PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #9.I
Meetin Date: September 1, 2026
TITLE:
Acquisition of Real Property at 900 Bello Street; Related Budget Adjustments RECOMMENDATION:
Adopt a Resolution authorizing the acquisition of real property located at 900 Bello Street and appropriating related budget adjustments in Fiscal Year 2027.
DISCUSSION:
The City has been leasing the property at 900 Bello Street, APN 005-041-003, for the past three years to house Fire Department personnel during the construction of the Public Safety Facility. At the conclusion of the construction, staff met with the property owners to determine if there would be interest in the City acquiring the property for its use, which resulted in subsequent interest by the property owners.
On June 16, 2026, the City Council met in Closed Session to discuss the price and terms of the subject property. The City Council provided the City Manager direction and negotiation authority on a potential purchase. Ultimately, the City and the property owner agreed to a purchase price of $1,000,000.00, with the City paying for closing costs and fees. Staff estimates the escrow and closing cost to be less than $50,000.00 for a total of $1,050,000.00, including taxes and fees. Funding for the purchase comes from the Parking Enterprise Fund net position (available fund balance).
This acquisition provides a significant value to the City for its future needs.
Conclusion and Recommendation
Staff recommends the City Council adopt a resolution (Attachment 1) authorizing the acquisition of real property at 900 Bello Street and appropriating related budget adjustments in Fiscal Year (FY) 2027.
FISCAL IMPACT:
The fiscal impact of adopting the attached resolution to purchase 900 Bello Street will result in an additional cost of $1,050,000.00 from the Parking Enterprise Fund. There are sufficient funds available in the Parking Enterprise Fund’s net position (available fund balance) to support this purchase. After including the cost to purchase this property, the remaining available ending fund balance projected at the end of FY 2027 is estimated to be $3.11 million.
Staff recommends that the Council appropriate $1,050,000.00 in the Parking Enterprise Fund capital outlay-land account, supported by Parking Enterprise Fund’s net position (available fund balance), in FY 2027.
Council Agenda 9-1-2026 9.I-1
ATTACHMENTS:
1. Resolution
2. Purchase and Sale Agreement
Submitted by:
Jorge Garcia, City Manager
City Manager Approval:
Council Agenda 9-1-2026 9.I-2
RESOLUTION NO. R-2026-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,
CALIFORNIA AUTHORIZING THE ACQUISITION OF REAL PROPERTY LOCATED AT 900 BELLO STREET AND APPROPRIATING RELATED BUDGET
ADJUSTMENTS IN FISCAL YEAR 2027
WHEREAS, the City has been leasing the property at 900 Bello Street, APN 005-041- 003, for the past three years as a part of the construction of the Public Safety Facility; and WHEREAS, on June 16, 2026, the City Council met in Closed Session to discuss the price and terms of the subject property; the City Council provided the City Manager direction and negotiation authority on a potential purchase; and WHEREAS, the City and the property owner agreed to a purchase price of $1,000,000.00, with the City paying for closing costs, taxes, and fees estimated at $50,000.00 for a total acquisition cost of $1,050,000.00; and
WHEREAS, acquisition of this property provides a significant value to the City and support its future needs; and
WHEREAS, there are sufficient funds available in the Parking Enterprise Fund’s net position (available fund balance) to support this purchase.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby authorizes the acquisition of real property located at 900 Bello Street, Pismo Beach California, APN 005-041-003, in accordance with the terms of the Purchase and Sale Agreement attached to staff’s report dated September 1, 2026.
BE IT FURTHER RESOLVED that the City Council of the City of Pismo Beach hereby appropriates $1,050,000.00 in the Parking Enterprise Fund capital outlay-land account, supported by the Parking Enterprise Fund’s net position (available fund balance) in Fiscal Year 2027, to support this acquisition.
UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 1st day of September 2026, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RECUSED:
Council Agenda 9-1-2026 9.I-3
Attachment 1
Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Kirkwood, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and official seal of the City of Pismo Beach on _______________________.
________________________
Erica Kirkwood, City Clerk
Council Agenda 9-1-2026 9.I-4
Attachment 1