Agenda packet, special meeting — Union City City Council, May 27, 2025

NOTICE AND AGENDA

CITYOF UNION CITY
GARYSINGH, Mayor
SCOTT SAKAKIHARA, Vice Mayor (District 4)
LANCE NISHIHIRA, Councilmember (District 1)
JAIME PATIÑO,Councilmember (District 2)
JEFF WANG, Councilmember (District 3)

CITYCOUNCIL

SPECIAL MEETING
Tuesday, May 27, 2025
5:00 PM
CityCouncil Chambers | 34009Alvarado-Niles Road, Union City, CA94587 -
NOTICE OF PARTICIPATION:

Councilmember Wang will participate in the meeting via teleconference fromthe site listed below. The meeting agenda will be posted on the teleconference site, which is accessible to the public.Anyone wishing to address the Council fromthe teleconference site will be provided with an opportunityto do so.

Location:

Renaissance Nanjing (Lobby)
Olympic Centre
139Aoti Street, Jianye District, Nanjing, Jiangsu, China 210019

1. CALL TO ORDER

2. ROLL CALL

3. ORAL COMMUNICATIONS - Comments limited to items on the Special MeetingAgenda

4. STUDYSESSION

4.a. Overview of Other City Funds (Non-General Fund & Non-CIP Funds)

5. ADJOURNMENT
/s/ Thai Nam Pham
Thai Nam Pham, MMC, CPMC
City Clerk

MEETING INFORMATION
Regular City Council meetings are held in person on the second and fourth Tuesday of each month at 7:00 p.m. in the Council Chambers, City Hall, 34009 Alvarado-Niles Road, Union City, CA 94587.

Meetings can also be observed via Zoom: http://citycouncil-live.unioncity.org Meetings are broadcast live on UCTV Channel 15 and live-streamed on the City's website:
https://www.unioncity.org/199/City-Meetings-Video.

Public Comment: Members of the public cannot provide comments via Zoom unless specifically permitted, as detailed below. Remote access is subject to technical availability. If the Zoom platform or other technology fails, the City Council will proceed with the meeting in person unless prohibited by law.

Public Records: Documents related to agenda items are available for review on the City's website (https://www.unioncity.org) or during business hours at the City Clerk's Office, 34009 Alvarado-Niles Road, Union City, CA 94587.

Accessibility: If you require special assistance to participate in the meeting, please contact the City Clerk's Office at (510) 675-5448 at least 72 hours before the meeting. Closed captioning is available for all regular City Council meetings.

ADDRESSING THE CITY COUNCIL
In-Person Public Comment:

Members of the public may address the Council on any agenda item or during the Public Input portion of the meeting.

To speak, please fill out a speaker card with your name and city of residence. If you would like a follow-up from the City, you may also provide your mailing address. Completing a speaker card and providing your name, city, or mailing address are not required to make a public comment but are requested for record-keeping purposes.

Written Comment:

To submit written comments on an agenda item or during Public Comment, please email:
[email protected]. Include "public comment" in the subject line and reference the agenda item number.

Written comments will be forwarded to the City Council and made publicly available.

Public Comment via Zoom:

As noted above, the public may not address the Council via Zoom unless required byAB 2449. If the City is required to provide this opportunity, the Mayor will announce it at the beginning of the meeting. If allowed, raise your virtual hand on Zoom to indicate that you would like to speak on a specific agenda item.

CITY COUNCIL NORMS AND GUIDELINES
(Resolution No. 6129-23;Adopted May 23, 2023)
The Union City Council abides by the following norms:

1. We conduct ourselves in a professional manner, treat everyone with respect, and act with high integrity, always putting the interests of the City of Union City ahead of self-interests in accordance with our code of ethics.

2. We respect the Council-Manager form of government, and do not interfere with the City Manager's role or any professional duties of City staff.

3. We recognize that matters of confidential nature are to be kept private and undisclosed.

4. We respect each other's opinions and are supportive of each other's work advocating for the City, and we ensure that all voices are heard. We do not criticize others for having a different point of view, and we agree to disagree respectfully.

