City Council

A. Fiscal Year 2026/27 Budget Update (page 25)\nPresented by the City Manager\nRecommendation:\nThe City Council is recommended to receive an update, discuss, and\nprovide direction on the FY 26/27 General Fund Budget.\nThe FY 26/27 General Fund Budget reflects a structural imbalance where\nongoing and recurring expenditures exceed recurring revenues. Since the\nApril\n2026\ninitial\nbudget\ndiscussions,\nstaff\nhas\nimplemented\napproximately $800,000 in maintenance and operations reductions and\nupdated expenditure projections, resulting in a current gap of $1.5M. The\nremaining options to address the gap require policy-level decisions\nregarding service levels, staffing, expenditures, and revenues.