City Council – June 23, 2026
Budget Adoption for the FY 2026-27 Budget and
FY 2026-28 Biennial Capital Improvement Program
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
Recommended Action
1. Adopt a Resolution adopting the FY 2026-27 Operating Budget (Action 1) 2 Revenues Operating
Expenditures Staffing
FY 2026-27:
~$31 million
FY 2026-27:
~$31 million
FY 2026-27:
16.0 Permanent FTE
Tonight’s Action - Housing Authority Board
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
• FY 2026-27 Operating Budget
• FY 2026-28 Biennial Capital Improvement Program
Budget – and adjustments
• Aquatics Fees
• Recommended Actions
Agenda – FY 2026-27 Budget Adoption Hearing
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
FY 2025-27
Operating Budget
The Biennial Budget
Adopt Year 2: FY 2026-27
4 FY 2026-28
Capital Budget
Adopt Year 1: FY 2026-27
• Approve Year 2: FY 2027-28
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
The Budget is the result of collaboration between the community, City Departments led by the City Manager’s Office, and the City Council June 2025
Public Hearing and
Adoption of the 1st
year of the Biennial
Budget and 2nd year
of the Biennial CIP
Budget
October 2025
Santa Monica
Realignment Plan
March 2026
Santa Monica
Realignment Plan
Update
May 26, 2026
Proposed FY 2026-27
Operating Budget and
FY 2026-28 Biennial CIP
Budget presented to
City Council
June 23, 2026
Public Hearing and
Adoption of the 2nd
year of the Biennial
Budget and 1st year of
the Biennial CIP Budget
Santa Monica's Budget Process
March 2025
Council Priority
Setting for the FY
2025-27 Biennial
Budget
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
$110.4 $19.9
$798.4
$525.2
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
Citywide* General Fund
(in millions)
Operating
Capital
Citywide Expenditures - $908.8 million*
• Operating $ 798.4
• CIP $110.4
• Total FTEs = 2,287.6
General Fund - $545.1 million
• Operating $525.2
• CIP $19.9
• Total FTEs = 1,500.9
*Citywide expenditures are net of reimbursements and transfers between funds $908.8
$545.1
FY 2026-27 Citywide Budget
Budget represents a major reset of the City’s capital program that launches long-deferred investments from Memorial Park to Pier and major-event infrastructure, facility renewals, parks improvements, mobility and Vision Zero projects, and upgrades at the Annenberg Community Beach House.
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
CIP Final Changes – Other Funds
Three CIP Adjustments
1) Santa Monica Neighborhood Greenway Project advanced
into FY 2026-27
• Consistent with Council direction, the project has been advanced from FY 2027 28 into FY 2026 27, along with its associated grant funding 2) Acceleration of 4th Street Transit Priority Improvements • In support transit efficiency and reliability ahead of LA28 3) Funding refinement for AHSC-supported project in FY2027-28 • To reflect updated schedule and a refined distribution of costs Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
Aquatics Fees
Fee increases are equitable and prioritize youth and residents • Aquatics fees have not increased since 2021, and similar adjustments are proposed across most Aquatics programs and other RAD services
• Over 90% of current permitted aquatics groups pay the Santa Monica Based Non-Profit Rates (proposed $6.50 youth and $12 adults)
Santa Monica rates are comparable to other nearby cities • Few agencies offer swim lane rentals to permit groups. Santa Monica's lane rental rates, even with the proposed increases, remain below nearby cities that offer this service, including the cities of Torrance, El Segundo, and the general poool lane rentals in City of Long Beach.
• For most adult swim lane permit groups, the proposed increase (approx. $1 per lane hour) results in a nominal increase per swimmer since lanes are typically shared by 4-6 swimmers Per Lane, Per Hour Current Fee Proposed Fee Fee Increase % Increase Projected Total Revenue Impact
Aquatics Permit – Youth (SM) $6.00 Short
$12.00 Long
$6.50 Short
$13.00 Long
$0.50
$1.00 8% $16,563
Aquatics Permit – Adult (SM) $11.00 Short
$22.00 Long
$12.00 Short
$24.00 Long
$1.00
$2.00 9% $11,994
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026
Recommended Actions (4 Motions)
City Council and Parking Authority: Resolutions
1 - Adopting the FY 2026-27 Operating Budget, and Adopting the first year and Approving the second year of the FY 2026-28 Biennial Capital Improvement Program (CIP) Budget (Actions 2 and 3) City Council: Annual Resolutions, Policy Update, CEQA Findings 2 - Adopting Annual Resolutions (Actions 4-9)
3 – Authorizing amendment to City’s Fiscal Policies (Action 10) 4 – Adopting CEQA findings (Action 11)
Item 12-A
June 23, 2026
Item 12-A
June 23, 2026