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HomeMy WebLinkAboutItem 6c Adoption of the 2025-27 Financial Plan Item 6c Department: Finance Cost Center: 2002 For Agenda of: 6/17/2025 Placement: Public Hearing Estimated Time: 30 min FROM: Emily Jackson, Finance Director Prepared By: Riley Kuhn, Principal Budget Analyst SUBJECT: ADOPTION OF THE 2025-27 FINANCIAL PLAN RECOMMENDATION Adopt a Draft Resolution entitled, “A Resolution of the Council of the City of San Luis Obispo, California, approving the 2025-27 Financial Plan and Fiscal Year 2025-26 Budget.” POLICY CONTEXT Although the City adopts a two-year Financial Plan (Attachment A), the budget is adopted annually. Pursuant to Section 804 of the City Charter, the City Council must adopt the FY 2025-26 Budget by June 30, 2025, for the appropriations to be in place when the next fiscal year begins. This action is accomplished by Resolution, which is provided as Attachment B. Development of the 2025-27 Financial Plan was guided by the City’s Fiscal Policies and Budget Balancing Strategies, both of which were approved by the City Council as part of the Budget Foundation item in January 2025. DISCUSSION Background The purpose of this Public Hearing is to adopt the 2025-27 Financial Plan and appropriate the FY 2025-26 budget (Attachment A). The resolution (Attachment B) also adopts the appropriation limit as required under Article XIII B of the California Constitution. The 2025-27 Financial Plan and FY 2025-26 Budget were developed following extensive community participation and several Council budget workshops and business items beginning in October 2024 including:  October 1, 2024: Council provided input on the Financial Planning Calendar and community outreach survey.  November 12, 2024: The Community Priorities Survey was s ent to community members to share their feedback on budget priorities. The survey was open for Page 517 of 994 Item 6c one month and widely advertised in utility bills, on social media, at advisory body meetings, and shared with community groups.  December 10, 2024: Staff presented “Setting the Stage for the 2025-27 Financial Plan” which included information on the regulatory environment and state laws that impact how cities operate, macroeconomic conditions, and the budgetary implications of the community’s growth.  January 14, 2025: Staff presented the “Budget Foundation,” which included additional economic information, a review of the City’s unfunded pension obligations, updated fiscal policies, and an overview of the long-term Capital Improvement Plan. Council provided input on the Community Forum and Goal Setting Workshop and shared feedback relative to existing Major City Goals.  January 23, 2025: The City Council and Citizens Revenue Enhancement Oversight Commission held a joint meeting, “Community Forum ,” which provided an opportunity for community members to share their priorities for the upcoming budget.  February 8, 2025: The City Council conducted a Goal Setting Workshop, during which Council developed the 2025-27 Major City Goals.  April 15, 2025: Staff presented “Strategic Budget Direction,” which included a draft budget, draft work plans based on the 2025-27 Major City Goals, and during which Council directed staff to make changes to the draft budget and the draft work plans prior to budget adoption in June. The proposed 2025-27 Financial Plan includes Citywide expenditures by fund as follows: Changes to the Preliminary Financial Plan During the Strategic Budget Direction item on April 15, 2025, Council directed staff to increase funding for Community Action Partnership of San Luis Obispo (CAPSLO’s) hotel voucher program from $45,000 per year to $90,000 based on the understanding that the $45,000 allotted in the current year was fully spent within six months and is expected to be spent down at a similar rate in the future. The proposed final budget also includes an additional $25,000 in the Police Department budget to accommodate an increased annual contribution to the County’s Animal Services program that was unknown at the time that the preliminary budget numbers were presented to the City Council. These expenditure increases were offset through correction of an identified error. In the Actuals Budget Financial Plan Citywide FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 General Fund $118,691,743 $126,511,337 $117,607,178 $120,844,660 Water Fund 29,876,176 40,870,113 40,025,257 33,548,476 Sewer Fund 38,716,328 35,805,101 29,034,524 28,106,201 Parking Fund 28,922,763 52,855,425 11,514,113 10,101,970 Transit Fund 6,560,413 17,220,676 9,615,713 14,236,283 Other Funds 8,315,742 9,378,496 9,817,626 10,224,310 Total $231,083,164 $282,641,147 $217,614,410 $217,061,901 YoY Change 22%-23%0% Page 518 of 994 Item 6c draft budget, $150,000 in grant revenue was budgeted in the Police Grant Fund but belongs in the General Fund. Adding this revenue to the General Fund budget more than offset the increased expenditures. At the April 15, 2025 Strategic Budget Direction meeting, the City Council also provided feedback to the City Manager on the proposed Major City Goal Workplan, resulting in the addition of new items and clarification of existing tasks. Staff also identified and incorporated a few items that were unintentionally omitted from the original draft. In addition, minor administrative edits were made to improve clarity and consistency. All updates have been incorporated into the final Workplan included in the 2025 –27 Financial Plan (Attachment A). Additionally, to support ongoing progress reporting, each task now includes an estimated completion date. The list below reflects both Council-directed updates and items added by staff for completeness. Cultural Vitality, Economic Resilience, and Fiscal Sustainability Updated – 3a: Clarified to support all childcare options and evaluate approaches such as permit streamlining for childcare businesses. Added – 5f: Complete a fiscal analysis of golf operations at Laguna Lake Golf Course and conduct a Council Study Session to evaluate fiscal impacts, capital needs, and potential reuse options prior to major infrastructure investments. Added – 5g: Develop a strategic framework that connects existing strategic plans, incorporates the City’s mission and vision, and outlines core services to support a longer-term planning approach beyond the two-year Financial Plan. Housing and Neighborhood Livability – Healthy, Safe, and Affordable Updated – 2e: Revised to indicate that the RFP will be presented to Council alongside a Study Session regarding potential scoping of a Land Use and Circulation Element (LUCE). Infrastructure and Sustainable Transportation Updated – 3e: In collaboration with the Avila Ranch contractor, pursue the design and construction of interim Fire Station 5, targeting a projected opening date of 2028. As noted during presentation of the draft budget, the sales tax revenue forecast was prepared prior to significant new tariffs. The precise impact of these tariffs is unknown, but at a macro-economic level they can be expected to cause higher prices and slower growth in the near term. During a May meeting, the City’s sales tax consultant provided a forecast approximately $1 million lower than this budget assumes. Staff have not incorporated their revised estimate since frequent rapid changes to tariffs make accurately forecasting their impacts on sales tax impossible but will closely monitor results and adjust the budget mid-year if necessary. Previous Council or Advisory Body Action The draft budget was presented to Council during the Strategic Budge t Direction meeting on April 15, 2025. Council’s direction from that meeting was incorporated into the attached Page 519 of 994 Item 6c proposed Financial Plan. The Planning Commission reviewed the Capital Improvement Plan on May 28, 2025, and confirmed the plan’s conformity with the General Plan. The Revenue Enhancement Oversight Commission reviewed the proposed use of Local Revenue Measure funds on May 8, 2025, and recommended staff’s proposal to the City Council for adoption. Public Engagement As described above, development of the Financial Plan incorporated public engagement at each step, including community surveys, outreach to community groups, a community forum, and several public hearings prior to adoption. CONCURRENCE All departments participated in the development of the 2025-27 Financial Plan and concur with the staff recommendation. ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA guidelines. FISCAL IMPACT Budgeted: Yes Budget Year: 2024-25 Funding Identified: Yes Fiscal Analysis: As outlined in detail in the Financial Plan, the City is appropriating $217,614,410 (all funds) in the FY 2025-26 budget. All funds budgets are balanced and projected to maintain adequate reserves as called for by policy. ALTERNATIVES Council could direct modifications to the proposed Financial Plan and adopt the modified budget. Should Council pursue this option, direction on specific modifications would need to be provided. Council could choose to not adopt the budget and provide direction on desired changes. Should Council pursue this option, direction on specific modifications would need to be provided and the hearing would need to be continued until the June 24th meeting at which point the modified budget could be adopted. ATTACHMENTS A - Draft 2025-27 Financial Plan B - Draft Resolution Adopting FY 2025-26 Budget Page 520 of 994 Financial Plan 2025-27 2 0 2 5 - 2 5 6 2025-26 Adopted Budget Page 521 of 994 Page 522 of 994 Table of Contents Introduction  Reader’s Guide 4  Budget Message from City Manager 5  City Profile  City Council 14   Community Overview 15  The City at a Glance 16  Highlights of City Services 17  Organizational Chart 18  Organizational Values 19  Financial Plan Framework  Framework and Policies 21  Budget Balancing Strategies 24  Strategic Planning  Financial Planning Process 32  Strategic Priorities/ Major City Goals 37  Financial Plan Overview Fund Structure   47  All Funds Budget Summary 52  General Fund Summary 54  Local Revenue Measure 62  Long Term Forecast 71  Operating Budget  Introduction 73  Significant Operating Budget Changes 74 Employee Summary 81  Administration & IT 83  City Attorney 82  Community Development 92  Finance 97 Fire 106  Human Resources 118  Parks & Recreation 122  Police 130  Public Works 138  Utilities 154  Non‐Departmental 171   Operating Budget (Special Revenue & Other Funds)  Avila Ranch CFD 173  Boysen Ranch Fund 175  Downtown SLO 176  Insurance Fund 177  Public Safety Equipment Fund 178  San Luis Ranch CFD 179  TBID 181  Debt 182  Capital Improvement Plan  Overview 186  Project Summary List 210  Project Details/Narratives 224  Reference Material  Basis of Budgeting and Accounting 391  CalPERS Pension Obligations 392  Fiscal Policies 396  Glossary 416  Acronym Glossary 425  Appropriation Limit 427  Appendix 429 Financial Plan Page 3 Page 523 of 994 Financial Plan Reader’s Guide  Financial Plan Reader’s Guide  The Financial Plan Reader’s Guide is intended to provide a basic understanding of the structure and contents of the Financial Plan  document. The document is divided into the following sections:   Introduction  This section includes a message from the City Manager giving an overview of the budget highlights. The message also provides  the financial context for the City’s Financial Plan and outlines some key initiatives and investments in the plan.  City Profile  This section introduces the Mayor, Vice Mayor, and the three City Councilmembers and provides the reader with a brief  overview of the City of San Luis Obispo, its location, population, interesting community information, as well as highlights of the  services available to citizens and businesses. This section also includes the City of San Luis Obispo’s organizational structure.  Financial Plan Framework  This section includes the City Council’s adopted Budget Policies and Budget Balancing Strategies, which work together to provide a  framework to guide staff in the development of the two‐year Financial Plan and annual budgets.    Strategic Planning  This section provides an overview of the City’s public engagement and budget development process. It also provides a summary of  survey responses and input from the Community Forum that the City Council considers when developing its goals for the two‐year  Financial Plan.  The Council’s adopted Major City Goals and staff’s proposed workplan to make progress on the Major City Goals are  also included in this section.   Financial Plan Overview  This section provides a high‐level overview of all the components presented in the following sections of this document, in more  detail. Included in this section is an overview of the City’s fund structure and description of the major funds to help the reader to  understand how the overall budget in structured. This section also provides a summary of the ‘All Funds’ budget and more  detailed information for the General Fund, including a description of funding sources and uses. Information about transfers between  funds, capital investments, debt obligations and beginning and ending fund balances for all funds is also included.  Also included is  information about the use of Local Revenue Measure (the City’s 1.5% sales tax approved by voters in November 2020).  Finally, this  section provides a consolidated long‐term financial outlook for the General Fund, including a discussion of the factors influencing  the forecast for the coming two years as well as the 2027‐29 Financial Plan.    Operating Budgets  This section provides a summary of each department’s budget compared to the prior year as well as the employee summary.  Further details provide a greater understanding about department operations, key highlights, and financial line‐item summaries  comparing the current budget to prior year budgets and the proposed budget for the coming two years. Performance measures  are also included in this section to highlight the work being done to address key objectives within each department.  In addition to  providing details on department budgets, this section also provides information for other, non‐operating City funds.  Finally, this  section also outlines the City’s debt capacity and considerations given when looking at issuing debt. It outlines the City’s  creditworthiness and comments from the last rating review. Information on current debt for all the major funds including  outstanding principal, the annual debt payment, and the year the debt will be retired is also included.  Capital Improvement Plan  This section provides an overview of the ten‐year Capital Improvement Plan (CIP) including information about the CIP development  process and an overview of project funding sources.  The following information about each project proposed to be funded in the  ten‐year period is also included in this section: a description of each project, project cost, source of funding and the amount of  funding to be allocated in each of the next ten years, and operating impacts of the projects.   Financial Plan Page 4 Page 524 of 994 Reference Material  This section includes additional information to help the reader gain a better understanding of the budget, including:  identification of the basis of budgeting and accounting, information about the City’s pension obligations, City Council‐ adopted Fiscal Policies, a glossary and acronym glossary, and the appropriation limit calculation.  Financial Plan Page 5 Page 525 of 994 CITY MANAGER’S MESSAGE  Honorable Mayor and Members of the City Council,  I am pleased to present the City’s balanced 2025‐27 Financial Plan. This overall $217.6 million budget  ($117.6 million General Fund) for Fiscal Year 2025‐26 reflects current economic realities, and significant  input from our community, advisory bodies, and the City Council.  We have worked collaboratively to  develop a financial plan that reflects our shared priorities and steels us against some short‐term and long‐ term challenges.   With this budget, we find ourselves in a time of transition.  Revenue growth is slowing and costs are rising.   There is growing uncertainty resulting from a rapid shift in national economic policy via tariffs, and  potential significant state and federal budget cuts.  And for the first time in many years, we are facing a  structural imbalance in the General Fund.    But this is not a budget of retreat.  It reflects a thoughtful, forward‐looking approach.  The proposed  budget protects the City’s current services, invests in City infrastructure, continues progress on long‐ standing Major City Goals, and aligns with our community’s values of responsibility, equity, and  sustainability.    The proposed decisions that make up this plan were not arrived at lightly.  City staff, under the guidance  of the City Council, looked carefully at how to adapt to a new fiscal reality while still moving the City  forward.  We have prioritized thoughtfully, and made tradeoffs. Where we have chosen to enhance  investments, we have done so with the intention to focus on areas of greatest need.    While the circumstances are different than years past, our approach should be familiar for San Luis  Obispo. Our community and organization have long prioritized disciplined financial management,  collaborative governance, and proactive planning. These values have carried us through prior economic  downturns, natural disasters, and a global pandemic – and they guide us once again today.  Understanding the Shift: A New Economic Reality  The City has seen strong revenue growth in recent years.  Sales Tax and Transient Occupancy Tax (TOT)  revenue surged as the economy recovered from COVID‐19 and as the community supported the passage  of the Local Revenue Measure (LRM) in November 2020.  During the same time period, development  activity increased significantly as the City permitted several large‐scale developments to meet housing  targets set by the State.  This has resulted in an increase in development‐related fee revenues over the  last several years.  The City has used this revenue growth to advance capital projects and expand key  services.    Unfortunately, that revenue growth has slowed.  Our current economic reality reflects broader statewide  and national trends, with inflation cooling consumer spending locally and interest rate hikes chilling  development activities.  And while our economy remains fundamentally strong, the pace of revenue  growth has clearly slowed.     Over the past year, we have seen:   Flattening sales tax revenues, including LRM receipts, which were previously expected to grow  more significantly but are now trending below what was forecasted last year by at least $2.4  million annually.  Financial Plan Page 6 Page 526 of 994 CITY MANAGER’S MESSAGE   Declining development‐related revenue – As noted in prior budget reports, due to a slowing of  development activity, we are seeing a decrease in development services revenue of  approximately $2 million in FY 2024‐25 and are forecasting a continuation of this decrease into  the two years of the 2025‐27 Financial Plan.    Rising personnel and project delivery costs, including increases in the cost of construction  materials, insurance, utilities, and employee compensation to recruit and retain a talented  workforce.   Ongoing inflationary pressures, which continue to influence consumer behavior, project costs,  and labor market dynamics.  As a result of what we have seen in the current year, I activated the City’s established Fiscal Health  Contingency Plan (FHCP) in mid‐April of this year in an effort to control expenditures and provide flexibility  to address the structural deficit.  Activation of the plan includes both a hiring and travel chill.  Under the  FHCP, departments must seek permission of the FHCP committee and the City Manager to fill vacant  positions and proceed with training‐related travel.  Neither are prohibited entirely, but the hiring chill and  travel chill force us to prioritize our expenditures to ensure that we are addressing critical needs.       Development of the 2025‐27 Financial Plan  When we set out to develop the 2025‐27 Financial Plan, the long‐term forecast showed a General Fund  deficit of $2.5 million in FY 2025‐26 due to slowed revenue growth and increasing costs.  Staff took the  following actions to bring the budget into balance for the upcoming year:    Departments were directed to constrain their non‐staffing budgets to FY 2024‐25 adopted levels.   Typically, non‐staffing budgets grow by the rate of inflation, matching the increase in costs for  things like fuel, office supplies, training, and travel.  So, holding those non‐staffing costs flat  represents a cut in expenses. To ensure that this exercise does not significantly impact service  levels in the 2025‐27 Financial Plan period, departments were asked to identify the impacts of  keeping non‐staffing costs at FY 2024‐25 levels.  Most noted that the constrained base budget  exercise would result in little to no flexibility to address unanticipated items that may arise over  the course of the next two years.  Three departments identified a need to restore budget to  address priority items.  These include:  o $45,000 to the Police Department to cover the cost of the Animal Services contract with  the County and other contract increases for critical public safety supports;  o $20,000 to the Public Works Department to continue sidewalk scrubbing in the  downtown area; and  o $20,000 to the Administration/IT Department to support ongoing tree and vegetation fuel  management.  The constrained base budget exercise reduced non‐staffing expenditures by $1.6 million  compared to what was forecasted for FY 2025‐26, based on prior trends.   LRM‐funded capital expenditures were reduced by approximately $1.0 million in FY 2025‐26 and  $1.5 million in FY 2026‐27 compared to what was initially forecasted and were transferred to the  operating budget.  The impacts of this transfer are expected to be minimal.  The decreased  funding for capital expenditures will help to address staff capacity constraints to deliver the  ambitious Capital Improvement Plan that has almost tripled in size due to the passage of the LRM  Financial Plan Page 7 Page 527 of 994 CITY MANAGER’S MESSAGE  in 2020.  In FY 2024‐25, 70% of the LRM collected is supporting capital expenditures.  For FY 2025‐ 26, that amount decreases to 69% and in FY 2026‐27 to 67%.  The Financial Plan assumes that the  LRM will generate $33.6 million overall in FY 2025‐26 and $34.8 million overall in FY 2026‐27.    The staffing savings assumption for the General Fund was increased from 3% to 4%, based on  historical trends.  This resulted in a $600,000 decrease to staffing costs and is not expected to  have a noticeable impact due to natural attrition rates and the time that it takes to fill vacant  positions.    More than $10.0 million in Significant Operating Budget Changes (SOBCs) were requested by  departments. Of that amount, $4.2 million was requested from the General Fund, but only  $741,199 of new expenditures are proposed for the General Fund in this budget to address the  most significant organizational needs, while reflecting community priorities.  Detailed information  about proposed SOBCs can be found in the ‘Operating Budgets’ section of this Financial Plan.  Though they might appear modest, actions taken to close the forecasted deficit for FY 2025‐26 reflect our  deep commitment to accomplishing the community’s priorities. These targeted reductions allow us to live  within our means, preserve service levels, and remain nimble in the face of economic change and  uncertainty.  This two‐year Financial Plan includes measured, proactive steps to close the immediate  deficit and chip away at the long‐term structural issues, all while upholding our values and strategic  commitments.    Consistent with the City’s new Budget Balancing Strategies approved by the City Council earlier in the  budget development process, the actions taken to balance the budget for FY 2025‐26, and the triggering  of the FHCP, are largely short‐term in nature.  While short‐term strategies do not solve structural issues,  using them wisely provides time to allow us to develop thoughtful long‐term solutions that restore  structural balance, while still preserving our ability to make progress on the Council’s adopted Major City  Goals and maintain the essential services residents rely on every day.   Building the Future, Together:  Strategic Investments in Community Priorities     Despite the economic uncertainty and budgetary constraints we are currently facing, this Financial Plan  makes strategic investments in the City Council’s adopted Major City Goals and other community  priorities.  The ‘Financial Planning Process’ section of this document provides detailed information about  the workplans that staff has developed to help advance the following Major City Goals over the coming  two fiscal years:      Cultural Vitality, Economic Resilience, and Fiscal Sustainability    Diversity, Equity, and Inclusion   Homelessness Response   Housing and Neighborhood Livability‐ Healthy, Safe, and Affordable   Infrastructure and Sustainable Transportation   Open Space, Climate Action, and Resilience     In addition to our planned progress on Major City Goals, this Financial Plan also funds other important  priority areas including:    Planning for the development of a fifth fire station, a critical addition that will improve response  times and resilience in growing neighborhoods in the southern part of our community.  Financial Plan Page 8 Page 528 of 994 CITY MANAGER’S MESSAGE  Implementation of a communications plan to provide information about the Citywide Single Vote method for electing City Councilmembers to advance fair, diverse representation in local elections. Continuing public outreach and engagement training for City employees, including ways to better reach underserved and underrepresented communities. Continuing to support innovative partnerships with the County to provide mental health support through our Community Action Team and Mobile Crisis Unit Construction of the first phase of the Righetti Community Park, bringing new recreational amenities and green space to families and residents in the Orcutt Area and throughout the city. Investments in open space stewardship, trail maintenance, and native habitat restoration continue to reflect our community’s deep connection to the natural environment. Investments in major mobility improvements, including the Prado Road Bridge replacement, Prado Road/Highway 101 interchange, Broad Street Corridor enhancements, and multiple complete streets projects. Implementation of Tier 1 projects from the City’s Active Transportation Plan and expand safe walking and biking options citywide. Continuing to implement the Lead by Example Work Program to reduce municipal emissions and improve energy efficiency across City operations. Investments in water and sewer projects to strengthen our ability to deliver clean water, support future smart growth, and adapt to climate extremes such as prolonged droughts. Supporting the expansion of the Prado Safe Parking Program, family shelter access, and hotel voucher programs to address housing insecurity. Using existing resources, we will begin implementation planning for new renter protection policies, a strategic plan for safe housing, and neighborhood livability standards, with Council study sessions beginning in fall 2025. Continuing to provide support for SLO Restaurant Month, Buy Local Bonus, and new implementation steps for the Economic Development Strategic Plan. These are not just budget lines. They are commitments to safety, connection, equity, resilience, quality of  life and the sustainability of all of the programs and services that the City provides. They reflect the very  best of what local government can do when guided by clear community goals and shared values.  Moving Forward‐ Strategic Restraint  While the proposed budget is in balance for the two‐year Financial Plan, the long‐term forecast for the  General Fund identifies a structural deficit of almost $3 million in FY 2027‐28 and $2 million in FY 2028‐ 29.The deficit is driven largely by the City’s obligation to bring a fifth fire station online in FY 2027‐28, but also acknowledges increased expenditures and slowed revenue growth due to general economic conditions.  The purpose of the City’s long‐standing process of developing and maintaining a long‐term forecast is to look beyond the current budget year so that we have the time to develop thoughtful and sustainable strategies to bring the budget back into balance.  If left undressed, the forecasted deficit will only grow more challenging in future years. Despite the positive investments included in this Plan, several requests for new or expanded services were  not able to be funded at this time. Departments submitted more than $10.0 million ($4.2 million from the  General Fund) in Significant Operating Budget Changes (SOBCs), many of which responded to important  community needs, workload demands, or increasing state mandates.  Financial Plan Page 9 Page 529 of 994 CITY MANAGER’S MESSAGE  After careful analysis, only $4.1 million ($741,199 from the General Fund) is included in this proposed  budget. Some of the needs that were not included in this budget are:  New externally‐facing staff positions across multiple departments that would have helped to address existing deficits or expanded service delivery.  These requested positions would have required  cuts elsewhere or new revenue, and would ultimately result in a further widening of the structural deficit in future years. Examples include but are not limited to staff resources for urban forestry, maintenance, dispatch services, and recreation and aquatic programs. Additional enhancements to homelessness and housing response, beyond what can be supported with current partnerships and allocations. Expanded public programming, community engagement, and special events services that would have required ongoing resources without offsetting revenues. Internal staffing and support roles that would improve efficiency or capacity, but which were ultimately determined to be less urgent than core operational needs. On the capital side, we have also made strategic decisions to fund the projects, or phases of projects, that  can realistically be completed each year, also taking into account the important commitments, plans, and  identified safety and maintenance needs of our assets and infrastructure. This resulted in a decrease in  the total number of projects identified for funding each year. However, we have also presented a ten‐year  plan to show where projects will be phased in over a longer time horizon or where design work will be  delayed until work can realistically be completed. For example:  Projects with limited near‐term readiness or without clear external funding sources were deprioritized in favor of those that can be implemented more efficiently or that leverage grant dollars. Citywide initiatives, such as downtown revitalization concepts or significant City facility upgrades, are moving forward in planning phases but are not yet fully funded for construction. Some Tier 1 Active Transportation projects are not individually itemized in the CIP but are instead supported through a general implementation account to allow for more flexible, scalable delivery based on staff and grant resources. These decisions were not easy, but they were necessary. Rather than overextending ourselves and making  the challenge in future years that much harder to address, we chose to prioritize what we can deliver well.  We focused funding on maintaining existing services, addressing critical workload gaps, and preserving  organizational stability.  While we have developed this balanced proposed spending plan for the coming two years, we  acknowledge the many uncertainties ahead of us.  The decisions we have made in this financial plan are  not just about this two‐year period; they are about preparing for what will come next. The City will  continue to monitor economic trends, revenue performance, and workload demands throughout the plan  period, and use the FHCP currently in place to increase our flexibility to address the forecasted deficit.   Staff will soon begin the hard work of developing a plan to thoughtfully and methodically bring the budget  into balance in the long‐term.  The community’s priorities and City Council’s Major City Goals will guide  us in this work. Addressing the structural deficit will include:    Financial Plan Page 10 Page 530 of 994 CITY MANAGER’S MESSAGE   Re‐examining service delivery models to enhance efficiency and equity.   Prioritizing the programs and services that we are mandated to carry out, ensure the safety of our  community and help to advance our Major City Goals and community priorities.    Exploring opportunities to maximize collection of revenues that are due to the City.   Leveraging grants, partnerships, and one‐time funds to maximize impact without committing to  unsustainable cost growth.  In short, we are planning not just for today, but for the years ahead. And we are doing so in a way that  reflects San Luis Obispo’s tradition of community engagement, long‐term thinking and responsible  financial management. By holding off now in some areas, we are preserving the capacity to say “yes”  later—when the time, resources, and conditions are right.   A Word of Thanks  We developed this proposed Financial Plan in partnership with the people we serve.  This plan was shaped  by input from thousands of residents, through surveys and comment letters, and with engagement at  meetings and forums. We heard from longtime stakeholders and new voices alike who brought thoughtful  and insightful ideas to the table. Thank you to everyone who shared their ideas, concerns, and hopes for  our City.  Together, we will continue to strive toward an equitable and responsive public process, one  where people feel heard, and where government reflects the diversity of the people it serves.    I am incredibly grateful for the leadership and guidance provided by the City Council in developing this  financial plan. Your dedication to serving our community, broadening community participation in the  budget process, and doggedness in finding a way to both balance our budget in tough economic conditions  and maintain an ambitious and achievable work plan is inspiring. Thank you to the advisory bodies,  including the Revenue Enhancement Oversight Commission for their review of the LRM proposed budget,  and the Planning Commission for reviewing the draft CIP budget.  Last, but certainly not least, I want to  thank Finance staff, Department Heads, managers, fiscal officers and other participating City staff for their  heavy lift to develop the operating and CIP budgets. It was a true team effort, and I am sincerely  appreciative for your contributions to our collective success.  Though this budget reflects the efforts of all  those mentioned above, this budget simply would not be possible without the strategic leadership and  the innumerable hours put in by our Finance Director, Emily Jackson and Principal Budget Analyst, Riley  Kuhn.  I am deeply grateful for their commitment to keeping our City Council and community informed of  our financial condition throughout the year, such that there really are no surprises.  Their approach allows  us to be proactive in meeting the moment.     Looking Ahead: A Path Forward, Together  The 2025‐27 Financial Plan is built for stability. It is a product of cautious optimism and pragmatic  stewardship – of both our dollars and our community’s values. It does not solve every challenge, but it  does the most important thing‐ it protects what we have built, responds to today’s needs, and creates  room for continued progress on our Major City Goals for all members of our community.  We do not know  what the future holds. But we do know how we will meet it: together, with clarity, resilience, and a shared  sense of purpose.  Financial Plan Page 11 Page 531 of 994 CITY MANAGER’S MESSAGE  In closing, I want to again thank our staff, City Council, and community for being part of this important  process.  Your partnership and your perspective have made this a better plan and has made San Luis  Obispo a more resilient city.  With gratitude and resolve,    Whitney McDonald  City Manager  City of San Luis Obispo        Financial Plan Page 12 Page 532 of 994           CITY PROFILE  Financial Plan Page 13 Page 533 of 994 CITY PROFILE  City Council  The City of San Luis Obispo is a charter city and operates under the "Council‐Mayor‐City Manager" form of municipal  government. The five‐member City Council consists of the directly‐elected Mayor, a Vice Mayor and three City  Council Members. The Mayor is elected to a two‐year term and the Council Members are elected to four‐year terms.  The City Council is the legislative authority and sets the policies under which the City operates. The City Council has  the power to adopt ordinances and resolutions, make appointments to the City's advisory bodies, establish policies  and approve programs, appropriate funds, adopt budgets, and approve contracts. The Mayor presides at all  meetings of the City Council and is recognized as the official head of the City for all ceremonial purposes.  Once a Financial Plan has been adopted, the Council's focus moves to 1) advocacy for its major initiatives at the  Federal, State, County and Community Partner level ‐ 2) Leadership for Community Partnerships, Regionalism,  Governance ‐ 3) Monitor the impact and outcomes of work programs and direct appropriate adjustments.  Michelle Shoresman  Vice Mayor  Emily Francis  Councilmember  Erica A. Stewart  Mayor  Jan Howell Marx  Vice Mayor  Michael R. Boswell  Councilmember  City Council Vision  The City of San Luis Obispo is a dynamic community embracing its future while  respecting its past with core values of civility, sustainability, diversity, inclusivity,  regionalism, partnership, and resiliency.  Financial Plan Page 14 Page 534 of 994 CITY PROFILE  Community Overview  Located mid‐way between San Francisco and Los Angeles, San Luis Obispo is the County seat and a number of federal and  state regional offices and facilities are located here, including Cal Poly State University, Cuesta Community College, the  regional Water Quality Board, California Highway Patrol Dispatch Center, and Caltrans District 5  Offices. The City’s  ideal weather and natural beauty provide numerous opportunities for outdoor recreation at nearby City and State  Parks, lakes, beaches, and wilderness areas.  