City Council

5.\nAMENDED BUDGET REVIEW AND RESOLUTION ADOPTING FY 2026-27 BUDGET\nADJUSTMENTS – F2M25-17, R2M26-12\nOn June 23, 2025, the City Council adopted the Fiscal Years 2025-26 and 2026-27\nBudget. On February 23, 2026, the Mid-Year Budget Review was presented, and the City\nCouncil approved the recommended budget adjustments for Fiscal Year 2025-26. Since\nthen, staff has continued to monitor revenues and expenditures and is now presenting the\nAmended Budget Review to update the City’s financial projections and appropriations for\nFiscal Year 2026-27. Fiscal Year 2025-26 ended with an unappropriated surplus of\n$2,007,354, primarily attributable to higher-than-anticipated revenues. These increases\nwere driven by stronger-than-projected property tax receipts resulting from rising\nassessed values, CPI adjustments, and property reassessments, as well as growth in\nservice charges, grant reimbursements, and interest earnings. These gains were partially\noffset by declines in sales tax revenues and transfers supporting capital improvement\nprojects. For Fiscal Year 2026-27, staff presents an Amended General Fund Budget\nreflecting a projected deficit of $1,482,209. When combined with the Fiscal Year 2025-26\nsurplus, the overall unappropriated surplus is $525,145. Historically, such surpluses have\nbeen allocated to priority needs, including reserve contributions, capital repair and\nreplacement, pension and retirement obligations, and the acquisition of essential\nequipment. Appropriations to these efforts are made through City Council-approved\nbudget adjustments.\nRecommended Action:\nCity Council receive and file the Amended Budget Review\nfor Fiscal Year 2026-27 and related reports; and, adopt Resolution No. R2M26-12\nentitled: A Resolution of the Alhambra City Council adopting Fiscal Years 2025-26 and\n2026-27 Budget adjustments of the City of Alhambra, Golf Course Clubhouse Corporation,\nAlhambra Capital Improvements Corporation, Alhambra Parking Authority, Alhambra\nFacilities Financing Authority and the Alhambra Public Financing Authority approving the\nFiscal Year 2026-27 budget adjustments.