Item No.
STAFF REPORT
DATE: April 27, 2026
TO: Honorable Mayor and City Council
FROM: Dr. Sean M. Moore, City Manager
PREPARED BY: Ryan Blackerby, Interim Director of inance Lucia Garcia Armenta, Accounting Supervisor
SUBJECT: Budget Adjustments Report — April 2026
RECOMMENDATION:
That the City Council:
1. Approve the Budget Adjustments Requiring Council Approval; or
2. Provide further direction to staff.
BACKGROUND/DISCUSSION:
Staff may, on a quarterly and as -needed basis, present a variety of budget adjustments requiring the approval of the City Council. When presented, these changes include an explanation and justification for each transaction. Included as an attachment to the report are adjustments that have been identified by monitoring department budgets. See Attachment 1. Adjustments are segregated by fund and department as appropriate.
FISCAL IMPACT:
The fiscal impact to each fund is detailed in the attachment.
Attachment(s):
1. Budget Adjustments Requiring Council Approval
ATTACHMENT 1
Budget Adjustment Report —April 2026
Attachment 1
Budget Adjustments
Fiscal Year 2025-26
General Fund
A budget adjustment is necessary in the General Fund to increase the transfer -out to the Housing Authority fund in the amount of $158,963. This transfer represents reimbursement to the Housing Authority Fund for payroll -related costs that were initially paid by that fund but should have been allocated to the General Fund. This adjustment will eliminate the negative fund balance of $158,963 in the Housing Authority Fund.
Budgetary salary savings in the General Fund will offset the cost of this adjustment.
Specifically, $82,005 in budgetary salary savings from the Economic Development Division and $76,958 in budgetary salary savings from the Community Development Division will fully cover the required transfer.
General Capital Projects Fund
A budget adjustment is required in the General Capital Projects fund to increase expenses in the amount of $246,519 to upgrade the HVAC system at the Scherer Senior Center and to increase the revenue in the CDBG Special Revenue Fund and authorize a transfer from the CDBG Special Revenue Fund to the General Capital Project Fund in the amount of $246,519. CDBG-CV funding will be used to upgrade the existing HVAC systems at the Scherer Senior Center. The upgrades will make the system more energy efficient and improve ventilatiori in the Senior Center.
TDA Article 3 Fund
• In 2024, the City, in coordination with Omnitrans, received TDA Article 3 funding to install bus shelters at seven Omnitrans bus stops citywide. During implementation, one of the planned bus stops was renovated as part of a separate adjacent project, eliminating the need to install a shelter at that site. As a result, project expenditures eligible under the grant were lower than originally anticipated. A budget adjustment is required in the TDA Article 3 Fund to reduce expenditures by $2,416. Accordingly, a transfer of $2,416 from the PMP Fund is required to align with the final reimbursement amount.
Lower Water Crossing Fund
Ongoing coordination is required with Caltrans staff and the Inland Empire Resource Conservation District, to acquire additional grant funding for the Low Water Crossing projects at Pendleton Avenue and Fremont Street at Wilson Creek. In order to coordinate, staff is requesting additional funding of $35,000 for Pendleton Avenue, and $65,000 for Fremont Street at Wilson Creek, to continue these efforts. Funding will come from the General Fund.
Budget Adjustment Report —April 2026
Attachment 1
CalTrans Special Revenue Fund
• A budget adjustment is required in the CalTrans Special Revenue Fund to increase revenues and authorize a transfer in the amount of $6,404 from the General Fund to correct a negative fund balance caused by differences between grant expenditures and reimbursement receipts, and to properly align revenues with finalized grant reimbursements.
Measure I Special Revenue Fund
• During fiscal year 2024 the City submitted multiple reimbursement claims to the San Bernardino County Transportation Authority (SBCTA) for eligible project expenditures to be funded with Measure I CPNA (City Project Needs Assessment) funding. When the reimbursements were received, the actual grant amounts were less than the amounts originally recorded and reflected on the submitted claim forms. As a result, a budget adjustment is necessary in the Measure I CPNA Special Revenue Fund. This adjustment will increase revenues to align with the finalized grant reimbursement amounts actually received, authorize a transfer of $231,342 from the Traffic Facilities Capital Projects Fund to the Measure I CPNA Special Revenue Fund, and will correct the negative fund balance caused by differences between when project expenditures were incurred and when grant reimbursements were received.