One of California’s oldest communities, the historical  roots of San Luis Obispo run deep, anchored by the  enduring presence of Indigenous Peoples dating back at  least 15,000 years ago in the Diablo Canyon region.  These first peoples hunted and shore‐picked shellfish.  The Yak titʸu titʸu Yak tiłhini Northern Chumash Tribe,  who have called the region home for over 10,000 years,  have been integral in the historical development of the  city. By 1504, coastal land exploration took place by  Spanish vessels, which carried members of the Filipino  community. Spanish invasion and colonization in 1769  led to the establishment of missions throughout  California. The San Luis Obispo de Tolosa Mission was  founded in 1772, the fifth mission in the California chain  of 21 missions, around which the City of San Luis Obispo  developed. It was first incorporated in 1856 as a General  Law City and became a Charter City in 1876. As a Charter  City, San Luis Obispo has more local authority than cities  that incorporate under the general laws of the State of  California. The Charter is the City’s governing document,  and any changes must be approved by the voters. The  City’s Charter has been amended several times since its  adoption, most recently in August 2011.  The City’s distance from major metropolitan areas to the  north (San Francisco) and south (Los Angeles) have  allowed it to retain its historic and scenic qualities, which  contribute to the superb quality of life residents enjoy  and that attract visitors from all over the world. In fact,   in 2010, the City was dubbed the “Happiest City in North  America” by National Geographic author Dan Buettner.  Another key feature contributing to the City’s great  quality of life is its delightful downtown. The heart of  which is the Mission Plaza. With its wonderful creek side  setting and beautifully restored mission and parish  church, Mission Plaza is the community’s cultural and  social center.  This historic plaza is complemented by a bustling  downtown offering great shopping, outdoor and indoor  dining, night life, and its famous Thursday Night Farmers’  Market, where you can buy locally grown fresh produce  and enjoy an outdoor BBQ.  This unique blend of history, culture, commerce, and  entertainment make San Luis Obispo’s downtown one of  the most attractive, interesting, and economically vibrant  downtowns in America.  San Luis Obispo is a full‐service city that provides police,  fire, water, sewer, streets, transit, parking, planning,  building, engineering, and parks and recreation service to  the community. The City operates under the Council‐ Mayor‐City Manager form of government. The City  Council appoints the City Manager and City Attorney. All  other department heads are appointed by the City  Manager.  Financial Plan Page 15 Page 535 of 994 CITY PROFILE  City at a Glance Financial Plan Page 16 Page 536 of 994 CITY PROFILE  City Services Highlights  Financial Plan Page 17 Page 537 of 994 CITY PROFILE  Organizational Chart  Financial Plan Page 18 Page 538 of 994 CITY PROFILE  Organizational Values  Financial Plan Page 19 Page 539 of 994 FINANCIAL PLAN FRAMEWORK  Financial Plan Page 20 Page 540 of 994 FINANCIAL PLAN FRAMEWORK Budget Policies  Financial Plan Purpose and Organization A.Financial Plan Objectives.  Through its Financial Plan, the City will link resources with results by: 1.Identifying community needs for essential services. 2.Organizing the programs required to provide these essential services. 3.Establishing program policies and goals, which define the nature and level of program services required. 4.Identifying activities performed in delivering program services. 5.Proposing objectives for improving the delivery of program services. 6.Integrate climate risk and climate action considerations throughout all financial decisions. 7.Integrate Diversity, Equity, and Inclusion (DEI) considerations throughout all financial decisions. 8.Identifying and appropriating the resources required to perform program activities and accomplish program objectives. 9.Setting standards to measure and evaluate the: a.Output of program activities. b.Accomplishment of program objectives. c.Expenditure of program appropriations. B.Two‐Year Budget.  Following the City's favorable experience, the City will continue using a two‐year financial plan, emphasizing long‐range planning and effective program management.  The benefits identified when the City's first two‐year plan was prepared for 1983‐85 continue to be realized: 1.Reinforcing the importance of long‐range (“strategic”) planning in managing the City's fiscal affairs. 2.Concentrating on developing and budgeting for the accomplishment of significant goals and objectives. 3.Establishing realistic timeframes for achieving goals and objectives. 4.Creating a pro‐active budget that provides for stable operations and assures the City's long‐term fiscal health. 5.Promoting more orderly spending patterns. 6.Reducing the amount of time and resources allocated to preparing annual budgets. C.Measurable Objectives.  The two‐year financial plan will establish measurable program and performance objectives and allow reasonable time to accomplish those objectives. D.Second Year Budget.  Before the beginning of the second year of the two‐year cycle, the Council will review progress during the first year and approve appropriations for the second fiscal year. Financial Plan Page 21 Page 541 of 994 FINANCIAL PLAN FRAMEWORK E.Operating Carryover.  Operating program appropriations not spent during the first fiscal year may be carried over for specific purposes into the second fiscal year with the approval of the City Manager. F.Goal Status Reports.  The status of major program objectives will be formally reported to the Council on an ongoing, periodic basis. G.Mid‐Year Budget Reviews.  The Council will formally review the City’s fiscal condition, and amend appropriations if necessary, six months after the beginning of each fiscal year. Long‐Term Financial Planning A.Balanced Budget.  The City will maintain a balanced budget over the two‐year period of the Financial Plan.  This means that: 1.Operating revenues must fully cover operating expenditures, including debt service. 2.Ending fund balance (or working capital in the enterprise funds) must meet minimum policy levels.  For the general and enterprise funds, this level has been established at 20% of operating expenditures. Additionally, it includes the revenue and rate stabilization reserves as set forth in the City’s fiscal policies under the Fund Balances and Reserves section. 3.Under this policy, it is allowable for total expenditures to exceed revenues in a given year; however, in this situation, beginning fund balance can only be used to fund capital improvement plan projects, or other “one‐time,” non‐recurring expenditures. B.Long‐Term Liabilities and Maintenance of Infrastructure. The City will give priority to applying unassigned fund‐balance due to one‐time expenditure savings or one‐time increase in revenue to pay down long‐term unfunded liabilities and invest in infrastructure and equipment. C.Consideration of Climate Risk and Climate Action. The City is aware of the increasingly severe and frequent natural, economic, and social disruptions presented by a rapidly changing climate. The City is also aware of the financial benefits (e.g., reduced operational costs, prudent asset management, access to green bonds, etc.) of managing climate risk and orienting towards a carbon neutral municipal operations and community. The City will include climate risk and climate action considerations in its long‐term financial planning. D.Consideration of Diversity, Equity, and Inclusion (DEI). On June 18th, 2020, the City Council took action to affirm racism as a public health crisis and committed to making San Luis Obispo a welcoming, inclusive, and safe community for everyone (R‐11132). The City Council also set a vision of a community with core values of diversity and inclusivity in the adoption of its 2019‐21 Major City Goals.  The City is committed to supporting diversity, equity, and inclusion in is operations and in the community. The City will include DEI considerations in its long‐term financial planning. E.Revenue Stabilization Reserve – General Fund. As outlined in the City’s Fund Balance and Reserve policy, the City Council can activate a Revenue Stabilization Reserve in its General Fund to counteract any adverse revenue forecast during a period of economic uncertainties pertaining to the City’s largest tax revenue sources. For the 2023‐25 Financial Plan, this reserve has been set at $2 million and is included in the long‐term forecast. Financial Plan Page 22 Page 542 of 994 FINANCIAL PLAN FRAMEWORK  Financial Reporting and Administration   A. Annual Reporting.  The City will prepare annual financial statements as follows:   1. In accordance with Charter requirements, the City will contract for an annual audit by a qualified  independent certified public accountant.  The City will strive for an unqualified auditors’  opinion.  2. The City will use generally accepted accounting principles in preparing its annual financial  statements and will strive to meet the requirements of the GFOA’s Award for Excellence in  Financial Reporting program.  3. The City will issue audited financial statements within 180 days after year‐end.       B. Interim Reporting.  The City will prepare and issue timely interim reports on the City’s fiscal status  to the Council and staff.  This includes on‐line access to the City’s financial management system by  City staff; monthly reports to program managers; more formal quarterly reports to the Council and  Department Heads; mid‐year budget reviews; and interim annual reports.    C. Budget Administration.  As set forth in the City Charter, the Council may amend or supplement the  budget at any time after its adoption by majority vote of the Council members.  The City Manager  has the authority to make administrative adjustments to the budget as long as those changes will  not have a significant policy impact nor affect budgeted year‐end fund balances.    D. Development Services Revenue. The City Manager may allocate or designate 75% of over‐realized  Development Services revenues exceeding adopted budget for the current fiscal year for temporary  Development Services expenditures for the purpose of timely processing of development permit  applications in the current fiscal year or throughout life of applicable projects. Any and all City  Manager authorized allocations and funds set aside in a designation for future use, shall be reported  to the Council on a semi‐annual basis.    For a comprehensive list of the City’s financial policies, please see the reference section.    Fiscal Policy Compliance  The City of San Luis Obispo has  created policies and  procedures that guide effective  government management.  Adopting these as formal  policies endures that they  outlive staff changes,  promoting stability and  continuity. The City is currently  in compliance with all policies  as summarized in the chart  below and in the details within  the reference section of this  report.  Fiscal Policy (linked to policy detail) Compliant?  1. General Revenue Management  2. User Fee Cost Recovery  3. Enterprise Fund Fees & Rates  4. Revenue Distribution  5. Investments  6. Appropriations Limitation  7. Fund Balances and Reserves  8. CalPERS and Unfunded Liabilities  9. Capital Improvement Management  10. Capital Financing and Debt Management  11. Human Resource Management  12. Contracting for Services  13. Productivity  Financial Plan Page 23 Page 543 of 994 FINANCIAL PLAN FRAMEWORK Budget Balancing Strategies   The City’s Fiscal Policies guide staff in the management of the City’s finances and provide a foundation  for budget balancing strategies to ensure the long‐term financial sustainability of City operations,  regardless of financial condition. In July 2014, the City Council adopted the Fiscal Responsibility  Philosophy to ensure a focus on the long‐term health of the organization.  The components of the  Philosophy provide clear guidance for ensuring fiscal responsibility, and the Budget Balancing Strategies  serve to operationalize that guidance. These budget balancing strategies are subject to at least bi‐annual  review and are approved by the City Council with adoption of the two‐year Financial Plan every other  June.   Consistent with adopted fiscal policies, staff provides quarterly budget updates to the City Council which  provides the opportunity to identify budgetary issues and implement corrective measures if needed.  These strategies guide both development and management of the budget, both in times of budgetary  growth and contraction. One of the overarching objectives of the City’s Budget Balancing Strategies is to  strike a balance between ensuring fiscal sustainability and continuing to provide programs and services  to the community.   This section provides an overview of the City’s Budget Balancing Strategies and is divided into two parts  outlining the City’s preferred strategies and approaches in times of (1) budgetary contraction and (2)  budgetary growth.   In Times of Financial Difficulty   When faced with financial difficulty, the City should identify budget balancing strategies that address  both short and long‐term budget gaps, while also minimizing the impact of budget reductions to the  community and employees. It also becomes increasingly important to focus on employee retention as  the cost of turnover can outweigh savings produced by vacancies. Focusing on creative and cost neutral  or low‐cost options to keep turnover at sustainable levels is crucial for maintaining and delivering core  services to the public during challenging times.  Depending on the level or type of financial difficulty being experienced, short and long‐term budget  balancing strategies may be needed over multiple years. An important consideration in developing and  implementing budget balancing strategies is identifying the timeframe for fixing the problem and  bringing about structural balance. Utilizing reserves and other short‐term budget balancing solutions can  soften the impact of reductions to programs and services. However, it is imperative that these short‐ term solutions be used judiciously to maintain the City’s overall fiscal health. Relying too heavily on  short‐term solutions can delay implementation of strategies to address budget deficits and may increase  deficits in the long‐term.  Following is an outline of the City’s preferred budget balancing strategies and approaches in times of  financial difficulty:   Long‐Term Budget Balancing Strategies   1.Priority Driven‐ Development of recommendations to balance the budget should be based upon consideration of legal mandates, community health and safety, basic service needs, Council’s Financial Plan Page 24 Page 544 of 994 FINANCIAL PLAN FRAMEWORK identified Major City Goals and other identified priorities.  Proposed budget reductions should  take into consideration funding requests for programs that are discretionary and for programs  that are mandated by state, federal, or local legal requirements and/or health and safety needs.  2.All Departments Participate‐ While departmental budgets vary significantly due to the services provided, identified priorities, expected levels of service, and departmental revenue sources (amongst many other variables), all departments should participate in the closing of a budget gap. More specifically, no department should be exempt from consideration of budget reductions. 3.Long‐Term Budget Reductions‐ At the guidance of the City Manager, the Finance Department should require departments to incorporate a prioritized list of expenditure reductions into their annual budget submittals. Potential reductions submitted by departments should not impact the City’s ability to meet legal mandates, and should reflect consideration of basic service needs, community expectations and the Council’s identified Major City Goals. If reductions are necessary, targeted reduction amounts should be included as part of the detailed budget instructions provided to departments. If needed, reduction lists will generally be required during development of the two‐year Financial Plan or Supplemental Budgets, 4.Mid‐Year Budget Reductions‐ Mid‐year reductions may be necessary in any given fiscal year depending upon general economic conditions, recently passed legislation, or unanticipated action by other levels of government at any particular point in time. The intent of the mid‐year reductions is to help keep the current year budget in balance and to create additional unassigned fund balance at year‐end for use as a funding source in the subsequent budget year. 5.City Share of Cost‐ Some City programs are funded wholly or in part by external funding sources including Federal allocations, grants, and user fees. These funding sources may not cover the entirety of program expenditures, requiring a contribution from the City. Staff should carefully monitor external funding sources over time to ensure that they keep pace with the cost of providing the related service to ensure that the City’s share of cost does not increase over time. If external funding sources decrease or are eliminated, the associated expenditures should be considered for reduction or elimination as well. If staff believes that continuation of externally funded programs should continue despite a loss of funding, staff should inform the City Council of the loss of external funding sources and request appropriation of identified City dollars and funding sources to continue the program in full or in part. 6.Engage Employees and Employee Associations‐ Labor costs account for the majority of the City’s operating budget. City staff and negotiators are obligated to meet and confer in good faith with employee associations to negotiate labor agreements that are fiscally sustainable and aligned with the Council adopted Compensation Philosophy and Labor Relations Objectives. 7.Revenue Generation‐ Addressing budget shortfalls requires an evaluation of both revenues and expenditures. While the City is limited in its ability to generate new revenue, there is opportunity within existing City processes to ensure that the City is able to maximize existing revenues. In order to do this, the City should: Financial Plan Page 25 Page 545 of 994 FINANCIAL PLAN FRAMEWORK Conduct fee studies at least every three years, consistent with Section 2 of the City’s Fiscal Policies related to User Fee Cost Recovery Goals to ensure that the cost of services that provide an individual benefit are offset by fees for those services. As a part of the regular fee studies, Council should also consider policies around fee cost recovery and make adjustments if needed. Focus on enforcement of requirements in the City’s Municipal Code to ensure that the City is recovering its costs for providing services. It should be noted that proactive enforcement of Municipal Code requirements requires a considerable investment of staff time which may limit the City’s ability to make significant progress in this area. Revisit existing agreements with outside agencies to ensure that the City is maximizing recovery of costs for specific services provided through those agreements. Explore opportunities to increase rates for specific taxes, where the tax rate being charged is under the maximum authorized by the City Council. The City should carefully consider the impact on the community when taking any action to  increase revenue, as general economic conditions impacting the City’s budget also impact  members of the community.    8.Revisit Capital/Operating Split of Local Revenue Measure Expenditures. In November 2020, City voters passed a Local Revenue Measure (LRM), authorizing a 1.5% local sales tax to protect and maintain services and public infrastructure.  The sales tax that the City collects due to the LRM funds both capital and operating expenses. Historically, the City has allocated 75% of LRM revenues to capital costs and 25% to operating costs. Staff should revisit the capital/operating split to ensure that the City is able to use LRM dollars to fund priority needs and minimize operating budget reductions to the greatest extent possible. Short‐Term Solutions That Do Not Address a Long‐Term Structural Budget Gap:   1.Hiring “Chill”‐ The purpose of a hiring “chill” is two‐fold: to contain costs in the current year by slowing the recruitment of vacant positions or holding certain positions vacant so that additional unassigned fund balance is available for the subsequent budget year and to allow for attrition with respect to the reduction of positions (i.e. reduce or eliminate the need for layoffs). The decision about which positions to hold vacant or slow recruitments for should also be based upon priority and need, which a focus on minimizing impacts to the community to the extent possible. Attrition is a helpful tactic but should not be the driving strategy in reducing costs. 2.Defer capital improvement and  information technology projects that rely on the General Fund‐ This option saves money in the near‐term but if these types of projects are continuously deferred, City facilities and systems may deteriorate and the cost of repairs may increase over time. 3.Minimize building and information technology maintenance expenditures‐ Similar to deferring capital improvement and automation projects that require General Fund, this option saves General Fund in the near‐term. However, over time, if maintenance is deferred, City facilities and automation may deteriorate, leading to higher repair costs. Financial Plan Page 26 Page 546 of 994 FINANCIAL PLAN FRAMEWORK  4. Early Retirement‐ Early retirement programs may be offered on a case‐by‐case basis. The intent  of an early retirement program is to reduce the number of potential layoffs by enticing  individuals who are considering retirement to retire sooner rather than later in order to create  attrition opportunities. Depending upon the specifics, an early retirement program may or may  not provide cost savings. In instances where the program does not provide a cost savings (or is  cost neutral), the sole benefit would be to reduce layoffs.     5. Use of One‐Time Reserves‐ The City has set aside money in reserves, some of which is not  designated for a specific purpose. This money is budgeted every year and has historically been  used to help pay for unexpected costs or to help fund one‐time projects. Some of these reserves  are available to help address a budget gap. However, since reserves are one‐time in nature, the  use of reserves to fund ongoing operational expenditures should be limited and not considered  to be a long‐term operational funding source.   Other Unlikely Strategies   1. Furloughs‐ This approach has not historically been used by the City because it is challenging to  implement without significant impacts to services provided to the community.     2. Eliminate Training‐ Maintaining a skilled workforce is important for every organization,  especially one as labor intensive as the City. This approach should not be included in the budget  balancing strategies because in times of budget reductions, additional demands are placed upon  employees and, during these times, it will be more important than ever to maintain and  enhance the performance of the workforce in order to successfully manage an increased  workload. While training plans and expenditures may be cut back in times of financial difficulty,  they should not be eliminated.     In Times of Financial Recovery and Growth   The goal of the recovery process is to assure that the City remains adaptable to changing conditions. To  ensure long‐term fiscal stability, the City must prioritize funding existing financial and operating deficits  over the addition of new programs and projects.     In times of financial recovery and growth, the City aims to strike a balance in the following areas:    Financial security    Programs and services    Employee compensation and workforce investment   Following is an outline of the City’s approach:     Financial Security   In times when the City has funds available to support expansion of the budget, there should be a  balance between the restoration of programs and services and the funding of the reserves,  contingencies and designations that have been reduced to balance the budget in prior years. The City  aims to maintain healthy reserves and low debt levels in order to allow for future organizational stability  and continuity of services. Consideration of financial security includes a review of the following:   Financial Plan Page 27 Page 547 of 994 FINANCIAL PLAN FRAMEWORK   Ratio of reserves to the City’s General Fund operating budget‐ The City’s goal is to maintain a  prudent level of savings that allows the City to plan for future needs and “weather” economic  downturns. The industry standard target is to have a 20% reserve as a percent of the operating  budget.    Debt Ratios‐ The City’s Debt Management policy is to generally keep the ratio of general fund  debt service costs below 10% of General Fund revenue and never exceed 15%. A ratio under 5%  is considered to be favorable by credit rating agencies.    Asset Maintenance and Replacement: These costs are often first to be cut in hard times and, if  left unfunded, will create significant liabilities. The City should ensure deferred maintenance is  prioritized by setting aside funding for asset replacement as funds become available.  Programs and Services   Development and delivery of new programs and services or modification to existing programs and  services provided to the community are based on an evaluation of need thorough an annual process  that invites submittal of Significant Operating Budget Changes (SOBC’s) by Department Heads to the City  Manager. The SOBC provides the City Manager with a written proposal for adding resources to a  department’s budget. The written proposal must include:    A summary of the current situation and need that the SOBC will address and any relevant  background to support the request.    A description of how the requested resources will address the identified need.   Identification of intended results in terms of efficiency, quality of service, outcomes, and key  performance indicators.     A description of how additional resources will address a high priority City service need or  Major City Goal.    An analysis of alternative solutions to address the identified problem.   The expected timeline for implementing the request, including major milestones along the  way.   SOBCs that are recommended by the City Manager are dependent upon Council priorities, existing  service needs, the availability of funding, consistency with existing policies and budget balancing  strategies, and the anticipated results or outcomes that will be achieved by adding the resources.     Requests for new capital projects are evaluated bi‐annually by the CIP Review Committee as part of the  development of the two‐year Financial Plan. Proposals for new projects require submittal of a Project  Initiation Form which must include:   Proposed project title.   Project function (community and neighborhood livability, community safety, culture and  recreation, environmental health and open space, fiscal health and governance, or  infrastructure and transportation).   Identification of project as being annual asset maintenance, asset replacement, a new asset  or a non‐asset project.   Identification of project alignment with related City priorities (Local Revenue Measure,  Major City Goal, adopted planning documents, or other important objective,).   A description of the project purpose and need, including a detailed scope of work.  Financial Plan Page 28 Page 548 of 994 FINANCIAL PLAN FRAMEWORK   Identification of project consistency with the Climate Action Plan or Diversity, Equity and  Inclusion considerations.   Information about project schedule and delivery, including planning or design phase services  and any expected permit needs, advisory body reviews, or anticipated public outreach.   Project cost estimates and identified funding sources. As a part of this, departments should  also identify ongoing costs to maintain assets, including staffing and needs.  Employee Compensation and Workforce Investment   The City is committed to providing competitive compensation as part of an overall strategy to attract  and retain highly qualified employees. City staff and negotiators work to develop and maintain positive  employee relations while also ensuring that negotiated labor agreements are fiscally sustainable and  acceptable to the community. The City Council‐adopted Compensation Philosophy and Labor Relations  Objectives establish the intent of and guide the City’s approach to labor relations.     The City Council adopted a Compensation Philosophy in 2011 which indicates that the City should  require the following in evaluating competitive compensation:   Financial sustainability   Community acceptability   The relevant labor market   Internal relationships   Other relevant factors, including changes in economic condition, natural disasters, states of  emergency, changes in City services, and changes in regulatory or legal requirements   The City Council also adopted the following Labor Relations Objectives in 2014, which were revised in  2018 to operationalize the Compensation Philosophy and guide labor negotiations with employee  groups:   Maintain fiscal responsibility by ensuring that fair and responsible employee compensation  expenditures are supported by on‐going revenues. (Theme – Fiscal Responsibility)    Continue to make progress in the area of long‐term systemic pension cost containment and  reduction, including reversing the unfunded pension liability trend and other actions  consistent with State law. (Theme – Cost Containment/Reduction)    Continue to effectively manage escalating health benefit costs through balanced cost  sharing and other means while maintaining comprehensive health care coverage for all  eligible employees. (Theme – Cost Containment)    As necessary to attract and retain well qualified employees at all levels of the organization,  provide competitive compensation as articulated in the City’s Compensation Philosophy,  including relevant local, statewide or national labor markets. (Theme – Recruitment and  Retention)    Employee labor agreements will be negotiated in good faith, in a timely manner that avoids  retroactivity provisions unless there is a compelling need. (Theme – Cost Containment)    Contract provisions shall take into consideration the City’s ability to effectively and  efficiently implement and administer them using the City’s financial and human resources  systems to ensure accuracy and compliance with federal, state, and local laws. (Theme –  Best Practices and Compliance)  The City recognizes that improvements to and success of programs and services for the community is  Financial Plan Page 29 Page 549 of 994 FINANCIAL PLAN FRAMEWORK  dependent upon recruiting and maintaining a talented and skilled workforce.           Financial Plan Page 30 Page 550 of 994 STRATEGIC PLANNING PROCESS  Financial Plan Page 31 Page 551 of 994 STRATEGIC PLANNING PROCESS Strategic Planning Process  For over thirty years, the City has used an extensive process to create its two‐year financial plan and  corresponding budgets. The benefits of budgeting based on a two‐year plan include:  1.Reinforcing the importance of long‐range (“strategic”) planning in managing the City's fiscal affairs. 2.Concentrating on budgeting to accomplish significant objectives over a multi‐year period. 3.Establishing realistic timeframes for achieving objectives. 4.Creating a proactive budget that supports stable operations and assures the City's long‐term fiscal health. The fundamental purpose of the City’s budget process is to link,  through public engagement and strategic deliberation, the  interest of the community to the available financial resources to  achieve desired outcomes. The process allows the City Council to engage the community in identifying  strategic priorities in the form of Major City Goals while also providing information regarding the City’s  established ongoing services, including the day‐to‐day work and responsibilities carried out by City  employees to support residents’ quality of life.   Public Engagement  As a part of the financial planning process, there are a variety of opportunities for the community to  provide input to the City Council relative to establishment of their Major City Goals. Every two years, the  City seeks input through a community survey, outreach to advisory bodies, and public comment at  regular City Council meetings, including the Community Forum.   Community Survey The public engagement process for the 2025‐27 Financial Plan formally kicked off in mid‐November,  with the release of a community survey to gather community input relative to the priorities that should  guide development of Major City Goals for the 2025‐27 Financial Plan period.  The survey was open for  one month and community members were notified of the survey through utility bill mailings, social  media posts, promotions on the City’s website and at advisory body meetings. In total, 1,629 community  members responded to the survey, representing a 25% increase in participation compared to the prior  community survey for the 2023‐25 Financial Plan. The top five priorities identified in the survey were:  homelessness, infrastructure maintenance, downtown vitality, housing supply and affordability, and  open space. With expectations that the budget will tighten in the coming years, the survey also provided  an opportunity for respondents to identify how the City might adjust funding current projects or services  to accomplish any new priorities. Approximately 45% of respondents provided input, with recurring  suggestions for prioritizing basic services, addressing homelessness, improving cost efficiency, and  balancing priorities.   The chart below summarizes the priorities identified by respondents in the community survey:   Major City Goals represent the  most important, highest  priority goals for the City to  accomplish over the next two  years, and as such, resources  should be included in the 2025‐ 27 Financial Plan.  Financial Plan Page 32 Page 552 of 994 STRATEGIC PLANNING PROCESS The top 20 themes in the ‘other’ category included (in order):  1.More Parks and Recreation facilities 2.Parking rates and policies 3.Transportation/traffic improvements 4.Addressing homelessness 5.Healthcare access and medical system 6.Neighborhood wellness and code enforcement 7.Less bike lanes and infrastructure 8.Housing supply and affordability 9.Adobes and historic preservation 10.Broad Street corridor improvements 11.Downtown vitality and cleanliness 12.Tobacco concerns and second‐hand smoke 13.Rental protections 14.Public safety issues 15.Prioritize Righetti Park construction 16.Infrastructure maintenance 17.Accessibility for seniors and disabled community 18.Laguna Lake dredging 19.Permitting process improvements 20.More bike lanes and infrastructure The information gathered through the Community Survey helped the City Council in finalizing plans for  the Community Forum, including establishment of the topics for the stations that were set up for  community members to learn more about the City’s programs and services and vote for ideas to  advance the community’s priorities.  264 272 279 295 372 415 482 518 543 672 724 729 766 975 0 200 400 600 800 1000 1200 DEI Cultural Vitality Safe Housing and Neighborhood Wellness Childcare Public Safety Sustainable and Multi‐Modal Transportation Other Climate Action Plan Fiscal Sustainability and Responsibility Open Space Housing Supply and Affordability Downtown Vitality Infrastructure Maintenance Homelessness Count of Survey Responses Priorities Identified in Community Survey Financial Plan Page 33 Page 553 of 994 STRATEGIC PLANNING PROCESS Community Forum   The Community Forum was held on January 23, 2025 at the Ludwick Community Center in San Luis  Obispo. Over 200 community members participated in person or virtually. The forum kicked off with a  welcome by the Mayor, and introductory comments by the City Manager and Finance Director, and  included a walk‐through environment and nine interactive booths including:  1.Diversity, Equity and Inclusion 2.Downtown Vitality and Economic Development 3.Homelessness 4.Housing Supply and Affordability, Neighborhood Wellness 5.Infrastructure, Sustainable and Multi‐Modal Transportation 6.Climate Action, Open Space 7.Fiscal Sustainability 8.Public Safety 9.New Ideas Each booth was staffed by  employees with expertise  in each topic area and  attendees had the  opportunity to have  conversations with each  other and with staff and  submit votes on actions  that the City could take to  make progress in priority  areas.   The meeting  concluded with public  comment.  After the forum, the  community feedback and  ranking of priorities was  compiled and presented to  Council at the all‐day goal‐ setting workshop held on  Saturday, February 8,  2025. The goal setting  workshop is described  below and results can be  found at www.slocity.org.   Local Revenue Measure Annual Citizen Oversight Meeting & Advisory Body Input  The Community Forum also met requirements related to oversight of the Local Revenue Measure (the  City’s one‐and‐a‐half percent local sales tax), by providing an opportunity for the Revenue Enhancement  Oversight Committee (REOC) to review and discuss the use of the revenue generated by the Local  Financial Plan Page 34 Page 554 of 994 STRATEGIC PLANNING PROCESS Revenue Measure with the community.   With passage of the Local Revenue Measure in 2020, the community set the spending priorities for the  measure funding as (not numbered by priority): 1) Protect Financial Stability, 2) Community Safety and  Emergency Preparedness, 3) Creek and Flood Protection, 4) Address Homelessness, 5) Safe and Clean  Public Spaces, 6) Economic Development and Business Retention, 7) Youth/Senior Services and  Recreation Facilities, 8) Street Maintenance and Transportation, 9) Open Space/Natural Areas  Preservation and Maintenance, 10) Other Services and Projects.  Goal Setting Workshop  The City Council’s goal setting process was a day‐long facilitated Goal Setting Workshop on February 8,  2025. At this workshop, the Council reviewed all community input provided via the Community Survey,  at the Community Forum, via public comment at regular City Council Meetings, as well as input provided  by several of the City’s advisory bodies.  