City of Stockton Measure A Committee
Observations, Recommendations, Questions
FYE June 30, 2026, City of Stockton Budget
Draft July 18, 2025
The Measure A Committee welcomes the opportunity to offer our observations, recommendations, and questions as part of the City of Stockton’s (City) budget process. We have reviewed the first proposed budget for Measure A funds along with relevant parts of the entire city budget document.
Attached to our report:
1. FYE 2026 budget for Measure A. C-7.
2. June 30, 2024, Measure A preliminary financial report.
3. June 30, 2023, Measure A Schedule of Sources and Uses, from the Annual Comprehensive Financial Report (ACFR) of the City.
4. FYE 2026 budget for the Police Department. D-8, 9.
5. FYE 2026 budget for Measure W. D-13.
6. Stockton Police Officers MOU compensation schedule July 1 2022 to June 30, 2025.
Recall the promise of Measure A was to add 120 officers to our base of 365 sworn officers.
Thus, starting in 2014, the City was to build its sworn officers staff to 485. Unfortunately, the City has fallen dramatically short of those goals.
In some sense, the Measure A financial statements and budgets should show the costs of hiring sworn officers above the 365 base. We need to see the costs of the pure Measure A officers, above the 365 base, vs costs that have been expended to maintain the 365 base.
The budget and financial reports need to provide information that shows the incremental costs, (the “avoidable” costs), of adding a police officer and adding other staff such as employees who serve in the Office of Violence Prevention (OVP). Sunk costs, liabilities such as the long existing unfunded pension liability, need to be separated from the current avoidable costs. The presentation of information on avoidable costs should be part of the entire budget process.
1. We do not understand why the downward trend in Measure A sales tax receipts is greater than the trend for Measure W and general sales tax receipts. In C-7 for Measure A, the decrease in sales tax receipts FYE 23 TO FYE 24 is down 7% ($3.489m), FYE 24 TO 25 down 2.7% ($1.231m), and for our budget year FYE 26 up 1.9% ($872k). The Measure W is negative 5.7% and then has positive increases. The Point of Sale trends have one year 2.9% negative, and all others are positive. See C-4 and D-13. We would expect sales tax receipt trends to be similar, but it seems Measure A tracks lower.
2. The budget should show the amount of the California Department of Tax and Fee Administration (CDTFA) administrative costs withheld before sales tax proceeds are remitted to the City. C-7 and Schedule of Source and Uses in the ACFR do not show the cost, which was $216,490 for FYE 2024. All budget and financial statements of Measure A should show the
ATTACHMENT A
receipt of sales tax at gross consistent with the CDFTA reports, another line should show less the CDTFA administrative cost, with a net amount of Measure A revenue.
3. The modest “audit recovery service” cost paid to HdL should also appear on the budget and financial reports of Measure A. What are the quantified net benefits from these services? The primary expenditures of Measure A funds are divided between police (PD) and OVP. We need information on (1) per capita personnel costs, (2) quantified examples of major expenditures, and (3) outcome metrics. Please explain significant changes (over 25%) in lines items from FYE 2025.
4. Police.
a. Salary and benefits. We need to see how much is salary vs. benefits. We need to know the per capita composition and nature of those costs and the avoidable cost per officer based on current salary and current pension and benefits. b. Police officer salaries per MOU. Attached is the Stockton Police Officers MOU compensation schedule July 1, 2022, to June 30, 2025. In addition, we understand there is a “side Letter” that modifies the effective MOU steps. We need a matrix showing the numbers of officers, classification, and steps, that foot to an amount for police officer salaries with reference to the specific steps in the MOU and “side letter.” Those amounts per the proposed budget C-7 are $19.470m less vacancy $1.711m plus recruitment etc. $11.944m = $29.703m.
c. Benefits. We need to know the composition of benefits e.g., health, pension, etc., Most importantly, quantify benefits related to past liabilities such as unfunded pensions.
The notes in the ACFR state that current pension costs for public safety is 20.52% of wages. The budget document, however, states the cost is 88.00%. B-8. Any pension costs in excess of the 20.52% would seem to be a sunk cost and should not be combined with current employment benefit costs.
d. Other line items, e.g., other services, materials and supplies, vehicles, technology, training. There are dramatic changes from prior year amounts in most of these line items.
e. Please indicate if the budgeted costs arise from direct assignment, allocation, or overhead application, and the method for allocation and overhead application. f. We need to know details and expected expenditure amounts for these categories.
