City of Wasco City Council Meeting Agenda, June 2, 2026 .
Public advisory: Face masks are recommended. The City C ouncil chamber is open and accessible to the public.
Vi
ew the meeting Live on the city’s website
https://www.cityofwasco.org/306/city-council-meeting-videos subject to technical limitations.
ACC
ESSIBILITY: In compliance with the Americans with Disabilities Act (ADA), if you need special assistance to participate in the City Council meeting, please contact the City Clerk Department at 661-758-7215 or via email at [email protected] within 48 hours of the meeting or sooner.
Th
e following is provided to assist with public participation:
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NDA AVAILABILITY : The City Council Agenda is posted on the bulletin board at the entrance of City Hall, 746 8th Street, Wasco, at the entrance of 764 E Street, Wasco, and at the entrance of the Wasco Police Department’s Office, 748 F Street, Wasco. The agenda packet, meeting minutes, and archived City Council meetings are available on the City’s website, www.cityofwasco.org.
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NDA MATERIALS: City Council agenda materials are released no later than 72 hours prior to a meeting and are available to the public at the City Clerk’s Office, 746 8th Street, Wasco, CA, in a public binder at each City Council meeting, and on the City’s website at https://www.cityofwasco.org/AgendaCenter
PU
BLIC COMMENTS: All public comments are subject to a 2 -minute limit, and a maximum of thirty (30) minutes will be allowed for any subject. To provide your comments to the City Councilmembers regarding matters not on the agenda or a specific item on the agenda, you may address your comments IN PERSON. Before making your presentation, you will be asked to state your name for the record . If you would like to submit a written public comment, please email the City Clerk at [email protected] no later than 4:00 p.m. on June 2, 2026.
Please clearly indicate which agenda item number your comments pertain to. Every effort will be made to read your comment into the record . If a comment is received after the specific time mentioned above but before the meeting is adjourned, the comment will still be included as part of the record of the meeting. Still, it will not be read into the record.
Pl
ease be advised that communications directed to the City Council are public records and are subject to disclosure pursuant to the California Public Records Act and Brown Act unless AGENDA
Regular City Council Meeting,
Successor Agency to the
Former Redevelopment Agency and the
Wasco Public Finance Authority
Tuesday, June 2, 2026 – 6:00 pm.
Council Chambers
746 8th Street, Wasco, CA 93280
www.cityofwasco.org
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City of Wasco City Council Meeting Agenda, June 2, 2026 exempt from disclosure under the applicable law. Communications will NOT be edited for redactions and will be printed/posted as submitted.
SPANISH INTERPRETATION: If you need an interpretation of your communications to the City Council from Spanish into English, please get in touch with the City Clerk Department at 661- 758-7215 or via email at [email protected]. Subject to availability, notifying the City at least 48 hours before will usually enable it to make arrangements.
INTERPRETACIÓN EN ESPAÑOL: Si necesita una interpretación de sus comunicaciones al Concejo Municipal del español al inglés, comuníquese con el Departamento del Secretari o de la Ciudad al 661 -758-7215 o por correo electrónico a [email protected]. La notificación con al menos 48 horas de antelación generalmente permitirá a la Ciudad realizar los arreglos. Sujeto a disponibilidad.
REGULAR MEETING – 6:00 pm
1) CALL TO ORDER: Mayor
2) ROLL CALL: Mayor Saldaña, Mayor Pro Tem Reyna, Council Members: Martinez, Medina, Raya
3) FLAG SALUTE: by Mayor
4) INVOCATION: by
5) APPROVAL OF AGENDA:
6) PRESENTATIONS: None
7) PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA:
This portion of the meeting is reserved for persons desiring to address the Council , including the Council acting as the Governing Board for the Successor Agency, on any matter not on this agenda over which the Council and Successor Agency have jurisdiction. Speakers are limited to two (2) minutes. A maximum of thirty (30) minutes will be allowed for any one subject. Please state your name for the record before making your presentation.
BROWN ACT REQUIREMENTS: The Brown Act does not allow action or Discussion on items not on the agenda (subject to narrow ex ceptions). This will limit a Councilmember’s response to questions and requests during this comment period. 8) SUCCESSOR AGENCY BUSINESS: None
9) WASCO PUBLIC FINANCE AUTHORITY BUSINESS: None
10) PUBLIC SAFETY REPORTS
a. Kern County Fire Department (Appleton)
b. Wasco Police Department (Mora)
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City of Wasco City Council Meeting Agenda, June 2, 2026 CITY COUNCIL BUSINESS:
11) CONSENT CALENDAR:
The Consent Calendar consists of items that are routine and noncontroversial, in the staff's opinion. These items are approved in one motion unless a Council Member or member of the public requests the removal of a particular item.
a. Receive and File department payments totaling $ 511,401.74 12) P
UBLIC HEARINGS: None
13) DEFERRED BUSINESS: None
14) N
EW BUSINESS:
a. Council finds this action is not a “project ” under Section 15378 of the CEQA Guidelines; Adopt a Resolution Authorizing the City Manager or Designee to Sig n a
nd Execute a Non -Hazardous Garbage Collection and Removal Services Agreement No. C5613396 with the State of California Department of Corrections and Rehabilitation (CDCR) to provide refuse collection and disposal services. (Villa) b. U
pdate on SNIP Program: Overall Count- Informational Only (Villa) c. C
ouncil finds this action is not a “project” under Section 15378 of the CEQA Guidelines; Review and Possible Minute Action on the Fiscal Year 2026 -2027 G
eneral Fund Budget Proposal. (Hurlbert)
15) R
EPORTS FROM COMMISSIONS AND COMMITTEES:
a. Kern Economic Development Corporation (Medina)
b. Kern Council of Governments (Reyna)
c. Wasco Task Force (Saldaña and Raya)
16) RE
PORTS FROM THE CITY MANAGER:
17) RE
PORTS FROM THE CITY COUNCIL:
18) C
LOSED SESSION:
a. Closed Session Minutes for May 5, 2026.
