DATE: FEBRUARY 17, 2026
DEPARTMENT: FINANCE
FROM: SELINA ANDREWS, FINANCE DIRECTOR
ABE PEDROZA, ASSISTANT FINANCE DIRECTOR
TITLE: STATUS OF GENERAL FUND & ROAD IMPROVEMENT CAPITAL IMPROVEMENT PROJECTS RECOMMENDED MOTION:
It is recommended that the Finance Committee receive a report on the status of General Fund and Road Improvement Capital Improvement Projects.
EXECUTIVE SUMMARY:
This report provides a review of General Fund and Road Capital Improvement Projects (CIP) that have been added to the City’s Capital Improvement Plan and have unspent and unencumbered budget. The projects are in various stages of completion and are summarized in this report. Attachment A includes additional information such as milestones and key completion dates.
BACKGROUND:
Capital Improvement Projects (CIP) are appropriated through the annual budget development process and throughout the year with Council approval. They are appropriated from various funding sources, including but not limited to the General Fund, Enterprise, Gas Tax, SB1, Measure X, and Development Impact Fees. Any remaining budget at the end of the fiscal year is carried over to the subsequent year, until the project is complete or the budget is reallocated. This report focuses on the General Fund and Road Improvement CIPs and provides a status of each project as of December 31, 2025.
The report also includes recommendations from departments to reallocate budget from one CIP to another or to the Operating budget and certain de-appropriations. Currently, there is approximately $7.2 million in unexpended and unencumbered CIP funded by the General Fund, $8.4 million funded by Measure E, and $ 8.2 million funded by Measure G, for a total of $23.8 million. Staff recommends reallocating $2,436,051 to other CIP projects that need additional funding to move forward and de-appropriating $59,807, mostly due to projects being completed. Any de-appropriations will result in the budget going back to the originating fund. For example, if Measure E funded a CIP project and the budget is de-appropriated, the unspent budget will be returned to Measure E fund balance for future use.
Within the Roads Funds, there is approximately $8.1 million in Gas Tax, $13.4 million in Transportation & Safety Tax (Measure X), and $5.5 million in Senate Bill 1 (SB1) in unexpended and unencumbered CIP. Staff recommends reallocating $962,506 to other CIP projects that need additional funding to move forward and de-appropriating $237,668, mostly due to projects being completed or not prioritized over others.
Staff conducted a thorough review of all CIPs within their respective departments and provided timelines for most projects. Those projects that do not include timelines require additional research, budget capacity, and/or coordination in order to move the project forward.
As evidenced through this review process, there is funding appropriated to various CIP projects throughout the City and the challenge faced to complete certain projects is staffing capacity – internal and/or external. Considering those CIP projects funded by Roads funds (Gas Tax, Measure X, or SB1), the funding source is readily available. However, Public Works has limited capacity for overseeing the projects due to staffing challenges. This isn’t a problem that only Salinas is encountering. Finding qualified staff to oversee larger scale projects is challenging for all municipalities across the state. The City has addressed this challenge various ways – through offering hiring incentives for certain positions and most recently, doing a reorganization of the Public Works Department. Another way this problem is being addressed is by exploring a biennial (2-year) budget. This will help focus staff and external consultants/contractors on larger projects with budgetary certainty.
In the past year, staff has solicited feedback from City Council on budget priorities and Council has expressed concern of not having a clear understanding of all CIP projects, estimated project costs, and if the City can deliver the projects based on the current financial conditions as well as staff capacity. In response to this concern, staff compiled and reviewed CIP projects. This CIP review affirms the City’s dedication to increasing budgetary reporting and transparency. Going forward, the City will continue to monitor and report on CIP projects on a routine basis to ensure project milestones are met and continually align CIP projects with Council and community priorities. Prior to the new budget adoption, staff will provide recommendations on how to best accomplish this, whether through quarterly reviews or more frequently.
The CIP reviews will consist of the following:
Council and staff feedback to ensure fiscal resources are available for each project; Staff capability to complete each project;
Community disruptions based on size and scope of project; Alignment with City Council Priorities balanced with a reasonable workload; Prioritization of projects;
Ability to deliver projects; and
Removal of completed or obsolete projects.
