TO: Philippe Eskandar, City Manager
FROM: Lizette Guerrero, Human Resources Director
DATE: April 24, 2026
SUBJECT: SUBMISSION FOR FY 2026-27
HUMAN RESOURCES DEPARTMENT BUDGET
YEAR-END SUMMARY (FY 2025-26 BUDGET VS ESTIMATED)
The Department is anticipated to end the fiscal year with a savings of $142,405 or -13.5% below the current budget. The primary reasons are listed below:
Personnel budget is anticipated to have savings due to timing of filling a vacancy late FY 2025-26 and an employee being out on leave of absence.
Services & Supplies budget is anticipated to have savings of $96,741 or -15.1%. This is due to the following reasons. First, Contract Legal Services – Labor and Recruitment & Retention combined expenses are expected to be $89,051 lower than budgeted. Second, Materials & Supplies needed by the Department are expected to be $5,514 lower than budgeted. Third, Travel & Meetings expenses incurred by the Department are expected to be $4,441 lower than budgeted.
FY 2025-26 FY 2025-26 Bud. Vs Est.
Bud. Vs
Est.
Description Budget Estimated Diff $$ Diff %%
Personnel 416,734 $ 371,070 $ (45,664) $ -11.0%
Services & Supplies 640,367 543,627 (96,741) -15.1%
Total: 1,057,101 $ 914,697 $ (142,405) $ -13.5%
FY 2026-27 PROPOSED BUDGET
Personnel
The Department’s Full-Time Equivalent (FTE) will remain at 2.00 FTE, unchanged from the current budget.
Salaries & Wages are projected to be $434,911 which represents a $18,177 or 4.4% increase from current budget.
Employees’ salaries are increasing by 4.0% per the Memorandum of Understandings (MOU).
Cafeteria Benefits for Full-Time employees are expected to increase by $5,748 compared to last year.
Services & Supplies
Service & Supplies proposed budget for FY 2026-27 is $574,238 which represents a -$66,129 or -10.3% decrease from the current budget. The primary reasons for the decreases are due to the following:
A decrease of -$80,000 to cost center # 101-10-4106-3415 (Contract Legal ServicesLabor) is mainly attributed to reduction in administrative investigations. A decrease of -$15,000 to cost center # 101-10-4436-0000 (Recruitment & Retention) is mainly attributed to a decrease in recruitment expenses related to less promotional testing and transfer of pre-employment costs related to public safety to the police department.
An increase of $31,627 to cost center # 596-10-4356-0000 (Workers’ Comp Insurance Premiums) is due to a CPI increased to workers’ compensation excess insurance premiums and an increase to the annual assessment from the Department of Industrial Relations Office of Self-Insurance Plans.
FY 2025-26 FY 2026-27 YOY Budget
YOY
Budget
Description Budget Proposed Diff $$ Diff %%
Personnel 416,734 $ 434,911 $ 18,177 $ 4.4%
Services & Supplies 640,367 574,238 (66,129) -10.3%
Total: 1,057,101 $ 1,009,149 $ (47,952) $ -4.5%
ATTACHMENTS
A. Department Narrative (Purpose, Description, FY 2025-26 Accomplishments, FY 2026-27 Objectives, Operational Dashboard)
B. Department Organizational Chart
C. Department Tie-Out Sheets
DEPARTMENT PURPOSE
The mission of the Human Resources Department mission is to make the City of San Marino an employer of choice by continuously working towards creating a positive and safe workplace environment that attracts, develops, and retains exceptional employees.
DEPARTMENT DESCRIPTION
The Human Resources Department is responsible for the day-to-day administration of a comprehensive personnel system and maintenance of all employee records. The activities of this office include recruitment and selection processes for full-time and part-time employees; administering employee benefits; on-boarding new employees; off-boarding employees; employee relations; overseeing the development, maintenance, and communication of personnel related policies, procedures, rules, and regulation; managing the performance appraisal program; managing the classification and salary plans; and managing labor relations including negotiating employee Memoranda of Understanding (M.O.U.s) with the City’s organized employee associations. An additional office responsibility is overseeing and managing the City’s risk management program including liability, employee workers’ compensation and safety programs.
