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Upland committee previews $5M shortfall in proposed FY2026–28 budget; staff recommends one-time fixes

Upland Finance Committee · April 29, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

City finance staff told the committee the proposed biennial budget shows a $5.0 million deficit in FY2027 and $5.3 million in FY2028. To narrow the gap, staff recommended reallocating insurance costs, drawing on the 115 trust and economic uncertainty reserve, pausing park-lease earmarking for two years and other one-time moves before sending the plan to council May 18.

Upland’s finance committee on April 29 reviewed a proposed biennial budget that staff said contains a structural shortfall of about $5.0 million for fiscal 2027 and $5.3 million for fiscal 2028.

"The budget, as currently proposed, represents a $5,000,000 deficit for fiscal year 27 and a $5,300,000 deficit for fiscal year 28," said Stacy Sullivan, the city’s finance manager, during a committee presentation. Sullivan said higher personnel costs, rising insurance premiums and lower sales-tax receipts are the main drivers of the gap.

Sullivan and other staff laid out a package of largely one-time measures intended to reduce the immediate shortfall without cutting personnel: reallocating property and facility insurance costs to the funds that own the assets (which staff estimate would free roughly $1.7 million for the general fund over two years); drawing $1.2 million from the city’s 115 trust in FY27 and $1.14 million in FY28; and using the economic uncertainty…

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