get_agenda_document_link — Fortuna City Council, June 1, 2026

Meeting Agenda
Monday, June 1, 2026 at 6:00 pm
621 11th Street, Fortuna CA
Regular Meeting Agenda
Zoom Option: 1-669-900-9128 Meeting ID 831 4870 8579 Password 154978 • We May Disagree, But We Will Be Respectful of One Another • All Comments Will Be Directed to the Issue at Hand, and Addressed to the City Council • Personal Attacks are Unacceptable
• The City Council May Take Action on any Item on this Agenda.

CALL TO ORDER / FLAG SALUTE / ROLL CALL
Council
Staff
• Council Member Kyle Conley
• Council Member Carlos Diaz
• Council Member Abe Stevens
• Mayor Pro Tem Tami Trent
• Mayor Mike Johnson
• City Manager Amy Nilsen
• City Clerk Siana L. Emmons

1. ORAL COMMENTS FROM THE PUBLIC
Members of the Public may be heard at this time on any item within the subject matter jurisdiction of the City that is not on the Public Meeting Agenda. It is the practice of this Council to hold public comment for every item of business on the agenda at the time that item is heard. If a speaker cannot stay for a particular item of business, they may be heard during this time. Comments concerning the

2. Consent Calendar may also be heard at this time. Speakers addressing the Council will be limited to 3 minutes per speaker. Be advised that, by law, the City Council can only deliberate or take action on items that are included on the agenda.

CONSENT CALENDAR
These matters are routine in nature and are usually approved by a single vote. Any member of the Council may pull a particular item for further discussion. a. City Council Minutes – May 18, 2026 (Regular Meeting) b. Report of Disbursements
Approve Biennial Review and Amendments to the City’s Conflict of Interest Code, Resolution 2026-20
c.

Approve the Full-time Pay Rate Schedule for Fiscal Year 2026-27, Resolution 2026-21
d.

Approve the Part Time Pay Rate Schedule for Fiscal Year 2026-27, Resolution 2026-22
e.

Approve Side Letters for the Fortuna Police Employees Association, Fortuna Employees Association and Resolution 2026-23 for the Unrepresented Employees for Limited Duration Medical Premium Offset
f.

Acceptance of $10,000 Grant Award from Humboldt Area Foundation and Approval of Supplemental Budget
g.

Review and Approve Mayor’s Recommendation of Appointee to the Planning Commission
h.

Amendment to the Existing Solid Waste Franchise Agreement between Recology and the City of Fortuna
i.

3. DISCUSSION
a. Community-Generated Economic Development Initiative

4. CITY COUNCIL BUSINESS
Approve a Hiring Freeze Exception for Full-Time Deputy City Engineer Position
a.

Authorize the City Manager to Award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and Establish a Maximum Contract Amount of $297,000 and Approve Supplemental Budget Request for $202,399 b.

Review and Approve the Fiscal Year 2026-2027 Five-Year Capital Improvement Program
c.

5. 6. CITY MANAGER’S REPORT

FUTURE AGENDA ITEMS
At this time, members of the Council may consider or request items to be placed on a future agenda through a consensus of the majority.

7. CITY COUNCIL REPORTS AND COMMENTS
Council Member Kyle Conley
Redwood Region Economic Development Corporation (RREDC) Alternate, Parks & Recreation Commission, Humboldt Transit Authority Alternate a.

8. Contact: Siana L. Emmons, City Clerk ([email protected] 707-725-1409) | Agenda published on 05/28/ 2026 at 1:23 PM
Council Member Carlos Diaz
Redwood Region Economic Development Corporation (RREDC), Redwood Coast Energy Authority (RCEA), Parks & Recreation Commission Alternate b.

Council Member Abe Stevens
Humboldt County Association of Government Alternate, Redwood Region Economic Development Corporation
c.

Mayor Pro Tem Tami Trent
Humboldt Transit Authority (HTA), Indian Gaming Commission, League of California Cities Public Safety Commission, Fortuna Business Improvement District (FBID) d.

Mayor Mike Johnson
Humboldt County Association of Governments (HCAOG), Historical Commission, League of California Cities Transportation, Communication, & Public Works Commission e.

ADJOURN
Pursuant to Government Code Section 54957.5, any non-confidential documents or writings that the City distributes, less than 72 hours before a regular meeting, to all or a majority of the legislative body's members must be made available to members of the public at the same time as the distribution. Documents and information related to the agenda topics are available for review at City Hall, 621 11th Street, between the hours of 8:00 AM to 5:00 PM. Members of the public are invited to come to the meeting and comment. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at (707) 725-7600. Notification prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

9. Meeting Agenda
Minutes
Monday, May 18, 2026 at 6:00 pm
621 11th Street, Fortuna CA
Regular Meeting Agenda
Zoom Option: 1-669-900-9128 Meeting ID 882 9561 3744 Password 578356 • We May Disagree, But We Will Be Respectful of One Another • All Comments Will Be Directed to the Issue at Hand, and Addressed to the City Council • Personal Attacks are Unacceptable
• The City Council May Take Action on any Item on this Agenda.

CALL TO ORDER / FLAG SALUTE / ROLL CALL
Minutes:

Mayor Johnson called the meeting to order at 6:00 pm and led the flag salute. ROLL CALL: Council Member Conley - Present, Council Member Diaz - Absent, Council Member Stevens - Present, Mayor Pro Tem Trent - Present, Mayor Johnson - Present

1. PRESENTATIONS / PROCLAMATIONS
Older Americans Month Proclamation
Minutes:

Mayor Johnson read and presented the Older Americans Month Proclamation to Area 1 Agency on Aging staff member Rosana Bruhnke.
a.

National Police Week Proclamation
Minutes:

Mayor Pro Tem Trent read and presented the Nation Police Week Proclamation to Chief of Police Matt Eberhardt.
b.

2. ORAL COMMENTS FROM THE PUBLIC
Minutes:

Public Comments: New resident of Fortuna, Ben Miller.

3. There being no additional public comments, Mayor Johnson closed the public comment section.

CONSENT CALENDAR
Minutes:

PUBLIC COMMENT: There being no public comment, Mayor Johnson closed the public comment section.

Mayor Pro Tem Trent pulled Consent Item l and asked Finance Director Aaron Felmlee to briefly talk about the audit.

CITY COUNCIL ACTION: Council Member Conley moved, seconded by Mayor Pro Tem Trent, to approve consent calendar items a-k. Voice vote. AYES: Council Members Conley. Stevens, Mayor Pro Tem Trent, Mayor Johnson NOES: None ABSTAIN: None ABSENT: Council Member Diaz MOTION CARRIED: 4/0
CITY COUNCIL ACTION: Mayor Pro Tem Trent moved, seconded by Council Member Conley, to approve consent calendar Item l. Voice vote. AYES: Council Members Conley. Stevens, Mayor Pro Tem Trent, Mayor Johnson NOES: None ABSTAIN: None ABSENT: Council Member Diaz MOTION CARRIED: 4/0
City Council Minutes – April 30, 2026 (Special Meeting Workshop), May 4, 2026 (Regular Meeting), & May 4, 2026 (Special Budget Workshop) a.
b. Administrative Department Monthly Report
c. Community Development Department Monthly Report
d. Finance Department Monthly Report
e. Parks & Recreation Monthly Report
f. Police Department Monthly Report
g. Public Works Monthly Report
h. Report of Disbursements
i. Humboldt Domestic Violence Services – Bingo Permit Application Review and Approve Mayor’s Recommendation of Appointee to the Planning Commission
j.

Declaration of Surplus Personal Property and Authorization to Dispose of Surplus Personal Property, Resolution 2026-16
k.

City of Fortuna Basic Financial Statement Audit for the year ended June 30, 2025
l.

4. CITY COUNCIL BUSINESS
Public Hearing for the Adoption of Rates and Fees for City Services, Resolution 2026-18
Minutes:

Finance Director Aaron Felmlee provided a staff report on the proposed rates and fees for City services for FY 2026-27.

PUBLIC COMMENT: There being no public comment, Mayor Johnson closed the public comment section.

CITY COUNCIL ACTION: Council Member Conley moved, seconded by Mayor Pro Tem Trent, to adopt Resolution 2026-18, A Resolution of the City Council of the City of Fortuna Establishing a Schedule of Fees and Charges for a.

5. Administrative, Building, Community Development, Parks & Recreation, Police, River Lodge, Transit, and Water & Wastewater within the City of Fortuna for Fiscal Year 2026-2027. Roll Call vote. AYES: Council Members Conley, Stevens, Mayor Pro Tem Trent, Mayor Johnson NOES: None ABSTAIN: None ABSENT: Council Member Diaz MOTION CARRIED: 4/0
Adopt the Humboldt County Regional Climate Action Plan as the City of Arcata’s Climate Action Plan and Making California Environmental Quality Act Findings as a Responsible Agency, Resolution 2026-17
Minutes:

Senior Planner Katey Schmidt provided a staff report on adopting the Humboldt County Regional Climate Action Plan.

PUBLIC COMMENT: There being no public comment, Mayor Johnson closed the public comment section.

CITY COUNCIL ACTION: Council Member Conley moved, seconded by Mayor Pro Tem Trent, to adopt Resolution 2026-17, A Resolution of the City Council of the City of Fortuna Adopting the Humboldt Regional Climate Action Plan as the City of Fortuna’s Regional Climate Action Framework and Making Findings as a Responsible Agency Under the California Environmental Quality Act. Roll Call vote. AYES: Council Members Conley, Stevens, Mayor Pro Tem Trent, Mayor Johnson NOES: None ABSTAIN: None ABSENT: Council Member Diaz MOTION CARRIED: 4/0
b.

Hiring Freeze Exception for Part-Time Code Compliance Officer I Position Minutes:

Chief of Police Matt Eberhardt provided a staff report on a hiring freeze exception for a part-time Code Compliance Officer I.

PUBLIC COMMENT: There being no public comment, Mayor Johnson closed the public comment section.

CITY COUNCIL ACTION: Mayor Pro Tem Trent moved, seconded by Council Member Conley, to approve an exception to the hiring freeze for the Part-Time Code Compliance Officer I Position. Roll Call vote. AYES: Council Members Conley, Stevens, Mayor Pro Tem Trent, Mayor Johnson NOES: None ABSTAIN:

None ABSENT: Council Member Diaz MOTION CARRIED: 4/0
c.

CITY MANAGER’S REPORT
Minutes:

City Manager Amy Nilsen provided a verbal report.

6. FUTURE AGENDA ITEMS
Minutes:

None.

7. CITY COUNCIL REPORTS AND COMMENTS
a. Council Member Kyle Conley
b. Council Member Carlos Diaz
c. Council Member Abe Stevens

8. Contact: Siana L. Emmons, City Clerk ([email protected] 707-725-1409) d. Mayor Pro Tem Tami Trent
e. Mayor Mike Johnson

ADJOURN
Minutes:

Mayor Pro Tem Trent moved, seconded by Council Member Conley to adjourn the meeting at 6:50pm. MOTION CARRIED: 4/0

9. Consent Agenda Item 3b

Page 1 of 1 ends

STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and City Council Members
FROM: Amy Nilsen, City Manager
SUBJECT: Report of Disbursements
STAFF RECOMMENDATION:

Receive staff report of disbursements that were processed for the City of Fortuna and the Successor Agency (Fortuna Redevelopment Agency) if applicable, as an informational item only.

REPORT OF DISBURSEMENTS:

Disbursement was processed as follows:

May 20, 2026 $1,657,30.46
May 27, 2026 $341,543.62
RECOMMENDED COUNCIL ACTION:

Informational Item. Receive report by Consent Agenda vote.

ATTACHMENTS:
• Disbursements Detail Report for May 20, 2026
• Disbursements Detail Report for May 27, 2026
Amount
5/20/2026 8:40:45 AM Page 1 of 4
84916 05/20/2026 NAPA AUTO PARTS FORTUNA 99158 Brake Coupling - Utilities 8.07 84917 05/20/2026 NORMAN'S DRY CLEANERS 26127-551-A River Lodge Linen Service 14.8 84915 05/20/2026 MISSION LINEN INDUS SERV 526003923 River Lodge Linen Service 624.56 84915 05/20/2026 MISSION LINEN INDUS SERV 526022592 Police Mat Cleaning Service FY 25/26 58.04 84915 05/20/2026 MISSION LINEN INDUS SERV 526001831 Can Liners - River Lodge 37.82 84915 05/20/2026 MISSION LINEN INDUS SERV 526002653 Paper Towels - Parks 488.59 84915 05/20/2026 MISSION LINEN INDUS SERV 525993996 Can Liners/Gloves/Kleenex/Towels - Parks 1561.38 84915 05/20/2026 MISSION LINEN INDUS SERV 526001826 Paper Towels - River Lodge 77.31 84915 05/20/2026 MISSION LINEN INDUS SERV 525985878 Paper Towels - Corp Yard 26.59 84915 05/20/2026 MISSION LINEN INDUS SERV 525985880 Paper Towels - WWTP 53.17 84915 05/20/2026 MISSION LINEN INDUS SERV 525982508 Antibacterial Soap - Parks 51.48 84915 05/20/2026 MISSION LINEN INDUS SERV 525985878 Paper Towels - Corp Yard 26.58 84915 05/20/2026 MISSION LINEN INDUS SERV 525980712 Wastewater Linen Service 196.14 84915 05/20/2026 MISSION LINEN INDUS SERV 525980721 Parks/Rink Linen Service 108.99 84915 05/20/2026 MISSION LINEN INDUS SERV 525980711 Corp Yard Linen Service 75.44 84915 05/20/2026 MISSION LINEN INDUS SERV 525980711 Corp Yard Linen Service 67.03 84913 05/20/2026 JOHNSON, MIKE 050626 Mileage Reimbursement 5.29 (LOCC Meeting) 168.2 84914 05/20/2026 MENDES SUPPLY INC M294264 Can Liners/Toilet Seat Covers - Parks 485.38 84912 05/20/2026 HUMBOLDT LODGING ALLIANCE 051826 HTA Allocation 3rd Quarter End 3.31.26 20046.12 84912 05/20/2026 HUMBOLDT LODGING ALLIANCE 051826 HTA Allocation 3rd Quarter End 3.31.26 -200.46 84910 05/20/2026 HUMB DEL NORTE NARCOTICS ANON 011226 Park Deposit Refund 250 84911 05/20/2026 HUMBOLDT COUNTY RECORDER 051426 CEQA Notice of Exemption - Fitze 12th St 50 84909 05/20/2026 HORIZON BUSINESS PRODUCTS 299656 Notary Book/Highlighters - CDD 24.17 84909 05/20/2026 HORIZON BUSINESS PRODUCTS 299656 Notary Book/Highlighters - CDD 6.53 84907 05/20/2026 HAMANAKA PAINTING CO INC 9685 River Lodge Staining Project 7900 84908 05/20/2026 HELIX LABORATORIES INC 91842 Alka Mag Supply FY 25/26 8899.07 84906 05/20/2026 GRAINGER 9911891787 Terminal Strips/O-Rings - WWTP 98.61 84907 05/20/2026 HAMANAKA PAINTING CO INC 9685 River Lodge Staining Project -395 84906 05/20/2026 GRAINGER 9911335561 Transient Suppression Modules - WWTP 135.35 84906 05/20/2026 GRAINGER 9911891779 O-Ring - WWTP 8.8
84905 05/20/2026 FREEDOM FUEL 1016652 Equipment Fuel 17.06 84905 05/20/2026 FREEDOM FUEL 1016653 Equipment Fuel 60.16 84905 05/20/2026 FREEDOM FUEL 1016617 Equipment Fuel 34.85 84905 05/20/2026 FREEDOM FUEL 1016625 Equipment Fuel 42.16 84903 05/20/2026 FORTUNA ACE HARDWARE 407852 Ant Liquid Bait - Parks 19.67 84904 05/20/2026 FORTUNA CHAMBER OF COMMERCE 051826 TOT Allocation 3rd Quarter End 3.31.26 10377.58 84903 05/20/2026 FORTUNA ACE HARDWARE 407643 Tie-down Straps - Utilities 32.85 84903 05/20/2026 FORTUNA ACE HARDWARE 407721 Supplies - WWTP 139.22 84902 05/20/2026 ENVIRONMENTAL RESOURCE ASSOC 146927 Lab Testing Supplies 1485.54 84903 05/20/2026 FORTUNA ACE HARDWARE 407563 Garden Hand Trowels - Utilities 36.3 84901 05/20/2026 ENGINEERED FIRE SYSTEMS, INC 23269 Fire Plan Review Service 135 84902 05/20/2026 ENVIRONMENTAL RESOURCE ASSOC 146927 Lab Testing Supplies 521 84900 05/20/2026 DEPARTMENT OF JUSTICE 41830 March BAC Analysis Services 385 84900 05/20/2026 DEPARTMENT OF JUSTICE 43310 April Livescan Services 1149 84899 05/20/2026 CUTTER'S EDGE 167185 Supplies - General Services 30.65 84900 05/20/2026 DEPARTMENT OF JUSTICE 29404 February Livescan Services 877 84897 05/20/2026 COLEMAN, EMMA 012826 Park Deposit Refund 250 84898 05/20/2026 COUNTY OF HUMBOLDT 501264 Library ADA Compliance Project 85693.4 84895 05/20/2026 CC CATERING 130682 Catering - Employee Appreciation 400 84896 05/20/2026 CLYDE'S TOWING, INC 29198 Towing Service - PD 165 84893 05/20/2026 BERREY, SAMUEL 051326 Per Diem 5.27 - 5.28 (Chlorine Safety Training) 91 84894 05/20/2026 BRAVO, ANA 012926 Park Deposit Refund 500 84891 05/20/2026 ALPHA ANALYTICAL LABORATORIES INC6055558-NBS< Well 5B Lab Testing 5020 84892 05/20/2026 BDP INDUSTRIES IN002899 Springivlle 2" Cylinders - WWTP 3047.85 Expense Approval Report
CITY OF FORTUNA By (None)
Payment Dates 5/20/2026 - 5/20/2026
Payment Number Payment Date Vendor Name Payable Number Description (Item) Amount
Grand Total: 165730.46
5/20/2026 8:40:45 AM Page 2 of 4
84933 05/20/2026 USABLUEBOOK INV01032285 Sludge Interface Detector - WWTP 1289.67 84933 05/20/2026 USABLUEBOOK INV01033607 Digital Dual Cylinder Scale - WWTP 4029.96 84932 05/20/2026 US BANK EQUIPMENT FINANCE 582051439 Printer Lease FY 25/26 324.23 84932 05/20/2026 US BANK EQUIPMENT FINANCE 582051439 Printer Lease FY 25/26 253.75 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 144.91 84932 05/20/2026 US BANK EQUIPMENT FINANCE 582051439 Printer Lease FY 25/26 831.73 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 38.64 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 144.91 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 38.64 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 86.95 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 67.63 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 19.32 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 154.57 84931 05/20/2026 UBEO BUSINESS SERVICES 5266937 Print Services FY 25/26 270.52 84929 05/20/2026 TIMES PRINTING COMPANY 26-60581 Search Warrant Property Receipts - PD 271.4 84930 05/20/2026 TRACTOR SUPPLY CREDIT PLAN 25613 Kennel Supplies 87.54 84927 05/20/2026 SPORT & CYCLE 233031 Softballs - Adult Sports 1117.63 84928 05/20/2026 SWRCB 051326 Grade T2 Exam Cert - R Williams 60 84925 05/20/2026 RIZZO, JOEL 051326 Per Diem 5.27 - 5.28 (Chlorine Safety Training) 91 84926 05/20/2026 SHERLOCK RECORDS MANAGEMENT 4854 Finance Record Storage Service FY 25/26 50 84923 05/20/2026 RAILFAN SPECIALTIES 7412 Museum Resale Items 264.92 84924 05/20/2026 RESERVE ACCOUNT 051826 Replenish Postage Meter Funds 2000 84921 05/20/2026 PLANWEST PARTNERS INC 26-193-01 Planning Services 2068.04 84922 05/20/2026 PLATT ELECTRIC SUPPLY 7H50851 Light Balasts - CH 108.6 84919 05/20/2026 O'REILLY AUTOMOTIVE STORE 376584 Engine Treatment - PD 24.07 84920 05/20/2026 PAPE MATERIAL HANDLING 16836167 Filter Head/Seal Kits - General Services 216.78 84918 05/20/2026 NORTH COAST JOURNAL 2026149874 Code Compliance Officer Recruitment Advertising 95 84918 05/20/2026 NORTH COAST JOURNAL 2026149919 Public Notice - Fitze 12th Street Project 117 Expense Approval Report Payment Dates: 5/20/2026 - 5/20/2026 Payment Number Payment Date Vendor Name Payable Number Description (Item) 500-5715-6100 Vehicle Repairs 8.07
5/20/2026 8:40:45 AM Page 3 of 4
500-5500-6100 Department Supplies 162.77
500-5557-6000 Lab Supplies 521
500-5705-6300 Equipment Maintenance 144.91
160-5705-5800 Equipment Maintenance 38.64
165-5550-5610 Gift Shop Purchases 264.92
350-6015-9132 General Contracting 85693.4
120-6005-3000 Engineering Services 135
120-6305-3100 Publication Expense 117
160-5565-5800 Janitorial Supplies 754.49
101-6015-9130 General Contracting 7900
120-5500-3000 Department Supplies 6.53
120-5705-3000 Equipment Maintenance 86.95
100-7200-5400 Sports Leagues 1117.63
100-7612-1100 Contingency 400
101-2030 Retention Payable -395
100-6801-1800 Chamber TOT 10377.58
100-7000-1000 Travel, Conferences & Training 168.2
100-7015-2000 Dues & Subscriptions 58.04
100-6305-3200 Publication Expense 50
100-6600-2000 State Fees 385
100-6625-2000 Livescan Fees 2026
100-6025-1200 Professional Services 50
100-6025-3200 Professional Services 2068.04
100-6035-2000 Personnel Services 95
100-5715-2000 Vehicle Repairs 189.07
100-5720-4100 Equipment Repair 216.78
100-5740-1500 Building Repair and Maintenance 108.6
100-5705-3200 Equipment Maintenance 67.63
100-5705-4000 Equipment Maintenance 19.32
100-5705-5450 Equipment Maintenance 292.39
100-5565-5450 Janitorial Supplies 2695.82
100-5705-1500 Equipment Maintenance 986.3
100-5705-2000 Equipment Maintenance 594.75
100-5500-4100 Department Supplies 132.67
100-5500-5450 Department Supplies 19.67
100-5505-5450 Vehicle Fuel & Oil 154.23
100-5500-2000 Department Supplies 271.4
100-5500-2800 Department Supplies 87.54
100-5500-3200 Department Supplies 24.17
100-2040 Humboldt Tourism Assessment 20046.12
100-2220 Refundable Park Deposits 1000
100-4061 Humboldt Tourism Assessment -200.46
Grand Total: 165730.5
Account Summary
Account NumberAccount Name Payment Amount
100-1610 Prepaid Postage 2000
165 - Museum Exhibit Fund 264.92
350 - Capital Projects Fund 85693.4
500 - Water Fund 4926.71
510 - Water Capital Fund 5020
550 - Wastewater Fund 15680.33
Fund Payment Amount
100 - General Fund 45501.49
101 - Transaction and Use Tax Fund 7505
120 - Development & Building Fund 345.48
160 - Riverlodge Fund 793.13
Expense Approval Report Payment Dates: 5/20/2026 - 5/20/2026 Report Summary
Fund Summary
Grand Total: 165730.5
5/20/2026 8:40:45 AM Page 4 of 4
550-7000-6600 Travel, Conferences & Training 182
Grand Total: 165730.5
Project Account Summary
Project Account Key Payment Amount
**None** 165730.5
550-5557-6600 Lab Supplies 1485.54
550-5705-6700 Equipment Maintenance 144.91
550-5720-6600 Equipment Repair 3183.2
510-6005-9066 Engineering Services 5020
550-5500-6600 Department Supplies 1785.61
550-5555-6600 Plant Chemicals 8899.07
Account NumberAccount Name Payment Amount
500-5720-6000 Equipment Repair 4029.96
500-7012-6000 Certification 60
Expense Approval Report Payment Dates: 5/20/2026 - 5/20/2026 Account Summary
Amount
5/27/2026 10:52:43 AM Page 1 of 4
84962 05/27/2026 LIEBERT CASSIDY WHITMORE 323271 Legal Services 142.5 84963 05/27/2026 MAGDALENO, MYKE 022626 Adult Bball Forfeit Deposit Refund 150 84962 05/27/2026 LIEBERT CASSIDY WHITMORE 318461 Legal Services 47.5 84962 05/27/2026 LIEBERT CASSIDY WHITMORE 320947 Legal Services 712.5 84960 05/27/2026 KEISNER, DELMER 022426 Adult Bball Forfeit Deposit Refund 150 84961 05/27/2026 LEFT IN STITCHES FPD 7 Uniform Alterations - Eberhardt/Richardson 81.25 84958 05/27/2026 ISAACS, SHAWN 022426 Adult Bball Forfeit Deposit Refund 150 84959 05/27/2026 JACOBS ENGINEERING GROUP INC W8Y10900-043 NPDES Compliance Engineering 297136.97 84957 05/27/2026 HIGHWAY SPECIALTY CO INC 261692 Traffic Signs/Marking Paint - Streets/Utilities 695.85 84957 05/27/2026 HIGHWAY SPECIALTY CO INC 261692 Traffic Signs/Marking Paint - Streets/Utilities 396.87 84955 05/27/2026 HEAD, BRYANT 022426 Adult Bball Forfeit Deposit Refund 150 84956 05/27/2026 HERNANDEZ, REBECCA 102225 River Lodge Deposit Refund 250 84953 05/27/2026 GROCERY OUTLET 050926 Supplies - Employee Recognition 95.55 84954 05/27/2026 H&S ENERGY GROUP HCL-060710-26 Car Wash Services - PD 42 84952 05/27/2026 GRAINGER 9920125730 Grating Clip - WWTP 236.62 84953 05/27/2026 GROCERY OUTLET 050726 Supplies - Employee Recognition 103.05 84950 05/27/2026 GAYLORD BROS, INC 2954863 Archival Storage Boxes - Depot Museum 959.53 84951 05/27/2026 GHD INC 380-0091200 Fortuna Millsite Traffic Analysis 2267.1 84948 05/27/2026 FORTUNA UNION HIGH SCHOOL 121525 River Lodge Deposit Refund - Prom/Couch 250 84949 05/27/2026 FUHS - AR 050526 River Lodge Deposit Refund 500 84947 05/27/2026 FORTUNA ACE HARDWARE 408248 Duct Tape/Poly Film - WWTP 60.2 84948 05/27/2026 FORTUNA UNION HIGH SCHOOL 012226 River Lodge Deposit Refund - Sandy Dale 250 84947 05/27/2026 FORTUNA ACE HARDWARE 408234 Paint Supplies - General Services 12.67 84947 05/27/2026 FORTUNA ACE HARDWARE 408243 Smartlock GFCI Outlet/Covers - WWTP 82.96 84947 05/27/2026 FORTUNA ACE HARDWARE 408044 Greatstuff Foam - General Services 13.13 84947 05/27/2026 FORTUNA ACE HARDWARE 408153 Loose Hardware - WWTP 11.39 84947 05/27/2026 FORTUNA ACE HARDWARE 407757 Air Fresheners - River Lodge 34.38 84947 05/27/2026 FORTUNA ACE HARDWARE 408026 Rule Tape/Greatstuff Foam - General Services 54.73 84945 05/27/2026 DRAKEFORD, RENE 022526 Adult Bball Forfeit Deposit Refund 200 84946 05/27/2026 ECOLAB 6359406728 River Lodge Dishmachine Rental FY 25/26 156.91 84943 05/27/2026 CORNERSTONE REALTY 022626 Adult Bball Forfeit Deposit Refund 150 84944 05/27/2026 CSG CONSULTANTS 66079 Franchise Agreement Negotiation Services 630 84942 05/27/2026 COOK, DYLAN 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84942 05/27/2026 COOK, DYLAN 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84942 05/27/2026 COOK, DYLAN 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84942 05/27/2026 COOK, DYLAN 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84941 05/27/2026 COLANTUONO, HIGHSMITH & WHATLEY, PC70639 Legal Services - Land Use 735 84942 05/27/2026 COOK, DYLAN 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 103.68 84941 05/27/2026 COLANTUONO, HIGHSMITH & WHATLEY, PC70517 Legal Services - Solid Waste Franchise Agreement 2384.5 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 311.04 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 207.36 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 103.68 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 103.68 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 311.04 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 207.36 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 414.72 84940 05/27/2026 CDW GOVERNMENT, INC AJ2Z66P Annual Adobe Acrobat Pro Licenses 311.04 84938 05/27/2026 BOWEN, FLOYD 022426 Adult Bball Forfeit Deposit Refund 150 84939 05/27/2026 CAMACHO, GLORIA 022526 Adult Bball Forfeit Deposit Refund 150 84936 05/27/2026 AT&T 9011 25279945 9391084093 31.91
84937 05/27/2026 BERREY, SAMUEL 052026 Per Diem 6.2 - 6.3 (Water Treatement III Test 73 84934 05/27/2026 ASAP LOCK & KEY 68334 Key Copies - Parks 11.48 84935 05/27/2026 AT&T 5025 05260893 23484108935031 31.76 Expense Approval Report
CITY OF FORTUNA By (None)
Payment Dates 5/27/2026 - 5/27/2026
Payment Number Payment Date Vendor Name Payable Number Description (Item) Amount
Grand Total: 341543.62
5/27/2026 10:52:43 AM Page 2 of 4
84990 05/27/2026 WATSON, CHAD 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84990 05/27/2026 WATSON, CHAD 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84990 05/27/2026 WATSON, CHAD 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84990 05/27/2026 WATSON, CHAD 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84989 05/27/2026 WANTT, SHYLO 022426 Adult Bball Forfeit Deposit Refund 100 84990 05/27/2026 WATSON, CHAD 052026 Per Diem 6.2 - 6.4 (Electrical Circuit Training) 33.4 84987 05/27/2026 TRACTOR SUPPLY CREDIT PLAN 27598 Kennel Supplies 80.99 84988 05/27/2026 TROTTER, JACOB 022426 Adult Bball Forfeit Deposit Refund 150 84985 05/27/2026 STITCH WITCH 61071 Shoulder Patches x200 - PD 985.5 84986 05/27/2026 THE PEOPLE OF NEW DIRECTIONS 4299 Encampment Clean-up Services 425 84983 05/27/2026 SANCHO, KYERSTEN 022526 Adult Bball Forfeit Deposit Refund 150 84984 05/27/2026 SECURITY LOCK & ALARM 220048354 Depot Museum Alarm Service Repair 300 84981 05/27/2026 ROCHA, ZACH 022426 Adult Bball Forfeit Deposit Refund 150 84982 05/27/2026 RURAL COMMUNITY ASSITANCE CORP 121125 River Lodge Deposit Refund 250 84979 05/27/2026 REINHOLTSEN, DENNIS 022426 Monday Club Deposit Refund 250 84980 05/27/2026 RIOS, RUBEN 022526 Adult Bball Forfeit Deposit Refund 200 84977 05/27/2026 POWELL, MARCUS 022426 Adult Bball Forfeit Deposit Refund 100 84978 05/27/2026 RECOLOGY EEL RIVER 781689 Debris Disposal 153.6 84976 05/27/2026 PACIFIC GAS & ELECTRIC CO 05263473 69711643473 277.65 84976 05/27/2026 PACIFIC GAS & ELECTRIC CO 05266726 44469516726 233.85 84975 05/27/2026 PACE SUPPLY CORP 211395355-1 Redi-Clamps - Utilities 455.04 84976 05/27/2026 PACIFIC GAS & ELECTRIC CO 05260847 06162570847 47.96 84974 05/27/2026 OWSLEY ELECTRIC 12166 30 Day Chart Recorder Services - NPDES 1500 84975 05/27/2026 PACE SUPPLY CORP 211395355 Redi-Clamps - Utilities 472.78 84972 05/27/2026 O'NEAL, SHANNON 022426 Adult Bball Forfeit Deposit Refund 150 84973 05/27/2026 OTIS ELEVATOR COMPANY F10000280622 Fuel Impact Fee - River Lodge Lift 175 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 695.5 84971 05/27/2026 NYLEX.NET 17422 RAM Upgrade - Public Works 234.64 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 374.5 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 374.5 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 428 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 53.5 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 1765.5 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 428 84970 05/27/2026 NORTH COAST JOURNAL 2026ci-7339 Public Notice - Valve Replacement Project 648 84971 05/27/2026 NYLEX.NET 17392 Network Support Services FY 25/26 1230.5 84968 05/27/2026 NCL OF WISCONSIN INC 535792 Lab Dishwasher 14953.76 84969 05/27/2026 NORMAN'S DRY CLEANERS 26134-027-A River Lodge Linen Service 34.4 84968 05/27/2026 NCL OF WISCONSIN INC 535561 Lab Supplies 807.35 84968 05/27/2026 NCL OF WISCONSIN INC 535792 Lab Dishwasher -1272.53 84967 05/27/2026 NAPA AUTO PARTS FORTUNA 99470 Air/Oil Filters - Parks 76.18 84968 05/27/2026 NCL OF WISCONSIN INC 535561 Lab Supplies -59.35 84966 05/27/2026 MISSION LINEN INDUS SERV 526042789 Can Liners - River Lodge 37.82 84966 05/27/2026 MISSION LINEN INDUS SERV 526047101 River Lodge Linen Service 127.87 84966 05/27/2026 MISSION LINEN INDUS SERV 526022583 Wastewater Linen Service 69.94 84966 05/27/2026 MISSION LINEN INDUS SERV 526022593 Parks/Rink Linen Service 109 84966 05/27/2026 MISSION LINEN INDUS SERV 526022582 Corp Yard Linen Service 80 84966 05/27/2026 MISSION LINEN INDUS SERV 526022582 Corp Yard Linen Service 71.59 84966 05/27/2026 MISSION LINEN INDUS SERV 526001798 Can Liners/TP - Parks 701.51 84966 05/27/2026 MISSION LINEN INDUS SERV 526001806 Toilet Paper - Parks 517.16 84964 05/27/2026 MILES, TONY 022426 Adult Bball Forfeit Deposit Refund 150 84965 05/27/2026 MILLER, TYLER 022626 Adult Bball Forfeit Deposit Refund 150 Expense Approval Report Payment Dates: 5/27/2026 - 5/27/2026 Payment Number Payment Date Vendor Name Payable Number Description (Item) 5/27/2026 10:52:43 AM Page 3 of 4
210-6025-5300 Professional Services 3014.5
280-5500-4200 Department Supplies 695.85
280-7000-4200 Travel, Conferences & Training 66.8
160-5775-5800 Network Support 374.5
165-5500-5610 Department Supplies 959.53
200-6618-4310 SWMP Implementation 153.6
160-5565-5800 Janitorial Supplies 234.47
160-5705-5800 Equipment Maintenance 175
160-5706-5800 Equipment Lease 156.91
120-6005-3100 Engineering Services 2267.1
160-2221 Monday Club Deposits 250
160-2222 River Lodge Deposits 1500
100-7200-5400 Sports Leagues 2550
101-6025-2000 Professional Services 425
120-5500-3000 Department Supplies 207.36
100-6505-2000 Utility - General & Electric 325.61
100-7000-2000 Travel, Conferences & Training 66.8
100-7000-4100 Travel, Conferences & Training 66.8
100-6020-1600 Legal Services 902.5
100-6200-2000 Telephone 31.91
100-6315-1400 Employee Recognition 198.6
100-5775-5400 Network Support 428
100-5775-5600 Network Support 53.5
100-6020-1400 Legal Services 735
100-5775-1500 Network Support 1230.5
100-5775-2000 Network Support 1765.5
100-5775-4000 Network Support 428
100-5715-2000 Vehicle Repairs 42
100-5720-5450 Equipment Repair 76.18
100-5730-5600 Alarm System Maintenance 300
100-5500-5450 Department Supplies 322.52
100-5565-5450 Janitorial Supplies 1327.67
100-5705-4000 Equipment Maintenance 234.64
100-5500-3200 Department Supplies 207.36
100-5500-4000 Department Supplies 103.68
100-5500-4100 Department Supplies 264.21
100-5500-1200 Department Supplies 311.04
100-5500-2000 Department Supplies 1377.79
100-5500-2800 Department Supplies 80.99
Account NumberAccount Name Payment Amount
100-2460 Sales Tax Payable -1331.88
100-5500-1100 Department Supplies 414.72
510 - Water Capital Fund 648
550 - Wastewater Fund 17101
560 - Wastewater Capital Fund 298636.97
Grand Total: 341543.62
Account Summary
165 - Museum Exhibit Fund 959.53
200 - Storm Drainage Fund 153.6
210 - Solid Waste Fund 3014.5
280 - Gas Tax Fund 762.65
500 - Water Fund 2163.39
Fund Payment Amount
100 - General Fund 12513.64
101 - Transaction and Use Tax Fund 425
120 - Development & Building Fund 2474.46
160 - Riverlodge Fund 2690.88
Expense Approval Report Payment Dates: 5/27/2026 - 5/27/2026 Report Summary
Fund Summary
Grand Total: 341543.62
5/27/2026 10:52:43 AM Page 4 of 4
560-6025-0171 Professional Services 1500
Grand Total: 341543.62
Project Account Summary
Project Account Key Payment Amount
**None** 341543.62
550-7000-6600 Travel, Conferences & Training 139.8
550-8000-6600 Capital Outlay 14953.76
560-6005-0171 Engineering Services 297136.97
550-5500-6600 Department Supplies 504.59
550-5557-6600 Lab Supplies 807.35
550-5775-6700 Network Support 695.5
500-6505-6000 Utility - General & Electric 233.85
500-7000-6100 Travel, Conferences & Training 66.8
510-6015-9990 General Contracting 648
500-5500-6100 Department Supplies 1456.48
500-5775-6300 Network Support 374.5
500-6200-6100 Telephone 31.76
Expense Approval Report Payment Dates: 5/27/2026 - 5/27/2026 Account Summary
Account NumberAccount Name Payment Amount
Consent Agenda Item 3c

