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CC SR 20260616 02 - FY26-27 Budget Adoption (UPDATED 20260611) PUBLIC HEARING - NON-ADJUDICATIVE Date: June 16, 2026 Subject: Consider adopting the Fiscal Year 2026-27 Budget for all City funds, the Five-Year Capital Improvement Program, and budget for the Improvement Authorities. Recommendation: 1) Adopt Resolution No. 2026-___, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES APPROVING A BUDGET APPROPRIATION AND ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR FISCAL YEAR 2026-27; and, 2) Adopt Resolution No. IA 2026-___, A RESOLUTION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY ADOPTING THE OPERATING BUDGET FOR FISCAL YEAR 2026-2027. 1. Report of Notice Given: City Clerk Takaoka 2. Declare Public Hearing Open: Mayor Seo 3. Request for Staff Report: Mayor Seo 4. Staff Report & Recommendation: Robert Moya, Deputy Director of Finance 5. Council Questions of Staff (factual and without bias): 6. Public Testimony: General Public 3 Minutes Each. 7. Council Questions of Public Testimony (factual and without bias): 8. Declare Hearing Closed/or Continue the Public Hearing to a later date: Mayor Seo 9. Council Deliberation: The Council may ask staff to address questions raised by the testimony, or to clarify matters. Staff and/or Council may also answer questions posed by speakers during their testimony. The Council will then debate and/or make motions on the matter. 10. Council Action: The Council may: vote on the item; offer amendments or substitute motions to decide the matter; reopen the hearing for additional testimony; continue the matter to a later date for a decision. CITY COUNCIL MEETING DATE: 06/16/2026 AGENDA REPORT AGENDA HEADING: Public Hearing AGENDA TITLE: Consider adopting the Fiscal Year 2026-27 Budget for all City funds, the Five-Year Capital Improvement Program, and budget for the Improvement Authorities. RECOMMENDED COUNCIL ACTION: (1) Adopt Resolution No. 2026-___, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES APPROVING A BUDGET APPROPRIATION AND ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR FISCAL YEAR 2026-27; and, (2) Adopt Resolution No. IA 2026-___, A RESOLUTION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY ADOPTING THE OPERATING BUDGET FOR FISCAL YEAR 2026-2027. FISCAL IMPACT: The Citywide Fiscal Year (FY) 2026-27 Budget for all funds includes total Revenues of $64.3 million, $10.3 million of Transfers -In, and $12.9 million from fund balances. The Budget also includes approximately $77.2 million in expenditures and $4.1 million in annual Transfers-Out. The Budget includes one-time Transfers-Out from the prior year and current unallocated fund balances, including approximately $0.4 million to the Employee Pension Service Fund, approximately $0.9 million to the Capital Infrastructure Projects (CIP) Fund for the annual Ladera Linda Community Park loan payment, approximately $2.4 million to the CIP Fund for landslide -related projects funded from prior year unallocated balances, and an additional $2.5 million transfer from available unallocated fund balance to support ongoing landslide response and infrastructure priorities within the CIP Fund. For General Fund, the FY 2026-27 Operating Revenues are $42.5 million and $0.3 million in Transfers-In. The Budget also includes $37.5 million in Operating Expenditures, and $9.9 million of Transfers-Out ($3.8 million of annual transfers to various funds a nd $6.2 million from prior year’s unallocated fund balance ). The total annual and additional Transfers-Out to the CIP Fund is $9.2 million, which meets City Council Reserve Policy and exceeds the projected Transient Occupancy Tax (TOT) revenues of $6.7 million by approximately 37%. 