San Ramon outlines fiscal year 26 budget with $71.5M projected expenditures

The San Ramon City Council convened for its second budget workshop on April 22, 2025, to discuss the fiscal year 2026 budget, which is projected to reach $71.5 million. This budget represents a 10% increase from the midyear budget of fiscal year 2025 and aims to establish a baseline while addressing the city's evolving financial needs.

City Finance Director highlighted the importance of this budget as a planning document that reflects community priorities, as identified in a recent survey. The survey indicated that residents value maintaining public parks, ensuring police protection, and preserving open spaces. Notably, 74% of the General Fund resources will be allocated to Public Works, Parks and Community Services, and the Police Department, aligning with these community priorities.

The budget discussion categorized expenditures into three types: non-discretionary, discretionary, and potential savings. Non-discretionary costs, which total $6.8 million, include mandatory expenses such as employment contracts and retirement benefits. Discretionary costs, amounting to $1.6 million, cover optional enhancements to programs and operational efficiencies. Additionally, a potential savings factor of $2.2 million, based on historical budget performance, aims to narrow the gap between projected and actual expenditures.

Key departments were highlighted during the meeting. Police services are projected to consume $23.2 million of the budget, reflecting a 12% increase primarily due to adjustments in pension cost accounting. Public Works is set for $19.3 million, a 3% increase, while Parks and Community Services will receive $10.4 million, marking a 16% increase. The latter two increases are also attributed to the reallocation of pension costs from the previous fiscal year.

The Finance Director emphasized the need for ongoing discussions with the council and the community to refine the budget further. The next steps include finalizing a needs assessment report and addressing staffing vacancies within the finance department. The council is encouraged to provide input on specific details they wish to see in the upcoming budget presentation scheduled for May 13.

In conclusion, the workshop underscored the city's commitment to aligning its budget with community needs while navigating the complexities of financial management. As the council prepares for future discussions, the focus will remain on ensuring fiscal responsibility and transparency in the budgeting process.