RESOLUTION NO. 2026-XXX
A RESOLUTION OF THE CITY COUN CIL OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING AND ADOPTING THE CITY OF FULLERTON’S ANNUAL OPERATING AND CAPITAL BUDGET FOR FISCAL YEAR 2026-27
AND APPROPRIATING THE FUNDS NECESSARY TO MEET THE
EXPENDITURES SET FORTH THEREIN
WHEREAS, the City Manager of the City of Fullerton, in conformity with Section 2.09.150 of the Fullerton Municipal Code, has submitted to the Fullerton City Council (City Council) a Proposed Operating and Capital Budget for all City Funds, including the General Fund, Water and Sewer Enterprise Funds, All Other Funds, and the Capital Improvement Program (CIP) in the total amount of $283,428,526 for Fiscal Year (FY) 2026-27; and
WHEREAS, the General Fund is the City’s chief operating fund that provides traditional municipal services to the community, such as, for example, public safety, public works, community and economic development, and parks and recreation and library programming; and
WHEREAS, the City’s policy is to maintain a minimum General Fund balance of not below 10% of annual General Fund expenditures and to strive to achieve a 17% reserve level (approximately two months of expenditures); and
WHEREAS, the Proposed General Fund Operating Budget, excluding transfers out, totals $142,241,183 for FY 2026-27 and the City is projected to meet its 10% minimum reserves goal for FY 2026-27; and
WHEREAS, the City Council held a Budget Study Session on July 14, 2026 to receive an initial review of the Proposed General Fund Budget for FY 2026-27 and planned capital projects budget in the Proposed Capital Improvement Program for FY 2026-27, to provide input and direction on the Proposed Budget; and
WHEREAS, at the Budget Study Session, City Council received a presentation and provided input and direction to Staff on the Proposed Budget; and
WHEREAS, Staff held two Budget Community meetings to gather community and resident input on the Proposed Budget and recommended service levels; and
WHEREAS, the City Council has consi dered the Proposed Budget, as modified to incorporate additional City Council direction and amendatory language provided at the Study Session and subsequent meetings, and held a public hearing on July 21, 2026, in connection with the formal budget adoption for FY 2026-27; and
WHEREAS, such public hearing was duly noticed, held at a regular City Council meeting, and included public input from its residents, the business community and other interested parties; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FULLERTON AS FOLLOWS:
Section 1. Citywide Budget. The FY 2026-27 Annual Operating and Capital Budget (the “FY 2026-27 Budget”) attached hereto as Exhibit A and incorporated herein by reference, is hereby approved, and the funds necessary to fund the expenditures set forth therein are hereby appropriated. The FY 2026-27 Budget includes the covers all City Funds, including the General Fund, the Water and Sewer Enterprise Funds, All Other Funds, and the Capital Improvement Program. The FY 2026-27 Budget includes expenditures in the amount of $283,428,526, supported by $283,428,526 in Citywide revenues and available fund balances.
Section 2. General Fund. The Operating Budget for the City of Fullerton’s General Fund for FY 2026-27 (the “General Fund Operating Budget”), as set forth in the approved FY 2026-27 Budget includes $142,241,183 in operating expenditures and $5,017,131 in transfers out for a total General Fund Budget of $147,258,314; and will be balanced with $143,885,227 in operating revenues, $3,373,087 of transfers in and no planned use of available reserves. a. Budget Reductions and Unfunded Positions – The General Fund Operating Budget includes certain budget reductions and unfunded positions, which are described in Exhibit B to this Resolution, which is attached hereto and incorporated herein by reference. The listed budget reductions and unfunded positions do not increase the general fund budget above what was presented at the July 2026 budget meetings. b. City Manager Personnel Authority – Where a position in a department is listed in Exhibit B as an unfunded position, and a different position in that same department becomes vacant, the City Manager, or designee, is authorized to make a budget amendment to fund and fill the unfunded position so long as (i) the newly vacant position is switched to unfunded status and (ii) the City Manager identifies a source of funds (increased revenues or savings) to fund the difference in personnel cost (if any) between the two positions. c. Use of $1 Million of Internal Services Fund Reserves and $300,000 of Savings from the Group Insurance Fund – Exhibit C to this Resolution, which is attached hereto and incorporated herein by reference, identifies $1 Million in Internal Services Funds Reserves that can be used for general fund purposes and proposes that this $1 Million be used to reinstate or restore specific services and unfunded position (specifically 5 full-time equivalent (FTE) positions, Library nonregular positions and hours, and police overtime levels to align with historical spending).