The culmination of all the community input resulted in the  development of the City Council’s Major City Goals for the 2025‐27 Financial Plan.  The Major City Goals  adopted by the City Council are discussed in more detail later in this section and include:  Financial Plan Page 35 Page 555 of 994 STRATEGIC PLANNING PROCESS Budget Calendar  December 10, 2024: Setting the Stage &  Strategic Scan Provide Council with the  framework for the two‐year financial plan  and present an update on the City’s fiscal  status, general plan, and Major City Goal  work programs.  January 15, 2025: Budget Foundation  Review with Council the goal setting  process, approve City’s budget and fiscal  policies, discuss economic outlook, and  review current and long‐term capital  outlook plan.  January 23, 2025: Community Forum   Council Meetings February 8, 2025: Council Goal‐Setting  Workshop Review and prioritize goals and  establish strategic priorities for the 2023‐ 25 Financial Plan.   April 15, 2025: Strategic Budget Direction   Provide feedback and guidance to City  Manager and staff regarding the draft  budget allocations and Major City Goal  work programs.  June 17, 2025: Preliminary Budget  Review 2025‐27 Financial Plan and 2025‐ 26 Budget and adopt if there are no  changes directed by Council.  NOVEMBER  2024  JUNE   2025  Community Surveys  Advisory Bodies  Letters from  Community Groups  Public Comment  Community Forum FINANCIAL PLANNING  Public Engagement Revenue & expenditure  forecasts  Departments prepare base  budgets and propose  operating changes  Draft Major City Goal work  programs  Draft Capital Improvement  Plan  Prepare Financial Plan  Document  Financial Plan Page 36 Staff Budget Preparation FINANCIAL PLANNINGPage 556 of 994 STRATEGIC PLANNING PROCESS Financial Plan Page 37 Page 557 of 994 STRATEGIC PLANNING PROCESS Cultural Vitality, Economic Resilience, and Fiscal Sustainability Financial Plan Page 38 Page 558 of 994     STRATEGIC PLANNING PROCESS  Cultural Vitality, Economic Resilience, and Fiscal Sustainability  (continued)                                   Financial Plan Page 39 Page 559 of 994     STRATEGIC PLANNING PROCESS    Diversity, Equity, and Inclusion         Financial Plan Page 40 Page 560 of 994     STRATEGIC PLANNING PROCESS      Housing & Neighborhood Livability – Healthy, Safe, and Affordable       Financial Plan Page 41 Page 561 of 994     STRATEGIC PLANNING PROCESS  Homelessness Response                 Financial Plan Page 42 Page 562 of 994     STRATEGIC PLANNING PROCESS  Homelessness Response (continued)                                               Financial Plan Page 43 Page 563 of 994     STRATEGIC PLANNING PROCESS  Infrastructure and Sustainable Transportation             Financial Plan Page 44 Page 564 of 994     STRATEGIC PLANNING PROCESS    Open Space, Climate Action, and Resilience           Financial Plan Page 45 Page 565 of 994     STRATEGIC PLANNING PROCESS    Open Space, Climate Action, and Resilience       Financial Plan Page 46 Page 566 of 994 FINANCIAL PLAN OVERVIEW  Financial Plan Overview   The financial plan overview provides a summary level presentation of the City’s budget information.  Included in this section is:  An overview of the City’s fund structure and description of the major funds; A summary of the City’s ‘all funds’ budget (including the General Fund, Capital Projects funds, Special Revenue funds, Debt Service fund, Enterprise funds, and Internal Service funds); An overview of the City’s revenue sources and expenditure categories; An overview of transfers between funds; An overview of the proposed use of Local Revenue Measure (LRM) dollars; and The long‐term forecast for the General Fund. More detailed information about individual department budgets can be found in the ‘Operating Budgets’  section of the budget document.   The budget document includes detailed information for fewer funds than are included in the City’s Annual  Comprehensive Financial Report (ACFR). For information pertaining to funds other than those included in  the budget document, please refer to the City’s ACFR, which is available on the Finance Department’s  website.  Fund Structure  The City’s financial structure is separated into governmental and business activities. Revenues and  expenditures are balanced at the fund level to ensure that the City has the capacity to support anticipated  costs. Business activities (proprietary funds) are distinguished from governmental funds by their similarity  to private sector enterprises and are financed largely through user charges.   The following graphic provides an overview of the City’s budgetary fund structure and additional  information about each fund included in this document follows.  Financial Plan Page 47 Page 567 of 994 FINANCIAL PLAN OVERVIEW  Governmental Funds  General Fund  The General Fund is the main operating fund for general government operations and is primarily funded  through various tax revenues and user fees that are intended to recover the cost of providing specific  services.   General Fund  Funding Sources Funding Uses  Tax & Franchise Revenue Municipal Services  Sales Tax  Public Safety  Property and Lodging Tax Parks & Recreation  Utility User and Business Tax Public Works  Cannabis and Franchise Tax Community Development  Service Fees General Government  Planning and Building Administration Parks & Recreation Fees City Attorney Public Safety Fees HR and Finance Local Revenue Measure (LRM) funding is part of the General Fund and accounts for the local 1.5‐cent sales  tax measure approved by the voters in 2020 via Measure G‐20. LRM funding is used in accordance with  the community’s priorities for services and capital improvement projects. The City’s Municipal Code,  under Section 3.15 – Community Services and Investment Transactions and Use Tax, guides the use of  LRM revenue and provides fiscal accountability provisions. The Revenue Enhancement Oversight  Committee, as directed by Municipal Code Section 2.14, makes recommendations to the City Council  regarding the use of LRM funding.  Special Revenue Funds  Special revenue funds are established to separate and account for revenues that are restricted or  committed to specific governmental activities. Special Revenue Funds include:   Downtown Business Improvement  District   Gas Tax Fund   Transportation Development Act Fund   Law Enforcement Grant Fund   Public Art (Private Sector Contributions)  Fund   Tourism Business Improvement District  Fund   Avila Ranch Community Facilities District  (CFD)   San Luis Ranch Community Facilities  District (CFD)  Financial Plan Page 48 Page 568 of 994 FINANCIAL PLAN OVERVIEW  Capital Project Funds  The Capital Project Funds account for financial resources used for the acquisition, construction,  maintenance and replacement of major capital assets. The City has typically prepared a five‐year Capital  Improvement Plan (CIP), which is refreshed every two years with development of the two‐year Financial  Plan. The plan does not appropriate funding but rather serves as a budgeting tool to identify  appropriations to be made through the adoption of the City’s annual budgets.  The CIP included in this  financial plan presents a ten‐year plan for the construction of capital projects based on projected revenues  for the entire ten‐year planning horizon.  More information on the Capital Improvement Plan can be found  in the ‘Capital Budget’ section of this document.  Capital Project Funds include:   Capital Outlay Fund   Parkland Development Fund   Transportation Impact Fee Fund   Open Space Protection Fund   Airport Area Impact Fee Fund   Affordable Housing Fund  Debt Service Fund   Fleet Replacement Fund   Los Osos Valley Road sub‐Area Fee Fund   Information Technology Replacement  Fund   Major Facility Replacement Fund   Infrastructure Investment Capital Fund  The Debt Service Fund is set up to receive dedicated revenues used to make principal and interest  payments on City debt. It is used to account for the accumulation of resources for, and the payment of,  general obligation and special assessment debt principal, interest and related costs, except the debt  service accounted for in the Special Revenue funds and Enterprise funds.  Proprietary Funds  Water Enterprise Fund  The City’s Water Fund is a business‐activity and is funded predominately through its own rates to provide  service. The City treats and delivers water to the public from three surface reservoirs as well as recycled  water for landscape irrigation. The water service is provided to all property owners in the City including  parks and sport fields.   Water Enterprise Fund  Funding Sources Funding Uses  Service Charges and Fees Sources of Supply  Water Service Charges Water Treatment  Base Fee Revenue Water Distribution  Cal Poly Sales Water Resources Management  Recycled Water Sales Administration and Engineering  Development Impact Fees Capital Infrastructure  Debt Financing  Financial Plan Page 49 Page 569 of 994 FINANCIAL PLAN OVERVIEW  Sewer Enterprise Fund  The City’s Sewer Fund is also a business‐activity and fund and operates and maintains the City’s sanitary  sewer system and the Water Resource Recovery Facility. An efficient sanitary sewer system that collects  and treats wastewater provides a foundation for public health and community well‐being. Rates and  charges are the primary source of revenue for this fund.  Sewer Enterprise Fund  Funding Sources Funding Uses  Service Charges and Fees  Water Resource Recovery Facility  Sewer Service Charges  Wastewater Collection  Base Fee Revenue  Water Quality Lab  Cal Poly Sales  Environmental Compliance  Development Impact Fees  Administration and Engineering  Industrial User Charges  Capital Infrastructure   Debt Financing  Parking Enterprise Fund  The City’s Parking Fund implements the Access and Parking Management Plan and directs the operation  and maintenance of the City’s parking facilities. These facilities include parking lots in Downtown and  Railroad Square, on‐street parking, residential parking districts, and three parking structures (with a fourth  structure coming online in 2026). The operation is paid for by parking user fees.   Parking Enterprise Fund  Funding Sources Funding Uses  Service Fees  Parking Operation, Security, & Cleaning  Parking Meters Collection  Public Education & Engagement  Parking Structure Collection  Administration  Parking Leases  Capital Infrastructure  Long‐term Parking  Debt   Parking in‐lieu Fees  Parking Citations/Fines  Transit Enterprise Fund  The City’s Transit Fund provides daily fixed‐route transit service to the general public within City limits and  to Cal Poly University. It also includes the downtown trolley service connecting downtown with the lodging  district on upper Monterey Street. The services are paid for by user fares and federal and state funding.  Federal funding is subject to single audit requirements.   Transit Enterprise Fund  Sources of Fund Uses of Funds  Federal & State Grants  Public Transit Operation  Fare Box Revenue  Administration  Financial Plan Page 50 Page 570 of 994 FINANCIAL PLAN OVERVIEW  Insurance Internal Service Fund The Insurance Fund accounts for the payment of the City’s annual premiums for liability, workers’  compensation, special events, volunteer, property, and other insurances needed to protect the City and  to manage the fluctuations in claims‐related expenses.   Relationship Between Funds and Departments  The City’s organizational structure consists of departments performing various activities necessary for the  operations of the City, while the City’s finances are reported in funds. The following table portrays the  City’s departments and the sources of revenue they use to provide services.  *Solid Waste and Stormwater programs only **The Public Works department manages the Capital Improvement Plan, but the funds support capital projects for all departments Financial Plan Page 51 Page 571 of 994 FINANCIAL PLAN OVERVIEW  All Funds Budget Summary  The following tables provide a high‐level summary of the City’s total budget (including General funds,  Capital Projects funds, Special Revenue funds, Debt Service funds, Enterprise funds, and Internal Service  funds) for the most recently completed fiscal year, current budget year, and the two Financial Plan years.   Total Funding Sources – All Funds Combined  The following table provides a summary level view of proposed revenue for all funds. It does not include  an assumption for use of or contribution to fund balance, which is detailed later in this section.  Total Funding Uses – All Funds Combined  The following table provides a summary level view of proposed expenditures for all fund types by fund:  The following table provides a summary level view of proposed expenditures for all fund types by  expenditure category:  Actuals Budget Financial  Plan Citywide FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Tax & Franchise Revenue 100,917,864   103,548,018   105,593,017   108,595,745    Fee & Other Revenue General Fund 18,921,201     22,531,267     11,638,024     12,002,916      Water Fund 29,218,924     28,656,148     34,409,451     32,178,522      Sewer Fund 23,891,953     20,798,900     21,768,825     23,320,050      Parking  Fund 13,247,779     9,991,861       9,575,955       10,472,230      Transit Fund 6,475,111       17,059,186     12,028,458     14,365,515      Other Funds 11,094,797     9,907,111       10,627,752     11,165,663      Total Rev enue 203,767,628   212,492,492   205,641,483   212,100,641    YoY Change 4%‐3%3% Actuals Budget Financial  Plan Citywide FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 General  Fund 118,691,743 126,511,337 117,607,178 120,844,660  Water Fund 29,876,176   40,870,113   40,025,257   33,548,476    Sewer Fund 38,716,328   35,805,101   29,034,524   28,106,201    Parking  Fund 28,922,763   52,855,425   11,514,113   10,101,970    Transit Fund 6,560,413     17,220,676   9,615,713     14,236,283    Other Funds 8,315,742     9,378,496     9,817,626     10,224,310    Total 231,083,164 282,641,147 217,614,410 217,061,901  YoY Change 22%‐23% 0% Financial Plan Page 52 Page 572 of 994 FINANCIAL PLAN OVERVIEW  These expenditures are higher than revenues due to assumed use of fund balance, which is detailed   Fund Reserves   The following table shows reserve balances for each of the City’s five major funds (General Fund and four  enterprise funds).  Reserves are intended to help the City to address unanticipated, one‐time needs or  opportunities.  The City’s Fund Balance and Reserve Policy requires that the City maintain a minimum fund  balance of 20% of operating expenditures in the General Fund and 20% of operating expenditures in each  of the four enterprise funds.  Undesignated Fund Balance   The following table shows the undesignated fund balance for the General Fund and unreserved working  capital for the enterprise funds. This is the amount of fund balance above and beyond the amount  required for reserved and assigned balances.  Actuals Budget Financial  Plan Citywide FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 83,892,572   92,379,683   93,392,221   98,791,633    Other Operating Expenditures 50,862,532   64,542,218   61,764,911   58,547,011    Capital Expenditures 83,379,691   110,309,845 47,124,561   44,707,596    Debt Service 12,948,369   15,409,401   15,332,717   15,015,661    Total 231,083,164 282,641,147 217,614,410 217,061,901  YoY Change 22%‐23% 0% Actuals Budget Financial Plan FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 General  Fund 10,826,500      14,586,832    14,974,278   15,441,535   % of Operating Budget 15%20%20%20% Water Fund 4,560,481        5,545,556      6,391,710     5,742,308     % of Operating Budget 20%20%20%20% Sewer Fund 3,730,854        4,145,169      4,251,397     4,311,282     % of Operating Budget 20%20%20%20% Parking Fund 1,366,872        1,557,229      1,529,383     1,528,548     % of Operating Budget 20%20%20%20% Transit Fund 885,711    1,026,210      1,198,438     1,409,159     % of Operating Budget 20%20%20%20% Actuals Budget Financial Plan FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 General Fund 9,167,831 42,768 1,670,321 1,203,064 Water Fund 35,687,583 13,751,272 7,727,498 11,182,990 Sewer Fund 42,985,231 17,618,524 10,559,771 5,908,795 Parking Fund 48,555,133 5,501,212 3,590,901 3,961,997 Transit Fund 1,265,386 961,870 3,202,388 3,120,899 Financial Plan Page 53 Page 573 of 994 FINANCIAL PLAN OVERVIEW  The General Fund undesignated balance is typically used to fund additional discretionary payments  towards the City’s unfunded pension obligations and additional unbudgeted fund balance will be needed  to meet the $2.0 million annual target.  Overview of City Funding Sources – General Fund  The City’s operations are funded through a variety of sources. Following is a summary of the City’s major  revenue categories for the General Fund and identification of factors that are considered when  forecasting revenue for the coming budget year.  Information about funding sources for the City’s four  Enterprise funds are included in the ‘Operating Budgets’ section of this document, under the Public Works  and Utilities departments, which administer Enterprise fund programs.  Sales and Use Taxes   Sales Tax is regulated by the State and applies to all retail sales of goods and merchandise except those  sales specifically exempted by law.  Use Tax is also regulated by the State and generally applies to storage,  use, or other consumption of goods purchased from retailers in transactions not subject to a sales tax.   Use Tax may also apply to purchases shipped to a California consumer from another state.  The Sales and  Actuals Budget Financial Plan General Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Tax & Franchise Revenue Sales  Tax 53,404,212  56,383,599     55,470,441     57,110,216      Property Tax 23,723,431  23,446,385     25,944,966     27,112,490      Transient Occupancy Tax 11,063,012  10,586,256     11,099,705     11,145,652      Utility User Tax 6,301,505    6,622,639   6,605,306  6,671,359        Business Tax 2,942,923    3,317,338   3,230,170  3,262,472        Franchise Fees 2,366,286    2,091,800   2,242,429  2,293,556        Cannabis Tax 1,116,495    1,100,000   1,000,000  1,000,000        Tot al Tax & Franchise Revenue 100,917,864   103,548,018   105,593,017   108,595,745    YoY Change 3%2%3% User  Fees Development Review 6,276,972    6,585,331   4,606,812  4,706,435        Parks  & Recreation 2,415,605    2,079,727   2,280,283  2,320,590        Fire 2,267,237    1,629,575   1,759,183  1,774,654        Police 1,022,145    819,293      690,200     690,200     Business Licenses 703,544       700,600      632,470     732,469     Total User  Fees 12,685,503  11,814,526     9,968,947  10,224,348      YoY Change ‐7%‐16%3% General Government 6,235,698    1,984,742   1,669,077  1,778,568        2023 Storm Rei mbursement 8,732,000    Total Revenue 119,839,064   126,079,285   117,231,041   120,598,661    YoY Change 5%‐7%3% Financial Plan Page 54 Page 574 of 994 FINANCIAL PLAN OVERVIEW  Use Tax rate in the city is 8.75%, of which 2.5% is paid to the City.  Sales and Use Tax revenue projections  are based on forecasts provided by HdL, the City’s sales tax consultant.    Property Tax   Property Tax is regulated by the State and collected and distributed to various governmental agencies by  the County. The formula for calculating property taxes is determined by Proposition 13 (the People’s  Initiative to Limit Property Taxation), which was passed by California voters in 1978. Prop 13 sets the tax  rate for real estate at one percent of a property’s assessed value and limits changes to a property’s  assessed value based on the Consumer Price Index to two percent each year. Under Prop 13, reassessment  of a new base year value is only set upon a change of ownership or the completion of new construction.   The City receives approximately 10% of all property taxes collected in the city limits. Property Tax  revenues are projected by the County Assessor each year based on the total assessed value of the city,  which is estimated by taking into account inflationary factors such as the Consumer Price Index, new  construction, and transfers of ownership which trigger a reassessment of property values. Transient Occupancy Tax   Transient Occupancy taxes (TOT), commonly knowns as a “bed tax,” are charged to visitors who stay in  hotels, motels, short‐term rentals or similar lodgings for less than 30 days. The TOT rate is currently set at  10%.  TOT revenue is projected each year by taking into account the number of beds, average daily rates,  occupancy statistics, and other historical trends.  Utility Users Tax   Utility User taxes (UUT) are imposed on the consumption of utility services, including telecommunications,  electricity, gas, video, and water.  Utility companies collect UUT from their customers as part of their  regular billing procedures and then send collected funds to the City.  The UUT rates for each utility were  approved by voters and are currently set at 4.8% for telecommunications and video and 5% for electricity,  gas and water. UUT revenue is projected each year based on historical trends.   Franchise Fees   Franchise Fees are a form of rent for use of public streets and roadways.  Examples of businesses that pay  franchise fees include trash collectors, cable television companies, electric utilities and oil and natural gas  pipeline companies. Federal and state law limits the amount of some franchise fees (for example, video  and cable television franchise fees).  Franchise fees for provision of video services (like television  programming) are overseen by the state.  Franchise Fee revenue is projected each year based on historical  trends.  Business Tax   The City imposes a tax on the approximately 9,300 business operators that do business within the city.   Payment of the annual business tax is required in order for businesses to maintain an active business  license, as required by the Municipal Code.  The City’s business tax rate is fifty cents per thousand dollars  or 0.05% of a business’ annual gross receipts.  Business Tax revenue is projected each year based on  historical trends.  Financial Plan Page 55 Page 575 of 994 FINANCIAL PLAN OVERVIEW        Cannabis Tax   In 2018, voters in the city supported Measure F‐18, enabling a cannabis tax on all cannabis businesses  that operate in the city.  The measure passed by voters enables the City to charge a tax of up to 10% of  gross receipts for retail and delivery businesses and up to $10 per canopy square foot for cultivation.  The  tax rate is currently set at 6% of gross receipts.  Cannabis tax revenue is projected each year based upon  the number of cannabis operators and historical trends.     Fees for Service  The City charges fees for individualized services that are only used by certain members of the community  (these services include but are not limited to: checking plans for new construction, certain recreation  services, and issuance of business licenses).  Fees for these services exist so that the burden of covering  the cost of these services is borne by the individuals using them, rather than the general taxpayer.  Fee  revenue is projected each year based on changes to the City’s fee schedule and other trends such as  construction activity or external economic factors which indicate demand for services.   Development Review revenue is proposed to decrease by $2.0M or 30% compared to FY  2024‐25, based on revenue collection trends in the first half of FY 2024‐25.  Revenues are  projected to remain stagnant over the next two years as the new budget projections are more  aligned with nationwide development trends.    Parks & Recreation revenue is  proposed to increase by $0.2M, or 10%, due to a continued  rise in outdoor rentals and special events, leading to more applications and permits;  improved tracking of childcare and camp revenues, which have historically exceeded budget  estimates; an increase in youth athletic program revenue; and a trend toward customers  purchasing multi‐day swim passes instead of single‐use passes.    Fire revenue is proposed to increase by $0.1M or 8% due in large part to an updated contract  with Cal Poly for fire services that increases with annual CPI and now includes contributions  to a replacement tiller‐ladder truck that would be heavily used on the campus’s many multi  story buildings. Other increases come from the department’s Certified Unified Program  Agency (CUPA) and Fire and Life Safety Inspections.     Police revenue is proposed to decrease by $0.1M or 16%. Drivers include more accurate  forecasting of alarm tracking fees (the fee for permits and false alarms decreased slightly as  well due to the fee study earlier this fiscal year) and lower administrative citation revenue  based on recently observed trends.   Business Licenses revenue is proposed to decrease by $0.1M or 10% largely driven by fewer  cannabis business license renewals.  General Government  This category is a catch‐all for revenues that do not fit into one of the major revenue categories discussed  above.  Revenues in this category come from a variety of sources including investment income, rental  payments, grants, and other miscellaneous revenue.  Revenue in this category is projected each year  based on a variety of factors, including historical trends, City fee and rent amounts, and availability of  grant funding. In recent years, this line item has significantly outperformed budget driven by higher than  usual interest rates and investment income and the budget has not been increased to reflect this trend in  order to remain appropriately conservative in an uncertain environment.  Financial Plan Page 56 Page 576 of 994 FINANCIAL PLAN OVERVIEW  Overview of City Funding Uses – General Fund  Expenditures by Department – General Fund  The following chart shows how much of the expenditure budget is allocated to each department within  the General Fund.    Expenditures by Category – General Fund  This table shows the breakdown of operating costs by category:   Staffing  Staffing includes employee wages and benefits (including the pension, health benefits for employees and  their dependents), other benefits provided in labor agreements, and applicable payroll taxes.  This  category represents the single largest expenditure in the City’s budget and in individual departmental  budgets.  Staffing costs are projected based on the number of City employees, labor agreements, and the  cost of employee benefits.   Actuals Budget Financial Plan Department FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Police 23,246,393          23,493,292    25,598,563     26,920,831       Fire 15,943,005          16,972,642    18,225,120     19,003,900       Public  Works 15,832,158          17,210,449    17,428,593     17,855,449       Administration & IT 11,561,925          11,789,346    11,319,639     11,371,325       CDD 7,171,915            8,827,700      8,374,657       8,424,562         Parks  & Rec 5,401,385            5,989,589      6,222,696       6,363,030         Finance 2,277,595            2,616,331      2,770,356       2,852,226         Non‐Departmental 406,522               1,225,038      2,401,694       3,463,325         HR 2,171,424            2,277,718      2,037,833       2,118,360         City Attorney 1,470,929            1,514,049      1,657,575       1,719,298         Utilities 1,652,306            1,608,927      1,381,663       1,430,212         Total 87,135,556          93,525,079    97,418,388     101,522,518     YoY Change 7%4%4% Actuals Budget Financial  Plan General Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 68,749,198   74,412,682   78,762,988   83,299,523    YoY Change 8% 6% 6% Other Operating Expenditures 18,395,830   19,112,397   18,655,401   18,222,995    YoY Change 4%‐2%‐2% Total 87,145,028   93,525,079   97,418,388   101,522,518  YoY Change 7% 4% 4% Financial Plan Page 57 Page 577 of 994 FINANCIAL PLAN OVERVIEW  Other Operating Expenditures  Other Operating Expenditures include contract services, materials, equipment, utilities and other  expenses to support delivery of City programs and services.  Contract services represent approximately  half of operating expenditures, as the City relies heavily on consultants and contractors to deliver services  and supplement the work of City staff.  Other Operating Expenditure costs are projected based on the  cost of contracts, changes to the Consumer Price Index and the need for services and supplies to support  City operations.   In order to constrain budgets in response to reduced revenue projections, all departments were required  to submit Other Operating Expenditures budgets with no increase from approved ongoing FY 2024‐25  levels. This exercise generated savings of $1.6 million and the primary impact will be limited ability to  respond to unplanned needs citywide.   Financial Plan Page 58 Page 578 of 994 FINANCIAL PLAN OVERVIEW  Consolidated Financing Sources and Uses Summary  Cancellations of reserves and designations reflect use of those funds and allow the City to fund  expenditures with assigned or reserved fund balance rather than revenue.   Actuals Budget Financial  Plan Citywide FY 2023‐24 FY  2024‐25 FY  2025‐26 FY  2026‐27 Financing Sources Tax  & Franchise  Revenue 100,917,864 103,548,018 105,593,017 108,595,745  Fee  & Other Revenue General  Fund 18,921,201    22,531,267    11,638,024    12,002,916     Water Fund 29,218,924    28,656,148    34,409,451    32,178,522     Sewer Fund 23,891,953    20,798,900    21,768,825    23,320,050     Parking Fund 13,247,779    9,991,861      9,575,955      10,472,230     Transit Fund 6,475,111      17,059,186    12,028,458    14,365,515     Other Funds 11,094,797    9,907,111      10,627,752    11,165,663     Other Financing Sources* 27,315,536    70,148,655    11,972,927    4,961,260       Total  Sources 231,083,164 282,641,147 217,614,410 217,061,901  *Includes cancellation  of reserves and designations and use  of fund balance Financing Uses by Function General  Fund 118,691,743 126,511,337 117,607,178 120,844,660  Water Fund 29,876,176    40,870,113    40,025,257    33,548,476     Sewer Fund 38,716,328    35,805,101    29,034,524    28,106,201     Parking Fund 28,922,763    52,855,425    11,514,113    10,101,970     Transit Fund 6,560,413      17,220,676    9,615,713      14,236,283     Other Funds 8,315,742      9,378,496      9,817,626      10,224,310     Total  Uses by Function 231,083,164 282,641,147 217,614,410 217,061,901  Financing Uses by Type Staffing 83,892,572    92,379,683    93,392,221    98,791,633     Other Operating Expenditures 50,862,532    64,542,218    61,764,911    58,547,011     Capital  Expenditures 83,379,691    110,309,845 47,124,561    44,707,596     Debt Service 12,948,369    15,409,401    15,332,717    15,015,661     Total  Uses by Type 231,083,164 282,641,147 217,614,410 217,061,901  Financial Plan Page 59 Page 579 of 994 FINANCIAL PLAN OVERVIEW  This table includes all budgeted City funds and is intended to provide insights into the total consolidated  budgets. Year‐over‐year changes are generally driven by capital expenditures, appropriations of which  can change from year to year and will carry over into future years until spent.   Interfund Transfers  In order to align the costs and benefits of various City expenditures and support the goals and policies of  the City Council, transfers are made between funds. The following table shows the various funds making  transfers to the General Fund. Additional detail on each transfer can be found below.  Public Art Fund: Annual operating transfers to the General Fund cover the cost of the Public Art  Coordinator position and annual operating costs for supplies and services.  Gas Tax Fund: Gas tax revenue is received in a separate fund and transferred into the General Fund to be  spent on City roads and transportation infrastructure.  Housing Fund: The Affordable Housing Fund makes an annual transfer to the General Fund to cover its  operating costs, including the cost of the below market rate administrator.  Transportation Impact Fee Fund: This ongoing transfer is made to cover at least half of the debt service  for the obligations incurred to finance the Los Osos Valley Road overpass project.  TBID Fund: The Tourism Business Improvement District transfers 2% of its assessment revenue to the  General Fund to cover operating expenses.  Parking Fund: This transfer includes debt service costs on an interfund loan used to acquire the parking  lot at 1166 Higuera, an annual transfer related to construction at the former Garden Street parking lot,  and a reimbursement for right of way maintenance covered by the cost of services plan.  Sewer & Water Funds: These transfers are for right of way maintenance costs incurred by the General  Fund covered by the cost of services plan.  IT Replacement Fund: This transfer covers the annual cost to administer the EnerGov software tool.   Operating Transfers In FY 2025‐26 FY 2026‐27 From: Public Art Fund 93,403   93,403     Gas  Tax  Fund 1,413,527  1,415,380   Housing Fund 207,000   207,000   Transportation Impact Fee Fund 280,000   280,000   TBID Fund 44,399   44,583     Parking Fund 300,444   440,635   Sewer Fund 1,326,870  1,326,870   Water Fund 1,150,922  1,150,922   IT Replacement Fund 152,000   152,000   Avila Ranch CFD 234,122   337,373   San Luis Ranch CFD 207,243   142,826   Total 5,409,931      5,590,991          Financial Plan Page 60 Page 580 of 994 FINANCIAL PLAN OVERVIEW  Avila Ranch & San Luis Ranch CFDs: As called for in their respective agreements, the Community Facilities  Districts make transfers to reimburse the General Fund for agreed upon costs, such as police, fire,  infrastructure construction and maintenance, and administration.  The General Fund also makes transfers out for certain expenditures detailed in the table below:  Public Safety Equipment Replacement Fund: These transfers are used to generate a balance to replace  equipment at predetermined intervals. By using a replacement fund, the City is able to set aside funding  for significant purchases while shielding General Fund budgets from irregular spending trends.   Insurance Fund: These transfers cover the cost of workers’ compensation and liability insurance policies.  The transfers are in excess of the annual premium amounts and the difference can be used to pay  uninsured claims in current and future years.  Debt Service Fund: Transfers to the debt service fund are made to cover annual debt service payments  on General Fund obligations. The FY 2025‐26 amount includes $161,601 to alleviate an outstanding  interfund balance created by an error made in a prior year.  The following table details transfers out of the General Fund, which includes the Local Revenue Measure  Fund, to the various Capital Outlay funds:  The table below details the transfers into the General Fund under the Cost Allocation Plan:  Operating Transfers Out FY 2025‐26 FY 2026‐27 To: Public Safety Replacement Fund 236,226   236,226   Insurance Fund 6,000,000  6,000,000   Debt Service  Fund 1,886,566  1,512,468   Total 8,122,792      7,748,694          Capital Transfers Out FY 2025‐26 FY 2026‐27 To: General  Capital  Outlay Fund 22,539,982  24,560,448   Fleet Fund 1,103,000  212,000   IT Replacement Fund 1,625,784  492,228   Facilities Maintenance Fund 44,838   ‐   Public Art Fund 210,000   310,000   Total 25,523,604    25,574,676        Reimbursement  Transfers In FY 2025‐26 FY 2026‐27 From: Water Fund 1,668,116  1,751,522   Sewer Fund 1,813,285  1,903,949   Whale  Rock Fund 301,576   316,655   Parking Fund 1,420,288  1,491,302   Transit Fund 467,804   491,194   Total 5,671,069      5,954,622          Financial Plan Page 61 Page 581 of 994 FINANCIAL PLAN OVERVIEW  The Cost Allocation Plan was presented to Council on April 15, 2025, and can be found at the following  link: https://opengov.slocity.org/WebLink/DocView.aspx?id=207438&dbid=0&repo=CityClerk  Local Revenue Measure Investments Introduction   In November 2020, the city’s voters approved a local sales tax measure (Measure G‐20) to provide  additional revenue for community services and infrastructure improvements. As a General Purposes Tax,  the City’s Local Revenue Measure (LRM) expenditures are categorized as General Fund capital  improvement project costs or operating costs. The community set the spending priorities for the measure  funding as:   Protect Financial Stability Community Safety and Emergency Preparedness Creek and Flood Protection Address Homelessness Safe and Clean Public Areas Economic Development and Business Retention Youth/Senior Services and Recreation Facilities Street Maintenance and Transportation (includes bicycle and pedestrian improvements) Open Space/Natural Areas Preservation and Maintenance Other Services and Projects Staff’s proposed allocation of the revenue is reviewed by the Revenue Enhancement Oversight  Commission (REOC), an advisory body to the City Council, to ensure alignment with the priorities identified  in the ballot language.   Revenue and Expenditure Forecast Highlights  LRM represents the single largest funding source for the City’s General Fund.  As a result, fluctuations to  LRM can have a significant impact on the City’s ability to provide high quality programs and services and  deliver needed and desired infrastructure projects to the community.  Staff works with HdL, the City’s  sales tax consultant, to track LRM revenue and develop projections for how this revenue source will  perform in future years.    The Local Revenue Measure is the City’s largest revenue source. It is also one most volatile to economic conditions and recessionary impacts. The current revenue projections reflect a cooling of the economy over 2023‐25 but not a recession. The forecast of revenues may change over time and updates will be provided to the REOC and Council. Higher labor and raw material costs along with inflationary pressures drive taxable good prices upward and, absent any changes in consumer behavior, increase Measure G‐20 revenue; however, higher prices have also significantly increased the City’s own expenditure costs. Financial Plan Page 62 Page 582 of 994 FINANCIAL PLAN OVERVIEW  Balance between Capital Investment and Operating Budget Support   LRM funding is primarily used to fund capital projects. In the first full year after passage of Measure G‐20,  the budget allocated 74% of the LRM towards capital projects. These previous allocations towards capital  projects have exceeded staff’s capacity to deliver those projects, leading to delays and funds sitting idle  when they could have been used elsewhere.   