Page 1 of 1 ends

STAFF REPORT
Consent Agenda Item
__________________________________________________________________________________________________________________ DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Siana L. Emmons, City Clerk/Human Resources Director THROUGH: Amy Nilsen, City Manager
SUBJECT: Approve Biennial Review and Amendments to the City’s Conflict of Interest Code, Resolution 2026-20
STAFF RECOMMENDATION:

Amend the Conflict of Interest Code, adding and deleting designated filers (see appendix A), and confirm the biennial review of the Conflict of Interest Code as required by the Political Reform Act by adopting Resolution 2026-20.

EXECUTIVE SUMMARY
The Political Reform Act requires every local government agency to review its Conflict of Interest Code biennially, typically in even numbered years. No later than October 1st of each even-numbered year, a notice must be submitted to the reviewing body indicating whether or not an amendment is necessary. The code reviewing body for the City of Fortuna is the City Council.

The City’s Conflict of Interest Code was last reviewed and subsequently amended in 2024.

FINANCIAL IMPACT
No financial impact associated with this item.

RECOMMENDED ACTION:

Adopt Resolution 2026-20. Consent Agenda vote.

ATTACHMENTS:
• Resolution 2026-20, A Resolution of the City Council of the City of Fortuna to Adopt an Amended Conflict of Interest Code Updating Designated Employees and Officers • 2026 Local Agency Biennial Notice
RESOLUTION 2026-20

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FORTUNA

TO ADOPT AN AMENDED CONFLICT OF INTEREST CODE UPDATING

DESIGNATED EMPLOYEES AND OFFICERS
WHEREAS, The Political Reform Act, Government Code Section 81000, et, seq., requires state and local government agencies to adopt and promulgate conflict of interest codes; and WHEREAS, The Fair Political Practices Commission has adopted a regulation (2 California Code of Regulations, Section 18730) containing terms of a standard conflict of interest code that may be incorporated by reference into an agency’s conflict of interest code; and WHEREAS, the Fair Political Practices Commission, after proper public notice and hearing, may amend the standard conflict of interest code to conform to amendments in the Political Reform Act; and
WHEREAS, the Political Reform Act requires the City to review its conflict of interest code biennially to determine if it is accurate or, alternatively that the code must be amended.

WHEREAS, the City Council has previously designated employees, officers and disclosure categories in Resolution 2024-27, which now needs to be revised. which now needs to be revised to add the Utilities Superintendent and Deputy City Engineer.

The City Council determines the attached Appendices accurately set forth those updated positions which should be designated and categories of financial interest which should be made reportable.

NOW THEREFORE BE IT RESOLVED by the City Council of the City of Fortuna as follows:

1. The terms of 2 California Code of Regulations, Section 18730 along with any amendments to it duly adopted by the Fair Political Practices Commission are hereby incorporated by reference and; Appendix A, listing Government Code Section 87200 Filers (for informational purposes only) and Designated Filers; and Appendix B setting forth the disclosure requirements, shall constitute the conflict of interest code of the City of Fortuna.

2. The City Clerk and Deputy City Clerk(s) are designated as the Filing Officials and Filing Officers for the City of Fortuna, and shall perform the duties of Filing Official and Filing Officer.

3. Government Code Section 87200 Filers shall file their Statements of Economic Interest with the Filing Officer for the City of Fortuna who shall make and retain a copy and forward the original of these statements to the Fair Political Practices Commission. (Included for informational purposes only).

4. Designated filers shall file their Statements of Economic Interest with the Filing Official for the City of Fortuna who shall retain the original of these statements.

5. All Statements of economic interest will be available for public inspection and reproduction (upon request) pursuant to Government Code Section 81008.

AND, BE IT FURTHER RESOLVED that the City of Fortuna has conducted the 2026 biennial review of its conflict of interest code, as required by the Political Reform Act, and as a result of the biennial review determined the need for an amended conflict of interest code as presented in this Resolution. The conflict of interest code shall be adopted as Resolution 2026-20, and shall rescind and supersede all previous conflict of interest codes of the City of Fortuna.

PASSED AND ADOPTED on this 1st day of June 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Mike Johnson, Mayor
ATTEST:
_______________________
Siana L. Emmons, City Clerk
RESOLUTION 2026-20

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FORTUNA

TO ADOPT AN AMENDED CONFLICT OF INTEREST CODE UPDATING

DESIGNATED EMPLOYEES AND OFFICERS

APPENDIX A
LIST OF G.C.CODE §87200 FILERS AND DESIGNATED FILERS
G.C. Code Section 87200 Filers are defined by California Government Code Section 87200 as “…members of planning commissions,…mayors, city managers, city attorneys, city treasurers, … members of city councils of cities, and other public officials who manage public investments, and to candidates for any of these offices at any election.” Filing obligations for individuals holding these positions are contained in California Government Code Sections 87200-87210. They are listed here for informational purposes only.

Filing Official sends original to FPPC, and retains copy.

Mayor
Council Member
Planning Commissioner
City Manager
City Attorney
Finance Director
Candidates for any of these positions
Designated Filers are defined as employee, members and consultants determined by the City of Fortuna to be persons who “make or participate in the making of decisions which may foreseeably have a material effect on economic interests”, under 2 California Code of Regulations, Section 18730 (2) Designated Employees.

Filing Officer retains original.

Police Chief
Lieutenant
Human Resources Manager
City Clerk
Deputy City Clerk
Finance Office Supervisor
Community Development Director / Deputy Director
City Engineer
Building Official
Public Works Director
Chief Plant Operator
General Services Superintendent
Utilities Superintendent
Deputy City Engineer
Parks & Recreation Director
Recreation Program Supervisor
River Lodge Manager
Measure E Independent Oversight Committee
Senior Planner
Professional Consultants:

Consultants shall be included in the list of designated employees and shall disclose pursuant to the broadest disclosure category in the code subject to the following limitations:

Engineers and land surveyors who provide professional services as consultants need not file a statement unless those services relate to certain assessment recommendations.

The City Manager may determine in writing that a particular consultant, although a "designated position," is hired to perform a range of duties that is limited in scope and thus is not required to fully comply with the disclosure requirements in this section. Such written determination shall include a description of the consultant's duties and, based upon that description, a statement of the extent of disclosure requirements. The City Manager's determination is a public record and shall be retained for public inspection in the same manner and location as this conflict of interest code.

APPENDIX B

DISCLOSURE REQUIREMENTS
G.C. Code Section 87200 Filers: Disclosure requirements for Code Filers are contained in the Political Reform Act, Chapter 7-Conflict of Interest, Article 2-Disclosure, Sections 87200-87210.

Designated Filers: Full disclosure is required for all designated employees. Full disclosure includes all interest in real property located within the City of Fortuna (other than filer’s principle residence), as well as investments, business positions and sources of income, including gifts, loans and travel payments.
www.fppc.ca.gov
FPPC Advice: [email protected] (866.275.3772)

Page 1 of 1 ends

2026 Local Agency Biennial Notice
Name of Agency:

Mailing Address:

Contact Person: Phone No.

Email: Alternate Email:

Accurate disclosure is essential to monitor whether officials have conflicts of interest and to help ensure public trust in government. The biennial review examines current programs to ensure that the agency’s code includes disclosure by those agency officials who make or participate in making governmental decisions.

This agency has reviewed its conflict of interest code and has determined that (check one BOX):

An amendment is required. The following amendments are necessary:
(Check all that apply.)
Include new positions
Revise disclosure categories
Revise the titles of existing positions
Delete titles of positions that have been abolished and/or positions that no longer make or participate in making governmental decisions
Other (describe)
The code is currently under review by the code reviewing body.

No amendment is required. (If your code is over five years old, amendments may be necessary.)
Verification (to be completed if no amendment is required) This agency’s code accurately designates all positions that make or participate in the making of governmental decisions. The disclosure assigned to those positions accurately requires that all investments, business positions, interests in real property, and sources of income that may foreseeably be affected materially by the decisions made by those holding designated positions are reported. The code includes all other provisions required by Government Code Section 87302.
__________________________________________ _________________________ Signature of Chief Executive Officer Date
All agencies must complete and return this notice regardless of how recently your code was approved or amended. Please return this notice no later than October 1, 2026, or by the date specified by your agency, if earlier, to:
(PLACE RETURN ADDRESS OF CODE REVIEWING BODY HERE)
PLEASE DO NOT RETURN THIS FORM TO THE FPPC.

Consent Agenda Item 3d

Page 1 of 2 ends

Staff recommends the City Council approve the Full-time Pay Rate Schedule, by adopting Resolution 2026-21.

EXECUTIVE SUMMARY:

Annually, the City is required to adopt a schedule of positions and the related classifications and pay. As part of the Fiscal Year (FY) 2026–27 Full-Time Pay Rate Schedule adoption, the following modifications are proposed.

Police Lieutenant:

A salary adjustment to the Police Lieutenant classification is proposed to address salary compression impacts associated with the November 17, 2025, side letter with the Fortuna Police Employees Association (FPEA) that provided an overall 15% pay increase for the Police Sergeant classification. As an unrepresented management classification, the Police Lieutenant position is recommended for a 10% adjustment to preserve an appropriate compensation relationship between supervisory and subordinate classifications. The previously approved annual stipend amount of $9,800 will no longer be paid in conjunction with this change.

Employment Contracts:
3% increase per employment contracts of the City Manager, Finance Director, and City Clerk/HR Director. These contracts have previously come before your Council in 2024.

FISCAL IMPACT:

The fiscal impacts associated with the Full-Time Classification and Pay Rate Schedule were incorporated into the FY 2026-27 Adopted Budget.

RECOMMENDED COUNCIL ACTION:

Motion to adopt Resolution 2026-21. Consent Agenda vote.

Consent Agenda Item 3d

Page 2 of 2 ends

ATTACHMENTS:
• Resolution 2026-21, A Resolution of the City Council of the City of Fortuna Adopting the Full-Time Classification and Pay Rate Schedule for Fiscal Year 2026-27 o Attachment “A” FY 2026-27 Full-Time Pay Rate Schedule RESOLUTION 2026-21

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FORTUNA

ADOPTING THE FULL-TIME CLASSIFICATION AND PAY RATE SCHEDULE FOR FISCAL YEAR 2026-27
WHEREAS, the City Council has established a Classification and Pay Rate Schedule for Fiscal Year 2026-27 for all full-time employees; and
WHEREAS, this Full-time Pay Rate Schedule shall reflect the proposed reclassifications for Fiscal Year 2026-27; and
WHEREAS this Pay Rate Schedule will be effective July 1, 2026, and WHEREAS, this Resolution shall supersede all previous Full-Time Classification and Pay Rate Schedules.

NOW THEREFORE BE IT RESOLVED by the City Council of the City of Fortuna that all appointed officers and employees shall be compensated as shown in “Attachment A” of this Resolution.