Exhibit C to this Resolution also proposes utilizing $300,000 of employees and retirees’ health premium savings from the Group Insurance Fund to maintain funding for the City’s Operation Clean Streets initiative and community preservation efforts.
Exhibit C is hereby approved as an amendment to the FY 2026-27 Budget.
Section 3. Capital Projects Budget. The Capital Improvement Program Budget for FY 2026-27, as set forth in the approved FY 2026-27 Budget, is $28,983,342.
Section 4. Vehicle Replacement Fund Vehicles’ List. The Citywide Operating Budget for FY 2026-27 includes the City’s annual Vehicle Replacement Program and hereby authorizes the City Manager, or designee, to purchase all vehicles on FY 2026-27 Vehicle Replacement List attached hereto as Exhibit D and incorporated herein by reference, utilizing appropriate purchasing procedures and methods (i.e., open market, formal bidding) pursuant to the City’s procurement policies and codes. Where formal bid procedures are not possible due to availability and sourcing challenges, Staff shall utilize cooperative purchasing and/or informal bid procedures (i.e., obtain 3 written quotes).
Section 5. The Citywide Budget adopted for FY 2026-27 shall be considered amended upon the close of FY 2025-26 to carry forward and re-appropriate any outstanding encumbrances on open purchase orders, and/or existing agreements or contracts that have not exceeded adopted budget levels.
Section 6. The Citywide Budget adopted for FY 2026-27 shall be considered amended upon the close of FY 2025-26 to carry forward and re-appropriate funds for any awarded grants that have not been initiated and/or fully expended, and any reimbursable grant revenues that have not been received.
Section 7. The Capital Improvement Program Budget adopted for FY 2026-27 shall be considered amended upon the close of FY 2025-26 to carry forward and re-appropriate funds for all previously approved capital improvement projects that have not been initiated and/or not completed.
Section 8. This Resolution shall become effective upon adoption, and the authorizations approved in this Resolution cover the period beginning July 1, 2026 and ending on June 30, 2027.
This Resolution supersedes the Continuing Spending Resolution adopted by the City Council on June 16, 2026 as its Resolution No. 2026-030.
Section 9. The City Clerk shall certify to the adoption of this Resolution.
ADOPTED BY THE FULLERTON CITY COUNCIL ON AUGUST 18, 2026.
______________________________________
Fred Jung, Mayor
ATTEST:
________________________________
Lucinda Williams, City Clerk
APPROVAL AS TO FORM:
________________________________
Richard D. Jones, City Attorney
EXHIBIT A
FY 2025-27 PROPOSED BUDGET BOOK DOCUMENT
To Be Included and Attached with Final Resolution Recorded and Filed.
EXHIBIT B
FY 2026-27 GENERAL FUND PERSONNEL & OPERATING
REDUCTIONS LIST
Attachment 6 - Proposed Budget Additions and Budget Reductions FY 2026-27 - General Fund Personnel & Operating Reductions Unfunded Positions / Personnel Adjustments FTE Department Reduction Amount 1 Deputy Director of Administrative Services 1
1 Administrative Services ($119,801)
2 Director of Human Resources 1 Human Resources ($135,229) Underfill as Deputy Director of Human Resources -1 Human Resources $102,749 3 Administrative Assistant 1
1 Human Resources ($44,125)
