Mid-Cycle Biennial
Budget Update
Proposed Adjustments for Budget Year 2
Fiscal Year 2025/2026
May 20, 2025
Biennial Budget for Fiscal Years
FY2024/2025 and FY2025/2026
v Biennial Budget (FY2024/2026) adopted by Town Council May 21, 2024 v Mid-Year Budget Adjustments for Budget Year 1 (FY2024/2025) adopted by Town Council February 4, 2025
v Mid-Cycle Budget Adjustments for Budget Year 2 (FY2025/2026) proposed to Town Council May 20, 2025
v Mid-Year budget adjustments (FY2025/2026) will be presented to Town Council in February 2026 if needed.
v New proposed Biennial Budget (FY2026/2027 and 2027/2028) - workshops beginning in April 2026
Fiscal Year 2025/2026 Highlights
v Balanced budget - Expected revenues can accommodate projected expenditures in all funds.
v General Fund Reserve - Fund balance represents 40% of General Fund expenditures. v This is more than the policy minimum of 35% of General Fund expenditures v Prioirities and Service Levels – Yountville FOCUS
v Yountville Commons (Planning/Permitting/Financing)
v Staff Retention and Upward Mobility
v Economic Development
v Mobility & Energy Resiliency Plans
Focus and Vision Slide
Goals Grid – Collective Wins
Done – Doing – To Do
Next Steps - Off-Cycle Budgeting
General Fund Summary
Review
Proposed General Fund
Mid-Cycle Biennial Budget Update
Document pages 31 - 73
Mid-Cycle Update Major Revenue Projections
Transient Occupancy Tax (TOT)
v Fiscal Year 2025/2026 TOT revenue originally budgeted at $9,049,200 which assumed a 3% increase over FY 2024/2025.
vProposed Mid-Cycle Update shows TOT revenue remaining flat at $8,785,600.
Sales Tax
v Fiscal Year 2025/2026 originally budgeted at $1,758,000. vProposed Mid-Cycle Update shows $1,693,606 in sales tax revenue, a reduction of $64,394.
Projected revenue based on estimates provided by HdL Companies, the Town’s sales tax auditing and consulting firm.
Property Tax
v No change.
Expense Variables Impacting Operating
Departments in Fiscal Year 2025/2026
(General Fund, Water Utility Enterprise Fund, Wastewater Utility Enterprise Fund) v 2.5% Cost of Living Adjustment (COLA) to salaries.
• This is less than the 5% originally assumed.
• Changes to salaries and staffing resulted in updated OPEB & PRSP costs. ü OPEB trust contribution remains at 2% of projected salaries ($89,997) ü PRSP trust contribution remains at 5% of projected salaries ($224,980) v Liability, Worker’s Compensation, and Property Insurance – California Intergovernmental Risk Authority (CIRA) the Town’s risk pool provided updated estimates to these costs. • Original estimate – Fiscal Year 2024/2025 budget + 20% • Revised – expecting Liability to increase 10% (18%), WC to increase 13% (18%), and to Property increase 18% (32%) over current year actual costs.
v Supplies & Services – revisions made based on updated assumptions. Some costs were lowered due to change in need, others increased due to current economic environment.
General Fund - Other Changes
v Yountville share of Regional Climate Action and Adaptation Plan (estimated at $50,000) moved from General Fund Non-Departmental to Upper Valley Waste Disposal Franchise Fee Fund 29.
v Addition of one full-time Deputy Director of Marketing and Economic Development. v Law Enforcement Services costs decreased due to countywide staffing levels and recruitment/retention challenges.
v Fire & Emergency Medical Services costs reduced to assume 5% increase rather than the originally assumed 10%.
Questions?
Revenue Projection Consensus
Utility Funds Review
Water Utility Operating Fund 61 Summary
Document pages 80 - 89
Proposed Usage of
Water Drought Reserve Fund 57 and
Utility Enterprise Capital Project Restricted Fund 06
Mid-Cycle Update proposes:
v $2,000,000 transfer out of the Drought Water Reserve Fund 57 and into Water Capital Improvements Fund 60.
• Staff will formalize a plan for usage in accordance with the policy for Town Council to review and approve.
v $1,000,000 increase to transfer from Utility Enterprise Capital Project Restricted Fund 06 into Water Capital Improvements Fund 60.
• Original Adopted Biennial Budget already included a transfer of $475,000 from this fund into Water Capital Improvement Fund 60. Updated transfer amount would be $1,475,000.
This will support the 1 Million Gallon Water Storage Tank Project WA-0019 as allowable per the Use of Drought Water Reserve Policy.
