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1 RiversideCA.gov1
RiversideCA.govFY 2025/26 Third Quarter Financial Update City CouncilJuly 28, 2026Finance Department
RiversideCA.gov2
Fiscal Health and OutlookSignificant uncertainty of future fiscal outlook remains Overall, the City maintains a strong financial positionRisk that expenditure will continue to outpace revenue growth
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2 RiversideCA.gov3
GENERAL FUND & MEASURE Z RESERVE BALANCESGeneral FundBalance(in millions)Policy Reserves$ 57.32Emergency Reserve (15%)19.11 Contingency Reserve (5%)$ 76.43 TotalOther Reserves$ 18.23Reserved for Section 115 Trust Contributions2.74 Infrastructure Reserve5.00 Technology Reserve25.82Water GFT Escrow100.32Section 115 Trust-Undesignated$ 152.11Total$ 228.54Total ReservesMeasure ZBalance(in millions)$ 23.86 Available Fund Reserves*5.00 Policy Reserve$ 28.86 Total* Reflects projected fund balance as of the end of the third quarter including encumbrances, carryovers, and recommended adjustments.* Measure Z fund balance is anticipated to be drawn down over the adopted five-year plan.
RiversideCA.gov4
GENERAL FUND & MEASURE Z OVERVIEWFY 2025/26 SummaryFinal Adjusted BudgetQ3 Recommended AdjustmentsCouncil Approved Adjustments*Adopted BudgetGeneral Fund$ 387,425,160 $ 701,234 $ 4,566,713 $ 382,157,213 Revenue/Transfers In387,425,160 701,2344,566,713 382,157,213 Expenditure/Transfers Out$ -$ -$ -$ -Surplus/(Deficit)Measure Z$ 83,876,000 $ -$ (220,000)$ 84,096,000 Revenue/Transfers In104,063,506-$ (3,189,981)107,253,487 Expenditure/Transfers Out(20,187,506)$ -$ (2,969,981) $ (23,157,487) Surplus/(Deficit)*** Excludes encumbrances and carryovers and various net zero adjustments, which do not have a net impact the on surplus/deficit calculation.** Reflects continued strategic draw on available Measure Z fund balance as adopted in the FY 2025/26 budget. 7/15/2026
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GENERAL FUND REVENUESGeneral Fund (in millions)% ChangeYear End ProjectionProposed AdjustmentsAmended Budget(Through Q2)Revenue Category-$ 97.97$ -$ 97.97Property Taxes-94.97-94.97Sales Tax-.25-.25Cannabis Tax-36.32-36.32Utility Users Tax-8.93-8.93Transient Occupancy Tax-6.16-6.16Franchise Fees-12.11-12.11Licenses & Non-Developer Permits-12.21-12.21Non-Development Charges for Services-7.74-7.74Development Fees & Charges-59.33-59.33General Fund Transfer-18.27-18.27Measure Z Transfer-7.37-7.37Public Safety Support(Measure Z)2.8%25.110.7025.11Other Revenues & Transfers In0.18%$ 387.42$ 0.70 $ 386.72 Total Revenues & Transfers In RiversideCA.gov6
GENERAL FUNDAmended Budget includes prior fiscal year encumbrances and carryovers.$382.2 $382.2 $386.7 $411.8 $234.5 (60.6%)$294.0 (71.4%) $- $50.0 $100.0 $150.0 $200.0 $250.0 $300.0 $350.0 $400.0 $450.0Revenue Expenditure(in millions)AdoptedAmendedQ3 Actuals 7/15/2026
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MEASURE Z SPENDING PLANProjectedActuals20262025202420232022(in millions)$ 83.88$83.67$ 84.20$ 85.84$ 83.91Revenue(104.06)100.90(86.10)(69.61)(67.45)Expenditures(44.44)Encumbrances & Carryovers$(64.63)$(17.23)$(1.91)$16.24$ 16.46Net Change in Fund Balance$ 88.49$ 105.72$ 107.63$ 91.40$ 74.94Beginning Fund Balance(64.63)(17.23)(1.91)16.2416.46Net Change in Fund Balance$ 23.86$ 88.49$ 105.72$ 107.63$ 91.40Ending Fund Balance RiversideCA.gov8
Electric FundAmended Budget includes prior fiscal year encumbrances and carryovers.Excludes bond proceeds and capital expenditures $485.5 $472.1 $485.5 $491.5 $371.1 (76.4%)$339.6 (69.1%) $- $100.0 $200.0 $300.0 $400.0 $500.0 $600.0Revenue Expenditure(in millions) Adopted
Amended
Q3 Actuals
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Water FundAmended Budget includes prior fiscal year encumbrances and carryovers.Excludes bond proceeds and capital expenditures $106.5 $94.8 $106.5 $106.7 $104.5 (98.1%)$68.1 (63.8%) $- $20.0 $40.0 $60.0 $80.0 $100.0 $120.0Revenue Expenditure(in millions) Adopted
Amended
Q3 Actuals
RiversideCA.gov10
Refuse FundAmended Budget includes prior fiscal year encumbrances and carryovers.Excludes capital expenditures $37.6 $39.3 $36.8 $45.4 $29.0 (78.8%) $28.4 (62.6%) $- $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 $35.0 $40.0 $45.0 $50.0Revenue Expenditure(in millions) Adopted
Amended
Q3 Actuals
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Sewer FundAmended Budget includes prior fiscal year encumbrances and carryovers.Excludes capital expenditures $78.3 $77.4 $78.3 $80.3 $49.9 (63.7%)$56.3 (70.1%) $- $15.0 $30.0 $45.0 $60.0 $75.0 $90.0Revenue Expenditure(in millions) Adopted
Amended
Q3 Actuals
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Public Parking FundAmended Budget includes prior fiscal year encumbrances and carryovers.Excludes capital expenditures $11.7 $10.0 $11.7 $10.3 $9.6 (82.4%)$5.9 (57.7%) $- $3.0 $6.0 $9.0 $12.0 $15.0Revenue Expenditure(in millions) Adopted
Amended
Q3 Actuals
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1. Receive and provide input on the Fiscal Year 2025/26 Third QuarterFinancial Update;2. With at least five affirmative votes, authorize the Chief Financial Officer,or designee, to record in FY 2025/26:a) Supplemental appropriations and offsetting revenue increases, and all accounting related entries in the Bridle Ridge CFD, Special Deposits Fund, and Library Permanent Fund, in the amount of $938,618;b) Supplemental appropriation and offsetting revenue increase in the General Fund, Fire, Mutual Aid in the amount of $701,234;RECOMMENDATIONSThat the City Council:
RiversideCA.gov14
c) Authorize an interfund transfer from General Fund surplus reserves to the General Liability Trust Fund in the amount of $9,560,000;d) Authorize an interfund transfer in the amount of $1,400,000 from the General Fund to the General Liability Trust Fund and offsetting budget reductions in the General Fund; and3. With at least five affirmative votes, authorize the Chief Financial Officer, or designee, to record in FY 2026/27:a) Supplemental appropriations in the General Fund in the amount of $97,750;b) Supplemental appropriations in the Airport Fund in the amount of $12,685;c) Interdepartmental transfers in various funds and accounts in the amount of $624,686.RECOMMENDATIONS