City of Piedmont
COUNCIL AGENDA REPORT
DATE: November 3, 2025
TO: Mayor and Council
FROM: Rosanna Bayon Moore, City Administrator
SUBJECT: Consideration of FY 2024-25 Year End Transfers
RECOMMENDATION
By a motion, approve the following year-end budget adjustments and transfers:
1. Transfer a total of $2,600,000 from the General Fund to designated capital and maintenance funds to rebuild long-term reserves, as follows:
a. Facilities Fund $1,500,000
b. Equipment Replacement Fund $850,000
c. Facilities Maintenance Fund $250,000
2. Approve intra–General Fund transfers to align departmental budgets with actual year-end expenditures:
a. From Police Department to Fire Department - $189,500 b. From Administration to Non-Departmental - $175,500
c. From Administration to Recreation Department- $56,500
BACKGROUND
At the close of Fiscal Year 2025, the City’s General Fund realized revenues approximately 2% above budget and expenditures approximately 3% below budget. The resulting year-end fund balance of $9.9 million (25.7% of operating expenditures) exceeds the City’s reserve policy limit.
Consistent with City practice, staff recommends transferring a portion of the fund balance to rebuild and maintain dedicated reserves for facilities, equipment, and infrastructure needs. This proposal was unanimously recommended by the Budget Advisory and Financial Planning Committee at its October 28th meeting.
In addition, several intra–General Fund adjustments are proposed to balance departmental accounts and ensure that final expenditures align with budget authority. As illustrated in the table below, a transfer of $2.6 million to Capital Project Funds, the General Fund would end the year at $7.3M, or 19% of FY2025 expenditures, within the City’s reserve policy.
Agenda Report Page 2
A. Transfers to Capital Project Funds
The recommended $2.6 million in transfers will strengthen funding for long-term capital and asset replacement priorities:
• Facilities Capital Fund ($1.5M): Supports upcoming facility renovations and major improvements in the Capital Improvement Program (CIP).
• Equipment Replacement Fund ($850k): Rebuilds reserves for future replacement of vehicles and major equipment.
• Facilities Maintenance Fund ($250k): Provides funding for preventive maintenance and facility preservation.
Following these transfers, the General Fund will retain approximately $7.3 million (19% of expenditures)—above policy minimums and maintaining strong liquidity.
B. Intra–General Fund Transfers
The proposed budget adjustments within the General Fund do not affect the total fund balance but ensure that expenditures are properly recorded by department. Key drivers include:
• Fire Department Overtime: Coverage for vacancies tied to Workers Compensation leave and mutual aid wildfire deployments.
• Workers Compensation Claims: Higher-than-expected claims costs recorded in NonDepartmental. • Recreation Programs: Contractor payments for classes and camps exceeding original estimates due to higher participation.
These transfers are administrative and maintain budget compliance at the departmental level.
GENERAL FUND Budget Actual Variance
Beginning Balance $ 8,443 $ 8,526 $ 83
Revenues 37,697 39,413 1,716
Operating Transfers In 1,200 1,211 11
Total Revenue 38,897 40,624 1,727
Expenditures: Operating 34,920 33,571 1,349
Expenditures: Non-Department 4,450 4,626 (175)
Operating Transfers Out 400 200 200
Total Expenditures 39,771 38,397 1,374
Operating Net Revenue (874) 2,228 3,101
Capital Transfers Out 811 887 (76)
Net Revenue (1,685) 1,341 3,026
Ending Balance $ 6,758 $ 9,867 $ 3,109
Available for Transfer - 2,600 2,600
Ending Balance - Adjusted $ 6,758 $ 7,267 $ 509
% of Operating Exp 17.2% 19.0%
Agenda Report Page 3
FISCAL IMPACT
Approval authorizes:
• A total transfer of $2,600,000 from the General Fund to Capital Project Funds; and • Intra–General Fund transfers of $421,500 across departments as outlined above.
No new appropriations or reductions to reserves are required beyond the actions described.
By: Kiran Bawa, Finance Director