To: Honorable Mayor and Members of City Council
From: Steve Potter, City Manager
Prepared By: Seth Anderson, Budget Officer
TITLE:
Title
City of Napa FY 2025/26 and 2026/27 Budget Adoption
LABEL
RECOMMENDED ACTION:
Recommendation
1. Adopt a resolution approving and adopting the FY 2025/26 and FY 2026/27 Budget.
2. Adopt a resolution approving the City-Wide Position Staffing Plan.
Body
DISCUSSION:
On June 3, 2025, the City Council conducted a Public Hearing to receive public comment on the Proposed Budget for Fiscal Years 2025/26 and 2026/27. The City Council reviewed the proposed budget in detail at that meeting. The Proposed Budget for Fiscal Years 2025/26 and 2026/27 provides the City of Napa’s financial plan for City activities and programs for the next two fiscal years beginning July 1, 2025. The budget explains the City’s organizational structure, includes basic division descriptions and provides an overview of the City’s finances and related budget priorities, and includes recommended changes to the City’s spending and staffing plans. The budget document includes the budgets for the General Fund, Special Revenue Funds, Internal Service Funds, Enterprise Funds, the Housing Authority of the City of Napa and the Capital Improvement Program.
During the June 3, 2025, Public Hearing, no public comment on the budget was received. Discussion was brought back to the Council where individual comments and questions ensued. A motion was made to reallocate $3.5 million in Measure G funding appropriated to the Splash Pad Capital Improvement Project (33PK26PR04) in FY 2026/27 to the Non-Recurring General Fund’s Recreational Opportunities Project in FY 2026/27. The motion passed by a 3/2 vote. The FY 2026/27 proposed budget has been adjusted to move $3.5 million of Measure G funding from the Capital Project Fund to the Non-Recurring General Fund to reflect this change. This change is reflected in the Attachments and Exhibits.
Additionally, staff discovered that a $450,000 transfer out entry facilitating Measure U funding to the Paving Program was missing in the numbers presented at the Public Hearing on June 3rd, 2025. The transfer in from Measure U to the Paving Program was included, as well as the accompanying expenditure budget. Staff has included this transfer out correction which increased Measure U’s total expenditures by $450,000 and the all fund budget totals by the same amount. This correction is represented in all of the related attachments.
The Proposed Budget Book for FY 2025/26 and FY 2026/27 is accessible online through the following link: Proposed Operating & Capital Budget Book - FY 2025/26 & FY 2026/27 <https://stories.opengov.com/napaca/99225d34-26aa-4f03-bb23-f60da21215ae/published/-30okd7mZ?currentPageId=67c0aad16d0ebd201e16297d>
FINANCIAL IMPACTS:
The total budget including all funds is $403.9 million for Fiscal Year 2025/26 and $396.1 million for FY 2026/27. The proposed General Fund operating budget inclusive of Measure G totals $163.2 million in FY 2025/26 and $168.2 million in FY 2026/27. Expenditure budget totals for all other funds are included in Exhibit “A” to Attachment 1 of this report.
CEQA:
The City Manager has determined that the Recommended Action described in this Agenda Report is not subject to CEQA, pursuant to CEQA Guidelines Section 15060(c).
DOCUMENTS ATTACHED:
ATCH 1 - Resolution of the City Council of the City of Napa, State of California, approving and adopting the budgets for the Fiscal Years 2025/26 and 2026/27 with Exhibits “A”, “B”, “C”, and “D”
EX A - Expenditure Budgets by Fund
EX B - CIP Project Budgets
EX C - Interfund Transfers
EX D - Fleet Replacements and Purchases
ATCH 2 - Resolution of the City Council of the City of Napa, State of California, amending the City-Wide Position Staffing Plan with Exhibits “A”, “B”, and “C”
EX A - City-Wide Position Staffing Plan
EX B - City Departments and Divisions
EX C - Part-Time Budgets by Fund and Department
NOTIFICATION:
Publication of Legal Ad in the Napa Valley Register on Thursday June 5th, 2025.