Encinitas council approves midyear budget amendments, adds funds for storm drain repairs

At a special meeting Feb. 26, 2025, the Encinitas City Council reviewed and filed the fiscal year 2024–25 midyear budget status report and adopted two resolutions to implement midyear budget amendments, including $450,000 in supplemental capital appropriations for storm drain work.

The action, described in staff presentations by Interim Finance Director Tom Gallup and Finance Manager Kelly Sanderson, aligns the city’s budget with six months of actual activity and makes several revenue and transfer adjustments to reflect receipts and project closures. "The purpose of this report is to provide an update on the current fiscal year operating budget and submit recommendations for additional budget amendments," Gallup told the council during the presentation.

The midyear package increases estimated revenues citywide by $2,700,000, raises budgeted expenditures by $900,000 and records changes to interfund transfers tied to project closures and new appropriations. In the general fund, staff proposed a $200,000 increase in estimated revenue, a $400,000 increase in budgeted expenditures and a $300,000 increase in net transfers (including $120,000 of transfers in from closed projects and $450,000 of capital transfers out to the Capital Improvement Fund for storm drain work). Staff said the net effect on the general fund would be a $500,000 decrease in the unassigned fund balance while maintaining a balanced budget overall.

Two capital appropriations were specifically requested by public works: $250,000 for the annual storm drain repairs project (CD25A)…