b. CONFERENCE WITH LABOR NEGOTIATORS 54957.6
Agency Designated Representative: M. Scott Hurlbert & Nancy Vera Employee Organization: SEIU Local 521
c. CONFERENCE WITH LABOR NEGOTIATORS 54957.6
Agency Designated Representative: M. Scott Hurlbert & Nancy Vera Employee Organization: WPOA
d. PUBLIC EMPLOYEE PERFORMANCE EVALUATION -54957
Title: City Manager
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City of Wasco City Council Meeting Agenda, June 2, 2026 e. CONFERENCE WITH LEGAL COUNSEL-ANITICPATED LITIGATION Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) and paragraph (3) of subdivision (e) of Section 54956.9: (2 potential cases) f. CONFERNECE WITH REAL PROPERTY NEGOTIATION 54956.8
Property: APN 487-200-06
City Negotiator: City Manager, Mayor
Negotiating Party Marlow Ag Logistics
g. CONFERNECE WITH REAL PROPERTY NEGOTIATION 54956.8
Property: APN 487-140-52, 487-180-01 and 487-200-04
City Negotiator: City Manager, Mayor
Negotiating Party I&M Sheep Company
19) ADJOU
RNMENT:
Th
is is to certify that this agenda was posted at Wasco City Hall on May 30, 2026, on/or before 6:00 p.m. The agenda is also available on the City website at www.cityofwasco.org. _______________
__________________
Maria O. Martinez, CMC
City Clerk
All agenda item supporting documentation is available for public review o n the city website , www.cityofwasco.org, and the office of the City Clerk of the City of Wasco, 746 8 th Street, Wasco, CA 93280 , during regular business hours, 8:00 am – 4:30 pm Monday through Thursday and 8:30 am – 4:30 pm Friday (closed alternate Friday's), following the posting of the agenda. Any supporting documentation related to an agenda item for an open session of any regular meeting that is distributed after the agenda is posted and prior to the meeting will also be available for review at the same location and available at the meeting. Please remember to turn off all cell phones, pagers, or electronic devices during Council meetings.
The City of Wasco does not discriminate on the basis of disability in access to, provision of, or employment in its programs and activities pursuant to 29 United States Code Section 12132 and California Civil Code Section 54.
The City Clerk's Office can provide information regarding the rights provided under the Americans with Disabilities Act (ADA).
If
you need special assistance to participate in this meeting, please contact the City Clerk's Office at (661) 758- 7215 to make reasonable arrangements to ensure accessibility to this meeting. Telephone (661) 758 -7215.
Requests for assistance should be made at least two (2) days in advance whenever possible. 4 of 24
WARRANTS AMOUNTS
G052126 374,231.53
A051926 103,519.46
A052226 11,206.22
A051826 22,444.53 Verified By:
Grand Total 511,401.74 Finance Director:
WARRANT VENDOR NAME VENDOR No. INVOICE No. CHECK No. DESCRIPTION AMOUNTS 1 A051826 NAVIA BENEFIT SOLUTIONS 5664 050726 5697 MEDICAL CHECK RUN 050726 17369.95 2 A051826 NAVIA BENEFIT SOLUTIONS 5664 FSA 050126 5697 HEALTH CARE FSA 050126 307.16 3 A051826 NAVIA BENEFIT SOLUTIONS 5664 FSA 050826 5697 HEALTH CARE FSA 050826 22.82 4 A051826 NAVIA BENEFIT SOLUTIONS 5664 HRA 050126 5697 HEALTH CARE HRA 050126 373.38 5 A051826 NAVIA BENEFIT SOLUTIONS 5664 HRA 050826 5697 HEALTH CARE HRA 050826 471 6 A051826 NAVIA BENEFIT SOLUTIONS 5664 041626 5697 MEDICAL CHECK RUN 041626 3428.64 7 A051826 NAVIA BENEFIT SOLUTIONS 5664 11083891 5697 APR 26 PARTICIPANT FEE 209.1 8 A051826 NAVIA BENEFIT SOLUTIONS 5664 HRA 051526 5697 HEALTH CARE HRA 051526 181 9 A051826 NAVIA BENEFIT SOLUTIONS 5664 FSA 051526 5697 HEALTH CARE FSA 051526 81.48 10 A051826 Total 22444.53
11 A051926 ANTHEM BLUE CROSS 6062 002061455H 5699 JUNE INSURANCE PREMIUM 103519.46 12 A051926 Total 103519.46
13 A052226 BEYOND6, LLC 6209 666752998 5700 APRIL 2026: CNG FUEL 11206.22 14 A052226 Total 11206.22
15 G052126 ACC BUSINESS 4766 0499106112 32735 FIBER NETWORK SVCS 825.59 16 G052126 AFFINITY TRUCK CENTER 405 F01333962901 32736 RFS VEH #16: KIT SPARK PLUG, EXTENSION IGNITION CO 1373.05 17 G052126 AFFINITY TRUCK CENTER 405 F01333971001 32736 RFS VEH #16: COIL IGNITION 1803.79 18 G052126 AFFINITY TRUCK CENTER 405 F01334000501 32736 RFS VEH #16: HOSE SLC ELB SGL, HOSE CLAMP, FREIGHT 125.81 19 G052126 AFFINITY TRUCK CENTER 405 F01334003801 32736 RFS VEH #24 KIT SPARK PLUG, COIL IGNITION, SENSOR 2602.91 20 G052126 AFFINITY TRUCK CENTER 405 F01334012801 32736 RFS VEH #23: TEMPERATURE SENSOR 101.23 21 G052126 AMAZON CAPITAL SERVICES, INC 4968 1G1X-GNFF-43VH 32737 CONNECTICUT ELECTRIC CIRCUIT BREAKER 