Wednesday, May 20, 2026
5:30 PM
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
Conference Room 4A & Virtually Via Zoom
Council Budget and Finance Committee
Agenda
May 20, 2026Council Budget and Finance
Committee
Agenda
The Council Budget and Finance Committee will hold a hybrid meeting in Conference Room 4A and virtually via Zoom.
How to submit written Public Comment:
Send an email to [email protected] by 2:00 p.m. the day of the meeting. Please identify the Agenda Item Number in the subject line of your email. Emails will be compiled into one file, distributed to the Council Budget and Finance Committee and City staff, and published on the City's Meeting & Agenda Center under Documents Received After Published Agenda. https://hayward.legistar.com/Calendar.aspx When submitting written comments, indicate in the email if you want your comment read into the record.
Requests will be allowed provided the reading will not exceed three (3) minutes consistent with the time limit for speakers at Council Committee meetings. Email comments will become part of the record of Council Committee meetings.The Chair can limit the time for reading written comments.
When: May 20, 2026 05:30 PM Pacific Time
Topic: Council Budget and Finance Committee - May 2026
Please click the link below to join the webinar:
https://hayward.zoom.us/j/82356595642?pwd=by7S2Ob6U3Xdy1CaTf8W58wigRgO9r.1 Webinar ID: 823 5659 5642
Password: Budget@520
Or join by phone:
US: 833 548 0282 (Toll Free) or 833 928 4608 (Toll Free) or 833 928 4609 (Toll Free) or 833 928 4610 (Toll Free) or 877 853 5247 (Toll Free) or 888 788 0099 (Toll Free) or 833 548 0276 (Toll Free) Meeting ID: 823 5659 5642
Password: 1186397500
CALL TO ORDER
SB 707 TELECONFERENCE NOTIFICATIONS AND CONSIDERATION
ROLL CALL
PUBLIC COMMENTS:
Limited Only to Items on the Agenda and Submitted Prior to the Meeting.
APPROVAL OF MINUTES
Review and Approve of the Council Budget and Finance
Committee March 18, 2026, Meeting Minutes
MIN 26-055
Attachments: Attachment I Minutes
May 20, 2026Council Budget and Finance
Committee
Agenda
REPORTS/ACTION ITEMS
FY 2025 Annual Audit Process (Oral Presentation by External Auditor)
RPT 26-047
Receive an Oral Report and Provide Comments on the Fiscal Year 2025-26 Monthly Budget Update
RPT 26-048
Attachments: Attachment I Monthly Budget Update
Discuss the Proposed FY2026-27 Operating Budget City
Council (Oral Presentation)
RPT 26-049
FUTURE AGENDA ITEMS
Review and Approve the 2026 Agenda Planning CalendarACT 26-024 Attachments: Attachment I Planning Agenda
COMMITTEE MEMBER/STAFF ANNOUNCEMENTS
ADJOURNMENT
Next Meeting - 5:30 p.m., Wednesday, June 17, 2026
The City of Hayward's Open Data Portal was designed to allow the public to explore, visualize, and download publicly accessible data. The Open Data Portal allows a clear view of the City's financial performance. Access to the portal may be found at https://haywardca.opengov.com/CITY
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: MIN 26-055
DATE: May 20, 2026
TO: Council Budget and Finance Committee
FROM: Director of Finance
SUBJECT
Review and Approve of the Council Budget and Finance Committee March 18, 2026, Meeting Minutes
RECOMMENDATION
That the Council Budget and Finance Committee (CBFC) reviews and approves the March 18, 2026, CBFC meeting minutes.
SUMMARY
The CBFC held a meeting on March 18, 2026, and the draft minutes are attached for the CBFC’s review and approval.
ATTACHMENTS
Attachment I 3/18/2026 CBFC Meeting Minutes
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ATT ACHMENT I
COUNCIL BUDGET & FINANCE COMMITTEE MEETING
Meeting Minutes of March 18, 2026
Call to Order: 5:34 p.m.
Members Present: Councilmember Bonilla Jr., Councilmember Syrop
Members Absent: Mayor Salinas
Staff: Jennifer Ott, Mary Thomas, DeAnna Hilbrants, Michael Barnes, Franchesca Hatfield, Nicholas Mullins
Guests: Monique Spyke, PFM Asset Management
Public Comments: Gail Watts, Resident
1. Approval of Meeting Minutes from February 18, 2026
Action: Minutes reviewed and approved by Councilmember Syrop and Councilmember Bonilla Jr.