The table below details the original annual budget allocations since passage of Measure G‐20:  To better align funding availability, community identified needs, and capacity constraints, the Financial  Plan includes an increased allocation to operating expenses. Staff will carefully evaluate this allocation  going forward as needs shift.  Local Revenue Measure Uses   Expenditures are broken into the ten categories as identified in the Measure G‐20 (Local Revenue  Measure) ballot language.  The tables below summarize the proposed allocation of LRM by ballot measure  category:  FY 2021‐22 FY  2022‐23 FY  2023‐24 FY  2024‐25 FY  2025‐26 FY  2026‐27 Capital  Allocation 74% 70% 73% 70% 69% 67% Operating Allocation 26% 30% 27% 30% 31% 33% Total  LRM Expenditures FY 2025‐26 FY  2026‐27 Youth/Senior Services and Recreational  Facilities 8,584,621  2,676,539   Street Maintenance and Transportation 7,623,547  7,892,703   Community Safety and Emergency  Preparedness 5,501,353  7,085,023   Protect Financial Stability 4,635,346  4,695,532   Open Space/Natural Areas Preservation and Maintenance 1,620,420  1,859,512   Other Services and Projects 1,040,084  1,154,192   Address Homelessness 934,256   994,834    Safe  and Clean Public Areas 666,433   586,329    Creek and Flood P rotection 556,016   5,120,335   Economic Development and  Business Retention 409,922   440,000    Total 31,572,000 32,505,000  Financial Plan Page 63 Page 583 of 994 FINANCIAL PLAN OVERVIEW  Capital expenditures of LRM fall under the following ballot measure categories:  Capital Expenditures FY 2025‐26 FY  2026‐27 Community Safety and Emergency  Preparedness 1,843,668    3,111,133     Youth/Senior Services and Recreational  Facilities 7,418,330    1,400,500     Street Maintenance and Transportation 6,786,601    6,977,000     Open Space/Natural Areas Preservation and  Maintenance 675,000       743,500        Protect Financial Stability 4,000,000    4,000,000     Creek and Flood Protection 293,682       4,833,315     Economic Development and Business Retention 409,922       440,000        Safe and Clean Public Areas 455,000       355,000        Total 21,882,204 21,860,448  Community Safety and  Emergency  Preparedness Youth/Senior Services  and Recreational  Facilities Street Maintenance  and Transportation Open Space/Natural  Areas Preservation and  Maintenance Protect Financial  Stability Creek and Flood  Protection Economic Development  and Business Retention Safe and Clean Public  Areas Financial Plan Page 64 Page 584 of 994 FINANCIAL PLAN OVERVIEW  For LRM expenditures supporting the City’s operating needs, the following table summarizes Operating  Expenditures by Priority stated in the ballot measure:  Operating Expenditures FY 2025‐26 FY  2026‐27 Community Safety and Emergency Preparedness 3,657,685 3,973,890   Youth/Senior Services and Recreational  Facilities 1,166,291 1,276,039   Street Maintenance and Transportation 836,946   915,703    Open Space/Natural Areas Preservation and Maintenance 945,420     1,116,012   Address Homelessness 934,256   994,834    Other Services and Projects 1,040,084 1,154,192   Protect Financial  Stability 635,346   695,532    Creek and Flood Protection 262,334   287,020    Economic Development and Business Retention ‐  ‐   Safe and  Clean Public Areas 211,433   231,329    Total 9,689,796 10,644,552  Community Safety and  Emergency  Preparedness Youth/Senior Services  and Recreational  Facilities Street Maintenance  and Transportation Open Space/Natural  Areas Preservation and  Maintenance Address Homelessness Other Services and  Projects Protect Financial  Stability Creek and Flood  Protection Economic Development and Business Retention Safe and Clean Public  Areas Financial Plan Page 65 Page 585 of 994 FINANCIAL PLAN OVERVIEW  The tables below include line item detail on Capital and Operating expenditures by priority:  Financial Plan Page 66 Page 586 of 994 FINANCIAL PLAN OVERVIEW          Financial Plan Page 67 Page 587 of 994 FINANCIAL PLAN OVERVIEW            Financial Plan Page 68 Page 588 of 994 FINANCIAL PLAN OVERVIEW                Financial Plan Page 69 Page 589 of 994 FINANCIAL PLAN OVERVIEW        Long‐Term Forecast for the General Fund  The forecast is used to provide a long‐term vision in the financial decision‐making process. While staff  cannot predict the future, it is important to identify future events that will have a material impact on the  City’s finances and the forecast helps staff navigate these events. The forecast for the General Fund is  balanced for the two‐year Financial Plan based on the following assumptions:   The City’s practice is to budget for staffing costs without an assumption of vacancies throughout  the year.  This conservative approach ensures that the City is able to meet its payroll obligations  and also helps to support unanticipated and unbudgeted overtime costs that departments may  incur throughout the year. The City has historically assumed a 3% staffing savings each year and  that assumption has been increased from 3% to 4%. This is in line with recent trends and realizing  a 4% savings will save the General Fund $0.6M annually.   The percentage of Local Revenue Measure funds allocated to capital projects, which has ranged  from 74% in FY 2021‐22 to 70% in FY 2024‐25, has been reduced to 69% and 67% in FY 2025‐26  and FY 2026‐27. These percentages do not take into consideration the allocation of any costs  associated with staffing who are necessary to develop and build the City’s capital projects.  Additionally, it is not anticipated that this shift will change the amount or type of capital projects  that the City will complete during the lifetime of the current Capital Improvement Plan (CIP)  because the number and type of projects that the City is able to complete in each year of the CIP  is driven by the staff resources available to manage the projects. The proposed CIP has been  developed to more accurately reflect the City’s capacity to complete projects based on staff  resources.  These solutions, in conjunction with the development of constrained base operating budgets, should  allow the General Fund to operate throughout the term of the Financial Plan without service level impacts.  The out‐years of the forecast, however, still indicate a deficit, driven by the following factors:   A fifth fire station will come online in FY 2027‐28 and the operating costs are assumed to be $2.0M  per year, including one‐time startup costs, staffing, and other operating costs.   Capital Expenditures are programmed to increase after the 2025‐27 Financial Plan ends.  The actions taken to balance the budget for FY 2025‐26 are consistent with the City’s Budget Balancing  Strategies but are short‐term in nature and are not intended to address the forecasted deficit in future  years. During the financial plan, staff will work to develop longer‐term strategies to address forecasted  budget deficits consistent with the Budget Balancing Strategies.   The forecast for the General Fund, including recommended Significant Operating Budget Changes, a  staffing contingency, and salary savings assumptions not included in the budgetary tables above is shown  below:  Financial Plan Page 70 Page 590 of 994 FINANCIAL PLAN OVERVIEW  The forecast above indicates balanced budgets for the two‐year Financial Plan, deficits in the out‐years,  and would have the following impacts on fund balance: Undesignated fund balance is generated when revenues exceed expenditures or when reserved or  assigned fund balances are eliminated. Relying on this balance to fund ongoing operations would lead to  structural deficits and is not recommended.  Actuals Current Budget Financial Plan Forecast FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 Ending Fund Balance 43,096,828 42,664,776 42,288,640 42,042,640 39,069,857 37,131,450 Operating Reserve 10,826,500 14,586,832 14,974,278 15,441,535 16,186,567 16,623,984 Committed & Assigned Funds 23,102,497 28,035,177 25,644,041 25,398,041 25,398,041 25,398,041 Undesignated Fund Balance 9,167,831 42,768 1,670,321 1,203,064 (2,514,751) (4,890,575) Reserve Level 15% 20% 20% 20% 20% 20% Financial Plan Page 71 Page 591 of 994 OPERATING BUDGETS  Financial Plan Page 72 Page 592 of 994 OPERATING BUDGETS Operating Budget Introduction  This section of the document provides detail on departmental budgets. Each departmental section  includes:   The department’s mission statement; An overview of the services that the department provides; A budget summary that breaks out staffing costs from other operating expenditures and compares budgeted amounts to the current year budget and prior year actuals; Detailed information about the department’s programs (budgeted in cost centers), along with the total expenditures for each cost center and Full Time Equivalent staff positions budget to each cost center; A fiscal analysis to describe notable changes to the department’s budget, compared to the current year; A summary of Significant Operating Budget Changes (SOBCs) proposed for the department; A discussion of opportunities and challenges the department expects to address in the Financial Plan timeframe; A summary of the department’s contributions towards addressing the City Council’s adopted Major City Goals; A summary of 2025‐27 departmental goals; and The department’s performance measures which are designed to evaluate departmental performance in meeting the City’s goals and objectives. Most departments are budgeted entirely within the General Fund and are primarily supported by tax  and user fee revenue.  The exception to this is the Public Works Department and Utilities Department  which both operate programs that are supported primarily by rates paid by users of those services  (Parking and Transit programs in Public Works and Water and Sewer programs in Utilities).  The  departmental sections for Public Works and Utilities are expanded to include information about  Enterprise Fund programs, including a long‐term forecast and fund analysis (similar to the information  provided for the General Fund in the ‘Financial Plan Overview’ section of the document).        This introductory section includes information to provide the reader with more context, including  information about all SOBCs requested by departments and a summary of regular staff positions  allocated by the City Council.    Significant Operating Budget Changes (SOBCs)  The City provides programs and services similar to those provided by other municipalities in California.   Over time, the services that the City provides have been adjusted in response to the needs and desires  of the community and now include a large spectrum of departments, programs, and objectives.   Existing services are considered ongoing and the costs for those services serve as a starting point for  development of the two‐year Financial Plan and annual budgets.  However, those services could change  based on the community engagement, changes in business needs, new technologies and goal‐setting  process as the evolving needs of the community change and other, not yet established services might  become more urgent or desired. It is therefore important to consider the current programs as a switch  Financial Plan Page 73 Page 593 of 994 OPERATING BUDGETS often requires a trade‐off due to lack of available funding.   The City’s budget development process requires that augmentations to the budget to support new  services or address existing service needs be formally requested via submittal of an SOBC. Requests are  reviewed by the City Manager who determines which requests will be recommended to the City Council  for consideration and budget appropriation. A request can be brought forth for a variety of reasons but  is generally considered under the following circumstances:   1.Essential for the protection of health and safety. 2.Needed for the advancement of Major City Goals. 3.Needed to provide ongoing services to the community. SOBCs are divided into two categories:   1.One‐time: requests that create a budgetary impact the during the Financial Plan period, but do not impact the budget on an ongoing basis. 2.Ongoing: requests that adjust the operating program budget for long‐term service delivery. In line with guidance from previous plans, departments were asked to submit only very critical new  operating budget requests, specifically ongoing budget requests. The Leadership Team reviewed the  SOBCs with the City Manager and narrowed the requests down to only mission critical core services  and/or health and safety related items that could be funded within available resources.  Requested SOBCs  The table below summarizes all of the SOBCs submitted by departments as part of the 2025‐27 Financial  Plan development process.  The requests recommended for approval are highlighted in yellow.  More  information on the recommended SOBCs can be found in the departmental summaries that follow.   Financial Plan Page 74 Page 594 of 994 OPERATING BUDGETS Financial Plan Page 75 Page 595 of 994 OPERATING BUDGETS Financial Plan Page 76 Page 596 of 994 OPERATING BUDGETS    Financial Plan Page 77 Page 597 of 994 OPERATING BUDGETS Financial Plan Page 78 Page 598 of 994 OPERATING BUDGETS    Financial Plan Page 79 Page 599 of 994 OPERATING BUDGETS Recommended SOBCs by Funding Source  The total recommended SOBCs by funding source, net of any offsets which include grants, assigned fund  balances, and contributions from other funds, is detailed in the table below:  FY 2025‐26 FY  2026‐27 General  Fund 741,199  609,042    Water 1,449,535    945,067    Sewer 988,857  850,924    Parking 26,523   26,523     Transit 861,299  1,885,840   Total 4,067,413    4,317,396   Financial Plan Page 80 Page 600 of 994 OPERATING BUDGETS Employee Summary  Department specific employee counts by program can be found in the Department Operating Budget  section. This section is intended to provide an overview of full‐time‐equivalent regular staffing. These  positions are approved by Council on an ongoing basis and generally are essential to delivering the City’s  core services. Temporary staffing is not included here as the need for temporary staff resources can vary  based on community demand. Because the need for temporary staffing is variable, departments that  rely on temporary staffing are provided a temporary staffing budget that they can flexibly use to support  temporary needs and community demand, rather than allocated, regular positions which are specific to  a particular program and staffed on an ongoing basis.  The chart below shows how regular FTE (not including temporary positions) are allocated among  departments:  The table below presents the Full Time Equivalent (FTE) positions based on their reporting structure.  Some positions work across different programs or departments. Sometimes positions are moved  between programs; however, net changes in the number of positions overall requires Council approval.   This table will differ from ‘Department Program’ tables included in the operating department summaries  in this section, which show how headcount is allocated according to budget and frequently include  Administration & IT 9%City Council 1%City Attorney 1% Community  Development 9% Finance 3% Fire 12% Human Resources 2% Parks &  Recreation 6% Police 20% Public Works 20% Utilities 17% Citywide Position Overview by Department Financial Plan Page 81 Page 601 of 994 OPERATING BUDGETS smaller allocations to allocate costs more accurately. For example, one employee in Administration & IT  is included in the table below as 1.00 FTE but is included in the Administration & IT department  summary as 0.67 FTE and in Utilities as 0.33 FTE because of how the position is funded.    As shown above, this budget recommends an increase of 6.25 FTE or 1.3% compared to FY 2024‐25  approved staffing.  The additions are detailed in the recommended Significant Operating Budget  Changes for the respective departments, and include two Police Officers, one Heavy Equipment  Mechanic, one Communications Coordinator converted from temporary to regular staffing, one Water  Treatment Plant Maintenance Technician, one Engineering Technician, and an increase in staffing for an  existing Utility Billing Assistant position from 0.75 FTE to 1.00 FTE. Actual Budget Financial Plan Department FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Change Administration & IT 42.50               42.50            42.50               42.50                 ‐   City Council 5.00                 5.00              5.00                 5.00                   ‐   City Attorney 6.00                 7.00              7.00                 7.00                   ‐   Community Development 40.00               43.00            43.00               43.00                 ‐   Finance 14.00               15.50            15.50               15.50                 ‐   Fire 60.50               61.00            61.00               61.00                 ‐   Human Resources 10.00               10.00            10.00               10.00                 ‐   Parks & Recreation 30.00               29.00            29.00               29.00                 ‐   Police 95.00               95.00            97.00               97.00             2.00  Public Works 94.50               97.50            99.50               99.50             2.00  Utilities 77.00               77.75            80.00               80.00             2.25  Total 474.50            483.25         489.50            489.50                     6.25  Financial Plan Page 82 Page 602 of 994 Operating Budget  Administration and Information Technology  ADMINISTRATION AND INFORMATION  TECHNOLOGY DEPARTMENT  Mission Statement  Providing leadership for the City organization in our quest to deliver exceptional service by facilitating  community participation and government transparency, implementing City Council goals and programs,  and fostering trust, respect and dignity for the City and the community members we serve.  About the Department  The City Administration and Information Technology Department oversees many of the daily operations  of the City of San Luis Obispo, ensuring effective implementation of City Council policies and programs.  As a lead department for several of the Council’s Major City Goals, it provides strategic leadership, policy  guidance, and operational support to advance the City's priorities.  Through the Office of the City Manager, the department plays a key role in public affairs and  communications—promoting transparency, fostering community engagement, and representing San Luis  Obispo’s interests at the regional, state, and federal levels. It advocates for supportive policies and secures  resources that contribute to the City's long‐term success.  The Office of Economic Development and Tourism drives local economic growth, supporting businesses  and enhancing the economy through tourism promotion and placemaking. The Office of Diversity, Equity,  and Inclusion works to make both the City organization and the broader community more inclusive and  welcoming. The Office of Sustainability and Natural Resources manages critical environmental initiatives,  including the Climate Action Program, Natural Resources Program, and Creeks and Watersheds Program.  The department also oversees the City Clerk’s Office, which ensures open government and public access  to records, and directs the Information Technology Division, which provides essential network  infrastructure, technical support, and strategic IT planning.  The department also includes the Assistant City Manager (ACM) position.  The ACM serves as the  Community Services Group (CSG) administrator, overseeing the Directors of the Public Works, Utilities,  Community Development and Parks and Recreation departments.  This purpose of this CSG administrative  position, which reports directly to the City Manager, is twofold: 1) focus on improving customer service,  process/programmatic efficiencies, and collaboration within and between the CSG departments, and 2)  enhance coordination between the CSG departments, Administration and IT and other City departments.   As the City’s primary liaison to key community and regional partners—including the County of San Luis  Obispo, Cal Poly, the Chamber of Commerce, Downtown SLO, REACH, Central Coast Community Energy  and others—the department strengthens partnerships that enhance San Luis Obispo’s quality of life and  long‐term well‐being.  Financial Plan Page 83 Page 603 of 994 Operating Budget  Administration and Information Technology    Budget at a Glance    Actuals Budget Financial  Plan Administration & IT FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 6,730,558   7,052,146         7,139,371   7,344,293    YoY Change 5% 1% 3% Other Operating Expenditures 4,831,367   4,737,200         4,180,267   4,027,032    YoY Change ‐2%‐12%‐4% Total 11,561,925 11,789,346       11,319,639 11,371,325  YoY Change 2%‐4% 0% Financial Plan Page 84 Page 604 of 994 Operating Budget  Administration and Information Technology  Department Programs    Financial Plan Page 85 Page 605 of 994 Operating Budget  Administration and Information Technology    Financial Plan Page 86 Page 606 of 994 Operating Budget  Administration and Information Technology  Note: The budgets above may include expenditures outside of the General Fund and therefore will not tie  to the General Fund departmental budget.    Fiscal Analysis  Overall department expenditures are proposed to decrease by $418,021 or 4% compared to FY 2024‐25.  In an effort to constrain expenditure growth, which are generally driven by annual adjustments to City  employee compensation, non‐staffing costs were reduced or held flat with FY 2024‐25 adopted levels.  This was achieved through a careful review of budgets resulting in trade‐offs and reallocations within the  department’s programs. Any increases in non‐staffing costs were primarily driven by contractual  agreements for software subscriptions or other services. Offsets included reduced costs for some fees  including employee parking, modifying an IT network security project and reductions based on historical  spending levels. The department will have very limited flexibility to respond to emerging needs and will  assume some operational risk related to network security and computer replacement that is ultimately  acceptable, but further reductions would more significantly impact services. The department will also use  one‐time Local Revenue Measure funds designated for economic development to continue current  economic development initiatives that do not have ongoing funding as described in the SOBC table below.   The proposed budget includes four SOBCs (all one‐time) in the amount of $336,000, summarized in the  table below.  Financial Plan Page 87 Page 607 of 994 Operating Budget  Administration and Information Technology  Significant Operating Budget Changes      Opportunities and Challenges  The Administration and IT Department faces a dynamic and evolving landscape, shaped by shifts in federal  policies, technological advancements, and local funding changes. One significant challenge is navigating  changes at the federal level, particularly in relation to grant funding, executive orders, and regulatory  changes. Despite these uncertainties, the City remains committed to progressing on the work identified  by the community and City Council in the DEI strategic plan and the Climate Action Plan. In addition,  Proposition 41 may present opportunities for new funding for climate adaptation and resilience work.    The City Clerk’s Office is experiencing an increased workload, specifically managing a record number of  public meetings and public records requests. Additionally, staff from across the department will be  focused on the transition to a Citywide Single Vote election system. This presents both a challenge and an  opportunity, requiring extensive community engagement and education ahead of the 2026 elections.     In IT, rising costs for infrastructure and software maintenance, coupled with an ever‐evolving  cybersecurity landscape, create ongoing challenges. The Information Services Oracle Core Team continues  to refine the City’s Enterprise Resource Planning (ERP) system, ensuring compliance and improving  efficiency post‐implementation. Artificial intelligence presents both risks and opportunities, necessitating  thoughtful policies to ensure its safe and effective use. Meanwhile, the execution of the $4.8 million grant‐ funded Broadband Project is a major step forward in expanding high‐speed internet access to unserved  or underserved locations in the community, reinforcing the City’s commitment to digital equity.    For the Economic Development and Tourism programs, uncertainty in the economic climate and potential  softening of growth in sales tax and transient occupancy taxes are challenges. The Economic Development  Program has benefitted in recent years from one‐time funding to support local businesses to assist in  recovery from the COVID‐19 pandemic. This funding is expected to be fully expended during this Financial  Plan and efforts will shift to more focused support through a Business Retention and Expansion program.  In addition, partner organizations in the community are increasingly challenged to find sufficient,  1 Proposition 4, approved in 2024, authorizes bonds for safe drinking water, wildfire prevention, and  protecting communities and natural lands from climate risks. 2025‐26 2026‐27 Expense Offset General Fund  Contribution Expense Offset General Fund  Contribution Funding for voter engagement plan. 90,000        ‐          90,000              30,000        ‐             30,000             One‐Time Funding for CAPSLO grant program to  support new and expanded private  childcare  options.  25,000       25,000     ‐                    25,000       25,000       ‐                    One‐Time Funding for Economic Development  Strategic Plan implementation. 66,000       66,000     ‐                    66,000       66,000       ‐                    One ‐Time Funding to support SLO Restaurant  Month  and Buy Local  Bonus program,  and advertising in support of local  businesses.  155,000     155,000 ‐                    155,000     155,000    ‐                    One‐Time 336,000     246,000 90,000              276,000     246,000    30,000             Total SOBC Description One‐Time/  Ongoing Financial Plan Page 88 Page 608 of 994 Operating Budget  Administration and Information Technology  sustainable funding for their operations and programming likely resulting in increased pressure on City  programs and funding.  Major City Goal Contributions  The City Administration and IT Department plays a central role in advancing the City Council’s Major City  Goals by providing leadership, policy guidance, and operational support across multiple initiatives and  programs. Many of the department’s core services and daily operations directly contribute to the progress  of key priorities, including Cultural Vitality, Economic Resilience, and Fiscal Sustainability; Diversity, Equity,  and Inclusion; and Open Space, Climate Action, and Resilience. Highlights for the 2025‐27 Financial Plan  include:     Cultural Vitality, Economic Resilience, and Fiscal Sustainability:  o Implement a Business Welcome program to support business attraction, retention and  expansion efforts including start up checklists for the 18 most common business types.  o Work with partners to create a roadmap for the development of a potential conference  facility in Downtown SLO.  o Work with CAPSLO and other non profits to provide grants to support new and  expanded private childcare options and evaluate other approaches, e.g. permit  streamlining, fee subsidies, if needed.  o Conduct a study session with the City Council to explore innovative and alternative  funding methods to address the needs of business areas throughout the City.   Diversity, Equity and Inclusion:  o Implement a communications plan to provide education and information about the  City's new Citywide Single Voting System.  o Provide annual and on‐demand training of the City's Public Engagement and Noticing  Manual for applicable City employees, including updates to better reach underserved  and underrepresented communities.  o Develop and implement equity and inclusivity training for staff of all levels (Directors,  Managers, Staff, etc.).  o Develop and implement a set of DEI‐focused best practices in screening and  interviewing processes, such as a blind application review.   Open Space, Climate Action, and Resilience:   o Complete publicly accessible EV charging projects at various City properties while  continuing to develop policy and funding resources to expand access to EV charging  infrastructure on public and private property.   o Complete investment grade audits for building electrification retrofits at the Swim  Center, City Hall, and Corporation Yard.  o Launch comprehensive community outreach and engagement opportunities on a  quarterly basis that (i) provide general climate resilience and disaster preparedness  resources, (ii) incorporate climate justice considerations in scheduling, location, and  content, and (iii) supports the projects described in the [Major City Goal].  o Pursue priority land conservation opportunities to expand the Greenbelt, identify  funding opportunities and resources, and engage with priority landowners on an annual  basis.    Financial Plan Page 89 Page 609 of 994 Operating Budget  Administration and Information Technology  2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  Continue to lead the City’s Communications Program and provide timely, accurate and concise  communications that provide opportunities for the community to engage with the City.   Continue to manage the City’s Information Technology Program to provide reliable resources for  improving organizational productivity, effectiveness and customer service to the entire City organization  and the community.   Work with regional partners to focus on the creation of moderate income plus jobs, promoting innovation  and entrepreneurship, and supporting economic activities, including tourism, to ensure the overall  economic health and quality of life of the community.   Implement the primary tasks set forth for the next two years as identified in the Climate Action Plan for  Community Recovery, Lead by Example Plan, and the Climate Adaptation and Safety Element of the  General Plan. Sustain commitment and expand focus on Open Space protection and stewardship, as well  as fire fuel reduction and creek and flood control maintenance.   Further the commitment to making San Luis Obispo a welcoming and inclusive City for all by continuing  to incorporate diversity, equity, and inclusion into all programs and policies, and advancing the DEI  Strategic Plan.  Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.    2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Open  City Hall Satisfaction/Approval Rating 92% 92% 92% 92% Measure: # of email subscribers 3,490 10,000 15,000 20,000 Measure: # of Pageviews on slocity.org 2,053,372 1,700,000 1,700,000 2,300,000 Notes: The  City switched to a  new email marketing system and has been in the process  of consolidating all  subscriber lists. The  increases reflected here are mostly due to this consolidation. Objective: Provide public information to as many people in San Luis Obispo  as possible. Strategic  Goal: Inform and  engage  the community Notes:When users provide input on a topic via Open City Hall, they are asked how they liked using it. This measure allows us  to track how satisfied users are with the engagement  tool itself. Notes:Changes inexpectedtargets areduetoelections (2025‐26is a non‐electionyear,whereas 2026‐27 is an election year) Financial Plan Page 90 Page 610 of 994 Operating Budget  Administration and Information Technology        2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:Number of cross ‐departmental Green Team meetings 10 10 10 10 Measure:Number of community engagement events and opportunties 10 10 10 10 Notes: Implementation of the City's  Lead by Example  Plan is coordinated through the Green Team  function  Notes:Community engagement events will focus on community wildfire preparedness andresilience, as well as the 2027‐2031 Climate Action  Plan Update  Strategic  Goal:  Work toward the community and  organizational carbon neutrality goals Objective: Provide information and receive feedback to inform climate and reslience activities through internal  and external engagement events and  opportunities. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:Maintain City Network Reliability Uptime Status 99.9% 99.9% 99.9% 99.9% Measure: Data  backed‐up in Terabytes 174 185 185 185 Objective: Provide reliable IT resources  to the organization and community. Strategic  Goal: Support the efficient and effective delivery of City services Notes:This measures regular network uptime. Networkuptime allows for theCity tomeasure thepercentage its systems are available to service department and public needs. Notes: This  measures  the a mount of data  backed up by IT, and informs the City's  storage needs forecasting. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Staff Capacity n/a n/a 5 5 Measure: Community Engagement n/a 12 14 16 Objective: Advance inclusion and  belonging by growing staff capacity and  improving access and  engagement for  all   community members. Strategic  Goal: Create an more welcoming and inclusive organization and community Notes: Number of Citywide workshops or related training for  staff provided annually. Notes: Number of DEI‐led or supported community engagement efforts annually. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Business Welcome Program n/a n/a 17 17 Measure: Business Contacts 75 75 85 95 Objective: Advance economic development and tourism efforts that contribute to the community's quality of life. Strategic  Goal: Suport business  development and job creation Notes: Number of start up checklists created as a  part of the Business Welcome Program. Notes: Number of contacts with business regarding attraction, retention or expansion in the City. Financial Plan Page 91 Page 611 of 994 Operating Budget City Attorney  CITY ATTORNEY’S  OFFICE  Mission Statement  Advancing excellence and ethics in the delivery of legal advice and services to the City Council, Advisory  Bodies and City Staff to support legally informed decision‐making, legal compliance, equity,  accountability, and transparency in public service.  About the Department  The legal services program is a support function that provides legal advice and representation to the City  Council, all City departments, and City Advisory Bodies to accomplish Major City Goals, other important  objectives, and core operational functions in accordance with the law.   The responsibilities include: providing Council, Planning Commission, Advisory Bodies, and staff across all  City departments with legal review and advice to ensure general compliance with applicable laws and to  minimize liability exposure; defending or managing the defense of claims and litigation against the City  and initiating civil actions on behalf of the City; enforcing and prosecuting violations of the Municipal  Code, including both criminal violations and civil/administrative enforcement; providing legal analysis and  support in the City's review of and response to proposed county, state, and federal legislation; advising  City staff on compliance with the California Public Records Act, and reviewing and producing documents  subject to disclosure; and administering the appeals process for administrative citations and providing  staff support to hearing officers and the City’s Administrative Review Board or Construction Board of  Appeals.  Budget at a Glance  Actuals Budget Financial Plan City  Attorney FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 1,232,227   1,426,135         1,513,000   1,574,603    YoY Change 16% 6% 4% Other Operating Expenditures 238,702      87,914              144,575      144,695       YoY Change ‐63% 64% 0% Total 1,470,929   1,514,048         1,657,575   1,719,298    YoY Change 3% 9% 4% Financial Plan Page 92 Page 612 of 994 Operating Budget  City Attorney  Department Programs  Fiscal Analysis  Expenditures are proposed to increase by $143,528 or 9% due to a shift of $57,000 from the Human  Resources legal services budget to the City Attorney’s Office; the salary and benefits of an additional  regular staff member; and other staffing related costs like annual step and performance increases, and  escalating insurance costs. In an effort to constrain expenditure growth, non‐staffing costs are flat with  FY 2024‐25 adopted levels plus the budget shifted from Human Resources to centralize management of  legal services contracts. The constraint was achieved through analysis of use and alignment with  forecasted necessary expenditures, without the need to cut any services or support functions.  Significant Operating Budget Changes  No Significant Operating Budget Changes are recommended for the department.  Opportunities and Challenges  It is an exciting prospect to begin a Financial Plan with a nearly fully staffed department. For years, the  City Attorney’s Office has been managing an increasing workload with only temporary or contract staffing  assistance. The department still has supplemental staff but has also gained core, permanent positions, all  but one of which are currently filled with highly skilled and dedicated staff working to meet the demands  of continually changing priorities that come with emerging, urgent and sensitive matters.   The department workload volume and complexity remain high, and during the two years of the 2025‐27  Financial Plan it is expected that housing, development, personnel, climate, elections changes, litigation  and many other matters will continue to demand all the focus and time of available legal resources.    Major City Goal Contributions  Various department attorneys and staff have been assigned to support the work programs of each Major  City Goal. Staff contributions are difficult to predict in advance but always include advising on legal  obligations and compliance for new and changing programs; drafting and review of contracts and other  legal documents in support of initiatives; and support for City staff members navigating changing and  complex laws and attempting to meet program demands.  