PREPARED BY: ARTURO CASTILLO DATE OF MEETING: 03/16/2026
SUBJECT:
TITLE
CONSIDER ADOPTING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN PABLO APPROVING THE MID-YEAR BUDGET AMENDMENT TO THE BIENNIAL 2024-26 YEAR-2 ADOPTED BUDGET FOR FISCAL YEAR 2025-26 TOTALING $2,858,817
CEQA: THIS IS NOT A PROJECT AS DEFINED BY CEQA.
Label
CITY MANAGER RECOMMENDATION
Recommendation
Adopt Resolution
BODY
COMPLIANCE STATEMENTS
FY 2023-2025 Council Priority Workplan Compliance Statements:
Continue Best Management Practices, Fiscal Excellence, and Fiscal Transparency is a major policy goal contained in the FY 2024-26 City Council Priority Workplan,
BACKGROUND
On May 20, 2024, the City Council adopted the FY 2024-26 Biennial Budget via Resolution 2024-064, establishing the City's two-year financial plan. Throughout the fiscal cycle, City staff routinely monitors revenue and expenditure performance and recommends adjustments to ensure alignment with operational needs and updated financial projections.
As part of this ongoing fiscal oversight, on August 4, 2025, the City Council adopted Resolution 2025-104, approving a 2024-26 Biennial Budget Mid-Cycle Amendment totaling $593,508. This action incorporated updated revenue estimates, contract cost increases, telecommunications service adjustments, and Special Revenue Fund spending needs.
The current FY 2025-26 Mid-Year Budget update builds upon these earlier adjustments and reflects updated revenue and expenditure trends through the midpoint of the 2025-26 Fiscal Year (FY). This Mid-Year update addresses projected revenue and expenditure shortfalls identified in Finance Department staff's FY 2025-26 fiscal analysis. The net fiscal impact totals ($2,858,817) comprised of a total revenue decrease of ($1,171,729), and a total expenditure increase of $1,687,088 representing an increase over the adopted budget.
Revenue Reductions
Three major revenue sources are projected to come in below adopted budget estimates:
1. C...
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