TO: Board of Supervisors
FROM: Ryan J. Alsop, Chief Executive Officer
REPORT BY: Maiko Klieman, Chief Budget Officer
SUBJECT: Fiscal Year 2026-27 Fiscal Strategy and Budget Policies; Fiscal Year 2025-26 Mid-Year Fiscal Review and Recommended Budget Amendments
RECOMMENDATION
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Review and approve the Fiscal Year 2026-27 Fiscal Strategy and Budget Policies; receive a presentation on the Fiscal Year 2025-26 mid-year fiscal review; and approve mid-year budget amendments. (Fiscal Impact: General Fund, $376,000; HHSA, $245,000; Roads Fund, $2,062,766; IHSS Authority, $117,000; Capital Improvement Fund, $55,150; Fleet Management Fund, $526,209; 5th Street Parking Garage, $7,000; Animal Shelter, $121,872; not budgeted; discretionary).
[4/5 vote required]
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BACKGROUND
Staff will present the recommended Fiscal Year 2026-27 Fiscal Strategy and Budget Policies along with the Fiscal Year 2025-26 mid-year fiscal review, focusing particularly on the General Fund. This review enables staff to identify and address any current year budget issues in a timely manner. This review also assists in preparing next fiscal year’s budget, in part by providing an estimate of Fiscal Year 2025-26 ending available fund balance, which becomes the beginning available fund balance for Fiscal Year 2026-27. After an analysis of each departmental budget was completed, using six-months of actual data and projecting through to the end of the fiscal year, adjustments to either revenues or appropriations are being recommended to align with the projections.
The following attachments will be presented for discussion.
- A memorandum that projects the County’s fiscal condition based on a mid-year estimate.
- Exhibit A - Fiscal Year 2026-27 Fiscal Strategy and Budget Policies.
- Exhibit B - Recommended fiscal year 2025-26 budget amendments for various funds.
Requested Actions [4/5 vote required]:
1. Approve the Fiscal Year 2026-27 Fiscal Strategy and Budget Policies (Exhibit A); and
2. Approve Fiscal Year 2025-26 mid-year budget amendments for various funds (Exhibit B).
FISCAL IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
No |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
After a careful analysis of each department, certain adjustments and increases to appropriations are necessary to provide sufficient funding for services provided. Details of the requested budget amendments are attached as Exhibit B. |
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Is the general fund affected? |
Yes |
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Future fiscal impact: |
None |
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Consequences if not approved: |
The fiscal strategy and budget policies will not be updated to reflect recommended changes in the area of the General Fund Contributions and departmental budgets will not have sufficient appropriations to cover estimated expenditures for this fiscal year. |
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Additional Information |
None |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.