Program Total   Expenditures Staffing 1501 City Attorney: Completes all  the  legal and administrative  support functions  under its purview including the  provision of legal advice, document review, and  direction on legal compliance  to City Council, advisory bodies, and staff in all  City  departments in response to inquiries, with emphasis on legal options; minimizing  liability exposure of the  Ci ty through the  practice of preventative law; and  keeping City Council  apprised of anticipated and current litigation, legislation  impacting the  City, and other significant legal matters.           1,657,575 7.00 FTE Total          1,657,575 7.00 FTE Financial Plan Page 93 Page 613 of 994 Operating Budget  City Attorney  2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)   Provide timely and responsive legal advice and support to City Council, Planning Commission,  Advisory Bodies, and all City departments to ensure legally compliant implementation of Major  City Goal work programs and delivery of core services.    Provide proactive and regular training, advice and support to the City Council, Advisory Bodies,  and all City departments regarding compliance with public agency transparency and ethics laws,  including the Brown Act, Public Records Act, Political Reform Act, and Government Code Section  1090, as well as Land Use, Planning, and Housing laws, regulation of public spaces, public  contracting and bidding laws, public employment and labor laws, first amendment and civil rights  laws, and elections laws.     ‐ Increased time spent training City staff on obligations regarding maintenance of and  public access to complete records to ensure all City staff feel prepared to meet the  expectations of the City Attorney’s Office when responding to claims, public record  requests, administrative appeals and litigation discovery.   Provide timely and effective legal representation and case management of civil claims and  litigation cases, as well as effective criminal and civil enforcement and prosecution of the City’s  Municipal Code to minimize liability exposure and enhance community welfare.   ‐ Continuing communication and coordination with County partners to increase the  number of people connected to mental health and welfare services as an alternative to  criminal prosecution.  ‐ Facilitating an efficient and transparent appeals program for administrative citations in  support of the existing initiatives of various departments to gain code compliance through  education and outreach.    Continue with training and assignment of new staff to achieve departmental sustainability and  stability, and to enhance responsiveness, efficiency, and effectiveness in the delivery of legal  services.     Financial Plan Page 94 Page 614 of 994 Operating Budget  City Attorney  Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.      2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Administrative  Citation Appeals Received by  the City 113 115 125 125 Measure: Appeals  closed without need of a  hearing 33 51 60 60 Measure: City assisted corrections  to defective   a ppeals to allow access to hearing 21 35 40 40 Measure: City facilitated hearings on the record  without need for  personal appearance by Appellant 40 26 30 30 Measure: Number of hearing days  scheduled 19 26 25 25 Objective: Efficient  and  Transparent  Administrative Appeals Program Strategic  Goal: Department Objectives Notes: In October  2024, a  City Council adopted fee  went into effect  for  hearing officer  review of administrative  citation appeals. This  has  significantly reduced the number of appeals  processed beyond the initial request.  Historically, some appellants  used the appeal process  to delay payment of their fines  when they did not have  a  valid basis  of appeal. Notes: If more  than one hearing officer  convened hearings  on the same day, those are counted separately. In  the Fa ll  of 2024 an experienced hearing officer  passed away. The  workload he felt  comfortable completing in a   single day needed to be broken up when managed by the remaining hearing officers. This  has  increased the  overall number of hearing days  that need to be  scheduled. Notes: Closed in some wa y that did not include a  decision being issued (e.g., withdrawn by appellant,  untimely filed, voided by the issuing department). Increase  in this  type of closure is related to the  implementation of a  fee  for  hearing officer  review and enhanced coordination between departments. Notes: N/A Notes:  N/A 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Number of Council, Staff, and Advisory Body  legal trainings, legal updates, and compliance advisory  sessions 7 162020 Notes: For FY 2024‐25, monthly City Manager  check‐ins now being added to the tally Objective: Legal Training & Compliance Strategic  Goal: Department Objectives Financial Plan Page 95 Page 615 of 994 Operating Budget  City Attorney        2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Percentage of Claims  Resulting in Litigation 4.2% 4.8% <5% <5% Measure: Liability Claims  Against  the City  Reviewed/Managed 72 63 70 70 Measure: Budget increases required to fund  defense of  City and address unexpected complex legal issues $70,000 $136,000 $175,000 $175,000 Measure: Number of multi‐count complaints  filed for   misdemeanor municipal code violations 33 35 30 30 Objective: Municipal Claims, Litigation & Prosecution Management Strategic  Goal: Department Objectives Notes: Litigation not arising from a  liability claim is not included in this  count (i.e. personnel writs) Notes: Number of claims  per year is a  forecast  and not a  goal, with the goal  always being to minimize claims   and litigation to the fu llest  extent within City control. Each  year the City receives  and the department  coordinates  review of, and response to, approximately this  number of Claims  Against  the City. Notes: With increased outreach to the unhoused community and coordination between agencies (court,  County, mental health and housing community partners, and City departments), and the continuation of the  recently implemented municipal code prosecutiondiversion program, our goal  and expectation is that the  need to file  criminal complaints will decrease. Notes: Expected  budget increases are a  forecast  and not a  goal. Each  year is different and mostly driven by the  external variables  beyond the control of the City. The  City has  a  robust Risk Management  program, and is self‐ insured as a  member of the California  Joint Powers Authority.  However, not all costs  can be anticipated,  there have been steady increases in litigiousness, including numerous cases of highly questionable merit  that nonetheless drive costs, and each year additional funding is necessary to support litigation defense or  h ll h ' Financial Plan Page 96 Page 616 of 994 COMMUNITY DEVELOPMENT  DEPARTMENT  Mission Statement  Our mission is to serve all persons in a positive and courteous manner and help ensure that San Luis  Obispo continues to be a healthy, safe, attractive, and enjoyable place to live, work, or visit. We help plan  the City's form and character, support community values, preserve the environment, promote the wise  use of resources, and protect public health and safety.  About the Department  The Community Development Department includes the Administration, Housing Policy and Programs,  Planning, Engineering, and Building & Safety divisions, which develop, implement, and track guiding  policies in the City's General Plan. Plans for new construction are reviewed through planning applications  to ensure compliance with city standards and policy objectives. Construction is supported by  implementing zoning, building, and engineering codes and coordinating with various city departments.  The Community Development Department provides services to the community directly at its public  counter, and services are offered online on the department’s website. The department helps maintain the  health and safety of the community directly through code enforcement activities and indirectly by guiding  the City's urban form from concept to construction.  Budget at a Glance Actuals Budget Financial Plan CDD FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 5,642,668   6,415,865         6,416,659   6,647,729    YoY Change 14% 0% 4% Other Operating Expenditures 1,529,248   2,411,835         1,957,998   1,776,832    YoY Change 58%‐19%‐9% Total 7,171,915   8,827,701         8,374,657   8,424,562    YoY Change 23%‐5% 1% Financial Plan Page 97 Page 617 of 994 Department Programs    Financial Plan Page 98 Page 618 of 994   Note: The budgets above may include expenditures outside of the General Fund and therefore will not tie  to the General Fund departmental budget.    Fiscal Analysis  Expenditures are proposed to decrease from FY 2024‐25 to FY 2025‐26 by $453,044 or ‐5%.  Staffing is  projected to remain the same due to the fact that there are no new positions proposed, and that the  Department is losing three temporary employees that helped supplement work in the department. Other  operating expenditures are proposed to decrease by $453,837 or ‐19%. The decrease is attributed to one‐ time funds that were allocated in previous years to complete specific projects to carry‐out Major City Goal  work programs as well as the reduction in the department consultant budget due to an anticipated  reduction in development projects. Community Development anticipates completing the vast majority of  plan checks in‐house. This preserves the consultant budget, which would typically be expended if there  were more projects. If development increases, the consultant budget will be utilized to complete the work  over the next two years.    Financial Plan Page 99 Page 619 of 994 The budget includes four Significant Operating Budget Changes in the amount of $374,120, summarized  in the table below.  Significant Operating Budget Changes      Opportunities and Challenges  The Department has made significant progress with stabilizing staffing levels and filling positions that were  previously difficult to fill, particularly in the Engineering Division.  Now that staffing has stabilized, the  Department is focused on onboarding new staff and developing effective teams.  In addition, due to the  adoption of “pro‐housing” policies, programs, and projects over the past several years, the City is making  significant progress toward meeting the provision of additional housing units and fulfilling its Regional  Housing Needs Allocation (RHNA) requirements.  The ongoing interest from the development community  presents opportunities for additional projects that will continue to help the city meet its housing and  economic goals.      The Department continues to provide transparency and performance tracking through online reporting  of key performance indicators. The Department has created online dashboards that provide accurate  expectations for the City’s customers regarding permit processing timelines, code enforcement  responses, and customer service results, including planning cycle times, average review times, and  division statistics.  The Community Development Department remains committed to increased customer  satisfaction and devising ways to streamline processes.     Many of the constraints facing the Department are external in nature.  Housing and Neighborhood  Livability and well as and Homelessness Response are Major City Goals in 2025‐27, and the Department  continues to implement its work program to facilitate housing production across the housing continuum  and advance programs for homelessness response.  However, given the increasingly high housing costs,  supporting housing partners to develop below‐market‐rate housing remains challenging.  In addition, the  economy has experienced turbulence and inflation, resulting in a slowdown of permit and inspection  activity. As a result, the Department does not expect to meet revenue projections in FY 2024‐25 and has  adjusted revenue projections downward in this Financial Plan, utilizing ‘actuals’ (revenue data).   Stagnant  building permit activity may also result in less affordable housing. Fewer in‐lieu fees are being collected  to leverage additional below‐market‐rate housing through supporting tax credit‐financed projects.    2025‐26 2026‐27 Expense Offset General Fund  Contribution Expense Offset General Fund  Contribution Funding for expansion of CAPSLO's  Prado Safe Parking program. 13,000        ‐          13,000              13,000        ‐             13,000             Ongoing Funding for CAPSLO's Rotating  Overnight Safe Parking pilot program. 80,984       ‐          80,984              29,864       29,864             One‐Time Funding for CAPSLO's Hotel  Voucher  Program. 90,000       ‐          90,000              90,000       ‐             90,000             Ongoing Funding for consultant expense to  conduct an impact fee and  infrastructure finance program  analysis and impact fee study update. 190,136     190,136 ‐                     ‐               ‐             ‐                    One‐Time 374,120     190,136 183,984           132,864     ‐             132,864           Total SOBC Description One‐Time/  Ongoing Financial Plan Page 100 Page 620 of 994     Code Enforcement is also experiencing an increasing workload. Last year, the Code Enforcement team  consistently received record‐breaking numbers of code investigation requests, which made it difficult to  meet target timelines for addressing community concerns. In addition, the increased interest in  addressing unpermitted Greek houses and renter protections is requiring a shift in workload within the  code enforcement division. The Division will likely need to recalibrate priorities in the upcoming budget  cycle to address these emerging issues.      Major City Goal Contributions  The Department is the lead on the Housing and Neighborhood Livability and Homelessness Response  Major City Goals and supports workplan items in other major city goals.  For Housing and Neighborhood  Livability, the Department will focus on (1) facilitating sustainable growth, (2) expansion and  diversification of housing opportunities for all, and (3) ensuring that housing is safe, healthy, and  affordable while (4) facilitating the study and potential creation of stronger protections for renters and  (5) fostering diverse, connected and safe neighborhoods that are livable for all. For Homelessness  Response, the Department will focus on (1) collaboration with partners to prevent and reduce  homelessness, (2) leverage external funding with regional partners to expand crisis response and  continuum of shelter, and (3) support programs that implement the Homelessness Response Strategic  Plan and, (4) refine approaches to reduce the impacts of homelessness to balance safety and community  well‐being.   The specific workplan items that the Community Development Department is responsible for  includes:   Goal: Housing and Neighborhood Livability:  o Organize a focus group to explore barriers to residential infill development – including  specific discussions about the Downtown Core – and produce a memo to Council to help  guide updates to zoning regulations  o Conduct a study session on the status of the City’s growth management regulations  o Conduct an educational forum and improve the implementation of Below Market Rate  (BMR) best practices to market and streamline the purchase and rental process for BMR  units  o Create an informational handbook to assist the community in understanding state and  local regulations for the development of ADUs and the creation of Urban Lot Splits and  evaluate options for adopting pre‐approved ADU plans  o Annually, or as needed for compliance, and by obtaining information from housing  partners, complete updates to the Zoning Regulations to implement state law and to  address identified barriers to affordable housing and housing production.  o Work with SLOCOG to determine the City's RNHA allocation for the 7th Cycle Housing  Element Update.  o Initiate an update to the 7th Cycle Housing Element through the creation of an RFP for  consultant services, and present RFP to the City Council with a study session on potential  scoping for Land Use and Circulation Element Update  Financial Plan Page 101 Page 621 of 994 o Conduct a study session with the City Council to identify needs and opportunities  regarding renter protections, based on the memo produced in 2024, and receive direction  on items for further consideration and development.  o Conduct a study session with the City Council on potential Rental Housing Registry. This  study session would discuss parameters of potential registry and discussion of resources  needed for establishment and ongoing maintenance of registry.  o Adopt and implement updated California Building Standards and local amendments  (building code)  o Create a strategic plan for the safe housing program, and conduct outreach and  engagement with a focus on both tenants and landlords.  o Initiate an update to the Tree Regulations to streamline housing projects.  o Conduct a study session with Council on Code Enforcement priorities related to  safe/livable neighborhoods and receive feedback on priorities. Discuss potential updates  to property maintenance standards.  o Update property maintenance standards to ensure they align with City priorities related  to safe and livable neighborhoods and housing.  o Create a project plan and standard operating procedures for Community Development  enforcement of zoning code regulations pertaining to Greek houses.  Consider potential  updates to zoning code to facilitate efficient regulation of Greek houses.     Goal: Homelessness Response:  o Data ‐ Support efforts to improve data access between City, County and service providers  to more effectively facilitate connecting unhoused individuals to shelter and services.  Identify data platform needs and develop implementation plans.    o Prevention ‐ Collaborate quarterly with SLO County and housing and homeless services  providers to streamline resources to enable individuals and families to remain in housing.  o Homeless Services ‐ Meet monthly with CAPSLO to support effectiveness of the 40 Prado  Homeless Service Center, including updates to Good Neighbor Policy which will be  presented to Council in Q2 of FY25‐26.  o Homekey ‐ Utilize State Homekey funding to implement Calle Joaquin Homekey project,  providing 75 permanent supportive housing units which are scheduled to be fully  occupied in Q1 of FY‐25.  o Encampment Resolution Funds ‐ Complete outreach work as described in the City's  Subrecipient Agreement with SLO County for implementation of the Welcome Home  Village project to address encampments along the Bob Jones Bike Trail.  o Other Funding Opportunities ‐ Actively seek and vet additional funding sources to expand  crisis response efforts and continuum of shelter programs in collaboration with regional  partners. Report on any progress to Council in Q4 of FY26‐27, unless grant applications  are brought to Council for approval in advance of that timeline.  o Safe Parking ‐ Facilitate implementation of the Rotating Overnight Safe Parking Pilot  Program in partnership with CAPSLO and local faith community partners to expand safe  parking capacity and address vehicular homelessness.  Financial Plan Page 102 Page 622 of 994 o Hotel Voucher Program ‐ Continue implementation of Hotel Voucher Program to provide  expanded capacity at 40 Prado Homeless Services Center as the CAPSLO Family Shelter is  developed at 46 Prado Rd.  o Feedback Sessions ‐ Conduct feedback sessions with six key stakeholder groups to inform  updates to the HRSP and address specific issues related to health, safety, and community  well‐being for each stakeholder group.  o HRSP Update ‐ Update the HRSP for 2027‐2031 in alignment with the Countywide Plan to  Address Homelessness.  o Outreach & Coordination ‐ Facilitate bi‐weekly interdepartmental field team meetings  and bi‐weekly inter‐agency outreach meetings to coordinate outreach, enforcement, and  encampment cleanup efforts to reduce community‐wide impacts of homelessness.  o Ask SLO ‐ Receive and respond to community member Ask SLO requests related to  homelessness response and transient encampments to more efficiently address health  and safety concerns. In response to Ask SLO requests, Homelessness Response staff will  coordinate Field Team process for posting camps, conducting outreach, storing  belongings, addressing cleanup needs, and tracking data in alignment with the City's  CAMP Standards.    o Environmental Mitigation ‐ Coordinate efforts to mitigate environmental impacts and  protect creek systems in collaboration with regional agencies including quarterly  meetings with Caltrans, CHP, and SLO County. Develop and implement a Vegetation  Management Plan.   Goal: Cultural Vitality, Economic Resilience, and Fiscal Sustainability:  o Complete the update to the City's Historic Resources Inventory. Complete initial phase of  the project updating the Historic Preservation Ordinance and Historic Context Statement  (Phase 1) and complete the update of the Historic Resources Inventory (Phase 2).  The Department also assists in the implementation of the Open Space, Climate Action, and Resilience  Major City Goal by implementation of the Climate Action Plan and Lead by Example Plan Work Programs,  implementation of disaster mitigation efforts to reduce risks from floods and fires, strengthen community  resilience through emergency preparedness, community networks, and planning efforts, protect, sustain  and advance open space and natural and historic resources and expand trail connectivity and accessibility  to support biking, hiking, and outdoor enjoyment for all community members.  In addition, the  Department assists with the Cultural Vitality, Economic Resilience, and Fiscal Sustainability goal and the  Infrastructure goal through coordination with staff and involvement in infrastructure financing and the  review and approval of entitlements and permits for development projects.  The Department will also be  working closely with the Fire Department to implement actions and requirements related to State Fire  Hazard maps, as noted in the work programs led by Fire in the Housing and Neighborhood Livability Goal.   2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  Financial Plan Page 103 Page 623 of 994 Lead the implementation of the Housing and Neighborhood Livability and Homelessness Response Major  City Goals.      Support services to the lead departments in implementing other Major City Goals by collaborating and  sharing resources and subject matter expertise.      Provide excellent customer service to internal and external customers, as well as advisory body members,  regarding the processing of permit applications and policy development.      Promote a safe community and healthy neighborhoods by implementing Building and Safety Division  programs, including Code Enforcement.      Monitor growth and support and update General Plan policies and Zoning Regulations standards to ensure  coordination with all City Departments providing municipal community services.    Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.                                  Financial Plan Page 104 Page 624 of 994                     Financial Plan Page 105 Page 625 of 994 Operating Budget Finance  FINANCE DEPARTMENT  Mission Statement  Safeguarding the City’s resources and fiscal health by implementing financial policies, procedures, and  reporting systems to serve the citizens and enable operating departments to achieve their objectives.  About the Department  The Finance Department is responsible for managing the City’s financial operations in accordance with  applicable law, policies, standards, and procedures. This includes the preparation of the City’s budget and  financial reports, administration of the City’s treasury and revenue operations, management of the City’s  fiscal resources, and administration of the accounting functions including indirect City‐wide costs not  easily charged to operating programs or projects. The Department also prepares the City’s audit and its  Comprehensive Annual Financial Report as well as the Popular Annual Financial Report. Lastly, the  Department assists the City Manager’s office in monitoring and reporting on both annual revenues and  expenditures.  Budget at a Glance  Actuals Budget Financial Plan Finance FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 1,780,850   2,124,521         2,196,169   2,275,768    YoY Change 19% 3% 4% Other Operating Expenditures 496,744      491,810            574,187      576,458       YoY Change ‐1% 17% 0% Total 2,277,595   2,616,331         2,770,356   2,852,226    YoY Change 15% 6% 3% Financial Plan Page 106 Page 626 of 994 Operating Budget  Finance  Department Programs    Fiscal Analysis  Expenditures are proposed to increase by $154,025 or 6% compared to FY 2024‐25. Staffing is projected  to increase by $71,648 or 3%, driven by annual adjustments to compensation and changes related to  recently filled positions. No new positions have been added. Other Operating Expenditures are expected  to increase by $82,377 or 17%, which reflects a reallocation of $90,000 in budget for credit card processing  fees for business license renewals which were previously budgeted and accounted for in a non‐ departmental cost center. Adjusting for this reallocation, and in an effort to constrain expenditure growth,  non‐staffing budgets were reduced by $7,623, despite budgeting for annual increases for contract  services.  This reduction was achieved through reductions to various accounts, based on a careful review  of prior years’ actuals. As a result, the department will have limited ability to complete any ad‐hoc projects  requiring external resources. The department also notes that adding credit card processing fees to the  department’s budget exposes it to an unavoidable variable cost.  Program Total   Expenditures Staffing 2001 Administration: Leads, organizes, and monitors the divisions within the  Finance Department. It is responsible for managing the  City’s treasury function  and financial operations in accordance  with established accounting standards,  policies and strategic plans.              370,023 1.50 FTE 2002 Budget: Coordinates development and preparation of the City’s two‐year  Financial Plan budget, the  Financial  Plan Supplement, corresponding quarterly  reports to the  City Council, and ongoing budget administration. The  program is  responsible  for implementation of budgetary controls  and financial reporting and  compliance  with adopted Financial  Plans and budget appropriations.              239,021 1.00 FTE 2003 ‐ Revenue Management: Administers the City’s treasury and revenue   operations in accordance  with established fiscal policies and industry best  practices. It provides day‐to‐day cashier service to City customers and is proactive  in developing automated features and conveniences for an efficient revenue   collection.              586,620 3.00 FTE 2004 Purchasing: Supports and facilitates the timely and efficient procurement of  supplies, materials, equipment, and services re quired by City Departments while  ensuring compliance  with City Policies, applicable government regulations, and  best practices in public sector procurement to obtain the lowest cost while  maintaining appropriate internal controls. Purchasing aids all  departments in their  purchasing activities.              251,548 2.00 FTE 2005 Accounting: Prepares citywide  financial statements, ensures integrity of  financial  data, processes accounts  payable and payroll, and prepares financial   reports  in compliance  with Federal and State regulations. Accounting is  responsible  for developing and  monitoring the  reporting systems that help assure  the  City’s long‐term fiscal health, providing quality customer service, and  protecting the City’s financial  assets from unauthorized use.          1,323,145 8.00 FTE Total          2,770,356 15.50 FTE Financial Plan Page 107 Page 627 of 994 Operating Budget  Finance  Significant Operating Budget Changes  No Significant Operating Budget Changes are recommended for the department.    Opportunities and Challenges  The department is prepared for the opportunity to help the City navigate tighter than usual economic  conditions.  Specifically, the team will focus on improving the quality of services that it provides to internal  customers and the community in order to prepare and manage to constrained budgets. While the difficult  budget circumstances present a challenge to continuing to support the programs and services that the  City provides to the community, there is significant opportunity to build trust with the City’s stakeholders  through proactive and transparent communication about budgetary limitations and the actions needed  in order to bring the budget into structural, long‐term balance.    The department also has considerable opportunity to update financial policies and procedures to support  the current organization, given the increasing complexity of fiscal issues being addressed by municipal  governments throughout the State. These include the challenge of financing infrastructure development  to support mandates around the development of housing, and increasingly complicated requirements for  financial transparency and reporting. On a more local level, the department has the opportunity to engage  with Economic Development and other departments to refine the City’s Business License and Tax program  to ensure that the City is collecting business taxes to support the City’s budget, and additional assessments  to support Downtown SLO’s work to promote the downtown area.  As noted throughout this document, the current economic uncertainty and higher interest costs for  borrowing both present significant challenges for the City as it works to maintain high quality services  provided to the community and build key infrastructure projects to support the growing community. The  department will play a key role in identifying mechanisms to support future costs, but notes that tradeoffs  will be needed in to support new initiatives. Ongoing reconfiguration of the Oracle Enterprise Resource  Planning (ERP) software also continues to pose significant challenges, almost seven years after the system  was first implemented. The City must respond to Oracle‐imposed updates that it does not have any  control over and that impact major functions of the City. The department will continue to work closely  with Information Technology and Human Resources to make important system improvements to minimize  compliance related issues, but notes that this time intensive work impacts that department’s ability to  perform its primary functions. Finally, the department continues to lead financial recovery efforts related  to the 2023 Winter Storms. The process has moved very slowly due to inconsistent guidance provided by  the Federal Emergency Management Agency (FEMA), but the department will continue to work with  FEMA and the California Office of Emergency Services (CalOES) to secure reimbursement for incurred  costs in order to ensure that the City is able to respond to future emergencies.    Major City Goal Contributions  The Finance Department supports all Major City Goals by providing timely and regular reporting to the  City Council and the community on the status and progress of the strategic goals. The department has an  integral role in the Cultural Vitality, Economic Resilience, and Fiscal Sustainability Major City Goal by  leading development and management of annual spending plans that support the City’s basic services and  the City Council’s priorities in a sustainable manner. In the 2025‐27 Financial Plan period, the department  Financial Plan Page 108 Page 628 of 994 Operating Budget  Finance  will develop and implement a long‐term strategy to address a forecasted General Fund deficit, evaluate  banking services providers to assist the City in managing its funds, engage in an effort to improve the City’s  existing infrastructure financing program, and refine the City’s business license and tax program to ensure  compliance with Municipal Code provisions and collection of business tax owed to the City.  2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)   Continue to monitor and look for ways to reduce outstanding debt, including bonds and  unfunded pension liabilities, to maintain the City’s credit ratings and ensure marketability  of potential future debt issuances.   In coordination with Information Technology and Human Resources, continue to enhance  and utilize the Oracle Enterprise Resource Planning and Human Resources Management  System in support of accurate and timely accounting processes and reporting.  Develop and implement a long‐term strategy to achieve structural balance for the General  Fund while minimizing impacts to the community to the greatest extent possible.    Develop financial and budgetary reports that are transparent and accessible to increase  understanding of the City’s financial condition and support meaningful community  engagement.  Support development of Citywide financial acumen by ensuring that staff has access to  information, maintaining comprehensive budgetary and fiscal policies, and providing  Citywide trainings on priority areas including budget development and management,  payroll, and purchasing.   Administer the City’s purchasing and contracting procedures in accordance with the  purchasing policy to support all departments in purchasing goods and services at the best  total value for the City’s external and internal stakeholders.    Administer the City’s Business License and Tax program to maximize compliance with  Municipal Code provisions and ensure collection of business taxes to support provision of  City services.     Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.  Financial Plan Page 109 Page 629 of 994 Operating Budget  Finance  2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Number of calendar days  following year‐end  until ACFR  is issued.170 170 170 170 Objective: Financial Stability Strategic  Goal: Fiscal Policies Notes: N/A 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:Twelve ‐month total rate of return on the City's  investment portfolio.4.6% 3.0% 3.0% 3.0% Measure:General Fund debt service costs as a percentage of revenue 1.5% 1.4% 1.5% 1.3% Objective: Financial Stability Strategic  Goal: Fiscal Management Notes: Based on market conditions and outside the department's control Notes: Targets based on existing debt loads and revenue forecasts 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:Percentage of business licenses renewed timely, prior to enforcement action being taken.91.7% 93.0% 95.0% 95.0% Measure:Number of Finance ‐led trainings provided to City staff.581313 Objective: Financial  Stability Strategic  Goal: Customer Service Notes:While timely renewals are beyond our control, this measure is designed to track the success achievable through proactive outreach and enhanced education about the business licensing program Notes:Measured by training topic , not count of individual trainings .Many training topics are delivered numerous times  during the year, but will be counted as one  training. Financial Plan Page 110 Page 630 of 994 Operating Budget Fire  FIRE DEPARTMENT  Mission Statement  To enhance and protect the lives, environment, and property of our community and its visitors.  About the Department  In addition to providing exceptional and compassionate emergency response, the Fire Department  embraces comprehensive fire prevention and education strategies that include fire and life safety  inspections, plan review services,  fire/arson investigation, fire safety and public safety education, and  City emergency management. The Fire Department has automatic and mutual aid agreements with  surrounding departments, California Office of Emergency Services, and the Los Padres National Forest.  With the values of Service, Loyalty, Ownership, Family, Integrity, Respect and Excellence, the  Department’s vision is to be a progressive organization that leads the community in public safety and  preparedness demonstrated through an unwavering commitment to the protection of lives, property, and  our environment. The service the department provides will be of the highest quality recognized against  local, state, and federal standards.  Budget at a Glance Actuals Budget Financial Plan Fire FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 14,840,169 15,929,133       16,907,084 17,764,994  YoY Change 7% 6% 5% Other Operating Expenditures 1,102,835   1,043,509         1,318,036   1,238,906    YoY Change ‐5% 26%‐6% Total 15,943,005 16,972,642       18,225,120 19,003,900  YoY Change 6% 7% 4% Financial Plan Page 111 Page 631 of 994 Operating Budget  Fire  Department Programs    Financial Plan Page 112 Page 632 of 994 Operating Budget  Fire    Note: The budgets above may include expenditures outside of the General Fund and therefore will not tie  to the General Fund departmental budget.    Fiscal Analysis  Expenditures are proposed to increase by $1,252,478 or 7% due largely to previously negotiated cost of  living increases in the fire union bargaining agreement. Other less impactful salary increases will be for  management staff who will receive a 3% cost of living increase in July 2025. In an effort to constrain  expenditure growth, non‐staffing costs are flat with FY 2024‐25 adopted levels.  This was achieved through  eliminating unrealized contract CPI increases, contract savings by hiring Mobile Crisis Unit staff internally  (discussed in more detail below), and eliminating outdated budgeted items such as printing and directory  subscriptions. Savings realized from those accounts were primarily reallocated to Apparatus Services and  Emergency Response medical supplies. Both of these areas have experienced price increases and higher  operational demand, yet they remain critical to maintaining the department’s ability to provide timely,  effective service to the community.   The proposed budget includes two SOBC in the amount of $40,800, summarized in the table below.   Significant Operating Budget Changes    Opportunities and Challenges  As the city grows and service demands increase, the department has adapted to evolving challenges while  seeking opportunities to improve efficiency and effectiveness. Through thoughtful decision‐making and  collaboration, capabilities can be enhanced, innovative solutions implemented, and a high level of service  maintained for residents.   The department continues to apply for grants to alleviate budget constraints while enhancing capabilities.  