Los Banos staff lays out $165 million citywide spending plan; adoption set for June 17

Finance Director Minnie Morirana presented the Los Banos proposed FY 2026–27 budget during a public hearing on June 3, describing a plan the city will return to the council to adopt on June 17.

Morirana said the general fund revenues are projected at $29.5 million, with operating expenditures of $27.7 million and one-time general fund uses of $12.6 million for projects including a design services center, parking and sign work, and vehicle and equipment purchases. She described a capital program across funds of about $71 million that includes street overlays, a planned EOC/fire station, and other infrastructure investments.

The proposed budget funds 27 new positions across departments and allocates reserves (including a 30% fiscal stability reserve). Morirana said citywide revenues are projected at $122 million while total expenditures are estimated at $165 million; the budget will be returned for formal adoption on June 17.

Public commenters sought clarity on several line items. Kathy Ballard asked whether Measure H funds were being used for the design services center; staff replied the DSC funding is assigned funds but not Measure H. Other questions covered pickleball court lighting (staff said the lighting will roll into FY 2026–27 bid work), the Colorado Ballpark (city staff said the project is in design and earlier figures referenced phased spending), and why street maintenance changed from a citywide fog-seal schedule to targeted slurry and overlay work. Public Works staff said a grand-jury recommendation led to a targeted fog-seal approach and that the city is moving to a slurry/overlay rotation to preserve pavement condition.

Council members praised staff for the presentation and reserved final action for the June 17 meeting.