2. Investment Portfolio Review and FY 2026 Statement of Investment Policy Update Director DeAnna Hilbrants and guest Monique Spyke presented. Councilmember Bonilla Jr. Questions:
A. What accounts for CPI and these job numbers?
Response: Theres a lot that goes into these numbers. Each month they dive deep into what makes up the numbers: layoffs, AI influence, retail, agriculture, other sectors. We’ve been seeing a net job loss. A lot has to do with companies and corporations tightening their belts in the stress of the economy.
Councilmember Syrop Questions:
A. How are making sure you have accurate numbers?
Response: Unfortunately, there are a number of different places where people get data. It used to be the Bureau of Labor of Statistics was nonpartisan. The market is waiting and seeing the quality of the numbers that leadership changed. We’re seeing if it aligns with ADP payroll, etc.
B. Do we have any general fund invested in our portfolio? Response: Very little because of zero funds. Funds are always changing.
As the general funds recover, and there are more funds in the general fund, generally we would.
C. Councilmember asked for thoughts on PFM’s offering around ethical investments.
D. PFM stated the City has very specific language in its policy that requires PFM to restrict purchasing from such companies as Chevron, Caterpillar, issues related to nuclear weapons, McDonalds, Walmart and General Electric.
Action: The Committee received the presentation and staff will complete requests.
3. Fiscal Year 2025-26 Monthly Budget Update for Period Ending February 28, 2026 Finance Director DeAnna Hilbrants presented
Councilmember Bonilla Jr. Questions:
Councilmember Commended staff on breakdown of General Fund Revenue.
Councilmember Syrop Questions:
A. When should we see a jump in TOT?
The new TOT rate started in February and TOT is due quarterly. This isn’t one of our top revenue sources.
B. Is this being circulated through the full Council?
I believe so, if not it will be circulated after tonight.
C. Do we have a general number to highlight to the public? A: Yes.
Action: The Committee received the report and provided feedback.
4. Review and Approve the 2026 Council Budget and Finance Committee Agenda Planning Calendar
Director of Finance DeAnna Hilbrants Presented.
Action: The Committee received the report and staff will complete requests.
Committee Members/Staff Announcements: None.
Adjournment: The meeting was adjourned at 6:34 p.m.
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 26-047
DATE: May 20, 2026
TO: Council Budget and Finance Committee
FROM: Director of Finance
SUBJECT
FY 2025 Annual Audit Process (Oral Presentation by External Auditor)
RECOMMENDATION
That the Council Budget and Finance Committee (CBFC) receives an oral report about the FY 2025 annual audit process.
SUMMARY
The City of Hayward’s auditor Maze & Associates is compiling the audited financial statements for the fiscal year ended June 30, 2025 (FY 2025). The assigned Audit Partner will provide information about the audit process in general including required audit communications from Mayor and Councilmembers.
While the audit is not yet complete, staff and the auditor believe this will be a productive discussion including time for CBFC members to ask questions or provide feedback.
The objective of the financial statement annual audit is to obtain reasonable assurance as to whether the City’s financial statements as a whole are free from material misstatement and includes the auditor’s opinion about whether the City’s financial statements are fairly presented in conformity with Generally Accepted Accounting Principles (GAAP).
ATTACHMENTS
None Oral Report
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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 26-048
DATE: May 20, 2026
TO: Council Budget and Finance Committee
FROM: Director of Finance
SUBJECT
Receive an Oral Report and Provide Comment on the Fiscal Year 2025-26 Monthly Budget Update
RECOMMENDATION
That the Council Budget and Finance Committee (CBFC) receives an oral report and provides comments on the monthly budget versus actuals for the General Fund for the period ending April 30, 2026.
SUMMARY
The City has taken a number of measures to balance the Fiscal Year (FY) 2025-26 Operating Budget in the General Fund. At the CBFC meeting, staff will provide a budget versus actual report of revenue and expenses for the General Fund for the period ending April 30, 2026, including a highlight of monthly salary and benefits costs and overtime by department (police, fire, and other departments).
Staff is highlighting the following changes since the last CBFC presentation on March 18, 2026:
• As part of preparing FY 2026-27 Budget, a deeper analysis was completed for all revenue, expenses, and transfers resulting in new changes to the FY 2025-26 budget • These changes were offset by increasing transfers into the General Fund from other funds especially workers compensation and available cash in the information technology fund to balance.
• The Budget remains in balance but some items are at risk and further updates may be required.
