Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Utilities topic
No spam. Unsubscribe anytime.
Council reviews FY2027 utility and special fund proposals, including broadband subsidy and IT capital needs
Summary
Finance staff outlined FY2027 proposals: broadband fund requires a 5% general fund contribution (~$22,668), the IT fund requests $100,000 for computer replacements, and staff proposed a mix of rate adjustments and use of reserves across utility funds with a tentative budget scheduled for May.
Finance Director Anna Montoya reviewed the city’s FY2027 budget development process and highlighted key items in special and utility funds.
Montoya said the broadband fund is not self‑sustaining and currently requires a General Fund contribution equal to 5% of revenue—approximately $22,668—to comply with state code; she also reported an approximate 3.5% increase in personnel and operating costs. On IT, Montoya said the internal service fund includes a $100,000 capital request for the annual computer replacement program and a placeholder for potential future finance software implementation.
Montoya reviewed utility funds including culinary water, pressurized irrigation (PI), sewer, and stormwater. She said culinary water rates have not increased since 2019 and a rate increase is proposed for FY2027; PI rates were held flat pending Council direction. She noted sewer revenue is projected higher in part because of a proposed 15% TSSD pass‑through adjustment and that staff are considering the timing and scale of any future TSSD cost absorption. The tentative budget will be presented in May with final adoption in June.