75.81 22 G052126 AMAZON CAPITAL SERVICES, INC 4968 16XV-W4HM-4XPH 32737 DESK CALENDARS 26.66 23 G052126 AMAZON CAPITAL SERVICES, INC 4968 1KT9-76RC-PVHG 32737 OFFICE SUPPLIES 667.03 24 G052126 AXON ENTERPRISE, INC 6075 INUS442705 32738 INV ID INUS442705 BODY CAMERAS FOR CODE 2654.65 25 G052126 BSK & ASSOCIATES, INC. 1052 BJ02188 32739 2ND QRT: QUARTERLY GW MONITORING 5000.44 26 G052126 CAPITAL INDUSTRIAL MEDICAL SUPPLY CO 238 204616 32740 FIRST AID KIT SUPPLIES 198.15 27 G052126 CEN-CAL CONSTRUCTION 3848 2596-02 32741 24003-1: 8TH ST CROSSING CONSTRUCTION & RETENTION 43719.2 28 G052126 CEN-CAL CONSTRUCTION 3848 2597-03 32741 24004-1: HSIP POPLAR FEB CONSTRUCTION & RETENTION 85317.31 29 G052126 CEN-CAL CONSTRUCTION 3848 2597-02 32741 24004-1: HSIP POPLAR FEB CONSTRUCTION & RETENTION 96363.69 30 G052126 CHARTER COMMUNICATIONS 68 167751301050726 32742 INTERNET SERVICES ANNEX 149.69 31 G052126 CHARTER COMMUNICATIONS 68 168679001050726 32742 INTERNET SERVICES PD 211.02 32 G052126 CITY OF WASCO-UB PAYMENTS 1875 937099 32743 UB 810 8TH ST (LF) 147.82 33 G052126 CITY OF WASCO-UB PAYMENTS 1875 937101 32743 UB 801 8TH ST 84.32 As of: May 27th, 2026
Bill Pay
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WARRANT VENDOR NAME VENDOR No. INVOICE No. CHECK No. DESCRIPTION AMOUNTS 34 G052126 CITY OF WASCO-UB PAYMENTS 1875 937155 32743 UB 1445 12TH ST (PAL) 109.81 35 G052126 CITY OF WASCO-UB PAYMENTS 1875 937589 32743 UB 800 BLK CENTRAL 84.32 36 G052126 CITY OF WASCO-UB PAYMENTS 1875 937592 32743 UB 1100 CENTRAL AVE LLMD 88.69 37 G052126 CITY OF WASCO-UB PAYMENTS 1875 937594 32743 UB 1500 BLK OF CENTRAL 178.12 38 G052126 CITY OF WASCO-UB PAYMENTS 1875 937759 32743 UB 1600 BLK OF DAISY 121.04 39 G052126 CITY OF WASCO-UB PAYMENTS 1875 937786 32744 UB 603 E ST VFW BLDG 55.2 40 G052126 CITY OF WASCO-UB PAYMENTS 1875 937789 32743 UB 764 E ST (ANNEX) 208.31 41 G052126 CITY OF WASCO-UB PAYMENTS 1875 937864 32743 UB 847 F ST (PW SHOP) 306.87 42 G052126 CITY OF WASCO-UB PAYMENTS 1875 937907 32743 UB 1300 BLK FILBURN 243 43 G052126 CITY OF WASCO-UB PAYMENTS 1875 937914 32743 UB 28704 FILBURN CENTRAL PARK 378.42 44 G052126 CITY OF WASCO-UB PAYMENTS 1875 938378 32743 UB NW MAPLE/MARGALO LLMD 2006 84.32 45 G052126 CITY OF WASCO-UB PAYMENTS 1875 938379 32743 UB MAPLE/GROMER LLMD 2006-1 84.32 46 G052126 CITY OF WASCO-UB PAYMENTS 1875 938436 32743 UB 2700 BLK MONDAVI CT 84.32 47 G052126 CITY OF WASCO-UB PAYMENTS 1875 938521 32743 UB 1500 BLOCK OF PALM 213.11 48 G052126 CITY OF WASCO-UB PAYMENTS 1875 938545 32743 UB 2100 BLK PALM 84.32 49 G052126 CITY OF WASCO-UB PAYMENTS 1875 938547 32743 UB 400 N BLOCK OF PALM LLMD 2006-1 84.32 50 G052126 CITY OF WASCO-UB PAYMENTS 1875 938549 32743 UB 1700 BLK OF PALM #A 106.19 51 G052126 CITY OF WASCO-UB PAYMENTS 1875 938579 32744 UB 1200 BLK PECAN ST 84.32 52 G052126 CITY OF WASCO-UB PAYMENTS 1875 938583 32744 UB PENELOPE LLMD 2006-1 84.32 53 G052126 CITY OF WASCO-UB PAYMENTS 1875 938670 32744 UB 1700 BLK POPLAR 84.32 54 G052126 CITY OF WASCO-UB PAYMENTS 1875 938671 32744 UB 1700 BLK POPLAR #A 84.32 55 G052126 CITY OF WASCO-UB PAYMENTS 1875 938741 32744 UB 2500 BLK OF POSO DR LLMD 84.32 56 G052126 CITY OF WASCO-UB PAYMENTS 1875 938745 32744 UB 2700 BLK OF POSO AVE LLMD 84.32 57 G052126 CITY OF WASCO-UB PAYMENTS 1875 938779 32743 UB PALM N PROSPERITY 2006-1 99.39 58 G052126 CITY OF WASCO-UB PAYMENTS 1875 938944 32744 UB 1700 BLK OF MARGALO 84.32 59 G052126 CITY OF WASCO-UB PAYMENTS 1875 939195 32743 UB 1300 BLK OF WILLOW 148.47 60 G052126 CITY OF WASCO-UB PAYMENTS 1875 933733 32744 UB 810 8TH ST (LF) 23.57 61 G052126 CITY OF WASCO-UB PAYMENTS 1875 933766 32744 UB 764 E ST (ANNEX)(LF) 31.64 62 G052126 CLARK PEST CONTROL 117 39679488 32745 5/11/26 PEST CONTROL SERVICES-5409 7TH ST 68 63 G052126 CLARK PEST CONTROL 117 39679532 32745 5/11/2026 PEST CONTROL SERVICES- 746 8TH ST & 1445 268 64 G052126 CLARK PEST CONTROL 117 39679554 32745 5/11/26: WW 5410 7TH ST, PEST CONTROL SERVICES 68 65 G052126 CLARK PEST CONTROL 117 39681429 32745 5/11/26: 1400 J ST, PEST CONTROL SERVICES 251 66 G052126 COPSPLUS 6097 10050446 32746 PEPPER SPRAY (20) 322.59 67 G052126 COUNTRY AUTO & TRUCK, INC. 3008 756004 32747 RFS #GENERAL: 12 GAL OF COOLANT 162.25 68 G052126 DEE JASPAR AND ASSOCIATES, INC 378 26-00462 32748 23015-0: WELL #13 STORAGE TANK PROFESSIONAL SERVIC 9647.91 69 G052126 DEE JASPAR AND ASSOCIATES, INC 378 26-00463 32748 21023,21024,21027,21029-0: SRF WATER SYSTEM IMPROV 1183.53 70 G052126 DEE JASPAR AND ASSOCIATES, INC 378 26-00464 32748 20218-0: WELL #12 TCP PROFESSIONAL SERVICES 