Staff has planned for this possibility.
Specific changes when comparing new forecast to the March 2026 report:
• Revenue is projected to be $2.3 million lower than February projections • After comprehensive review of special pays and payroll cycles, the projected salary and benefits budget was increased nearly $10 million
• These changes were offset by reducing services and supplies, increasing transfers in from other funds especially workers compensation and available cash in the information technology internal service fund to balance.
CITY OF HAYWARD Printed on 5/15/2026Page 1 of 2
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File #:RPT 26-048
• Staff is continuing to monitor closely and will again increase transfers if required to end year with revenues balanced to expenses. (This will happen after the end of the fiscal year and before year- end close.)
ATTACHMENTS
Attachment I Monthly Budget Update General Fund and Measure C CITY OF HAYWARD Printed on 5/15/2026Page 2 of 2
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Budget and Finance Committee
Monthly General Fund Update
May 20, 2026
• As part of preparing FY 2026-27 Budget, a deeper analysis was completed for all revenue, expenses, and transfers resulting in new changes to the FY 2025-26 budget
• These changes were offset by increasing transfers into the General Fund from other funds especially workers compensation and available cash in the information technology fund to balance. • The Budget remains in balance but some items are at risk and further updates may be required. Staff has planned for this possibility.
Monthly Update As of April 30, 2026 - Highlights
Comparing new forecast to the March 2026 report:
• Revenue is projected to be $2.3 million lower than February projections • After comprehensive review of special pays and payroll cycles, the projected salary and benefits budget was increased nearly $10 million • These changes were offset by increasing transfers in from other funds especially workers compensation and available cash in the information technology internal service fund to balance.
• Staff is continuing to monitor closely and will again increase transfers if required to end year with revenues balanced to expenses. (This will happen after the end of the fiscal year and before year-end close.)
Monthly Update As of April 30, 2026 - Highlights
General Fund Revenue - As of 4/30/2026
Budget: CBFC
Presentation
3/2026
Unaudited
Actuals as of
4/30/2026
FY2026
Projection
Projection
as % of
Budget
NOTES
Revenues
Property Tax 77,458,791 72,483,407 79,500,000 103% Consultant Estimate + analysis of actuals Sales Tax 47,599,300 33,990,263 47,599,300 100% Consultant Estimate (Optimistic) | 8 months of payments received.
Utility Users Tax 25,000,000 17,353,674 24,844,001 99% Consultant Estimate Franchise Fees 13,630,000 10,170,185 12,884,566 95% Straight line from actuals Real Property Transfer Tax 11,500,000 7,171,575 11,794,149 103% Straight line from actuals minus $500,000 due to unusual transaction Transient Occupancy Tax 2,676,500 1,440,951 2,628,509 98% Using last year plus 6% (Change in rate from 8.5% to 12% in July then 14% beg Feb) Cannabis Tax 806,933 500,815 625,815 78% Using avg. for final quarterly payment Business License Tax 3,963,000 3,052,802 3,271,846 83% 2026 Actuals plus actuals from end of FY 2025 minus unusual transaction Other Taxes | Excise Tax 3,664,789 1,895,404 2,242,447 61% Last Year Actuals Charges for Services 13,571,206 10,708,625 14,923,060 110% Staff Review with affected departments Inter-Governmental 7,098,366 7,485,015 7,485,015 105% Performing better than anticipated Fines & Forfeitures 2,822,948 2,068,107 2,756,077 98% Straight line from actuals Other Revenues 3,863,170 1,026,890 1,020,291 26%
Interest & Rents 0 10,009 0
Subtotal Revenues 213,655,003 169,357,722 211,575,076 99% Proposed Transfers-In to General Fund
As of 4/30/2026
Budget: CBFC
Presentation
3/2026
Unaudited
Actuals as of
4/30/2026
FY2026
Projection
Projection
as % of
Budget
NOTES
Transfer In
Transfers-In (Cost Allocation) 2,899,587 2,174,690 2,899,587 100% Fixed Transfer Transfers-In (Gas Tax) 246,000 184,500 246,000 100% Fixed Transfer Transfers-In (Community Facility District) 473,000 354,750 473,000 100% Fixed Transfer Transfers-In (Loan Repayment) 800,000 0 800,000 100% Fixed Transfer Transfers-In (Measure C) 9,750,000 0 9,750,000 100% Fixed Transfer Transfers-In (OPEB Trust) 3,000,000 1,323,898 3,000,000 100% Pending Final Numbers Transfers-In (Other Funds - Authorized