PASSED AND ADOPTED on this 1
st day of June 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________
Mike Johnson, Mayor
ATTEST:
___________________________
Siana L. Emmons, City Clerk
FY 2026-27 Full-time Pay Rate Schedule
City of Fortuna
P / R Step Base 4% 4% 4% 4% 4%
Code No. Step 0 Step 1 Step 2 Step 3 Step 4 Step 5
305 Bus Driver II (1) F20 Yr: 38,212.09 39,740.57 41,330.20 42,983.41 44,702.74 46,490.85 306 Conference Center Coordinator (1) Hr: 21.6132 22.4778 23.3769 24.3119 25.2844 26.2958 320 Facility Custodian (1)
325 Park Maintenance Worker II (1)
312 Account Clerk II (1) F21 Yr: 39,440.54 41,018.17 42,658.89 44,365.25 46,139.86 47,985.45 326 Street Maintenance Worker II (1) Hr: 22.3080 23.2004 24.1284 25.0935 26.0973 27.1411 334 Records Clerk (2) F22 Yr: 40,604.18 42,228.35 43,917.48 45,674.18 47,501.15 49,401.20 Hr: 19.5213 20.3021 21.1142 21.9588 22.8371 23.7506
338 Administrative Assistant II (1) F23 Yr: 40,286.71 41,898.18 43,574.11 45,317.07 47,129.76 49,014.95 Hr: 22.7867 23.6981 24.6460 25.6319 26.6572 27.7234
313 Recreation Program Supervisor (4) F24 Yr: 40,681.68 42,308.95 44,001.31 45,761.36 47,591.81 49,495.48 Hr: 23.0101 23.9305 24.8877 25.8832 26.9185 27.9952
327 Utility Worker II (1) F25 Yr: 41,371.20 43,026.05 44,747.09 46,536.97 48,398.45 50,334.39 Hr: 23.4000 24.3360 25.3095 26.3219 27.3747 28.4697
350 Community Services Officer II (2) F26 Yr: 43,056.35 44,778.61 46,569.75 48,432.54 50,369.84 52,384.64 351 Police Officer Trainee (2) Hr: 20.7002 21.5282 22.3894 23.2849 24.2163 25.1850 352 Park Maintenance Worker III (1) F27 Yr: 42,472.71 44,171.62 45,938.48 47,776.02 49,687.06 51,674.54 356 Accounting Technician (1) Hr: 24.0231 24.9840 25.9834 27.0227 28.1036 29.2277 353 Street Maintenance Worker III (1) F28 Yr: 43,240.36 44,969.98 46,768.78 48,639.53 50,585.11 52,608.51 365 Treatment Plant Operator I/OIT (1) Hr: 24.4573 25.4356 26.4530 27.5111 28.6115 29.7560 367 Administrative Assistant III (2) F29 Yr: 46,309.55 48,161.93 50,088.41 52,091.95 54,175.62 56,342.65 Hr: 22.2643 23.1548 24.0810 25.0443 26.0460 27.0879
354 Utility Worker III (1) F30 Yr: 45,604.74 47,428.93 49,326.08 51,299.13 53,351.09 55,485.14 Hr: 25.7946 26.8264 27.8994 29.0154 30.1760 31.3830
Classification
Adopted By Council at 6-1-26 Meeting (Effective 7-1-26) FY 2026-27 Full-time Pay Rate Schedule
City of Fortuna
P / R Step Base 4% 4% 4% 4% 4%
Code No. Step 0 Step 1 Step 2 Step 3 Step 4 Step 5
Classification
376 Facility Maintenance Worker III (1) F31 Yr: 46,435.03 48,292.43 50,224.13 52,233.09 54,322.42 56,495.32 Hr: 26.2642 27.3148 28.4074 29.5437 30.7254 31.9544
382 Vehicle & Equip Mechanic (1) F32 Yr: 47,265.33 49,155.94 51,122.18 53,167.06 55,293.75 57,505.50 Hr: 26.7338 27.8032 28.9153 30.0719 31.2748 32.5258
370 Treatment Plant Operator II (1) F33 Yr: 47,778.43 49,689.57 51,677.15 53,744.24 55,894.01 58,129.77 Hr: 27.0240 28.1050 29.2292 30.3984 31.6143 32.8789
387 Police Dispatcher II (2) F34 Yr: 51,377.25 53,432.33 55,569.63 57,792.41 60,104.11 62,508.27 Hr: 24.7006 25.6887 26.7162 27.7849 28.8963 30.0521
384 Lead Park Maintenance Worker (1) F35 Yr: 49,890.38 51,886.00 53,961.44 56,119.90 58,364.69 60,699.28 389 Senior Administrative Assistant - CD (1) Hr: 28.2186 29.3473 30.5212 31.7421 33.0118 34.3322 390 Senior Administrative Assistant - PW (1)
375 Conference Center Manager (4) F36 Yr: 50,379.51 52,394.69 54,490.47 56,670.09 58,936.90 61,294.37 391 Sr Administrative Assistant / Deputy City Clerk (3) Hr: 28.4952 29.6351 30.8205 32.0533 33.3354 34.6688 380 Lead Street Maintenance Worker (1) F37 Yr: 50,788.43 52,819.97 54,932.77 57,130.08 59,415.28 61,791.89 400 Building Inspector (1) Hr: 28.7265 29.8756 31.0706 32.3134 33.6060 34.9502 398 Treatment Plant Operator III (1) F38 Yr: 51,979.20 54,058.37 56,220.70 58,469.53 60,808.31 63,240.64 401 Lead Vehicle & Equip Mechanic (1) Hr: 29.4000 30.5760 31.7991 33.0711 34.3939 35.7696 381 Lead Utility Worker (1) F39 Yr: 53,627.69 55,772.80 58,003.71 60,323.86 62,736.82 65,246.29 404 Laboratory Director (1) Hr: 30.3325 31.5458 32.8076 34.1199 35.4847 36.9041 405 Planner II (4) F40 Yr: 54,153.46 56,319.59 58,572.38 60,915.27 63,351.88 65,885.96 406 Building Inspector II (1) Hr: 30.6298 31.8550 33.1292 34.4544 35.8326 37.2659 408 Police Officer (2) F41 Yr: 60,570.89 62,993.73 65,513.48 68,134.02 70,859.38 73,693.75 Hr: 29.1207 30.2855 31.4969 32.7568 34.0671 35.4297
Adopted By Council at 6-1-26 Meeting (Effective 7-1-26) FY 2026-27 Full-time Pay Rate Schedule
City of Fortuna
P / R Step Base 4% 4% 4% 4% 4%
Code No. Step 0 Step 1 Step 2 Step 3 Step 4 Step 5
Classification
403 Treatment Plant Operator III/Shift Supervisor (1) F42 Yr: 56,073.89 58,316.84 60,649.52 63,075.50 65,598.52 68,222.46 Hr: 31.7160 32.9847 34.3041 35.6762 37.1033 38.5874
422 Engineering Tech II (4) F43 Yr: 58,235.36 60,564.77 62,987.36 65,506.86 68,127.13 70,852.22 430 Finance Office Supervisor (4) Hr: 32.9386 34.2561 35.6264 37.0514 38.5335 40.0748 432 Payroll/Benefits Administrator (3)
440 Police Sergeant (2) F47 Yr: 73,390.08 76,325.68 79,378.71 82,553.86 85,856.01 89,290.25 Hr: 35.2837 36.6951 38.1629 39.6894 41.2770 42.9281
450 Senior Planner (4) F54 Yr: 71,248.15 74,098.07 77,062.00 80,144.48 83,350.26 86,684.27 458 Building Official (4) Hr: 40.2988 41.9107 43.5872 45.3306 47.1439 49.0296 460 General Services Superintendent (4)
462 Utility Superintendent (4)
463 Chief Treatment Plant Operator (4)
465 Parks and Recreation Director (4)
480 Deputy City Engineer (4) F60 Yr: 79,568.74 82,751.49 86,061.54 89,504.01 93,084.17 96,807.53 Hr: 45.0050 46.8052 48.6774 50.6245 52.6495 54.7554
472 Lieutenant (4) F61 Yr: 89,252.62 92,822.73 96,535.64 100,397.06 104,412.94 108,589.46 Hr: 42.9100 44.6264 46.4114 48.2679 50.1986 52.2065
464 City Clerk/Human Resource Manager (5) F65 Yr: 90,753.32 94,383.45 98,158.79 102,085.14 106,168.55 110,415.29 Hr: 51.3311 53.3844 55.5197 57.7405 60.0501 62.4521
487 Community Development Dir/City Engineer(5) F66 Yr: 110,960.16 115,398.57 120,014.51 124,815.09 129,807.69 135,000.00 Hr: 62.7603 65.2707 67.8816 70.5968 73.4207 76.3575
488 Public Works Director (4) F70 Yr: 101,116.76 105,161.43 109,367.89 113,742.60 118,292.31 123,024.00 Hr: 57.1928 59.4805 61.8597 64.3341 66.9075 69.5838
490 Finance Director (5) F72 Yr: 110,480.18 114,899.39 119,495.37 124,275.18 129,246.19 134,416.03 Hr: 62.4888 64.9884 67.5879 70.2914 73.1031 76.0272
Adopted By Council at 6-1-26 Meeting (Effective 7-1-26) FY 2026-27 Full-time Pay Rate Schedule
City of Fortuna
P / R Step
Code No.
495 Police Chief (5) F97 Yr: 148,000.00
Hr: 71.1539
499 City Manager (5) F99 Yr: 164,800.00 169,744.00
Hr: 93.2127 96.0091
KEY:
(1) Represented; Fortuna Employees Association (4) Unrepresented; Management Group (2) Represented; Fortuna Police Employees Association (5) Unrepresented; Individual Contract (3) Unrepresented; Confidential Group
Classification
* NOTE: The Payroll Department will be paying based on the Hourly Pay as shown in this schedule. Yearly pay is shown for informational purposes only and may, due to rounding, differ slightly from Hourly Pay.

Pay Range
Adopted By Council at 6-1-26 Meeting (Effective 7-1-26) Consent Agenda Item 3e

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STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Siana L. Emmons, Human Resources Director
THROUGH: Amy Nilsen, City Manager
SUBJECT: Approve the Part-Time Pay Rate Schedule for Fiscal Year 2026-27, Resolution 2026-22
STAFF RECOMMENDATION:

Staff recommends the City Council approve the Part-time Pay Rate Schedule, by adopting Resolution 2026-22.

EXECUTIVE SUMMARY:

Annually the City is required to adopt a schedule of positions and the related classifications and pay, including part-time positions. The Fiscal Year (FY) 2026-27 Part-Time Pay Rate Schedule is included here as Attachment “A” to Resolution 2026-22.

In addition, for regular part-time employees, the City will provide a one-time $3,000 retention stipend to be paid in two equal lump sum installment payments of $1,500 – the first payment in the last pay period of July and the second payment in the first pay period of December. In order to receive the installment payment, an employee must be currently employed by the City and either scheduled for active shifts or be on paid leave as of the beginning of the applicable pay period referenced above.

FISCAL IMPACT:

The fiscal impacts associated with the Part-Time Classification and Pay Rate Schedule were incorporated into the FY 2026-27 Adopted Budget.

RECOMMENDED COUNCIL ACTION:

Motion to adopt Resolution 2026-22. Consent Agenda vote.

ATTACHMENTS:
• Resolution 2026-22; A Resolution of the City Council of the City of Fortuna Adopting the Part-Time Classification and Pay Rate Schedules for Fiscal Year 2026-27 o Attachment “A” FY 2026-27 Part-time Pay Rate Schedule RESOLUTION 2026-22

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FORTUNA

ADOPTING THE PART-TIME CLASSIFICATION AND
PAY RATE SCHEDULE FOR FISCAL YEAR 2026-27
WHEREAS, the City desires to establish a Classification and Pay Rate Schedule for Fiscal Year 2026-27 for all part-time employees; and
WHEREAS, the Pay Rate Schedule will be effective July 1, 2026; and WHEREAS, this Resolution shall supersede all previous Part-Time Classification and Pay Rate Schedules.

NOW THEREFORE BE IT RESOLVED by the City Council of the City of Fortuna that all part-time employees shall be compensated as shown in “Attachment A” of this Resolution.

PASSED AND ADOPTED on this 1
st day of June 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________
Mike Johnson, Mayor
ATTEST:
___________________________
Siana L. Emmons, City Clerk
FY 2026-27 Part-time Pay Rate Schedule
City of Fortuna
P / R Step Base 2% 2% 2% 2% 2%
Code No. Step 0 Step 1 Step 2 Step 3 Step 4 Step 5
200 Kennel Attendant (R & OC) P10 Hr: 16.9000 17.2380 17.5828 17.9345 18.2932 18.6590 201 Recreation Leader (OC)
202 Conference Center Worker (OC)
204 Street Maintenance Worker I (R & OC) P12 Hr: 17.4240 17.7725 18.1280 18.4905 18.8603 19.2376 205 Parks Maintenance Worker I (R & OC)
220 Bus Driver I (R)
221 Recreation Program Coordinator (R & OC)
203 Transit Dispatch / Office Assistant (R) P19 Hr: 18.7563 19.1314 19.5141 19.9043 20.3024 20.7085 230 Museum Curator (R)
235 Account Clerk I (R)
240 Administrative Assistant I (R) P23 Hr: 19.5586 19.9497 20.3487 20.7557 21.1708 21.5942 250 Community Services Officer I (R) P26 Hr: 20.6198 21.0322 21.4529 21.8819 22.3195 22.7659 251 Reserve Police Officer (OC)
265 Dispatcher I (OC) P35 Hr: 26.6905 27.2243 27.7688 28.3242 28.8907 29.4685 270 Code Compliance Officer (R) P36 Hr: 27.1710 27.7144 28.2687 28.8340 29.4107 29.9989 299 * Special Consultant / Interim Employee (T) Hr: 16.9000 100.0000 KEY:

R: Regular Hourly Part-time; Maximum of 29 hours per week and 1400 hours per calendar and fiscal year. (Year-round positions) T: Temporary Hourly Part-time; Job assignment not to exceed one year (12 consecutive months). (One-time projects, not subject to call back year after year) Classification
* This Classification includes but is not limited to Retired Annuitants, Special Projects Consultants, and Interim Employees. Hourly wage is dependent upon qualifications and positions hired for. Does not participate in COLA/pay adjustments.

OC: On Call; Maximum of 1000 hours per calendar and fiscal year. (See Determining Part-Time Status Policy for further paramaters) Adopted By Council at 6-1-26 Meeting (Effective 7-1-26) Consent Agenda Item 3f

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STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Siana Emmons, Human Resources Director
THROUGH: Amy Nilsen, City Manager
SUBJECT: Approve Side Letters to the Memoranda of Understanding Between the City of Fortuna and the Fortuna Police Employees Association, Fortuna Employees Association and Approve Resolution 2026-23, for the Unrepresented Group for Fiscal Year 2025-2027; and Authorize the City Manager to Execute STAFF RECOMMENDATION:

Approve the side letters to the Memoranda of Understanding between the City of Fortuna and the Fortuna Police Employees Association, Fortuna Employees Association and approve Resolution 2026-23 for the Unrepresented Group for Fiscal Year (FY) 2025-2027; and Authorize the City Manager to Execute.

EXECUTIVE SUMMARY:

Effective July 1, 2026, the City will transition to updated medical plan options designed to provide greater long-term stability while maintaining strong and comprehensive coverage.

These changes will result in increased premiums for both employees and the City. The cost increases reflect broader healthcare trends, including rising hospital and provider costs, increased utilization of specialty medications, including GLP-1 drug and the growing demand for care related to chronic and complex conditions
Healthcare and prescription drug costs continue to increase at a rate that outpaces general inflation.

Despite these changes, employees will continue to have access to a quality Exclusive Provider Organization (EPO) plan through the calendar year.

On April 20, 2026, staff met with Council in closed session to discuss the increases and potential options to help mitigate some of the financial impact being passed on to employees. In recognition of the financial impact, Council directed staff to provide a temporary premium offset to eligible employees for a period of six (6) months beginning July 1, 2026, and ending December 31, 2026.

To memorialize agreement, staff is presenting two side letters, one for the FPEA and one for the FEA, as well as Resolution 2026-23, which will supersede the previously adopted resolution for the unrepresented employee group. In addition, there are minor amendments in Resolution 2026- 23, which include updating the Department Head and Division Head lists to reflect current allocated positions. In addition, as noted in the Staff Report for the Full Time Salary Schedule for Consent Agenda Item 3f

Page 2 of 3 ends

Fiscal Year (FY) 2026-27, as an unrepresented management classification, the Police Lieutenant position is recommended for a 10% adjustment to preserve an appropriate compensation relationship between supervisory and subordinate classifications. The previously approved annual stipend amount of $9,800 will no longer be paid in conjunction with this change and is not included in the Resolution 2026-23.

BACKGROUND
The recent increase in health plan costs is the result of measurable changes in claims activity and broader healthcare market pressures and not a single event or isolated issue. These changes are directly impacting program costs and, in turn, employee premiums.

During the 2025 plan year, claims activity shifted significantly. The data shows that the number of high-cost claimants increased by nearly 80%, while the cost of those claims increased by approximately 90%. At the same time, total medical claims increased by approximately 42%, and pharmacy costs increased by approximately 36%. These changes reflect increases in both the frequency and severity of claims, meaning more individuals are utilizing care, and the cost of that care has also increased.

Importantly, these trends are not unique to this program. The broader healthcare market is experiencing sustained cost pressure driven by rising provider costs, increased utilization, and growth in specialty medications. Nationally, healthcare costs are increasing much faster than general inflation, and prescription drug spending continues to be one of the fastest-growing components of healthcare.

Despite these increases, the program remains competitively positioned. Even with these changes, the program continues to perform at or below comparable public agency benchmarks, and the fully insured market has shown limited appetite to quote programs of this size and structure.

The program is being actively managed with a focus on long-term stability, cost control, and maintaining competitive positioning in a challenging market, while continuing to provide FINANCIAL IMPACT:

The total cost to the City for this limited duration offset is $32,000 and a breakdown of the City’s portion is included in the table below. This has been included in the FY 26-27 Proposed Budget as presented to the City Council that is scheduled to be adopted on June 15, 2026.

Consent Agenda Item 3f

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RECOMMENDED COUNCIL ACTION:

Approve the side letters to the Memoranda of Understanding between the City of Fortuna and the Fortuna Police Employees Association, the City of Fortuna and the Fortuna Employees Association and Resolution 2026-23, for the Unrepresented Group for FY 2025-2027; and Authorize the City Manager to Execute. Consent Agenda vote.

ALTERNATIVE TO STAFF RECOMMENDATIONS:

The City Council could choose not to approve side letters and Resolution, which would impose additional financial strain on employees, potentially driving some to seek employment with neighboring agencies offering higher wages. This could also result in high turnover rate that the City would be challenged to navigate during a hiring freeze to General Fund positions. This is not recommended as this would create labor relations impacts, decline in morale and engagement and overall workforce instability for the City.

ATTACHMENTS:
• Draft Side Letter to the Fortuna Police Employees Association Memorandum of Understanding for FY 2025-27
• Draft Side Letter to the Fortuna Employees Association Memorandum of Understanding for FY 2025-27
• Resolution 2026-23 – A Resolution of the City Council of the City of Fortuna Establishing and Authorizing Supplemental Compensation and Benefits for Management and Confidential (“Unrepresented”) Employees
Current EPO 250 Fiscal Year 25-26 Monthly Cost
Opt-Out Single Two Party Family
Total Cost $ 840.75 $ 1,121.00 $ 2,348.00 $ 3,353.00
City Portion 840.75 952.86 1,995.80 2,850.06
Employee Portion 168.14 352.20 502.94
Estimated Increase to Plan for Fiscal Year 26-27 28.46% Estimated EPO 500 Fiscal Year 26-27 Monthly Cost
Opt-Out Single Two Party Family
Total Cost 1,080.00 1,440.00 3,016.00 4,307.00
City Portion 1,080.00 1,224.00 2,563.60 3,660.95
Employee Portion 216.00 452.40 646.05
TEMPORARY CITY OFFSET 47.86 100.20 143.11
City of Fortuna Health Insurance Analysis
FPEA MOU FY 2025-2027

Page 1 of 3 ends

Side Letter to the
2025-2027 Memorandum of Understanding Between
The City of Fortuna and the Fortuna Police Employees Association June 1, 2026
The City of Fortuna ("City") and the Fortuna Police Employee Association ("Association") hereby agree to terms as outlined in the terms of the existing Memorandum of Understanding ("MOU") between the City and Association.

The Association and the City now agree to this Side Letter, which amends Section I, Insurance, of the MOU. A copy of the Amended Section I is attached hereto.

Dated: ________________________

FORTUNA POLICE EMPLOYEES ASSOCATION
___________________________________________
Justin Primofiore, President

CITY OF FORTUNA
____________________________________________
Amy Nilsen, City Manager
FPEA MOU FY 2025-2027

Page 2 of 3 ends

Section I: INSURANCE

1. Health & Welfare
The City agrees to provide medical, dental, vision and life insurance for employees in the Police Employees representation unit.

For the term May 1, 2025 through June 30, 20267, for all employees in the Police Employees representation unit, the contribution towards medical shall be split between the City at 85% and the employee at 15%.

A. , dental, vision, life insurance, and employee assistance program shall be as follows:
2024-2025 MONTHLY COSTS WITH $250 DEDUCTIBLE
Employee Employee +1 Employee +2
(or more)
Medical- Anthem/Blue Cross $1,075.00 $2,252.00 $3,215.00 Vision-VSP 18.20 18.20 18.20
Dental-Ameritas 56.84 96.20 143.20
Life (10,000) 1.65 1.65 1.65
Employee Assistance Program 2.84 2.84 2.84
TOTAL INSURANCE COSTS $1,154.53 $2,370.89 $3,380.89
Amount paid by City $993.29 $2,033.09 $2,898.65
Amount paid by Employees $161.24 $337.80 $482.24
B. For the term July 1, 2026 through December 31, 2026, for all employees in the Police Employees representation unit, the contribution towards medical insurance, shall be as follows:

July 1 - Dec. 31, 2026 MONTHLY COSTS WITH $500 DEDUCTIBLE Employee Employee +1 Employee +2
(or more)
Medical- Anthem/Blue Cross $1,440.00 $3,016.00 $4,307.00 Amount paid by City $1,271.68 $2,663.80 $3,804.06
Amount paid by Employees $168.14 $352.20 $502.94
A.C. Beginning January 1, 2027, mMedical pPremiums will revert back to being split between the City at 85% and the employee at 15%, regardless of changes to premiums at that time.Y
B.D. The City will provide a vision plan and a dental plan, through the Redwood Empire Municipal Insurance Fund (REMIF) for all represented employees. Vision and dental coverage are optional; however, if an employee declines the coverage the amount paid by the employee will stay the same.

Formatted Table
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FPEA MOU FY 2025-2027

Page 3 of 3 ends

C.E. Life insurance is provided for full-time City employees under REMIF. The City contributes the premium for ten thousand dollars ($10,000) term life insurance per employee.

D.F. Cal Ore Life Flight benefits will be provided for FY 2025-27 for all full time benefitted employees and their household. Employees that opt-out of medical coverage will also be provided Cal Ore Life Flight benefits at no additional cost.

E.G. The City offers an employee assistance program that offers 24/7 counseling, nursing, legal, and financial assistance for employees. The City pays this benefit in full for all full time employees.

B.H. The City will provide access to Aflac supplemental insurance options to all City employees. Premiums for supplemental insurance are to be paid by the employee and may be set up on a “pre-tax” payment schedule.

FEA MOU 2025-27
1 Side Letter to the
2025-2027 Memorandum of Understanding Between
The City of Fortuna and the Fortuna Employees Association June 1, 2026
The City of Fortuna ("City") and the Fortuna Employee Association ("Association") hereby agree to terms as outlined in the terms of the existing Memorandum of Understanding ("MOU") between the City and Association.

The Association and the City now agree to this Side Letter, which amends Section I, Insurance, of the MOU. A copy of the Amended Section I is attached hereto.

Dated: ________________________

FORTUNA EMPLOYEES ASSOCATION
___________________________________________
Andrew White, President

CITY OF FORTUNA
____________________________________________
Amy Nilsen, City Manager
FEA MOU 2025-27
2 Section I: INSURANCE

1. Health & Welfare
The City agrees to provide medical, dental, vision and life insurance for employees in the Fortuna Employee Association.

A. For the term July 1, 2025 – June 30, 20267, for all employees in the Fortuna Employees Association, the premium paymentscontributions towards medical shall be split between the City at 85% and the employee at 15%.

B. For represented employees participating in the City’s medical coverage, the City will provide a vision plan and a dental plan through the Redwood Empire Municipal Insurance Fund (REMIF). The City pays this benefit in full for all full-time employees.For the term July 1, 2026 through December 31, 2026, for all employees in the Employees representation unit, the contribution towards medical insurance, shall be as follows:

B. The City will provide a vision plan and a dental plan for all represented employees. Vision and dental are optional, however, if an employee declines coverage the amount paid by employee for medical benefits will stay the same.

C.D. Life insurance is provided for full-time City employees. The City contributes the premium for ten thousand dollars ($10,000) term life insurance per employee.

D.E. Cal Ore Life Flight benefits will be provided for FY 2025-27, for all full-time benefited employees and their household. Employees that opt-out of medical coverage will also be provided Cal Ore Life Flight benefits at no additional cost.

E.F. The City offers an employee assistance program that offers 24/7 counseling, nursing, legal, and financial assistance for employees. The City pays this benefit in full for all full time employees.

F.G. The City will provide access to Aflac supplemental insurance options to all City employees. Premiums for supplemental insurance are to be paid by the employee and may be set up on a “pre-tax” payment schedule.

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2 RESOLUTION 2026-23

A RESOLUTION OF THE CITY COUNCIL OF THE CITYOF FORTUNA

ESTABLISHING AND AUTHORIZING SUPPLEMENTAL COMPENSATION AND

BENEFITS FOR MANAGEMENT AND CONFIDENTIAL
(“UNREPRESENTED”) EMPLOYEES
Effective July 1, 2026
WHEREAS, the City Council has established supplemental compensation and benefits for Management and Confidential “Unrepresented” Employees for Fiscal Year 2025-27 for all fulltime unrepresented employees; and WHEREAS, this Resolution shall reflect the proposed amendments for Fiscal Year 2025-27; and WHEREAS this Resolution will be effective July 1, 2026 and WHEREAS, this Resolution shall supersede all previous Resolutions Establishing an authorizing supplemental compensation and benefits for management and confidential “Unrepresented” employees Schedules.

BE IT RESOLVED by the City Council of the City of Fortuna that the following list of management and confidential employees, which are not represented (“UNREPRESENTED”) by a union or association, shall receive the supplemental compensation and benefits contained within.

Department Heads
Parks and Recreation Director
Community DevelopmentPublic Works Director
Division Heads
Chief Treatment Plant Operator
General Services Superintendent
Deputy City Engineer
Police Lieutenant
Utility Superintendent
Senior Planner
Confidential/Mid-Management
Engineering Tech II
Recreation Program Supervisor
Conference Center Manager
Payroll/Benefits Administrator (Finance)
Finance Office Supervisor
Building Official
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3 Those employees identified above shall receive the following supplemental compensation and benefits to be administered at the direction of the City Manager. Department Heads, Division Heads and Confidential/Mid-Management employees hold their positions at the will of the City Council or City Manager.

SECTION 1. PAY
Pay Adjustments for Unrepresented Non-Safety Employees
For Fiscal Year 2025-26 unrepresented, non-safety employees currently employed by the City and scheduled for active shifts or on paid leave as of July 1, 2025, the City offers a one-time $7,500 retention stipend to be paid in two lump sums, in the last pay period of July 2025 and first pay period of December 2025.

For Fiscal Year 2026-27 unrepresented, non-safety employees currently employed by the City and scheduled for active shifts or on paid leave as of July 1, 2026, the City offers a one-time retention stipend of $7,500 to be paid in two lump sums, last pay period in July 2026 and first pay period in December 2026.

Effective June 29, 2025, for all unrepresented non-safety employees, the normal, full-time workweek shall consist of thirty-four (34) hours with offices closed on Fridays. Upon schedule change, a full-time equivalent (FTE) of 1.0 is equivalent to an employee who normally works thirty-four hours per week.

During the 24-month trial period of the 34-hour work week, hourly pay will be adjusted by 17.65% to ensure employees are earning the same weekly amount.

At the completion of the 24-month trial period, unless otherwise extended by the City and the Association, the normal, full-time workweek will revert back to a forty (40) hour workweek, with the employees’ hourly pay adjusted back to its previous wage rate prior to the trial period.

Pay Adjustments Unrepresented Safety Employees
Effective July 1, 2026 Aa 10% salary adjustment to the Police Lieutenant classification to address salary compression impacts associated with the November 17, 2025, side letter with the Fortuna Police Employees Association (FPEA) that provided an overall 15% pay increase for the Police Sergeant classification. The previously approved annual stipend amount of $9,800 will no longer be paid in conjunction with this change.

For Fiscal Year 2025-26 unrepresented safety employees currently employed by the City and scheduled for active shifts or on paid leave as of July 1, 2025, the City offers a one-time retention stipend, or ten percent of base pay, as shown in the chart below to be paid in two lump sums, last pay period in July 2025 and first pay period in December 2025.

For Fiscal Year 2026-27 unrepresented safety employees currently employed by the City and Senior Administrative Assistant/Deputy City Clerk (City Manager’s Office)
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4 scheduled for active shifts or on paid leave as of July 1, 2026, the City offers a one-time retention stipend as shown in the chart below to be paid in two lump sums, last pay period in July 2026 and first pay period in December 2026.

Police Lieutenant $9,900
Longevity Pay
Upon completion of five (5) years of continuous employment with the City of Fortuna, eligible employees shall receive an additional 5% of their base salary as longevity pay. Upon completion of fifteen (15) years of continuous employment with the City of Fortuna, eligible employees shall receive an additional 2% of their base salary as longevity pay. Upon completion of twenty (20) years of continuous employment with the City of Fortuna, eligible employees shall receive an additional 2% of their base salary as longevity pay.

SECTION 2. HEALTH & WELFARE
The City agrees to provide medical, dental, vision and life insurance for unrepresented employees in the same manner as for employees represented by the Fortuna Employees Association.

A. For the term July 1, 2025 – June 30, 2027, for unrepresented employees, the premium payments towards medical shall be split between the City at 85% and the employee at 15%.

B. For the term July 1, 2026 through December 31, 2026, for all employees in the Unrepresented Group, the contribution towards medical insurance, shall be as follows:

B.D. For unrepresented employees participating in the City’s medical coverage, the City will provide a vision plan and a dental plan through the California Intergovernmental Risk Authority (CIRA)Redwood Empire Municipal Insurance Fund (REMIF). The City pays this benefit in full for full-time employees.

C.E. Life insurance is provided for full-time City employees. The City contributes the premium for ten thousand dollars ($10,000) term life insurance per employee.