1423 71 G052126 FED EX 123 9-298-31031 32749 EXPRESS SERVICE 30.41 72 G052126 GARDAWORLD 4266 20667297 32751 APR 26: EXCESSIVE SERVICES 212.96 73 G052126 GKR TOOL SOURCE 6445 05072678006 32752 SMALL TOOLS: SCAN TOOL 3571.17 74 G052126 JEFFRIES BROS., INC 140 192900 32753 MATERIAL #GEN: 30 GAL BARREL OF GREASE 539.09 75 G052126 JONES SNYDER & ASSOCIATES 6446 7274 32754 20215-0: CITY WIDE GPS CONTROL NETWORK 45000 76 G052126 JORGENSEN & CO. 137 6235299 32755 MICROPEL SENSOR, INSTRUMENT CALIBRATION/REPAIR 232.12 77 G052126 KAISER FOUNDATION HEALTH PLAN INC 4757 199639491310 32756 JUN 2026: INSURANCE PREMIUM 3645.48 78 G052126 KERN COUNTY FORENSIC SERVICES, LLC 6207 3523 32757 LAB PROCESSING FOR PD 1500 79 G052126 KERN COUNTY SUP. OF SCHOOLS 25 APRIL 2026 32758 APRIL 2026 7424.65 80 G052126 KERN COUNTY WASTE MANAGEMENT DEPT. 19 57359-IN 32759 APRIL 2026: STSW FEES & DEMO 2555 81 G052126 LeBeau THELEN LLP 3218 1985.012-22 32760 APR 26: LEGAL FEES 112.5 82 G052126 LeBeau THELEN LLP 3218 1985.016-10 32760 APR 26: LEGAL FEES 47.5 83 G052126 MIGUEL LEON 6124 REIM 050726 32761 REIMB 050726 TRUCK DRIVING SCHOOL 2500 84 G052126 MUNGUIA HEATING AND AIR CONDITIONING 5826 I-9536-1 32762 SERVICE AT COURTHOUSE- DIAGNOSTIC UNIT WAS NOT ENG 285 85 G052126 MUNGUIA HEATING AND AIR CONDITIONING 5826 I-9689-1 32762 SERVICE AT COURTHOUSE- SERVICE CALL CAPACITOR 215 86 G052126 O'REILLY AUTO ENTERPRISES, LLC 4230 4936-316712 32763 BUILDING VEH #07: OIL & AIR FILTERS 45.98 2 of 3
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WARRANT VENDOR NAME VENDOR No. INVOICE No. CHECK No. DESCRIPTION AMOUNTS 87 G052126 O'REILLY AUTO ENTERPRISES, LLC 4230 4936-316779 32763 RFS #GENERAL: WHEEL ACID 88.19 88 G052126 OSCAR GONZALEZ 6439 514 32764 SOLAR FIELD FIRE- INSPECT WIRING SAFE AT SOLAR FIE 984.35 89 G052126 P & J ELECTRIC, INC. 66 9905 32765 4/21/26 ELECTRICIAN FOREMAN HRS TRUCK & TOOLING 1078.92 90 G052126 P & J ELECTRIC, INC. 66 9921 32765 ENCLOSURE REPAIR PARTS 227.97 91 G052126 PETERSON AUTO SUPPLY 152 299865 32766 WW VEH #46: COUPL/ADAPTER 44.69 92 G052126 PETERSON AUTO SUPPLY 152 299918 32766 STREET VEH #80: HYD HOSE, FERRULE FITTING, COUPL/A 326.4 93 G052126 PG & E COMPANY 85 0705182385-9 051426 32767 UB 501 F STREET 143.27 94 G052126 PG & E COMPANY 85 2053318492-3 051526 32767 UB SW SE 11 27 24 N/S POSO W/O PALM 1540.8 95 G052126 PG & E COMPANY 85 2114713176-3 051426 32767 UB ST LIGHT TRACT 7311-4 ON FILBURN 30.39 96 G052126 PG & E COMPANY 85 2767702756-0 051526 32767 UB 603 PALM AVE 6.45 97 G052126 PG & E COMPANY 85 2991524925-3 051326 32767 UB 810 8TH ST COURTHOUSE 110.02 98 G052126 PG & E COMPANY 85 3593196785-1 051426 32767 UB NW NE SE 9 27 24 GEN-ANNEX BLDG 221.72 99 G052126 PG & E COMPANY 85 7383005943-9 051426 32767 UB 1ST ST & 13TH TO 16TH ST LIGHTS 250.79 100 G052126 PG & E COMPANY 85 8365871756-2 051426 32767 UB ANNEX PARKING LIGHT 13.98 101 G052126 PG & E COMPANY 85 8367707953-1 051426 32767 DYNAMIC WASCO 15200 SCOFIELD RD 30.39 102 G052126 PG & E COMPANY 85 5816195239-3 051526 32767 UB MCCOMBS & GRIFFITH 23625.44 103 G052126 RAFAEL SILVA 6378 REIMB 051326 32768 090225 UNFM STIP B354.09 362.03 104 G052126 SAN JOAQUIN VALLEY AIR POLLUTION CONTROL DISTRICT 1198 S188105 32769 26/27 ANNUAL PERMITS TO OPERATE 7/1/26-6/30/27 106 105 G052126 SAN JOAQUIN VALLEY AIR POLLUTION CONTROL DISTRICT 1198 S188116 32769 26/27 ANNUAL PERMITS TO OPERATE 7/1/26-6/30/27 314 106 G052126 SCHROETER, THOMAS F. 2732 051826 32770 2026 LEAGUE OF CA CITIES CONF 576 107 G052126 SHAW, CHRIS 5712 051426 32771 REIMB DOT PHYSICAL 100 108 G052126 SOLAR THINGZ, INC 6435 INV45469 32772 CROSS SIGN,SINGLE FLASH SIGN,SOLAR JUNCTION BOX, P 5459.04 109 G052126 TAG/AMS, INC 298 7950 32773 PRE EMPLOYMENT DOT 115 110 G052126 TETER, INC 6379 64818 32774 MASTER PLANNING NEW PD & CH 7105 111 G052126 TETER, INC 6379 64819 32774 MASTER PLANNING PW 3327.5 112 G052126 THE GAS COMPANY 246 08541820000 051526 32775 CITY YARD 801 F ST 16.76 113 G052126 THE GAS COMPANY 246 12741818004 051526 32775 CITY HALL 746 8TH 14.79 114 G052126 THE GAS COMPANY 246 14491569001 051526 32775 WWT 5410 7TH 190.67 115 G052126 THE GAS COMPANY 246 17991819008 051526 32775 ANNEX 764 E ST 16.76 116 G052126 TRADICIONES MARKETS, INC 5259 APRIL 2026 32750 242 UB PAYMENTS APR 2026 43.56 117 G052126 VERIZON WIRELESS SERVICE LLC 4237 6142027699 32776 CELL PHONES & IPADS 1426.45 118 G052126 WELLS FARGO FINANCIAL LEASING 4372 5038743705 32777 MAY PD PRINTER LEASE 166.9 119 G052126 Total 374231.53
120 Grand Total 511401.74
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.
