CENTRAL COAST BLUE
REGIONAL RECYCLED WATER AUTHORITY
BOARD OF DIRECTORS STAFF REPORT
Agenda Item #9.I
Meetin Date: pril 21, 2026
TITLE:
Budget for Fiscal Year 2027: July 1, 2026 through June 30, 2027 RECOMMENDATION:
Adopt a Resolution adopting the Fiscal Year 2027 Budget for the Central Coast Blue Regional Recycled Water Authority.
DISCUSSION:
The Joint Exercise of Powers Agreement establishing the Central Coast Blue Regional Recycled Water Authority (Authority) includes provisions governing the Authority’s annual budget. Specifically, Section 6.2.1 of the Agreement requires that, prior to July 1 of each year, the Authority Board adopt a final budget covering all anticipated expenditures for the upcoming fiscal year.
For Fiscal Year 2027, the Authority’s proposed budget includes projected rental revenue of up to $11,400 from the lease of the 980 Huber Lane property as well as interest earnings. These revenues are allocated 33% to the Authority’s Water Fund and 67% to the Wastewater Fund, consistent with the allocation of the Central Coast Blue project for the City of Pismo Beach. However, the City plans to terminate the lease at the end of April 30, 2026 and there will be no revenues and no expenditures in these funds.
The City of Pismo Beach and the Pismo Beach Public Financing Agency are the benefitting member agencies of the Authority. As such, the City of Pismo Beach will bear the majority of the Authority’s costs.
Conclusion and Recommendation
Staff recommends that the Board of Directors adopt a Resolution (Attachment 1) adopting the Fiscal Year 2027 Budget for the Central Coast Blue Regional Recycled Water Authority.
FISCAL IMPACT:
The fiscal impact of adopting the attached resolution is a reduction of $13,073 in revenues in FY 2027, including $4,250 in the Water Central Coast Blue JPA Fund and $8,823 in the Wastewater Central Coast Blue JPA Fund. Staff recommends that the Board de- appropriate revenues for FY 2027 as reflected in Table 1.
Council Agenda 4-21-2026 9.I-1
Table 1: FY 2027 Revenue and Expenditure Appropriations and Proposed Budget Adjustments
ATTACHMENTS:
1. Resolution
Submitted by: Nadia Feeser, Treasurer
General Manager Approval:
Fund Type Account
FY 2027
Adopted
Budget
FY 2027
Proposed
Budget
Adjustment
FY 2027
Revised
Budget
Water Revenues Interest 488$(488)$ -$
Central Coast Other Rents & Leases 3,762 (3,762) -$
Blue JPA Revenues Total 4,250 (4,250) -
Expenditures Professional Services -
Expenditures Total -
Net Operating Surplus 4,250$ (4,250)$ -$ Wastewater Revenues Interest 1,185$ (1,185)$ -$ Central Coast Other Rents & Leases 7,638 (7,638) -
Blue JPA Revenues Total 8,823 (8,823) -
Expenditures Professional Services -
Exp Total -
Net Operating Surplus 8,823$ (8,823)$ -$ Council Agenda 4-21-2026 9.I-2
RESOLUTION NO. JPA-R-2026-XXX
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CENTRAL COAST
BLUE REGIONAL RECYCLED WATER AUTHORITY ADOPTING THE FISCAL YEAR 2027 BUDGET
WHEREAS, the Joint Exercise of Powers Agreement establishing the Central Coast Blue Regional Recycled Water Authority (Authority) includes provisions governing the Authority’s annual budget; and
WHEREAS, section 6.2.1 of the Agreement requires that, prior to July 1 of each year, the Authority Board adopt a final budget covering all anticipated expenditures for the upcoming fiscal year; and
WHEREAS, for Fiscal Year (FY) 2027, the Authority’s proposed budget includes projected rental revenue of up to $11,400 from the lease of the 980 Huber Lane property as well as interest earnings; these revenues are allocated 33% to the Authority’s Water Fund and 67% to the Wastewater Fund, consistent with the allocation of the Central Coast Blue project for the City of Pismo Beach; however, the City plans to terminate the lease at the end of April 30, 2026 and there will be no revenues and no expenditures in these funds; and
WHEREAS, the Board desires to have a fiscal plan for the Central Coast Blue Regional Recycled Water Authority in order for the Authority to operate during Fiscal Year 2027; and
WHEREAS, the City of Pismo Beach and the Pismo Beach Public Financing Agency are the benefitting member agencies of the Authority and the City of Pismo Beach will bear the majority of the Authority’s costs.
NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Central Coast Blue Regional Recycled Water Authority hereby adopts a $0 budget for Fiscal Year 2027, including de-appropriating $4,250 in revenues in the Water Central Coast Blue JPA Fund and $8,823 in revenues in the Wastewater Central Coast Blue JPA Fund.
UPON MOTION OF Board Member , seconded by Board Member , the foregoing resolution was adopted by the Board of Directors of the Central Coast Blue Regional Recycled Water Authority this 21st day of April 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RECUSED:
Council Agenda 4-21-2026 9.I-3
Attachment 1
Approved: Attest:
________________________ ________________________
Ed Waage, Chair Erica Inderlied, Secretary
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the Central Coast Blue Regional Recycled Water Authority, on _______________________. ________________________
Erica Inderlied, Secretary
Council Agenda 4-21-2026 9.I-4
Attachment 1