D.F. Cal Ore Life Flight benefits will be provided for FY 2025-27, for all full-time benefitted employees and their household. Employees that opt-out of medical coverage will also be provided Cal Ore Life Flight benefits at no additional cost.

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5 E.G. The City offers an employee assistance program that offers 24/7 counseling, nursing, legal, and financial assistance for employees. The City pays this benefit in full for all full time employees.

F.H. The City will provide access to Aflac supplemental insurance options to all City employees. Premiums for supplemental insurance are to be paid by the employee and may be set up on a “pre-tax” payment schedule.

SECTION 3. OPTING OUT OF MEDICAL COVERAGE
A. Under the following circumstances, a full-time employee may decline medical coverage, and receive a stipend for opting out of coverage provided the following conditions are met:

1. The medical insurance plan must allow an employee to decline coverage, and the employee can meet any and all requirements for opting out of coverage.

2. The employee must provide written proof of other coverage.

3. All local, federal and state laws must be observed, as well as conditions of any contract into which the City has entered, or will enter; particularly the Section 125 plan the City has in place.

B. This Resolution provides for unrepresented employees to opt out of the medical insurance coverage and receive 75% of the employee-only medical premium, prorated and paid bimonthly. In order to exercise this option, an employee must provide evidence of other insurance coverage provided by a member of his/her immediate family. If an employee does opt out, he/she will not be eligible to come back into the City plan until the next open enrollment period, or in the case of a qualifying event as stated in the medical insurance contract.

C. If an employee chooses to “opt out” of the medical coverage, the employee will still have the option to be covered for vision and dental only. The cost to the employee would be the minimum monthly contribution rate of: $50 single/$75 employee +1/$100 employee +2, respectively for both, as a package. The employee share for the vision/dental package will be deducted from the employee’s bi-weekly paycheck twice a month split in equal amounts if the employee chooses this option.

SECTION 4. STATE DISABILITY PROGRAM
All employees covered by this Resolution are required to enroll for State Disability Insurance (S.D.I.) benefits. S.D.I. benefits shall be integrated with sick leave benefits. S.D.I. premiums are to be paid by the employee.

SDI benefit as determined by the State will be applied first. Long Term Disability benefits, if applicable, will be applied second. Accrued sick leave, vacation, and approved personal leave will then be applied in a proportionate amount which, when added to SDI, will provide compensation equal to the employee’s regular wage or wage. Under no circumstances will an employee be permitted to aggregate SDI, or other benefits in an amount exceeding the employee’s regular wage or wage.
6 SECTION 5. HOLIDAY BENEFITS AND PAID LEAVES
Vacation
The vacation schedule for unrepresented non-safety employees shall be as follows:

Full Years of Service
Completed by Employee
Number of Working Days of
Vacation Earned
Maximum Accumulated
Leave in Bank Allowed
1 through 5 years 68 Hours annually 160 Hours
6 through 10 years 102 Hours annually 240 Hours
11 years and Over 136 Hours annually 320 Hours
Vacation leave may be taken as it accrues, after one year of employment. Each unrepresented nonsafety employee shall be granted at least eighty (68) hours of vacation per calendar year provided the employee has vacation time accrued.

An employee who becomes ill or has a family medical emergency during his or her scheduled vacation may elect to use sick leave or family sick leave in lieu of vacation time, provided the department head is notified at the beginning of the illness, injury or emergency and; provided further the employee, upon return from vacation provides the Human Resources Manager with a certificate from a medical doctor stating the nature and extent of the employee's illness or injury during his or her vacation.

For unrepresented safety employee(s) the vacation schedule in the Fortuna Police Officers Association MOU will be the guiding document.

SECTION 6. ACCRUED VACATION / SICK LEAVE RECORDS
The City will provide each employee on a bi-weekly basis a record of accrued vacation and sick leave, which the employee has earned. Vacation may be accumulated up the amount shown in the chart above. Once an employee has reached the maximum accumulation limit for vacation leave, the employee will cease accruing additional vacation benefits until the employee has used a portion of his or her accrued vacation and reduces his or her balance below the maximum accumulation limit. Thereafter, vacation benefits will again begin to accrue, on a prospective basis only, until the employee again reaches the maximum accumulation limit.

For unrepresented safety employee(s) the vacation schedule in the Fortuna Police Officers Association MOU will be the guiding document.

SECTION 7. ANNUAL VACATION BUYBACK PROGRAM
On an annual basis the City agrees to allow those employees covered by this resolution to sell up to one hundred (100) hours of vacation. The minimum leave time which may be subject to the buyback is eight (8) hours. Vacation time may be sold back two times each fiscal year to a maximum of 100 hours. To participate in this program, the employee must return a form approved by management that is dated and signed. Payment will be made at the regular pay rate as of the date the form is submitted to the Finance Department. Forms must be submitted 1 week prior to desired pay date or they will be processed in the following pay period. Vacation time bought back 7 pursuant to this provision shall be subtracted from the employee’s accumulated vacation time balance when paid. Upon separation, all unused accrued vacation leave shall be paid to the employee at his or her regular rate of pay.

SECTION 8. ADMINISTRATIVE TIME/MANAGEMENT LEAVE
Unrepresented employees are entitled to Administrative Leave to be accrued on July 1st of each year. New employees hired throughout the year will receive pro-rated Administrative Leave.

Administrative Leave is a management level benefit that represents the time requirement for managers in the public sector, to work on organizational meetings or other work-related tasks, outside the regular work period. Management leave is over and above vacation entitlement, in lieu of overtime pay or compensation time off and is allocated as follows:
• Department Head: 80 Hours
• Police Lieutenant: 80 Hours
• Division Head: 40 Hours
• All other unrepresented- Exempt Employees: 20 hours
•
SECTION 9. HOLIDAYS
Holidays for Unrepresented Non-Safety Employees
Holidays Provided Prior to June 29, 2025:

1. The City agrees to pay all full-time regular employees in the bargaining unit for the following twelve (12) holidays* per year:
• New Year's Day,
• Martin Luther King Jr. Day,
• The day observed as President’s Day,
• Cesar Chavez Day
• Memorial Day,
• Juneteeth,
• Independence Day,
• Labor Day,
• Veteran’s Day
• Thanksgiving,
• The day after Thanksgiving,
• Christmas Day.

In addition, any other day proclaimed by the Fortuna City Council as a public holiday, day of mourning or day of thanksgiving will be provided to all full-time regular employees in the bargaining unit.

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8 (*A holiday that falls on a weekend is usually observed on the closest weekday (e.g. a holiday falling on a Saturday is observed on the preceding Friday, while a holiday falling on a Sunday is observed on the succeeding Monday.)

2. Employees shall receive eight (8) hours of pay for a holiday. In addition to the eleven (MOU) paid holidays referenced above, in lieu of providing paid holidays on, Admissions Day and Columbus Day, the City agrees to provide two (2) floating holidays for those employees covered by this MOU. Floating holidays will be accrued at the time the actual holidays occur. Floating holidays may be accrued up to a maximum of 10 days. The timing of taking the floating holidays shall be subject to management's approval.

3. An employee required to work on a paid holiday (except scheduled floating holidays) will be compensated one and one half times the regular rate of pay for all such time worked and may be given an equivalent amount of time off (eight (8) straight time hours) in the same pay period or to bank the equivalent amount as CTO not to exceed the maximum one hundred and sixty (160) hours as provided in Paragraph 26 of this MOU.

Holidays Provided Effective June 29, 2025:

1. As part of a 24-month trial period, the City will be transitioning to a thirty-four (34) hour workweek with City offices closed on Fridays. To ensure consistent services and continued operations while providing a 34-hour workweek, the City agrees to pay all full-time regular employees in the bargaining unit for the following eight (8) holidays per year:
• New Year's Day,
• The day observed as President’s Day,
• Memorial Day,
• Independence Day,
• Labor Day,
• Thanksgiving,
• Christmas Eve,
• Christmas Day.

However, if one of the eight (8) holidays referenced above is on a Friday, Saturday, or Sunday, employees will not receive the holiday.

Employees shall receive eight and a half (8.5) hours of pay for a holiday.

2. In addition to the up to eight (8) paid holidays referenced above the City agrees to provide three (3) floating holidays for those employees covered by this MOU. Floating 9 holidays will be accrued July 1 each year. Floating holidays may be accrued up to a maximum of 10 days. The timing of taking the floating holidays shall be subject to management's approval.

3. An employee required to work on a paid holiday (except scheduled floating holidays) will be compensated one and one half times the regular rate of pay for all such time worked and may be given an equivalent amount of time off (8.5 straight time hours) in the same pay period or to bank the equivalent amount as CTO not to exceed the maximum one hundred and sixty (160) hours as provided in Paragraph 26 of this MOU.

4. At the completion of the 24-month trial period, unless otherwise extended by the City and the Association, holidays provided to full-time Association employees will revert back to the policies referenced in Subsection A above that existed prior to the trial period.
10 Holidays for Unrepresented Safety Employees

1. The City agrees to pay all unrepresented safety Employees for twelve (12) holidays per year. Recognized holidays are: New Year's Day, Martin Luther King Jr., the day observed as President’s Day, Cesar Chavez Day, Memorial Day, Juneteenth, Veteran’s Day, Independence Day, Labor Day, Thanksgiving Day, the day after Thanksgiving Day, Christmas Day, and any other day proclaimed by the Fortuna City Council as a public holiday, day of mourning or day of thanksgiving. Employees shall receive eight (8) hours of pay for a holiday.

2. In addition to the twelve paid holidays referenced above, the City agrees to provide two (2) floating holidays. Floating holidays will be accrued July 1 each year. Floating holidays may be accrued up to a maximum of 10 days. The timing of taking the floating holidays shall be subject to management's approval.
(*A holiday that falls on a weekend is usually observed on the closest weekday (e.g. a holiday falling on a Saturday is observed on the preceding Friday, while a holiday falling on a Sunday is observed on the succeeding Monday.)
SECTION 10. SICK LEAVE
Sick leave is a benefit, and should be used only when necessary. The accrual rate for sick leave is 8 hours for each calendar month of service.

A. Sick leave shall not be considered a privilege, which an employee may use at his/her discretion, but shall be allowed only in case of necessity and actual sickness or disability.

Sick leave may be used, with prior department head approval, for dental, eye, and doctor appointments.

B. Employees who have accumulated four hundred eighty (480) or more hours of sick leave may on an annual basis convert any sick leave accumulated over four hundred eighty (480) hours to a cash payment at twenty-five percent (25%) of the value of said sick leave time over four hundred eighty (480) hours.

C. In order to receive compensation while absent on sick leave, the employee shall notify his or her immediate supervisor prior to, or within thirty (30) minutes after the time set for beginning his or her daily duties, or as may be otherwise specified by the employee's department head. Failure to do so without good reason shall result in that day of absence being treated as leave of absence without pay and may result in disciplinary action.

SECTION 11. FAMILY SICK/BEREAVEMENT LEAVE
A. An employee may be granted up to forty-eight (48) hours per fiscal year for family sick leave with pay, per California Labor Code Section 233, utilizing an employee’s accumulated sick leave for family illness purposes. Family sick leave is applicable when the employee's presence is necessary to provide or arrange proper care for the employee’s ill child or an ill member of the employee's immediate family or immediate household. For family sick leave purposes, immediate family member shall include spouse, domestic 11 partner, parents, children and other close relatives, with the approval of the Department Head. Misuse of family sick leave privileges is grounds for disciplinary action.

Family sick must be taken in not less than quarter hour increments.

B. An unrepresented employee may be granted up to forty (40) hours bereavement leave with pay. Bereavement leave is applicable when death occurs in the employee's immediate family. Such family shall include spouse, domestic partner, parents, children, stepchildren, children of a domestic partner, grandparent, grandchild, brother, sister, mother/father-inlaw, parent of a domestic partner, son or daughter-in-law, brother or sister-in-law, legal guardian, or custodial child, or other person as approved by the Human Resources Director.

Misuse of bereavement leave privileges is grounds for disciplinary action. Bereavement leave shall be approved by the City Manager.

C. For purposes of this section, domestic partner means an individual as defined in Family Code section 297 et seq.

SECTION 12. JURY DUTY
A. Any employee who is required to report for jury duty shall receive full pay for such absence from duty provided the employee endorses to the City any checks or warrants received in payment for jury duty exclusive of mileage for personal vehicles or other out-of-pocket expenses incurred due to jury duty and provides verification of jury duty service.

B. An employee summoned to serve on a jury must notify his or her supervisor or department head as soon as possible after receiving notice of both possible and actual jury service.

C. Time spent on jury duty is not work time for purposes of calculating overtime compensation.

SECTION 13. HOURS OF WORK AND OVERTIME
Work Period
For purposes of the Fair Labor Standards Act (FLSA) the City and the unrepresented non-safety and non-management employees agree for the term of this document, the normal work period shall consist of forty (40) hours worked within seven (7) consecutive days beginning at 12:00 a.m. Sunday and ending 11:59 p.m. on the successive Saturday, or as otherwise designated for employees on a flexible schedule.

Effective June 29, 2025, the normal, full-time workweek shall consist of thirty-four (34) hours.

Upon schedule change, a full-time equivalent (FTE) of 1.0 is equivalent to an employee who normally works thirty-four hours per week.

Work Schedules
Schedule of hours of employment shall be established by the department head with the approval of the City Manager. The department head, with the approval of the City Manager, may change the work week for any group of employees.

Trial Period: Effective June 29, 2025, as part of a 24-month trial period, the normal, full-time workweek shall consist of thirty-four (34) hours. Upon the schedule change, a full-time equivalent (FTE) of 1.0 is equivalent to an employee who normally works thirty-four hours per week. During 12 this time, the Employer and Employees will evaluate the effectiveness of the schedule, including any impacts on productivity, morale, and work-life balance.

For a shift that begins on one day and ends on the following day, the “workday” shall be the day the shift began.

A. All employees shall be assigned to work shifts with regular starting and ending times.

Assigned work shifts are subject to change.

Upon request of the employee, the City Manager or his/her designee shall consider the feasibility of flexible work schedules. The City retains the sole right to determine whether to approve and continue flexible work schedules.

Work Period for Safety Personnel

1. For unrepresented safety Employees the normal work period shall consist of forty (40) hours worked within seven (7) consecutive days beginning at 12:00 a.m. Sunday and ending 11:59 p.m. on the second successive Saturday, except as otherwise designated for employees on a flexible schedule approved in writing by both the Department Head and City Manager.

2. Schedule of alternative work hours may be established by the Department Head with the approval of the City Manager. The Department Head, with the approval of the City Manager, may change the work week hours at any time.

3. Unrepresented management safety employees will not be part of the 34-hour work week schedule and will stay on the 40-hour work week schedule.

SECTION 14. ACCUMULATION OF COMPENSATORY TIME OFF (CTO)

1. In the event that overtime must be incurred, non-management unrepresented employees will have two options: 1) be paid at one and one-half (1.5) times the employee's base rate of pay, or 2) accumulate at one and one-half (1.5) times the employee's base rate of pay up to a maximum of one hundred sixty (160) hours as compensatory time to be taken off at a later time as requested by the employee, and approved by the Department Head.

2. Once an eligible non-management unrepresented employee has banked a maximum of 160 hours of compensatory time, any additional overtime will be paid to the employee.

3. Unrepresented non-management employees may sell back up to 80 hours of banked CTO time up to two times per fiscal year.

4. Any non-management unrepresented employee who has accrued compensatory time off may be permitted by his/her supervisor to use such compensatory time within a reasonable period of time if the use of compensatory time does not unduly disrupt the operations of the City.

5. Compensatory time off must be used in increments of not less than one quarter hour. 13 SECTION 15. OVERTIME DEFINITION
A. Prior to June 29, 2025: Except for standby provisions as described below in Section XI, overtime is defined as hours worked in excess of forty (40) hours per week. Employees will not work overtime without prior authorization from their supervisor or department head, except in case of emergency.

B. Effective June 29, 2025: For a trial period of 24-months, except for standby provisions as described below in Section XI, overtime is defined as hours worked in excess of thirtyfour (34) hours per week, to be provided at the corresponding rate of pay as provided in Section X.5 below. Employees will not work overtime without prior authorization from their supervisor or department head, except in case of emergency.

It is understood and agreed upon that during the transition to the 34-hour workweek, the Utilities Crew and Wastewater Crew will incur overtime as part of their regularly assigned work schedule due to the nature of the job and up until the time it takes to train qualified employees.

At the completion of the 24-month trial period, unless otherwise extended by the City and the Association, the definition of overtime will revert back to that referenced in Subsection A above that existed prior to the trial period.

SECTION 16. PROTECTIVE FOOTWEAR / BUSINESS APPAREL

1. The City will provide an annual stipend up to $200.00 per fiscal year (July 1 to June 30) for the purchase of work boots and/or business attire based on job classification. The stipend will accumulate and be paid out one time annually and included in the last pay period of the fiscal year. The stipend will be pro-rated for new employees or employees that leave employment prior to the end of the fiscal year.

2. The Police Lieutenant is eligible for an annual Uniform/Duty Gear allowance made in two payments, by January 15 and July 15 of each year. The maximum allowance shall be $1,000.00 per year. The Police Lieutenant is not eligible for the Protective Footwear/Business Apparel allowance outlined in 15.1, above.

SECTION 17. RESIDENCY AND OTHER INCENTIVES

1. As an incentive for employees to live within the city limits of the City, eligible unrepresented Fortuna employees who reside within 20 miles of the City of Fortuna shall receive $50.00 per month as additional compensation.

2. Certain unrepresented City employees are eligible for incentives. Incentives shall be paid as shown in the following table:

Position Incentive
Amount
For
Chief Treatment Plant Operator $630/year Grade IV Wastewater Payroll and Benefits Administrator or
Finance Office Supervisor
$2800/year Accounting Certificate
Building Official $630/year ICC Maintenance & Housing Inspector Utility Superintendent $630/year Distribution Level 4 (D4) 14 *Only one employee will be allowed to receive certificate pay at a time. Certificate pay offering will be determined by the Finance Director and approved by the City Manager.

Position Incentive* For
Police Lieutenant 7% P.O.S.T. Intermediate Certificate, or 14% P.O.S.T. Advanced Certificate
5% P.O.S.T. Supervisory Certificate
$2,800.00/year. P.O.S.T. Management Certificate
Employees who obtain the Advanced POST certificate will no longer receive the 7%. Intermediate POST certificate amount and will receive the 14% Advanced certificate amount. Employees must provide proof of successful attainment of certificates in order to qualify for incentive pay.

To remain eligible for said incentive pay an employee must maintain satisfactory job performance as determined by the Chief of Police. To qualify for the above incentive pay, Police Officers and Sergeants shall have incentive pay recommended by the Chief and approved by the City Manager.

SECTION 17. EMPLOYEE USE OF PARK & RECREATION PROGRAMS

1. The following programs are offered to City Employees free of charge:
• President's Week – 4 days
• Spring Break – 5 days
• Summer Fun/Kiddie Kamp – 11 weeks
• Thanksgiving Week – 3 days
• Winter Break – up to 8 days
• Public Skating at The Firemen’s Pavilion in Rohner Park • Youth Basketball
• Basketball Camp
Children of employees of the City of Fortuna may attend the summer and holiday programs the Parks & Recreation Department offer free of charge. Employee’s must enroll their children during the designated employee enrollment period, which will open to employees prior to the enrollment period for the public. If employees enroll their children after the designated employee enrollment period, the employee’s children may be subject a waitlist.

SECTION 18. EDUCATION AND TRAINING REIMBURSEMENT
As an incentive to employee education and training, the City will reimburse employees for successful completion of coursework and exams related to their employment with the City.

Reimbursements must be pre-approved by the Department Head and City Manager.

Reimbursement will be given following the satisfactory completion of the course and/or exam. To ensure adequate funds are available in department budget(s), requests for reimbursement must be made and approved by the City Manager no later than March 1st. Books and reusable materials will become the property of the City and will be made available for use by other employees.

SECTION 19. MISCELLANEOUS
15 1. Unrepresented employees shall be eligible to receive step increases when applicable under the same system as afforded to the Fortuna Employees Association (for non-sworn employees) and the Fortuna Police Employees Association (for sworn employees).

2. This Agreement shall be effective from June 29, 2025 and shall continue in effect through June 30, 2027.

PASSED AND ADOPTED on this 1st day of June 2026, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
______________________
Mike Johnson, Mayor
ATTEST:
________________________
Siana L. Emmons, City Clerk
Consent Agenda Item 3g

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STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Amy Nilsen, City Manager
SUBJECT: Acceptance of $10,000 Grant Award from Humboldt Area Foundation and Approval of Supplemental Budget
STAFF RECOMMENDATION:

Staff recommends the City Council accept a grant award in the amount of $10,000.00 from Humboldt Area Foundation (HAF) and approve a supplemental budget of $10,000 to reimburse Jen Rice Consults for additional services related to the Strategic Plan and General Plan Guiding Principles.

EXECUTIVE SUMMARY:

The HAF has awarded the City of Fortuna a $10,000 grant from its CEO Discretionary Grant Fund to support the City’s Listening Campaign and Future Fortuna Workshops (Strategic Plan and General Plan Guiding Principles). The grant allows flexibility in how funds are used and does not require formal reporting.

HAF has expressed strong support for Fortuna’s inclusive and forward-thinking engagement process. As part of this process, substantial Spanish translation services and additional data analysis were provided to ensure broad community participation. These services were not included in the original scope of work for Jen Rice Consults.

Accordingly, staff recommends approval of the attached supplemental budget to reimburse Jen Rice Consults for these additional translation services and additional data analysis.

FISCAL IMPACT:

Acceptance of this grant will not result in any negative fiscal impact to the City. The grant does not require matching funds or reporting. The funding will be used to reimburse Jen Rice Consults for Spanish translation services and additional data analysis associated with the Listening Campaign and Future Fortuna Workshops.

RECOMMENDED BOARD ACTION:

Accept a grant award in the amount of $10,000.00 from Humboldt Area Foundation and approve a supplemental budget request in the amount of $10,000 to reimburse Jen Rice Consults for services related to the Strategic Plan and General Plan Guiding Principles. Consent Agenda vote.

ATTACHMENTS:
• Supplemental Budget Request
Requesting Department: Packet #
JV #
Fund Name/s Amended: Prepared By
Checked By
Fund #/s Amended: Post Date
New Budget Appropriation Intra‐Department Budget Transfer Additional Budget Appropriation Other Budget Transfer

REVENUES
Account Description Account Number Current Budget Proposed Amendments
Amended
Budgets
TOTAL

EXPENDITURES
Account Description Account Number Current Budget Proposed Amendments
Amended
Budgets
TOTAL

PURPOSE
Department Head: Date:

Finance Director: Date:

City Manager: Date:

CITY OF FORTUNA
SUPPLEMENTAL BUDGET REQUEST
x
Consent Agenda Item 3h

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STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Buffy Gray, Deputy City Clerk
THROUGH: Amy Nilsen, City Manager
SUBJECT: Review and Approve Mayor’s Recommendation of Appointee to the Planning Commission
STAFF RECOMMENDATION:

Review the application for the Planning Commission and consider approving the Mayor’s recommendation for appointment.

EXECUTIVE SUMMARY:

Planning Commission:

One (1) Alternate seat on the Planning Commission is vacant.

The City received one application:
• Ryan Jones
The term of office for the Planning Commissioner Alternate seat is a two (2) year term. If approved, Ryan Jones appointment to the Alternate seat will expire on December 31, 2028.

RECOMMENDED COUNCIL ACTION:

Motion to Approve Mayors’ Appointment to the Planning Commission. Consent Agenda vote.

ATTACHMENTS:

Commission Applications:
• Ryan Jones (Planning Commission)

Consent Agenda Item 3i

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STAFF REPORT
Consent Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Amy Nilsen, City Manager
SUBJECT: Amendment to the Existing Solid Waste Franchise Agreement between Recology and the City of Fortuna
STAFF RECOMMENDATION:

Authorize the City Manager to execute an amendment to the existing Franchise Agreement between Recology and the City of Fortuna for the collection of solid waste, recycling and yard waste services to extend the term from July 1, 2026, through September 30, 2026.

EXECUTIVE SUMMARY:

The City and Recology (formerly Eel River Disposal) are parties to an existing solid waste and curbside recycling franchise agreement dated January 1, 1995. The current franchise agreement expires on June 30, 2026. City staff are completing a lengthy process to develop a new franchise agreement to assist the City with compliance with new state mandate Senate Bill (SB) 1383 which requires new mandatory organics collection programs, monitoring, mandatory outreach/education programs, reporting and other requirements and gain consensus with Recology on these new provisions. Since the current agreement is very outdated, the new agreement also includes several performance standard improvements, improved reporting, and a clear transparent rate setting process. These additions have taken additional time to prepare.

Therefore, on November 3, 2025, the City Council approved an amendment to the existing franchise agreement for a short-term extension from January 1, 2026, through June 30, 2026.

Since that time, new equipment and organics recycling space have had to be purchased/prepared to maintain compliance with SB 1383, and this has delayed the implementation of the new franchise agreement. Therefore, staff recommend an amendment to the existing franchise agreement from July 1, 2026, through September 30, 2026. The new franchise agreement will likely commence on October 1, 2026.

BACKGROUND:

The City’s current franchise agreement predates many of California’s recycling mandates and has several outdated provisions. The new franchise agreement will comply with SB 1383 and will include these new provisions:
• Provide universal organics collection for all residents and businesses; • Provide color-compliant containers (gray/black: trash, blue: recycling, green: organics); • Complete contamination monitoring, inspections, and enforcement; • Complete mandatory outreach/education programs; and
• Complete recordkeeping and reporting to the state;
Consent Agenda Item 3i

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Staff have been participating in a regional collaborative effort with the Cities of Arcata, Eureka, Rio Dell and the County of Humboldt to provide Fortuna residents and businesses with:
• Improved cost-effective recycling, organics, garbage programs for residents and businesses
• Meet SB 1383 requirements and other new state mandates to avoid penalties from CalRecycle (CA agency).
• Improved performance standards, reporting and added accountability for Recology • Provide cost effective outreach/education programs to increase diversion and reduce contamination in organics and recycling
Below is a comprehensive summary of jurisdictions responsibilities under SB 1383.

Staff are working to complete the new franchise agreement in coordination with Recology and the City’s consultant and will complete analysis of Recology’s cost proposal/related documents; staff will return to Council with the new franchise agreement and related documents for the Council’s consideration for approval.

RECOMMENDED COUNCIL ACTION:

Motion to authorize the City Manager to execute an amendment to the existing Franchise Agreement between Recology and the City of Fortuna for the collection of solid waste, recycling and yard waste services to extend the term from July 1, 2026, through September 30, 2026. Consent agenda vote.

