SUSAN McSWEENEY BRAD HALPERN RAY PEARL NED E DAVIS KELLY HONIG Mayor Mayor Pro Tem Councilmember Councilmember Councilmember
MINUTES
Study Session Meeting of the City Council
May 13, 2026
CALL TO ORDER
The Study Session meeting of the Westlake Village City Council was called to order by Mayor McSweeney on Wednesday, May 13, 2026 at 4:34 p.m., at 31200 Oak Crest Drive, Westlake Village
ROLL CALL:
PRESENT: Councilmembers Honig, Davis, Pearl, Mayor Pro Tem Halpern, and Mayor McSweeney
ABSENT: None
Also Present: City Manager de Geus, City Attorney Boga, Assistant City Manager Wilson, Planning Director Asp, City Engineer Hughes, Assistant to the City Manager Mott, Public Works Manager Iverson, Accountant Leeds, and Deputy City Clerk Kramer.
PUBLIC COMMENTS: None
STUDY SESSION:
REVIEW OF THE DRAFT OPERATIONS BUDGET FOR FISCAL YEAR 2026-27 City Manager de Geus provided opening remarks and presented the budget operating and capital expenditures. Due to significant carryover and capital commitments in Fiscal Year (FY) 2025-26, staff emphasized fiscal discipline and reduced capacity for new Capital Improvement Projects (CIP).
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STUDY SESSION (continued):
Assistant City Manager Wilson, along with consultants Matt Pressey of Government Finance Services and Mary DeLaRosa of Neumo, presented an overview of key revenue sources and financial projections, including sales tax, property tax, transient occupancy tax, investment earnings, and five-year and ten- year General Fund forecasts.
Ms. Wilson stated that the proposed FY 2026-27 citywide budget totals approximately $23.9 million, a 10.1% ($2.68 million) decrease from the prior year, primarily reflecting reductions in the Capital Improvement Program. The General Fund represents 72% of total expenditures with restricted funds comprising the remaining 28%.
Citywide revenues are projected at $22.1 million, with General Fund revenues estimated at $18.3 million, supported primarily by sales tax, property tax, and transient occupancy tax. Sales and property tax revenues are projected to grow modestly, while transient occupancy tax revenues are expected to decline slightly from the prior year's event-driven increase.
Proposed General Fund expenditures total $17.2 million, resulting in an estimated $1.12 million operating surplus. Public Safety remains the largest General Fund expenditure, followed by Parks and Recreation, Public Works, Administration, and Development Services. Personnel costs reflect modest increases due to salary adjustments and benefits; however, overall staffing levels remain unchanged.
Mr. Pressey presented five-year and ten-year financial forecasts, indicating revenues are expected to exceed expenditures throughout the forecast period, while noting potential risks related to inflation, interest rates, and broader economic conditions.
Ms. Wilson reviewed the City's fiscal resiliency efforts, including strong reserve levels, investment diversification, debt management, and continued funding of pension and Other Post-Employment Benefits (OPEB) obligations. The General Fund reserve is projected at approximately 54% of operating expenditures, consistent with City policy and reflecting a conservative financial position.
The CIP Restricted reserve was established in 2013 at 20%-30% of the City's operating budget, with contributions made as surplus funds were available. The current estimate is approximately $3.8 million. Staff requested Council direction on potential changes to the CIP Reserve Policy and reported that no standard minimum exists for municipalities. Absent Council direction, the current reserve City Council Study Session Minutes
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STUDY SESSION (continued):
level policy remains in effect. The FY 2025-26 restricted CIP reserve is projected at approximately $3.8 million as of July 1, 2026, consistent with Assistant City Manager Wilson concluded the presentation by highlighting stars total ass in matein exte malin riding ranian savings 1, providing significant savinas to thi costs. These revenues, totaling approximately $2.2 million, are derived from a combination of county ballot measures, state statutes, and lease payments, and are allocated to support services such as street maintenance, transit, public safety, recycling, stormwater compliance, and facility improvements.
The Administrative Committee (McSweeney/Halpern) reviewed the proposed budget and expressed support for both the zero-based budgeting methodology and the City's overall fiscal position. The City Council received the report and provided direction to staff to prepare the final FY 2026-27 budget for adoption at a future meeting.
City Manager de Geus noting that while the forecast is positive, ongoing uncertainty remains due to unpredictable economic conditions, local events, and potential policy changes that could impact the City's finances. He emphasized the goal is not only to maintain a balanced budget but also to ensure it is resilient and capable of withstanding future uncertainties.
City Council comments expressed pride in the City's strong planning and financial management, noting that Westlake Village remains a model community despite global uncertainty. Councilmembers highlighted the importance of serving residents and public safety, praised the quality and stability of staff, and emphasized the importance of remaining fiscally conservative and thanked staff for the thorough draft budget proposal.
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ADJOURNMENT:
Mayor McSweeney adjourned the meeting at 5:32 p.m. to the regular session scheduled for 6:30 p.m.
Suse M' Swery
Susan McSweeney, Mayor
Attest:
Carre krone
Carol Kramer, Deputy City Clork