If possible, please list details for subcategories that constitute 10% or more of the main line item. For example, “other services” costs have increased from $3.380m to $4.463m FYE 2023 to our budget year. Please list those other services that constitute $4.46m or more in the budget.
5 OVP.
ATTACHMENT A
a. OVP shows a significant increase in costs FYE 23 $1.1m to FYE 26 budget $1.98m. It would be helpful if we had a compensation document for salaries for OVP like PD, and a matrix showing job classification, step, numbers, that foot to $1.311m listed as budget.
b. Other services. As with PD, detail services over 10%, i.e., over $58,000.
6. Outcome metrics. We have read the material in A-8, A-9, D-1 to D-21. If applicable, please offer any other metrics that would help us understand the use of Measure A funds for PD and OVP.
7. Measure W has built a significant fund surplus. Measure W was initially designed to pay for 45 additional police, but for recent years, it has paid the costs of only 24. Accordingly, it reported an increase in accumulated surplus, and sales tax received over expenditures. Should Measure W assume more of the costs of police?
8. Each year, substantial unexpended Measure A funds are not accounted for except as additions to the General Fund. The current budget document C-7 shows unexpended Measure A funds FYE 23, 24, 25, and 26 budget: $17.848m, $8,011m, $3.304m, and $7,948m. The City has maintained a subfund designation for Measure A: 115. See B-26. It would seem a simple matter to establish a Measure A subfund balance account to capture and report on these funds.
Our Measure A Committee is charged with oversight of all the receipts and all the expenditures of Measure A funds. By seeing the changes in the subfund 115 balance, staff could report on the accumulated expended and unexpended amounts of Measure A Funds.
9. A prior CFO stated Measure A funds were used to purchase the New City Hall. We request an accounting of Measure A funds used and budgeted for the New City Hall and for associated projects, e.g., street and infrastructure. Some costs are reported in the CIP budget.
10. Cost of the City Auditor can be allocated to other funds. K-23. The Committee would welcome working with the City Auditor, once appointed. We would concur with a reasonable allocation of costs to the Measure A fund. We hope the new City Auditor will be qualified, independent, and preferably belong to the Association of Local Government Auditors (ALGA).
ATTACHMENT A
FY 2022-23 2023-24 FY 2024-25 FY 2024-25 FY 2025-26
Adopted
Actual Actual Budget Projected Budget
Revenues
Police
Measure A Transaction and Use Tax 49,703,488 $ $ 46,214,556 $ 47,058,000 $ 44,983,216 $ 45,855,164 Total Revenues 49,703,488 46,214,556 47,058,000 44,983,216 45,855,164 Expenditures (Public Safety Measure B)
Police
Salary & Benefits
Sworn & Non-Sworn 25,783,882 26,443,535 19,068,331 16,781,798 19,469,912 Vacancy Savings - - (1,531,305) - (1,710,758)
Recruitment, Retention, & Wellness - 3,988,998 12,295,709 16,193,751 11,943,895 Other Services 3,379,931 4,678,504 4,590,249 4,157,455 4,463,185 Materials & Supplies - -
Fuel 414,694 421,178 378,960 229,571 354,060
Other Supplies 485,713 822,536 755,825 1,479,303 805,825 Equipment - -
Office Equipment - - - - -
Radios - 29,533 - - -
Vehicles - - - 394,035 -
Other Expenses - -
Techonology Upgrades 14,228 45,378 - 135,000 -
Training 594,470 399,194 601,809 624,257 601,809
