Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
AGENDA MATTER:
CONSIDERATION OF APPROVAL OF THE FISCAL YEAR 2026/2027 PROPOSED OPERATING AND
CAPITAL IMPROVEMENT BUDGET, APPROPRIATIONS LIMIT, INVESTMENT POLICY, AND THE
PUBLICLY AVAILABLE PAY SCHEDULE FOR BUDGETED POSITIONS
EXECUTIVE SUMMARY:
Operating and Capital Improvement Budget for the City and the Fire District Under the direction of the City Manager/Board Manager, staff have worked diligently to develop an Operating and Capital Improvement Budget for the City and an Operating Budget for the Fire District.
These proposed budgets recommended for your adoption represent the spending plans for the City and BFPD for Fiscal Year 2026/2027.
On April 15, and May 13, 2026, the City Council/District Board held a Budget Study Session and reviewed the Proposed Operating and Capital Improvement Budget for Fiscal Year 2026/2027. At this meeting, the Council/Board determined that their questions were sufficiently answered and no additional budget workshops were scheduled.
The Proposed Operating and Capital Improvement Budget for Fiscal Year 2026/2027 includes proposed appropriations for all funds with budgetary activity. This includes the General Fund and its sub-funds, Special Revenue Funds, Debt Service Funds, Capital Project Funds, Proprietary Funds, and Fiduciary Funds.
Appropriations Limit for the City of Barstow and Barstow Fire Protection District As per Section 7910 of the Government Code, each year the City of Barstow and the Barstow Fire Protection District is required to adopt a resolution to establish its appropriation limit for the fiscal year.
Pursuant to Article XIII B, such adoption must occur at a regularly scheduled meeting and the required documentation used to determine the appropriations is presented for review by the City Council and the public.
Investment Policy
The City Council must annually concur with and adopt the City of Barstow’s Investment Policy. Presented for Council's consideration is the FY 2026/2027 Investment Policy.
Publicly Available Pay Schedule
The City of Barstow's governing body must approve a publicly available pay schedule (PAPS) in order to comply with the requirements of the California Public Employees' Retirement System (CalPERS) and the California Code of Regulations (CCR), Section 507.5.
DISCUSSION:
Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
Proposed Operating and Capital Improvement Budget
The Fiscal Year 2026/2027 Proposed Operating and Capital Improvement Budget for the City and the Fire District totals $130,525,160. Estimated Revenues on an all funds basis is estimated at $159,233,255.
The proposed Operating Budget equals $98,296,504 which is an increase of $32,298,784 or 148.94% from the current 2025/2026 proposed budget. The proposed Capital Improvement Budget is projected at $32,228,656, an increase of 370.45%.
During the course of the 2025/2026 fiscal year, the City adopted a new methodology to account for the Inter-Governmental Service Agreements (IGSAs). This action added an additional $29,040,025 to the Operating Budget and an additional $31,553,000 to revenues where these funds were accounted for as a pass-through in prior years. Future capital improvements were brought to council in FY 25 for current approval and budgeted accordingly. Those projects and several new projects have been continued into FY 26 creating a current working capital projects budget. Additionally, the Capital Improvement Budget does not include capital projects that will be crossing from FY 2024/2025 into FY 2026/2027.
Carryforward amounts for these projects will be brought to the City Council for approval before the end of the calendar year.
The combined General Fund is projected to reflect a net increase in fund balance estimated at $3,062,518 during Fiscal Year 2026/2027.
Staff recommend the use of Measure Q Fund Balance to fund one-time capital and safety-related expenditures, which are not currently included in the proposed budget. Below is a list of capital needs which staff seeks direction from Council on the use of Measure Q Fund Balance. One non-capital item listed is for security at the Harvey House. This is recommended as a one-time expenditure to hire security on a single-year test basis, in an effort to revitalize the Harvey House office leasing and facility rental for events.
Requested Use of Measure Q Fund Balance
Measure Q Est. Fund Balance at 7/1/25 4,110,110
FY 26 Revenue 9,660,000
FY 26 Expenditures (10,315,918)
Available Fund Bal 3,454,192
Flock Cameras (PD) 343,500 Fogelsong Park Fields (2 - In/Out) 280,000 Personal Protective Equip + SCBA (Fire) 104,200 Fogelsong Concrete ADA Between Fields 35,000 Fire Hose Replacement 19,500 Eason Sr. Center ADA Restroom Upgrades 85,000 Facility Remodel (Fire) 240,000 Stencil Truck 185,000
Battalion Chief Vehicles 60,000 Skim Patching 60,000
Building Improvements (PD) 60,000 Trash Pump 25,000
PW Cement Mixer and Apparatus 125,000 PW ADA Restroom Upgrades 35,000 Harvey House Boiler 125,000 Pistols 60,000
Harvey House Security 100,000 Bunker Rake (2) 50,000
Fogelsong Park ADA Walkway 14,500 City Cameras 750,000
2,756,700
Remaining Fund Balance 697,492
Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
Key financial data has been excerpted from the proposed budget and presented below for both estimated revenues and appropriations for select funds and sub-funds as is detailed in the tables below.