FISCAL YEAR 2025-26 ACCOMPLISHMENTS
Provided ongoing Workplace Violence Prevention Plan (SB 553) training to staff Provided ongoing safety training for staff
Updated City policies
Revised City contract templates
Pursued reimbursements related to City property damage by third parties Submitted reimbursement claims to CJPIA for Windstorm Damage related costs Continued to work with City departments to develop a plan to address the LossCAP Audit findings
Updated job classifications
Updated Personnel Rules and Regulations
Identified department/staff training needs and developed a training plan Updated information on Employee Intranet
Continued staff training to help reduce workers’ compensation injuries Updated HR Department webpages
Successfully negotiated and updated language to Memorandum(s) of Understanding (MOU)
Worked with various Departments to improve recruitments Completed Request for Proposal for 3rd Party TPA – 457 plan Developed a succession plan due to retirements in various departments
HUMAN RESOURCES DEPARTMENT
FISCAL YEAR 2026-27 OBJECTIVES
Negotiate Memorandums of Understanding (MOU)
Increase recruitment efforts to attract the most qualified candidates Continue to work with City departments to address LossCAP Audit Findings Continue to work with CJPIA to finalize repairs to City facilities related to the Windstorm Update Employee Safety Policies
Review City’s Volunteer Program
Purge Human Resources Records per City policy in coordination with the City Clerk Continue to implement new Employee Performance Evaluations Continue to improve HR Department process and procedures Continue to update City Policies
Pursue reimbursements related to City property damage by third parties Continue staff training to help reduce workers’ compensation injuries Improve the on-boarding and off-boarding process for all City employees Implement Onboard through NEOGOV
Complete Request for Proposal for Employee Benefits Program Evaluate and improve citywide training
Work with departments to increase performance appraisal completion rates
OPERATIONAL DASHBOARD
Description FY 2024-25
Total
FY 2024-25
Year to Date
(July – April)
FY 2025-26
Year to Date
(July – April)
Full-Time Employees
(out of 112 budgeted) 105 108
Part-Time Employees 58 55
Full-Time Position Vacancy
Rate 6.05% 3.6%
Workers' Comp Claims
(average total open per
month)
66 57
Workers' Comp Claims (new) 34 30
Cumulative Workers' Comp
Days Off 672 552
Performance Appraisal
Completion Rate
*Reported July-May
68% 69%
All numbers reported as averages for the reporting time period, except for “Cumulative Worker’s Comp Days Off”
106 106 106 106 106 105 105 106 107 108
112 Budgeted
Positions
60 64
57 60 58 57 54 55 55 55
0 20
40 60
80 100
120
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25
EMPLOYEES AND BUDGETED POSITIONS
Full-Time Employees Budgeted Positions Part-Time Employees 78 70 59 62 63 63 67 67
63 57
5 4 2 5 4 1 4 2 1 2
24 35
43 53 43 48 50 46
75 135
0 20
40 60
80 100
120
140
160
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25
WORKERS' COMPENSATION
Workers' Comp Claims (Total Open) Workers' Comp Claims (New) Cumulative Workers' Comp Days Off
80% 74% 71% 69%
59%
48% 52%
64% 62% 69%
84%
0%
20%
40%
60%
80%
100%
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25
PERFORMANCE APPRAISAL COMPLETION RATE
Human Resources Director
Human Resources Analyst
Human Resources
Department
FY 2023-24 FY 2024-25 FY 2026-27
Actual Actual Budget Estimated Proposed
Full-Time
Human Resources Director 1.00 1.00 1.00 1.00 1.00
Human Resources Analyst - 1.00 1.00 1.00 1.00
Total Full-Time FTE 2.00 1.00 2.00 2.00 2.00
Total Part-Time FTE - - - - -
Department Total FTE 2.00 1.00 2.00 2.00 2.00
Expenditures by Type:
Personnel 298,870 365,123 416,734 371,070 434,911
Services & Supplies 1,343,213 693,860 640,367 543,627 574,238 Total by Type 1,642,083 $ 1,058,982 $ 1,057,101 $ 914,697 $ 1,009,149 $ Expenditures by Fund:
General Fund 584,745 101 773,255 749,219 601,675 669,639 Workers' Compensation Fund 290,784 595 285,257 307,882 313,022 339,510 General Liability Fund 766,554 596 - - - -
Total by Fund 1,642,083 $ 1,058,513 $ 1,057,101 $ 914,697 $ 1,009,149 $ GL # Personnel
101-10-4001-0000 Full Time Salaries 207,897 284,844 323,986 283,438 335,323 101-10-4002-0000 Part Time Wages - - -
101-10-4004-0000 Overtime - - -
101-10-4006-0000 Medicare 2,821 3,922 4,698 4,698 4,862 101-10-4008-3080 Retirement - 457 Plan 1,300 2,429 3,800 3,800 3,600 101-10-4008-6160 Retirement-PERS 55,789 28,949 33,219 28,103 34,347 101-10-4010-0000 Cafeteria Benefit 30,796 44,510 48,631 48,631 54,379 101-10-4013-0000 Auto Allowance 2,400 2,400 2,400
101-10-4016-0000 Retiree Medical Benefits (OPEB) -
101-10-4014-0000 Unemployment Payments 470
595-10-4015-0001 Workers' Comp Current Employee 267 -
595-10-4015-0002 Workers' Comp Past Employee - -
Total Personnel 298,870 $ 365,123 $ 416,734 $ 371,070 $ 434,911 $ GL # Services & Supplies
101-10-4106-3415 Contract Legal Services-Labor 161,647 308,643 200,000 132,000 120,000 101-10-4150-0000 Other Contract Services 43,348 51,862 44,498 42,764 45,496 101-10-4150-0500 Other Contract Services-IT 23,740 13,350 24,226 25,932 21,229 101-10-4376-0000 Materials & Supplies 2,704 3,746 8,950 3,436 8,000 101-10-4396-0000 Memberships & Dues 1,579 1,354 1,485 1,474 1,618 101-10-4398-0000 Mileage - - 200 - 200
HUMAN RESOURCES DEPARTMENT
FY 2025-26
Operating Budget Summary
Operating Budget Detail
Authorized Positions (Full-Time Equivalents)
FY 2023-24 FY 2024-25 FY 2026-27
Actual Actual Budget Estimated Proposed
HUMAN RESOURCES DEPARTMENT
FY 2025-26
101-10-4436-0000 Recruitment & Retention 50,077 22,641 45,000 23,949 30,000 101-10-4468-0000 Staff Development 1,297 2,955 3,625 990 3,685 101-10-4480-0000 Travel & Meetings 1,750 4,051 4,501 60 4,500 595-10-4150-0000 Workers' Comp Contract Services 23,760 23,760 33,760 33,760 33,760 595-10-4356-0000 Workers' Comp Insurance Premiums 266,757 261,497 274,122 279,262 305,750 596-08-4356-3412 Insurance Premiums JPIA 766,554 - - -
Total Services & Supplies 1,343,213 $ 693,860 $ 640,367 $ 543,627 $ 574,238 $ Total Operating Expenditures 1,642,083 $ 1,058,982 $ 1,057,101 $ 914,697 $ 1,009,149 $