1 A summary of the projected fund balance for ALL funds is included in Attachment C-1, FY 2026-27 Fund Balance Budget Summary and CIP Projects. VR Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Robert Moya, Deputy Director of Finance RM REVIEWED BY: Vina Ramos, Director of Finance VR APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Resolution No. 2026-___ (page A-1) B. Resolution No. IA 2026-___ (page B-1) C. FY 2026-27 Fund Balance Budget Summary and CIP Projects (linked) D. June 2, 2026 City Council Staff Report (linked) BACKGROUND: The City Council is being presented this evening with the FY 2026-27 Budget, for all funds, as a public hearing for adoption consideration. The required Public Notice was published in the Palos Verdes Peninsula News on May 28 and June 4, 2026. In summary, the City Council’s budget process consists of the following steps culminating in this evening’s adoption consideration: The FY 2026-27 Budget includes City Council direction provided on April 20, May 4, May 18, and June 2, 2026. At the preliminary budget meeting on June 2, the City Council unanimously approved the budget recommendations with no further modifications or changes. The comprehensive staff report for the FY 2026-27 Budget presented at the June 2 meeting and the CIP project description are attached (Attachments D). Additionally, detailed analyses and assumptions presented at the prior workshops are incorporated by reference in the following staff report links: City Council Goals Workshop February 23 Budget Workshops April 20 (GF) May 4 (CIP) May 18 (CIP) Preliminary Budget June 2 Budget Adoption June 16 2 • February 23, 2026 – City Council Goal Setting Workshop • April 20, 2026 – General Fund Budget Workshop • May 4, 2026 – CIP Budget Workshop • May 18, 2026 – CIP Budget Workshop 2 • June 2, 2026 – Preliminary Budget DISCUSSION: FY 2026-27 Budget Highlights The FY 2026-27 Budget reflects the City Council's direction provided throughout the budget process, including the Goal Setting Workshop and subsequent budget workshops conducted between February and May 2026. The proposed budget totals approximately $64.3 million in total revenues and $77.2 million in total expenditures across all City funds. General Fund revenues account for approximately 66% of total revenues, while General Fund expenditures represent approximately 48% of total budgeted expenditures. The difference between total revenues and expenditures is primarily attributable to the use of previously appropriated fund balances, funding from restricted and grant funding sources, and General Fund Transfers-Out to continue supporting capital improvement projects. As shown in Charts 1 and 2, the General Fund remains the City's primary operating fund, accounting for the largest share of both revenues and expenditures citywide. Chart 1: Revenues – All Funds Continued on Next Page $42.5 66% $1.7 3% $19.8 31% $0.3 0%General Fund CIP Special Revenue Funds Other Funds in millions* $64.3M 3 Chart 2: Expenditures – All Funds *$12.9M is primarily attributable to the use of previously appropriated fund balances, funding from restricted and grant funding sources, and General Fund Transfers-Out to CIP Fund to continue supporting capital improvement projects. General Fund Revenue General Fund revenues and transfers-in are projected at approximately $42.8 