Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget topic
No spam. Unsubscribe anytime.
Belvedere budget faces $2.8M shortfall as FEMA BRIC pullback imperils Beach Road grant
Summary
Belvedere staff told the council the city’s FY2025–26 budget will top $14.2 million, driven by a planned $3.79 million Beach Road stabilization project and rising pension and healthcare costs; staff said FEMA’s pullback of BRIC funding means the city must use reserves and seek state grants to cover some work.
Belvedere’s preliminary FY2025–26 budget projects total spending of about $14.2 million — the largest in the city’s history — with capital costs driven by a $3.79 million Beach Road stabilization project, staff said.
“The total budget for fiscal year 25 26 is slightly over 14,200,000, making it the largest in Belvedere's history,” Director of Finance Helga told the council during the May 12 presentation. Helga said operating revenue is estimated at about $10.8 million against operating expenditures of roughly $10.1 million, producing an operating surplus, but capital spending pushes the overall budget into a $2.8 million deficit for the year.
The city manager told council members the Beach Road plan has been years in the making; the capital outlay will be funded largely by excess general‑fund balance and transfers from a critical infrastructure reserve built for this purpose. City Manager Robert Zadnik also warned of a new complication: FEMA has “discontinued all of its BRIC program funding,” which removes previously anticipated grant support for coastal resiliency work. “This project without grant funds is a costly endeavor for the city of Belvedere,” he said, and staff are pursuing state grant options and smaller, prioritized repairs that can be paid from the general fund.
Councilors pressed staff on the drivers of personnel cost growth — Helga pointed to an agreed cost‑of‑living adjustment, rising pension obligations (CalPERS) and more employees enrolling in family health plans. The packet shows a multi‑year increase in pension liabilities allocated to the city’s budget forecasts.
Staff framed the draft budget as a conservative plan that preserves reserves while financing a major near‑term capital project; council members asked for follow‑up materials and noted that some service enhancements (notably additional police coverage) would require tradeoffs or new revenues. The council will review the budget again at a public hearing and consider adoption on June 9.