ATTACHMENTS:
• Amendment to the Franchise Agreement for Solid Waste and Recycling Collection Services between the City of Fortuna and Recology Eel River

AMENDMENT TO THE FRANCHISE AGREEMENT FOR SOLID WASTE AND RECYCLING

COLLECTION SERVICES BETWEEN THE CITY OF FORTUNA AND

RECOLOGY EEL RIVER
This Amendment (this “Amendment”) amends that certain Solid Waste and Curbside Recycling Franchise Agreement, effective as of July 1, 1995, between the City of Fortuna and Recology Eel River (as successor in interest to Eel River Disposal Company, Inc.) and is made and entered into as of May 18, 2026 by and between the City of Fortuna (“City”), and Recology Eel River (“Contractor”). The City and Contractor are collectively referred to herein as the “Parties” and individually as “Party”).

RECITALS
This Amendment is entered into with reference to the following facts and circumstances:

WHEREAS, the City and Recology Eel River are parties to that certain Solid Waste and Curbside Recycling Franchise Agreement, effective as of July 1, 1995, as amended (the “Franchise Agreement”);
WHEREAS, the Franchise Agreement expires on December 31, 2025June 30, 2026; WHEREAS, the City and Recology Humboldt County, an affiliate of Contractor, are currently negotiating a new franchise agreement (the “2026 Franchise Agreement”) to, among other things, ensure compliance with new state mandate Senate Bill (SB) 1383; WHEREAS, tThe Parties previously anticipated that the 2026 Franchise Agreement was set towould commence on July 1, 2026 which requiredand amended the Franchise Agreement to provide for a short-term extension of the Franchise Agreement from January 1, 2026, through June 30, 2026.

WHEREAS, tThe 2026 Franchise Agreement will now commence no earlier than October 1, 2026 which will therefore require a short-term extension of the Franchise Agreement from January 1, 2026, through June 30, 2026.

NOW, THEREFORE, in consideration of the mutual promises, covenants, and conditions herein, the City and Contractor do hereby agree as follows:

1. This Amendment shall extend the term of the Franchise Agreement through September 30, 2026.

2. Except as set forth in this Amendment, all of the terms and conditions of the Franchise Agreement will remain unmodified and in full force and effect.

IN WITNESS WHEREOF, the City and Contractor have approved and executed this Amendment as of the date set forth above.

RECOLOGY EEL RIVER
By:

Printed Name: Salvatore M. Coniglio
Title: Chief Executive Officer

THE CITY OF FORTUNA
By:

Printed Name: Amy Nilsen
Title: City Manager
Discussion Agenda Item 4a

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STAFF REPORT
Discussion Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Amy Nilsen, City Manager
SUBJECT: Community-Generated Economic Development Initiative STAFF RECOMMENDATION:

1. Receive and discuss the community-generated economic development reports developed in support of the City’s General Plan Guiding Principles and Strategic Planning efforts;

2. Acknowledge and affirm the value of this community-led initiative; and

3. Provide conceptual support and endorsement for continued collaboration with the proposed community working group structure to help advance economic development priorities in partnership with the City.

BACKGROUND:

Over the past year, the City of Fortuna has undertaken significant planning efforts, including the update of its General Plan guiding principles and the development of a Strategic Plan to guide the City’s future.

In parallel with, and in direct response to, these efforts, members of the local business and broader community voluntarily organized to contribute input and identify economic development priorities for Fortuna. This work has resulted in three community-generated reports:
• Community Survey – February 2026
• Recommended Next Steps and Priority Areas Following Survey of Fortuna’s Business Community – April 2026
• A Bridge to the Future – May 2026
The initial February 2026 Community Survey report reflects input from 64 business owners and senior managers across nine industry sectors, including retail, industrial/manufacturing, healthcare, agriculture, hospitality, and others, and was also supported by outreach from the Chamber of Commerce and Downtown Merchants Association.

The effort is notable in that it was initiated and advanced organically by the community, reflecting a strong level of local engagement and investment in Fortuna’s long-term economic future.

DISCUSSION:

A Community-Led Economic Development Effort
The initial survey findings indicate broad agreement among participants that Fortuna is facing more than a typical economic cycle. Respondents questioned whether the community is Discussion Agenda Item 4a

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experiencing a structural shift in its economy due to the loss of historic anchor industries, including timber and, more recently, the decline of the cannabis sector.

The three reports collectively represent a significant and constructive community-led initiative aimed at strengthening Fortuna’s economy. Participants consistently express pride in the community while also identifying the need for a more coordinated and proactive approach to economic development.

The reports emphasize that, while challenges exist, Fortuna possesses substantial assets, including its natural environment, location, and community character, that position it well for future growth if supported by a clear strategy and coordinated action.

Key Priorities Identified by the Community
Across these reports, there is strong alignment around a set of core economic development priorities:
• Establishing a Clear Economic Vision and Brand - Participants identified the need to define a cohesive vision for Fortuna’s future and better articulate its identity as a community. • Leveraging Natural and Cultural Assets - Fortuna’s redwoods, river, recreation opportunities, and small-town appeal are consistently identified as key assets that can be more effectively leveraged.
• Economic Diversification and Industry Attraction - The absence of a strong economic “anchor” industry is a recurring concern, with emphasis on attracting new industries and developing scalable economic drivers.
• Housing Availability and Affordability - Housing constraints are identified as a significant barrier to workforce attraction, retention, and business growth. • Downtown Revitalization - Stakeholders emphasized the need to enhance downtown vitality and reduce retail leakage to surrounding areas. • Business Support and Permitting Efficiency - The reports call for streamlined processes, clearer regulations, and increased City capacity to support business development. • Business Support – Services for existing businesses and new business start-ups. • Workforce Development and Partnerships - Aligning educational programs with business needs is identified as an opportunity to strengthen the local workforce pipeline.

These priorities are broadly consistent with and supportive of the City’s own ongoing planning efforts.

Proposed Implementation: Community-Working Group Model
The May 2026 report, Bridge to the Future, outlines a proposed framework to advance these priorities through a community-working group structure.

This model includes:
• A core leadership workgroup composed of local business and community leaders to provide strategic direction; and
• A series of topic-specific workgroups focused on key areas such as:
o Downtown revitalization
o Tourism development
o Business development and attraction
o Workforce development
Discussion Agenda Item 4a

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o Housing
o Business support and City services
The proposed structure is designed to:
• Sustain community engagement
• Translate ideas into actionable strategies
• Support implementation alongside City-led efforts
The reports also reflect strong interest from community members in participating in and contributing time toward these efforts, indicating a readiness to move from planning to action.

Role of the City
The structured nature of the initial survey effort, combined with continued community participation through subsequent reports, indicates that this initiative is not only organic, but also grounded in data and reflective of a broad cross-section of Fortuna’s economic base. City collaboration can help ensure that this momentum translates into coordinated, feasible, and strategically aligned outcomes. While the working group concept is community-driven, its effectiveness will be significantly enhanced with clear partnership with City staff. Council acknowledgment and support would:
• Signal alignment between community efforts and City priorities • Encourage continued community participation
• Help ensure that workgroup efforts are coordinated with City staff and ongoing planning processes
• Provide a foundation for future collaboration on implementation efforts Endorsement at this stage does not require formal commitment of resources but provides important policy-level support and direction for collaboration.

FISCAL IMPACT:

This item is informational and does not have a direct fiscal impact at this time. Staff time to participate in this community-generated initiative is budgeted in the upcoming fiscal year budget.

Future actions resulting from Council direction, including support for specific initiatives or programs, may have fiscal implications that would be brought forward for Council consideration.

RECOMMENDED COUNCIL ACTION:

Receive and file the presentation and provide conceptual support and endorsement for continued collaboration with the proposed community working group structure to help advance economic development priorities in partnership with the City.

ATTACHMENTS:
• Community Survey – February 2026
• Recommended Next Steps and Priority Areas Following Survey of Fortuna’s Business Community – April 2026
• A Bridge to the Future – May 2026
February 19th, 2026
Ms. Amy Nilsen, City Manager
City of Fortuna
621 11th St.

Fortuna, CA 95540
Dear Ms. Nilsen,
Thank you for the opportunity to provide input from Fortuna’s business community to the Economic Development Element in Fortuna’s 2026 General Plan Update and new Strategic Plan for the city. Sixty-four (64) business owners and senior management individuals from nine industry sectors completed a survey addressing the following four questions:
● What are the most significant issues facing Fortuna’s economy today?
● What opportunities and challenges do you see for Fortuna’s economic future?
● What actions in Fortuna, if any, do you believe would most benefit your business?
● What are key assets Fortuna could be known for that can be leveraged to develop a unique community theme and strong economy for Fortuna.

The attached report includes an Executive Summary of those findings and summary findings for each of the industry sectors. In addition, an overview of key events in Fortuna’s economic history is provided for context.

The parallel timing of the substantial decline of jobs in the timber industry and the rapid increase in cannabis economic activity twenty years ago is significant. Cannabis appears to have cushioned what otherwise would have been a major blow to the local economy. With the recent collapse of the cannabis market, the question is now being asked: Does Fortuna, the Eel River Valley and Southern Humboldt have any evidence of a developing replacement economy for the loss of those two economic anchors? Dozens of individuals were asked that question and the unanimous response was no. If that is accurate, Fortuna is facing a structural change in its economy instead of a normal business cycle and the need to have serious discussions about Fortuna’s economic future is now.

Please let me know if you have any questions. Once again, thank you for the opportunity to assist with this effort. Best wishes.

Sincerely,
Jon Sapper
(707) 498-6065
[email protected]
Cc. Fortuna Chamber of Commerce
Downtown Merchants Association
Survey of Fortuna’s Business Community Providing Input to the 2026 General Plan Update and Strategic Plan
February 18th, 2026
Introduction
Healthy small communities across our country have one thing in common; a strong, sustainable and stable economy. It is this desire that brought people together to gather information in support of specific actions to improve the long-term economic health and vitality of Fortuna’s economy.

The City of Fortuna is undergoing a General Plan Update and new Strategic Plan in 2026 and wants to include an economic development element with identified business and community needs in those plans. The city asked for help in compiling this information and those involved are volunteering their time toward this effort.

Individuals and business owners from nine business sectors in Fortuna provided input and guidance in drafting a report to the City of Fortuna with a request to include the findings in Fortuna’s 2026 General Plan Update and Strategic Plan. Those business sectors are:
- Ag/Horticulture/Natural Res. - Health Care
- Ranching/Dairy - Hospitality/Tourism
- Grocery and Beverage - Retail
- Restaurants - Developers/Contractors
- Industrial/Manufacturing
In addition, the Fortuna Chamber of Commerce and Downtown Merchants Association were also involved in helping to reach out to business owners requesting their participation and input.

Each business representative was asked to complete a survey responding to the following four questions:

1. What are the most significant issues facing Fortuna’s economy today?

2. What opportunities and challenges do you see for Fortuna’s economic future?

3. What actions in Fortuna, if any, do you believe would most benefit your business?

4. What are key assets Fortuna could be known for that can be leveraged to develop a unique community theme and strong economy for Fortuna?
All returned surveys were analyzed by North Coast Small Business Development Center staff in Arcata using a sophisticated AI tool to identify common themes and draft summary reports. A report was compiled for each business sector, in addition to an overall report reflecting input from all business sectors combined. Those reports will be provided to the City of Fortuna, Fortuna Chamber of Commerce and members of the Downtown Merchants Association. Business sector representatives will also be provided reports, upon request.

The initial goal was forty-five (45) responses. Employers were told that responses would be anonymous and no individual or business name would be included in the report. Sixty-four (64) surveys were returned with a mix of small and large businesses/companies participating. Employers with large employee numbers submitted responses.

The number of returned surveys by sector is as follows:
● Retail 11
● Downtown Merchants 8
● Developers/Contractors 7
● Restaurants 6
● Ranching/Dairy 5
● Industrial/Manufacturing 4
● Grocery/Beverage 4
● Ag./Horticulture/Natural Res. 3
● Health Care 3
● Hospitality/Tourism 1
● Other/Did not Declare 12
It is possible some Retail responses are Downtown Merchants, but they decided to complete the Chamber of Commerce distributed form instead of the Downtown Merchant form.

After completing forms, members from three sectors (Restaurants, Ranching/Dairy and Industrial/Manufacturing) wanted to attend separate group meetings to discuss their sector’s results. Two to three notetakers also attended to capture any comments that were in addition to their returned surveys.

Length of Time in Business in Fortuna
● 3 respondents have been in business less than 1 year. ● 12 respondents have been in business between 1 & 5 years. ● 6 respondents have been in business between 5 & 10 years. ● 41 respondents have been in business over 10 years.

Executive Summary
The collective input from all sectors, restaurants, retail, developers and contractors, ranching and dairy, industrial and manufacturing, grocery and beverage, agriculture and natural resources, healthcare, hospitality and tourism, downtown merchants, and general respondents, reveals a consistent and clear narrative: Fortuna is widely viewed as a wonderful place to live, rich in natural beauty, community spirit, and strategic location, but economically underperforming relative to its assets. Business owners and stakeholders describe the city as stable yet stagnant, with significant untapped potential. Across nearly every sector, respondents expressed pride in Fortuna’s small-town character, riverfront setting, redwood identity, and family-friendly culture. However, they also emphasized structural economic weaknesses that must be addressed if Fortuna is to thrive long-term.

The most consistent concern across sectors is the lack of economic diversification and the loss of anchor industries such as timber and cannabis. Many participants described the current economy as retail and service heavy, without a strong base of high-paying employers to drive disposable income and sustained growth. Without new industry or exportable economic drivers, local spending power remains limited, retail leakage continues to neighboring cities and online platforms and municipal revenues struggle to grow. There is strong consensus that Fortuna needs to attract manufacturing, value-added natural resource industries, or other scalable economic engines to replace the industries that once supported middle-class wages.

Housing availability and affordability emerged as a second dominant theme. Nearly every sector identified housing as a direct barrier to workforce attraction and business expansion. Employers struggle to recruit and retain employees due to limited housing supply, aging rental stock, and rising costs. Healthcare providers report building their own housing units to accommodate staff, developers cite high fees and permitting delays that hinder new construction, and business owners consistently link workforce shortages to housing constraints. Participants emphasized that housing is not merely a social issue but a central economic development challenge that affects nearly every industry.

Downtown vitality and retail leakage were also repeatedly cited. Many stakeholders described Main Street as lacking vibrancy, cohesion, and destination appeal. Retail dollars are flowing to Eureka, Costco, and online retailers, while downtown struggles with limited variety, insufficient foot traffic, and an unclear identity. Respondents called for beautification, stronger visual appeal, more concentrated retail uses, and anchor attractions that would give residents and visitors a reason to stop and stay.

Several bold ideas were proposed, including pedestrian-oriented redesigns, historic district branding, expanded events, and leveraging the Great Redwood Trail and Riverwalk to activate the core.

Another cross-sector theme was the need for more efficient permitting processes, clearer regulatory pathways, and stronger city capacity.

Developers, industrial operators, healthcare leaders, and downtown merchants all referenced delays, rising fees, and limited staffing capacity as obstacles to growth. There is widespread support for creating or strengthening a dedicated economic development function, improving interdepartmental coordination, and fostering a more proactive “how can we help you succeed” approach within city operations.

However, participants repeatedly stated that the city does not effectively promote or unify these strengths into a cohesive brand. There is strong interest in positioning Fortuna as a gateway to the redwoods, a river-centered destination or a sports and recreation hub. The Mill Site and riverfront redevelopment were consistently identified as catalytic opportunities that could reshape the city’s economic trajectory, if executed strategically.

In summary, Fortuna’s stakeholders see a city with strong foundational assets but lacking a diversified economic base, adequate housing supply, downtown vitality, streamlined development processes, and a unified identity. There is broad agreement that meaningful progress will require coordinated leadership, strategic industry recruitment, housing expansion, downtown revitalization, and a bold but practical branding and development strategy centered on Fortuna’s unique natural advantages. The community is ready for forward momentum; what is needed now is alignment, execution capacity, and a clear economic vision that translates pride in place into measurable growth.

See Appendix A for individual sector summary reports.

Overview of Key Events in Fortuna’s Economic History
Following completion of surveys and input from local businesses, an overview of key events in Fortuna’s economic history and a review of recent Fortuna’s Sale Tax and Transient Occupancy Tax revenues is included in order to provide context to the survey findings and determine relationships, if any. That overview follows:
1860’s through 1970
- The economic anchor in Fortuna, the Eel River Valley and Southern Humboldt was the Timber Industry during this time period.

Agriculture, dairy and ranching was also a very important sector. The largest company, Pacific Lumber Company (PALCO), was founded in 1863, headquartered in Scotia and later included a sawmill operation in Fortuna and a mill operation in Carlotta. The company was stable and operated on a sustained yield basis where the board footage of lumber harvested annually was offset by the amount of board footage the company’s timber holdings grew each year. PALCO provided living wage jobs, high quality benefits, pensions, health insurance and stock options for its employees. The company also provided free life insurance, bonuses and college scholarships for the children of its employees. In addition to PALCO, Eel River Sawmills, operated just north of Rio Dell during this time and was a significant contributor to the timber based sector. Fortuna’s economy was stable with an abundance of blue collar, family living wage jobs for its citizens.

The 1970’s and early 1980’s
- The timber industry continued as the economic anchor for the Eel River Valley and Southern Humboldt with harvesting on private and US Forest Service land.
- During the early/mid 1970’s, a movement of “back to the land” individuals, many from the SF Bay area, moved to Southern Humboldt and started small fledging marijuana growing operations and other businesses.

This movement increased through the 1970’s and by the early 1980’s, Southern Humboldt started to become known throughout the country for cannabis.
1985 - Maxxam, Inc., led by Charles Hurwitz, initiated a hostile takeover of PALCO, which was completed in 1986. Maxxam accelerated harvesting timber beyond sustainable levels in order to pay off the debt it incurred as a result of the takeover.

The 1990’s was the decade of the timber wars. Charles Hurwitz and Maxxam lit a firestorm of protests from environmentalists who criticised the significant increase in harvesting of old growth redwoods. These timber wars and protests were national news and became the lightening rod for increasing attacks on the timber industry. Debates over old growth protection and the Northern Spotted Owl led to the Northwest Forest Plan which drastically reduced volumes on US Forest Service lands to protect critical habitat.
1996 - Marijuana is legalized for Medical purposes in California via Prop 215. The underground black market begins to expand in Southern and Eastern Humboldt County.

Late 1990’s and early 2000’s - Pressure on the timber industry continues to increase. At this time, PALCO and Eel River Sawmills had a combined employment of approximately 2,000 employees (1,600 PALCO and 400 Eel River Sawmills). Those 2,000 living wage economic anchor jobs supported an additional 4,000 (6,000 total) jobs in local communities when using an employment multiplier of 2.0. Each base industry job in this sector averages 2.1+ additional jobs in the local economy. (retail, restaurants, services, trades, etc.) The majority of those jobs were in Fortuna, the Eel River Valley and Southern Humboldt.
- The black market in cannabis now is showing substantial growth 2004 - The Carlotta Mill owned by PALCO closed.
2005 - Eel River Sawmills closed laying off all 400 employees and PALCO closed its Fortuna Mill June 30th, 2005.
2007 - PALCO files for Bankruptcy Protection and lays off employees resulting in another major hit to the economic anchor of timber in the Eel River Valley and Southern Humboldt.
2008 - Humboldt Redwood Company takes over the assets and operations from Maxxam (PALCO), including the remaining 350 employees. Using the

2.0 employment multiplier (350 economic anchor jobs plus the 700 supported jobs remained.) There were now an estimated 1,050 total jobs in 2008 from the base timber industry employment and supported jobs combined, compared to 6,000 total jobs in 2000/2001.
2010 - City of Fortuna develops a Year 2010-2030 General Plan that includes an Economic Development Element acknowledging the reductions in the timber economy and recommending prioritizing the need to develop a stable and balanced economy, improve workforce development, re-define Fortuna’s economic base, develop business attraction and retention strategies, promote increased tourism and develop economic related infrastructure.

Why wasn’t the economic impact of losing 1,650 economic anchor jobs in timber and the expected loss of an additional 3,300 supported jobs in our communities realized? Did a high percentage of those who lost jobs find other jobs locally with wages at a similar level? Or, could it be the black market cannabis industry was cushioning what otherwise would have been severe economic impacts with that level of job losses?
2011 - A comprehensive economic study was done to determine the impact of cannabis in Humboldt County. That study, using a conservative methodology, estimated the annual economic impact of cannabis between

1.0 and 1.2 billion dollars countywide. If that is anywhere close to the actual number, cannabis softened or eliminated what would have otherwise been the significant economic impact from the bankruptcy and sale of PALCO and the closure of Eel River Sawmills. Cannabis then, in fact, became the new “economic anchor”, especially in the Eel River Valley and Southern Humboldt.
2015 - There are an estimated 10,000+ cannabis grow sites in rural Humboldt County with approximately 58% of rural parcels having active grows according to county reports. The economic impact continues to expand.
2016 - Cannabis is legalized for recreational use in California. Black market cannabis explodes in Humboldt County, predominantly Southern and Eastern Humboldt.
2018 - Cannabis is legalized for recreational sales in California. Legal grows begin developing throughout the State.
2020 - COVID significantly impacts businesses and economic activity 2021 - The cannabis black market starts to show evidence of decline in Humboldt County with legalization. Sales tax revenue in Fortuna, Southern Humboldt and countywide showed a strong recovery post-COVID, but at the end of that period and into the next year, sales tax revenues began to trend downward.
2022/2023 - The cannabis market collapses in Humboldt County. 2022/23 Sales Tax Revenues declined 7.1% in the County and 7.8% in Fortuna after peaking in 2021/22. Transient Occupancy Tax revenue declined 17.7% in 2022/23 compared to the prior year in Fortuna and continues to trend downward. (The reported numbers are not adjusted for inflation).

City of Fortuna
Sales Tax & Transient Occupancy Tax Revenue
July 1, 2021 - June 30, 2025
Sales Tax Transient Occupancy Tax (TOT)
Revenue Revenue
2021/22 $2.309,839 $951,038
2022/23 $2,129,109 $782,808
2023/24 $2.207,164 $722,447
2024/25 $2,142,353 $710,118
Sales Tax and Transient Occupancy Tax revenues are important sources of funding for cities in California. Using 2021/22 as the benchmark year and hypothetically having flat or zero annual growth, Fortuna’s sales tax revenue in 2024/25, adjusted for inflation, should have been $2,533,353.

Using this same approach for Transient Occupancy Tax, the city’s 2024/25 amount collected should have been $1,053,700. A stable, flat, zero annual growth from 2021/22 and adjusted for inflation would have yielded an additional $734,582 in 2024/25 from these combined revenue sources.

Fortuna’s 2025/26 Budget states “..that rising costs of materials, insurance, utilities and labor will result in a need to reduce the budget or seek new sources of funding. Ongoing inflationary pressure continues to influence consumer spending behavior, project costs and labor market dynamics.” The Budget further states, “..that creating a community that attracts and retains businesses is highly competitive and will be key to keeping pace with expenditures. Focusing on economic growth and business support will be as important in the near future as it ever has been in the City.” Timber companies and support businesses related to the timber/wood products sector are still very important economic contributors to the Eel River Valley and beyond. Health care and government employment is also significant. Agriculture, ranching and dairy continues as an important sector, as well. However, many small businesses in Fortuna are struggling and unsure of the future.

A few questions come to mind:
● From 2000 to 2020, did cannabis cushion what otherwise would have been a major economic upheaval in the Eel River Valley and Southern Humboldt with the loss of 1,650 timber related base industry jobs and the expected loss of 3,300 support jobs? ● If yes, are we now beginning to see the true economic impact of the loss of those timber related jobs with the collapse of cannabis? ● Or, is there another economic anchor that is developing or has developed in the last 10+ years that has or can replace those lost timber related jobs?
In summary, with the significant reductions over the last twenty-five years in the timber industry and the collapse of the cannabis market in the last 3-4 years, are the current economic challenges in Fortuna cyclical with economic vitality returning soon, or for the first time in over 130 years is Fortuna facing systemic and structural changes to its economy requiring Fortuna to redefine its economic future and take the necessary actions to make it happen?
Based on the answers to those questions, the needed strategies for Fortuna to grow and sustain a healthy, economically vibrant community that we all want are significantly different. Whatever direction is taken, it will take the entire community working together to achieve the desired results.

For example, if it is determined that we are currently experiencing an economic cycle, doing more of the same with a few additional strategies would be satisfactory. However, if it is determined we no longer have the economic anchors of the past and there is no evidence of new foundations developing, then a new vision for Fortuna’s economic future needs to be developed and steps in that direction need to be taken. Other small communities have faced these challenges and been successful. If needed, we can, too.

Fortuna’s 2010 Economic Development Priorities
The last General Plan for Fortuna was approved in 2010 and included an Economic Development Element. That report states, “Economic Development was one of the driving forces behind the General Plan Update.” Broad community involvement though public meetings was a part of that process. That document further states: “The Economic Development Element provides the goals, policy guidance and implementation measures to promote long-term job creation, business opportunities and prosperity.”
Maintaining Fortuna’s small town character and culture is stated as a key driver of the 2010 plan. A “snapshot” of Fortuna’s economic condition as of 2005, was used to help inform the discussions and economic decisions for the 2010 - 2030 plan. Recent developments (at that time) of mill closures and forecasted implications were also noted.

Citywide opportunities identified in the plan included:
● The Mill District for economic drivers.
● Downtown Revitalization to create a unique destination and active pedestrian traffic.
● Fortuna Blvd. for a mixed use of economic and residential opportunities.
● Riverwalk District as a local, regional and tourist destination for shopping, recreation, lodging, conferences and civic/community activities.

Priorities in the Economic Development Element included:
● A Stable and Balanced Economy - Achieved through diversification, entrepreneurship and small business development, removing regulatory hurdles and barriers to development and investment in the city’s assets. The need to develop a strategic plan for this work was noted.
● Workforce Development - Achieved through developing
partnerships with Fortuna Union High School District, College of the Redwoods and Humboldt State University (now Cal Poly Humboldt) and the business community to address local workforce needs. ● Redefining the Economic Base - Achieved through addressing the local economic needs due to reductions in the timber industry, such as; niche manufacturing, speciality agriculture, e-commerce, development of a business park, maintenance and expansion of health care, food processing and manufacturing,
● Business Attraction and Retention - Achieved through working with Fortuna’s Chamber of Commerce and FBID by developing and implementing business attraction strategies, developing and offering business retention and expansion support services, streamlining permitting processes, revitalizing areas within the city, starting a business incubator including support for entrepreneurs and small business start-ups, developing a trained and educated workforce and developing affordable housing and executive housing.
● Tourism - Achieved by promoting growth of tourism, capitalizing on Fortuna’s historical character, scenic beauty and small town charm.
● Infrastructure - Achieved through coordination of land use policies and decisions with future economic development infrastructure.