The information provided in this report will be part of the Mid-Year Review process and will also include an expenditure and revenue analysis. All of which will be presented to Council in March.
General Fund – CIP
The table below summarizes the department managing the project, project description, remaining budget, and project begin and end dates. Certain projects may not have timelines because either the project start/end date has not been specified, there isn’t enough budget to move a project forward, or the project is ongoing.
Dept.
Project Name (Project No.)
Current Budget (GF, Measures E & G)
Project Begin
Project End
LCS
District 5 Recreation Center (9342)
$7,969,900
May-26
Dec-28
PW
Pavement Improvements (9981)
$1,622,765
Nov-25
Feb-27
LCS
Firehouse Rec Center (9311)
$1,152,368
Feb-26
LCS
Steinbeck & Chavez Roof Replacement/Repair (9969)
$1,150,000
CD
Alisal Vibrancy Plan - El Gabilan Park (9246)
$1,074,831
Jun-23
Jun-27
CD
Chinatown Navigation Center Sprung Shelter (9125)
$921,373
Apr-26
Oct-27
CD
Chinatown Revitalization 37-39 Soledad Stabilization & Rehab (9070) $760,000
Feb-24
Oct-27
CD
Alisal Vibrancy Plan - Facade Improve Program (30-50 loans) (9246) $600,000
Nov-24
PW
Boronda Rd Congestion Relief (9510)
$468,945
Aug-24
Jun-31
PW
Sidewalk & Drainage Repairs (9720)
$454,174
Dec-25
Dec-26
CD
Chinatown Revitalization Plan - Neighborhood Improvements (9070) $411,624
Jul-22
Jan-27
PW
IWTF Expansion Project (9338)
$396,073
May-25
Dec-27
LCS
Closter Park Revitalization (9350)
$372,961
Apr-25
Sep-26
Fire
Fire Station Alerting Sys Update (9987)
$367,588
Jan-26
May-26
CD
Alisal Vibrancy Plan - Gateway Monument (9246)
$358,000
Jul-25
Sep-27
CD
Alisal Vibrancy Plan - Clean California Maintenance (9246) $300,000
Jul-22
IT
Video Data System Architecture (9353)
$260,956
Jan-26
Jul-27
CD
Alisal Vibrancy Plan - Regular Commercial Corridor Clean-Ups (9246) $250,000
Aug-23
Jun-28
PW
EV Charging Infrastructure (9372)
$200,000
Mar-26
Dec-26
PW
Tree Planting - Forest Mgmt Plan (9043)
$199,915
Mar-26
Mar-29
LCS
Community Center Improvements (9352)
$174,465
PW
Traffic Calming Improvements (9163)
$173,000
Mar-26
Dec-26
CD
65 W. Alisal Improvements (9087)
$165,253
Mar-26
Sep-26
LCS
Playground Improvements at Parks (9060)
$148,869
Jun-26
Jun-27
LCS
Steinbeck Library Upgrades (9716)
$146,060
Jan-25
Jun-26
PW
Facilities ADA Transition Plan & Improvements (9217)
$144,820
Mar-26
Jun-27
Fire
Fire Station Renovations (9235)
$141,792
Jul-23
Jun-26
CD
Permanent Homeless Shelter (9001)
$130,111
Jun-25
Jun-26
PW
Cesar Chavez Park Dry Basin System (9359)
$100,000
Jun-26
PW
Monterey Garage Improvements (9395)
$100,000
Dec-25
Dec-26
PW
City Hall Improvements (9612)
$94,451
Jan-26
Jul-26
Fire
Fire Station Repairs (9541)
$94,000
Mar-26
Sep-27
LCS
Hebbron & Breadbox Needs Assessment (9165)
$73,431
Feb-26
Dec-26
LCS
Aquatic Center Improvements (9943)
$71,432
Mar-26
Oct-26
LCS
Sherwood Tennis Center Imp (9379)
$57,735
LCS
Rec Facility @ Muni Pool (9535)
$51,258
Feb-26
Aug-26
PW
No Parking/Street Sweeping Sign (9292)
$50,000
Jun-26
Dec-27
CD
Alisal Greening, Beautification and Safety (9345)
$11,821
Jun-26
Sep-26
LCS
Irrigation Control System Retrofit (9840)
$7,601
Feb-26
Mar-26
PW
Vendor Permit Implementation (9322)