TO: Honorable Mayor and Council Members
FROM: M. Scott Hurlbert, City Manager
Luis Villa, Public Works Director
DATE: June 2, 2026
SUBJECT: Adopt a Resolution Authorizing the City Manager or Designee to Sign and Execute a Non -Hazardous Garbage Collection and Removal Services Agreement No. C561 3396 with the State of California Department of Corrections and Rehabilitation (CDCR) to provide refuse collection and disposal services.
Recommendation:
Staff recommends the City Council:
1) Adopt a Resolution Authorizing the City Manager or Designee to Sign and Execute a Non -Hazardous Garbage Collection and Removal Services Agreement No.
C5613396 with the State of California Department of Corrections and Rehabilitation (CDCR) to provide refuse collection and disposal services.
2) Find that this action is not a project as defined under the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15378, no environmental review is required.
Environmental Review:
The staff has reviewed the proposed activity for compliance with the California Environmental Quality Act ( CEQA). It has been determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA guidelines because the proposed activity consists of a governmental fiscal/administrative activity which does not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required.
Discussion:
One of the essential services the city provides is refuse collection and disposal for the community. For over 20 years, the city has independently contracted with the Wasco State Prison to provide this service, managing all labor, materials, supplies, tool s,
STAFF REPORT
City of Wasco
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equipment, permits/licenses, and transportation as necessary for the collection, removal, and disposal of non-hazardous wet and dry garbage.
The City and the Department of Corrections (CDCR) have negotiated the renewal of the previous agreement, which includes an inflationary adjustment to keep pace with rising service costs. The City will continue to provide the services outlined in the attached scope.
The new 3-year contract expires on April 30, 2030, to align with CDCR's fiscal year timeline.
Fiscal Impact:
The City will provide services for the contracted amount of $1,736,398.00, plus a 50% augmentation amount of $868,199.00 to cover scope/service changes.
Attachments:
1. Resolution
2. Scope Agreement
3. Rate Sheet
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RESOLUTION NO. 2026 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WASCO AUTHORIZING THE
CITY MANAGER OR DESIGNEE TO FINALIZE, ENDORSE, AND EXECUTE A NON-HAZARDOUS GARBAGE COLLECTION AND REMOVAL SERVICES AGREEMENT NO. C5613396 WITH THE
STATE OF CALIFORNIA DEPARTMENT OF CORRECTIONS AND REHABILITATION (CDCR) TO PROVIDE REFUSE COLLECTION AND DISPOSAL SERVICES.
WHEREAS, the City has an expired Agreement with the State of California, Department of Corrections, for refuse collection at the Wasco State Prison Facility; and
WHEREAS, the City wishes to enter into a new Agreement with the Wasco State Prison Facility, attachment “A”; and
WHEREAS, said Agreement has been made in the form and manner prescribed by the City of Wasco Municipal Code and the California Public Contract Code; and
WHEREAS, the California Department of Corrections and the City each acknowledge that each party has reviewed the Agreement; and,
WHEREAS, the Agreement shall be governed by and construed in accordance with the laws of the State of California; and
WHEREAS, the City of Wasco agrees to provide labor, materials, and equipment necessary for the removal of non-hazardous materials from the Wasco State Prison Facility.
NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Wasco , as follows:
SECTION 1: Approval of the Contract with the State of California Department of Corrections and Rehabilitation for the Wasco State Prison and Reception-Center.
SECTION 2: Authorizes the City Manager or designee to finalize, endorse, and execute a Non- Hazardous Garbage Collection and Removal Services Agreement No. C5613396 with the State of California Department of Corrections and Rehabilitation (CDCR) for refuse collection and disposal services.
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-o0o-
I HEREBY CERTIFY the foregoing Resolution No. 2026. - was passed and adopted by the Council of the City of Wasco at a regular meeting thereof held on June 2, 2026, by the following vote:
COUNCIL MEMBERS: SALDAÑA, REYNA, MEDINA, MARTINEZ, RAYA AYES:
NOES:
ABSTAIN:
ABSENT:
__________________________
EDUARDO SALDAÑA,
MAYOR of the City of Wasco
Attest: _______________
__________________________________
MARIA O. MARTINEZ, CMC
CITY CLERK and Ex Officio Clerk of
The Council of the City of Wasco
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City of Wasco Agreement Number C5613396
California Department of Corrections and Rehabilitation (CDCR) Scope of Work
NON-HAZARDOUS WET/DRY GARBAGE COLLECTION, REMOVAL AND
DISPOSAL SERVICES
1. INTRODUCTION
Contractor shall provide all labor, materials, supplies, tools, equipment, permits/licenses and transportation as necessary to provide non- hazardous wet/dry garbage collection, removal and disposal services for the California Department of Corrections and Rehabilitation (CDCR), Wasco State Prison-Reception Center (WSP-RC) located at 701 Scofield Avenue, Wasco, CA 93280.
Public Resources Code 41780 mandates all State Agencies to divert waste from landfills and to minimize waste and increase recycling efforts. Contractor shall provide the Institution Contract Liaison or designee, in writing by the 7th of each month, with a receipt verifying the actual weighted amount of waste, from the institution only, disposed at the landfill.
2. SERVICES TO BE PROVIDED
The Contractor shall provide non- hazardous Wet/Dry Garbage Collection, Removal and Disposal services daily, Monday through Saturday. The Contractor shall pick up garbage inside the secure perimeter and return to the sally port prior to 5 A.M. when the count commences. T he Contractor shall remain in the sally port until verbal notification is provided by the I nstitution Escorting O fficer that the count has cleared. If any discrepancies to the count arise, this may extend the wait time inside the sally port. The hours of service may change if mutually agreed upon by t he Institution Contract Liaison or designee and the Contractor. Services provided will also include holidays, except New Year’s Day, Presidents Day, Memorial Day, Fourth of July, Labor Day, Veteran’s Day, Thanksgiving Day, and Christmas Day when the land fill/dump is closed. The Contractor shall pick up trash from containers the following work day after a holiday.