Conclusion
Fortuna’s core economic needs, opportunities and strategies identified in 2010 remain relevant today. Addressing them now may be significantly more urgent due to prior losses in timber and the recent collapse of cannabis with no evidence of new economic anchors emerging. If that is the consensus, what economic development structure does Fortuna need to put in place to move this economic agenda forward?
Appendix A
Retail
Input was gathered from retail business owners operating in Fortuna.

Overall sentiment reflects a sector that is stable but economically pressured, with responses ranging from easy to neutral when describing the business environment.

Retailers report strong small-town advantages, including word-of-mouth marketing, friendly local shops, and community support. However, they are heavily impacted by online competition, big box pricing, rising operating costs, inconsistent foot traffic, and limited disposable income within the community.

Unlike the restaurant sector, retail owners did not overwhelmingly describe the economy as poor. However, they emphasized structural challenges that limit growth, including lack of economic diversification, retail saturation, missing retail categories (clothing, shoes, home goods), and residents shopping online or traveling to Eureka.

Retailers consistently expressed concern that Fortuna is overly retail-dependent without sufficient manufacturing or industrial employers to support balanced economic growth. Many believe that attracting industry and higher-paying jobs is critical to strengthening local purchasing power.

Despite these challenges, retailers see meaningful opportunity in coordinated promotion of local shopping, Main Street events, cross-business referrals, improved marketing, and leveraging Fortuna’s identity as “The Friendly City.” There is strong belief that collaboration among businesses and targeted growth strategies could improve economic vitality.

In summary, retail business owners believe Fortuna has a strong community foundation but requires economic diversification, improved foot traffic strategies, and stronger promotion of local shopping to ensure long-term sustainability.

Downtown Merchants
Input was gathered from Downtown Merchants and small business owners operating primarily along Main Street and surrounding commercial areas.

Overall sentiment is mixed — ranging from easy and steady to difficult — but strongly centered on concerns about economic stagnation, housing affordability, municipal capacity, and lack of economic diversification.

Many merchants describe Fortuna’s business environment as stable but not growing. Downtown location alone does not guarantee increased traffic.

While several businesses report strong brand recognition and loyal customer bases, others cite zoning challenges, regulatory paperwork, and inconsistent city staffing as obstacles.

The most significant economic concerns include loss of high-paying industries (timber and cannabis), limited economic diversification, municipal budget shortfalls, housing affordability constraints, workforce attraction challenges, inflation, high energy costs, and retail leakage to Eureka and online shopping.

There is a strong desire for a unified community identity, revitalized downtown, strategic industry recruitment, and clearer economic development leadership. Merchants consistently emphasized beautifying downtown, improving permitting processes, expanding the commercial tax base, reducing red tape, and creating a dedicated economic development team.

In summary, Downtown Merchants believe Fortuna must redefine its economic identity, revitalize Main Street, attract higher-paying industries, strengthen collaboration, and create a predictable, business-friendly development environment to ensure long-term sustainability.

Developers/Contractors
Input was gathered from developers and contractors working in Fortuna.

Overall sentiment reflects a sector that finds doing business in Fortuna difficult and increasingly burdensome, particularly due to permitting timelines, rising fees, and inconsistent regulatory processes.

Many respondents described the city’s permitting and planning environment as slow, complex, and frustrating. Comparisons were made to neighboring jurisdictions, particularly Eureka, where projects reportedly move faster and staff are viewed as more collaborative. Developers cited increasing fees, connection costs (water/sewer), and regulatory uncertainty as major deterrents to new housing and commercial projects.

Housing was identified as a critical issue. High permit and hookup fees, sewer plant upgrade costs, PG&E connection costs, and rising development expenses can result in significant capital outlays before construction even begins. There is concern that Fortuna lacks sufficient housing for professionals and middle-to-upper income residents, limiting workforce attraction and economic expansion.

Developers also emphasized that Fortuna lacks economic diversification and higher-paying industries. The decline of timber and cannabis as economic drivers, combined with limited manufacturing and industrial presence, has weakened the local economic base. Many believe Fortuna must actively recruit industry and redefine itself as a regional hub.

Despite frustrations, respondents see substantial opportunity. Fortuna’s natural beauty, freeway access, land availability, family-friendly character, airport, mill site, sports facilities, and educational institutions were repeatedly identified as strong assets. Developers believe that with clearer leadership, streamlined processes, incentives, and a defined economic vision, Fortuna could attract meaningful investment.

In summary, developers and contractors believe Fortuna has strong physical and geographic advantages but must reform permitting processes, reduce costs, clarify its long-term economic vision, and actively recruit industry to unlock its growth potential.

Restaurants
Input was gathered from owners of eight restaurants operating in Fortuna.

Overall sentiment reflects a business community that is struggling to remain viable, with most owners rating the local economy as poor and none rating it as good or excellent.

Restaurant owners report being financially squeezed by rising costs—including food, utilities, insurance, housing, credit card fees, and regulatory compliance—while simultaneously facing reduced customer spending due to inflation and the loss of major local industries. Staffing challenges, lingering impacts from COVID-19, and increased petty crime further strain operations.

While Fortuna is not viewed as hostile to business, it is widely seen as not business-friendly. Owners cited excessive regulations, limited communication, and a lack of practical support from the city. Several expressed frustration that small-town businesses are governed with big-city policies, without adequate consideration of scale or impact.

Despite these challenges, owners see clear opportunities for economic improvement. Fortuna’s strongest assets include its family-friendly and safe image, Highway 101 visibility, natural surroundings, parks and river access, and a collaborative local business community. Tourism, sporting events, local festivals, and coordinated downtown activities were consistently identified as growth opportunities.

Business owners emphasized that increased events, regional marketing, downtown beautification, public safety, housing development, and economic diversification would provide the most immediate benefit. There is a strong desire for city leadership that better understands business operations and works collaboratively with local owners.

In summary, restaurant owners are committed to Fortuna but believe meaningful economic recovery will require lower barriers to doing business, stronger city-business communication, targeted cost relief, and active use of the city’s existing assets to drive foot traffic and consumer spending.

Ranching / Dairy
Input was gathered from representatives within the Ranching and Dairy sector. Overall sentiment reflects a steady but cautious outlook, with emphasis on long-term economic sustainability rather than immediate regulatory frustrations.

Respondents identified the decline of traditional resource-based industries, an aging population, limited workforce opportunities, and housing shortages as major economic concerns. While agriculture remains stable, the broader economic base that once included timber and related industries has weakened.

There is strong belief that Fortuna must adopt a proactive, solution-oriented mindset — shifting from questioning why projects won’t work to asking how they can succeed. Clear strategic planning, especially for the Mill site, was emphasized as essential.

The sector sees significant opportunity in leveraging natural resources, value-added agricultural production, tourism, education partnerships, and innovation. However, challenges include California’s regulatory climate, limited manufacturing and technology jobs, and insufficient collaboration between the business community and local educational institutions.

In summary, the Ranching/Dairy sector believes Fortuna has strong environmental and agricultural assets but must focus on innovation, strategic planning, higher-end tourism development, and economic diversification to strengthen long-term stability.

Industrial / Manufacturing
Input was gathered from representatives in the Industrial and Manufacturing sector. Overall sentiment reflects a neutral but concerned outlook, with businesses operating steadily yet facing structural challenges that limit expansion and workforce stability.

Respondents identified workforce shortages, housing availability, infrastructure limitations, and lack of economic diversification as primary constraints. Many employers report difficulty attracting and retaining qualified workers due to housing costs and limited availability. Some are contracting work outside the region because they cannot find skilled labor locally.

Transportation and logistics costs are also significant concerns. Shipping in and out of the area is expensive, fuel costs are higher than many other regions, and limited local support industries (such as machine shops) restrict operational efficiency.

There is a shared belief that Fortuna has not invested aggressively enough in attracting new businesses or industries. Without diversification and stronger economic drivers, sales tax revenues may decline, placing further strain on the city’s budget.

Despite these concerns, the sector sees strong opportunity in workforce development, tourism capture, downtown revitalization, sports and event-based branding, and leveraging Fortuna’s climate, location, and natural beauty. There is clear consensus that Fortuna needs a defined economic vision and stronger branding to give travelers and investors a reason to stop, stay, and invest.

In summary, the Industrial/Manufacturing sector believes Fortuna has strong geographic and environmental advantages but must address workforce, housing, infrastructure, and economic vision gaps to create sustainable industrial growth.

Grocery/Beverage
Input was gathered from representatives within the Grocery and Beverage sector. Overall sentiment reflects a mixed outlook — day-to-day business operations are described as generally easy, but regulatory burdens and broader economic pressures create significant challenges.

Respondents cited taxes, fees, insurance, and state-level regulations as major burdens on small business owners. While Fortuna is viewed as somewhat easier than neighboring cities like Eureka and Arcata, California’s overall regulatory climate is seen as restrictive and costly.

The most significant economic concern identified is declining disposable income due to the rising cost of living. Consumers are spending less, directly impacting grocery and beverage sales. Additionally, the loss of traditional industrial economic drivers (lumber, fishing, cannabis) and lack of new industrial development have weakened the valley’s economic base.

There is strong sentiment that Fortuna must rebuild its industrial foundation to restore economic strength. Challenges include high living costs, crime concerns, lack of incentives for new industry, and difficulty transporting goods into Humboldt County.

Despite challenges, respondents see potential in positioning Fortuna as business-friendly and leveraging natural resource-based industries such as lumber, dairy, cannabis, and tourism centered on rivers, forests, ocean access, and the Lost Coast.

In summary, the Grocery/Beverage sector believes Fortuna’s economic struggles stem from reduced disposable income, loss of industry, and regulatory burdens, and that revitalizing industrial development and reinforcing natural-resource-based identity are key to economic recovery.

Ag / Horticulture / Natural Resources
Input was gathered from representatives within the Agriculture, Horticulture, and Natural Resources sector. Overall sentiment reflects a generally positive view of operating in Fortuna, with appreciation for the community, tourism blend, and Chamber of Commerce leadership.

However, respondents identified structural economic concerns including lack of living-wage jobs, an aging population, rising labor and utility costs, and the continued shift of retail dollars to online platforms and neighboring cities.

There is concern that downtown retail is changing character, with fewer core businesses and more niche retail uses, and that shopping sprawl has diluted the city’s commercial strength. Online shopping, Costco, and Eureka-area retail centers continue to pull spending away from Fortuna.

Opportunities center on strengthening Fortuna’s small-town identity, supporting local food production, leveraging special events, improving walkability, capitalizing on the Eel River as a major recreational and tourism asset, and supporting infrastructure projects like the Great Redwood Trail.

In summary, the Ag/Horticulture/Natural Resources sector believes Fortuna’s strengths lie in its natural assets, community feel, and event culture, but economic vitality depends on reinforcing downtown identity, protecting agricultural land, managing utility costs, and addressing retail leakage.

Healthcare
Input was gathered from representatives within the Healthcare and Medical sector. Overall sentiment reflects a community with strong potential but significant structural barriers related primarily to housing, downtown vitality, and economic positioning.

Healthcare leaders emphasized that affordable and quality housing is a critical issue — not only for residents, but for recruiting and retaining medical staff. Providers report difficulty housing medical assistants, technicians, and traveling staff. Some organizations have built their own housing units to accommodate employees. The aging population is increasing demand for Medicare and Medi-Cal services, placing additional strain on the healthcare system.

There is broad agreement that Fortuna lacks a defined business attraction strategy, downtown vision, and cohesive branding effort. Main Street is described as underperforming and not visually appealing or robust compared to neighboring cities. Respondents believe Fortuna has an image problem and does not effectively promote its strengths, particularly its family-friendly identity and natural beauty.

Opportunities include expanding airport utilization, leveraging Cal Poly Humboldt partnerships, developing higher-end lodging, packaging regional tourism assets, and capitalizing on climate migration trends. The medical sector sees potential in senior services expansion and tourism-based economic growth.

In summary, the Healthcare sector believes Fortuna’s economic future depends on improving housing availability, revitalizing downtown, strengthening branding, fostering business attraction, and leveraging its climate, educational institutions, and natural assets.

Hospitality / Tourism
Input was gathered from a representative within the Hospitality and Tourism sector. Overall sentiment reflects a generally positive view of operating in Fortuna, with business described as “easy.” However, the sector sees significant opportunity for stronger coordination, clearer messaging, and improved tourism promotion.

The most pressing issues identified include difficulty getting residents to shop locally, limited awareness of what businesses and services are available in Fortuna, and the need to boost tourism traffic. There is also a desire for better public understanding of how local spending supports the community and circulates within the economy.

The hospitality leader emphasized that business owners, stakeholders, and event organizers must work more collaboratively. Improved communication, stronger marketing, and better alignment between events and lodging are seen as essential to maximizing overnight stays and visitor spending.

Challenges include limited youth employment opportunities and a perceived need for more open-mindedness in community decision-making.

In summary, the Hospitality/Tourism sector believes Fortuna has a strong foundation but must improve coordination, local promotion, tourism marketing, and event integration to unlock greater economic benefit.

Other / No Declaration
Input was gathered from respondents who did not identify with a specific sector. Overall sentiment trends positive regarding quality of life and ease of doing business, but concerns center around retail leakage, lack of economic diversification, limited downtown vitality, housing affordability, and insufficient municipal capacity.

Many respondents describe Fortuna as a great place to live and work, citing strong community support and natural beauty. However, recurring economic concerns include competition from Amazon and big box stores, lack of retail variety, limited exportable industries, expensive shipping, housing costs, and crime perception.

There is strong interest in revitalizing Main Street, developing the Mill site, expanding tourism, improving community gathering spaces, and creating anchor attractions that give people a reason to stop in Fortuna rather than pass through.

Several comments emphasized the need for a “big idea” — a transformative project such as a Main Street walking plaza, Riverwalk expansion, equestrian center, RV tourism hub, theatre reopening, or river-based development strategy. There is also consistent support for building around Fortuna’s natural assets and identity as a friendly, redwood-rooted community.

In summary, respondents believe Fortuna has strong assets but lacks a cohesive economic identity, sufficient downtown vitality, workforce housing, and municipal staffing capacity to execute transformative change.

Fortuna Business Community Input and Recommendations
To General Plan Update and Strategic Plan
May 19th, 2026
A Bridge to the Future
Introduction
The City of Fortuna is updating its General Plan and developing a new Strategic Plan for the city. Sixty-four business owners, executives, chamber members and downtown merchants in Fortuna completed an economic survey to provide input for those plans.

That input and following assessment of Fortuna’s current economic condition, it is clear that for the first time in 140 years, Fortuna and the Eel River Valley does not have an economic anchor providing financial stability for many families, businesses and the city.

The decline of timber industry employment twenty years ago and the collapse of cannabis five years ago is now resulting in a declining population, increasing poverty rates, reduced economic activity and city services facing a financial crisis. A new economic vision building upon the assets in our community needs to be developed and action must be taken to stabilize and then strengthen our economy. Over seventy business and community leaders signed a letter to the city recommending a community led workgroup tackle these issues. The city is supportive. Other communities similar in size to Fortuna and previously timber based have successfully addressed these kinds of challenges. All segments of our community will need to be involved in these discussions.

Business Survey Results - Executive Summary
The collective input from all sectors, restaurants, retail, developers and contractors, ranching and dairy, industrial and manufacturing, grocery and beverage, agriculture and natural resources, healthcare, hospitality and tourism, downtown merchants, and general respondents, reveals a consistent and clear narrative: Fortuna is widely viewed as a wonderful place to live, rich in natural beauty, community spirit, and strategic location, but economically underperforming relative to its assets. Business owners and stakeholders describe the city as stable yet stagnant, with significant untapped potential. Across nearly every sector, respondents expressed pride in Fortuna’s small-town character, riverfront setting, redwood identity, and family-friendly culture.

However, they also emphasized structural economic weaknesses that must be addressed, if Fortuna is to thrive long-term.

Another cross-sector theme was the need for more efficient permitting processes, clearer regulatory pathways, and stronger city capacity. Developers, industrial operators, healthcare leaders, and downtown merchants all referenced delays, rising fees, and limited staffing capacity as obstacles to growth. There is widespread support for creating or strengthening a dedicated economic development function, improving interdepartmental coordination, and fostering a more proactive “how can we help you succeed” approach within city operations.

Finally, nearly every sector emphasized that Fortuna’s greatest competitive advantage lies in its natural and cultural assets—its redwoods, Eel River, climate, outdoor recreation, rural character, and friendly community identity. However, participants repeatedly stated that the city does not effectively promote or unify these strengths into a cohesive brand. There is strong interest in positioning Fortuna as a gateway to the redwoods, a river-centered destination or a sports and recreation hub. The Mill Site and riverfront redevelopment were consistently identified as catalytic opportunities that could reshape the city’s economic trajectory, if executed strategically.

In summary, Fortuna’s stakeholders see a city with strong foundational assets but lacking a diversified economic base, adequate housing supply, downtown vitality, streamlined development processes and a unified identity. There is broad agreement that meaningful progress will require coordinated leadership, strategic industry recruitment, housing expansion, downtown revitalization and a bold but practical branding and development strategy centered on Fortuna’s unique natural advantages.

The community is ready for forward momentum; what is needed now is alignment, execution capacity, and a clear economic vision that translates pride in place into measurable progress.

Action Plan
Community Led Workgroup - Providing overall strategic leadership and guidance Workgroup members-
- John Egan - Developer/Rancher
- Corey Fitze - Eco Medical Waste
- Jeana McClendon - George’s Glass
- Tina Christiansen - Coldwell Banker
- Amy Nilsen - Fortuna City Manager
- Ben McWhorter - Sequoia Gas
- Cody Hurst - The Hurst Group
- Martha Spencer - Planner/Resource Dev.
- Kevin Bradley - Kreations Auto Body
- Two additional members to be confirmed.

Tasks/Responsibilities:
● Draft a new economic vision and unique brand for Fortuna, leveraging its assets while preserving its historical character and culture.
● Identify leads and provide strategic oversight of community workgroups. ● Engage the broader community.

Community Workgroups
● Downtown Revitalization - Develop a plan to revitalize Downtown/Main Street aligned with Fortuna’s natural/historical/cultural assets and future directions.

Lead -
● Tourism - Promote tourism, including a regional partner strategy similar in concept to “The Wine Country” in Napa, Sonoma and Mendocino counties.

Package tourism experiences. Build upon Fortuna’s current schedule of annual events. Develop strategies to attract conferences and youth sports tournaments.

Lead -
● Business Development - Actively pursue business development and attraction for the Mill Site and Riverwalk areas. Lead -
● Remote Workers - Attract remote workers through targeted outreach, offering support services and incentives. Lead -
● Business Support - Provide support services to existing and new businesses (business development, retention, expansion and new business start-ups).

Lead -
● Workforce Development - Strengthen work experience/internship opportunities with local education and promote youth entrepreneurship through competitions, mentoring and support. Lead -
● Housing Availability/Affordability - Develop strategies to meet current and future housing demand. Lead -
● City Services - Increase capacity using an ombudsman service style approach with permitting, regulations and business development/attraction incentives.

Lead -
Tasks/Responsibilities:
● Each lead solicits workgroup members.
● Workgroups develop and implement action plans.
● Engage the broader community.

Business Agenda Item 5a

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STAFF REPORT
Business Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Brian Issa, Public Works Director
THROUGH: Amy Nilsen, City Manager
SUBJECT: Approve a Hiring Freeze Exception for Full-Time Deputy City Engineer Position
STAFF RECOMMENDATION:

Approve an exception to the current hiring freeze to allow recruitment and appointment to the Deputy City Engineer position.

EXECUTIVE SUMMARY:

The Public Works Department is requesting an exception to the current hiring freeze to allow recruitment and appointment of the existing Full-Time Deputy City Engineer position. The position will become vacant effective June 1, 2026.

The Deputy City Engineer is responsible for assisting the City Engineer and Public Works Department in project management and reporting.

Approval of this exemption would allow the City to begin recruitment to maintain continuity of the work being performed by the current employee in this position. This request does not create a new position or increase staffing levels. The position already exists and is currently funded within the adopted budget and proposed budget. Staff may choose to fill this vacancy at various grades at or below the salary of the current Deputy City Engineer position.

FISCAL IMPACT:

No additional appropriation is requested. The Deputy position is currently funded 76% from the utilities and 24% from the general fund.

ALTERNATIVES TO STAFF RECOMMENDATIONS:

Deny the exception – Not recommended.

This would leave the position vacant and significantly limit the City’s ability to keep projects, including timely review of development applications running smoothly.

Delay recruitment until freeze is lifted – Not recommended.

This would delay the recruitment and hiring process and increase the likelihood of disruption to ongoing project and engineering matters.

Business Agenda Item 5a

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RECOMMENDED COUNCIL ACTION:

1. Open Public Comment

2. Close Public Comment

3. Motion to approve an exception to the hiring freeze for the Full-Time Deputy City Engineer Position. Roll Call vote.

Business Agenda Item 5b

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STAFF REPORT
Business Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Ryan Fraga, Engineering Department
THROUGH: Amy Nilsen, City Manager
SUBJECT: Authorize the City Manager to Award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and Establish a Maximum Contract amount of $297,000 & Approve Supplementary Budget Request for $202,399
STAFF RECOMMENDATION:

Authorize the City Manager to award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and establish a maximum contract amount of $297,000. Approve supplementary budget request for $202,399 from City Water Capital Reserve Funds (Fund 510) remaining from Fiscal Year 2025-2026 to be applied to fiscal year 2026-2027.

EXECUTIVE SUMMARY:

Periodically, the City’s utilities staff are required to make repairs or add services to the City’s domestic water distribution network. When doing so, staff utilize shut-off valves to isolate the portion of the network where work needs to be performed in such a way that as few people as possible are impacted. In some areas of the City however, some older valves do not fully shut off, and staff are forced to move to the next valve back in order to accomplish a full shut-off so pipes can be depressurized and work can be performed; often affecting many more water customers.

Another impact is that such situations create more work and result in longer shut down times. In an effort to address these issues, staff have identified various locations around the City where valves have failed and organized them by priority.

The first area selected for this long-term project was located on Newburg Road spanning from Sunnybrook Drive to South 15th Street and was completed in 2025. This first phase replaced 11 valves at 5 locations and was completed under budget. This is the second phase of the project and will replace 27 valves in 10 locations. Some of the inoperable valves are also undersized for modern standards and this project will bring these valves into compliance. This project will also replace valves at critical junctions, such as the main pumping station on Kenmar Road and the storage facility above Campton Heights.

The Annual Water Valve Replacement Project bid package was released and publicly advertised on May 4
th, 2026. The bid period ended on May 27th, 2026, at 2:00 p.m. at which time the City received five responsive bids shown in the table below:

Business Agenda Item 5b

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Bidder Base Bid Total
Wendt Construction $247,572
Mercer-Fraser $410,750
Mobley Construction $417,887.50
Wahlund Construction $533,400
GR Sundberg $577,826
The apparent low bid was submitted by Wendt Constructionwith a total bid price of $247,572. City staff have confirmed that the bid received from Wendt Construction was fully responsive and that they have active licenses and registrations
If the project is awarded, staff anticipate being under contract by mid-June. Mobilization and construction are anticipated to begin in early July. The draft Notice of Potential Award is included as Attachment A.

FINANCIAL IMPACT:

The project is funded through the City Water Capital Reserve Funds (Fund 510) with remaining fiscal year funding of $202,399 combined with 2026-2027 fiscal year funding of $300,000. The total anticipated costs to complete this project are shown in the table below and the remaining budgeted funds will be utilized for the next prioritized valve replacement project:

Item Cost
Contract Wendt Const. $247,572
Construction Contingency (20%) $49,515
Total $297,000
RECOMMENDED COUNCIL ACTION:

1. Receive staff presentation and review Council questions with staff

2. Open Public Comment

3. Close Public Comment

4. Motion to Authorize the City Manager to award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and establish a maximum contract amount of $297,000, and;

5. Authorize a supplementary Budget Request for $202,399 remaining from Fiscal Year 2025-2026 to be applied to Fiscal Year 2026-2027 from City Water Capital Reserve Funds (Fund 510)
Business Agenda Item 5b

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ATTACHMENTS:
• Attachment A – Supplementary Budget Request
• Attachment B – Draft Notice of Potential Award
Requesting Department: Packet #
JV #
Fund Name/s Amended: Prepared By
Checked By
Fund #/s Amended: Post Date
New Budget Appropriation Intra‐Department Budget Transfer Additional Budget Appropriation Other Budget Transfer

REVENUES
Account Description Account Number Current Budget Proposed Amendments
Amended
Budgets
TOTAL

EXPENDITURES
Account Description Account Number Current Budget Proposed Amendments
Amended
Budgets
TOTAL

PURPOSE
Department Head: Date:

Finance Director: Date:

City Manager: Date:

CITY OF FORTUNA
SUPPLEMENTAL BUDGET REQUEST
x
5/27/2026
Sent via email
May 27, 2026
Sue Long, Secretary
Wendt Contruction
3651 Rohnerville Road
Fortuna, CA 95540
[email protected]
Re: NOTICE OF POTENTIAL AWARD
2026 Annual Water Valve Replacement Project
Dear Sue,
I am pleased to inform you of the intent to recommend that the City Council or its authorized designee award the Contract for the above-referenced Project (“Project”) to Wendt Construction (“Contractor”) for the Contract Price of $247,572, based on Contractor’s Bid Proposal submitted on May 27, 2026.

A copy of the Contract accompanies this Notice. Contractor must execute 2 copies of the enclosed Contract and return the wet-inked copies to my attention, no later than ten days from the date of this Notice of Potential Award, above, accompanied by the following: (1) the required Payment Bond and Performance Bond, completed and executed as indicated; (2) the required insurance certificates and endorsements; and (3) if applicable, valid Certificates of Reported Compliance for its fleet and its listed Subcontractors, in compliance with the California Air Resources Board’s In-Use Off-Road Diesel-Fueled Fleets Regulation (13 CCR § 2449 et seq.).

Failure to execute and return the enclosed Contract and required bonds, insurance documentation, and valid Certificates of Reported Compliance within the specified time could result in forfeiture of Contractor’s bid security. This Notice of Potential Award does not bind the City to award the Contract. The City, acting through its City Council or authorized designee, reserves the right to reject any or all bids, and the right to decline to award the Contract, notwithstanding any staff recommendation.