$6,432
Jul-25
Jun-26
PW
Geographic Information Systems (9103)
$4,671
Jan-26
Jun-26
LCS
Computers Upgrade LCSD (9195)
$734
Feb-26
Apr-26
Staff is requesting the following budget reallocations (up to $2,436,051):
ED Element Implementation (9136) $200,000 to Economic Development Police Vehicle Replacement (9579) $210,790 to Police Vehicle Replacement Fund Fire Command/Staff Vehicles (9210) $23,021 to Fire Vehicle Replacement Fund Fire Vehicle Apparatus Replacement (9540) $3,362 to Fire Vehicle Replacement Fund Street Maintenance Equipment Replacement (9030) $9,642 to PW Vehicle Replacement Fund Alisal Safe Routes to School Project (9360) $998 to City Cleanup Program (9068) Salinas Dry Weather Storm (9075) $30,580 to City Hall Improvements (9612) Street Trees (9105) $3,750 to Tree Planting - Forest Mgmt Plan (9043) Street Maint Vehicle Replacement (9110) $35,000 move to PW Vehicle Replacement Fund Corp Ud Storm Drain NPDES (9138) $14,760 to City Hall Improvements (9612) Boiler Replacement (9147) $61,322 to City Hall Improvements (9612) Active Transportation Plan (9349) $97,686 to City Hall Improvements (9612) Alisal Safe Routes to School Project (9360) $66,167 to City Hall Improvements (9612) IWTF Flood Damage Repairs (9368) $218,675 to Sidewalk & Drainage Repairs (9720) IWTF Flood Damage Repairs (9368) $218,675 to Pavement Improvements (9981) IWTF Flood Damage Repairs (9368) $135,210 to Stormwater Management (9321) IWTF Flood Damage Repairs (9368) $190,601 to City Hall Improvements (9612) IWTF Flood Damage Repairs (9368) $197,185 to IW Treatment Facility Repairs (9794) IWTF Flood Damage Repairs (9368) $58,810 to PW Vehicle Replacement Fund Garner Street Improvements (9503) $50,000 to Monterey Garage Improvements (9395) Alisal Safe Routes to School (9360) $594 to ADA Transition Plan-Sidewalks & Ramps (9618) Tennis Court Improvement (9022) $262,690 to Playground Improvements at Parks (9060) Restroom Replacement (9048) $40,000 to Park Maintenance Rec Center Repairs/Improvements (9191) $125,000 to Playground Improvements at Parks (9060) Cesar Chavez Trail (9361) $24,882 to Alisal Vibrancy Plan (9060) Northgate Dog Park (9366) $75,000 to District 5 Recreation Center (9342) Closter Park Improvements (9451) $35,958 to Closter Park Revitalization (9350) Athletic Field Repairs (9737) $44,691 to Park Maintenance Staff is requesting the following CIP budget de-appropriations ($59,807):
West Wing Fire Dept. Renovation (9300) $7,437 (General Fund) Fire Hydrant Repairs (9411) $1,343 (General Fund)
Fire Safety Gear & Equipment (9527) $413 (General Fund) Soccer Field Cesar Chavez Park (9005) $31 (Measure G)
Geographic Information Systems (9161) $2 (General Fund) Improvements at City Facilities (9331) $112 (General Fund) Reroof Public Buildings (9718) $469 (General Fund)
342 Front Street (9240) $50,000 (General Fund)
Road Improvement – CIP
The table below summarizes the department managing the project, project description, remaining budget, and project begin and end dates. Certain projects may not have timelines because either the project start/end date has not been specified, there isn’t enough budget to move a project forward, or the project is ongoing.
Dept.
Project Name (Project No.)
