City Council Regular Meeting - May 26, 2026
1. ESTABLISH QUORUM AND CALL TO ORDER
Public Comments:
2. PLEDGE OF ALLEGIANCE
Public Comments:
3. REPORTS
Public Comments:
3.a
Closed Session Report
Public Comments:
3.b
Mayor and Councilmembers' Reports, Announcements and Presentations Public Comments:
3.c
City Manager Reports, Announcements and Presentations
Public Comments:
3.d
Subcommittee Reports - Verbal Update of Current Subcommittee Activities Public Comments:
1. Water Reclamation Facility & Morro Bay / Cayucos Sanitary District JPA Public Comments:
2. Morro Bay Power Plant (Vistra)
Public Comments:
3. Morro Elementary School
Public Comments:
4. RECOGNITION AND PRESENTATIONS
Public Comments:
4.a
Certificates of Recognition for Morro Bay High School students who have completed 80+ hours of community service Public Comments:
5. PUBLIC COMMENT
Public Comments:
Members of the audience wishing to address the Council on City business matters not on the agenda may do so at this time. For those desiring to speak on items on the agenda, but unable to stay for the item, may also address the Council at this time.
Public comment is an opportunity for members of the public to provide input to the governing body. To increase the effectiveness of the Public Comment Period, the City respectfully requests the following guidelines and expectations be followed:
Those desiring to speak are asked to complete a speaker slip, which are located at the entrance, and submit it to the City Clerk. However, speaker slips are not required to provide public comment.
When recognized by the Mayor, please come forward to the podium to speak. Though not required, it is helpful if you state your name, city of residence and whether you represent a business or group. Unless otherwise established by the Mayor, comments are to be limited to three minutes.
All remarks should be addressed to Council, as a whole, and not to any individual member thereof.
The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff.
Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering.
Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting.
Your participation in City Council meetings is welcome and your courtesy will be appreciated.
The Council in turn agrees to abide by its best practices of civility and civil discourse according to Resolution No. 07-19.
6. CONSENT AGENDA
Public Comments:
Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. The public will also be provided an opportunity to comment on consent agenda items.
Recommended Action
Approve Consent Agenda Items 6.a through 6.d.
6.a
Approval of Minutes
Public Comments:
(City Clerk)
Recommended Action
Approve as submitted.
1. April 21, 2026 - Joint City Council and Citizens Finance Advisory Committee Special Meeting Attachments
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Public Comments
1. Post-Meeting Minutes - Special Joint Council CFAC Meeting_Apr21_2026 - English.pdf
2. May 12, 2026 - Special Closed Session Meeting
Attachments
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Public Comments
1. Post-Meeting Minutes - CCCM_May12_2026 - English.pdf
6.b
Approval of Proclamations
Public Comments:
(City Clerk)
1. Proclamation Declaring June 2026 as Pride Month
Attachments
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Public Comments
1. Pride Month Proclamation 2026.pdf
6.c
Presentation of Allocation of Water Equivalency Units (WEU) for Fiscal Year (FY) 2026/27 Attachments
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Public Comments
1. 6c SR WEUs FY 26-27.pdf
2. 6c1 Reso 25-26 WEUs FY 26-27.pdf
(Public Works Department)
Recommended Action
Adopt Resolution No. 25-26 to allocate 50 WEUs for residential development (30 single-family residential (SFR) and 20 multi-family residential (MFR)) and 65 for commercial development for a total of 115 WEUs for FY2026/27.
6.d
San Luis Obispo Countywide Regional Homelessness and Affordable Housing Compact and Regional Homeless Service Inventory Attachments
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Public Comments
1. 6d SR - SLO Countywide Regional Homelessness_Affordable Housing.pdf
2. 6d1 Reso 26-26 SLO County Regional Homelessness and Affordable Housing Compact.pdf
3. 6d2 SLO Countywide Regional Homelessness and Affordable Housing Compact.pdf
4. 6d3 SLO County Regional Homeless Services Inventory Final.pdf (Police Department)
Recommended Action
Adopt Resolution No. 26-26 approving “San Luis Obispo Countywide Regional Homelessness and Affordable Housing Compact” and receive a report from the County of San Luis Obispo’s Homeless Services Division on the Regional Compact and Regional Homeless Services Inventory.
7. PUBLIC HEARING ITEMS
Public Comments:
None.
8. BUSINESS ITEMS
Public Comments:
8.a
Budget Study Session - Review of Fiscal Year 2026-27 Draft Proposed Budget Attachments
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Public Comments
1. 8a SR FY 2026-27 Proposed Budget Study Session.pdf
2. 8a2 FY 2026-27 Budgeted Revenue and Expenditures by Fund.pdf
3. 8a3 General Fund 10-Year Forecast.pdf
4. 8a4 MeasureQE Fund 10-Year Forecast.pdf
5. 8a5 Water Operating Fund 10-Year Forecast.pdf
6. 8a6 Sewer Operating Fund 10-Year Forecast.pdf
7. 8a7 Harbor Operating Fund 10-Year Forecast.pdf
(Finance Department / City Manager)
Recommended Action
Receive the Proposed Fiscal Year (FY) 2026-27 Citywide Operating and Capital Budget and provide feedback prior to budget adoption, scheduled for June 9, 2026, on:
General Fund shortfall of $900,000 ($0.9 million): spend from fund balance or shift appropriate budgeted costs to Measure Q/E; and Measure Q/E shortfall of $700,000 ($0.7 million): spend from fund balance or decrease budget by reducing contributions to capital projects and/or on-call services.
8.b
Discussion of Resources for Economic Development and Related Efforts Attachments
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Public Comments
1. 8b SR Discussion of Resources for Economic Development and Related Efforts.pdf (City Manager)
Recommended Action
For consideration and discussion.
9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
Public Comments:
10. ADJOURNMENT
Public Comments:
The next
Regular Meeting
will be held on June 9, 2026.
This agenda is subject to amendment up to 72 hours prior to the date and time set for the meeting. Please refer to the agenda posted at City Hall, 595 Harbor Street, Morro Bay, CA 93442 for any revisions or call the Clerk's office at (805) 772-6205 for further information.
Materials related to an item on this agenda submitted to the City Council after distribution of the agenda packet are available for public inspection upon request by calling the City Clerk's office at (805) 772-6205.
In compliance with the Americans Disability Act, if you need special assistance to participate in a City meeting, please contact the Clerk's office 24 hours prior to the meeting to insure reasonable arrangements can be made to provide accessibility to the meeting.