Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Finance topic
No spam. Unsubscribe anytime.
Board hears budget office projection: board fund condition shows roughly $3.4M reserve, staff flag renewal‑fee volatility
Summary
DCA budget staff reported projected revenues and expenditures for the board’s fund, leaving a projected reserve of about $3.385 million (≈7.5 months). Staff cautioned that personal‑service cost increases and unanticipated legislation could create pressure; board discussed renewal‑fee cycles, retirements and regulatory levers.
Luke Fitzgerald, budget analyst with the Department of Consumer Affairs budget office, presented the California Architects Board’s expenditures, revenue projections and fund‑condition statement on Nov. 6, 2025.
Fitzgerald said the board began the fiscal year with a base budget of $4,782,000 and projected expenditures of approximately $4,627,000, resulting in a modest projected reversion of about $155,000. For fiscal year 2025–26 he summarized projected receipts of just over $5 million — about $527,000 from initial licenses, $4,345,000 from renewals and roughly $226,000 from citations, fines and other receipts — and projected a year‑end reserve of about $3,385,000 (approximately 7.5 months of operating reserve).
Staff explained that the fiscal projections reflect data through fiscal month 2 and that revenue projections apply a historical high/low trend to later years. Suzanne Balcos, budget manager, told members that renewal revenue fluctuates in ‘‘high’’ and ‘‘low’’ renewal years and that an earlier spike in retirements had been accounted for in projections. Board members asked whether recent fee changes are reflected in the numbers; staff responded that the board currently charges a $400 renewal fee (adopted by regulation previously) and that the board obtained statutory authority in its last sunset bill to raise the statutory cap above $400, but would need to promulgate regulations and justify any fee increase when and if it becomes necessary.
Board members discussed non‑personnel levers for managing the fund, noting typical historical reversions of $500,000 to $900,000 in recent years, and discussed holding vacant positions as one way to reduce personnel costs. Staff also noted that AB759 (architect‑in‑training) creates an implementation workload the board intends to fund through a separate fee stream when regulations are developed; the AIT provisions do not take effect until Jan. 1, 2027.
Why it matters: The board’s fund condition and renewal revenue trajectory determine whether the board must seek a fee increase, adjust staffing, or pursue other administrative changes to maintain adequate reserves and sustain regulatory operations. Board members pressed staff for ongoing monthly updates and emphasized monitoring retirements, renewal patterns and potential legislative impacts.