General Fund Summary - 100
The proposed budget for 2026/2027 includes the utilization of total projected resources of $28,244,935, without any appropriation from fund balance. The proposed General Fund budget is balanced as presented and it is estimated that the General Fund will reflect an increase in fund balance as of the end of June, 2026. The breakdown of the proposed budget for both estimated revenues and appropriations is shown in the table below.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $28,244,935 ($26,932,688)
General Fund (Measure Q Sub-Fund Summary) - 102
General Fund revenues received from Measure Q for Fiscal Year 2026/2027 are estimated to be approximately $9,660,000. General Fund appropriations funded by Measure Q are proposed at $10,315,918. This includes an appropriation from fund balance in the amount of $655,918.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $9,660,000 ($10,315,918)
Fire District - 225
The proposed FY2026/2027 operating budget for the Barstow Fire Protection District fund is $6,538,500.
The Barstow Fire Protection District is also funded through the General Fund (Measure Q Sub Account 103 – Fire). Funding through this source totals $4,962,585. The total funding allocated to the firefighters and firefighting is $11,501,085 for FY 2026/2027. Additionally, $467,203 is expended from the Measure Q Sub Account 102 for payments related to the purchase of the new fire engine that was placed into service in FY 23, refurbishment of an existing engine in FY 22, and purchase of a hydraulic lift to service Fire Department apparatus in FY 22, and an additional fire engine financed in FY 25.
Staffing within the Fire District increased 40% (from 20 to 28 firefighters) after the passage of Measure Q in November, 2018. The Fire District’s proposed budget represents 41.0% of the estimated Measure Q revenues for FY 2026/2027. Together with the Police Department, 70.6% of the estimated Measure Q expenditures for FY 2026/2027 are directly for the purposes of supporting Public Safety. The proposed budget for the Fire District is detailed in the table that follows.
FY 24 Proposed Funding Estimated Revenues Appropriations Gen. Fund MQ Sub-Fund 103 $4,962,585 ($4,962,585)
BFPD Fund 225* $7,129,100 ($6,538,500)
Total Appropriation Request $12,091,685 ($11,501,085)
Surplus funds remaining unspent in FY 2026/2027 can be attributed to an additional payment to reduce the further accumulation of fund deficit for the Barstow Fire Protection District which totals $3,317,392 as of current. This does not include any amounts that will need to be recorded after the close of FY 25. The consideration of further funding to reduce the accumulation of the BFPD’s fund deficit will be further analyzed throughout the course of FY 26.
Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
Special Revenue Funds
Special Revenue Funds are those funds which have restricted uses and for these reasons are accounted for in separate funds. The proposed 2026/2027 budget for Special Revenue Funds is detailed in the table that follows:
Fund Name Estimated Revenues Appropriations
COVID-19 446,672 (440,272)
Measure I / 2010-2040 1,759,300 (2,510,300)
Gas Tax 725,737 (6,900)
SB1 669,930 (1,216,788)
Comm. Dev. Block Grant (CDBG) 970,963 (977,306)
Grants – Reimbursable 2,562,514 (2,404,053)
Grants – Prefunded 95,112 (96,813)
Public Safety COPS Program 195,000 (190,500)
Odessa Water District 4,000 (4,000)
Barstow Harvey House Foundation (325)
Barstow Community Services
Foundation
(325)
Total Special Revenue Funds $7,429,228 ($7,847,582)
Debt Service
The Debt Service Fund is used to account for the revenues and expenditures associated with the Lease Revenue and the Pension Obligation Bonds.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $2,667,031 ($2,667,027)
Wastewater
The proposed annual operating and capital improvement budget for Wastewater activities includes estimated revenues of $5,467,750 and an appropriation request of $5,129,730 for fiscal year 2026/2027.