5. We understand that the City Council acts as a body, all members are equal, and policy direction is only given by a majority vote of the City Council. Once a decision is made, all members of the City Council must respect the City Council's direction.

6. We will be prepared for City Council meetings and ask our questions of the City Manager in advance so we can avoid surprising City staff at meetings.

7. We do not criticize City staff publicly or to others and will refrain from directing them. Instead, we will take our concerns and questions privately to the City Manager.

8. We will govern on an at-large basis, although elected by districts. We will maintain a citywide perspective and consider the needs and interests of the entire community.

9. We will continue to allocate resources based on long-term strategic priorities and efforts, with consideration of citywide service levels and financial capacity.

10. We understand customer service is the priority and each member of the City Council will help constituents regardless of the district in which they reside or from which a Councilmember themselves is elected.

11. We recognize the significant importance of attendance and participation at City Council meetings in proceeding with City business. All members of the City Council should endeavor to miss no more than two regular meetings per calendar year absent extraordinary circumstances. Members of the City Council should, absent unforeseen circumstances, provide a minimum of sixty days' notice to the City Council of planned absences during the Good of the Order or Items Referred by Council portion of the City Council agenda, as appropriate.

May these Council Norms be administered and enforced in the following manner:

1. Councilmembers have the primary responsibility to assure that ethical standards are understood and met by the Council, and that the public can continue to have full confidence in the integrity of government.

2. The Mayor and the Council have the responsibility to intervene when action of its members are in violation of Council Norms.

3. The City Council can review and revise the Council Norms as needed.

4. During City Council discussions, deliberations, and proceedings, the Mayor is designated with the primary responsibility to ensure that Councilmembers adhere to the Council Norms.

CERTIFICATION OF MEETING NOTICE AND AGENDAPOSTING
This notice and agenda were posted on the City's website and the City Hall bulletin board at least 24 hours prior to the meeting date, in compliance with the Ralph M. BrownAct. /s/Thai Nam Pham, MMC, CPMC
City Clerk/Secretary to the City of Union City Successor Agency Agenda Item
Agenda Item
DATE: 5/27/2025
TO: HONORABLE MAYOR AND CITYCOUNCIL
FROM: JOAN MALLOY, CITYMANAGER
SUBJECT: OVERVIEWOFOTHER CITYFUNDS (NON-GENERALFUND & NON-CIP FUNDS)

BACKGROUND

DISCUSSION

FISCALIMPACT

RECOMMENDATION
Prepared by:

JackieAcosta, Finance Director Chu Thai,AccountingManager Submitted by:

JackieAcosta, Finance Director
ATTACHMENTS:

Description Type
Staff Report Staff Report
PowerPoint Presentation Attachment
Agenda Item
DATE: 5/27/2025
TO: HONORABLE MAYOR AND CITY COUNCIL
FROM: JOAN MALLOY, CITY MANAGER
SUBJECT: STUDY SESSION #3 – OVERVIEW OF OTHER CITY FUNDS (NONGENERAL FUND & NON-CIP FUNDS)

EXECUTIVE SUMMARY
At this third study session on the FY 2025-2026 & FY 2026-2027 Biennial Budget, staff will present information on some of the other funds the City uses to account for various other types of funding received that is either restricted as to use (Special Revenue Funds), held on behalf of or for the benefit of others (Fiduciary/Agency Funds), set aside to pay for the debt service on City-issued bonds (Debt Service Funds), or set aside to account for services provided by one department or agency to another department or agency (Internal Service Funds).

STRATEGIC PLAN
This staff report aligns with Goal A – Financial Stability and Sustainability: Foster fiscal health through disciplined long-term planning, cost control, heightened efficiency, increased revenue and cost recovery.

BACKGROUND
The City of Union City is on a biennial budget cycle and staff is currently, and has been for the past few months, working on the proposed FY 2025-2026 & FY 2026-2027 budget, as well as an update to the 5-Year Capital Improvement Program (CIP) budget. There are over 60 funds that the City uses to account for its various revenues and expenditures. The largest fund is the General Fund, the City’s main operating fund that accounts for the many sources of general revenues that the City receives to support the day-to-day operations of the City. However, there are 60+ other funds that account for various other revenues which are restricted as to use or accounted for separately. Many of these funds are related to monies received for the purpose of funding capital improvement projects. Those funds will be presented at a future meeting when the proposed 5-Year CIP is presented. This report will provide information on some of the other funds that are not CIP-related.