million, with Property Tax remaining the largest revenue source at approximately $19.0 million, followed by Transient Occupancy Tax (TOT) at approximately $6.9 million. Together, these two revenues account for approximately 60% of General Fund funding. Chart 3 illustrates the amounts and allocations of the major revenue sources in the General Fund. Continued on Next Page $37.5 48% $12.2 16% $26.2 34% $1.3 2% General Fund CIP Fund Special Revenue Funds Other Funds in millions* $77.2$77.2M in millions* 4 Chart 3: FY 2026-27 General Fund Revenues by Sources FY 2026-27 General Fund Expenditures General Fund expenditures are projected at approximately $37.5 million and continue to prioritize the services identified by the City Council and the community. Public Safety represents the largest departmental expenditure category, followed by Public Work s, Administration, and Recreation and Parks. Personnel costs, operations and maintenance expenditures, and the Los Angeles County Sheriff's contract remain the City's primary operating cost drivers. Chart 4 on the nest page shows the General Fund expenditures by department and their respective contribution in percentage to the City’s overall total expenditures. Continued on Next Page $42.5M in millions* 5 Chart 6: FY 2026-27 General Fund Expenditures – by Department The FY 2026-27 Budget maintains compliance with City Council Policies No. 41 and No. 45 by preserving reserve levels and maintaining a structurally balanced operating budget. Following projected revenues, expenditures, and approved transfers, the General Fund is projected to end FY 2026-27 with approximately $35.0 million in total fund balance, including approximately $10.2 million in unallocated fund balance after satisfaction of reserve policy requirements. A calculation of the Draft FY 2026-27 Fund Balance is illustrated in Table 1 below. Continued on Next Page $37.5M in millions* 6 Table 1: FY 2026-27 General Fund – Projected Fund Balance Summary Capital Improvement Program The FY 2026-27 CIP totals approximately $30.9 million and includes 19 projects focused on roadway improvements, landslide stabilization efforts, sewer and storm drain infrastructure, facility improvements, and parks and recreation amenities as illustrated in Chart 7 below. The CIP continues the City's pay-as-you-go approach to infrastructure investment through a combination of special revenue funds, grants, and General Fund transfers. Chart 7: FY 2026-27 Capital Improvement Program (By Funds and Category) General Fund FY 2025-26 Revised Budget FY 2025-26 Year-End Estimates FY 2026-27 Draft Budget Beginning Fund Balance 33,270,667$ 33,270,667$ 33,422,365$ Add: Revenues 41,562,700 42,462,048 42,502,450 939,750 2.3% Add: Transfers-In 320,000 320,000 320,000 - 0.0% Total Revenues and Transfers 41,882,700 42,782,048 42,822,450 939,750 2.2% Less: Expenditures (38,870,199) (36,267,200) (37,462,360) (1,407,839)-3.6% Less: Transfers to CIP (TOT) (3,374,150) (3,374,150) (3,425,800) 51,650 1.5% Less: Other Transfers-Out (230,000) (230,000) (335,000) 105,000 45.7% Total Expenditures and Transfers (42,474,349) (39,871,350) (41,223,160) (1,251,189)-2.9% Projected Ending Fund Balance 06/30/2026 32,679,018 36,181,365 35,021,655 2,342,637 7.2% City Council Policy No. 41 Reserve Policy Less: Additional Transfers - CIP Ladera (PY Unallocated) (889,500) (889,500) (889,500) - 0.0% Less: Additional Transfers - CIP Landslide (PY Unallocated) (1,469,500) (1,469,500) (2,384,700) 915,200 62.3% Less: Additional Transfers - CIP Landslide (Unallocated) - - (2,500,000) Less: Transfers to Pension (PY Unallocated) (400,000) (400,000) (400,000) - 0.0% 50% Reserve Policy (17,000,000) (17,000,000) (18,607,200) 1,607,200 9.5% Projected Unallocated Fund Balance 12,920,018$ 16,422,365$ 10,240,255$ (2,679,763)$ -21% Change Increase/(Decrease) from Revised Budget $11.0 35% $20.0 65% CIP Fund Special Revenue Funds $30.9M in millions* 7 CONCLUSION: Staff recommend that the City Council consider adopting the attached resolutions (Attachments A and B) thereby approving and adopting the FY 2026-27 Budgets for the City and the Improvement Authorities. A summary of the projected fund balance for ALL funds is included in Attachment C-1, FY 2026-27 Fund Balance Budget Summary and CIP Projects. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 1) Do not adopt the FY 2026-27 Budget for all City funds, the Five-year CIP, and budget for the Improvement Authorities. 2) Identify modifications to the FY2026-27 Budget. 3) Take other action, as deemed appropriate. 47% $14.4 34% $10.6 10% $3.0 6% $1.8 2% $0.7 2% $0.5 $0.0 $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 $14.0 $16.0 Right-of-Way Landslide Sewer & Storm Drain Abalone Cove Sewer Repairs Building Parks/Open Space/Rec in millions* 8 RESOLUTION NO. 2026-___ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES APPROVING A BUDGET APPROPRIATION AND ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGET FOR FISCAL YEAR 2026-2027. WHEREAS, on June 16, 2026, the City Council opened a duly published Public Hearing to receive public input regarding the budget for Fiscal Year (FY) 2026-27. BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES: Section 1: That a revenue and expenditure/expense budget is hereby adopted. The adopted budget, by fund, is per Exhibit A with a total Estimated Ending Fund Balance of $58,188,786 for all City funds (net of City Council Policy Reserves) as of June 30, 2027, exclusive of the City’s Improvement Authorities. A. The City Manager is authorized to transfer certain Budget Appropriation Balances within functions and/or programs when deemed necessary to do so in accordance with Chapter 3.32 of the Rancho Palos Verdes Municipal Code. B. City Council approval will be required for any significant changes involving increased or decreased service levels. C. The Director of Finance shall be responsible for constant monitoring of the budget and shall establish and implement appropriate control mechanisms necessary for said purpose, after approval by the City Manager. Section 2: The FY 2026-27 Revenue Budget is hereby adopted, establishing the following Governmental and Internal Service Fund contribution levels: A-1 Resolution No. 2026-__ Page 2 of 6 101 - GENERAL FUND 42,502,450$ 330 - CIP 1,704,591 202 - GAS TAX 1,280,988 203 - 1972 ACT LANDSCAPE/LIGHT 414,460 204 - GAS TAX-SB1 1,276,301 209 - EL PRADO LIGHTING DISTRICT 5,462 211 - 1911 ACT STREET LIGHTING 1,009,883 213 - WASTE REDUCTION 220,990 214 - AIR QUALITY MANAGEMENT 44,841 215 - PROPOSITION C 903,166 216 - PROPOSITION A 1,166,195 217 - PUBLIC SAFETY GRANTS 242,987 220 - MEASURE R 783,774 221 - MEASURE M 4,061,802 222 - HABITAT RESTORATION 2,060 223 - SUBREGION ONE MAINTENANCE 26,710 224 - MEASURE A MAINTENANCE 580,515 225 - ABALONE COVE SEWER DISTRICT 65,534 228 - DONOR RESTRICTED CONTRIBUTION 57,775 310 - CDBG 230,000 331 - FEDERAL GRANTS 3,934,715 332 - STATE GRANTS 1,795,378 334 - QUIMBY PARK DEVELOPMENT 2,163 336 - LOW-MODERATE INCOME HOUSING 54,631 337 - AFFORDABLE HOUSING PROJECTS 32,136 338 - ENVIRONMENTAL EXCISE TAX 7,940 