Sunnyvale council adopts a set of budget supplements; discusses Homestead bike lanes, parks, golf and wastewater projects

Sunnyvale's City Council on May 22 approved a package of budget supplements and looked across a multi‑year financial plan while hearing residents and commissions advocate for safety and infrastructure projects. The council voted 7-0 to add a set of recommended budget supplements (including funds for study issues and a set of transportation and parks items), and directed staff to pursue several workstreams through the budget process.

The vote came after an all-day workshop where staff presented the city manager's recommended FY 2025-26 budget and a 20-year financial plan. City Manager Tim opened the workshop by urging long-term thinking about the city's financial posture and said "Sunnyvale is known for its fiscal responsibility, you know, from our 10 year balanced budget to our 20 year plan." Finance Director Matt Pollan and the budget team walked the council through revenue forecasts, reserve strategies and targeted service additions.

Why it matters: The council's decisions will set the city's operating priorities and capital investments for the coming year and affect projects that residents have sought for years — from bike lanes to park renovations and clean water upgrades. The approved supplements add time‑limited funding for study issues and capital items, and the discussions clarified which costs are one‑time versus ongoing.

Key outcomes and topics

Budget supplements and the council vote: Councilmember Mellinger moved the staff recommendations with the addition of the Project Labor Agreement (PLA) study item to be pulled "above the line," and the motion passed 7-0 (Mayor Klein; Vice Mayor Sell; Councilmembers Cisneros, Mellinger, Srinivasan, Chang and Lay). The action directed staff to include the approved supplements in the final recommended budget and to carry out the studies and capital work as scoped in the supplemental spreadsheets.

Bicycle safety and Homestead Road: Multiple public speakers and council members prioritized completing full-time bike lanes on Homestead Road and funding safety studies at Fair Oaks intersections. Charlene Loo, speaking during public comment, said, "Fair Oaks is dangerous to cross," urging the council to fund signal upgrades. Several speakers who bike Homestead urged final design and funding to finish a project the council approved in 2023.

Bike‑lane sweeping and maintenance: The recommended budget included a smaller, more-conservative proposal for bike‑lane sweeping (option b) rather than an immediate purchase of a dedicated micro-sweeper. The supplemental request that the council adopted funds overtime and a microtransit operations coordinator and includes a smaller scale sweeping option intended to use current resources while preserving the ability to scale up if the network expands.

Parks funding and golf debate: Residents and a Parks and Recreation Commission member questioned the share of park dedication fees earmarked for golf course projects. Public speakers and some councilmembers pushed staff to clarify how much of the parks dedication fund is reserved for golf versus neighborhood parks and open space. Staff said the 20-year plan currently shows large investments across parks: roughly $270 million for non‑golf park projects and an estimated $130 million for golf‑related infrastructure over the same period; staff described those as high‑level estimates that will be refined as master plans and public outreach proceed.

Lakewood and other park projects: The council reviewed several park projects in design or construction, including the new Corn Palace Park (nearing completion), Lakewood Park renovation and Plaza del Sol phase 2. Staff said Corn Palace Park construction is nearly finished and a grand‑opening will be scheduled.

Golf enterprise fund: Staff presented an updated long‑term projection for the golf and tennis enterprise fund. The budget assumes the fund will continue to be largely self-supporting but includes a modest general‑fund subsidy beginning in FY 2029-30 in the current plan; council discussion signaled a desire to keep the golf operation as self‑sustaining as practicable while the master‑planning work proceeds.

Clean Water Program and wastewater projects: Environmental Services and Public Works described the multi‑phased Clean Water Program underway at the wastewater treatment plant, including the recently completed primary headworks and major under‑construction secondary treatment facilities. Staff emphasized the program's scale and federal/state grant and loan relationships. A member of the public raised the Baykeeper litigation concerning the city's wastewater treatment; staff noted legal and project activity but did not present a legal update at the workshop.

SV Hopper microtransit: A remote speaker highlighted the SV Hopper microtransit project and a $4 million grant that includes five years of funding; staff said the recommended budget includes an annual operations line for a microtransit operations coordinator and matching funds as part of the service level set aside so the city can stand up the shuttle and administer the grant.

Project Labor Agreements (PLA) study issue: Labor organizations urged the council to pull a PLA study issue above the line; UA Local 393 representatives described apprenticeship and training benefits and urged the council to explore project labor agreements. Council voted to add the PLA study into the approved supplements for staff study.

Safe parking seed grants: The council approved a one‑time competitive grant pool to help nonprofit or faith‑based organizations convert sites (repaving, portable facilities and site improvements) to host a safe parking program. Staff explained that operational elements (case management, ongoing security) will be handled under separate operational arrangements and any city‑operated site would be brought back for specific funding.

Reserves, pensions and long‑term plan: Staff reiterated that Sunnyvale is drawing on reserves in the near term as part of a planned long‑term strategy to address pension liabilities and sustain capital investment. The finance presentation showed how a pension trust and assumed future plan actions smooth expected peaks in required pension payments.

Quotes from the workshop

City Manager Tim (opening): "Sunnyvale is known for its fiscal responsibility, you know, from our 10 year balanced budget to our 20 year plan."

Finance Director Matt Pollan: "I very much appreciate the team and the work they put in. I'm very proud of the work product that we've put before you today."

Public commenter Charlene Loo (on Fair Oaks): "Fair Oaks is dangerous to cross."

Public commenter Jonathan Blum (on Homestead bike lanes): "This project has been in progress for more than a decade."

What the council directed staff to do

- Include the approved supplements in the final budget for adoption (vote 7-0). - Proceed with study issues that the council approved, including the PLA study and others listed in the workshop supplement packet. - Continue work on design and grant applications for Homestead Road bike lanes, Fair Oaks safety improvements and park projects; return to council with implementation details and any funding gaps.

What happens next

- Staff will publish errata and follow‑up attachments ahead of the public hearing on the budget (the city manager noted public hearing and adoption dates in June). - The council will consider final budget adoption on the scheduled adoption date; staff will return with any requested additional detail before adoption.

Ending

The workshop brought residents, commissions and council into a single‑day review of Sunnyvale's recommended budget and long‑range capital planning. Council members asked staff for more detail in several areas — particularly parks, golf funding, Homestead Road bike lanes and the Clean Water Program timeline — and approved a set of budget supplements to move the plan forward into adoption.

Votes at a glance

- Adopted (motion by Councilmember Mellinger; second Vice Mayor Sell): budget supplements 1, 2 (with PLA pulled above the line), 3, 4, 5 and 6 as described in the workshop packet. Outcome: approved 7-0 (Mayor Klein; Vice Mayor Sell; Councilmembers Cisneros, Mellinger, Srinivasan, Chang and Lay).