Measure H projection nears $4.8 million; FY26 plan directs majority to police

The Measure H Citizens Oversight Committee reviewed draft fiscal-year figures and a proposed FY2026 budget on Aug. 20, hearing that Measure H revenues are expected to total just under $4.8 million for the year if a consultantestimate for the June payment holds.

The committee heard that payments through May amount to about $4.4 million and the consultant estimates an additional roughly $396,000, "which would bring us to a total of just under $4,800,000," the finance director said, noting the June payment had not yet been posted on the state's site. The director cautioned that the June figure is an estimate and the total will be confirmed when the state posts actual receipts.

On the expense side, the finance director reported year-to-date FY2025 Measure H expenses at about $4.8 million, roughly $167,000 over the budgeted amount, and said the variance is driven mainly by police personnel costs and by a payroll conversion. "Finance is going to be reviewing those numbers closely to ensure that everything was allocated properly and that Measure H is only being allocated for the police officers in which they should be allocated," the director said.

Deputy Finance Director Sonia Ledesman presented the adopted FY2026 city budget and the Measure H appropriation. "On 06/23/2025, the city council adopted fiscal year '26 budget, which includes a total appropriations of 96,000,000," Ledesman said. She said the city projects $4.8 million in Measure H revenue for FY2026 with proposed Measure H expenditures totaling $4.7 million.

Ledesman outlined the proposed allocation of Measure H funds: 60% to the police department, including $2.4 million budgeted for salaries to support 10 officers and $425,000 for police operations and maintenance, and 40% to the city's fire service contract with the city of Modesto, with about $1.9 million budgeted for that contract. She said Measure H would make up about 18.1% of the police department's total budget and about 24% of Modesto's fire contract.

Why it matters: Measure H is a local public-safety funding source; the committee monitors whether revenues and spending align with the measure's intent. Committee members asked for final FY2025 expense numbers after finance completes its review of the payroll conversion and requested that staff confirm the posted state receipts once available.

Next steps: Finance will finalize FY2025 expense allocations and report back when the state's June payment is posted. The FY2026 appropriation presented to the committee reflects the city-council-adopted budget and will move forward according to the city's normal budget monitoring processes.