6/2025) 5,600,000 0 5,600,000 100%
Economic Development Fund ($250,000), General Liability ($1,300,000), Fleet Capital ($800,000), Property Acquisition Management ($600,000), 238 Properties ($2,650,000)
Transfers-In (Other Funds - Authorized
11/2025) 3,943,835 3,137,036 80% Pending Final Numbers - Information Technology Fund Transfers In (Worker's Compensation) 0 0 4,000,000 New Pending Final Numbers Subtotal Transfer Ins 26,712,422 4,037,838 29,905,623
Total Revenues & Transfers-In 240,367,425 173,395,561 241,480,699 100% General Fund Expenses As of 4/30/2026
81% of Year for Payroll; 83.3% of Year for Other
Budget: CBFC
Presentation
3/2026
Unaudited
Actuals as of
4/30/2026
FY2026
Projection
Projection as
% of Budget NOTES
Expenditures
Salaries and Benefits 195,569,480 161,718,281 205,280,514 105% After comprehensive review of special pays and payroll
cycles, the projected salary and benefits budget was
increased nearly $10 million
Maintenance & Utilities 2,191,970 1,236,284 2,174,970 99% Pending Final Numbers Supplies & Services 14,697,395 6,542,199 11,500,000 78% On track as of 4/30, but expect this to increase Departmental Supplies and
Services Reductions -3,287,529 New Department Savings (Optimistic) Internal Service Fees 22,093,539 11,046,771 22,093,539 100% Fixed Amount Capital 199,000 152,998 199,000 100% Fixed Amount
Charge-Outs -6,955,047 -7,013,374 -7,333,102 105% Staff Review with affected departments (Optimistic) Transfers-Out 12,571,088 10,634,829 85%
Total Expenditures & Transfers-
Out 240,367,425 181,429,183 241,262,221 100%
General Fund Monthly Salary Report
As of 4/30/2026: On target to stay within budget by end of FY due to lower payrolls starting in February
General Fund Salary and Benefits including Overtime - as of 04/20/26 (80.8% of payroll year) Annual Budget excluding CalPERS UAL costs, which are fixed: $165,825,206 Month Apr-26 Mar-26 Feb-26 Jan-26 Dec-25 Nov-25 Oct-25 Sep-25 Aug-25 Jul-25 % of Payroll Year 80.8% 73.1% 65.4% 57.7% 50.0% 42.3% 30.8% 23.1% 15.4% 7.7% Target: Straight Line
Forecast 133,935,743 121,179,958 108,424,173 95,668,388 82,912,603 70,156,818 51,023,140 38,267,355 25,511,570 12,755,785 Actual Amount Spent
During Month excluding
UAL
12,239,459 12,301,235 12,373,355 12,894,117 12,945,103 19,078,512 13,193,538 13,299,090 13,091,751 13,030,039 Year To Date without UAL 134,446,199 122,206,740 109,905,505 97,532,150 84,638,033 71,692,931 52,614,418 39,420,880 26,121,790 13,030,039 % of Budget Spent 81.8% 74.3% 66.9% 59.3% 51.5% 43.6% 32.0% 24.0% 15.9% 7.9% *Compare high in September to low in April
General Fund Monthly Overtime Report
As of 4/30/2026: On target to stay within budget
Department Actuals
Total Apr-26 Mar-26 Feb-26 Jan-26 Dec-25 Nov-25 Oct-25 Sep-25 Aug-25 Jul-25 Police 3,702,582 146,236 177,424 223,861 287,265 425,406 638,021 500,807 575,978 521,065 530,178 Fire 3,965,394 231,848 258,588 280,891 193,256 429,262 626,229 515,940 695,547 644,260 580,009 Other 200,260 11,575 14,426 15,058 16,014 20,158 32,776 30,692 36,105 31,533 17,923 Total 7,868,236 389,659 450,438 519,810 496,535 874,826 1,297,026 1,047,439 1,307,630 1,196,858 1,128,110 Total Overtime Spent 7,868,236
Overtime Budget FY 2025-2026 9,339,407
Percent Spent 84%
Previous Years OT Actuals FY 25 FY 24 FY 23 FY 22 FY 21 Police 7,179,172 5,749,813 5,130,300 4,216,208 3,583,144 Fire 8,170,285 7,615,082 7,286,285 7,439,117 6,820,206
Other 592,558 751,986 700,974 587,898 445,108
Total 15,942,015 14,116,881 13,117,559 12,243,223 10,848,458 *Compare high in September to low in April
Measure C Updated Projection
Measure C Forecast from 2/28/26
Budget Work Session
Updated Projection
based on Actuals Difference
Starting Balance 21,017,752 21,017,752
Revenues* 19,848,697 20,772,899 924,202
Operating Expenses 8,431,804 8,430,953 (851)
Debt Service 4,450,550 5,418,813 968,263
Transfer to General Fund 9,750,000 9,750,000 -
Total Expenses 22,632,354 23,599,766 967,412
Revenue Net Expenses (2,783,657) (2,826,867) (43,210)
Ending Balance 18,234,095 18,109,885 (43,210)
*Budget revenues in the original FY 26 budget (June 2025) were $23,500,000 which were downgraded due to the loss of the BART car revenue
CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 26-049
DATE: May 20, 2026
TO: Council Budget and Finance Committee
FROM: Director of Finance
SUBJECT
Discuss the Proposed FY2026-27 Operating Budget City Council (Oral Presentation)
RECOMMENDATION
That the Council Budget and Finance Committee (CBFC) ask questions and provide feedback regarding the Proposed FY 2026-27 Operating Budget.
