Published on July 16, 2026
This community update shares budget highlights as City kicks off a new fiscal year, focusing on City service enhancements, continuations and service changes. As of July 1, a new fiscal year began including implementing new Council-adopted annual operating and capital budgets.
Following a series of public hearings in May and City Council deliberations in June, the Council adopted a Fiscal Year 2026-27 operating budget that addressed a projected $17.1 million General Fund deficit. The General Fund or operating budget funds most City departments and services such as community and library services, police, fire, and emergency medical services, transportation, planning and code enforcement. This budget navigates a period of adjustment in major tax revenues and fiscal constraints, noting reduced sales tax due to changes by the state administration and reduced growth projections for property tax.
The Council adopted budget addresses the fiscal limitations through multi-year budget balancing strategies, makes permanent the FY 2026 budget reductions and tackles unanticipated expenditures such as contracted train crossing monitors, oversized vehicle (OSV) program and adjustments to retiree medical benefit costs. With greater effort on government efficiencies, these balancing strategies yield better outcomes, and achieve Council's priorities including minimizing community impacts. This update highlights what community members will see this fiscal year (July 1,2026 to June 30, 2027).
Read the full update.