340 - BICYCLE/PEDESTRIAN ACCESS 174,248 343 - MEASURE W 1,459,122 681 - EQUIPMENT REPLACEMENT 197,700 682 - EMPLOYEE PENSION PLAN 40,891 TOTAL GOVERNMENTAL FUND REVENUES 64,279,408$ A-2 Resolution No. 2026-__ Page 3 of 6 Section 3: The FY 2026-27 Budget is hereby adopted, establishing the following transfers into the following funds: *(1) Excludes $15,000 transfers-in from the General Fund to the Improvement Authority – Portuguese Bend; (2) CIP transfers-in includes $889,500 for Ladera Linda payment, $3,425,800 to CIP Fund, and $4,884,700 as an additional transfer to CIP Fund from unallocated General Fund balance per City Council Reserve Policy, and; (3) Includes $400,000 to Employee Pension per Pension Guidelines from the unallocated General Fund balance. Section 4: The FY 2026-27 Budget is hereby adopted, establishing the following transfers from the following funds: *(1) Includes $15,000 transfers-out from the General Fund to the Improvement Authority – Portuguese Bend; (2) General Fund transfers-out include $889,500 for Ladera Linda payment, $335,000 to various funds, $3,425,800 to CIP Fund, and $4,884,700 as an additional transfer to CIP Fund from unallocated General Fund balance per City Council Reserve Policy, and; (3) Includes $400,000 to Employee Pension per Pension Guidelines from the unallocated General Fund balance. Section 5: The FY 2026-27 Operating and Capital Improvement Budget Programs are hereby adopted, establishing the following allocations. 101 - GENERAL FUND 320,000$ 330 - CIP 9,200,000 222 - HABITAT RESTORATION 215,000 223 - SUBREGION ONE MAINTENANCE 55,000 225 - ABALONE COVE SEWER DISTRICT 50,000 682 - EMPLOYEE PENSION PLAN 400,000 *TOTAL OPERATING TRANSFERS IN 10,240,000$ 101 - GENERAL FUND 9,935,000$ 217 - PUBLIC SAFETY GRANTS 240,000 224 - MEASURE A MAINTENANCE 80,000 *TOTAL OPERATING TRANSFERS OUT 10,255,000$ A-3 Resolution No. 2026-__ Page 4 of 6 1110 - CITY COUNCIL 97,100$ 1210 - LEGAL SERVICES - CITY ADMIN 1,248,800 1310 - CITY CLERK ADMINISTRATION 657,800 1311 - CITY CLERK ELECTION 174,500 1410 - CITY MANAGER 1,309,000 1420 - COMMUNITY OUTREACH 115,700 1430 - EMERGENCY PREPAREDNESS 274,600 1440 - RPV TV 271,600 1450 - HUMAN RESOURCES 559,400 1470 - INFORMATION TECHNOLOGY - DATA 1,169,600 1480 - INFORMATION TECHNOLOGY - VOICE 115,000 2110 - FINANCE ADMINISTRATION 1,715,600 2999 - NON-DEPARTMENTAL 2,448,200 3110 - PUBLIC WORKS ADMINISTRATION 3,713,300 3120 - TRAFFIC MANAGEMENT 267,000 3130 - STORM WATER QUALITY 121,500 3140 - BUILDING MAINTENANCE 611,800 3150 - TRAILS & OPEN SPACE MAINT 1,158,100 3151 - PARKS MAINTENANCE 932,500 3160 - SEWER MAINTENANCE 100,000 3180 - STREET LANDSCAPE MAINTENANCE 573,400 3230 - FUEL MODIFICATION 320,000 3240 - VEHICLES MAINTENANCE 125,000 4110 - COMMUNITY DEVELOPMENT ADMIN 924,900 4120 - PLANNING 1,360,800 4130 - BUILDING & SAFETY 1,363,000 4140 - CODE ENFORCEMENT 179,600 4150 - VIEW RESTORATION 230,900 4170 - GEOLOGY 170,000 4180 - ANIMAL CONTROL 190,000 4190 - CASP 9,000 5110 - RECREATION ADMINISTRATION 1,865,400 5121 - EASTVIEW PARK 124,950 5122 - OPEN SPACE MANAGEMENT 610,450 5123 - PRESERVE PARK RANGERS 441,000 5130 - FRED HESSE JR. PARK 294,200 5131 - CONTRACT CLASSES 145,800 5140 - ROBERT E. RYAN PARK 130,200 5150 - LADERA LINDA COMMUNITY CENTER 389,500 5160 - ABALONE COVE SHORELINE PARK 3,000 5170 - SPECIAL EVENTS & PROGRAMS 312,000 5171 - CITY RUN SPORTS & ACTIVITIES 4,000 5172 - VOLUNTEER PROGRAM 5,000 5180 - POINT VICENTE INTER. CENTER 587,200 5190 - REACH 162,800 6110 - SHERIFF CONTRACT 8,896,500 6111 - PUBLIC SAFETY