Current Budget (Road Improvement)
Project Begin
Project End
PW
Pavement Improvements (9981)
$8,562,314
Nov-25
Feb-27
PW
Boronda Rd Congestion Relief (9510)
$4,098,123
Aug-24
PW
Traffic Signal Installation (9654)
$2,057,695
Mar-26
Jul-27
PW
Annual Pavement and Sidewalk Maintenance (9438)
$1,922,183
Oct-26
PW
Williams Rd UD/Street/Streetscape & Median Island (9071) $1,854,555
Jul-17
PW
Sidewalk & Drainage Repairs (9720)
$1,642,653
Dec-25
Dec-26
PW
ADA Transition Plan-Sidewalks & Ramps (9618)
$1,000,000
Mar-26
Dec-28
PW
Streetlight Installation (9267)
$655,326
May-25
Jun-27
PW
Storm Sewer Drainage Repairs (9139)
$596,187
PW
John Street/Williams Safe Routes (9371)
$500,000
Mar-26
PW
Traffic Calming Improvements (9163)
$442,732
Mar-26
Dec-26
PW
Bridge Maintenance Program (9266)
$423,883
Sep-27
PW
No Parking/Street Sweeping Sign (9292)
$400,000
PW
Williams Road Improvements (9128)
$350,000
Jul-04
Dec-35
PW
Striping and Signing Improvements at City Streets (9081) $289,816
2025
Sep-26
PW
Geographic Information Systems (9103)
$213,012
Mar-26
Jun-26
PW
Asset Management CCTV (9288)
$206,725
PW
Street Median Landscaping (9775)
$90,370
PW
ADA Traffic Signal Upgrades (9253)
$83,900
PW
City Street Sign Retro Reflectivity (9162)
$83,744
PW
Bicycle Lane Installations (9607)
$65,924
Nov-25
Feb-27
PW
Santa Rita Storm Channel (9175)
$50,000
PW
Harden Parkway Path and SRTS (9367)
$43,917
Apr-29
PW
N Davis Rd Guard Rail Improvements (9074)
$25,578
PW
Traffic Signal Coordination (9431)
$21,629
PW
San Juan Grade Rd Sidewalk & Street Light Improve (9363) $14,773
Jul-23
Apr-28
PW
Congestion Mgmt Agency City % (9461)
$13,070
PW
Priority Traffic Signals (9094)
$6,234
PW
Main St @ Lamar St Pedestrian Enhancements (9362)
$863
Mar-26
Staff is requesting the following budget reallocations (up to $962,506):
Purchasing Tree Stock & Material (9016) $270,500 to Tree Planting – Forest Mgmt Plan (9043) San Juan Grade Road Improvements (9080) $219,036 to San Juan Grade Rd Sidewalk & Street Light Improvements (9363) Pedestrian Crossing Enhancement (9188) $68,660 to Pedestrian Safety Improvements (9391) City Bridges Rehab (9255) $4,310 from Bridge Maintenance Program (9266) to cover deficit Pedestrian Safety Improvements (9391) $400,000 to Harden Parkway Path and SRTS (9367) Staff is requesting the following CIP budget de-appropriations (up to $237,668):
Alisal Airport Multi-Use Trail (9034) $120,000 (Measure X) Street Maintenance Vehicle Replacement (9110) $21,318 (Measure X) Sanborn Rd/US 101 Improvements- Ag Ind Center (9117) $17,402 (Measure X) Fleet Consolidation Replacement (9266) $15,000 (Gas Tax, Measure X) Street Tree Trimming (9237) $6,788 (Gas Tax)
T/S Buckhorn and Sanborn (9280) $50,500 (Gas Tax)
Active Transportation Plan (9349) $6,660 (Gas Tax, Measure X) FY 2025-26 Mid-Year Action
Staff will present the recommended budget reallocations and de-appropriations for both the General Funds and Road Improvement Funds to Council as part of the FY 2025-26 Mid-Year Budget Review in March 2026. The amounts presented in this report are as of December 31, 2025 and therefore have been assigned an “up to” dollar figure. Amounts could be lower based on project expenditures between December 2025 and Council action in March 2026.
ATTACHMENTS:
Attachment A: CIP Amounts and Timelines
Page | 2
Page | 1
CITY OF SALINASFINANCE COMMITTEE STAFF REPORT RepREPORTCITY OF SALINASFINANCE COMMITTEE STAFF REPORT RepREPORT
CITY OF SALINAS
FINANCE COMMITTEE STAFF REPORT RepREPORT
CITY OF SALINAS
FINANCE COMMITTEE STAFF REPORT RepREPORT