Staff has spent a significant amount of time this budget cycle looking at the various funds to ensure that they are being used in the most effective and efficient way to properly account for all City transactions in accordance with GAAP (Generally-Accepted Accounting Principles). This has taken quite a bit of time and there are some funds that staff is still analyzing and will present information on at future budget study sessions.

DISCUSSION

SPECIAL REVENUE FUNDS
PEG Cable TV Fund (Fund 206) - The Public, Education & Governmental (PEG) Cable TV Fund accounts for those funds collected by agreement from cable providers within Union City. These funds can only be utilized for purposes related to the transmission of various City meetings and events on Cable TV. The City currently receives PEG fees from Comcast and DIRECTV. Annual PEG revenues are anticipated to be $83,700 and $86,200, respectively, for the next two years. PEG funds are managed by the Information Technology Services (ITS) Department and will be used for Council Chamber AV support, PEG bulletins and displays, the video portion cost of the OneMeeting software and audio and video equipment upgrades. This fund has a healthy fund balance that can be used for PEG-related costs and equipment, including major upgrades to AV technology, if and when needed.

INTERNAL SERVICE FUNDS
Workers’ Comp Self-Insurance Fund (Fund 611) - The Workers’ Comp Self-Insurance Fund accounts for the cost of the workers’ compensation insurance premium, as well as disbursements for medical and legal expenditures related to benefit claims for those employees that qualify to receive such benefits. The City is self-insured for Workers’ Compensation through the Bay Cities Joint Powers Insurance Authority (BCJPIA), a risk pool made up of several cities and special districts in the Bay Area. Claims review and processing is handled for the City by an independent third-party claims’ administrator. The City’s self-insured retention (deductible) for Workers’ Compensation is $250,000 per claim. As mentioned in a prior budget study session, staff is recommending in this upcoming biennial budget, as a General Fund budget balancing strategy, to reduce the annual transfers to the Workers’ Compensation Fund and instead rely more heavily on the accumulated fund balance in this fund for the next two years. This is only proposed as a temporary strategy while the City continues to work on resolving the long-term structural deficit.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$11,704,037 $448,846 $1,600,280 $10,552,603 $926,335 $1,649,324 $9,829,614 General Liability Self-Insurance Fund (Fund 614) - The General Liability Self-Insurance Fund accounts for the cost of liability insurance premiums, as well as disbursements for general liability claims and settlements. The City is self-insured for General Liability through the Bay Cities Joint Powers Insurance Authority (BCJPIA), a risk pool made up of several cities and special districts in the Bay Area. Claims review and processing is handled for the City by an independent third-party claims’ administrator. The City’s self-insured retention (deductible) for General Liability is $250,000 per claim.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$1,388,939 $2,625,000 $2,624,725 $1,389,214 $3,017,000 $2,742,711 $1,663,503 Fleet Operations Fund (Fund 612) – The Fleet Operations Fund accounts for the costs of operating the City’s fleet division. Fleet operations costs include the salaries and benefits for the 3.2 FTE that work in that division, plus supplies, equipment, tools, parts, service contracts, etc. The funding to pay for fleet operations comes from internal service charges to the various departments that have vehicles.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$266,359 $1,498,603 $1,439,540 $325,422 $1,498,603 $1,467,799 $356,226 Fleet Replacement Fund (Fund 613) – The Fleet Replacement Fund accounts for the monies being set aside to fund the ongoing replacement of city vehicles. No staff are charged to the Fleet Replacement Fund; the only costs in this fund are for replacement costs and lease payments for the 10 leased Police Department vehicles. The funding to pay for fleet replacement costs comes from internal service charges to the various departments with City vehicles based on a newly-created master fleet spreadsheet that calculates needed replacement costs for each vehicle based on replacement cost, expected years of service, and other pertinent factors.

