31,262,573$ 23,217,815$ Percentage of Revenue 37.09% 32.92% 24.06%Minimum Fund Balance for 20% Reserve 20,082,904$ 18,991,223$ 19,296,394$ Over/(Under) 17,163,941 12,271,350 3,921,421 GENERAL FUND BUDGET – MODEL 4
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 15
$5M in Budget Stabilization Funds are utilized in FY26 and FY27. The 20% minimum fund balance is met and exceeded each fiscal year. The Budget Stabilization fund balance is projected to be $32,941,944 at the end of FY26 and $26,641,944 at the end of FY27 if $5M per year if funds are used to offset the deficit.
FY26 FY27MODEL 1 REDUCTION TOTALS(10,429,889)$ (11,281,545)$ MODEL 2 REDUCTIONS (1,339,138) (1,366,910) MODEL 3 REDUCTIONS (941,482) (612,850) MODEL 4 PROPOSALS: 5% Furlough/Pay Reduction (998,748) (1,040,863) Reduction Recreation Subsidy for 5% Furlough (94,320) (98,252) Reduction Animal Services Subsidy for 5% Furlough (77,438) (79,858) Reduction Marina Subsidy for 5% Furlough (12,200) (12,800) Total Additional Expenditure Budget Adjustments (1,182,706) (1,231,773) MODEL 4 REDUCTION TOTALS (13,893,215)$ (14,493,078)$ General Fund Expenditure Reductions - MODEL 4 Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 16
Model 5 builds on Model 4 and incorporates a total of a 10% furlough (10% pay reduction/reduced work hours) for employees, excluding APOA and APSMA bargaining unit employees, and assumes all elected officials take a 10% stipend reduction as well as a full fiscal year implementation. A 10% equivalent pay reduction for APOA and APSMA positions would be $2,613,060 in FY26 and $2,700,124 in FY27 that Council should negotiate not only for further reducing the deficit, but parity as well, if a furlough is implemented.
$5M in Budget Stabilization funds are utilized in each of the next two fiscal years. The Budget Stabilization fund balance is projected to be $32,941,944 at the end of FY26 and $26,641,944 at the end of FY27 if $5M per year if funds are used to offset the deficit.
A table summarizing the grand total of all reduction measures incorporated into Model 5 follows. Model 5 begins with the Model 1 baseline and incorporates all proposals in Models 2-5.
2024-25 2025-26 2026-27Revised Proposed ProposedBeginning Balance, July 1 43,258,769$ 38,343,799$ 33,134,750$ Total Revenue 100,414,522 94,948,631 96,474,221 Total Expenditures 105,329,492 106,340,386 109,723,683 EXPENDITURE ADJUSTMENTS:Additional 5% Furlough (total 10%) - (998,748) (1,040,863) Reduce Recreation Subsidy for Additional Furlough - (94,320) (98,252) Reduce Animal Services Subsidy for Additional Furlough - (77,438) (79,858) Reduce Marina Subsidy for Additional Furlough - (12,200) (12,800) Total Expenditure Adjustments - (1,182,706) (1,231,773) Total Revised Expenditures 105,329,492 105,157,680 108,491,910 FY24 Encumbrance Roll-Over(5,358,842) - - Budget Stabilization Transfer - 5,000,000 5,000,000 Surplus/(Deficit)443,872 (5,209,049) (7,017,689) Ending Balance, June 30 38,343,799$ 33,134,750$ 26,117,061$ Committed-Litigation Reserve- 500,000 500,000 Committed-Comm. Dev. Fees1,096,954 196,954 - Unassigned Fund Balance37,246,845$ 32,437,796$ 25,617,061$ Percentage of Revenue 37.09% 34.16% 26.55%Minimum Fund Balance for 20% Reserve 20,082,904$ 18,989,726$ 19,294,844$ Over/(Under) 17,163,941 13,448,070 6,322,217 GENERAL FUND BUDGET – MODEL 5
Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 17
Additional Budget Considerations
As part of this budget exercise, we are requesting definitive direction on items previously discussed in prior sessions, including those items in the reduction tables presented, whether to continue to include or exclude and/or concurrence for the final draft budget that is presented. Prior budget session items discussed:
Public Works Budget
As outlined in the Public Works budget discussion on April 1, 2025:
1. $227,000 in FY26 and $233,810 in FY27 has been excluded from the Street Maintenance budget for additional street sweeping services that City Council requested in the FY25 budget. Should City Council want to continue providing this additional service, a budget reduction in another area should be considered to offset this cost.
2. $50,013 in FY26 and $52,072 in FY27 for part-time help in the Facilities Maintenance division to aid in increasing demand for maintenance of City facilities. The division is only staffed with one Lead Facilities Maintenance Worker and two Facility Maintenance Workers.
3. $110,000 new to fleet vehicle and equipment purchases comprised of two trailers for the Streets division. These purchases could be authorized to be paid from the Vehicle Replacement Fund, with contributions to catch-up and repay the purchases to be evaluated in the next two-year budget cycle.
FY26 FY27MODEL 1 REDUCTION TOTALS(10,429,889)$ (11,281,545)$ MODEL 2 REDUCTIONS (1,339,138) (1,366,910) MODEL 3 REDUCTIONS (941,482) (612,850) MODEL 4 REDUCTIONS (1,182,406) (1,231,773) MODEL 5 PROPOSALS: Additional 5% Furlough/Pay Reduction, for Total 10% (998,748) (1,040,863) Reduction Recreation Subsidy for Additional 5% Furlough (94,320) (98,252) Reduction Animal Services Subsidy for Additional 5% Furlough (77,438) (79,858) Reduction Marina Subsidy for Additional 5% Furlough (12,200) (12,800) Total Additional Expenditure Budget Adjustments (1,182,706) (1,231,773) MODEL 5 REDUCTION TOTALS (15,075,621)$ (15,724,851)$ General Fund Expenditure Reductions - MODEL 5 Antioch City Council Report
May 20, 2025 Agenda Item #SM-1 18
Public Safety and Community Resources (PSCR) – Environmental Resources
1. As outlined in the March 4th and March 11th PSCR budget presentations, the Energy Efficiency & Conservation division accounted for in the Capital Improvement Fund will be fully depleting PG&E rebate funds received in FY26, thus creating a funding shortfall of $52,500 in FY26 and $58,037 in FY27 to implement the Climate Action and Resilience Plan (CARP). Potential funding sources for this are Gas Tax, Water Fund, General Fund and Marsh Landing Mitigation Funds. If funding is not provided, the City will not be able to complete energy efficiency programs for low income households and will not be able to increase outreach on sustainable programs available to our community.
Non-Departmental Budget
1. $60,000 is included in the FY25 budget for a Chinese History Project. Council may want to evaluate returning funds to reserves or allocating to a higher priority General Fund need.
2. $277,131 is included in the FY25 budget for non-profit capacity building grants. As of yet, no guidelines or parameters have been established to carry this out. Council may want to evaluate returning funds to reserves or allocating to a higher priority General Fund need.
Other
1. All budget models presented remove vehicle replacement set aside for all General Fund departments for the next two fiscal years and assume any new to fleet needs for the General Fund will be paid from the replacement fund. This will require an increase in the replacement fund contribution in future years to “catch up” for this deference. The estimated 6/30/25 balance of the replacement fund is approximately $11.2M.
ATTACHMENTS
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