DIVISION 982,660 SUBTOTAL GENERAL FUND EXPENDITURES 37,462,360$ A-4 Resolution No. 2026-__ Page 5 of 6 330 - CIP 12,164,620$ 202 - GAS TAX 2,543,570 203 - 1972 ACT LANDSCAPE/LIGHT 413,430 204 - GAS TAX-SB1 4,172,105 211 - 1911 ACT STREET LIGHTING 581,100 213 - WASTE REDUCTION 347,400 215 - PROPOSITION C 965,000 216 - PROPOSITION A 995,180 220 - MEASURE R 3,595,000 221 - MEASURE M 4,638,500 222 - HABITAT RESTORATION 210,000 223 - SUBREGION ONE MAINTENANCE 141,400 224 - MEASURE A MAINTENANCE 500,000 225 - ABALONE COVE SEWER DISTRICT 135,300 228 - DONOR RESTRICTED CONTRIBUTION 21,000 310 - CDBG 230,000 331 - FEDERAL GRANTS 3,934,715 332 - STATE GRANTS 396,500 340 - BICYCLE/PEDESTRIAN ACCESS 140,000 343 - MEASURE W 2,221,100 SUBTOTAL OTHER FUNDS EXPENDITURES 38,345,920$ 681 - EQUIPMENT REPLACEMENT 401,922$ 682 - EMPLOYEE PENSION PLAN 881,000 SUBTOTAL INTERNAL SERVICE FUNDS EXPENDITURES 1,282,922$ A-5 Resolution No. 2026-__ Page 6 of 6 PASSED, APPROVED and ADOPTED the 16th day of June 2026. __________________________ ATTEST: MAYOR _____________________ CITY CLERK State of California ) County of Los Angeles ) City of Rancho Palos Verdes ) I, TERESA TAKAOKA, City Clerk of The City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2026-__ was duly and regularly passed and adopted by the said City Council at regular meeting thereof held on June 16, 2026. __________________________ CITY CLERK A-6 | Draft Budget 2026-2027 City of Rancho Palos Verdes FY 2026-27 Fund Summary 61 GE N E R A L F U N D S U M M A R Y CI T Y C O U N C I L LE G A L S E R V I C E S CI T Y F U N D S S U M M A R Y BU D G E T O V E R V I E W City of Rancho Palos Verdes FY 2026-27 Fund Summary Fund Balance 6/30/2026 FY2026-27 Estimated Resources FY2026-27 Estimated Appropriations Fund Balance 6/30/2027Fund Revenues Transfers In Expenditures Transfers Out General Fund Balance 36,181,365 42,502,450 320,000 37,462,360 3,760,800 35,021,655 FY 2025-26 Unallocated & Unallocated Transfers 2,759,000 - - - 6,174,200 6,174,200 Restricted Amount (Policy Reserve) 17,000,000 - - - - 18,607,200 General Fund Unallocated Balance 16,422,365 42,502,450 320,000 37,462,360 9,935,000 10,240,255 Restricted by Council Action CIP Fund Balance 19,489,328 1,704,591 9,200,000 12,164,620 - 18,229,299 Restricted Amount (Policy Reserve) 5,000,000 - - - - 5,000,000 CIP Unallocated Balance 14,489,328 1,704,591 9,200,000 12,164,620 - 13,229,299 Equipment Replacement Fund 2,911,109 197,700 - 401,922 - 2,706,887 Restricted Amount (Policy Reserve) 2,212,400 - - - - 2,212,400 Equip. Replacement Unallocated Balance 698,709 197,700 - 401,922 - 494,487 Employee Pension Plan 922,266 40,891 400,000 881,000 - 482,157 Subtotal Restricted By Council Action 16,110,303 1,943,182 9,600,000 13,447,542 - 14,205,943 Restricted By Law Or External Agencies Gas Tax 1,716,001 1,280,988 - 2,543,570 - 453,419 1972 Act 21,585 414,460 - 413,430 - 22,615 Gas Tax SB-1 3,093,083 1,276,301 - 4,172,105 - 197,279 El Prado Lighting 61,600 5,462 - - - 67,062 1911 Act 3,011,530 1,009,883 - 581,100 - 3,440,313 Waste Reduction 310,139 220,990 - 347,400 - 183,729 Air Quality Management 184,995 44,841 - - - 229,836 Proposition C 70,360 903,166 - 965,000 - 8,526 Proposition A 3,049,315 1,166,195 - 995,180 - 3,220,330 Public Safety Grants 42,154 242,987 - - 240,000 45,141 Measure R 2,811,296 783,774 - 3,595,000 - 70 Measure M 1,215,152 4,061,802 - 4,638,500 - 638,454 Habitat Restoration 401 2,060 215,000 210,000 - 7,461 Subregion 1 Maintenance 729,134 26,710 55,000 141,400 - 669,444 Measure A 68,697 580,515 - 