City Council

B. FISCAL YEAR 2025-2026 MID-YEAR BUDGET UPDATE\nThe mid-year budget update report reviews the financial performance of the\nGeneral Fund, Mission Playhouse Fund and the Retirement Fund through\nJanuary 31, 2026. The General Fund serves as the primary operating fund for\nthe City. This update analyzes revenue and expenditure trends, incorporates\nadditional appropriations since the budget’s adoption, and projects the\nfinancial results for the fiscal year ending June 30, 2026. The report also\nprovides explanations for the changes reflected in the mid-year budget update.\nCalifornia Environmental Quality Act (CEQA) Determination: Not a Project as\ndefined in Section 15378 of the State CEQA Guidelines.\nRecommended Action:\nStaff recommends that the City Council:\n1. Receive and file the mid-year budget update report; and\n2. Adopt Resolution No. 26-06 approving mid-year adjustments to the fiscal\nyear 2025-26 budget.