AGENCY FUNDS
POA Retiree Medical Fund (Fund 700) – The Police Officers’ Association (POA) Retiree Medical Fund accounts for funds used to pay for the annual retiree medical benefits of POA retirees. The City currently funds about 83.7%, or $924,000, of the $1,104,000 annual cost from General Fund operating revenues. The remaining 16.3%, or $180,000, of funding comes from a contribution of 1.5% of salary of current POA employees and $60.00 per pay period from current Police Managers’ Association (PMA) employees.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$5,330 $1,110,000 $1,104,000 $11,330 $1,164,000 $1,153,800 $21,530 Non-POA Retiree Medical Fund (Fund 701) – The Non-POA Retiree Medical Fund accounts for funds used to pay for the annual retiree medical benefits of Non-POA retirees. The City currently funds 100% of the $29,520 annual cost from General Fund operating revenues. There are currently only a few Non-POA retirees receiving retiree medical benefits and since this benefit is no longer available to miscellaneous employees, the number of miscellaneous retirees receiving this benefit will not increase in the future.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$22,858 $35,000 $29,520 $28,338 $36,000 $30,564 $33,774 OPEB Section 115 Trust Fund (Fund 702) – The Other Post-Employment Benefits (OPEB) Section 115 Trust Fund accounts for monies held by the City in an irrevocable trust for the purpose of funding the post-retirement healthcare benefits of current retirees and City employees that will be eligible for this benefit upon retirement. Currently, the City pays for most of the annual retiree medical benefits with General Fund operating revenues, with a small contribution coming from current POA and PMA employees. Should the annual cost of retiree medical benefits ever increase beyond what the City can pay for from General Fund operating revenues, the City has these funds in the Section 115 Trust that it could draw upon to fund benefits.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$17,634,106 $1,500,000 $61,000 $19,073,106 $1,545,000 $62,830 $20,555,276 Pension Section 115 Trust Fund (Fund 703) – The Pension Section 115 Trust Fund accounts for monies held by the City in an irrevocable trust for the purpose of pre-funding pension benefits.

Currently, the City pays for the annual cost of pension benefits and the payments towards the City’s unfunded actuarial liability (UAL) with General Fund and other funds’ operating revenues. Should the annual cost of pension benefits and UAL ever increase beyond what the City can pay for from operating revenues, the City has these funds in the Section 115 Trust that it could draw upon to fund those costs.

DEBT SERVICE FUNDS
Pension Obligation Bonds (POB) Fund (Fund 331) – The Pension Obligation Bonds Fund accounts for the principal and interest payments on the Pension Obligation Bonds that were issued in 2004 to pay for the CalPERS unfunded actuarial liability at that time. These bonds will be fully paid off as of July 1, 2026.

Beginning
Fund Balance
July 1, 2025
FY 2025-2026
Revenues
FY 2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
FY 2026-2027
Revenues
FY 2026-2027
Expenditures
Ending Fund
Balance
June 30, 2027
$5,443,257 $716,983 $3,017,580 $3,142,660 $0 $3,142,660 $0 Community Facilities District No. 97-1 (Dyer Street Triangle) Bond Fund (Fund 333) – The Community Facilities District No. 97-1 (Dyer Street Triangle) Fund accounts for the principal and interest payments on these CFD bonds that were originally issued in 1997 and refunded in July 2013.

The funds to pay these debt service payments comes to the City through a special property tax assessment levied on the Union Landing property owners. These bonds will be fully paid off as of March 1, 2029. As background information, this CFD was originally formed to provide financing for public infrastructure improvements and other public improvements necessitated by the development of the Union Landing Shopping Center.