Three Cubic-Yard Bins
Contractor shall furnish and maintain thirty-five (35), three-cubic yard containers with steel rollable wheels. All containers are to have lid covers made of steel or double- walled plastic (i.e. duraflex or equivalent thereof) that are easily opened and closed. Containers and lids may not have excess metal on or inside which could be removed. In the event any lid or container becomes damaged, Contractor shall, within forty -eight (48) hours of notification, repair or replace lids or containers.
Containers shall be sealed and liquid tight to prevent spillage and drippings. The State reserves the right to inspect containers to determine suitability prior to placement. 12 of 24
City of Wasco Agreement Number C5613396
California Department of Corrections and Rehabilitation (CDCR) Scope of Work
Contractor shall deliver containers to the locations indicated by the Institution Contract Liaison or designee prior to commencement of services. A location may be changed at any time at the discretion of the institution. The institution will provide twent y-four (24) hour notice to Contractor of any location changes.
Container pickup shall be in accordance with, Garbage Pickup Schedule/Tracking Worksheet hereinafter known as the Worksheet and is a part of this contract, The number of bins emptied shall be noted on the Worksheet and after each day’s pick-up, the WSP- RC Escort Officer and the City of Wasco Sanitation Employee will print and sign their name on the Worksheet to indicate they are in agreement with the number of bins emptied.
The State shall pay only for those bins emptied and signed for in accordance with the Worksheet and per the prices indicated on the Rate Sheet, Exhibit B -1, attached herein and a part of this contract.
In the event trash is discovered to be on top of any trash bin (commonly referred to as “snow coning”), the escort officer will open the bin, and if there is room, will place the trash inside the bin. The City of Wasco Sanitation Employee will then empty the bin. If the bin is already full, the City is not obligated to pick up the trash left outside of the bin.
Forty Cubic-Yard Bins
Upon request by the WSP-RC Contract Liaison or designee, Contractor shall deliver and set in place Forty Cubic Yard roll -off bins (quantity as requested) within 24 hours, to the location(s) indicated by the Contract Liaison or designee. Roll-off bins shall be used only for disposal of mattresses or other large items such as furniture, but excludes any type of concrete or stone/rock. No mattresses or other large items shall be disposed of in the Contractor’s 3-yard bins used for regular garbage.
Forty Cubic-Yard bins shall be paid for in accordance with the rates set forth in the Rate Sheet, Exhibit B-1 attached herein.
The State reserves the right to add or subtract containers (both sizes), modify size of containers and adjust pick up schedule as needed, to accommodate any unforeseen increase or decrease in volume of wet/dry garbage or large items generated. The additional services will be provided within forty -eight (48) hours of request by the State, and will be arranged at a mutually agreed upon time. Additional services shall be provided at the same rate set forth in the Contractor’s Rate Sheet, Exhibit B-1 herein.
Contractor shall complete services within the time frames specified herein. At the State’s discretion, the time specified for garbage pickup may be extended for a reasonable period of time when there is a delay in Contractor’s performance of the work caused by 13 of 24
City of Wasco Agreement Number C5613396
California Department of Corrections and Rehabilitation (CDCR) Scope of Work
unavoidable delay such as Acts of God, fire, flood, epidemics, quarantine, restrictions, strikes, freight embargoes, or unusual action of the elements, provided that Contractor shall notify the State within two (2) hours from the beginning of any delay.
In the event Contractor fails to provide services within the time specified without prior approval of the State, the State reserves the right to have services provided by another vendor at Contractor’s expense. Any amounts owed to the State as a result of this action will be deducted from Contractor’s monthly invoice.
3. STANDBY TIME/RATES
The Contractor shall incur additional standby time (wait time) in the following situations:
A. In the event WSP-RC requests the Contractor to provide and haul a 40 yard bin in the same day, the Contractor shall remain on standby with the bin until the bin is full and ready for removal from the institution grounds . T he Contractor will be reimbursed at the hourly standby rate, as specified in Exhibit B-1, Rate Sheet.
B. If the 5:00 AM inmate count does not clear, the Contractor shall remain inside the sally port until the count clears. If the Contractor’s wait time extends past the first fifteen ( 15) minutes, then standby rates will be incur red in fifteen ( 15) minute increments, as specified in Exhibit B-1, Rate Sheet.
4. OVERLOAD CHARGE
In the event a roll-off container exceeds ten (10) tons, there will be a charge that identified in Exhibit B -1, for additional ton over ten tons. The Contractor shall notify CDCR or designee of overload charges, once an overage is identified.
5. RECEIPTS
Contractor shall deliver the wet/dry garbage to a county/city -approved landfill in accordance with the State of California, Environmental Health Laws. Contractor shall provide receipts verifying disposal date and weight of wet/dry garbage from an approved landfill when submitting invoices.
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City of Wasco Agreement Number C5613396
California Department of Corrections and Rehabilitation (CDCR) Scope of Work
6. CONTAINER UNLOADING
The Contractor shall ensure that all containers, which are to be emptied on-site, shall be emptied into a sealed truck which is liquid tight to prevent spillage and drippings. Roll-off containers shall be sealed to prevent spillage and drippings, and removed by the Contractor upon request by the Contract Liaison or designee.
7. CONTAINER MAINTENANCE
The Contractor shall maintain containers in good mechanical condition.
Containers must be steam cleaned and painted annually or more often as necessary as determined by the Institution Contract Liaison or designee. Steam cleaning and painting shall not be performed on State property unless specifically requested by the State and shall be completed at Contractor’s expense.
The Contractor shall furnish additional containers on an exchange basis while the maintenance of containers is performed.
8. CONTAINER LOCKING DEVICES
The Contractor shall secure locking devices on all containers. The locking devices shall consist of a single lock bar extending the full width of the lid and lockable by padlock, to be supplied by institution.
9. LICENSES/PERMITS
The Contractor shall possess a valid Motor Carrier permit issued by the California Department of Motor Vehicles, valid city/county -issued Commercial Refuse Hauler’s Permit, if applicable.
The Contractor shall also possess and maintain throughout the term of this Agreement a current DMV issued Motor Carrier Permit if any vehicle used to haul sludge or other Contractor-owned items in performance of this contract has a Gross Vehicle Weight Rating (GVWR) of 10,001 lbs. or more.