Recent awards have funded new electric powered extrication equipment, trained staff to paramedic level  of service and provided Personal Protective Equipment (PPE) for prevention staff. Leveraging grant funds,  the department can maintain high service standards while easing pressure on the General Fund.  The Mobile Crisis Unit (MCU) was established in Spring of 2022, and was originally staffed with a  Transitions Mental Health Association (T‐MHA) caseworker and an Emergency Medical Technician (EMT).  It was quickly discovered that services could be improved by restructuring the team. The T‐MHA  caseworker position was replaced with a Community Resources Services Specialist (CRSS) position, an  internal position within the City. The CRSS is now paired with a contract Licensed Psychiatric Technician  (LPT) from SLO County Behavioral Health. This position is paid by opioid settlement funds received from  lawsuits the City joined through multidistrict litigation to seek compensation for costs incurred due to the  2025‐26 2026‐27 Expense Offset General Fund  Contribution Expense Offset General Fund  Contribution Fire suppression equipment for  electric vehicles. 10,800        ‐          10,800              ‐               ‐             ‐                    One‐Time Increase to Fire fuel budget.30,000       ‐          30,000              30,000       ‐             30,000             Ongoing 40,800       ‐          40,800              30,000       ‐             30,000              One‐Time/  Ongoing Total SOBC Description Financial Plan Page 113 Page 633 of 994 Operating Budget  Fire  opioid crisis. These funds are anticipated to diminish over the coming years, so new funding sources will  need to be identified for the contract LPT in the future. Together, these staff members have strengthened  the MCU’s capacity to deliver more comprehensive support and provide outreach to vulnerable  populations in the city connecting them with resources beyond the initial crisis response.   Staffing remains a challenge with several retirements and resignations over the past several years, leading  to an increased reliance on overtime to backfill essential positions. While overtime ensures continuity of  service, it also places strain on the budget. Staffing shortages have affected every division which has  resulted in some salary savings to offset the increase in overtime. The department anticipates full staffing  across all divisions in FY 2025‐26, eliminating salary savings while also reducing some overtime needs.   Repairs on aging apparatus’ coupled with fuel price surges led to savings in other divisions being  reallocated to Apparatus Services. Truck 1, which had been experiencing engine failure and driving up  repair costs, underwent a full drivetrain refurbishment, including a new engine that was completed  entirely in house by the Supervising Fire Vehicle Mechanic. This will extend the life of Truck 1 to its  projected 2030 end of lifespan while also reducing repair costs in the immediate future.   CalFire released the Local Responsibility Area Hazard maps for San Luis Obispo during FY 2024‐25. Over  the 2025‐2027 Financial Plan, implementation of the measures tied to adoption of the Hazard maps will  drive a significant portion of the workload for the Fire Prevention Bureau. The requirements associated  with Hazard maps will be a significant challenge but also represent an opportunity to codify several risk  reduction activities in the city, such as Vegetation Management, Home Hardening and Defensible Space.  The full fiscal impact of the hazard map implementation is not yet known. Staff will programmatic and  budget proposals to address the requirements of the State Hazard Maps by the end of the Fiscal Year  25/26.   Major City Goal Contributions  The Fire Department contributes to the advancement of Major City Goals through core services and daily  activities.   Cultural Vitality, Economic Resilience and Fiscal Sustainability  1b. Fire is working with Economic Development on streamlining operational permits and occupancy  compatibility for new and existing businesses.   1c. Work with Economic Development on a disaster preparedness and resiliency guide for businesses and  host annual training.   5d. Continue to work with various departments on refinement of City’s Business License and Operational  Permit programs.   Diversity, Equity and Inclusion  1d. Continue to expand outreach to underrepresented groups in the fire service through intern program  and outreach to local educational/ training institutions including Cal Ploy, Cuesta and Allan Hancock  College.   Housing and Neighborhood Livability – Healthy, Safe and Affordable  Financial Plan Page 114 Page 634 of 994 Operating Budget  Fire  1c. Conduct study session in Fall of 2025 on implementation of the Fire Hazard Severity Zone Maps  1d. Implement actions and requirements of the State Fire Hazard Severity Zone Maps.   3d. Fire will coordinate with Building and Safety on Building code adoption and will lead on WUI and Fire  Code adoption.   4a. Work with City Arborist and Tree Committee to implement consistent Defensible Space regulations.   Homeless Response  1a. Data ‐ Continue to work with Homeless Response Manager on collecting and coordinating data for  MCU operations.   1c Homeless Services ‐ Coordinate with Homeless Response on quarterly meetings with CAPSLO  1d. Justice Services ‐ Coordinate with Justice services on function of MCU.   2c. Other Funding Opportunities ‐ Continue to seek out external funding operations for MCU including  ECM and CalAim funded Mobile Crisis services.   4b. SLOFD MCU Team ‐ Continue to refine operations of the MCU and identify external funding sources.  4e. Environment Mitigation ‐ Continue to integrate MCU services with vegetation management  opportunities to protect the environment and reduce potential for ignition sources in riparian zones in  close proximity to the built environment.    Infrastructure and Sustainable Transportation  1 – Continue to partner with Transportation team on coordination of emergency response and  evacuations in the implementation of Vision Zero   3d. Evaluate and implement EV Firefighting tools and technology to protect waterways and infrastructure.   3e. Collaborate with Avila Ranch contractor on design and construction of interim fire station.  Open Space, Climate Action, and Resilience  2b. Continue to work with ONSR to complete the Vegetation Management Plan  3 – Work with internal and external stakeholders on community resilience activities through emergency  preparedness, community networks and planning efforts. Includes CERT, FireWise and pop‐up reslience  hubs.     Financial Plan Page 115 Page 635 of 994 Operating Budget  Fire  2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.    Strategic Goal(s):   In coordination with Public Works and Human Resources, continue to enhance the department’s diversity,  equity, and inclusion through improvements to fire station facilities, firefighter recruitment, and training.     In coordination with the Office of Sustainability, continue to reduce the department’s carbon footprint to  support Climate Action through best practices and thoughtful replacement of department apparatus  resources. In coordination with the Police Department, expand the Mobile Crisis Unit hours and service  through outside funding opportunities and partner agencies.     Continue community preparedness efforts for disasters through development of disaster plans and  monitoring creek maintenance and wildfire protection plans.     Continue the implementation of the five strategic directions identified in the Department’s Annual  Operational Plan as part of the 5‐Year Strategic Plan by connecting with our community, continuously  evaluate programs and service delivery, analyze relevant data to inform decision making, improve  organizational culture, sustainability, and health, and support fiscal sustainability in department  operation.    Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.  Financial Plan Page 116 Page 636 of 994 Operating Budget  Fire  2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Meet the Total  Response  Time  (TRT) goal  of 7  minutes  or less to 90% of all lights‐and‐siren  emergencies in the City as defined by the  Department’s Master  Plan. TRT Includes Call  Processing Time, Turnout  Time, and Travel  Time.  8:30 8:30 7:00 7:00 Measure: Meet the Call Processing Time  Goal of 1  minute or less to 90% of all lights‐and‐siren  emergencies in the City as part of TRT 1:32 1:30 1:00 1:00 Measure: Meet the Turnout  Time  goal of 2 minutes or  less to 90% of all lights‐and‐siren emergencies in the  City as pa rt of TRT 2:05 1:59 2:00 2:00 Measure: Meet the Travel  Time  goal      of 4  minutes or less to 90% of all lights‐and‐siren  emergencies in the City as part of TRT.  5:45 5:47 4:00 4:00 Objective: Timely Emergency  Response to ensure rapid care and hazard mitigation Strategic  Goal: Other  Department Objectives Notes: Adjustments  in process have allowed turnout time goal  to be achieved.  Not es:Travel time is impactedbyconstruction, traffic,and expandedresponse zones.Some distantlocations with greater  travel times  generate  a  large proportion of calls increasing travel time.  Notes:Whileit is not anticipatedthe departmentwill meetthe timeperformance targets in FY2024‐25,they remain unchanged due to National  Fire  Protection Association recommended standards. Notes: Fire  Department staff continues  to work with Police Department staff to improve call processing times.  2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:% of Fire Department Development Review activities completed within published cycle times.58.20% 80% 80% 80% Notes:High staff turnover and vacancies affected completion rate. A new Fire Marshal has implemented process improvements to continue to improve turnaround time. Vacancies expect to be filled by year end expanding capacity for the division.  Objective: Provide timely service to the development community Strategic  Goal: Housing Financial Plan Page 117 Page 637 of 994 Operating Budget Human Resources  HUMAN RESOURCES DEPARTMENT  Mission Statement  Serving the people who serve our community.  About the Department  The Human Resources Department provides support to all City departments including coordination of  recruitment and selection processes; onboarding; classification and compensation; human capital  management support; labor relations and negotiations; performance management; employee training  and development; employee benefit administration; and leaves and disability administration. In addition,  the Department oversees Risk Management and the Insurance Fund which includes liability and property  claims administration; workers' compensation administration; employee safety and compliance;  insurance oversight; and contract review. The Department’s Wellness program promotes a healthy and  safe organization through the Employee Assistance Program, a Preventative Mental Health Services  Program for public safety employees, and various education and wellness activities.  Budget at a Glance Actuals Budget Financial Plan HR FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 1,321,146   1,567,596         1,595,615   1,673,257    YoY Change 19% 2% 5% Other Operating Expenditures 850,278      710,122            442,218      445,103       YoY Change ‐16%‐38% 1% Total 2,171,424   2,277,718         2,037,832   2,118,360    YoY Change 5%‐11% 4% Financial Plan Page 118 Page 638 of 994 Operating Budget Human Resources  Department Programs  Fiscal Analysis  Expenditures are proposed to decrease in FY 2025‐26 by $239,886 or ‐11% due to items that were moved  to the non‐departmental cost center or the City Attorney’s Office, such as legal fees and the leased office  space at 994 Mill St. In an effort to constrain expenditure growth, non‐staffing costs are also below FY  2024‐25 adopted levels. This was achieved through a reductions in the Citywide training budget,  classification and compensation consultant support, and renegotiated contracts with vendors.  Opportunities and Challenges  The Human Resources (HR) Department is pursuing initiatives to enhance employee engagement and  satisfaction through its onboarding process, training and development programs, and benefits offerings.  A Citywide employee engagement survey will be offered during FY 2026‐27, and the results will inform  future actions on continuing to prioritize the importance of investing in the City workforce.   The department is looking for ways to streamline administrative tasks and maximize value for employees.  For example, HR staff are working with the City’s benefits broker as well as an employee committee to  explore the consolidation of deferred compensation recordkeepers. There is a continued opportunity to  enhance the use of the City’s Human Capital Management system (Oracle Cloud), such as expanding  options for employee and manager self‐service to reduce manual data entry. However, progress is limited  due to the internal Oracle team’s ongoing focus on compliance‐based projects. Additionally, the  department continues to work on maximizing use of the City’s applicant tracking system (NEOGOV) for  more efficient and effective recruitment and selection process, and fully transitioning personnel files from  paper to electronic format.  Program Total   Expenditures Staffing 3001 Human  Resources  Administration: The  Human Resources Administration  Program provides support to all  City departments in attracting, supporting, and  retaining highly qualified employees. The  Program manages a variety of functions  including coordination of recruitment and selection, onboarding, classification   and compensation, human capital  management support, performance   management, employee training and  development, labor relations and  negotiations, employee benefits, leaves and disability administration, and  statutory and regulatory compliance.     1,982,033 10.00 FTE 3003 Wellness: The  Wellness  Program aids in managing the  life experience of our  employees by providing employee tools and education to improve their physical  and emotional well‐being, thus enhancing employee productivity, re si l iency, and  performance. The  program provides employees with education and programs  around fitness, nutrition, and health and safety information. In addition, the  program provides professional  counseling and referral  services through the   Employee  Assistance Program and a Preventative Mental  Health Services Program  for public safety employees.           55,800 0.00 FTE Total     2,037,832 10.00 FTE Financial Plan Page 119 Page 639 of 994 Operating Budget  Human Resources  New employment related regulations continue to be introduced, requiring additional staff time to  implement new policies and practices to ensure legal compliance.   The volume of recruitments remains high and certain positions are difficult to fill. The department is  considering ways to speed up time to hire, such as decentralizing portions of the recruitment process.  There is a greater need for coaching and training to support the large number of employees who are new  to their roles, particularly supervisors.   The volume of leave of absence requests, accommodation requests, and other complex personnel matters  has also limited staff’s ability to pursue program enhancements.   The department is seeking various ways to contain liability and workers’ compensation claim costs, such  as increasing the self‐insured retention level for the liability program with California Joint Powers  Insurance Authority (CJPIA) and implementing various policies related to safety and employment  practices.  Significant Operating Budget Changes  No significant operating budget changes are recommended for the department.  Major City Goal Contributions  The Human Resources Department supports the Cultural Vitality, Economic Resilience, and Fiscal  Sustainability Major City Goal by negotiating successor agreements with employee groups in alignment  with Council adopted Labor Relations Objectives, as well as taking action to contain liability and workers’  compensation claim costs. The department also supports the Diversity, Equity, and Inclusion Major City  Goal through review and revision of relevant policies and practices, improvements to the recruitment and  selection process, and providing DEI‐related training for staff of all levels.   2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  1. Attract and retain top talent to meet the needs of the organization.  a. Decrease time to hire through efficient recruitment processes.  b. Increase employee engagement and satisfaction, resulting in fewer vacancies and  increased tenure.  2. Empower employees to reach their full potential.  a. Facilitate an evaluation system to deliver clear performance expectations and regular,  timely feedback.  3. Reduce the total cost of workers’ compensation claims.  a. Facilitate return to work through modified duty assignments to support employee well‐ being while also minimizing costs.  Financial Plan Page 120 Page 640 of 994 Operating Budget  Human Resources  Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.        2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Number of New Hires  Processed 104 133 130 130 Measure: Median  Time  to Hire 93 88 85 85 Objective: Attract and retain top talent to meet the needs of the organization. Strategic  Goal:  Decrease time to hire through efficient recruitment processes. Notes: New hires processed refers  to the total number of new temporary, contract, and regular part‐ and full ‐time employees hired  and processed by HR staff (i.e., added to HCM system, provided first ‐day orientation, enrolled in applicable benefits, etc.), excluding  temporary employees hired in Parks and Recreation. Notes: Time  to hire is defined as the number of calendar days  from  the da te a  hiring requisition is submitted to the date a   conditional job offer is extended for  regular part‐ and full ‐time employees. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Median  Tenure of Regular Workforce 5 Years 4.9  Years 5  Years 5  Years Measure: Vacancy Rate 8% 9% 9% 9% Notes: The  median tenure, in years, of regular part‐ and full ‐time employees. Notes:Vacancy Rate is defined as the number of vacant authorized regular positions divided bythe quantityof authorizedregular positions. Strategic  Goal: Increase employee engagement and  satisfaction, resulting in fewer  vacancies and increased tenure. Objective: Attract and  retain top talent to meet the needs of the organization. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Percentage of On ‐Time  Performance Evaluations  97% 97% 95% 95% Notes: The  percentage of performance evaluations completed within 30 days  of due date. Strategic  Goal: Facilitate an  evaluation system to deliver clear performance expectations and  regular, timely feedback. Objective: Empower employees to reach their full  potential. 2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Percentage of Eligible Employees Offered a  Modified  Duty  Assignment N/A N/A 80% 80% Objective: Reduce the total cost of workers' compensation claims. Strategic Goal: Facilitate return to work through modified duty assignments to support the well‐being and recovery of injured employees while also  minimizing costs. Notes: The  percentage of employees with temporary work restrictions  who are offered accommodations  to work in a  modified duty  capacity resulting from  a  work related injury or illness. This  measure is new and will  be tracked starting July 2025. Financial Plan Page 121 Page 641 of 994 Operating Budget Parks and Recreation  PARKS  AND RECREATION DEPARTMENT  Mission Statement  Inspiring happiness by creating community through people, parks, programs, and open space.  About the Department  The Parks and Recreation Department is committed to providing quality parks and facilities (such as the  SLO Swim Center, Damon‐Garcia Sports Complex, and Laguna Lake Golf Course) where recreation  programs, special events, activities for youth and seniors, and cultural and educational opportunities  occur in an effort to encourage wellness and develop community through leisure, cultural, and social  pursuits. The department also protects and preserves the City’s natural resources and open spaces and  manages the Citywide Public Art and Volunteer programs. Parks and Recreation provides comprehensive  program offerings for all ages with increased focus on community building as highlighted in the Parks and  Recreation Blueprint for the Future (General Plan Parks and Recreation Element).   The Parks and Recreation budget is predominately comprised of staffing costs. In addition to the annual  full‐time Parks and Recreation employees, the department relies heavily on supplemental employees who  provide service to the community year‐round. Depending on the season, the department may have 150  to 200 supplemental employees providing services such as lifeguarding and instructional swim lessons,  before and after school childcare, special events and pop‐up community events, open space education  and enforcement, promoting all of the department’s activities and classes through social media and other  avenues to encourage participation, and more.  Departmental Budget Actuals Budget Financial Plan Parks & Rec FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 4,548,190   5,003,999         5,245,267   5,385,601    YoY Change 10% 5% 3% Other Operating Expenditures 853,194      985,589            977,429      977,429       YoY Change 16%‐1% 0% Total 5,401,385   5,989,589         6,222,696   6,363,030    YoY Change 11% 4% 2% Financial Plan Page 122 Page 642 of 994 Operating Budget  Parks and Recreation  Department Programs    Financial Plan Page 123 Page 643 of 994 Operating Budget  Parks and Recreation    Fiscal Analysis  Expenditures are proposed to increase by $233,107 or 4% primarily due to increased staffing costs,  specifically for temporary staff. In FY 2024‐25, temporary staff received an unbudgeted minimum wage  increase, which impacted Parks and Recreation temporary staffing budget lines. In the 2025‐27 Financial  Plan, the budget properly accounts for the previously unbudgeted raise, as well as regular wage increases  for full‐time employees. One‐time costs from FY 2024‐25 were removed from the 2025‐27 Financial Plan,  including: the SLO Healthy and Smart Budget which has been allocated a non‐department specific fund  for proper tracking; the annual SESLOC agreement for payment for use of the parking lot adjacent to  Damon‐Garcia Sports Complex, which has been absorbed into the operating budget going forward; and  scholarship funding that was rolled over to FY 2024‐25 for family childcare services.  In an effort to  constrain expenditure growth, non‐staffing costs are flat with FY 2024‐25 adopted levels. This was  achieved through reductions or elimination of funding across multiple areas, including strategic planning,  consultant support, recreational supplies, furniture and various operating accounts, with minimal  anticipated impacts to programming. Reductions and eliminations were made to cost centers that have  historically contributed back to the General Fund at fiscal year‐end and should not impact scheduled  programs. Golf lowered expenditures by reformatting advertising promotions and reallocating funding  toward utilities, while anticipating use of CIP maintenance funds for ongoing maintenance of the Laguna  Lake Golf Course. Staff parking budgets were restructured based on staffing changes, and reductions to  other supplies and materials were made to offset the SESLOC Parking Agreement expense.   The budget includes one Significant Operating Budget Change in the amount of $80,731 summarized in  the table below. Significant Operating Budget Changes      Opportunities and Challenges  The Parks and Recreation Department has several opportunities to enhance its programs, facilities, and  community impact. Expanding the user base of the Fee Reduction Assistance Program by increasing   2025‐26 2026‐27 Expense Offset General Fund Expense Offset General Fund  Funding for Public Art Coordinator  contract position.  80,731       80,731     ‐                    80,731       80,731       ‐                    One‐Time 80,731       80,731     ‐                    80,731       80,731       ‐                    Total SOBC Description One ‐Time/  Ongoing Financial Plan Page 124 Page 644 of 994 Operating Budget  Parks and Recreation  marketing efforts and continuing to utilize both City provided funding and CAPSLO contributions for  childcare programs, will help improve access to recreation programs, ensuring that cost is not a barrier to  participation. Strengthening fundraising efforts and exploring sponsorship opportunities with local  businesses and organizations can provide additional resources to support programs, events, and facility  improvements. Engaging more community volunteers presents another opportunity, fostering  involvement while assisting with park maintenance, facility enhancements, and program support.  Additionally, pursuing grants for programming and capital projects can help fund new projects, improve  infrastructure, and expand services without placing additional strain on the City’s budget. By leveraging  these opportunities, the department can continue to provide quality, inclusive, and sustainable  recreational offerings for the community.   Parks and Recreation faces several challenges in meeting the growing needs of the community while  maintaining existing facilities and services. Supporting childcare and ensuring that programs remain  affordable and accessible are ongoing priorities, requiring strategic resource allocation. Rapid residential  development has added pressure to establish and maintain new park systems while also addressing  priorities outlined in the Parks and Recreation Blueprint for the Future. Additionally, aging facilities such  as the SLO Swim Center, Laguna Lake Golf Course, Meadow Center, and Ludwick Community Center  require significant maintenance and potential upgrades to remain functional and safe, all while navigating  rising construction costs which make renovations and new projects more expensive. Staffing remains a  challenge, particularly in recruiting and maintaining seasonal and supplemental employees essential to  delivering year‐round high‐quality programs and services. Furthermore, the department must balance  efforts to manage and preserve the City’s open spaces and natural reserves with routine trail maintenance  and fuel management,  while also addressing the presence of transient and unhoused individuals in parks  and public areas, ensuring these spaces remain safe and welcoming for all residents.  Major City Goal Contributions  The Parks and Recreation Department plays a vital role in advancing the City Council’s Major City Goals by  fostering community well‐being, enhancing public spaces, and promoting environmental stewardship.  Through the development and maintenance of parks, open space, recreation programs, and cultural  initiatives, the department directly supports key priorities including Cultural Vitality, Economic Resilience,  and Fiscal Sustainability; Homelessness Response; and Open Space, Climate Action, and Resilience. Many  of the department’s core services reflect the City’s values of inclusion, sustainability, and quality of life.  Highlights for the 2025–27 Financial Plan include:   Cultural Vitality, Economic Resilience, and Fiscal Sustainability  o Support the cultural arts and Cultural Arts District by managing tenant placement and ongoing  operations of a vendor in the Mission Plaza kiosk.  o Contribute to workforce development by exploring partnerships with Cal Poly, SLCUSD, and  SLO County to establish employer‐supported childcare programs, helping local workers gain  access to quality jobs and aiding businesses in talent retention.   Homelessness Response  o Collaborate with regional partners to expand crisis response and shelter services by utilizing  Encampment Resolution Funds to support outreach and implement the Welcome Home  Village project, in accordance with the City's Subrecipient Agreement with SLO County, to  address encampments along the Bob Jones Bike Trail.   Financial Plan Page 125 Page 645 of 994 Operating Budget  Parks and Recreation  o Help reduce the impacts of homelessness while balancing safety, public health, and  community well‐being by coordinating Environmental Mitigation efforts. This includes creek  system protection, the development and implementation of a Vegetation Management Plan,   and quarterly collaboration with regional agencies, including Caltrans, CHP, and SLO County.   Open Space, Climate Action, and Resilience  o Implement disaster mitigation efforts to reduce risks from floods and fires by treating at least  25 acres of vegetative fuels in high wildfire risk areas of City creeks and Open Space.  o Strengthen community resilience through emergency preparedness programs and  community networks. Evaluate alternative to the Community Emergency Response Team  (CERT) / Listos (CAL EOS Preparedness) programs and assess community receptivity to  "Firewise" community designations.  o Protect, sustain and advance open space and natural and historic resources by completing the  Johnson Ranch Open Space Riparian Restoration Project; collaborating annually with local  Indigenous tribes to revive traditional ecological knowledge and cultural activities; and  planting at least 125 native trees through partnerships aligned with the "10 Tall" goal. o Improve trail connectivity and access for all users by completing the Firefighter Trail  realignment at Reservoir Canyon, extending the HiBar and Panorama Trails at Miossi Open  Space, and initiating the Morro View to Durata Vista Connector Trail at Irish Hills. Promote  inclusive outdoor engagement through bilingual docent‐led hikes, Junior Ranger Camp, and  environmental education, and develop a sustainable trail strategy plan that incorporates  passive recreation, public amenities, equitable access, and natural resource protection. 2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  Continue to activate parks and public spaces with an emphasis on neighborhoods and downtown through  community focused events, including volunteer opportunities, and public art that promotes inclusivity,  provides cultural unity, develops a sense of community, and supports healthy lifestyles.   Implement objectives outlined in the Parks and Recreation Blueprint for the Future (Master Plan and  General Element) and initiate public engagement for prioritization of projects, focused on meeting  amenity needs identified by the City‐wide inventory assessment and specific to City subareas, that also  factor in to help achieve carbon neutrality, inclusivity, accessibility, and connectivity.   In coordination with the Office of Natural Resources, continue to develop the new trail networks within  the Open Space Trails at Righetti Hill and Miossi preserve while maintaining the current 4,000+ acres of  Open Space and 67‐mile trail system. Continued focus on encampment clean‐ups, fire fuel reduction, and  creek and flood control in support of the Wildland Urban Interface (WUI).   Provide affordable, inclusive, high‐quality programming for all age groups that fosters a sense of  community, including enhancing and expanding equitable childcare offerings for the community.   Financial Plan Page 126 Page 646 of 994 Operating Budget  Parks and Recreation  Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives. Financial Plan Page 127 Page 647 of 994 Operating Budget  Parks and Recreation  2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Number of public outreach meetings 6 6 4 4 Measure: Number of updated or new parks  and  amenities in process 7433 Notes: Measure  is dependant on the number of new or updated parks  and amenties Notes:Upcoming projects include Emerson Park, Righetti Parks, DeVaul Park, Future discussions on Laguna Lake Objective: In Coordination with Public Works, engage the public to pri oritize new and revitalized Recreational   Amenities Strategic  Goal: Initiate public engagement for prioritization of projects, focused  on meeting amenity needs   identified by the City‐wide inventory assessment and specific to City subareas..  2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Number of Department Community Events   (free  or low‐cost)25 25 25 25 Measure: Number of total volunteers/hours 164/1935 480/5800 700/6000 920/6200 Measure: Number of  volunteer opportunities 35 28 35 35 Measure: Number of Public Art  or Cultural Art  Events5999 Measure: Number of temporary/permanent public art  installations 2232412 Strategic  Goal: Activate parks  and public spaces through community focused  events, including volunteer  opportunities, and public art that promote inclusivity, provides  cultural unity, develops  a  sense of community  and supports  healthy lifestyles. Notes: Includes all programming, tours, lectures, volunteer events, and workshops/tutorials. Notes: This  includes any SLOMA contracted installations. Numbers  fluctuate  due to the changing number of  Box Art  installations. Notes:Community Services provides a variety of free community events year round. Scramble is only event that is low cost / creates revenue. This  includes Monday  Meetups, Boo Bash, Super Rec Saturdays Notes: "Number of total volunteers" is really the "number  of total users registered on the volunteer  management system" as it reads  on this sheet. Users  are not the same as volunteers (one  can be a  us er and  never respond to an opportunity).  Notes: FY 2023‐24 (# of recurring volunteer opportunities: 15; # of single day of service or expired need: 20).  Objective: Creates and  fosters a sense  of community through citizen involvement Financial Plan Page 128 Page 648 of 994 Operating Budget  Parks and Recreation  2023‐24  Actual 2024‐25  Projected 2025‐26  Tar get 2026‐27  Target Measure: Number of miles  of Open Space  trails  maintained 66.5 67.5 68.5 69.5 Measure: Number of staff hours dedicated to fuel   reduction 4,000 4,000 4,000 4,000 Measure: Number of encampment site clean‐ups   removed from Open  Spaces  70 60 55 55 Strategic  Goal: Continue to develop new trail networks  and maintain the current Open Space  acres and trail  system while focusing on riparian area conservation with encampment clean‐ups, fire  fuel  reduction, and  creek and flood  control. Notes: Ranger staff are currently building more tails and anticipate to do so over the next financial  plan. Notes: Consistent hours  indicates proper staff management of vegetation Notes: Siginificantly reduced the number of transient occupants within Open  Spaces  due to the increased  number of housing opportnities  in the areas. Objective: Open  Space  Preservation and Enhancement Financial Plan Page 129 Page 649 of 994 Operating Budget Police  POLICE DEPARTMENT  Mission Statement  To safeguard our community from harm by reducing crime and ensuring dignity, equity, and justice for all  we serve.  The department’s Vision is a community partnership built on trust, focused on safety, and the shared  values to ensure the SLO quality of life.  About the Department  The Police Department consists of two operating bureaus: Operations and Administration. The Operations  Bureau includes patrol services, traffic safety, and neighborhood services. The Administrative Services  Bureau includes administrative services, investigative division, communications, and records units. The  department maintains public safety in the community and engages in community policing to strengthen  relationships, problem solve, and prevent crime.   Budget at a Glance Actuals Budget Financial Plan Police FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 21,641,566 21,979,903       23,764,483 25,141,539  YoY Change 2% 8% 6% Other Operating Expenditures 1,604,827   1,513,389         1,834,080   1,779,292    YoY Change ‐6% 21%‐3% Total 23,246,393 23,493,292       25,598,563 26,920,831  YoY Change 1% 9% 5% Financial Plan Page 130 Page 650 of 994 Operating Budget Police  Department Programs  Program Total   Expenditures Staffing 8001 Police Administration: The  Police administration program plans, directs, and  evaluates all  police services, including overall department leadership provided by  the  Chief  of Police. Police administration provides business and fiscal  management; personnel hiring and training; risk management; claims/lawsuit  coordination; contract service administration; equipment purchases and  maintenance; and computer application support for public safety information  systems. This program is also responsible  for preparing and implementing policies  and procedures, ensuring appropriate  training and performance standards are   maintained and ensuring compliance  with mandates.     2,781,586 7.00 FTE 8002 Patrol: The  Police patrol services program utilizes uniformed personnel to  respond to emergencies and calls  for service; conduct preliminary investigations  of criminal  activity and routine  traffic collisions; enforce state  and City laws and  statutes; apprehend criminals; manage unusual incidents; implement crime   prevention strategies; and provide  other public safety services.   13,692,074 52.00 FTE 8003 Investigations: This  program investigates criminal activity. Program staff also  interview and monitor convicted sex and arson offenders, coordinate  and deliver  enforcement, intervention, and education services to the  high school, and  junior  high, provide forensic investigative services and evidence collection  and analysis,  and process and dispose of evidence and property.     4,073,125 14.00 FTE 8004 Police  Support Services: The  support services program is divided into two  divisions: Communications and Re cords. The  program is involved in Department  of Justice audits, acts as custodian of criminal records and compliance  with State   and Federal regulations. Staff  are  responsible  for receiving, processing and  dispatching emergency and non‐emergency calls for service, public outreach,  processing police reports and citations, tracking and reporting crime  statistics, and  maintaining confidential  information.     