Capital Outlay 77,254 - - - -
30,750,171 36,828,856 36,159,578 39,995,170 35,927,928
Office of Violence Prevention
Salary & Benefits
Non-Sworn 774,769 973,097 1,220,264 1,220,264 1,310,989 Other Services 285,543 320,576 328,934 328,934 587,346
Materials & Supplies - -
Fuel 8,078 13,026 33,418 33,418 12,402
Other Supplies 27,036 44,514 45,000 45,000 45,000
Equipment - -
Office Equipment - 3,361 3,379 3,379 3,379
Other Expenses 9,638 20,489 53,500 53,500 20,000
1,105,064 1,375,063 1,684,495 1,684,495 1,979,116
Total Expenditures (Measure B) 31,855,235 $ $ 38,203,919 $ 37,844,073 $ 41,679,665 $ 37,907,044 Measure B expenditures as a %
of annual Measure A revenues 64% 83% 80% 93% 83%
General Fund - 100
Measures A and B
FY 2025-26 Annual Budget
City of Stockton C - 7 FY 2025-26 Proposed
Annual Budget
ATTACHMENT A
General Fund
Measures A and B Summary
FY 2023-24 4th Quarterly Report (Budgetary Basis*)
FY 2022-23
Actual
FY 2023-24
Amended
Budget
4th Quarter
Actual
% of
Budget
Revenue
Measure A Tax 49,703,488 46,338,887 46,214,556 100%
Total Revenue 49,703,488 46,338,887 46,214,556 100%
Expenditures
Police
Salary & Benefits
Sworn 22,471,737 28,762,060 22,965,412 80%
Non-Sworn 3,312,145 4,005,145 3,478,123 87%
Vacancy Savings - (2,149,267) - 0%
Recruitment, Retention, and Wellness - - 3,988,998 -
Other Services 3,379,931 4,745,335 4,678,504 99%
Materials & Supplies
Fuel 414,694 386,396 421,178 109%
Other Supplies 485,713 1,305,510 822,536 63%
Equipment
Radios - - 29,533 -
Technology Upgrades 14,228 - 45,378 -
Other Expenses 594,470 620,000 399,194 64%
Capital Outlay 77,254 - - -
30,750,171 37,675,180 36,828,857 98%
Office of Violence Prevention -
Salary & Benefits
Non-Sworn 774,769 972,327 973,097 100%
Other Services 285,543 321,367 320,576 100%
Materials & Supplies
Fuel 8,078 30,077 13,026 43%
Other Supplies 27,036 45,304 44,514 98%
Equipment
Office Equipment - 3,379 3,361 99%
Other Expenses 9,638 20,000 20,489 102%
1,105,064 1,392,454 1,375,062 99%
Total Measure B Expenditures 31,855,235 39,067,634 38,203,919 94% Measure B expenditures as a % of
year-to-date Measure A revenues 64% 84% 83%
Other City Services
Administration Overhead
CDTFA Admin Cost 291,730 287,000 216,490 75%
Audit Recovery Services (HdL) 25,938 10,000 36% 3,607
General Fund Services & Reserves 17,530,585 6,974,253 7,790,539 112% 17,848,252 7,271,253 8,010,636 110%
Total Expenditures/Uses 49,703,488 46,338,887 46,214,556 100% *Includes funds encumbered for purchases authorized prior to current fiscal year 7 ATTACHMENT A
City of Stockton
Measure A and B Schedule of Sources and Uses
For the Year Ended June 30, 2023
3 Final Budget Year End Actual Variance
Revenues
Measure A Transaction and Use Tax 42,080,000 $ $ 49,703,488 $ 7,623,488 Total Revenues 42,080,000 49,703,488 7,623,488
Uses/Expenditures
Police
Salary & Benefits
Sworn 24,965,558 22,471,737 2,493,821
Non-Sworn 3,892,835 3,312,145 580,690
Vacancy Savings (1,696,203) - (1,696,203)
Other Services 3,496,480 3,379,931 116,549
Materials & Supplies -
Fuel 346,141 414,694 (68,553)
Other Supplies 1,132,271 510,188 622,083
Other Expenses
Training 595,000 584,222 10,778
Capital outlay 277,254 77,254 200,000
33,009,336 30,750,171 2,259,165
Office of Violence Prevention
Salary & Benefits
Non-Sworn 926,130 774,769 151,361
Other Services 317,033 285,544 31,489
Fuel 7,750 8,078 (328)
Other Supplies 36,553 27,036 9,517
Office Equipment 3,979 - 3,979
Other Expenses 20,000 9,638 10,362
1,311,445 1,105,065 206,380