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City of Wasco Agreement Number C5613396
California Department of Corrections and Rehabilitation (CDCR) Scope of Work
10. DEPARTMENT OF CORRECTIONS AND REHABILITATION CONTACT
INFORMATION
Should questions or problems arise during the term of this Agreement, Contractor should contact the following offices:
Billing/Payment Issues:
Accounting Services Branch - Sacramento
Attention Accounts Payable B
Phone Number: (916) 255-2042
FAX Number: (916) 255-2103
General Contract Issues:
Office of Business Services
Phone Number: (916) 255-5624
FAX Number: (916) 255-6187
Scope of Work/Performance Issues:
Wasco State Prison-Reception Center Contract Liaison
Julia Chavolla
Business Services Officer I
Phone Number: (661) 758-8400 ext. 5201
FAX Number: (661) 758-7073
E-mail: [email protected]
The Institution Contract Liaison or designee shall be solely responsible for determining acceptability of satisfactory completion of any services provided by Contractor. 16 of 24
City of Wasco
California Department of Corrections and Rehabilitation (CDCR) Rate Sheet
NON-HAZARDOUS WET/DRY GARBAGE COLLECTION, REMOVAL AND DISPOSAL SERVICES
The quantities on this rate sheet are estimates as shown below. The State shall pay the Contractor only for services rendered in accordance with the rates set forth in this rate sheet, Exhibit B -1, and the Worksheet, Exhibit A-1 which indicates actual bins emptied, for each year as indicated.
A. THREE-YARD BINS
Price Per Emptied
Bin
FY 2026/2027
Price Per Emptied
Bin
FY 2027/2028
Price Per Emptied
Bin
FY 2028/2029
Price Per Emptied
Bin
FY 2029/2030
$46.52* $47.92* $49.35* $50.83*
* 3% annual inflation factor added for contract fiscal years two, three and four.
B.1 ESTIMATED COST FOR 3-YARD BINS PER YEAR:
Year
Estimated #
Of Bins Per
Week
X Price Per Bin X # Of Weeks = Estimated Total
Annual Amt.
2026/2027 180 x $46.52 x 13 = $108,856.80
2027/2028 180 x $47.92 x 52 = $448,531.20
2028/2029 180 x $49.35 x 52 = $461,916.60
2029/2030 180 x $50.83 x 39 = $356,826.60
TOTAL FOR B.1 $1,376,131.20
B.2 ESTIMATED COST FOR LANDFILL FEES PER YEAR:
Year Per 3 Cubic
Yards X
Est. Cubic
Yards Per
Month
X # Of Months = Estimated Total
Annual Amount
2026/2027 $10.44** x 2250 x 3 = $23,490.00
2027/2028 $10.44** x 2250 x 12 = $93,960.00
2028/2029 $10.44** x 2250 x 12 = $93,960.00
2029/2030 $10.44** x 2250 x 9 = $70,470.00
TOTAL FOR B.2 $281,880.00
** Current Kern County fee is $3.48 per cubic yard, therefore $ 10.44 per 3 c ubic yard bin collected and emptied. The Kern County fee is a pass -through with no administrative fee added. Any change in the Kern County fee will be charged by the City to the CDCR based upon the effective date of the updated fee.
Agreement Number C5613396
Exhibit B-1
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City of Wasco
California Department of Corrections and Rehabilitation (CDCR) Rate Sheet
C. FORTY-YARD ROLL-OFF BINS
FY
2026/2027
FY
2027/2028
FY
2028/2029
FY
2029/2030
County Dump Charge Per Ton (Based on
Est. 3% Increase Per Year) $67.25*** $69.27*** $71.35*** $73.49*** (Annual Est. Based On 10 Tons 4X Per Year) $672.50 $2,770.80 $2,854.00 $2,939.60 Delivery Rate Per Request $112.50 $112.50 $112.50 $112.50 (Annual Est. Based On 4X Per Year) $112.50 $450.00 $450.00 $337.50 Daily Rental $7.00 $7.00 $7.00 $7.00
(Annual Est. Based On 2 Days 4X Per Year) $14.00 $56.00 $56.00 $42.00 Monthly Rental $206.61 $206.61 $206.61 $206.61
City Dump Charge Per Dump Of 40-Yard Bin $244.01 $244.01 $244.01 $244.01 (Annual Est. Based On 4X Per Year) $244.01 $976.04 $976.04 $723.03 TOTAL FOR C $1,043.01 $4,252.84 $4,336.04 $4,042.13
*** Current Kern County fees are a pass-through with no administrative fee added. Any change in the Kern County fee will be charged by the City to the CDCR based upon the effective date of the updated fee.
D. STANDBY RATES PER YEAR
Estimated Hours Rate per Hour Total
200 $75.00 $15,000.00
E. OVERLOAD CHARGE PER YEAR
Estimated Overages Rate per Ton Total
100 $67.25 $6,725.00
ESTIMATED ANNUAL AMOUNT PER YEAR (A + B.1 + B.2 + C + D + E)
FISCAL YEAR TOTAL
Year 1 (3 months) - 2026/2027 $138,359.00*
Year 2 - 2027/2028 $568,469.00*
Year 3 - 2028/2029 $581,938.00*
Year 4 (9 months) - 2029/2030 $447,632.00*
* Annual rates have been rounded up to the next dollar
TOTAL AMOUNT $1,736,398.00
50% AUGMENTATION AMOUNT $868,199.00
TOTAL AGREEMENT AMOUNT $2,604,597.00
Agreement Number C5613396
Exhibit B-1
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.
TO: Honorable Mayor and Council Members
FROM: M. Scott Hurlbert, City Manager
Tracy Blakemore, Finance Director
DATE: June 2, 2026
SUBJECT: Fiscal Year 2026-2027 General Fund Budget Proposal
Recommendation:
Staff recommends the City Council:
1) Review the General Fund budget for Fiscal Year 2026–2027 and provide feedback prior to finalizing the Fiscal Year 2026–2027 Operating Budget and CIP.
2) Find that this action is not a project as defined under the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15378; no environmental review is required.
Environmental Review:
The staff has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA). It has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA guidelines because the proposed activity consists of a governmental fiscal/administrative activity which does not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required.
Discussion:
This meeting is intended to provide a review and discussion of changes made since the Departmental Budget meetings, along with a high-level overview of the overall General Fund budget. The discussion will focus on broader budgetary items rather than a detailed line-item review and is necessary prior to finalizing the Adopted Operating Budget and Capital Improvement Project documents.
STAFF REPORT
City of Wasco
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Budget Overview
Revenue
Sales Tax
General Sales Tax and Measure X Sales Tax revenues, as estimated by HDL, remain relatively consistent with prior fiscal years, resulting in an overall net decrease of approximately $23K. General Sales Tax is projected to decrease by approximately $54K, while Measure X Sales Tax is projected to increase by approximately $31K.
