Treasure Island Development Authority staff presented the board with a draft fiscal‑year 2025–27 budget on Jan. 8, outlining three budget categories: authority costs that must be funded from leasing revenues, city costs that are billable and reimbursable, and a subsidy budget for affordable housing and park startup costs.

Director Bob Beck, presenting the draft, said: "The overall budget is some 7 point, almost $7,400,000 lower than last year's budget." He described the three budget buckets and said the authority cost budget is approximately $14,700,000, the city cost budget about $6.4 million and the subsidy budget about $6.1 million (figures as stated in the presentation). Beck said the decrease is largely tied to the pacing of draws from the housing subsidy as several affordable projects moved through predevelopment.

Parks and maintenance: the presentation projected a rise in parks and open‑space maintenance spending as new parks come online. Staff proposed holding TIDA’s annual park subsidy at $1,500,000 (the stated cap) with the remainder expected to come from Community Facility District (CFD) ongoing maintenance funds and other sources; staff indicated a placeholder of roughly $1,000,000 for Rec and Park staffing ramp‑up in late FY26. The presentation included an illustrative multi‑year ramp to about $3.647 million for new parks maintenance by FY27 (figure provided in materials as a projection to be refined).

Board concerns and requests: board members repeatedly asked for more detailed breakdowns of park maintenance and CFD funding sufficiency, the timeline of Rec and Park staffing, and whether the authority will retain enough operational control to set specific rules for individual parks. Director Linda Richardson requested clearer itemization of external subsidies and asked staff to identify city‑level services that could be assumed by city agencies. Several board members raised the Department of Public Health decision to discontinue the island clinic; staff said DPH cited low utilization and a policy change that no longer allowed a single clinician to staff the clinic alone, which doubled operating costs.

Other budget points: staff noted a proposed delay in initiating debt service payments on a submarine cable reimbursement in FY26 (the repayment is expected to be financed later via certificates of participation). Staff also identified one‑time expenditures likely to drop in FY26, such as a planned make‑whole payment for Starview Court as lease‑up completes. The draft budget will be refined with Rec and Park staffing detail and returned to the board in February; the department must submit materials to the city administrator and Mayor’s Office on the city’s budget schedule.

What the board will see next: staff said they will return with a more detailed parks maintenance plan, CFD revenue projections and the Rec and Park management agreement options. Board members asked for a historical comparison of budget estimates and actuals, and staff agreed to provide a line‑by‑line reconciliation for prior fiscal years.