3,703,803 20.00 FTE 8005 Neighborhood Services: The  Neighborhood Outreach Program is responsible  for the  coordination of services and outreach to community members with an  emphasis on residential  neighborhoods. The  Program coordinates response to  violations of the  City noise ordinance, along with related follow‐up, data  coll e ction, and the  issuance of warning notices and administrative  citations to  property owners. The  program also includes support to various committees and  neighborhood groups as well as receiving and acting on concerns of neighborhood  residents about issues affecting the  quality of life.           327,043 1.00 FTE 8006 Traffic Safety: The  traffic safety program provides enforcement of traffic  laws, collision investigations, education programs, and coordination and support  of special events.     1,020,933 3.00 FTE Total   25,598,563 97.00 FTE Financial Plan Page 131 Page 651 of 994 Operating Budget  Police    Fiscal Analysis  Expenditures are proposed to increase by $2,105,271 or 9% due to various factors including contractual salary increases, the addition of 2.00 FTE Police Officers and related equipment, increases related to contract services (such as the contract for Animal Services with the County), and other technology needs. In an effort to constrain expenditure growth, non-staffing costs are flat with FY 2024-25 adopted levels. As a result, the department was unable to increase some accounts such as utilities, fuel, and other contract services. This may result in budget overages during this financial plan if third-party costs increase above the constrained budget amount. The budget includes six Significant Operating Budget Changes in the amount of $630,484 summarized in the table below. Significant Operating Budget Changes    Opportunities and Challenges  Staff continue to work on the Department’s 5‐year Strategic Plan which was developed in 2024.  The goals  of the plan include Service to the Community, Community Engagement, Diversity Equity & Inclusion,  Recruitment & Retention, Health & Wellness, and Improving Infrastructure, Equipment & Technology.   Overall, each goal has a work program with achievable objectives which are assigned to staff members.   As part of the Strategic Plan, a department‐wide staffing study was conducted in late 2024 and the final  report was presented to Council in January 2025.  The results of the study reflected the need to hire  fourteen additional department personnel (eleven sworn and three professional non‐sworn) within one  year; these positions included two sergeants, six police officers, two detectives, one school resource  officer, two dispatchers, a half time employee to assist the hiring manager and a half time employee to  assist with customer service at the front counter.  The funding and resources to hire all recommended  positions in one year posed a significant challenge, and, as a result, staff presented to Council  2025‐26 2026‐27 Expense Offset General Fund  Contribution Expense Offset General Fund  Contribution Funding for public safety Computer  Aided Dispatch (CAD) to CAD  software. 12,500       3,000      9,500                12,500       3,000         9,500                Ongoing Funding for controlled substance  testing. 23,000       5,400      17,600              23,000       5,400         17,600             Ongoing Add 2.00 FTE Police Officers and  associated equipment. 324,282     88,873    235,409           308,604     81,493      227,111           Ongoing Funding for Poli ce Officer safety  equipment (tasers). 17,500       2,000      15,500              17,500       2,000         15,500             One‐Time Funding for four License  Plate Reader  (LPR) cameras. 18,140       ‐          18,140              ‐               ‐             ‐                    One‐Time Funding for County contract for  Community Action Team (CAT) and  Mobile  Crisis Unit  (MCU) Licensed  Psychiatric Technicians. 235,062     235,062 ‐                    246,816     230,615    16,201             Ongoing 630,484     334,335 296,149           608,420     322,508    285,912            SOBC Description One‐Time/  Ongoing Total Financial Plan Page 132 Page 652 of 994 Operating Budget  Police  implementation options to phase in the hiring over several years.  Ultimately, this resulted in the current  budget proposal to add just two patrol officer positions that are partially funded through a COPS Hiring  Program grant awarded by the US Department of Justice. Budget constraints will continue to be a  challenge as the City continues to monitor revenues and expenditures over the next couple of years due  to a projected budget deficit in FY 2027‐28.    In 2024, department staff participated in over 40 community events which included visits to various  schools, events in Mission Plaza, and neighborhood meet ups. These events offer incredible opportunities  for public outreach and education while fostering relationships.  The department is looking forward to  remaining engaged and attending more events in the upcoming year.  Staffing challenges continue to occur and as a result special assignments have not been fully staffed, this  includes the Traffic Safety team which only has one sergeant and two officers.  When fully staffed, this  team consists of a sergeant and three officers.  In FY 2024‐25, the department worked to fill six vacancies  which resulted from retirements and separations of employment.  The department is still working to fill  current officer vacancies.   In 2024, the City contracted with SLO County Behavioral Health Services for a Licensed Psychiatric  Technician (LPT) position to work in partnership with the department’s Community Action Team (CAT).   Per the agreement, the cost of the LPT position is split between the County and City.  This position has  been instrumental in supporting CAT by providing professional crisis intervention outreach and follow up  to individuals in the community that require mental health services.  This contract will expire in June of  2026.  The City is currently funding this contract using opioid settlement funds that have been allocated  to the City to help address the negative impacts of the opioid crisis. This funding is anticipated to diminish  over the coming years, which will require the City to identify alternative funding sources if the LPT contract  is extended.  In 2025, the department started a pilot program assigning a Community Services Officer (CSO) to the CAT  program.  Reallocating a CSO to the CAT program has proven to be a success; this position has added value  and resources to the team’s ability to provide proactive outreach.  Major City Goal Contributions  Homelessness Response:   1. Collaborate with partners to prevent and reduce homelessness:   Justice Services ‐ Continue and expand collaborations between the City Attorney/City  Prosecutor, SLOPD & SLO Fire (CAT/MCU/CSOs/LPTs), County Behavioral Health, and San  Luis Obispo Courts to coordinate criminal warrant and Municipal Code criminal  misdemeanor prosecution efforts to enhance criminal diversion, social services, and  specialty court connections, including mental health, drug and alcohol, veteran's support,  CARE Court, conservatorship and housing and benefits services.    2. Leverage external funding to expand crisis response and continuum of shelter and housing  programs with regional partners:   Encampment Resolution Funds ‐ Complete outreach work as described in the City's  Subrecipient Agreement with San Luis Obispo County for implementation of the Welcome  Home Village project to address encampments along the Bob Jones Bike Trail.  Financial Plan Page 133 Page 653 of 994 Operating Budget  Police  3. Refine approaches to reduce the impacts of homelessness to balance safety, health, and  community well‐being.   SLOPD CAT & CSO Teams ‐ Continue/refine operation of a coordinated homelessness  response including the Police Department's Community Action Team (CAT), Licensed  Psychiatric Technician contracted through the County's Behavioral Health Department  and a Community Service Officer (CSO). Identify potential funding sources to ensure  sustainability of CAT and CSO positions.   Environmental Mitigation ‐ Coordinate efforts to mitigate environmental impacts and  protect creek systems in collaboration with regional agencies including quarterly  meetings with Caltrans, CHP, and SLO County. Develop and implement a Vegetation  Management Plan.    2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  Continue to implement the department’s 5‐Year Strategic Plan.  Specifically addressing the following  Goals: Service to the Community, Community Engagement, Diversity, Equity & Inclusion, Recruitment and  Retention, Health and Wellness, and Improving Infrastructure, Equipment and Technology.  Continue to foster community partnerships through the department’s relationship with the CSAC  (Community Safety Advisory Council) comprised of the Police Advisory Committee (PAC) and the Police  Roundtable.  Work to expand presence at community events and continue to use social media and other  outreach resources for public awareness and education.     Support employee development and advancement through ongoing training and establishing a career  track model. Implement a formal mentor program and continue to support employee mental wellness  opportunities through the department’s Peer Support Program.    Invest in essential tenant improvements for 1042 Walnut.  Phase one will include replacing carpet in high  traffic areas, painting some interior spaces, and enhancing security in the lobby.  These improvements  have not been made in well over twenty years.  Finalize building improvements and relocation of investigative and administrative staff to 1106 Walnut  Street upon completion of necessary tenant improvements to enhance safety and function of this new  space.  Continue providing excellent public safety services to the community through community policing efforts  and proactively address community concerns to reduce crime and improve safety.  Financial Plan Page 134 Page 654 of 994 Operating Budget  Police  Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.    2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:  Total  Number of Part 1 Crimes  per Year 1,568 1,552 1,536 1,521 Objective:  Reduce  Crime Strategic  Goal:  Create a safe  community for  residents and  visitors. Notes:Includes homicide, forcible rape,robbery, aggravatedassault, burglary,and motorvehicle theft. Figures shown are for  the calendar year. Financial Plan Page 135 Page 655 of 994 Operating Budget  Police    2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure: Total  Number of Collisions per Year Vehicle: 549 Ped: 33 Bicycle: 53 Vehicle: 544 Ped: 32 Bicycle: 52 Vehicle:539 Ped: 31 Bicycle: 49 Vehicle:534 Ped: 30 Bicycle: 48 DUI  Checkpoint:  2 DUI  Checkpoint:  3 DUI  Checkpoint:  2 DUI  Checkpoint:  2 DUI  Saturations:  28 DUI  Saturations:  26 DUI  Saturations:  14 DUI  Saturations:  20  Traffic   Enforcement  Ops: 14 Traffic   Enforcement   Ops: 16 Traffic   Enforcement  Ops: 14 Traffic   Enforcement  Ops:14 Distracted  Driving Ops:  5 Distracted  Driving Ops:  3 Distracted  Driving Ops:  14 Distracted  Driving  Ops:14 Ped/Bike  Enforcement:  9 Ped/Bike  Enforcement:  2 Ped/Bike  Enforcement:  2 Ped/Bike  Enforcement:  2 Traffic  Safety  Education: 2 Traffic  Safety  Education: 3 Traffic  Safety  Education: 2 Traffic  Safety  Ed u c ation: 2 Notes:  Figures  shown are per calendar year.  Notes: Figures  are based on specific grant  related objectives  outlined in the annual grant  agreements which may  vary from  year to year.  The  OTS grant  period is from  October  ‐ September. Objective: Provide Safe  Roadways for  Pedestrians, Vehicles, and Bicyclists Strategic  Goal:  Utilize the  department's Tr affic  Safety division to focus on traffic  enforcement and  create safe   roadways.   Measure:  Annual  Office  of Traffic  Safety Grant  Enforcement  Operations Financial Plan Page 136 Page 656 of 994 Operating Budget  Police            2023‐24  Actual 2024‐25  Projected 2025‐26  Target 2026‐27  Target Measure:  Calls  for  service related to homelessness 8,792 8,528 8,272 8,024 Measure:  Number of unique individuals contacted by  CAT 400 410 419 428 Measure:  Number of Family and Agency  Reunifications 6 6 7 7 Measure:  Number of Local Permanent Housing  Referrals 2222 Measure:  Total  number of Mental  Health/Substance   Abuse Treatment Referrals 202 211 221 228 Notes:   Figures  shown are bas ed on fiscal  year. Notes:   Figures  shown are based on fiscal  year. Objective:  Reduce Homeless Related Calls for  Service  Through  Proactive  Engagement Strategic  Goal: Utilize the department's Community Action Team  to provide  resources and  services to the City's  homeless community. Notes:  Figures  shown are based on fiscal  year. Notes:   Figures  shown are based on fi s cal  year. Notes:  Figures  shown are based on fiscal  year. Financial Plan Page 137 Page 657 of 994 Operating Budget Public Works  PUBLIC WORKS DEPARTMENT  Mission Statement  Preserve and enhance city infrastructure for an accessible, safe, and inclusive community experience.  About the Department  The City of San Luis Obispo’s Public Works Department accomplishes its mission in two primary ways. One  is by providing safe mobility options for residents and visitors so that all may enjoy the cultural,  recreational, economic, educational, and quality of life amenities in San Luis Obispo. The other is to build  and maintain the City’s assets and infrastructure to enhance community safety, health, and wellness.  None of the City’s assets are an end unto themselves but rather enable residents and visitors to experience  an enhanced quality of life. The department’s Vision: ‘Inspiring you to have the best day you have ever  had,’ essentially means if we provide high quality mobility options and well‐maintained infrastructure,  then users can experience the full benefit of living, visiting, and working in San Luis Obispo.   The department is organized into three divisions, which include the Maintenance Division, Engineering  Division, and Mobility Division, housing the department’s fourteen programs, each of which provide a  critical and unique role in fulfilling the department’s mission.  Most of the department is funded by the  General Fund, and two programs, Parking and Transit, are Enterprise Funds, funded by users of those  services.  Finally, the Flood Control program is primarily funded by reimbursement grant funds provided  by the County of San Luis Obispo.  Budget at a Glance (All Funds)  The table above summarizes the total budget for the department, including programs funded by the  General Fund and Parking and Transit enterprise funds.  The information that follows provides individual  fiscal analyses for the department’s budget from the General Fund, as well as the two enterprise funds.  Actuals Budget Financial Plan Public Works FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 11,195,749 13,362,412       13,857,234 14,367,981  YoY Change 19% 4% 4% Other Operating Expenditures 11,938,799 12,936,386       13,513,930 14,582,515  YoY Change 8% 4% 8% Total 23,134,548 26,298,798       27,371,164 28,950,497  YoY Change 14% 4% 6% Financial Plan Page 138 Page 658 of 994 Operating Budget  Public Works  General Fund  Fiscal Analysis      Expenditures are proposed to remain nearly flat in FY 2025‐26, increasing by $218k or 1%. The Public  Works Department was able to re‐allocate existing funding within the constrained base budget to offset  identified increases, including inflationary adjustments, the maintenance costs of new assets (e.g. North  Broad Street Park and portions of the North Chorro Greenway), and rising utility costs. The budget also  reflects the addition of two critical positions: a Heavy Equipment Mechanic and the conversion of the  Communications Coordinator position from contract to full‐time regular, both proposed as Significant  Operating Budget Changes (SOBCs). These additions require new General Fund dollars, as summarized in  the table below. In an effort to constrain expenditure growth, non‐staffing costs are 2% below FY 2024‐ 25 adopted levels. This was achieved by reducing budgets in line with actuals, reducing the service  frequency of several maintenance contracts, and reducing some administrative and construction tool  replacement budgets. The proposed budget includes two SOBCs totaling $183,312, with $130,266  supported by the General Fund. One of the SOBCs (the conversion of the Communications Coordinator  position from contract to full‐time regular) is jointly funded by the General Fund, Parking Fund, and Transit  Fund.  The table below reflects the General Fund share of cost for this SOBC.    Significant Operating Budget Changes         Actuals Budget Financial Plan Public Works FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 9,752,744   10,921,869       11,270,127 11,673,124  YoY Change 12% 3% 4% Other Operating Expenditures 6,079,414   6,288,580         6,158,466   6,182,326    YoY Change 3%‐2% 0% Total 15,832,158 17,210,449       17,428,593 17,855,449  YoY Change 9% 1% 2% 2025‐26 2026‐27 Expense Offset General Fund  Contribution Expense Offset General Fund  Contribution Add 1.00 FTE Communications  Coordinator for Mobility  Services and  Capital  Improvement Projects  (previously a contract position, cost   to be paid by General Fund and  Parking and Transit Enterprise  Funds). 88,410       53,046    35,364              88,410       53,046      35,364             Ongoing Add 1.00 FTE Heavy Equipment  Mechanic for Fleet Services. 94,902       ‐          94,902              94,902       ‐             94,902             Ongoing 183,312     53,046    130,266           183,312     53,046      130,266            SOBC Description One‐Time/  Ongoing Total Financial Plan Page 139 Page 659 of 994 Operating Budget  Public Works  Parking Fund  Fiscal Analysis ‐ Revenue      Parking Fund revenue is proposed to decrease by about $416k or 4% in FY 2025‐26, in line with the  proposed reductions presented in the 2024 Parking Rate Study and additional action taken by Council to  reduce monthly garage permit rates. The intent of the rate reductions is to reduce the financial impact on  the community while maintaining service levels, including funding investments in capital infrastructure.    Fiscal Analysis ‐ Expenditures      Actuals Budget Financial Plan Parking Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Parking Fees 8,458,952       8,188,361       7,786,455       8,613,030        Other Revenue 43103‐Parking  Fines 1,267,232       1,288,000       1,231,100       1,276,500        43104‐Police Issued Parking  Fines (77,202)          (35,800)          ‐                 ‐                  44101‐Interest on Investment 2,085,569       38,000            41,000            61,000             44107‐Investment FMV Adjustment 174,123          ‐                 ‐                 ‐                  44113‐Interest Revenue ‐ Leases 800,295          ‐                 ‐                 ‐                  44204‐Other Rent & Lease R evenue 524,111          475,500          479,600          483,900           44310‐Miscellaneous  Revenue 222                 37,800            37,800            37,800             47003‐Miscellaneous 14,477            ‐                 ‐                 ‐                  Total Revenue 13,247,779     9,991,861       9,575,955       10,472,230      YoY Change ‐25%‐4%9% Actuals Budget Financial Plan Public Works FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 1,053,112   2,111,121         2,199,851   2,292,369    YoY Change 100%4% 4% Other Operating Expenditures 1,820,724   1,847,703         1,750,531   1,756,881    YoY Change 1%‐5% 0% Total 2,873,836   3,958,825         3,950,382   4,049,250    YoY Change 38% 0% 3% Financial Plan Page 140 Page 660 of 994 Operating Budget  Public Works  Parking Fund expenditures are proposed to remain relatively flat in FY 2025‐26, decreasing by $8,443  overall. The Parking Program was able to re‐allocate existing funding within the constrained base budget  to offset identified increases, including inflationary adjustments, maintenance costs, and electric service  increases based on rate increases as well as the new Cultural Arts District Parking Garage coming online  in 2026. In an effort to constrain expenditure growth, non‐staffing costs are 5% below FY 2024‐25 adopted  levels. This was achieved by reducing budgets in line with actuals, particularly with other utility costs  (water, sewer, natural gas), and by reducing credit card merchant fees budget based on an average  percentage of garage and meter revenue. If actual revenue is higher than budgeted, resulting in a  significant increase in credit card merchant fees, then staff will return at Mid‐Year budget review with  proposed budget revisions for Council’s consideration. The proposed budget includes one SOBC which is  funded by the General Fund, Parking Fund and Transit Fund.  The table below reflects the Parking Fund  share of cost for this SOBC.     Significant Operating Budget Changes    2025‐26 2026‐27 Total   Expense Other  Funding  Sources Parking Fund  Contribution Total   Expense  Other  Funding  Sources Parking Fund  Contribution Add 1.00 FTE Communications  Coordinator for Mobility Services and  Capital Improvement projects  (previously a contract position, cost  to be  paid by General Fund and Parking and  Transit Enterprise Funds). 88,410        61,887        26,523            88,410        61,887    26,523            Ongoing SOBC De scription One‐ Time/  Ongoing Financial Plan Page 141 Page 661 of 994 Operating Budget  Public Works  Parking Fund Long‐Term Forecast    The long‐term forecast shows a return to forecasted revenues, following a dip in certain revenues during  FY 2023‐24 and part of FY 2024‐25, as the changes recommended by the Technology Roadmap were  implemented. With the completion of two key projects—the new gated system at 842 Palm Garage and  the new citation management software in Spring 2025—staff expects revenue projections to recover, with  little to no impact on the next fiscal year.  It should be noted that the revenue projections for the "Parking Structures” for the years FY 2025‐26 to  FY 2028‐29 are based on revenue forecasts of the 2024 Parking Rate Study which assume that the new  Cultural Arts Parking Garage will realize similar per space revenue as the other three existing garages once   (A)         Actual      2023‐24   (B)          Budgeted     2024‐25   (C)        Budgeted  2025‐26   (D)      Budgeted  2026‐27   (E)      Projected  2027‐28   (F)      Projected  2028‐29  1 Revenue 2  Charges for Service 3 46401/46402 ‐ Parking Meters 5,927,488     4,312,367        4,312,367     4,312,367     4,312,367     4,312,367      4 46403 ‐ Parking Structures 1,757,776     2,860,504        2,860,504     3,687,079     3,687,079     3,687,079      5 46404 ‐ Long Term Parking 702,797         901,906            500,000         500,000         500,000         500,000          6 46405 ‐ Parking In‐Lieu ‐                       23,824              23,824           23,824           23,824           23,824            7 46406 ‐ City Employee  Parking 70,890           89,760              89,760           89,760           89,760           89,760            8 44204 ‐ Other Re nt & Le ase  Revenue 524,111         475,500            479,600         483,900         504,400         508,900          9 Total  Charges for Service 8,983,063     8,663,861        8,266,055     9,096,930     9,117,430     9,121,930      10 Total  Citations and Fines 1,190,030     1,252,200        1,231,100     1,276,500     1,247,267     1,245,622      11 Total  Other Revenue 3,074,686     75,800              78,800           98,800           108,800         128,800          12 Total  Revenue without Debt Financing 13,247,779   9,991,861        9,575,955     10,472,230   10,473,497   10,496,352    13 Proceeds from Debt F inancing 51,845,000   ‐                         ‐                       ‐                       ‐                       ‐                        14 TOTAL REVENUE 65,092,779   9,991,861        9,575,955     10,472,230   10,473,497   10,496,352    15 EXPENDITURES 16 Total  Salaries and Benefits 1,991,075     2,111,121        2,199,850     2,292,369     2,361,141     2,431,975      17 Total  Contract Services 808,883         662,700            638,380         641,340         660,580         680,398          18 Total  Other Operating Expenditures 1,018,041     1,185,003        1,112,151     1,115,541     1,237,139     1,257,004      19 Total  Operating Expenditures 3,817,999     3,958,824        3,950,381     4,049,250     4,258,859     4,369,376      20 Total  Capital Asset Expenditures 20,701,121   43,437,226      2,146,465     527,292         2,075,000     165,000          21 Total  Debt Service Expenditures 3,016,362     3,827,322        3,696,535     3,593,490     3,589,082     3,590,355      22 Total  Transfers to / from Other Funds 1,387,281     1,632,053        1,720,732     1,931,937     2,010,959     2,093,841      23 TOTAL EXPENDITURES 28,922,763   52,855,425      11,514,112   10,101,969   11,933,900   10,218,572    24 CalPERS Payment (ADP)‐                       61,003              97,543           97,543           97,543           97,543            25 Total  Expenditures (After CalPERS ADP) 28,922,763   52,916,428      11,611,655   10,199,512   12,031,443   10,316,115    26 Working Capital ‐ Beginning 13,813,435   49,983,451      7,119,887     5,181,730     5,551,991     4,091,587      27 Change  in Financial Position 36,170,016   (42,863,564)    (1,938,157)    370,261         (1,460,403)    277,780          28 Working Capital  ‐ Year End 49,983,451   7,119,887        5,181,730     5,551,991     4,091,587     4,369,367      29 Operating Reserve  (20%)1,366,872     1,557,229        1,529,383     1,528,548     1,569,588     1,591,946      30 Assigned for Pension Contributions 61,446           61,446              61,446           61,446           61,446           61,446            31 Unreserved Working Capital Year End 48,555,133   5,501,212        3,590,901     3,961,997     2,460,553     2,715,975      2023‐25 Financial Plan 2025‐27 Financial Plan Financial Plan Page 142 Page 662 of 994 Operating Budget  Public Works  it opens for operation early in calendar year 2026. However, actual occupancy may vary due to factors  such as increased parking demand in that area and decreased demand at other garages. Should demand  for the new garage differ significantly from projections, staff will adjust budgets accordingly through  future financial planning cycles.     Minor reductions in expenses are budgeted to cover the dip in recent revenue caused by technology  issues. Planned upcoming Capital Improvement Plan Projects in this Financial Plan include safety fencing  for the garages, surveillance cameras in the garages, and pay station replacement and expansion. Overall,  projected unreserved working capital remains healthy in the outer years of the forecast which will be  available to support capital needs in the future.  The Long‐Term Forecast table above includes expense for the proposed SOBC.  Financial Plan Page 143 Page 663 of 994 Operating Budget  Public Works  Transit Fund  Fiscal Analysis ‐ Revenue      Transit Fund revenues are projected to decrease by $5.0 million (29%) in FY 2025‐26 due to the budgeting  of a one‐time discretionary grant opportunity in the FY 2024‐25 that was ultimately not awarded. The  decrease in revenue will not affect service delivery. Transit Fund charges for service revenues are  proposed to increase year over year by about $34,000 or 3% as passenger rides are trending up.    Fiscal Analysis ‐ Expenditures     Actuals Budget Financial  Plan Transit Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Fees for service 46601‐Bus Fare 250,790          226,000          260,000          265,200           46602‐Cal Poly Transit Agreement Revenues 750,000          750,000          750,000          750,000           Other Revenue 44101‐Interest on Investment 257,261          ‐                 30,455            30,807             44107‐Investment FMV Adjustment 120,063          ‐                 ‐                 ‐                  45208‐LTF Art 4 Sec 99260 (Discretionary LTF) 496,193          1,992,000       2,000,000       2,024,000        45209‐STA Revenue 717,650          732,000          725,000          725,000           45211‐Other State Grants ‐                 880,000          ‐                 ‐                  45302‐FTA 5307 (Capital)684,498          3,575,985       2,693,785       2,452,006        45303‐FTA 5307 (Preventative Maintenance)‐                 ‐                 210,765          214,980           45304‐FTA 5307 (Operating)‐                 ‐                 2,647,775       3,049,800        45305‐Other Federal Grants 2,802,275       8,893,876       2,701,956       4,845,000        45215‐State of Good Repair (SGR)394,054          9,325              8,722              8,722               47003‐Miscellaneous 2,326              ‐                 ‐                 ‐                  Total Revenue 6,475,111       17,059,186     12,028,458     14,365,515      YoY Change 163%‐29% 19% Actuals Budget Financial Plan Public Works FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 389,893      329,423            387,257      402,488       YoY Change ‐16% 18% 4% Other Operating Expenditures 4,038,661   4,800,103         5,604,933   6,643,309    YoY Change 19% 17% 19% Total 4,428,554   5,129,526         5,992,190   7,045,798    YoY Change 16% 17% 18% Financial Plan Page 144 Page 664 of 994 Operating Budget  Public Works  Transit Fund expenditures are proposed to increase by $862,664 or 17% in FY 2025‐26. The Transit  Program was able to re‐allocate existing funding within the constrained base budget to offset identified  increases, including electric service costs to charge electric buses, fuel budget increases based on current  trends, new state regulatory fees, charging station contract increases and additional advertising support  for ridership promotion. This was achieved by reducing maintenance and other account budgets and  removing some of the one‐time expenses that were in the FY 2024‐25 budget. There is no anticipated  impact from the reduction in maintenance and other operating account budgets; however, if vehicles  experience major failures resulting in higher than budgeted maintenance costs, then staff will return at  Mid‐Year budget review with proposed revisions for Council’s consideration. The proposed budget  includes five SOBCs totaling $861,299 from the Transit Fund in FY 2025‐26, plus one SOBC funded by the  General Fund, Parking Fund and Transit Fund.  The table below reflects the Transit Fund share of cost for  this SOBC, as well as the other Transit Fund SOBCs.   Significant Operating Budget Changes           2025‐26 2026‐27 Total  Expense Other  Funding  Sources Transit Fund  Contribution Total  Expense Other  Funding  Sources Transit Fund  Contribution Add 1.00 FTE Communications  Coordinator for Mobility Services and  Capital  Improvement projects  (previously a contract position, cost  to  be  paid by General  Fund and Parking and  Transit Enterprise  Funds).  88,410        61,887        26,523            88,410        61,887        26,523            Ongoing Funding for increased purchased  transportation contract. 181,773      ‐               181,773          341,514      ‐               341,514          Ongoing Funding for implementation of Short‐ Range  Transit Plan. 581,300      ‐               581,300          1,446,100  ‐               1,446,100      Ongoing Funding for Transit Service and Planning  Software. 50,000        ‐               50,000            50,000        ‐               50,000            Ongoing Funding for Transit Intern (temporary  position, 900 hours). 21,703        ‐               21,703            21,703        ‐               21,703            Ongoing 923,186      61,887        861,299          1,947,727  61,887        1,885,840       SOBC Description One‐ Time/  Ongoing Total Financial Plan Page 145 Page 665 of 994 Operating Budget  Public Works  Long‐Term Forecast    The Transit Fund is able to cover all current and forecasted operating and capital costs with support from  Federal and State funding sources. Operating costs are projected to increase significantly over the next  few years due in large part to the implementation of the Short‐Range Transit Plan service change  recommendations. If changes occur in the reliability of State and Federal funding sources, reductions in  service or increased reliance on fund balance would be required. Staff will continue to seek  reimbursement for the grants awarded and will continue to apply for new grants to fund future capital  projects. The Long‐Term Forecast above includes expenses for the proposed SOBCs.   (A)         Actual       2023‐24   (B)          Budgeted     2024‐25   (C)        Budgeted  2025‐26   (D)      Budgeted  2026‐27   (E)      Projected  2027‐28   (F)      Projected  2028‐29  1 REVENUE 2 Charges for Service 3 46601 ‐ Bus Fare 250,790$        226,000$         260,000$          265,200$           270,504$         275,914$            4 46602 ‐ Cal  Poly Transit Agreement 750,000$        750,000$         750,000$          750,000$           772,500$         795,675$            5 Total Charges for Service 1,000,790$    976,000$         1,010,000$      1,015,200$       1,043,004$     1,071,589$        6 Other Revenue 7 44101 ‐ Interest on Investment 257,261$         ‐$                  30,455$            30,807$             15,604$           19,284$              8 44107 ‐ Investment FMV 120,063$        ‐$                  ‐$                   ‐$                    ‐$                  ‐$                     9 44310 ‐ Miscellaneous Revenue ‐$                 ‐$                  ‐$                   ‐$                    ‐$                  ‐$                     10 45208 ‐ TDA Revenue 496,193$        1,992,000$     2,000,000$      2,024,000$       2,048,300$     2,072,900$        11 45209 ‐ STA Revenue 717,650$        732,000$         725,000$          725,000$           725,000$         739,500$            12 45215 ‐ State of Good Repair (SGR)394,054$        9,325$              8,722$              8,722$               8,722$              8,700$                13 45211 ‐ Other State Grants ‐$                 880,000$         ‐$                   ‐$                    ‐$                  ‐$                     14 45216 ‐ Low  Carbon Operation Revenue ‐$                 ‐$                  ‐$                   ‐$                    ‐$                  ‐$                     15 45302 ‐ FTA 5307 (Capital)684,498$        3,575,985$     2,693,785$      2,452,006$       1,803,083$     1,744,077$        16 45303 ‐ FTA 5307 (Preventative Maint.)‐$                 ‐$                  210,765$          214,980$           219,280$         223,700$            17 45304 ‐ FTA 5307 (Operating)‐$                 ‐$                  2,647,775$      3,049,800$       3,443,400$     3,554,000$        18 45305 ‐ Other Federal  Grants 2,802,275$    8,893,876$     2,701,956$      4,845,000$       2,400,000$     ‐$                     19 45402 ‐ Other Grants/Subventions ‐$                 ‐$                  ‐$                   ‐$                    ‐$                  ‐$                     20 47003 ‐ Other Revenue 2,326$            ‐$                  ‐$                   ‐$                    ‐$                  ‐$                     21 Total Other Revenue 5,474,321$    16,083,186$   11,018,458$    13,350,315$     10,663,389$   8,362,161$        22 Total  Revenue  6,475,111$    17,059,186$   12,028,458$    14,365,515$     11,706,393$   9,433,750$        23 EXPENDITURES 24  Total Salaries and Benefits 389,893$        330,949$         387,257$          402,488$           416,673$         429,174$            25 61011 ‐ Maintenance 270,443$        332,500$         382,180$          346,615$           357,013$         367,724$            26 61013 ‐ Other Contract Services 297,705$        161,600$         72,100$            72,100$             74,263$           76,491$              27 61016 ‐ Purchased Transportation 3,006,116$    3,800,293$     4,481,353$      5,580,494$       5,747,909$     5,920,346$        28 62504 ‐ Fuel 406,007$        365,000$         440,000$          420,000$           420,000$         420,000$            29 Total  Contract Services 3,980,271$    4,659,393$     5,375,633$      6,419,209$       6,599,185$     6,784,561$        30 Total  Other Operating Expenditures 58,390$          140,710$         229,300$          224,100$           230,823$         237,748$            31 Total  Operating Expenditures 4,428,554$    5,131,052$     5,992,190$      7,045,797$       7,246,682$     7,451,482$        32 Total  Capital Asset Expenditures 1,668,368$    11,630,541$   3,155,719$      6,699,292$       3,167,961$     107,541$            33 Total  Transfers to / from Other Funds 463,491$        460,609$         467,804$          491,194$           515,754$         541,542$            34 Total Expenditures 6,560,413$    17,222,202$   9,615,713$      14,236,283$     10,930,396$   8,100,565$        37 Working Capital ‐ Beginning 2,236,399$    2,151,097$     1,988,081$      4,400,826$       4,530,058$     5,306,056$        38 Change in Financial Position (85,302)$        (163,016)$       2,412,745$      129,232$           775,997$         1,333,185$        39 Working Capital ‐ Year End 2,151,097$    1,988,081$     4,400,826$      4,530,058$       5,306,056$     6,639,240$        40 Operating Reserve  (20%)885,711$        1,026,210$     1,198,438$      1,409,159$       1,449,336$     1,490,296$        41 Unreserved Working Capital Year End 1,265,386$    961,870$         3,202,388$      3,120,899$       3,856,719$     5,148,944$        2023‐25 Financial Plan 2025‐27 Financial Plan Financial Plan Page 146 Page 666 of 994 Operating Budget  Public Works  Department Programs   Financial Plan Page 147 Page 667 of 994 Operating Budget  Public Works      Opportunities and Challenges  The Public Works Department faces new and recurring challenges as it strives to meet community needs  and expectations. In the face of budget constraints and a growing asset inventory, the department will  leverage opportunities to deliver the highest level of service to the community within available resources.     The Engineering Division is managing the delivery of several major projects over the next two years,  including the Righetti Ranch Community Park, the Cultural Arts District Parking Structure, the Higuera  Complete Streets Project, and Mission Plaza enhancements, all while fostering and building knowledge,  skills and abilities in its team.      