4 Miscellaneous - Salary adjustments & ISF reductions 0 Human Resources ($151,008) 5 Library Technology Assistant 1 Library ($94,797)
6 Code Enforcement Manager 1 Community & Economic Development ($175,528) 7 Associate Planner 1 Community & Economic Development ($152,929) 8 Economic Development Project Manager 1 Community & Economic Development ($185,700) 9 Senior Permit Technician 1 Community & Economic Development ($108,913) 10 Miscellaneous - Salary adjustments 0 Community & Economic Development ($8,839) 11 Parks Project Manager
1 1 Parks & Recreation ($9,660)
12 Parks Project Specialist 1
1 Parks & Recreation ($9,660)
13 Public Information Specialist 1 Parks & Recreation ($149,102) 14 Parks and Recreation Coordinator 1 Parks & Recreation ($113,544) 15 Parks and Recreation Supervisor 1 Parks & Recreation ($102,000) 16 Administrative Analyst I 1 Parks & Recreation ($142,623) 17 Re-allocation of General Fund Salaries to Water Fund and Brea Dam Fund 0 Parks & Recreation ($150,000)
18 Reduce Hunt Library Staffing and Programming 0 Parks & Recreation ($40,000) 19 Special Events Salary Redistribution 0 Parks & Recreation ($51,000) 20 Deputy Chief / Fire Marshal 1 Fire ($527,343)
21 Police Corporal 1 Police ($294,331)
22 Police Lieutenant 1 Police ($396,277)
23 Police Officers 4 Police ($932,854)
24 Police Records Clerk 1 Police ($106,690)
25 Police Services Representative 1 Police ($136,336)
26 Part-Time Support Services 0 Police ($322,460)
27 Civil Engineer 1 Public Works ($68,865)
28 Construction Inspector 1 Public Works ($77,894)
29 Engineering Aide III 1 Public Works ($31,901)
30 Ground Maintenance Lead Worker
2 0 Public Works ($84,948)
31 Maintenance Worker 1/2
0 Public Works ($8,944)
32 Senior Maintenance Worker 2
1 Public Works ($153,536)
33 Street Leads Worker 2
0 Public Works ($51,932)
34 Reduced ISF allocations for Building Maintenance Unfunded Vacancies 0 Public Works ($87,620)
Total General Fund Savings and FTE Count 26 ($5,123,641) 1 - General Fund portion only; some positions are funded across various City funds 2 - Positions will be re-instated through the re-allocation from the General Fund to other City funds.
Attachment 6 - Proposed Budget Additions and Budget Reductions FY 2026-27 - General Fund Personnel & Operating Reductions Unfunded Programs / Services / Materials Department Reduction Amount 1 Discontinue on-site security services at City Hall City Manager ($75,000) 2 Reduce Hunt Library Security Library ($175,052)
3 Eliminate Library Book Collection budget for Adult and Teen sections - Foundation & Friends to Temporarily Subsidize Library ($209,000)
4 Electronic Resources (for language learning, job assistance, and homework help)- Foundation & Friends to Temporarily Subsidize
Library ($30,000)
5 Reduce the Building division's Professional & Contractual services budget by 31% Community & Economic Development ($139,500) 6 Reduce 4th of July event to Fireworks Only Parks & Recreation ($175,000) 7 First Night Event Parks & Recreation ($325,000)
8 Produce the Fullerton Brochure Electronic Version/Online only Parks & Recreation ($86,000) 9 Reduce on-site Security Services at Fullerton Community Center Parks & Recreation ($80,000) 10 Reduce Professional & Contractual budget for backup Plan Check Fire ($92,000)
11 Eliminate Paramedic Subscription Mail & Pass on Credit Card merchant fees Fire ($26,000)
