Crescent City council adopts fiscal year 2025–26 budget, establishes police debt service fund

The Crescent City City Council voted unanimously to adopt the city's fiscal year 2025'26 budget and to approve three related resolutions, including creation of a new debt service fund for a planned police department facility.

Director of Administrative Services/Finance Linda Lieberup presented the final budget after multiple workshops and staff review. The council then voted to adopt Resolution No. 2025-24 (annual budget), Resolution No. 2025-25 (selection of factors for the appropriations limit calculation) and Resolution No. 2025-26 (establishing a new debt service fund for the police facility project).

City Manager Eric Weir and Lieberup told the council the budget incorporates the Measure S recommended expenditures the Measure S oversight committee reviewed. Major Measure S allocations in the adopted budget include roughly $600,000 for the fire department (staffing, equipment and training), roughly $600,000 for the police department (three patrol officers, tasers, body and dash cameras, and initial debt service funding for future facility work), and more than $450,000 toward the swimming pool (staffing, maintenance and a portion of the pool roof project). Streets and capital projects also received Measure S deposits, with three larger street projects planned over the next 18 months estimated in the mid-hundred-thousand-dollar range each.

The budget includes a mix of one-time capital projects and ongoing staffing changes: temporary increases and training positions to cover retirements, additional lifeguard hours, recruitment for an HR manager, a school resource officer now funded in partnership with the school district, and a small number of interns. Internal service and capital funds include server replacements and cybersecurity work in IT and planned repairs to facilities and equipment.

Staff presented current-year estimates and assumptions used to roll the numbers forward. If the city hits its conservative spending assumptions, Lieberup told the council the general fund ending balance would be approximately $3.5 million, of which about $200,000 is reserved for Measure S initiatives and $2.7 million is held to meet the council's 25% operating reserve policy. That leaves an estimated $600,000 of unallocated discretionary funds under the forecast if the city spends within assumptions.

The budget also funds a large RV park grant project (Explore the Coast grant, approximately $835,000) to remodel restroom facilities and add two ADA-accessible cabin units; sewer and water funds include SCADA upgrades, required permit studies and a booster-pump assessment; and staff noted sewer and water funds have declining working capital that will be addressed in upcoming rate studies.

The motion to adopt the three resolutions carried unanimously. Clerk roll call recorded "yes" votes from Councilmember Darren Dooley, Councilmember Greenough, Councilmember Candace Tinkler, Mayor Pro Tem Wright and Mayor Ray Altman.

The council directed staff to continue pursuing identified grants and to return with follow-up items related to police and fire staffing needs, sewer and water rate studies and implementation steps for capital projects. The city will begin the new fiscal year on July 1 and monitor budgets and grant reimbursements throughout the year.

Vote: unanimous in favor (Dooley, Greenough, Tinkler, Mayor Pro Tem Wright, Mayor Altman).