Basic Adjustment
Encumbrances (included in Final Budget) - 199,163 (199,163) Total Measure B Expenditures 34,320,781 32,054,399 2,266,382 Crime Prevention (Measure B) expenditures
as a % of annual Measure A revenues 82% 64%
Other City Services
General Fund Available Fund Balance 7,759,219 17,649,089 (9,889,870) Total Uses/Expenditures $ 42,080,000 $ 49,703,488 $ (7,623,488)
ATTACHMENT A
Police Department
FY 2025-26 Annual Budget
General Fund Measure Asset State
W Seizure COPS
100 200 260 260
See Page D-10 See Page D-13 See Page D-15 See Page D-17 Revenues
Taxes $ - $ 8,257,500 $ - $ -
Grants - - - 900,000
Program Revenue 7,359,914 - 3,000 -
Other Revenue - - - -
7,359,914 8,257,500 3,000 900,000
Expenditures
Salary & Benefits 143,694,709 7,092,463 - 244,749
Services & Supplies 41,020,694 1,261,673 181,210 1,041,320 Administration Overhead - 148,506 - -
Capital Outlay 20,000 - - -
184,735,403 8,502,642 181,210 1,286,069
-
Transfers
Transfer In - - - -
Transfer Out - - - -
- - - -
Net Annual Activity $ (177,375,489) $ (245,142) $ (178,210) $ (386,069) City of Stockton D - 8 FY 2025-26 Proposed
Annual Budget
ATTACHMENT A
Police Department, Continued
FY 2025-26 Annual Budget
Special Special
Revenue Grants Police
260 280 Total
See Page D-19 See Page D-21
Revenues
$ - $ - $ 8,257,500
Grants - - 900,000
Program Revenue 7,362,914
Other Revenue 4,868,831 - 4,868,831
4,868,831 - 21,389,245
Expenditures
Salary & Benefits - - 151,031,921
Services & Supplies 1,260,675 - 44,765,572
Administration Overhead - - 148,506
Capital Outlay - - 20,000
1,260,675 - 195,965,999
Transfers
Transfer In - - -
Transfer Out - - -
- - -
Net Annual Activity $ 3,608,156 $ - $ (174,576,754)
Revenues 21,389,245 $
Transfers -
Total Sources 21,389,245 $
Expenditures 195,965,999 $
Transfers -
Total Appropriations 195,965,999 $
City of Stockton D - 9 FY 2025-26 Proposed
Annual Budget
ATTACHMENT A
FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26
Actual Actual Projected Budget
Beginning Available Balance $ 9,973,679 $ 12,914,043 $ 13,241,813 $ 13,077,768 Revenues
Police
Measure W Sales Tax 8,160,741 7,703,437 8,023,000 8,257,500 Investment Proceeds 92,458 213,572 - -
8,253,199 7,917,009 8,023,000 8,257,500
Fire
Measure W Sales Tax 8,171,918 7,703,437 8,023,000 8,257,500 Investment Proceeds 77,595 183,972 - -
8,249,513 7,887,409 8,023,000 8,257,500
16,502,712 15,804,418 16,046,000 16,515,000
Expenditures
Police
Salary & Benefits 5,898,708 6,593,294 6,750,435 7,092,463 Services & Supplies 930,705 1,060,075 1,165,445 1,261,673 Administration 146,343 107,729 23,506 148,506
6,975,756 7,761,098 7,939,386 8,502,642
Fire
Salary & Benefits 5,834,924 6,592,897 7,100,505 7,410,159 Services & Supplies 495,352 813,355 960,596 963,085
Administration 145,833 107,729 129,280 147,000
Equipment & Maintenance 110,483 201,571 80,278 10,000
6,586,592 7,715,552 8,270,659 8,530,244
13,562,348 15,476,650 16,210,045 17,032,886
Transfers
Transfer In - - - -
Transfer Out - - - -
- - - -
Net Annual Activity
Police 1,277,443 155,911 83,614 (245,142)
Fire 1,662,921 171,859 (247,659) (272,744)
2,940,364 327,770 (164,045) (517,886)
Ending Available Balance $ 12,914,043 $ 13,241,813 $ 13,077,768 $ 12,559,882 Available Balance Calculation
Current assets $ 13,926,758
Current liabilities (684,945)
Program Commitments -
Ending Available Balance $ 13,241,813
(a) The portion of Measure W Fund - 200 relating to Fire is also presented in Fire on page E-17.