As currently projected, the budgetary activities in the Wastewater Fund will result in a net increase in net position of just over $330,000. The proposed budget for the Wastewater Fund is as follows in the table below.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $5,467,750 ($5,129,730)
Solid Waste
The proposed annual operating and capital improvement budget for Solid Waste activities includes estimated revenues of $6,594,700 and an appropriation request of $6,555,775 for FY 2026/2027. As currently projected, the budgetary activities in the Solid Waste Fund will result in a net increase in net Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
position of $38,925 for FY 2026/2027. The proposed budget for the Solid Waste Fund is as follows in the table below.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $6,594,700 ($6,555,775)
Capital Projects Fund
The Capital Project Fund includes multiyear and large scale projects funded by various funding sources and funds. These resources are both restricted and unrestricted in nature. The Capital Projects Fund estimated transfers in from various funding sources in the amount $8,697,746 and appropriation requests of $8,697,746. Staff would like to note that projects currently included in the FY 2024/2025 budget that are in progress or currently funded will be brought back for carryforward budget approval prior to the end of calendar year 2025. In order to determine carryforward amounts, all FY 2024/2025 invoices must be submitted and paid. Upon closure of FY 2024/2025 accounting periods, the carryforwards for all CIP projects that remain active will be brought back to the City Council for carryforward budget approval. The proposed budget for the Capital Project Fund is as follows in the table below.
Fiscal Year Estimated Revenues Appropriations
2026/2027 $8,697,746 ($8,697,746)
Fiduciary Funds
Fiduciary Funds are used to account for resources held for the benefit of parties outside of the municipality. These funds are not available to support the City’s own programs. The Landscape & Lighting Maintenance Districts Fund accounts for the receipts and disbursements of special assessments.
The RDA Dissolution Trust Fund accounts for the activities of the redevelopment successor agency. The proposed 2026/2027 budget for Fiduciary Funds is as follows in the table below Fund Name Estimated Revenues Appropriations
Landscape & Lighting
Maintenance Districts $21,500 ($10,500)
RDA Dissolution Trust $6,000 $0
Investment Policy
The attached Investment Policy outlines the purposes and objectives of the City of Barstow's investment of cash not needed for current obligations. Per California Government Code Section 53646(a) et seq., the Investment Policy for the City of Barstow is presented to the Council for concurrence and adoption.
This policy must be adopted each year pursuant to Section 53607 of the Government Code. City Treasurer, Michael Lewis, has reviewed and approved the proposed Investment Policy for FY 2026/2027.
There were no changes of note to the policy from last fiscal year.
Appropriations Limit City of Barstow
The City of Barstow is required to annually calculate its appropriations limit. The calculation must be approved by the City Council each fiscal year. For FY 2026/2027, the Appropriations Limit (also known Joint Special Meeting
CC/BFPD/Odesa/Harvey House
06/16/26 06:00 PM
Finance
Sydnie Harris
Budget
Doc ID: 6421
COUNCIL RESOLUTION
as the Gann Limit) is $59,756,788. The City of Barstow’s net proceeds of taxes are subject to the limit of $28,778,122; thereby, the City of Barstow is $30,978,666 under its limit for this period.
Appropriations Limit Barstow Fire Protection District
Annually, the Barstow Fire Protection District is required to calculate their appropriations limit. The calculation must be approved by the Board. For FY 2026/2027, the Appropriations Limit is $10,115,604.
The Barstow Fire Protection District is $4,175,604 under its limit for this period.
Publicly Available Pay Schedule (PAPS)
The PAPS is available on the City of Barstow's website. The PAPS will be brought before the City Council any time a revision or modification is required. The FY 25/26 PAPS being presented to the City Council for approval is compliant with the aforementioned requirements of CalPERS and will become effective on July 1, 2025. The PAPS also includes the positions that are being presented tonight with the FY 2025- 2026 Budget within the Police Department Administrative Division, Community Service Officer, and the Barstow Fire Protection District, Firefighter EMT update.
FISCAL IMPACT:
RECOMMENDED ACTION:
That the City Council and Barstow Fire Protection District Board take the following actions:
1. That City Council approve the Fiscal Year 2026/2027 Proposed Operating and Capital Improvement Budget for the City in the amount of $121,702,494 and adopt the attached Joint Resolution No. XX2026 (Attachment B), approving the Proposed Budget (Attachment A), including any City Council amendments (if any), and excluding the Barstow Fire Protection District Budget – Fund 225, and waive the full reading.
2. That the Fire Protection District Board approve and adopt a preliminary budget for the Barstow Fire Protection District in the amount $8,822,666 and adopt the attached Joint Resolution No. XX-2026 (Attachment B), approving and adopting the preliminary Budget (Attachment A) as submitted pursuant to Health & Safety Code Section 13893(a)(1) and waive the full reading.
3. Approve the annual 2026/2027 appropriations limit, which is calculated using the change in the growth in California personal income and the change in population growth of the City/County, which are determined by the State of California, and adopt City of Barstow Resolution No. XXXX-2026, and BFPD Resolution No. XX-2026, establishing the appropriations limit for Fiscal Year 2026/2027, by title only and waive the reading.
4. That the City Council adopt Resolution No. XXXX-2026 approving the publicly available pay schedule (PAPS) (Attachment C)
5. That the City Council Adopt the Investment Policy and Resolution No. XXXX-2026 of the City of Barstow for FY 2026/2027.