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HomeMy WebLinkAboutCC 03-03-2026 Item No. 10 City Manager's Mid-Year Financial Report_Staff Presentation_REVISEDCC 3-3-2026 #10 City Manager's Mid-Year Financial Report - REVISED Presentation March 3, 2026 Fiscal Year 2025-26 Mid-Year Financial Report 10 Year Forecast Update FY 2025-26 Mid-Year Update Recommended Mid-Year Budget Adjustments Other Budget Items Recommendations Agenda 3 4 Recession scenario Sunset of Utility User Tax in November 2030, resulting in a loss of revenue of over $4M annually Resumption of $2M transfers to Capital Reserve Sheriff’s Contract Scenario FY 2025-26 Mid-Year Update FY 2025-26 Amended Budget – By Fund ($ in Millions) General Fund Revenues – Year over Year General Fund Expenditures – Year over Year General Fund - Fund Balance (in millions) Note: Q2 Year-End Projections assume budgeted revenues and expenditures are fully collected and incurred. Fund balances do not consider City Council actions after December 31, 2025. Proposed Mid Year Budget Adjustments Fund Balance (use of) ExpenseRevenueFund ($645,138) $634,677 $663,616 $653,155 $18,478General $131,100-$131,100Internal Service ($514,038) ($503,577) $663,616 $653,155 $149,578Total All Funds Budget Requests by Fund Recommended Budget Adjustments Fund Department Revenue Expenditure Change in Fund Balance Proposal GENERAL FUND 100 General Fund Administration - City Attorney's Office - 410,000 (410,000) City Attorney's Office Contract Services Administration - City Attorney's Office - 10,461 (10,461)Senior Assistant City Attorney salary alignment - remainder of FY 2026 100 General Fund Admin Services - 75,000 (75,000) Finance consulting, additional auditing and tax services pun group 100 General Fund Innovation & Technology - 15,000 (15,000) ADA Closed Captioning 100 General Fund Parks & Recreation 18,478 15,944 2,534 Hidden Treasures Proceeds 100 General Fund Public Works - 6,111 (6,111) Emergency HVAC Compressor Replacement 100 General Fund Non-Departmental - 131,100 (131,100) IT PEG Transfer Out TOTAL GENERAL FUND 18,478 663,616 (645,138) 653,155 (634,677) INTERNAL SERVICE FUNDS 610 Innovation & Technology Innovation & Technology 131,100 - 131,100 IT PEG Transfer In TOTAL INTERNAL SERVICE FUND 131,100 - 131,100 TOTAL ALL FUNDS $ 149,578 663,616 (514,038) $ 653,155 $ (503,577) •Senior Assistant City Attorney Salary Alignment (Staff Recommends this request to be deferred to a future date) •Development Services Division Salary Savings for 3rd Party Inspection Services Staffing •As of December 31, 2025, the City Manager’s Discretionary Fund has only been used for Property Appraisal Services for 10480 Finch Avenue at a cost of $7,400 •Staff will continue to report on the use of this fund City Manager Discretionary Fund 1.Accept the City Manager’s Mid-Year Financial Report for Fiscal Year 2025-26; and 2.Adopt Resolution No. 26-XXX approving Budget Modification No. 2526-433, increasing appropriations by $663,616 653,155 and revenues by $149,578 resulting in use of $514,038 503,577 in one-time unassigned fund balance Recommendations Questions?