Budget and Finance Committee
Monthly Budget Update
General Fund and Measure C
March 18, 2026
General Fund Revenue As of 2/28/2026
FY 2026
Updated
Budget (Jan
2026)
FY 2026
Unaudited
Actuals
% of
Budget
Received
/ Spent
Report through 2/28/26
Property Tax (411*) 77,458,791 40,744,522 53% Anticipate ~$30 million in April payments plus additional $6 million in other payments Sales Tax (413*) 47,599,300 25,978,514 55% Consultant anticipates ~$20.1 million in remaining six months of FY 2026. Will have oral update of first quarter actuals at meeting.
Utility Users Tax (41470) 25,000,000 13,674,106 55% Anticipate meeting forecast. Received between six and seven months of payments Franchise Fees (416*) 13,630,000 5,678,627 42% Trending below budget. Monitoring Real Property Transfer Tax (41420) 11,500,000 5,922,967 52% Trending slightly below budget. Monitoring Business Tax (41410) 3,963,000 110,353 3% Most revenue posts in first quarter of calendar year. Monitoring but anticipate meeting forecast.
Transient Occupancy Tax (41430) 2,676,500 959,714 36% Trending slightly below budget. Monitoring Cannabis Revenue (41435) 806,933 370,669 46% Anticipate meeting forecast. Received approximately six months of payments but are trending down in most recent period.
Other Taxes (41411, 41440, 4146* , 42410) 3,664,789 1,374,232 37% Trending below budget. Monitoring Fees and Charges for Service (43*) 10,276,367 6,712,474 65% Trending to receive amount greater than budget.
Permits (425*) 3,294,839 1,670,978 51% Trending slightly below budget. Monitoring Intergovernmental (421* 422* 418* 419*
45140) 7,098,366 6,276,312 88% Anticipate achieving budget.
Fines and Forfeitures (423*) 2,822,948 1,637,796 58% Anticipate achieving budget. Payments arrive after activity.
Other Revenue (46*) 3,863,170 764,918 20% Anticipate achieving budget. This includes funds from the OPEB trust anticipated in March.
Investment Income (44*) - 7,434 Minimal investment income anticipated due to negative cash balance.
Total Revenues 213,655,003 111,883,614 52%
Transfers-In (49*) 26,712,422 14,653,785 55%
Total Revenues & Transfers-In 240,367,425 126,537,399 53% Currently anticipate that any revenue shortfalls will be covered by some revenue items coming in over budget. Monitoring
General Fund Expenses As of 2/28/2026
Expense
FY 2026
Updated
Budget (Jan
2026)
FY 2026
Unaudited
Actuals
% of Budget
Received /
Spent
Salaries and Benefits (51* 55* less
91*) 188,614,434 128,647,384 68%
This appears slightly high but includes time before additional labor concessions and other personnel changes. Anticipated to end year within budget and monitoring closely.
Maintenance and Utilities (61*) 2,191,970 980,856 45%
Supplies and Services (including
encumbrances) (62*)
14,697,395 4,870,457 33%
Capital (71*) 199,000 152,998 77% Single purchases for capital Total Expenditures 205,702,798 134,651,695 65%
Internal Service Charges (64*) 22,093,539 11,046,771 50% Transfers Out (98*) 12,571,088 8,128,123 65%
Total Expenditures, Internal Service
Charges & Transfers Out
240,367,425 153,826,588 64%
Currently anticipate that expenses will be below budget at end of you but are consistently monitoring for unanticipated items.
Measure C Revenue and Expenses As of 2/28/2026
FY 2026 Updated
Budget (Jan 2026)
FY 2026
Unaudited
Actuals
% of Budget
Received /
Spent Notes
Measure C Sales Tax (413*) 22,764,000 11,519,122 51%
Forecasted by consultant at $19,849,000. This is anticipated in Measure C forecast shared with Council on February 28, 2026.
Measure C Investment (44*) - 200,007
Total Measure C Revenue 22,764,000 11,719,129 51%
This report anticipates a lower than budgeted revenue. The reduced revenue is anticipated in long term plan for Measure C. Staff is reviewing actual expenses for resolution.
Salaries and Benefits (51*
55*) 6,381,489 4,943,945 77% This appears to be unbudgeted expenses. Staff will review and identify resolution.
Maintenance and Utilities
(61*) 58,888 14,221 24%
Supplies and Services
(including encumbrances)
(62*) 639,620 477,070 75%
This appears to be unbudgeted expenses but may be associated with unspent encumbrances. Staff will review and identify resolution.
Internal Service Charges
(64*) 524,719 262,358 50%
Capital (71*) 285,631 -
Transfers Out (98*) 19,714,685 16,393,124 83%
Includes Transfer to Debt Service, Capital Projects, and General Fund. Full transfer to General Fund has been made and, therefore, this appears artificially high Total Measure C Expenses 27,605,031 22,090,719 80%
This report anticipates higher than budgeted expense. The reduced revenue is anticipated in long term plan for Measure C. Staff is reviewing actual expenses for resolution.
Monthly Salary & Benefits Report As of 3/9/2026
Month Feb-26 Jan-26 Dec-25 Nov-25 Oct-25 Sep-25 Aug-25 Jul-25 % of Payroll Year 65% 58% 50% 42% 31% 23% 15% 8%
Straight Line
Forecast $127,872,352.93 $112,828,546.70 $97,784,740.48 $82,740,934.25 $60,175,224.91 $45,131,418.68 $30,087,612.45 $15,043,806.23 Actual Amount
Spent
$15,060,183.57 $15,593,996.68 $15,679,516.52 $23,154,956.46 $15,943,570.70 $16,010,802.90 $15,784,536.30 $15,613,675.69 Total Spent $132,841,238.82 $117,781,055.25 $102,187,058.57 $86,507,542.05 $63,352,585.59 $47,409,014.89 $31,398,211.99 $15,613,675.69 (Over) Under
Budget* $(4,968,885.89)
$(4,952,508.55) $(4,402,318.10) $(3,766,607.80) $(3,177,360.68) $(2,277,596.21) $(1,310,599.54) $(569,869.46) Monthly Overtime Report As of 3/9/2026
Budget
% of
Budget Actuals
Annual Budget Total Feb-26 Jan-26 Dec-25 Nov-25Oct-25 Sep-25 Aug-25 Jul-25 PD* $5,250,290.00 71% $3,702,581.90 $223,861.34 $287,265.46 $425,406.48 $638,020.71 $500,807.21 $575,977.81 $521,065.25 $530,177.64 Fire* $6,319,200.56 63% $3,965,393.55 $280,890.89 $193,256.39 $429,261.61 $626,229.11 $515,939.95 $695,546.76 $644,259.70 $580,009.14 Other $327,659.00 61% $200,260.14 $15,058.19 $16,014.37 $20,158.33 $32,776.12 $30,691.96 $36,105.09 $31,532.81 $17,923.27 * These calculation assume a straight-line forecast. Therefore, anticipated savings after VSIP and Layoff's (estimated at over $2 million) as well as overtime savings from Fire and Police side letters are not incorporated. Staff does not anticipate ending the year over budget and is continuing to monitor closely. # Three payrolls were posted in November.
Questions /
Discussion