City of Williams
Fiscal Year 2026 Update
as of February 28, 2026
Agenda
• Provide economic and revenue updates
• Explain volatility in key revenues
• Review General Fund expenditures
• Review Enterprise Fund expenditures
2 Current Economic Overview
• No change from previous meeting. Moderate economic
growth with cooling consumer spending
• Overall, inflation has slowed down
• Gas price volatility impacts our sales taxes
3 Revenue Volatility
• Two of our most volatile revenues are Sales Taxes and Transient Occupancy Taxes.
• Sales taxes derived from gas taxes are more volatile as they are impacted not only by demand but also the widely
fluctuating price swings in gas prices.
4 Sales Tax Revenues (Receipts Through
February 2026)
Budget Projection Variance %
• FY 2026 Bradley Burns Sales Tax $1,598,567 $1,664,917 $66,350 • FY 2026 Add-on Tax $ 949,662 $ 873,208 ($76,454)
• Total FY2026 Sales Taxes $2,548,229 $2,538,125 ($10,104) -0.4% • Receipts through February 2026:
• Bradley Burns $872,416
• Add-on Taxes $434,858
5 Sales Tax Projections
• Our sales taxes receipts received through February 2026 reflect six months of sales tax receipts for FY2026 (2 full quarters).
• The current estimate is based on 6 months of actual receipts. • Based on most current information available.
6 Transient Occupancy Taxes (TOT)
• FY 2026 Budget $465,945
• Receipts to date $295,500
• Projected FY 2026 TOT projection $479,551
• Projected Surplus ($ Amount / %) $ 13,606 2.8%
• Our TOT taxes are 2.8% higher than budget. This tax will be impacted by swings in the economy.
7 Note: Annual departmental insurance has been prorated to reflect monthly usage.
GENERAL FUND BUDGET
YTD
ACTIVITY
% to
BUDGET NOTES
Revenues: $ 5,744,157 $ 3,242,292 56.4% Property tax installments typically received in February, May, and July.
Forecasted Revenue $ 5,747,659 Sales tax receipts lag by 3 months with small amount of income in first 3 months.
Revenue Variance $ 3,502 Monthly reviews of Sales and Transient Occupancy Taxes included with Treasurer's Expenditures:
City Council $ 307,590 $ 50.1% 153,993
City Clerk $ 120,054 $ 60.4% 72,542
City Administrator $ 144,217 $ 54.5% 78,609
Finance $ 421,636 $ 59.4% Budgets include annual Infrastructure and vehicle contributions of $100k and $50k. 250,633 Police $ 2,330,295 $ 1,358,041 58.3%
Fire District $ 867,000 $ 75.0% 650,250
Planning $ 246,804 $ 58.5% 144,391
Building $ 182,418 $ 45.3% 82,609
Parks $ 222,040 $ 67.2% 149,103
Recreation $ 123,061 $ 58.3% 71,801
Buildings & Grounds 430,640 $ $ 50.0% 215,462
Public Works $ 154,467 $ 64.6% 99,827
Swimming Pool $ 91,805 $ 68.4% Higher proportion of usage occurs in summer. Reflects pool use in July and August. 62,799 Storm Drain $ 60,783 $ 50.7% 30,829
Total 5,702,810 $ $ 3,420,888 60.0% Expenditures trending in line with approved budgets.
General Fund Financial Status Report as of February 28, 2026 (66.7% of Year) Budgets include annual LAFCO, League of California Cities and attorney fees.
Third Quarterly payment made in January 2026.
General Fund Expenditures
• Expenditures across departments tracking at 60% through February 2026.
• Spending patterns consistent with adopted budget
9 Note: Annual departmental insurance has been prorated to reflect monthly usage.
Fund BUDGET
YTD
ACTIVITY
% to
BUDGET NOTES
Water - Fund 270
Revenues: $ 1,225,441 $ 845,206 69.0%
Expenditures: 1,318,378 $ $ 806,755 61.2%
Net Income (Loss) (92,937) $ $ 38,451
Sewer - Fund 271
Revenues: $ 2,420,413 $ 1,633,823 67.5%
Recoverable Costs: 600,000 $ $ 121.9% 731,525
Total Revenues 3,020,413 $ $ 2,365,348
Expenditures: 2,849,417 $ $ 1,827,820 64.1%
Net Income (Loss) 170,996 $ $ 537,528
Expenditures trending in line with budgets. Annual insurance expense has been prorated for the period.
Includes prorated portion of annual Sewer Debt Service Payment of $363,965.
Recoverable costs dependent upon continued intake of sludge. Last intake from November 2025.
Water and Sewer Enterprise Funds Financial Status Report as of February 28, 2026 (66.7% of Year)
Expenditures trending in line with budgets. Annual insurance expense has been prorated for the period.
Revenues trending in line with budgets, reflects higher usage in summer months.
Sewer Revenues in line with budget.
Questions