Unless expressly authorized or required to engage in any pre-construction activities, such as preparing submittals, Contractor must not commence Work until directed by the Notice to Proceed and will not be entitled to compensation or credit for any Work performed before the date specified in the Notice to Proceed.

Please acknowledge receipt of this Notice of Potential Award by signing the attached Acknowledgement of Notice of Potential Award, as indicated, and transmitting the Acknowledgement to my office via email at [email protected]. Do not hesitate to contact me if you have any questions in this regard.

Sincerely,
_________________Morgan Crisler
_________________Senior Administrative Assistant

Enclosure
Acknowledgement of Notice of Potential Award
On behalf of <________________________________________> (“Contractor”), I acknowledge receipt of the Notice of Potential Award for the 2026 Annual Water Valve Replacement Project:
s/_________________________________
Name: _____________________________
Title: ______________________________
Date: ______________________________
Business Agenda Item 5c

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STAFF REPORT
Business Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Brian Issa, Public Works Director
THROUGH: Amy Nilsen. City Manager
SUBJECT: Review and Approve the Fiscal Year 2026-2027 Five-Year Capital Improvement Program
STAFF RECOMMENDATION:

Review and adopt the City of Fortuna Fiscal Year (FY) 2026-2027 Five-Year Capital Improvement Program (CIP).

EXECUTIVE SUMMARY:

Attached is the 2026-2027 Five-Year Capital Improvement Program. Each year, the CIP is updated and used to identify necessary infrastructure improvement projects as well as to coordinate the financing and timing of those projects in a way that maximizes the return to the public. The program is a guide for identifying and estimating current and future fiscal year projects necessary to maintain the City’s infrastructure, such as roads, sidewalks, streetlights, sewer and water mains, pipes and manholes, parks, community centers, and city buildings, which lists Capital Improvement Five-Year Program Expenditures.

The first year of the CIP is considered the Capital Budget. Each year, the City Council appropriates funding for the Capital Budget only, and years two through five are approved on a planning basis only.

A workshop with the City Council was held on May 4, 2026. At that meeting, staff provided a summary of the various projects included in the FY 27 proposed budget, and answered questions presented by the Council. The proposed CIP was adopted by the Fortuna Planning Commission on May 26, 2026.

Staff update the Five-Year CIP document annually by removing projects which are expected to be complete, or which no longer have funding. A complete sheet for each project is also included that provides more detail including a brief description of the project, justification for the project, funding source, as well as pictures and comments from staff.

COMMUNITY VISION ALIGNMENT:

Adoption of the Capital Improvement Program consistent with the General Plan is aligned with the City’s vision, as it affirms that planned capital investments are advancing the community’s adopted long-term goals for infrastructure reliability, public safety, and fiscal stewardship.

Business Agenda Item 5c

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FINANCIAL IMPACT:

Once approved, the 2026-2027 fiscal year projects will be funded as part of the overall 2026-2027 fiscal year budget.

RECOMMENDED COMMISSION ACTION:

1. Receive staff presentation and review questions with staff

2. Open Public Comment

3. Close Public Comment

4. Motion to adopt the FY 2026-2027 Five-Year Capital Improvement Program, and appropriate funding and inclusion of FY 2026-2027 projects into the 2026-2027 overall budget. Roll Call vote.

ATTACHMENTS:
• Attachment A - Draft FY 2026-2027 Five-Year CIP
Five-Year
Capital Improvement Program
2026-2027
City of Fortuna
Five-Year Capital Improvement Program
FY 2026-2027
MAYOR
Mike Johnson

CITY COUNCIL
Tami Trent, Mayor Pro Tem
Kyle Conley
Carlos Diaz
Abe Stevens

CITY STAFF
Amy Nilsen, City Manager
Brian Issa, Public Works Director
Mat Nyberg, Deputy City Engineer
Andy Bowles, Chief Plant Operator
Bob Natt, General Services Superintendent
Jason Johnson, Utilities Superintendent
Table of Contents
INTRODUCTION................................................................................................................................................1 SUMMARY ..........................................................................................................................................................4 WATER TREATMENT AND DISTRIBUTION ................................................................................................5 WASTEWATER TREATMENT AND COLLECTIONS ................................................................................. 19 DRAINAGE SYSTEMS..................................................................................................................................... 26 STREETS ........................................................................................................................................................... 31 PARKS AND RECREATION............................................................................................................................ 42 COMPLETED PROJECTS ............................................................................................................................... 49 City of Fortuna 2025-2026 CIP
Introduction 1
Introduction
Fortuna, known as “The Friendly City,” was incorporated in 1906 and is a small, rural community of just over 12,000 residents and covering an area of 5.1 square miles. The City of Fortuna is governed by a Council/Manager form of government. The City Council consists of five members, elected from the City at large, who serve four-year terms. The Mayor and the Mayor Pro Tem are elected biannually by the City Council from amongst its members. The City Manager works under the direction of the City Council and is responsible for supporting the policies enacted by the City Council, as well as managing the day-to-day operations of the City.

The City of Fortuna’s mission is “To be worthy of the public trust by providing timely, efficient, well-planned, and dependable services to the community.” Part of the City’s commitment to this mission is through a well-planned Five-Year Capital Improvement Program that works to maintain and replace aging facilities as well as construct new infrastructure, as it is needed.

What is a Capital Improvement Program? A Five-Year Capital Improvement Program (CIP) is a multi-year planning instrument used to identify needed capital improvement projects and to coordinate the financing and timing of improvements. The primary purpose of the CIP is to assist in the orderly implementation of the broad and comprehensive goals of the adopted General Plan and for the maintenance and replacement of the City’s infrastructure by establishing an orderly basis to guide local officials in making sound budget decisions and by focusing attention on community goals, needs, and capabilities to maximize the benefit of public expenditures.

Projects may include land and buildings, park and recreation facilities, street and storm drain facilities, wastewater collection and treatment facilities, and water treatment and distribution facilities.

An effective Capital Improvement Program:

1. Identifies specific public improvement projects by location, size, function, and cost (although some types of projects, such as street resurfacing and maintenance of water and sewer facilities may be shown on an annual allocation basis).

2. Establishes the timing for funding of major cost elements related to each project, such as right-of-way acquisitions, design, construction, etc.; for large projects, these may be spread over several years, while for smaller projects, only a single budget year is involved.

3. Proposes specific revenue sources for each project.

4. Facilitates priority setting where funds are insufficient to cover all desired projects.

5. Enhances coordination of separate but interrelated projects, whether internal or involving other agencies.

6. Gives other affected agencies, such as utilities, an opportunity to develop long-range programming.

7. Tends to discourage inefficient and frequent changes in allocation of capital resources.

8. Permits an educated approach to staffing for engineering, operation, and maintenance.

City of Fortuna 2026-2027 CIP
Introduction 2
For most cities, a five-year CIP period appears to be workable and realistic. Under this guideline, it is common for the first year of the CIP to be combined into the annual budget process. In all cases, the CIP would be flexible enough to make the inevitable adjustments for unanticipated cost changes, urgent projects, or other factors. In addition, the City will be able to more clearly identify and discuss the consequences of a delay in timely project commencement due to such factors.

How are projects funded? Funding for projects is usually derived from special source funds including gas tax, water reserves, sewer reserves, remaining balances of the General Fund, or state, federal, and other grants.

Gas tax, water, and sewer fund revenues are budgeted only for capital projects in the categories appropriate to their sources.

The General Fund’s ability to make significant contributions to the CIP has been declining over the last several years by a combination of factors. The City’s General Fund has had its revenues reduced by the State budget crisis. The General Fund currently does not have the ability to finance capital improvement projects in the same way that is has done in the past.

Federal, state, and other grant funds may only be used for the purpose for which the funds were received.

Although this CIP falls short of funding the optimum level of infrastructure improvements, it does represent an effort to use all available funding sources for the most vital projects.

Project priorities should be established by:

1. Projects with a clear issue of public health and safety.

2. Projects which trigger irreversible or serious long-range consequences.

3. Projects that eliminate liabilities experienced in the past.

4. Projects mandated by county, state and/or federal laws, the public and other agencies.

5. Projects directly related to established goals or objectives.

6. Projects directly affecting the quality of life for residents of the City of Fortuna.

Every effort is made to ensure that all projects are described accurately and have sound cost estimates. Some projects are conceptual in nature and these cost estimates are difficult to generate and should be considered flexible.

Estimates are initially made for every project in 2026 dollars. As priorities for construction are assigned for each project, the dollar amount is updated to more accurately reflect costs within the proposed year of construction. The estimates are general with the intent that they should be revised as they are brought into the annual budget process.

The projects identified in this 2026-2031 CIP are considered essential to implement goals, protect public property from deterioration and extending its useful life, and preserve the City’s prior infrastructure investments.

City of Fortuna 2026-2027 CIP
Introduction 3
In summary, the 2026-2031 Five-Year Capital Improvement Program is a planning and budgeting tool that lists and classifies all proposed public improvement projects maximizing the investment to the public.

Respectfully Submitted,
Amy Nilsen Brian Issa
City Manager Public Works Director
City of Fortuna 2026-2027 CIP
Summary 4
Proposed CIP Budget by Division
Division FY 26/27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 Total 5-yr CIP Cost Facilities $ 150,000 $ 1,150,000 $ 1,300,000
Parks $ 17,500 $ 500,000 $ 950,000 $ 960,000
Sewer $ 21,950,000 $ 24,300,000 $ 1,550,000 $ 1,950,000 $ 500,000 $ 50,250,000 Storm $ 200,000 $ 300,000 $ 1,200,000 $ 200,000 $ 200,000 $ 2,100,000 Streets $ 1,635,000 $ 1,195,000 $ 845,000 $ 375,000 $ 100,000 $ 4,150,000 Water $ 3,530,000 $ 2,600,000 $ 2,400,000 $ 650,000 $ 650,000 $ 9,830,000 Grand Total $ 27,482,500 $ 30,045,000 $ 6,945,000 $ 3,175,000 $ 1,450,000 $ 68,590,000 $0
$5
$10
$15
$20
$25
$30
$35
FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31
Total Dollars (Millions)
Fiscal Year
Total Spending by Funding Source per Fiscal Year
Cleanwater SRF 352
Sewer Reserves 560
Water Reserves 510
Federal Grant Funds 356
Grant Funds 350
Surface Transportation Funds 290
CDBG 830
RSTP 275
TDA NonTransit Fund 260
STIP 270
Traffic Facilities Fund 140
Drainage Reserve Fund 130
Measure E 101
City of Fortuna 2026-2027 CIP
Drainage Systems 5
Water Treatment and Distribution
City of Fortuna 2026-2027 CIP
Drainage Systems 6
Water Meter and Radio Changeout Project CIP# 9129
Description
Replace old “SR1” style radios with newer “SR2” style
radios. SR2 radios are capable of remote read via
“collectors” which will eliminate the need to drive routes.

Justification
The older radios are reaching the end of life, and some are requiring manual reads. New equipment is being installed that works with our current read system but also has the ability to read via centralized “collector” points in real time, providing more information and control to the customer
while reducing read time significantly.

Studies and Reports
Identified by the Utilities Crew.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
Annual replacement of meter population with collector
system anticipated in .
(Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction (Radios) $400,000 26/27

2. Construction (Radios) $200,000 27/28

3. Construction (Collectors) $250,000 28/29
Total $850,000
City of Fortuna 2026-2027 CIP
Drainage Systems 7
CCF Piping & Well 5 Replacement Project CIP# 9066
Description
Replacement of the underground source main pipes at the Corrosion Control Facility. Construction of a new pump
house over previously drilled Well 5b. Addition of
various electronic and metering equipment for the new
well.

Justification
Current piping configuration results in pump
inefficiencies from the water wells. The updated pipe
configuration will create the most efficient operation for each well pump. Well 5 was previously underperforming,
and the new Well 5b was found to have levels of
manganese that require robust and expensive treatment to bring the well online.

Studies and Reports
Identified and recommended by City Consultant.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
Water Reserve Fund 510;
Construction including contingency $1,500,000
Comments
(Chief Plant Operator)
Project Cost Estimate
2026 Dollars

1. Construction $1,500,000 26/27
Total $1,500,000
City of Fortuna 2026-2027 CIP
Drainage Systems 8
Water System Master Plan CIP# 9109
Description
Develop an updated master plan for the water system of
the entire City. Includes a condition assessment of
Vancil Reservoir.

Justification
This master plan will provide information that staff can use to identify improvements needed to develop future
projects that protect the existing infrastructure and
provide redundancy and a reliable water supply to the
City. Vancil Reservoir is showing its age and needs to
be evaluated for rehab/replacement.

Studies and Reports
Previous master plan by Oscar Larson & Associates
April 2007
Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
(Director of Public Works)
Project Cost Estimate
2026 Dollars

1. Planning $200,000 26/27
Total $200,000
City of Fortuna 2026-2027 CIP
Drainage Systems 9
Annual Water System Valve Replacement Project CIP# 9990 Description
This CIP will provide funding in order to complete valve cluster replacements in areas requiring contractor
assistance.

Justification
The city’s water system has a number of valves that due to age and conditions are unable to be operated reliably.

Inoperable valves lead to larger service outages when
breaks or line extensions happen.

Studies and Reports
N/A
Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
Project Cost Estimate
2026 Dollars

1. Construction $150,000 26/27

2. Construction $150,000 27/28

3. Construction $150,000 28/29

4. Construction $150,000 29/30

5. Construction $150,000 30/31
Total $750,000
City of Fortuna 2026-2027 CIP
Drainage Systems 10
Annual Water Main Replacement Project CIP# 9108
Description
Replacement of the old water mains. Main replacements will be prioritized based on factors such as likelihood and consequence of failure and coordination with other utility work and street paving. The following locations are known problems that are likely candidates for replacement.

1. 2” CI lines in the alleys between 9th and 10th Street, 10th and 11th Street, and 11th and 12th Street between I and L Streets

2. 2” CI in the alley connecting N to P Street between 13th and 14th Street

3. 6” AC on Orchard Lane

4. 4” CI in 14th Street from K Street to N Street

5. 6” AC in Newburg Road between Fortuna Boulevard and
Spring Street.

Justification
The upgraded line(s):
• Replace antiquated materials prone to breaks and leaks • Provide better flow rates to homes and businesses
• Eliminate potential corrosion and water quality issues • Improved fire flows and hydrant coverage
Studies and Reports
Identified and recommended by the Utilities Crew.

Funding Sources
Water Reserve Fund 510
Prior Appropriations
N/A
Comments
This project may be completed by City Forces or through contract and bid document (TBD).

Location 1
Location 2
Location 3
City of Fortuna 2026-2027 CIP
Drainage Systems 11
(Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Design & Construction $500,000 26/27

2. Design & Construction $500,000 27/28

3. Design & Construction $500,000 28/29

4. Design & Construction $500,000 29/30

5. Design & Construction $500,000 30/31
Total $2,500,000
Location 4 Location 5
City of Fortuna 2026-2027 CIP
Drainage Systems 12
Drake Hill Road Water Main Replacement Project CIP# 9115 Description
Replace asbestos cement (AC) pipe with 8” C900 (plastic) from Thelma to Rohnerville Road.

Justification
AC pipe is beyond its design life and this line has been the site of multiple repairs in recent years. This project would update all the sections to the newer C900 (plastic) pipe, which would decrease the likelihood of future leaks in this area.

Studies and Reports
This project was identified by the Utilities Superintendent.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
(Utility Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $100,000 26/27

2. Construction $800,000 27/28
Total $900,000
City of Fortuna 2026-2027 CIP
Drainage Systems 13
Meadow Lane Water Main Replacement Project CIP# 9117
Description
Replace approximately 700ft of existing asbestos
concrete pipe with 6” C900 (plastic) and relocate
main from front yards to the street..

Justification
Existing water main currently runs through the front
yards of homes on the west side of Meadow Lane.

This project would move water line into the street to
provide easier access for repairs. This is also one of
the last streets in this area with an AC water main
and will be upgraded to C900 (plastic) which will
likely lead to fewer leaks on this line.

Studies and Reports
Identified by the Utilities Crew.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
(Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $25,000 27/28

2. Construction $225,000 28/29
Total $250,000
City of Fortuna 2026-2027 CIP
Drainage Systems 14
12th Street Water Main Project CIP# 9065
Description
Replacement of the existing 6” and 8” AC (concrete) mains with 12” C-900 (plastic) mains from L Street to Newburg Road.

Justification
The existing mains are undersized concrete and will be replaced with larger and more durable plastic to provide better flow rates to homes and businesses in the area.

Studies and Reports
Identified and recommended by 2007 OLA Water System
Report. Project to be reexamined after completion of a new Water Master Plan and hydraulic model in FY 27.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
May revisit project after completion of water study. Coordinate with Loni/Newburg sewer main upgrades and repaving of 12th Street
(Utility Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $150,000 28/29

2. Construction $1,000,000 29/30
Total $1,150,000
City of Fortuna 2026-2027 CIP
Drainage Systems 15
Carson Woods & Newell Drive Waterline Replacement CIP# 9124 Description
Replace the existing 1” galvanized and plastic water line extending north along Carson Woods Road, beginning
at Sunny Slopes Road. Add fire hydrants every 600-feet
per requirements of the Fortuna Fire Department.

Provide engineered bridge crossing for the water line.

Replace service connections to existing meters.

Justification
The existing water line is too small to deliver adequate service pressure and volumes to existing residences
along Carson Woods Road. During recent earthquakes
from the past several years, the pipe has regularly failed due to pipe age.

Studies and Reports
N/A
Funding Sources
Water Reserve Fund 510
Prior Appropriations
N/A
Comments
Southern section was completed as far as the bridge in 2025. Remaining work includes approximately 1000 feet of pipe, one fire hydrant, and the bridge crossing. (Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Design & Construction $250,000 26/27

Total $250,000
City of Fortuna 2026-2027 CIP
Drainage Systems 16
Rohnerville Road Water Main Replacement Project CIP# 9118 Description
Replace asbestos cement (AC) pipe with C900 (plastic),
remove 2in PVC and consolidate services on the new
main.

Justification
AC pipe is beyond its design life and this line has been the site of multiple repairs in recent years. This project would replace approximately 950ft of 6” AC with C900
(plastic) pipe, which would decrease the likelihood of
future leaks in this area. Project would also remove a 1000ft of small diameter brittle PVC line, moving services to the new main. Water main work has been holding up paving this section of road.

Studies and Reports
This project was identified by the Utilities and General Services Superintendents.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
(Utility Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $100,000 26/27

2. Construction $800,000 27/28
Total $900,000
City of Fortuna 2026-2027 CIP
Drainage Systems 17
Lower Barney Drainage and Culvert Repair CIP# 9116
Description
Replacement of failed concrete pipe in the section of
an access road formerly known as Barney Street.

Install a twenty-four inch high density
Polyethylene pipe. The pipe is located below the
Stewart Tank Reservoir near 1038 Eleventh Street.

Justification
The concrete culvert has collapsed causing excess water to migrate. The overflow from Stewart Tank and
surrounding storm water runoff uses this culvert. The
City’s main water line runs parallel to the culvert.

Studies and Reports
Identified and recommended by
General Services Staff.

Funding Sources
Water Reserves Fund 510
Prior Appropriations
N/A
Comments
The new culvert will start above the current existing
Inlet and will extend approximately two
hundred feet. The new culvert will tie into a newer
drainage inlet and storm drain located on Eleventh Street. (General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $20,000 26/27

2. Construction $80,000 27/28
Total $100,000
City of Fortuna 2026-2027 CIP
Drainage Systems 18
Corrosion Control Facility Electrical Project CIP# 9000 Description
Relocation of the Electrical Panels at the
Corrosion Control Facility to an
elevation above the estimated 100-year
flood event.

Justification
This project will protect vital City
infrastructure from damage that would
occur during a 100-year flood event.

Studies and Reports
Identified and recommended by the 2007
OLA Water System report.

Funding Sources
Future FEMA HMGP Funding
Prior Appropriations
N/A
Comments
(Chief Plant Operator)
Project Cost Estimate
2026 Dollars

1. Construction $500,000 28/29
Total $500,000
City of Fortuna 2026-2027 CIP
Drainage Systems 19
Wastewater Treatment and Collections
City of Fortuna 2026-2027 CIP
Drainage Systems 20
NPDES Compliance Project CIP# 0171
Description
Engineering design and permitting for the treatment plant upgrades and Triennial Review Basin Plan Amendment
process.

Justification
This project will bring the plant into compliance with the 2016 permit standards set by the Regional Water Quality Control Board.

Studies and Reports
Jacobs Basis of Design Report (Updated 2025)
Funding Sources
Clean Water SRF 352 Grants/Loans 352
Sewer Reserve Fund 560
Prior Appropriations
21/22 $473,801
22/23 $147,584
23/24 $467,168
24/25 $1,500,000
25/26 $3,500,000
Comments
The scope and nature of this project has changed dramatically over several years. Design of the treatment plant upgrades are nearing completion and characterization of groundwater impacts from use of the existing percolation ponds has been characterized in preparation for the Basin Plan amendment application. Future costs include construction and oversight and ongoing Plan amendment work.

Some or all of the cost of this project will be eligible for state grant funds. (City Engineer)
Project Cost Estimate
2026 Dollars

1. Construction $21,000,000 26/27

2. Construction $29,000,000 27/28
Total $50,000,000
City of Fortuna 2026-2027 CIP
Drainage Systems 21
Basins 13/14 Sewer Capacity Project CIP# 9976
Description
Design and construction of improvements to sewer mains in basins 13 and 14 to reduce I&I, increase capacity and correct major defects. Capacity needs were identified in studies in 2018 and 2024 on the major trunk lines coming into the WWTP from these areas. The mains in 12th Street, Newburg, and throughout the subdivision north of Newburg are in poor conditions based on CCTV inspection. Preliminary feasibility work and surveys were conducted in late 2025. The exact nature and extent of the work is TBD but will likely start at the downstream end at the plant and work upstream
Justification
The City has aging sewer infrastructure where defects result in inflow and infiltration (I&I) from storm water. This impacts the sewage treatment facility, increasing the volume and overall cost of treatment.

Studies and Reports
2018 Sanitary Sewer Evaluation Study (SHN)
2024 Sewer Master Plan (GHD)
Funding Sources
Sewer Reserve Fund 560
Prior Appropriations
$200,000 grant funds SWRCB for planning
Comments
Potential utility conflicts have increased uncertainty surrounding the feasibility of upsizing the line in Newburg road to increase capacity. In addition, a parallel main that was not accounted for in previous engineering studies was found running from Randolph Way to Fortuna Blvd, leading to questions about the feasibility of consolidation. The main running E-W along Rohner Creek is particularly problematic due to conflicts with existing residential structure and environmental concerns related to the waterway. Upsizing of the main along Newburg to provide additional capacity for the Mill Site is also being assessed.

City of Fortuna 2026-2027 CIP
Drainage Systems 22
(Utilities Superintendent)
Project Cost Estimate
2025 Dollars

1. Design $200,000 26/27

2. Construction $2,800,000 27/28

3. Construction $1,000,000 28/29

4. Construction $1,000,000 29/30
Total $5,000,000
City of Fortuna 2026-2027 CIP
Drainage Systems 23
Annual Sewer Repair & Replacement Project CIP# 9514
Description
Annual repair or replacement of existing lines based on CCTV inspection grade and known problems. The exact
location and extent and method of repair will vary based on condition and available funding.

Justification
Many lines were constructed from clay and concrete pipe which is beyond its design life allowing infiltration into the system increasing treatment costs. CCTV inspections have been used to prioritize projects based on severity/number of defects. This information is coupled with staff experience of know problem areas. Where feasible, CIPP (lining) will be considered. Main replacement is prioritized to lines that have multiple significant defects.

Studies and Reports
CCTV Inspections (Miksis/APS 2024-2025)
Sewer Master Plan (GHD 2024)
Funding Sources
Sewer Reserve Fund 560
Prior Appropriations
N/A
Comments
(Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Design & Construction $500,000 26/27

2. Design & Construction $500,000 27/28

3. Design & Construction $500,000 28/29

4. Design & Construction $500,000 29/30

5. Design & Construction $500,000 30/31
Total $2,500,000

LOCATION DESCRIPTION
DATE

INSPECTED

UPSTREAM
MH
DEPTH
(FT)

DOWNSTREAM
MH
DEPTH
(FT) SIZE MATERIAL DEFECT

DISTANCE
(FT)

CURRENT
SCORE

SCORE IF

REPAIRED
O ST ALLEY (15TH AND 16TH) 10/7/2024 136 3.25 124 3.5 6 CLAY HOLE, VOID VISIBLE 48.0 5 4 N ST ALLEY (13TH AND 14TH) 10/8/2024 130 6.8 NO MH # 5 6 CLAY HOLE 304.3 5 3 MAIN ST 10/16/2024 141 8 144 3.83 6 CLAY HOLE 111.5 5 3 K ST ALLEY (14TH AND 15TH) 10/2/2024 CLEANOUT 295 8.7 6 PVC BROKEN, SOIL VISIBLE 46.9 5 3 N ST ALLEY (12TH AND 13TH) 10/8/2024 CLEANOUT 132 5 6 CLAY COLLAPSE 65% 47.1 5 4 12TH ST (MH614-MH694) 8/7/2018 349 3.25 287 4.5 12 AC HOLE, VOID VISIBLE 27.7 5 4 SUMMER (MHU135-CL4062) 7/19/2018 CLEANOUT 508 4.8 6 AC HOLE 150.0 5 4 NEWBURG (MH745-cl-U002) 8/8/2018 CLEANOUT 345 5 6 AC HOLE, VOID VISIBLE 235.0 5 3 NELEEN (MH768-767) 1/17/2025 768 10 767 6 AC HOLE, SOIL VISIBLE 199.0 5 4 City of Fortuna 2026-2027 CIP
Drainage Systems 24
Hilltop Sewer Main Extension Project CIP# TBD
Description
Extend 6” SDR 35 (plastic) sewer main to include all of Hilltop Drive (approximately 900 feet).

Justification
Currently the City’s sewer ends at the intersection of
Ridgeview and Hilltop. This leaves approximately 30
homes on Hilltop Drive with septic systems. City code
requires anyone within 1,000 feet of City sewer to be
connected to sanitary sewer system. This project will
reduce the inherent ground water pollution sources from septic systems.

Studies and Reports
Identified by the Utility Superintendent.

Funding Sources
Future Unidentified Grant Funds, 560
Prior Appropriations
N/A
Comments
(Utilities Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $50,000 28/29

2. Construction $450,000 29/30
Total $500,000
City of Fortuna 2026-2027 CIP
Drainage Systems 25
Primary Clarifier #1 Concrete Rehab CIP# 9133
Description
Regrouting of primary clarifier concrete basin
Justification
Due to the age and the normal wear, the interior of the concrete basin is deteriorating and needs to be regrouted.