REMAINING FUNDS
There are several other Non-General Fund and Non-CIP funds that staff will present at future budget study sessions, including the CIP Funds, PD Funds, CRS Funds, Transit Funds, etc. Some of these funds are primarily “pass-through” funds that merely account for monies coming in from grants to pay for specific programs or from special property tax assessments to pay a portion of the Alameda County Fire Department (ACFD) fire services contract or for maintenance of Community Facilities Districts (CFDs). The Youth & Family Services Fund is a fund that accounts for several grants from the Alameda County Probation Department and the Alameda County Public Health Department. These grants fund the Delinquency Prevention Network programs, the Suicide Prevention program and the Positive Youth Development program. Another one of these other funds is the Union Landing Property & Business Improvement District (PBID) Fund which is controlled by the Union Landing Property Owners Association (ULPOA). This fund’s budget will be presented to the City Council through the annual PBID process managed by the Economic & Community Development (ECD) Department. Another two funds that have their budgets presented through a separate process are the Community Development Block Grant (CDBG) Fund and the HOME Investment Partnership (HOME) Fund. These funds account for federal monies provided to the City for non-profit support, capital projects, first-time homebuyer and/or rental assistance programs, or rehabilitation projects, plus some funding for staff administration. These funds will be reviewed by the City Council when ECD presents the CDBG/HOME annual action plan.

A listing of these other funds, not including the 20 CIP Funds, is provided below:
• Solid Waste Assessment Fund (Fund 203)
• Recycling & Waste Management Fund (Fund 204)
• Beverage Container Recycling Fund (Fund 208)
• SB 1383 CalRecycle Grant Fund (Fund 209)
• Measure D Waste Reduction & Recycling Fund (Fund 210) • Supplemental Law Enforcement Services Fund (SLESF) (Fund 211) • Asset Forfeiture Fund (Fund 213)
• Office of Traffic Safety Fund (Fund 214)
• Police Department Miscellaneous Grants Fund (Fund 219) • CUPA Enforcement Fund (Fund 222)
• EMS Enhancement Fund (Fund 223)
• Union Landing PBID Fund (Fund 226)
• Community Development Block Grant (CDBG) Fund (Fund 231) • HOME Investment Partnership Fund (Fund 232)
• Affordable Housing In-Lieu Fund (Fund 233)
• Rent Mediation/Eviction Protection Fund (Fund 234)
• Affordable Housing Impact Fee Fund (Fund 235)
• Permanent Local Housing Allocation (PLHA) Fund (Fund 236) • Community & Recreation Services (CRS) Fund (Fund 241) • Youth & Family Services (YFS) Fund (Fund 244)
• National Opioid Settlement Fund (Fund 245)
• Homeless Housing, Assistance & Prevention (HHAP) Grant Fund (Fund 246) • Cannabis Community Benefits Fund (Fund 248)
• Clean Water Fund (Fund 258)
• CRS Grants & Donations Fund (Fund 259)
• Used Oil Block Grant Fund (Fund 263)
• CFD 2005-1 Fund (Fund 280)
• CFD 2006-1 Fund (Fund 281)
• Landscape & Lighting Assessment District (LLAD) Fund (Fund 282) • 511 Zone Assessment District Fund (Fund 283)
• Brookstone Assessment District Fund (Fund 284)
• Transit Fund (Fund 511)
• Paratransit Fund (Fund 512)
• Corporate Yard Fuel Facility & Maintenance Fund (Fund 521)

FISCAL IMPACT
None.

RECOMMENDATION
Staff recommends that the City Council hear a presentation from staff on other City funds (non-General Fund and non-CIP Funds) and provide staff with any guidance, direction or priorities that the City Council deems appropriate.

Prepared by
Jackie Acosta, Finance Director
Chu Thai, Accounting Manager
Submitted by
Jackie Acosta, Finance Director
Attachments
Description: Type:

Overview of Other City Funds (Non-General Fund & Non-CIP Funds) May 27, 2025 City Council Special Meeting
2 Overview of Other City Funds
PEG Cable TV Fund
• The Public, Education & Government (PEG) Cable TV Fund accounts for funds collected by agreement from cable providers within Union City.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$495,228 $83,700 $58,361 $520,567 $86,200 $53,979 $552,788 3 Overview of Other City Funds
Workers’ Comp Self-Insurance Fund
• This fund accounts for the cost of the workers’ compensation insurance premium, as well as disbursements for medical and legal expenditures related to benefit claims of eligible employees.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$11,704,037 $448,846 $1,600,280 $10,552,603 $926,335 $1,649,324 $9,829,614 4 Overview of Other City Funds
General Liability Self-Insurance Fund
• This fund accounts for the cost of liability insurance premiums, as well as disbursements for general liability claims and settlements.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$1,388,939 $2,625,000 $2,624,725 $1,389,214 $3,017,000 $2,742,711 $1,663,503 5 Overview of Other City Funds
Fleet Operations Fund
• Accounts for the cost of operating the City’s fleet division. Costs include salaries & benefits for 3.2 FTE, supplies, parts, service contracts, etc. Funding comes from charges to City departments.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$266,359 $1,498,603 $1,439,540 $325,422 $1,498,603 $1,467,799 $356,226 6 Overview of Other City Funds
Fleet Replacement Fund
• This fund accounts for the monies being set aside to fund the ongoing replacement of City vehicles and for the monthly lease payments for the 10 leased Police Department vehicles.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$1,027,906 $682,660 $642,555 $1,068,011 $682,660 $643,076 $1,107,595 7 Overview of Other City Funds
POA Retiree Medical Fund
• This fund accounts for funds used to pay for the retiree medical benefits of POA & PMA retirees. The City pays about 84% of the cost and current POA & PMA employees contribute 16% of the cost.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$5,330 $1,110,000 $1,104,000 $11,330 $1,164,000 $1,153,800 $21,530 8 Overview of Other City Funds
Non-POA Retiree Medical Fund
• This fund accounts for funds used to pay for the retiree medical benefits of Non-POA & Non-PMA retirees. The City funds 100% of the cost of this benefit.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$22,858 $35,000 $29,520 $28,338 $36,000 $30,564 $33,774 9 Overview of Other City Funds
OPEB Section 115 Trust Fund
• This fund accounts for monies set aside in an irrevocable Section 115 Trust to fund retiree medical benefits. Currently, the City is paying the annual costs from our operating budget but has these funds set aside and available should the annual cost exceed what can be funded with operating revenues.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$17,634,106 $1,500,000 $61,000 $19,073,106 $1,545,000 $62,830 $20,555,276 10 Overview of Other City Funds
Pension Section 115 Trust Fund
• This fund accounts for monies set aside in an irrevocable Section 115 Trust to fund employee pension costs. Currently, the City is paying the annual CalPERS costs from our operating budget but has these funds set aside and available should the annual cost exceed what can be funded with operating revenues.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$17,991,302 $1,550,000 $63,000 $19,478,302 $1,596,500 $64,890 $21,009,912 11 Overview of Other City Funds
Pension Obligation Bonds (POB) Fund
• The POB fund accounts for the principal and interest payments on the POB bonds that were issued in 2004. These bonds will be fully paid as of July 1, 2026.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$5,443,257 $716,983 $3,017,580 $3,142,660 $0 $3,142,660 $0 12 Overview of Other City Funds
Community Facilities District No. 97-1 Bond Fund • This fund accounts for the principal and interest payments on the CFD bonds that were issued in 1997 for infrastructure needed for the development of the Union Landing Shopping Center.

Debt service payments are funded by a special tax assessment levied on the Union Landing property owners. The bonds were refunded in 2013 and will be paid off as of March 1, 2029.

Beginning
Fund Balance
July 1, 2025
2025-2026
Revenues
2025-2026
Expenditures
Beginning
Fund Balance
July 1, 2026
2026-2027
Revenues
2026-2027
Expenditures
Ending
Fund Balance
June 30, 2027
$1,434,970 $550,300 $532,320 $1,452,950 $550,330 $531,725 $1,471,525 13 Overview of Other City Funds
Remaining Funds:
• Other Non-General Fund and Non-CIP Funds include
Transit funds, PD funds, CRS funds, and others.
• More of these other funds will be reviewed at the June 3rd budget study session.
• Certain funds like the PBID, CDBG and HOME funds go
through separate budget processes and will be reviewed
through those processes.
14 Overview of Other City Funds
Questions:
• Staff is available to answer questions from the City
Council
Discussion:
• Provide staff with feedback and/or direction regarding the biennial budget
Recommendation:
• Receive and file the staff report

Union City City CouncilMay 27, 2025

Union City City Council
May 27, 2025