Local trends in the energy, logistics, and agriculture industries may out -perform these projections. Middle East tensions, in particular, may actually encourage faster energy sector growth in Kern County. If growth returns to pre -war projections of around 3%, the combined sales tax revenue projection would be a net increase of nearly $170,000.
VLF Swap Property Tax
The FY 2026–2027 budget for VLF Swap Property Tax remains consistent with the prior fiscal year at $3.5 million. Actual revenues received in FY 2024–2025 exceeded the budget by approximately $830K. FY 2025–2026 revenues have not yet been fully received to determine whether this trend will continue. The FY 2026–2027 revenue projection remains very conservative and does not budget for excess revenues experienced in FY 2024–2025.
By the end of Q2 FY 2026-2027, trends should be apparent. If the VLF Swap performance persists, revenues could exceed budget projections by as much as $800,000.
General & Administration Allocations
General & Administration (G&A) allocations are projected to increase by approximately $758K in FY 2026– 2027. The increase is primarily attributable to higher salary and operational costs allocated across divisions.
Interest Income
FY 2024–2025 (remains open pending completion of the fiscal year-end close and audit process), interest income was budgeted at approximately $495K while actual revenues received totaled approximately $2.4M. This resulted in an estimated positive variance of approximately $1.9M, which is not currently reflected in the projected fund balance.
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Grant / Intergovernmental Revenue
Grant and intergovernmental revenues are projected to decrease by approximately $486K in FY 2026–2027. This decrease is primarily due to FY 2026 –2027 only recognizing grant revenues that correspond to expenditures recorded within the General Fund, while grant revenues associated with Capital Improvement Projects (CIP) are presented separately under “Other Sources.”
Costs
Operating costs are projected to increase by approximately $2.2 million, primarily due to salary and benefit increases totaling approximately $1.8 million. Salary projections have been budgeted conservatively to reflect a one- step increase for all eligible employees during FY 2026–2027. In addition, vacant positions anticipated to be filled during the fiscal year have been budgeted at a full 12 months of salary. Benefit costs have also been budgeted conservatively using the highest-cost employer health plan option.
Software and hardware costs totaling approximately $433K are now properly included within operating costs for FY 2026 –2027. In FY 2025–2026, these expenditures were budgeted under Capital Improvement Projects (CIP).
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Overall General Fund
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A) The approximately $60 million reflected in the Capital Improvement Projects (CIP) PDF represents the total potential project costs and is not anticipated to be fully expended within FY 2026–2027. Also important to note is that grants provide over $35 million of the $60 million in the CIP, which through reimbursement typically resolve to zero net impact to the General Fund. The FY 2026–2027 budget may initially appear to reflect significantly higher CIP expenditures, transfers in, and transfers out when compared to FY 2025–2026. This is primarily due to all CIP now active being accounted for within the City’s CIP Fund in FY 2026 –2027.
Additionally, the FY 2025–2026 detailed budget did not fully reflect all CIP activity within the CIP Fund, despite the CIP’s fund balance being included as part of the overall General Fund balance in the audited FY 2023 –2024 financial statements.
The ($10 million) in projected (Under) Uses represents the potential deficit that would occur if every CIP project identified within the CIP schedule were completed during FY 2026– 2027. Historically, not all identified projects are undertaken within a sing le fiscal year. Project timing depends upon available funding sources, staffing capacity, and evolving City priorities and needs. As a best practice, the City includes all desired and potential projects within the CIP schedule to assist with long-term planning and to position the City to pursue and obtain outside funding opportunities when available.
B) The projected ending fund balance for FY 2026 –2027 may initially appear concerning or relatively low. However, this projection was calculated using the audited FY 2023–2024 General Fund balance of $31.9 million and adjusted using budgeted (under) uses for FY 2024–2025 and FY 2025–2026 rather than actual year- end results. Both fiscal years were budgeted conservatively. Additionally, CIP projects are budgeted annually, and projects not completed within a fiscal year are typically carried forward into subsequent fiscal years, which may result in projects appearing to be budgeted more than once. As FY 2024 –2025 and FY 2025–2026 are finalized and closed, the fund balance is expected to be positively adjusted to reflect projects and expenditures that were not comp leted or fully incurred. Throughout FY 2026–2027, additional financial reports and updates will be presented to the City Council as prior fiscal years are closed and finalized.
C) For FY 2026–2027, attention is drawn to the ($1.36M) in (under) uses. The proposed FY 2026–2027 Operating Budget was developed using a conservative approach with careful scrutiny applied to expenditures while continuing to maintain service levels and operational needs. Revenue projections were also budget ed very conservatively based on current trends and available information, while expenditures reflect anticipated salary adjustments, operational costs, and broader organizational needs. Staff will continue to monitor revenues and expenditures throughout the fiscal year and provide updates to the City Council as necessary.
A few key factors help contextualize the ($1.36M) (under) uses. First, there is a one- time increase of approximately $1.9M in interest income from FY 2024–2025 that is not currently reflected in the overall fund balance. In addition, VLF Swap Property Tax revenues in FY 2024 –2025 exceeded budget by app roximately $829K; 23 of 24
however, it is uncertain whether this higher level of revenue will continue in future years, and this amount is likewise not reflected in the projected fund balance.
Lastly, salary projections have been budgeted conservatively to reflect a one-step increase for eligible employees during FY 2026–2027. Benefit costs have also been budgeted conservatively using the highest-cost employer health plan option.
CIP Additions
A new CIP project titled “Server Upgrade” totaling $250K has been added to the FY 2026– 2027 Capital Improvement Program. This reclassifies the expenditure from operating costs to a one -time capital expense within the CIP. As a result of this reallocation, the Information Technology budget’s professional services line item has been reduced by $119K.
Subsidy Overview
During the May 13, 2026 City Council Department Budget Meeting, Council adopted the $60K Water Subsidy. During that discussion, Council requested information regarding the subsidy results from prior fiscal years. At present, participation appears to be oversubscribed, and it has been noted that program participation has not been formally audited in prior years. The Finance Department will conduct an internal audit of the Water Subsidy program and will report back to Council upon completion of the review.
Next Steps:
If the General Fund has no further items to address, then Finance will continue with the process to Adopt the Annual Operating Budget and Adopt the Capital Improvement Program at the June 16, 2026 regular meeting.
Fiscal Impact:
No fiscal impact.
Attachments:
None
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