Studies and Reports
N/A
Funding Sources
Sewer Reserves Fund 560
Prior Appropriations
N/A
Comments
(WWTP Staff)
Project Cost Estimate
2026 Dollars

1. Design/Construction $250,000 26/27

Total $250,000
City of Fortuna 2026-2027 CIP
Drainage Systems 26
Drainage Systems
City of Fortuna 2026-2027 CIP
Drainage Systems 27
Annual Storm Drain Maintenance Project CIP# 9373
Description
General yearly maintenance of the City’s
storm drain system in locations to be determined.

Justification
Many of the storm drains across the City have
corrosion damage to the bottom of the
corrugated pipe. This project will identify and
make repairs as they are needed.

Studies and Reports
Identified and recommended by
General Services Staff.

Funding Sources
Measure E Fund 101
Prior Appropriations
Measure E Fund 101; Construction $636,312
Comments

1. 12th and O Street crossing. Replace insufficient size concrete pipe and inlets.

2. Failed corrugated metal culvert located on North Main Street, in between the Double D’s Restaurant (320 Main St) and C. Crane Building (172 Main St).

3. South 15th Street Culvert. Replace rotted out corrugated metal pipe. (General Services Superintendent)
Project Cost Estimate
2025 Dollars

1. Construction $200,000 26/27

2. Construction $200,000 27/28

3. Construction $200,000 28/29

4. Construction $200,000 29/30

5. Construction $200,000 30/31
Total $1,000,000

City of Fortuna 2026-2027 CIP
Drainage Systems 28
Home Avenue Storm Drain Project CIP#9704
Description
Replacement of the existing concrete box culvert which
runs under the sidewalk with 30” storm drain on Home
Avenue from the “S-curve” to P Street.

Justification
The existing 2’x2’ box culvert is failing and the forming lumbers fall into the culvert which results in jams. This project will replace the box culvert which will reduce
jams and improve drainage to the surrounding areas.

Studies and Reports
Winzler & Kelly 2005 Storm Drainage Master Plan
Funding Sources
Drainage Fund 130
Prior Appropriations
N/A
Comments
Preliminary CCTV inspections performed by staff indicate that the drainage structure is in good working order, only minor rehabilitation may be required.
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $60,000 27/28

2. Construction $600,000 28/29
Total $660,000
City of Fortuna 2026-2027 CIP
Drainage Systems 29
9 th Street Culvert Project CIP# TBD
Description
Relocation, replacement or lining of the 30” RCP culvert from Christian Ridge to P Street. Approximate length of culvert is 2500 feet. Add drainage inlets for access.

Justification
The existing reinforced concrete pipe is separating and/or deteriorated causing the formation of sinkholes. The
culvert is alongside or directly underneath structures. This project will rehabilitate, relocate or replace the damaged lines and outfalls to improve drainage and reduce soil
erosion.

Studies and Reports
Identified and recommended by the General Services.

Funding Sources
Drainage Fund 130
Measure E Stormdrain Maintenance
Prior Appropriations
N/A
Comments
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Design $40,000 27/28

2. Construction $440,000 28/29
Total $440,000
City of Fortuna 2026-2027 CIP
Drainage Systems 30
Mill Creek Habitat Connectivity Project CIP# 9123
Description
Replacement of Mill Creek undercrossing at Weber
Street, Rohnerville Road, Mill Street and Mountain View Road to allow for improved fish passage.

Justification
Due to perched or over steepened conditions, fish passage is not possible at these locations.

Studies and Reports
GHD- Geotechnical, Wetland Delineation, Biological
Inventory and Cultural Resources (12-2023 thru 5-2024)
Funding Sources
WBC Grant Fund 350; Design $976,000
Prior Appropriations
None
Comments
Design is complete and construction cost estimates
provided. Grant funding for construction is being actively pursued.
(City Engineer)
Project Cost Estimate
2026 Dollars

1. Construction $18,000,000 26/27
Total $18,000,000
City of Fortuna 2026-2027 CIP
Streets 31
Streets
City of Fortuna 2026-2027 CIP
Streets 32
Kenmar Interchange Improvement Project CIP# 9978
Description
This project is a complete look at the Interchange of
Kenmar Road and Highway 101 including vehicular,
pedestrian and cycling users.

Justification
This project will improve the traffic flow and
pedestrian & cycling safety at this interchange with
Highway 101.

Studies and Reports
Identified and recommended by the City
Engineer.

Funding Sources
STIP Grant Fund 270
Prior Appropriations
Complete Streets grant through the Humboldt County
Association of Governments provided for a Project Study Report on alternatives to improve this interchange.

STIP Grant Fund for PAED 270; $550,000
2024 STIP Grant Fund for PSE; $2,600,000
Comments
PSE (Design) complete as of June 2026. Construction cost estimate is approximately $15M.

Construction funding is sought through federal grant programs. (City Engineer)
Project Cost Estimate
2026 Dollars

1. Construction $15,000,000 26/27
Total $15,000,000
City of Fortuna 2026-2027 CIP
Streets 33
ADA Barrier Removal Project (CDBG) CIP# 9977
Description
This project will include the installation of a six-footwide accessible sidewalk along Rohnerville from the police station to the Strongs Creek footbridge and widen Rohnerville Road to provide a pedestrian safety buffer
from traffic. The buffer will double as a parking and
bike lane.

Justification
The City is continuously removing barriers that might
prevent its citizens from being able to use and enjoy City facilities. This project will do a big part in completing this goal.

Studies and Reports
2014 ADA transition Plan
Funding Sources
CDBG Fund 830
Prior Appropriations
CDBG Fund 830
N Street Project; $700,000
Comments
Funding shown in the next two fiscal years will go to cover the development and implementation of a new ADA barrier removal project.
(City Engineer)
Project Cost Estimate
2026 Dollars

1. Design + Construction $200,000 26/27

2. Design + Construction $800,000 27/28
Total $1,000,000
City of Fortuna 2026-2027 CIP
Streets 34
Citywide Paving Project CIP# 9994
Description
Paving of locations throughout the City as needed and as part of an annual contract.

Justification
A contract will be taken out annually with a qualified
paving contractor who can then provide routine repairs
and maintenance for City streets.

Studies and Reports
Identified and recommended by the General Services
Crew.

Funding Sources
Measure E Fund 101; 55%
RSTP Fund 275; 45%
Other funds may be used as determined to be appropriate by project.

Prior Appropriations
Measure E Fund 101
LTF Fund 260
Comments
Annual maintenance project based on need, locations to be identified by staff based on pavement condition, complaints, available funding and coordination with utility upgrades. (General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $500,000 26/27

2. Construction $225,000 27/28

3. Construction $225,000 28/29

4. Construction $225,000 29/30

5. Construction $225,000 30/31
Total $1,125,000
City of Fortuna 2026-2027 CIP
Streets 35
Citywide Slurry Project CIP# 9653
Description
Street slurry at multiple locations throughout the City of Fortuna.

Justification
This project is part of the regular maintenance and will seal the road surface and extend the life of the existing roadway.

Studies and Reports
Identified and recommended by the General Services
Crew.

Funding Sources
RSTP Fund 275
Prior Appropriations
Comments
Sealing occurs in odd numbered years with locations to
be determined by need. This is a county-wide collaborative project that allows for an economy of scale and a better price for Fortuna’s citizens. Next anticipated project will be in fiscal year 27/28 (funds are rolled over from even years).
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $50,000 26/27

2. Construction $50,000 27/28

3. Construction $50,000 28/29

4. Construction $50,000 29/30

5. Construction $50,000 30/31
Total $250,000
City of Fortuna 2026-2027 CIP
Streets 36
Citywide Concrete Project CIP# 9073
Description
Repair of sidewalk and curb locations throughout the City as needed and as part of an annual contract.

Justification
A contract will be taken out annually with a qualified
concrete contractor who can then provide routine repairs and maintenance for City curbs, gutters, and sidewalks on an on-call basis.

Studies and Reports
Identified and recommended by the General Services
Crew.

Funding Sources
RSTP Fund 275
Prior Appropriations
Local Transportation Fund 260;
RSTP Fund 275
Comments
Locations will be identified as needed.
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $50,000 26/27

2. Construction $50,000 27/28

3. Construction $50,000 28/29

4. Construction $50,000 29/30

5. Construction $50,000 30/31
Total $250,000
City of Fortuna 2026-2027 CIP
Streets 37
SB1 Paving Projects CIP# 9997
Description
Paving and other maintenance improvements throughout
the City as identified by staff on an annual basis.

Justification
The state of California passed SB1, the Road
Maintenance and Rehabilitation Account in 2017,
resulting in funds which are allocated to the City
annually, to which projects are identified each year.

Studies and Reports
Pavement Condition Index document by Nichols
Consulting Engineers.

Funding Sources
SB1 Fund 290
Prior Appropriations
Annual appropriations vary.

Comments
Locations will be identified as needed.
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $275,000 26/27

2. Construction $275,000 27/28

3. Construction $275,000 28/29

4. Construction $275,000 29/30

5. Construction $275,000 30/31
Total $1,375,000
City of Fortuna 2026-2027 CIP
Streets 38
12th Street Interchange Modernization Project CIP# 9114 Description
This project is a complete look at the Interchange of 12th Street, Newburg Road and Highway 101 including
vehicular, pedestrian and cycling users. The project
would also investigate ways to expand non-motorized
access on the Highway 101 overpass.

Justification
This project will improve the traffic flow and pedestrian & cycling safety at this interchange with Highway 101.

The existing interchange has several geometric and safety deficiencies and is currently
underperforming per the City’s General Plan LOS targets.

Studies and Reports
2016 Complete Street Planning Study
Local Road Safety Plan
22/23 STIP PAED (South side only); $950,000
Funding Sources
Caltrans STIP Grant Fund 270
Prior Appropriations
N/A
Comments
Grants are being sought for both design and construction as opportunities arise.

Total remaining cost is approximately $25+M for the south side and pedestrian overcrossing (not including the north interchange at Dinsmore Drive). The cost of PS&E (design) for the south interchange alone is $2M which is the next logical design task.
(City Engineer)
Project Cost Estimate
2026 Dollars

1. Design $2,000,000 26/27
Total $2,000,000
City of Fortuna 2026-2027 CIP
Streets 39
Kenmar and Ross Hill Road Improvement Project CIP# 9113 Description
This project is to design and complete a project to
increase the level of service of this intersection, and to provide for increase non-motorized access across the
intersection.

Justification
This intersection currently operates with a low level of services, and creates congestion issues along all legs of the intersection during peak times. Pedestrian crossing facilities across most legs of the intersection are unsafe.

This project would complement the improvements
proposed in CIP #9978.

Studies and Reports
Identified and recommended by the City Engineer. A
Project Study Report was completed in 2025 selecting a
roundabout as the preferred alternative.

Funding Sources
STIP funding of $500,000 allocated in FY 27 for PAED.

Prior Appropriations
$44,000 from Fund 140
Comments
Current cost estimate for design and construction of the roundabout alternative is $8.7M. (City Engineer)
Project Cost Estimate
2026 Dollars

1. Design $500,000 26/27
Total $500,000
City of Fortuna 2026-2027 CIP
Streets 40
Traffic Signal and Intersections Improvement Project CIP# 9120 Description
Replacing the hardware in the traffic light cabinets for the Main Street, Newburg, and Redwood Way intersections.

Upgrading the signal heads, pedestrian push buttons, and crosswalks on the Newburg Road intersection.

Justification
The signal heads on the Newburg intersection light are
smaller than current standards. The control cabinets have outdated hardware and signal timing design needs to be
revisited for current traffic conditions. The City’s 2021 Local Road Safety Plan recommended a number of
improvements to the Newburg intersection including
signal improvements and bike/pedestrian access
improvements.

Studies and Reports
Local Road Safety Plan
2016 Complete Streets Connectivity Study
Funding Sources
Traffic Impact Fund 140
Unidentified Grant Funds
Prior Appropriations
Fund 140 FY 26; $75,000
Comments
Approximately half of the cabinet upgrade project is complete. Upcoming work includes replacing the remainder of the old controllers with funds allocated in the following years for replacement of loops, sensors, light heads and other associated upgrades. (General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $60,000 26/27

2. Construction $20,000 27/28

3. Construction $20,000 28/29
Total $100,000
City of Fortuna 2026-2027 CIP
Streets 41
Newburg Road Sidewalk ADA Barrier Removal Project CIP# TBD Description
To remove and replace 24 driveway approaches and
replace with ADA compliant facilities. Remove and
replace 6 street corners in compliance with standard
building codes.

Justification
Path of travel has ADA barriers.

Studies and Reports
Identified and recommended by the General Services
Superintendent.

Funding Sources
Regional Surface Transportation Program
Fund 275
Prior Appropriations
N/A
Comments
Assumes $50,000 per corner and $6500 per driveway
(General Services)
Project Cost Estimate
2026 Dollars

1. Construction $450,000 28/29
Total $450,000
City of Fortuna 2025-2026 CIP
Streets 42
Parks and Recreation
City of Fortuna 2026-2027 CIP
Land and Buildings 43
Riverwalk Park Project CIP# 9105
Description
Readily available funds for acquiring additional park
spaces for public use or for general park improvements.

Justification
Often the City has multiple general projects identified that might include land acquisition, assistance with
engineering, drafting, conceptual design, grant writing, etc. in which funds may need to be readily available in order to pursue new opportunities in a timely fashion
and in order to enhance and expand park spaces for
public use.

Studies and Reports
Identified and recommended by the Parks Director.

Funding Sources
Prop 68 Rural Recreation and Tourism (RRT) or
Regional Park Program (RPP) grants, Measure E Fund 101.

Prior Appropriations
25/26 Acquisition funded by Ca River Parkways Grant; $1.9M Comments
No CIP specific funding for FY 27/28. Any efforts on this project will be funded using the general park acquisition and improvement account, funded by Measure E or additional grant funding.
(Parks Director)
Project Cost Estimate
2026 Dollars

1. Design $100,000 28/29
Total $100,000
City of Fortuna 2026-2027 CIP
Land and Buildings 44
Rohner Park Emergency Generator Project CIP# TBD
Description
A generator that would have the ability to power the
Firemen’s Pavilion, the Rohner Rec Hall, the Parks &
Recreation Office, and the Depot Museum. All facilities are in-line and could be powered by one generator, in
case of a power outage. Currently staff have identified a generator that is no longer in use in the City’s water
system, and are planning to determine what steps are
required to connect this generator at the parks facilities.

Justification
Currently, if a power-outage occurs, all of these
facilities lose power. This makes it difficult City staff to be able to work efficiently on projects that require
electricity, but for facility renters and park users who have access to these facilities, which can result in lost staff time, and lost revenue from facilities having to be closed due to no power.

Studies and Reports
Identified and recommended by the Parks Director.

Funding Sources
Measure E Fund 101
Prior Appropriations
N/A
Comments
(Parks Director)
Project Cost Estimate
2026 Dollars

1. Construction $10,000 26/27
Total $10,000
City of Fortuna 2026-2027 CIP
Land and Buildings 45
Newburg Park Expansion Project CIP#9379
Description:

Readily available funds for developing an additional
park space for public use and for general park
improvements.

Justification:

The City purchased an adjacent 8.4-acre parcel to the
southeast of the existing park in December of 2021 using combined City and RCRPD Prop 68 Per Capita funding.

There will be various, multi-phased projects to develop this site for recreational use, as funding opportunities become available. This may include assistance with engineering drafting, conceptual design, grant writing, land development, etc. in which funding may need to be readily available in order to pursue new opportunities in a timely fashion to expand this park space for public use, as the public has already identified desired park features (2019).

Studies and Reports
Identified and recommended by the City Manager and Parks & Recreation Director. Greenway Partners public outreach and conceptual design completed in 2019.

Funding Sources:

Measure E Fund 101, grants
Prior Appropriations
Prop 68 Per Capita land purchase; $340,000
Greenway Partners; $21,000
(Parks Director)
Project Cost Estimate
2026 Dollars

1. Design and Construction $850,000 28/29
Total $850,000
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 46
Land and Buildings
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 47
Infrastructure Modernization & Energy Efficiency Project CIP#TBD Description
The City intends to select a qualified provider for the development, implementation, and monitoring of a
comprehensive infrastructure modernization and utility
savings program (i.e. solar panels) for locations
throughout the City.

Justification
The City’s ultimate goal is to utilize financial savings realized from more efficient facilities towards other
upgrades and programs that enhance the working
environment and improve livability for Fortuna residents.

Studies and Reports
Identified and recommended by the Deputy Public Works
Director.

Funding Sources
Future Unidentified Grant Funds
Prior Appropriations
N/A
Comments
(Deputy Director of Public Works)
Project Cost Estimate
2026 Dollars

1. Construction $1,000,000 27/28
Total $1,000,000
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 48
Vehicle Charging Station Project CIP# TBD
Description
Installation of vehicle charging stations at several
locations throughout Fortuna.

Justification
City of Fortuna currently has three charging stations
located on 11th Street. This project would provide
charging stations for citizens that purchase electric
vehicles and wish to reduce their carbon footprint.

Charging stations would be provided at the River Lodge
Conference Center, N Street public parking lot, Rohner
Park, the Corp Yard and Newburg Park.

Studies and Reports
Identified and recommended by General Services
Superintendent.

Funding Sources
Unidentified Grant Funds
Prior Appropriations
FY 25/26 RCEA Grant, Rohner Park; $50,000
FY 25/26 CARB Grant, Corp Yard; $215,000
Comments
Rohner Park charger construction in progress. Corp Yard design in progress.
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Construction $150,000 26/27

2. Construction $150,000 27/28

3. Construction $150,000 28/29
Total $450,000
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 49
Monday Club Parking Lot CIP# TBD
Description
Paving and associated stormwater facilities for the
parking lot at the Monday Club.

Justification
The City acquired the parcel next door with the intent of using it for parking. The surface currently consists of road grindings and is not ADA compliant.

Studies and Reports
NA
Funding Sources
General Fund 100
Unidentified Grant Funds
Prior Appropriations
NA
Comments
(General Services Superintendent)
Project Cost Estimate
2026 Dollars

1. Design & Construction $200,000 28/29
Total $200,000
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 50
SUMMARY TABLES – Detailed CIP Spending by Division
25-26 26-27 27-28 28-29 29-30 30-31
Water 9000 Corrosion Control Facility Electrical Project Grant Funds 350 $500,000 . $ - $ - $ 500,000 $ - $ - Water 9370 Vancil Reservoir Site Rehabilitation Water Reserves 510 $0 $ 200,000 $ - $ - $ - $ - $ - Water 9066 Corrosion Control Facility Piping & Well 5 Replacement Project Water Reserves 510 $1,500,000 $ 1,000,000 $ 1,500,000 $ - $ - $ - $ - Water 9990 Annual Valve Replacement Project Water Reserves 510 $750,000 $ 300,000 $ 150,000 $ 150,000 $ 150,000 $ 150,000 $ 150,000 Water 9108 Annual Water Main Replacement Project Water Reserves 510 $2,500,000 $ 600,000 $ 500,000 $ 500,000 $ 500,000 $ 500,000 $ 500,000 Water 9115 Drake Hill Road Water Main Replacement Water Reserves 510 $900,000 $ - $ 100,000 $ 800,000 $ - $ - $ - Water 9116 Lower Barney Drainage and Culvert Repair Water Reserves 510 $80,000 $ 20,000 $ 80,000 $ - $ - $ - $ - Water 9109 Water System Master Plan & Vancil Reservoir Assessment Water Reserves 510 $200,000 $ 150,000 $ 200,000 $ - $ - $ - $ - Water 9117 Meadow Lane Main Replacement Water Reserves 510 $250,000 $ - $ 250,000 $ - $ - $ - $ - Water 9065 12th St Water Main Project Water Reserves 510 $1,150,000 $ - $ - $ 150,000 $ 1,000,000 $ - $ - Water 9124 Carson Woods Road Water Line Replacement Water Reserves 510 $250,000 $ 225,000 $ 250,000 $ - $ - $ - $ - Water 9129 Water Meter System Upgrade Project Water Reserves 510 $850,000 $ 200,000 $ 400,000 $ 200,000 $ 250,000 $ - $ - Water 9118 Rohnerville Road Water Main Replacement Water Reserves 510 $900,000 $ - $ 100,000 $ 800,000 $ - $ - $ - Total : $9,830,000 $2,695,000 $3,530,000 $2,600,000 $2,400,000 $650,000 $650,000 Water
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost
25-26 26-27 27-28 28-29 29-30 30-31
Sewer 0171 NPDES Compliance Project SRF 352 $42,000,000 $ 3,500,000 $ 21,000,000 $ 21,000,000 $ - $ - $ - Sewer 9126 WWTP Strongs Creek Meter Box Concrete Rehabilitation Project Sewer Reserves 560 $0 $ - $ - $ - $ - $ - $ - Sewer 9976 Basins 13/14 Sewer Capacity Project Sewer Reserves 560 $5,000,000 $ 3,000,000 $ 200,000 $ 2,800,000 $ 1,000,000 $ 1,000,000 $ - Sewer 9514 Annual Sewer Repair & Replacement Project Sewer Reserves 560 $2,500,000 $ - $ 500,000 $ 500,000 $ 500,000 $ 500,000 $ 500,000 Sewer TBD Hilltop Drive Sewer Extension Sewer Reserves 560 $500,000 $ - $ - $ - $ 50,000 $ 450,000 $ - Sewer 9133 Primary Clarifier #1 Concrete Rehab Sewer Reserves 560 $250,000 $ - $ 250,000 $ - $ - $ - $ - Total : $50,250,000 $6,500,000 $21,950,000 $24,300,000 $1,550,000 $1,950,000 $500,000 Sewer
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost 25-26 26-27 27-28 28-29 29-30 30-31
Streets TBD Newburg Road Sidewalk ADA Barrier Removal CDBG 830 $450,000 $ - $ - $ - $ 450,000 $ - $ - Streets 9977 ADA Barrier Removal Project (CDBG) CDBG 830 $1,000,000 $ 150,000 $ 200,000 $ 800,000 $ - $ - $ - Streets 9653 Citywide/Countywide Slurry Project RSTP 275 $250,000 $ 160,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 Streets 9073 Citywide Concrete Project RSTP 275 $250,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 Streets 9113 Kenmar & Ross Hill Improvement Design and Construction STIP 270 $500,000 $ - $ 500,000 $ - $ - $ - $ - Streets 9978 Kenmar Interchange Improvement Project STIP 270 $0 $ 2,600,000 $ - $ - $ - $ - $ - Streets 9112 12th Street Interchange Modernization Project STIP 270 $0 $ 200,000 $ - $ - $ - $ - $ - Streets 9997 SB1 Paving Projects Surface Transportation Funds 290 $1,100,000 $ 328,747 $ 275,000 $ 275,000 $ 275,000 $ 275,000 $ - Streets 9994 Citywide Paving Project TDA NonTransit Fund 260 $500,000 $ 125,000 $ 500,000 $ - $ - $ - $ - Streets 9120 Traffic Signal and Intersections Improvement Project Traffic Facilities Fund 140 $100,000 $ 75,000 $ 60,000 $ 20,000 $ 20,000 $ - $ - Total : $4,150,000 $3,688,747 $1,635,000 $1,195,000 $845,000 $375,000 $100,000 Streets
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost
25-26 26-27 27-28 28-29 29-30 30-31
Storm 9937 South 15th Storm Drain Project Drainage Reserve $0 $ - $ - $ - $ - $ - $ - Storm 9704 Home Ave Storm Drain Project Drainage Reserve Fund 130 $660,000 $ - $ - $ 60,000 $ 600,000 $ - $ - Storm 9123 Mill Creek Habitat Connectivity Grant Funds 350 $0 $ - $ - $ - $ - $ - $ - Storm TBD 9th Street Culvert Replacement Measure E 101 $440,000 $ - $ - $ 40,000 $ 400,000 $ - $ - Storm 9373 Citywide Stormdrain Maintenance Project Measure E 101 $1,000,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 Total : $2,100,000 $200,000 $200,000 $300,000 $1,200,000 $200,000 $200,000 Storm
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost 25-26 26-27 27-28 28-29 29-30 30-31
Parks 9105 Riverwalk Park Project Measure E 101 $100,000 $ - $ - $ - $ 100,000 $ - $ - Parks TBD Rohner Park Emegency Generator Project Measure E 101 $10,000 $ 10,000 $ 10,000 $ - $ - $ - $ - Parks 9379 Newburg Park Expansion Project Measure E 101 $850,000 $ 850,000 $ - $ - $ 850,000 $ - $ - Parks TBD Pavillion Foundation Measure E 101 $0 $ - $ 7,500 $ 300,000 $ - $ - $ - Parks TBD Monday club parking lot Measure E 101 $0 $ - $ - $ 200,000 $ - $ - $ - Total : $960,000 $860,000 $17,500 $500,000 $950,000 $0 $0 Parks
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost
25-26 26-27 27-28 28-29 29-30 30-31
Facilities TBD Vehicle Charging Stations Project Federal Grant Funds $300,000 $ 150,000 $ 150,000 $ 150,000 $ - $ - $ - Facilities TBD Infrastructure Modernization and Energy Efficiency Project (25% - grant funded) Grant Funds 350 $1,000,000 $ - $ - $ 1,000,000 $ - $ - $ - Total : $1,300,000 $150,000 $150,000 $1,150,000 $0 $0 $0 Facilities
CIP
Number
Project Description Funding Source 5-yr CIP City Budget Year Cost
City of Fortuna 2026-2027 CIP
Completed and In Progress Projects 51
Projects Completed in FY 25/26
This list contains the CIP projects that were completed by the City of Fortuna in the 2025/2026 fiscal year, as well as their cost estimates and actual costs. This list does not include projects that will continue over into the 2026/2027 fiscal year.

Table 1. Projects completed in FY 25/26
Project
Number
Project Description Project
Fiscal Year
Funding
Source
Budgeted
Cost
Actual
Cost
% Variance
9125 Clarifier Recoating Project 2026 560 200,000 279,942 40% Emergency Digester Maintenance Project (Earthquake Repair) 2026 560 50,000 46,115 -8% 9990 Annual water valve replacement 2026 510 100,000 97,601 -2% 9124 Carson Woods Water Line Replacement 2026 510 225,000 84,483 -62% 0171 NPDES Compliance Project (Design) 2026 560 3,500,000 3,861,711 10% 9130 River Lodge Staining 2026 101 190,000 173,050 -9%
9123 Mill Creek Habitat Connectivity Project (Design) 2026 350 949,855 1,056,855 11% In progress at time of CIP Drafting

Fortuna City CouncilJune 1, 2026

Fortuna City Council
June 1, 2026