12 Furniture replacement for EMS division Fire ($21,000) 13 Reduce Graffiti Abatement Contract (GPC) to 1 Truck Unit from 2 Units Public Works ($150,000)
14 General Fund Allocation to Facility Capital Repair ISF allocation - 1-Time Public Works ($250,000)
15 Traffic Engineering Support Staff & Private Development for Non-Reimbursable Plan Check Public Works ($30,000)
16 Office / Cubicle Furniture Public Works ($10,000)
Unfunded Programs / Services / Materials Total ($1,873,552) General Fund - Grand Total Reductions ($6,997,193)
Attachment 6 - Proposed Budget Additions and Budget Reductions FY 2026-27 Budget Enhancements / Additions
Operating / Personnel Enhancements FTE Department General Fund All Other Funds Consultant for Internal Service Funds Methodology Review 0 Administrative Services $39,600 $0 Principal Revenue Manager 1 Administrative Services $104,938 $104,938 Accountant II 1 Administrative Services $66,572 $0
Stancil Dispatch Recorder Upgrade 0 Police $24,774 $0
Administrative Analyst 1 Police $130,000 $0
Property and Evidence Supervisor 1 Police $166,316 $0
Fire Prevention Specialist I 1 Fire $130,300 $0
Replacement of Wildland Tactical Pants 0 Fire $15,000 $0 Upgrade P&R Manager to Deputy Director of Parks &
Recreation 1 0 Parks & Recreation $0 $0
Title Change to Environmental Services Specialist 0 Public Works $0 $0 Public Works Truck for Downtown Area Operations 0 Public Works $12,150 $32,850 Public Works Truck for Street & Sidewalk Patchwork Crew 0 Public Works $71,280 $192,720 Bobcat Skid-Steer Loader and Attachments 0 Public Works $0 $167,500 FY 2026-27 Budget Enhancement / Additions Total 5 $760,931 $498,008 1 - No additional fiscal impact associated with upgrading the Parks & Recreation Manager to Deputy Director Attachment 6 - Proposed Budget Additions and Budget Reductions FY 2026-27 Summary of Changes - Post Budget Study Session Reallocation of Funds / Miscellaneous Adjustments FTE Count Department General Fund Savings Amount
Allocated to
Other Funds
Ground Maintenance Lead Worker 1 1 Public Works ($84,949) $84,948 Maintenance Worker 1
1 Public Works ($8,944) $8,944
Senior Maintenance Worker 1
3 Public Works ($51,932) $51,932
Street Leads Worker 1
1 Public Works ($51,932) $51,932
Grand Total 6 ($197,757) $197,756
1 - The funding for these positions is included in the base budget; funding for these positions allocated to various Other City Funds which include Sanitation Fund, Gas Tax Fund, Brea Dam Fund, and Water Fund.
EXHIBIT C
FY 2026-27 PROPOSED REINSTATEMENT OF POSITIONS & SERVICES WITH $1 MILLION OF WORKERS COMPENSATION RESERVES AND
$300,000 OF GROUP INSURANCE SAVINGS
FY 2026-27 Proposed Reinstatement of Positions & Services Proposed Plan for $1M from Worker's Comp. ISF Reserves
Proposed Reinstatement of Positions FTE Count Department Amount Director of Human Resources 1 Human Resources $32,216
Add 2 non-regular Library Technical Assistants
and 1 non-regular Library Technology Assistant
Code Enforcement Manager 1 Community & Economic Development $175,528 Economic Development Specialist II/III 1 Community & Economic Development $185,700 Increase PD Overtime for Fiscal Accountability 0 Police $395,000 Civil Engineer 1 Public Works $68,865
Construction Inspector 1 Public Works $77,894
Grand Total 5 $1,000,000
Proposed Plan for $0.3M from Group Insurance Fund savings Group Insurance Savings Department Amount
Reduce Allocation to Group Insurance Fund Human Resources ($300,000) Police Overtime to support Operation Clean Streets Police $300,000 Grand Total $0