500,000 80,000 69,212 Abalone Cove Sewer Maintenance 142,036 65,534 50,000 135,300 - 122,270 Donor Restricted Contributions 1,039,772 57,775 - 21,000 - 1,076,547 CDBG 27,146 230,000 - 230,000 - 27,146 Federal Grants (74,063) 3,934,715 - 3,934,715 - (74,063) State Grants (156,400) 1,795,378 - 396,500 - 1,242,478 ARPA 407,813 - - - - 407,813 Quimby 65,953 2,163 - - - 68,116 Low-Mod Income Housing 575,518 54,631 - - - 630,149 Affordable Housing In Lieu 996,038 32,136 - - - 1,028,174 Environmental Excise Tax (EET) 118,976 7,940 - - - 126,916 Bikeways - 174,248 - 140,000 - 34,248 Measure W 1,954,681 1,459,122 - 2,221,100 - 1,192,703 Subtotal Restricted By Law Or External Agencies 21,482,912 19,833,776 320,000 26,181,300 320,000 15,135,388 Total Governmental Funds 51,201,545 64,279,408 10,240,000 77,091,202 10,255,000 58,188,786 Improvement Authorities Improv Auth - Portuguese Bend 131,824 3,502 15,000 51,000 - 99,326 Improv Auth - Abalone Cove 1,196,248 22,800 - 23,000 - 1,196,048 Subtotal For Improvement Authorities 1,328,072 26,302 15,000 74,000 - 1,295,374 Grand Total of All Funds 52,357,062 64,305,710 10,255,000 77,165,202 10,255,000 59,484,160 A-7 RESOLUTION NO. IA 2026-__ A RESOLUTION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY ADOPTING THE OPERATING BUDGET FOR FISCAL YEAR 2026-27 WHEREAS, the Commission of the Rancho Palos Verdes Joint Powers Improvement Authority (Authority) desires to adopt the following resolution adopting the operating budget for Fiscal Year (FY) 2026-27; and WHEREAS, the Rancho Palos Verdes Joint Powers Improvement Authority will have an estimated $1,295,374 in available funds through June 30, 2027. NOW, THEREFORE, AND RESOLVED THAT THE COMMISSION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY DOES HEREBY ADOPT THE FOLLOWING FY 2026-27 OPERATING AND CAPITAL BUDGET. Section 1: The FY 2026-27 Revenue Budget (inclusive of transfers from the City's General Fund) is hereby adopted, establishing the following revenue levels: Interest Earnings - Portuguese Bend $ 3,502 Interest Earnings - Abalone Cove 22,800 Transfer In – Portuguese Bend 15,000 Transfer In – Abalone Cove 0 TOTAL REVENUES $ 41,302 Section 2: An operating budget for FY 2026-27 is hereby adopted as contained in the Annual Budget of the Rancho Palos Verdes Joint Powers Improvement Authority attached hereto and incorporated and referenced as part of this resolution. The following expenditure levels are hereby established: Maintenance - Portuguese Bend $ 51,000 Maintenance - Abalone Cove 23,000 TOTAL OPERATING EXPENDITURES $ 74,000 Section 3: Upon adoption of said Budget, the Authority may revise and/or update said Budget in part or in its entirety, depending on the Authority's fiscal resources, circumstances, and needs. Section 4: The Chief Administrative Officer of the Rancho Palos Verdes Joint Powers Improvement Authority shall be responsible for administration and execution of B-1 Resolution No. IA 2026-__ Page 2 of 2 said Budget. PASSED, APPROVED, and ADOPTED the 16th day of June 2026. __________________________ AUTHORITY CHAIRPERSON ATTEST: ______________________ AUTHORITY SECRETARY State of California ) County of Los Angeles ) City of Rancho Palos Verdes ) I, Teresa Takaoka, Authority Secretary of the Rancho Palos Verdes Joint Powers Improvement Authority, hereby certify that the above Resolution No. IA 2025-__ was duly and regularly passed and adopted by the said Joint Powers Improvement Authority at regular meeting thereof held on June 16, 2026. __________________________ AUTHORITY SECRETARY B-2