Pacifica adopts 2026–27 budget, restores some services and taps Roy Davies fund for Fairmont restroom

The Pacifica City Council on June 22 adopted its fiscal year 2026–27 operating and capital budget, approving the package unanimously after a public hearing and extended discussion about staffing, infrastructure needs and community programs.

Assistant City Manager Julia Carter told the council the recommended budget “is balanced but again not structurally balanced,” and described about $2.8 million in reductions incorporated during the process and a general-fund revenue estimate of roughly $53.8 million. The document projects an undesignated fund balance of about $12.2 million, or roughly 22% of operating expenditures, and a capital improvement program of about $29 million.

The budget keeps in place a series of service restorations directed by council during budget deliberations, including funds to restore the aquatics program for the coming year. Carter said staff has relied on one-time measures such as vacancy savings and benefit deferrals to bridge a structural gap that will persist in future years.

“It gives you a balanced budget for the upcoming year. It doesn’t give you a structurally balanced budget for years to come,” the city manager, Sean, told the council during the presentation, emphasizing the need for continued work on long-term revenue and cost strategies.

During adoption the council also approved the appropriation of $79,110 from the Roy Davies Trust to fund a restroom at Fairmont Park, a project several residents urged at public comment. Betty Duran, speaking remotely on behalf of the Fairmont area, said the neighborhood “has desperately needed a bathroom up at Fairmont Park” and asked the council to use the trust funds for that purpose.

Votes at a glance: - Adoption of FY 2026–27 operating and capital budget (including appropriations and the package of related resolutions): passed unanimously. Motion made by Mayor BS; seconded by Council Member Espinosa. - Appropriation of $79,110 from the Roy Davies Trust for Fairmont Park restroom: included in the budget motion and adopted unanimously. - Resolutions approving the GANN appropriation limit, 2026–27 citywide fee schedule (CPI adjustments only), the investment policy and the purchasing policy: passed unanimously as part of the consent for the budget package.

Budget priorities and context Staff told the council that general fund revenues are budgeted slightly above the revised 2025–26 figure while expenditures are also modestly higher, and that salaries and benefits account for about 70% of the general fund budget. The CIP includes 30 capital projects and six new projects totaling about $2.9 million. Council members and staff repeatedly flagged an ongoing staffing shortfall and larger unfunded infrastructure needs; staff estimated the city would need roughly $8.8 million and about 30 additional positions to reach staffing levels comparable to peer cities.

Community organizations and targeted allocations are included in the adopted budget. Carter noted support appropriations for Fogfest ($25,000), One Shoreline ($10,000), Pacific Beach Coalition ($10,000), Pride ($5,000) and a $100,000 contribution to the Pacifica Resource Center in the housing fund.

What’s next Staff said most of the technical follow-up—fee-study deliverables, cost-allocation analysis, and potential adjustments to user fees—will return to the council in the coming months. The council directed staff to continue the larger work of developing sustainable revenue options and implementation steps for long-term fiscal stability.

The council adjourned with unanimous passage of the budget and related resolutions and asked staff to proceed with the outreach and implementation steps described during the hearing.