SUMMARY
The Proposed Fiscal Year 2026-27 Budget was released on May 8, 2026 and on May 12, 2026, the City Council held a work session to review (CITY OF HAYWARD - File #: WS 26-013 <https://hayward.legistar.com/LegislationDetail.aspx?ID=8012135&GUID=AE0F6AF0-6D20-4AEC-92A0 -8B211262DF44&Options=&Search=>). Based on feedback received from the Council at the work session and Departments, the Finance Department is working to review and correct any items in the budget document.
Now that CBFC members have had additional time to review the proposed budget document (Budget Documents | City of Hayward - Official website <https://www.hayward-ca.gov/your- government/documents/budget-documents>), staff recommends receiving any additional questions or comments from the CBFC regarding the Proposed FY 2026-27 Budget.
ATTACHMENTS
None Oral Report
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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: ACT 26-024
DATE: May 20, 2026
TO: Council Budget and Finance Committee
FROM: Director of Finance
SUBJECT
Review and Approve the 2026 Agenda Planning Calendar
RECOMMENDATION
That the Council Budget and Finance Committee reviews and approves the 2026 Agenda Planning Calendar.
SUMMARY
The 2026 Agenda Planning Calendar suggests agenda topics for the year for the Committee’s consideration.
ATTACHMENTS
Attachment I 2026 Agenda Planning Calendar
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ATTACHMENT I
COUNCIL BUDGET AND FINANCE COMMITTEE
Meeting Time: 5:30 p.m.
Meeting Dates: The Council Budget & Finance Committee generally meets monthly on the 3rd Wednesday of the month, except for July and at times August, due to City Council Recess. Special meetings will be scheduled as determined necessary by the Committee or the City Manager.
DATE SUGGESTED TOPICS (subject to change)
May 20, 2026 FY 2025 Annual Audit Process
Monthly YTD Budget Update for FY 2026
FY 2027 Proposed Budget Discussion (if needed)
June 17, 2026 Monthly YTD Budget Updates for FY 2026
FY 2027 Budget Debrief
July 15, 2026 Council Recess
August 19, 2026 Monthly YTD Budget Updates for FY 2027 FY 2026 Budget Year-End Report
September 16, 2026 Monthly YTD Budget Updates for FY 2027 Annual Review of City Issued Debt
Annual City Benefit Liabilities and Funding Plan Review October 21, 2026 Monthly YTD Budget Updates for FY 2027 Measure C Debt Analysis and Review
November 18, 2026 Monthly YTD Budget Updates for FY 2027 Informational Report of the Fiscal Year 2026 Audit (Oral Presentation by External Auditor/Maze)
Investment Portfolio Review and FY 2028 Statement of Investment Policy and Delegation Authority (Oral Presentation by External Investment Manager/PFM)
December 16, 2026 Monthly YTD Budget Updates for FY 2027 January 20, 2027 Monthly YTD Budget Updates for FY 2027 FY 2028 Budget Process and Calendar Review
February 18, 2027 FY 2027 Mid-Year Budget Update
Monthly YTD Budget Updates for FY 2027
General Fund Long-Range Financial Model Update
March 17, 2027 Monthly YTD Budget Updates for FY 2027