Wastewater Utility Operating Fund 62 Summary
Document pages 90 - 100
Significant updates to Special Revenue Funds
Document pages 101 - 121
v Measure T/U Transportation Improvement Fund 25
• Revenues and expenditures increased to $844,000 based on data provided by NVTA. v Measure T/U Equivalent Fund 27
• Added $40,000 for Pedestrian & Bicycle Facility Project ST-0038. v Upper Valley Waste Disposal Franchise Fees Fund 29
• Proposed transfer to Capital Projects Fund 50 of $500,000 for waste related projects. v Measure S Affordable and Workforce Housing Fund 71
• Revenues decreased slightly, and Yountville Commons planning phase costs increased by $800,000 to utilize available fund balance.
v Measure A Maintenance Fund 75
• Increased Hydroflush Wiers and Floodwall Operation Program DF-3026 by $15,000. • Added $100,000 for new Town-Wide Flood Management Assessment Project DF-0021. • Added $75,000 for new Oak Circle Spillway and Warning System Improvement Project DF-0022.
Questions?
Capital Improvement Program
Fiscal Year 2025/2026
Mid-Cycle Update
Document pages 129 - 135
Community Facilities
FY 25-26
Fund 50 = General Fund
Fund 71 = Measure S Funds
Fund 81 = Facilities Fund
Community Facilities
CF 0040 Community Center Enhancements
§ Courtyard BBQ Kitchen Space
§ Shade Enhancements
§ General Facility Improvements
Project Insight
Community Facilities
CF 0046 Yountville Commons
§ Dog Park
§ Improvements to Permanent Facilities
§ Schmitt Hall/Boardroom
§ Yountville Fit
§ Farmstand (Coop) & Farmstand Garden
§ Locals Lounge (June 21)
§ Future Planning/Permitting/Financing
§ Civic/Commercial Uses
§ Unmet Resident Needs
§ Prepping for Financing/Funding
§ Saving for Construction
Project Insight
Community Facilities
CF 0051 North Park Facility Enhancements
§ Drainage Improvements
§ Pedestrian Improvements
§ Stabilized Surfaces
Photo Credit: Ryan Hill
Project Insight
Town-Wide Programs and Community Projects
FY 25-26
Fund 50 = General Fund
Town-Wide Programs and Community Project
Project Insight
ST 0035 Mobility Plan and Wayfinding
§ Wayfinding Signs Townwide
§ Year-round festive lighting
§ Facility improvements for
pedestrians, bicyclists and access
CP 0033 Virtual Power Nodes
§ Town Hall generator Repairs and
Replacement
§ Power Nodes
§ Town Hall, Schmitt Hall, Yville Fit Buildings
Town-Wide Programs and Community Project
Project Insight
CP 0035 Workable 3 Bin Waste Sorting
§ Improvements to Trash, Compost, and
Recycling receptacles.
CP 0037 YountFill Water Stations
§ Sparkling water filling stations for public
use.
Drainage and Flood Control Projects
FY 25-26
Fund 50 = General Fund
Fund 75 = Measure A Maintenance Fund
DF 0022 Oak Circle Spillway and Warning System
Project Insights
§ Construction of spillway at Hopper Creek and Oak Circle § Warning system improvements dooring storm
overflow events
Drainage and Flood Control Projects
Streets and Transportation Projects
FY 25-26
Fund 20 = Gas Tax Fund
Fund 25 = Measure T Fund
Fund 26 = SB1 Fund
Fund 50 = General Fund
Fund 82 = Fleet Replacement Fund
Streets and Transportation Projects
ST 0034 New Path Southern Loop
Project Insights
§ Connection from Hopper Creek Trail to Washington
Street
Streets and Transportation Projects
ST 0027 Washington Street South Parking Lot
Project Insights
§ Improvements to grave parking area south of Veterans
Park.
§ 100% pervious pavers over traditional asphalt
Water Distribution Projects
FY 25-26
Fund 60 = Water Enterprise Funds
Water Enterprise Projects
Project Insight
WA 0019 Well Water Storage Tank w/ 3-Day Emergency Supply § Design of 1 mg Water Tank and
infrastructure
Water and Wastewater Reclamation Projects
FY 25-26 Fund 63 = Wastewater Funds
Fund 64 = Wastewater Collection Funds
Wastewater Enterprise Projects
Project Insights
WW 0011 Wastewater Reclamation Facility Office Modernization § Addition and site improvements to existing office building Questions?
General Fund Reserve
Proposed General Fund
Reserve
Allocations
Revenues Revenues
Assigned for Budget/Legal Contingencies
FY 2025/2026 allocation set at $678,942
(5% of General Fund Expenditures)
General Fund Reserve
FY 2025/2026 Estimated Ending Fund Balance $5,575,466
40% of General Fund expenditures
Document page 79
Preparing for the Future: How Does the Town Respond to a Potential Emergency?
General Fund Financial Forecast
Document page 25
Forecasting revenues (sources) and expenditures (uses) provides insight to what the Town’s finances may look like in the out years based on known data and reasonable assumptions.
Public Comment &
Direction to Staff
Budget Adoption
Next Steps
vMake any adjustments per Town Council direction if given. vIf adopted, finalize document for publication.
• Complete any necessary grammar, spelling, and formatting improvements • Publish Online Budget Book - accessible from Town website • Budget Document – PDF version of Online Budget Book accessible from Town website and available to view at Town facilities
vAttach to existing biennial budget as Addendum
vPrepare for next mid-year and budget workshops in April 2026