Paramount council adopts FY 2026–27 budget, approves $48.8M revenue plan and appropriations

The Paramount City Council on June 9 adopted the city’s fiscal year 2026–27 spending plan and related appropriation limit by approving resolutions 26023 and 26024.

Finance Director Lana told the council the general fund revenue budget for FY26–27 was projected at $48.8 million, an increase of about $1.6 million (3%) over the prior year. She said the proposed general fund expenditure budget is $49.4 million and staff recommended targeted cost‑saving measures, including a citywide 5% reduction in some departmental requests, position vacancies management and deferred equipment replacements.

Lana summarized year‑end FY25–26 estimates, reporting an estimated general fund surplus of about $384,000 and projected adjusted surplus of approximately $272,000 after an $850,000 loan to the water fund for capital needs. She said the water fund faces ongoing structural pressure, with a projected net loss of roughly $1.4 million for FY26–27 and an accumulated loan balance to the water fund that staff will address via a forthcoming rate study.

"The general fund is estimated to end the fiscal year with a surplus of about 384,000," Lana said during her presentation.

After brief council remarks thanking staff for work on the budget, Councilmember Lemmons moved to adopt resolution 26023 and resolution 26024. Roll call votes for both motions were recorded as Councilmember Lemmons — yes; Vice Mayor Claire Stallings — yes; Mayor Olmos — yes. The motions carried. The council noted the budget remains balanced but flagged the limited cushion available and longer‑term liabilities such as retiree benefits.

Staff also highlighted that the capital projects fund is projected to draw down approximately $7.4 million in FY25–26 and staff will continue to evaluate long‑term funding and reserve strategies.