Attachment 7 - Proposed Reinstatement with Use of $1 Million of ISF Reserves and $300,00 of Group Insurance Savings
0 Library $64,797
EXHIBIT D
FY 2026-27 VEHICLE REPLACEMENT LIST
ADJ DEFERRED REPL DEFERRED
PROGRAM UNIT YEAR MAKE MODEL LIFE EXP LIFE EXP YEARS DATE REPL DATE FIRE
2222 651B 2006 SURRY TRAILER 15 20 (5) 2021 2026 75,100 $ 139,640 $ FIRE SUBTOTAL 139,640$
PD
2271 800C 2017 FORD EXPLORER 7 10 (3) 2024 2027 35,847 $ 48,880 $ 2271 849B 2020 FORD FUSION 7 7 0 2027 2027 27,616 $ 34,310 $ 2277 810B 2019 DODGE CHARGER 3 5 (2) 2022 2024 36,697 $ 47,030 $ 2277 813A 2017 FORD EXPLORER 3 5 (2) 2020 2022 37,978 $ 53,420 $ 2277 815C 2020 DODGE DURANGO 3 4 (1) 2023 2024 45,390 $ 56,400 $ 2277 818C 2016 FORD EXPLORER 3 6 (3) 2019 2022 38,996 $ 56,580 $ 2277 819A 2016 FORD EXPLORER 3 6 (3) 2019 2022 38,996 $ 56,580 $ 2277 820A 2016 FORD EXPLORER 3 6 (3) 2019 2022 38,996 $ 56,580 $ 2277 823A 2017 FORD EXPLORER 3 5 (2) 2020 2022 36,898 $ 51,900 $ 2277 825C 2019 DODGE CHARGER 5 8 (3) 2024 2027 41,065 $ 52,630 $ 2277 838A 2020 KIA SORENTO 5 7 (2) 2025 2027 37,000 $ 45,970 $ 2277 840A 2019 DODGE CHARGER 5 8 (3) 2024 2027 36,697 $ 47,030 $ 2277 845A 2017 FORD EXPLORER 7 10 (3) 2024 2027 40,261 $ 54,900 $ 2277 924B 2002 KOHLER GEN350KW 15 25 (10) 2017 2027 75,095 $ 163,060 $ 2278 408B 2018 HONDA ST1300A4 3 6 (3) 2021 2024 30,285 $ 40,040 $ 2287 876C 2017 FORD F-250 7 10 (3) 2024 2027 59,580 $ 81,240 $ PD SUBTOTAL 946,550$
PARKS & REC
2514/2516 n/a -$ - $
PARKS & REC SUBTOTAL -$
COM DEVELOPMENT
2313/2319 n/a -$ - $
COM DEVELOPMENT SUBTOTAL - $
LIBRARY
2521 n/a -$ - $
LIBRARY SUBTOTAL -$
PUBLIC WORKS ADMIN
2411 n/a -$ -$
PUBLIC WORKS ADMIN SUBTOTAL -$
STREETS
N/A
PUBLIC WORKS STREETS SUBTOTAL -$
WATER OPS.
2425 567C 2016 FORD F-250 10 11 (1) 2026 2027 48,964 $ 68,870 $
CITY OF FULLERTON
PUBLIC WORKS DEPARTMENT - VEHICLE REPLACEMENT PROGRAM
FY 2026-2027 REPLACEMENT SCHEDULE
PURCHASE
COST
REPLACEMENT
COST
ADJ DEFERRED REPL DEFERRED
PROGRAM UNIT YEAR MAKE MODEL LIFE EXP LIFE EXP YEARS DATE REPL DATE
CITY OF FULLERTON
PUBLIC WORKS DEPARTMENT - VEHICLE REPLACEMENT PROGRAM
FY 2026-2027 REPLACEMENT SCHEDULE
PURCHASE
COST
REPLACEMENT
COST
2425 757B 2009 JLG TRAILER 17 18 (1) 2026 2027 9,106 $ 15,910 $ 2426 521C 2013 FORD F-650 14 14 0 2027 2027 129,586 $ 200,040 $ 2426 951B 2013 ONAN COMPRESS 12 14 (2) 2025 2027 10,012 $ 15,460 $ PUBLIC WORKS WATER OPS. SUBTOTAL 300,280$
LANDSCAPE
2423 602A 2002 J DEERE 5420 14 25 (11) 2016 2027 32,738 $ 71,090 $ 2423 713B 2008 J DEERE F1145 5 14 (9) 2013 2022 20,703 $ 37,320 $ PUBLIC WORKS LANDSCAPE/TREE SUBTOTAL 108,410$
ENGINEERING
2324 273C 2017 FORD F-150 10 10 0 2027 2027 28,367 38,680$ PUBLIC WORKS ENGINEERING SUBTOTAL 38,680$
EQUIPMENT
2416 n/a -$ -$
PUBLIC WORKS EQUIPMENT SUBTOTAL -$
SEWER
n/a
PUBLIC WORKS SEWER SUBTOTAL -$
BUILDING
2413 934B 1997 ONAN GEN350KW 22 30 (8) 2019 2027 65,000 $ 164,810$ PUBLIC WORKS BUILDING SUBTOTAL 164,810$
AIRPORT
2331 n/a -$ -$
PUBLIC WORKS AIRPORT SUBTOTAL -$
Total 25 Vehicles Total Vehicle Purchase Cost 1,698,370$ TOTAL 64417 EXPENDITURE 1,698,370$
FY 2025-26 ISF Revenue for Vehicles 3,400,952$
Est. Interest Income 80,000$
FUND 64 REVENUE 1,782,582$
*Listed vehicles are due for replacement next fiscal year. Supply chain, availability, actual costs and need of vehicles will determine actual fiscal year purchases.