CITY COUNCIL AGENDA PACKET - Laserfiche WebLink

Budget SummaryBudget Summary The Two-Year Operating Budget (Operating Budget) is projected to be $248.2 million in FY 2025/26, which represents a 1.8 percent increase from the FY 2024/25 Modi{ed Budget, and $257.5 million in FY 2026/27. The Operating Budget is comprised of a number of funds that are summarized in the following categories of funds, as shown below in Table 1: Table 1: Summary of Expenditures by Major Fund Types*Table 1: Summary of Expenditures by Major Fund Types* The only funds not included in the Operating Budget are the Capital Projects Funds. In light of the City’s {nancial challenges, the FY 2025/26 and FY 2026/27 operating budgets re|ect signi{cant personnel and non-personnel reductions to ensure {scal stability and address deferred maintenance needs while maintaining core services. The operating budget also includes adjustments related to salary and fringe bene{ts pursuant to adopted labor agreements as well as increased PERS pension contributions. There are several non- personnel increases related to general liability insurance, utilities, and payment to Costco associated with traf{c and street improvements. Increases in each expenditure category are described in more detail below. General FundGeneral Fund General Fund operating revenues, including transfers, are projected to total $162.9 million in FY 2025/26, a 2.6 percent increase over the FY 2024/25 Modi{ed Budget, and $169.3 million in FY 2026/27. General Fund operating expenditures, including transfers, are projected to total $165.2 million in FY 2025/26, a 3.9 percent increase over the FY 2024/25 Modi{ed Budget, and $171.2 million in FY 2026/27. The following chart presents a comparison of the revenues and expenditures from FY 2023/24 to FY 2026/27. 28 Page 309 of 682