Police and Fire Departments
Measure W - 200 (a)
FY 2025-26 Annual Budget
City of Stockton D - 13 FY 2025-26 Proposed
Annual Budget
ATTACHMENT A
ATTACHMENT B
EXHIBIT 5
STOCKTON POLICE OFFICERS ASSOCIATION (SPOA) SUCCESSOR MOU TERM: July 1, 2022 -June 30, 2025
APPENDIX A. COLA AND MARKET ADJUSTMENTS
Year 1· Effective 7/1/22;
Year 2- Effective 7 /1/23;
Ven 3- Effective 7 /1/24
Ste
1 2 3 4 s 6
Poke Officer 6,055.40 6,366.58 6,694.48 7,037.52 7,400.36 7,779.88 COLA and MA vear 1 (9.8'4) 593,44 623.92 6S6.06 689,68 725.24 762.44 Year l-Monthly Salary 6,648.84 6,990.SO 7,350.54 7,727.20 8,125.60 8,542.32 COLA and MA year 2 (4") 265,96 279.62 294,02 309.08 325.04 341.68 Year 2 - M011thly Salarv 6,914.80 7,270.12 7,644.56 8,036.28 8,450.64 8,884,00 COLA •nd MA year 3 (4") 276.60 290,82 905.78 321.46 338.02 355.36 Year 3 • Monthly Salary 7,191.40 7,560.94 7,950.34 8,357,74 8,788.66 9,239.36 Poke Officer Recruit S,134,74
COlA and MA year 1 (!1.8") 503,22
Year l • Monthly SallfY 5,637.96
COIA and MA year 2 (4") 225,51
Year 2 • MOl'lthly Salary 5,863.46
COLA and MA year 3 (4") 2$4.56
Year 3 • Monthly Salary 6,098.02
Pollce Officer Trainee 5,134.74
COtA and MA year 1 (9.87') 503.22
Year 1 • Monthly Salary 5,637,96
COIA and MA veer 2 (4") 225,51
Year 2- Monthly Salary 5,863.46
COLA and MA year 3 (4") 234.56
Year 3 - Monthly Salary 6,098.02
Police serceant 7,159.02 7,527.88 7,913.48 1,320.32 8,748 . .0 9,197.74 COi.A and MA year 1 (9,8") 701.56 737.74 775.52 815.40 857,34 90U8 Year 1 • Monthly Salary 7,860.58 8,265.62 8,689.00 . 9,135.72 9,605.74 10,099.12 COIA and MA year 2 (4%) 314,42 330.62 :14756 365.42 38-4,22 403.96 Year 2 - Monthly Salary 8,175.00 8,596.24 9,0l6.56 9,501.14 9,989.96 10,503,08 COLA and MA ya.- 3 14"1 327,02 343.86 361M 380,06 399,60 420.14 Year 3 - Monthly Salary 8,502.02 8,940.10 9,398.02 9,881.20 10,389,$6 10,923.22 CITY OF STOCKTON 68
30 ATTACHMENT A
POLICE MANAGEMENT UNIT SUCCESSOR MOU
TERM: July 1, 2022 - June 30, 2025
APPENDIX A. COLA AND MARKET ADJUSTMENTS
Year 1-Effectlve 7/1/22;
Year 2· Effective 7/1/23;
Year 3"' Effective 7/1/2-4
Ste s
2 3 4 5
Police Captain 11,314.50 11,893.82 12,503.18 13,144.00 13,817.72 COLA aod MA year 1 (10%) 1,131.46 1,189.38 1,250.30 1,314.40 1,381.78 Year 1 - Monthly Salary 12,445.96 13,083.20 13,753.48 14,458.40 15,199.50 COLA and MA year 2 (4%) 497.84 523.34 550.16 578,32 607.96 Year 2 - Monlliy Salary 12,943.80 13,606.54 14,303.84 15,036.72 15,807.46 COLA and MA year 3 (4%) 517.74 544.24 572.14 601.48 632,30 Year 3 - Monthly Salary 13,461.54 14, 150,78 14,876.78 15,638.20 16,439.76 Police Lieutenant 9,806.86 10,310.34 10,838.18 11,393.18 11,976,78 COLA and MA year 1 (10%) 980.70 1,031.06 1,083.84 1,139.32 1,197.68 Year 1 - Monthly Salary 10,787.56 11,341.40 11,922.02 12,532.50 13,174.46 COLA and MA year 2 (4%) 431.50 463.64 476.86 601.30 526.98 Year 2 - Monthly Salary 11,219.06 11,795,04 12,398.88 13,033.80 13,701.44 COLA and MA year 3 (4o/o) 448.76 471.80 495.96 621.36 548,04 Year 3 • Monthly Salary 11,667.82 12,266.84 12,894.84 13,565.16 14,249.48
CITY OF STOCKTON
ATTACHMENT B
EXHIBIT 5
6 14,524.34
1,452.42
15,976.76
639.08
16,615.84
664.64
17,280.48
12,590.42
1,259.04
13,849.46
553.98
14,403.44
576,14
14,979.58
43 31
ATTACHMENT A