The Mobility Services Division continues to facilitate and promote sustainable transportation solutions  and leverage technology to make the parking experience easy, convenient, and accessible to all users. The  completion of the Cultural Arts District Parking Structure early in calendar year 2026 will immediately add  about 400 new spaces to the west end of the downtown core. Ridership growth and proposed service  enhancements in the Short‐Range Transit Plan (SRTP) are key opportunities identified by the public for  Transit. In response, the department has submitted SOBCs to account for increased purchased  transportation costs (currently provided via a bus service contract with TransDev), to augment service  levels in line with the SRTP, and to fund transit service planning software to more effectively serve riders.  Financial Plan Page 148 Page 668 of 994 Operating Budget  Public Works    The Maintenance Division is committed to maintaining the City’s assets under their purview efficiently  and effectively while reducing one‐time capital costs through preventative maintenance.  The  Maintenance Division’s operating programs are leveraging their resources to maintain service levels, while  managing an increased number of assets.  Additionally, the Maintenance Division is helping advance the  City’s climate goals through major facility energy efficiency upgrades, fleet electrification, and the  expansion of charging infrastructure.    The department is experiencing a period of service and asset growth and progress, driven by the success  of the Ask SLO resident response platform, the expansion of parks and other community amenities, and  the advancement of complex capital improvement projects. As infrastructure and service needs evolve,  the department remains focused on recruiting and retaining skilled staff to sustain high‐quality  operations. By strategically managing resources and optimizing budget allocations, the department  continues to enhance services and meet the community's needs effectively.    The department will continue to prioritize communication to build community trust as progress advances  on CIP projects and new services and technologies are implemented in the Mobility Services Division. To  this end, it has submitted an SOBC for the conversion of a contract Mobility Services Communications  Coordinator to a regular full‐time position that will also support CIP related communications.    As operating budgets tighten, the department remains optimistic that despite its lean budget, it will  continue to meet community expectations, notwithstanding any major emergencies or disasters.      Major City Goal Contributions  The department supports Major City Goals through cultural vitality, infrastructure and sustainable  transportation, and resilience initiatives. Public Works will help stimulate cultural vitality in the downtown  area through enhancements to the Mission Plaza and the forecasted completion of the new Cultural Arts  District Parking Structure in coordination with SLO REP. Likewise, the department will oversee the  development of new and upgraded park infrastructure; street safety and connectivity improvements in  line with Vision Zero and the Active Transportation Plan; and long‐term planning efforts to support future  growth and development, with projects like the Prado Bridge Widening, the Prado Interchange,  broadband infrastructure development and the expansion of mass transportation and public transit. With  the completion of the Mid‐Higuera Bypass project, improvements to flood resiliency will reduce the  impacts of storm‐related damage.     Diversity, Equity and Inclusion  o Continue the implementation of the Broadband Plan, including building grant funded  infrastructure.   Cultural Vitality, Economic Resilience, and Fiscal Sustainability  o Finalize a Community Work Force Agreement to support future construction work for the  Prado Interchange and Public Safety Center projects.  Financial Plan Page 149 Page 669 of 994 Operating Budget  Public Works  o Complete the construction of the Mission Plaza Project to enhance the experience of the  plaza and downtown.  o Complete the construction of the Cultural Arts District Parking Structure.  o Support SLO REP in beginning construction of the new theatre and manage the City’s  Lease and Grant Agreements to help promote a successful public opening.   Infrastructure and Sustainable Transportation   o Start construction of the 2025 Arterials Paving project which could include streets such as  Sacramento Dr, Tank Farm, and Calle Joaquin depending on available funding.  o Start construction of the 2026 Roadway Sealing Project in Pavement Areas 2 & 3.  o Start Construction of South/King Traffic Crossing Improvement.  o Start Construction of California/Taft Roundabout.  o Start Construction of Higuera Complete Streets Project.  o Complete South Broad St. Corridor Plan and initiate Demonstration Project.  o Complete public outreach and concept design for Foothill Complete Streets.  o Promote Roll and Stroll Education Campaign.  o Bring Final Recommendation for Grand Avenue to Council to be implemented with the  2027 Paving Project.  o Finalize Design Plans for Construction of the Prado Bridge Widening Project.  o Complete Prado Interchange Final Value Engineering Report and Council Update.  o Start Construction of Righetti Ranch Park (Phase 1).  o Start Construction of Devaul Ranch Playground Replacement Project.  o Advertise for construction bids for the Emerson Park Replacement Project.  o Execute new SLO Transit Operations and Maintenance Agreement.  o Reinstate transit services to pre‐pandemic levels.  o Increase route frequency and reduce headways consistent with recommendations of the  2025 Short Range Transit Plan.  o Provide transit service to San Luis Ranch and Avila Ranch neighborhoods.  o Expand and promote the Downtown Access Pass (DAP) program.   Open Space, Climate Action, and Resilience  o Complete publicly accessible EV charging projects at the Cultural Arts District Parking  Structure.  o Conduct a year‐long campaign to connect employees to low emissions commute options  (LBE)  o Complete Construction of the Mid‐Higuera Bypass Project    2025‐27 Department Goals  The department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  Financial Plan Page 150 Page 670 of 994 Operating Budget  Public Works  Invest in critical infrastructure with the focus of delivering legacy projects to the community, including the  Cultural Arts District Parking Garage, the Mission Plaza Enhancements Project, Prado Road Creek Bridge,  Prado Road Interchange and the Public Safety Center replacement.     Provide core services to the community with particular focus on Enhanced Downtown Maintenance and  providing maintenance services for recently constructed development projects that are ready to be  assumed into the City’s inventory for maintenance. Continue to use Ask SLO as a tool to respond to  community needs.     Support efforts by the Finance Department to maximize federal and state reimbursement of City funds  for response to the 2023 storms. Continue focusing on Emergency Preparedness, responses to future  storms, and ongoing recovery efforts from the 2023 storms that are now programed in the City’s CIP.   Implement sustainable transportation objectives from the Short‐Range Transit Plan and the Active  Transportation Plan including increasing frequency and service of transit, as well as trail, pedestrian, and  bicycle improvements and street enhancements to uphold traffic safety.     Increase department’s public engagement, marketing, education and noticing through purposeful, multi‐ channel outreach efforts to advance the City’s Major City Goals.    Support and prioritize employee development and growth by investing time in the training, development  and onboarding of new and transitioning employees. Develop an implementation plan for the Employee  Engagement Survey feedback focused on training and onboarding.     Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate departmental performance in meeting San Luis Obispo’s goals and objectives.  Financial Plan Page 151 Page 671 of 994 Operating Budget  Public Works      2023-24 Actual 2024-25 Projected 2025-26 Target 2026-27 Target Measure: Pavement Condition Index 73 73 70 70 Measure: Bicycle netw ork in total miles (Class I/II/III/IV) 14.6/31.0/ 25.1/2.8 14.6/31.0/2 4.9/3.0 14.6/28.6/2 4.9/5.4 14.6/26.2/ 26.9/7.8 Measure: Street miles maintained 143 144 144 144 Measure: Citywide fatal and severe injury crashes (latest annual total/5-year running average)20 / 19.6 18 / 17.6 16 / 15.9 15 / 14.3 Objective: Enhance safe and efficient transportation Strategic Goal: Proactively enhance safety by providing a system of safe, reliable and well-maintained roadways, sidewalks, traffic signals and streetlights Notes: PCI tends to hover around 73, but the staff target is a minimum PCI of 70. Notes:Based on projects already funded and on schedule for construction in these years and projects anticipated to be funded in 2025-27 Financial Plan based on Draft CIP as of March 2025. Notes:FY 2023-24 values based on the latest availble collision data set (2019-2023). Projected values for FY 2024-25 and future years are estimated based on an 10% reduction achieved per year. Notes: About 1 mi will be added with Avila Ranch Phase 1 Measure: Annual SLO Transit ridership 575,255 625,000 663,900 734,182 Notes: FY 2024-25 based on actual ridership through first 6 months of fiscal year. FY 2025-26 and FY 2026-27 targets are based on the draft Short-Range Transit Plan projections. Objective: Encourage sustainable transportation Strategic Goal: Implement sustainable transportation objectives from the Short-Range Transit Plan and the Active Transportation Plan including increasing frequency and service of transit, as well as trail, pedestrian, and bicycle improvements and street enhancements to uphold traffic safety. Financial Plan Page 152 Page 672 of 994 Operating Budget  Public Works        2023-24 Actual 2024-25 Projected 2025-26 Target 2026-27 Target Measure:Public Works Maintenance Division Ask SLO requests addressed 1,571 1,660 1,660 1,660 Measure: # of trees maintained 13,429 13,479 13,579 13,679 Notes: The urban forest number of managed trees has been aligned with the Public Works Maintenance Division scope of services. Many trees in the City's open space have been removed from the Urban Forest Services maintenance metrics as these trees are maintained by the Parks and Recreation Department's Ranger Services Program. The program will target 100 new tree plantings annually with young tree care provided by volunteers or community partners. Notes: Projected FY 2024-25 value is based on average daily volume of Maintenance requests. This number is challenging to forecast, but is not expected to decrease as increasing numbers of residents use Ask SLO. Objective: Effectively manage City assets Strategic Goal: Provide core services to the community with particular focus on Enhanced Dow ntown Maintenance and providing maintenance services for recently constructed development projects that are ready to be assumed into the City’s inventory for maintenance; continue to use Ask SLO as a tool to respond to community needs. Financial Plan Page 153 Page 673 of 994 Operating Budget Utilities  UTILITIES DEPARTMENT  Mission Statement  Ensuring safe, reliable, and essential utilities service.  About the Department  The Utilities Department provides water and wastewater services to the City of San Luis Obispo and is  responsible for the administration, billing, customer service, operation, maintenance, design, inspection,  and construction of the City's water and wastewater‐related infrastructure. Additionally, the department  also manages the City’s Solid Waste and Recycling Program and administers the City’s stormwater  compliance program.   As a part of these services, the Utilities Department manages two Enterprise Funds (Water and Sewer),  an Agency Fund (Whale Rock), and the Solid Waste and Recycling and Stormwater programs, which are  accounted for within the City’s General Fund.  The Solid Waste and Recycling budget is supported by AB  939 and Franchise Fee funding, both of which are restricted to waste diversion activities. The Whale Rock  Fund is managed by the City, but under the governance of the Whale Rock Commission, which is  comprised of the City of San Luis Obispo, California Polytechnic State University (Cal Poly), and California  Men’s Colony (CMC) representatives. The City’s portion of staffing and operational expenses and capital  project contributions for Whale Rock operations are budgeted within the Water Fund’s Source of Supply  budget. The Department is responsible for ensuring the financial sustainability and regulatory compliance  of all of these operations, optimizing resource allocation, and supporting long‐term infrastructure  planning for utilities services.   Budget at a Glance (All Funds)  Actuals Budget Financial Plan Utilities FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 12,775,184 13,784,332       14,143,565 14,749,345  YoY Change 8% 3% 4% Other Operating Expenditures 18,204,739 21,783,645       26,826,287 22,986,577  YoY Change 20% 23%‐14% Total 30,979,923 35,567,978       40,969,852 37,735,922  YoY Change 15% 15%‐8% Financial Plan Page 154 Page 674 of 994 Operating Budget  Utilities  General Fund Summary  Fiscal Analysis    The Utilities Department oversees the Solid Waste and Recycling and Stormwater budgets, which are  managed within the City’s General Fund. During the 2025‐27 Financial Plan, staffing budgets remain fairly  consistent with slight changes due to standard staffing changes such as retirements, anticipated salary  raises, and retirement and Medicare contributions. Operating Expenditures significantly decrease in FY  2025‐26 due to the City’s Stormwater and Flood Control operations being separated out during the next  financial plan. Flood control operations are managed by the City’s Public Works department.     Significant Operating Budget Changes  No significant operating budget changes are recommended within the General Fund.    Water and Sewer Enterprise Funds  As Enterprise Funds, the City’s Water and Sewer Funds are primarily supported by revenue collected  from water and sewer rates. Therefore, the City’s Water and Sewer Funds are not expected to  experience the same constraints over this next Financial Plan as the City’s General Fund. To ensure the  continued delivery of safe and reliable water and sewer services for years to come, it is crucial that these  funds continue to make strategic investments in operations, maintenance, and capital improvements. To  meet these needs, significant operating budget changes (SOBCs) have been proposed and incorporated  into the Water and Sewer Fund budgets. Consequently, these funds do not have flat non‐staffing  operating budgets. Ongoing investments in equipment, infrastructure, and regulatory compliance are  essential to maintaining the community’s water and sewer systems and supporting long‐term  operational and financial sustainability.             Actuals Budget Financial  Plan Utilities FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 1,200,977   1,198,178         1,182,122   1,232,122    YoY Change 0%‐1% 4% Other Operating Expenditures 451,330      410,749            199,541      198,090       YoY Change ‐9%‐51%‐1% Total 1,652,306   1,608,927         1,381,663   1,430,212    YoY Change ‐3%‐14% 4% Financial Plan Page 155 Page 675 of 994 Operating Budget  Utilities  Water Fund Summary  Fiscal Analysis ‐ Revenue   The increase between FY 2024‐25 and 2025‐26 and then decrease between FY 2025‐26 and 2026‐27 is  primarily due to a majority of Prop 1B grant revenues for a groundwater project being anticipated to be  received during FY 2025‐26. Water Sales and Base Charges are also anticipated to increase with proposed  rate increases during both FY 2025‐26 and 2026‐27, as well as a slight increase in projected customer  growth. FY 2023‐24 actuals appear higher than the FY 2024‐25 budget, as investment interest revenue is  budgeted conservatively to remain fiscally responsible due to potential market variability. Lastly, revenue  for miscellaneous penalties (customer late charges) and credit collections have been adjusted to better  reflect historical actuals.  Fiscal Analysis ‐ Expenditures    Overall, the Water Fund staffing and operating budgets will have a significant increase during FY 2025‐26  due to the City’s contributions for operations, maintenance, and capital projects for the City's three  surface water reservoirs, budgeted for under the Water Source of Supply budget. Because the expenses  for capital projects are included, operating expenditures for the City’s Water Source of Supply budget can  Actuals Budget Financial  Plan Water Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Water Sales & Base Charges 26,356,629     28,428,148     30,057,771     31,884,916      YoY Change 8%6%6% Other Revenue 42112‐Other City Licenses & Permits 41,580            ‐                 25,000            ‐                  43201‐Miscellaneous  Penalties 129,728          118,000          130,000          130,000           44101‐Interest on Investment 1,207,560       50,000            50,000            50,000             44107‐Investment FMV Adjustment 551,555          ‐                 ‐                 ‐                  44305‐Damage to City Property 32,475            ‐                 ‐                 ‐                  44306‐Credit Collections 7,331              14,000            5,000              5,000               44310‐Miscellaneous  Revenue 58,849            20,000            20,000            20,000             45204‐Prop 1B Revenue ‐                 ‐                 4,095,680       62,606             45211‐Other State Grants 752,267          ‐                 ‐                 ‐                  46102‐Development Review Fees 34,943            26,000            26,000            26,000             47003‐Miscellaneous 46,005            ‐                 ‐                 ‐                  Total Revenue 29,218,924     28,656,148     34,409,451     32,178,522      YoY Change ‐2% 20%‐6% Actuals Budget Financial Plan Utilities FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 5,429,211   5,957,659         6,214,757   6,499,929    YoY Change 10% 4% 5% Other Operating Expenditures 12,711,934 16,446,611       20,859,920 17,203,984  YoY Change 29% 27%‐18% Total 18,141,145 22,404,271       27,074,677 23,703,912  YoY Change 23% 21%‐12% Financial Plan Page 156 Page 676 of 994 Operating Budget  Utilities  vary significantly from year to year. Overall, 88% of the increase in total expenditures between FY 2024‐ 25 to FY 2025‐26 can be attributed to increases in the City’s contribution for capital projects for the three  reservoirs with the majority of the increase related to the Salinas Dam Access Road Repair project.  Although the County of San Luis Obispo manages the Salinas Reservoir, the City is the only utility that  receives water from the reservoir and therefore, must pay for the project. However, the project is  expected to be reimbursable by FEMA/CalOES which would cover 93.75% of the project total making the  net cost to the City $250,000. Should reimbursement for the project not be received, Staff would have to  re‐evaluate the Water Fund Capital Improvement Plan and likely recommend deferral of other planned  projects. Staffing costs for the Water Fund increase to accommodate anticipated staffing and benefit  increases. Significant funding request changes for the Water Fund, including those for additional staffing  changes and the Salinas Dam Road Repair project, are included in the table below.  Financial Plan Page 157 Page 677 of 994 Operating Budget  Utilities  Significant Operating Budget Changes   Financial Plan Page 158 Page 678 of 994 Operating Budget  Utilities    Long‐term Forecast     Water Fund Five‐Year Forecast  (In Thousands) (A) Actual 2023‐24 (B) Budgeted 2024‐25  (C) Financial Plan 2025‐26   (D) Financial Plan 2026‐27   (E) Projected 2027‐28   (F) Projected 2028‐29  1 Revenues 2 46102‐Development Review Fees 34,943$                  26,000$                  26,000$                  26,000$                  26,000$          26,000$                   3 46701‐Sales to Cal Poly 1,203,461$             1,183,946$             1,249,069$             1,317,761$             1,383,649$     1,452,832$              4 46702, 46714, 46715, 46716, 46717, 46718,  and 46719 ‐Water Sales 16,886,267$          19,045,319$          18,980,886$          20,185,033$          21,363,839$   22,611,488$           5 46703‐Utilities Base Charges 6,989,566$             6,711,653$             8,448,140$             8,984,090$             9,508,761$     10,064,072$           6 46704‐Reclaimed Water Sales 1,009,031$             1,161,104$             1,052,820$             1,061,243$             1,114,305$     1,170,020$              7 46708‐Utilities Setup Fees 194,009$                261,694$                160,000$                160,000$                160,000$        160,000$                 8 46709‐Other Utilities Charges ‐$                         ‐$                         ‐$                         ‐$                         ‐$                 ‐$                         9 46712‐Low Income Subsidy (20,474)$                 (100,000)$              (100,000)$              (100,000)$              (100,000)$       (100,000)$               10 46713‐Cal Poly Capacity & Resilience 233,025$                263,433$                266,856$                276,789$                286,315$        296,317$                 11 46799‐COVID Rate Relief Program (138,255)$               ‐$                         ‐$                         ‐$                         ‐$                 ‐$                         12 Total Charges for Services 26,391,572$          28,553,148$          30,083,771$          31,910,916$          33,742,869$  35,680,729$           13 Total Other Revenue1 3,026,221$            3,333,734$            4,325,680$            4,017,606$            9,435,000$     205,000$                 14 Total Impact Fees2 2,643,232$            800,000$                800,000$                800,000$                800,000$        800,000$                 15 Total Revenue 32,061,026$          32,686,882$          35,209,451$          36,728,522$          43,977,869$  36,685,729$           16 Expenditures 17 Total Salaries and Benefits 5,264,371$            5,953,053$            6,214,757$            6,499,929$            6,845,210$     7,051,690$             18 CalPERS Additional Discretionary Payment 164,840.00$          245,418.0$            164,840$                164,840$                164,840$        164,840$                 19 Total Operating 12,711,934$          16,713,083$          20,859,920$          17,203,984$          17,759,293$  16,122,438$           20 Total Capital Asset Expenditures 8,189,987$            24,006,057$          8,265,632$            5,029,168$            11,742,428$  5,970,519$             21 Total Debt Service Expenditures3 1,742,901$            1,868,807$            1,865,911$            1,855,405$            1,854,858$     2,453,348$             22 Total General Government Expenditures 2,918,361$            2,947,417$            2,819,038$            2,959,990$            3,107,989$     3,263,389$             23 Total Expenditures 30,992,394$          51,733,835$          40,025,257$          33,548,475$          41,474,618$  35,026,223$           24 Change in Financial Position 25 Working Capital ‐ Beginning 40,261,007$          43,032,553$          22,282,686$          17,267,955$          20,255,767$   22,759,019$           26 Net Revenues  (Revenues minus Expenditures)1,068,632$             (19,046,953)$         (4,815,806)$           3,180,046$             2,503,252$     1,659,507$              27 Working Capital ‐ Year End 43,032,553$          22,282,686$          17,267,955$          20,255,767$          22,759,019$   24,368,526$           28 Operating Reserve (20%) 4,560,481$             5,545,556$             6,391,710$             5,742,308$             5,946,438$     5,811,141$              29 Rate Stabilization (10%) 2,608,832$             2,810,202$             2,973,092$             3,154,813$             3,337,055$     3,529,841$              30 Other Reserves4 175,656$                175,656$                175,656$                175,656$                175,656$        175,656$                 31 Unreserved Working Capital ‐ Year End 35,687,583$          13,751,272$          7,727,498$            11,182,990$          13,299,870$  14,851,888$           NOTES AS NECESSARY 1 Other revenue includes grant revenue and long‐term debt proceeds. Grant proceeds for the Prop 1B Groundwater project are included in FY 26 and FY 27; anticipated  FEMA reimbursements for the Salinas Dam Access Road repairs are included in FY 27; debt proceeds for a 30" pipeline replacement on Santa Rosa is included in FY 28; and  debt proceeeds for the T3 Water Storage Tank Replacement are included in FY 30. 2 Transfers occur after the close of the fiscal year. Amount shown for FY 24 are for the fees collected during FY 24, but were transferred during FY 25. 3 The City's contributions to Nacimiento debt payments are budgeted for as an Operating Expenditure within the Water Source of Supply budget. 4 Includes CalPERS Unfunded Liability Payment. Financial Plan Page 159 Page 679 of 994 Operating Budget  Utilities  The forecast above reflects the Water Fund’s anticipated financial position, including Significant Operating  Budget Changes. To address nationwide cost increases and upcoming capital improvement projects that  drive water rate increases, the Department has been focusing on an approach to supplement ratepayer  funds through the utilization of grant funding. Over the past seven years, the Water Fund has secured  over $14.5 million in grants and alternative funding and has recently applied for an additional $2 million  for projects that improve resiliency for the community while also decreasing long‐term operating costs.  The Water Treatment Plant Tesla Battery Pack and the Groundwater Contamination Remediation Project  were both grant‐funded and provide long‐term operational cost decreases by reducing electricity usage  and allowing for electricity to be utilized during off‐peak periods for treatment operations. These projects,  amongst others, focus on utilizing alternative funding sources to stabilize or decrease costs that otherwise  would drive additional annual rate increases.    In addition to these measures, the Department has been exploring opportunities to sell surplus water  supplies that the City is unable to use each year pursuant to policy 1.13.2 of the Land Use Element of the  City’s General Plan.  Surplus water sales programs include the potential to sell surplus recycled water and  surplus non‐potable water from Nacimiento Lake.  These water sales programs could result in additional  revenue for the Department without compromising long‐term water supply sustainability.  However,  because surplus water sales have not been negotiated and significant additional work is required to  finalize any such agreements, the forecast does not include any projected revenue from potential sales.    Sewer Fund  Fiscal Analysis ‐ Revenue      Actuals Budget Financial  Plan Sewer Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Service Charges 20,196,460     20,596,900     21,558,825     23,110,050      YoY Change 2%5%7% Other Revenue 43201‐Miscellaneous  Penalties 129,729          118,000          130,000          130,000           44301‐Sale of  Surplus  Property 2,803              ‐                 ‐                 ‐                  43303‐Administrative Citations ‐ Utilties 3,291              ‐                 ‐                 ‐                  44101‐Interest on Investment 1,768,426       50,000            50,000            50,000             44107‐Investment FMV Adjustment 824,227          ‐                 ‐                 ‐                  44305‐Damage to City Property 783                 ‐                 ‐                 ‐                  44306‐Credit Collections 7,331              14,000            5,000              5,000               44310‐Miscellaneous  Revenue 756                 20,000            25,000            25,000             45211‐Other State Grants 895,814          ‐                 ‐                 ‐                  45402‐Other Grants/Subventions 20,183            ‐                 ‐                 ‐                  47003‐Miscellaneous 42,151            ‐                 ‐                 ‐                  Total Revenue 23,891,953     20,798,900     21,768,825     23,320,050      YoY Change ‐13%5%7% Financial Plan Page 160 Page 680 of 994 Operating Budget  Utilities  Similar to the Water Fund, the decrease in sewer revenue between FY 2024‐25 actuals and 2025‐26  budgeted values is mostly attributed to investment interest revenue being budgeted conservatively to  remain fiscally cautious due to potential market volatility. FY 2023‐24 also included grant revenue for the  Water Resource Recovery Facility (WRRF) project that was not included in the FY 2024‐25 budget, as the  project was anticipated to be completed before FY 2024‐25. During both FY 2025‐26 and 2026‐27, Sewer  Service Charges are anticipated to increase with proposed rate increases, as well as due to a slight increase  in projected customer growth. Rate increases were higher than anticipated for the next two years due  primarily to a significant loss in revenue from sales to California Polytechnic State University (Cal Poly).  This is discussed more under the Sewer Fund’s Long Term Forecast section. Lastly, revenue for  miscellaneous penalties (customer late charges) and credit collections have been adjusted to better  reflect historical actuals.   Fiscal Analysis ‐ Expenditures   Overall, the Sewer Funds’ staffing and operating expenditures increased 8% in FY 2025‐26 compared to  FY 2024‐25 and then stabilized for FY 2026‐27 with a slight decrease for FY 2026‐27 compared to FY 2025‐ 26. The majority of the increased expenditure costs in FY 2025‐26 are attributed to additional funding to  support the City’s new Water Resource Recovery Facility (WRRF). These include funding needs for  regulatory compliance, such as the one‐time request for funding to conduct a Local Limits Study required  by the Regional Water Quality Control Board (RWQCB) and Environmental Protection Agency (EPA) to  establish new wastewater discharge limits for industrial users based on the updated WRRF treatment  capacity and modified discharge permit limits. Additional funding includes new plant needs arising from  the facility’s upgraded infrastructure, increased electrical usage, specialized maintenance, chemical  requirements, instrumentation costs, as well as one‐time requests for additional legal service funding to  navigate complex regulatory challenges. Regulatory fees and compliance costs have also increased due to  new permit requirements and stricter environmental monitoring and funding for additional biosolids  disposal due to increased biosolids production and increased costs for transportation and third‐party  treatment. The primary driver for upgrading and reconfiguring the facility was new State‐mandated  regulatory requirements. Significant funding request changes, including those for the additional WRRF  expenses, are included in the table below.  Actuals Budget Financial  Plan Utilities FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 5,467,874   5,910,888         6,015,856   6,270,139    YoY Change 8% 2% 4% Other Operating Expenditures 3,941,034   4,015,570         4,746,764   4,571,635    YoY Change 2% 18%‐4% Total 9,408,908   9,926,458         10,762,621 10,841,774  YoY Change 6% 8% 1% Financial Plan Page 161 Page 681 of 994 Operating Budget  Utilities  Significant Operating Budget Changes                    2025‐26 2026‐27 Total  Expense Other  Funding  Sources Sewer Fund  Contribution Total   Expense   Other  Funding  Sources Sewer Fund  Contribution 1 Funding for customer facing improvements to  office area. 20,500       10,250    10,250            ‐              ‐          ‐                  One ‐Time 2 Funding for Water and Wastewater Rate  Study  and Restructure Study.* 85,000       42,500    42,500           ‐              ‐          ‐                  One ‐Time 3 Funding for a Local  Limits  Study.130,000     ‐          130,000         ‐              ‐          ‐                  One ‐Time 4Add 1.00 regular full‐time  FTE Utilities  Engineering Technician. 117,662     58,831    58,831           118,468    59,234    59,234           Ongoing 5Add 0.25 FTE Utility Billing Assistant (increase  0.75 FTE  position to full‐time). 18,282       9,141      9,141              19,055      9,527      9,528             Ongoing 6 Funding for contract position to support  Cityworks integration in FY 2026‐27. ‐               ‐          ‐                  139,197    69,599    69,598           One‐Time 7 Funding for Wastewater Intern.65,055       ‐          65,055           67,806      ‐          67,806           Ongoing 8 Funding for Wastewater legal services to  support implementation of regulatory changes  in wastewater division programs. 60,000       ‐          60,000           35,000      ‐          35,000           One‐Time 9 Funding for Sewer Fund strategic staffing plan.‐               ‐          ‐                  27,000      ‐          27,000           One‐Time 10 Funding for Water Distribution and  Wastewater Collections staff training to obtain  commercial  driver's licenses.  20,000       10,000    10,000           20,000      10,000    10,000           Ongoing 11 Funding for increased biosolids hauling and  disposal services at the  Water Resource  and  Recovery Facility. 276,630     ‐          276,630         301,630    ‐          301,630         Ongoing 12 Funding for modified Water Resource   Recovery Facility program updates.** 252,000     ‐          252,000         245,700    ‐          245,700         Ongoing 13 Funding for increased Water Resource   Recovery Facility regulatory requirements and  permits. 44,450       ‐          44,450           25,428      ‐          25,428           Ongoing 14 Funding for consultant expense to conduct an  impact fee and infrastructure finance program  analysis and impact fee study update. 30,000       ‐          30,000           ‐              ‐          ‐                  Ongoing 15 1,119,579 130,722 988,857         999,284    148,360 850,924          ID SOBC Description One‐Time/  Ongoing Financial Plan Page 162 Page 682 of 994 Operating Budget  Utilities  Long‐Term Forecast      The Sewer Fund’s Long Term Forecast reflects the anticipated financial position, including recommended  Significant Operating Budget Changes and proposed rate increases of 6.5% for both FY 2025‐26 and 2026‐ 27. A key driver for the higher‐than‐anticipated rate increases is the significant decrease in anticipated  sewer revenue from California Polytechnic State University (Cal Poly). The University is building a new  wastewater treatment facility on campus and will begin treating a significant portion of its wastewater.  Projected revenues are based on the projected flows provided by the University.     Sewer  Fund Five‐Year Forecast  (In Thousands) (A) Actual 2023‐24 (B) Budgeted 2024‐25  (C) Financial Plan 2025‐26   (D) Financial Plan 2026‐27   (E) Projected 2027‐28   (F) Projected 2028‐29  1 Revenues 2 46102‐Development Review Fees 30,640$            26,000$              26,000$             26,000$             26,000$             26,000$              3 46701‐ Sales to Cal Poly1 1,279,919$       1,246,313$        367,053$           407,572$           340,578$           326,609$            4 46703‐ Utilities Base Charges 5,523,236$       5,208,612$        6,244,610$        6,703,713$        7,196,570$        7,725,662$         5 46705, 46720, 46721, and 46722‐ Sewer  Service Charges 13,090,223$     13,835,916$      14,303,628$     15,355,231$      16,484,148$     17,696,062$       6 46708 ‐ Utilities Setup Fees 198,146$          60,000$              160,000$           160,000$           160,000$           160,000$            7 46709‐ Other Utilities Charges ‐$                   1,000$                 ‐$                    ‐$                     ‐$                    ‐$                     8 46712‐Low Income Subsidy (16,464)$           (100,000)$          (100,000)$         (100,000)$          (100,000)$         (100,000)$           9 46713‐ Cal Poly Capacity & Resilience ‐$                   472,534$           472,534$           472,534$           472,534$           472,534$            10 Total Charges for Services 20,105,699$    20,750,375$      21,473,825$     23,025,050$     24,579,830$     26,306,867$      11 Total Other Revenue2 19,139,782$    15,287,000$      295,000$           295,000$           295,000$           295,000$            12 Total Impact Fees3 943,559$          600,000$           600,000$           600,000$           600,000$           600,000$            13 Total Revenue 40,189,041$    36,637,375$      22,368,825$     23,920,050$     25,474,830$     27,201,867$      14 Expenditures 15 Total Salaries and Benefits 5,298,455$       6,208,914$        6,015,856$       6,270,139$        6,539,419$       6,735,602$         16 CalPERS Additional Discretionary Payment 169,419$          250,875$           169,419$           169,419$           169,419$           169,419$            17 Total Operating 3,941,034$       4,220,747$        4,746,764$       4,571,635$        4,684,170$       4,840,412$         18 Total Capital Asset Expenditures 20,049,934$    37,877,750$      8,033,141$       6,877,168$        4,142,524$       4,566,041$         19 Total Debt Service Expenditures 6,141,209$       7,005,933$        7,098,607$       7,090,097$        7,088,453$       7,086,939$         20 Total General Government Expenditures 3,104,155$       3,290,250$        3,140,155$       3,297,163$        3,462,021$       3,635,122$         21 Total Expenditures 38,704,207$    58,603,595$      29,034,523$     28,106,202$     26,086,006$     27,033,535$      22 Change in Financial Position 23 Working Capital ‐ Beginning 49,346,787$     53,797,920$      28,865,401$     21,944,099$      17,430,569$     16,769,392$       24 Net Revenues  (Revenues minus Expenditures) 1,484,834$       (21,966,219)$     (6,665,698)$      (4,186,151)$       (661,177)$         168,331$            25 Working Capital ‐ Year End 53,797,920$     28,865,401$      21,944,099$     17,430,569$      16,769,392$     16,937,724$       26 Operating Reserve (20%)3,730,854$       4,145,169$        4,251,397$        4,311,282$        4,388,697$        4,493,499$         27 Rate Stabilization (5%) 994,669$          1,014,542$        1,045,765$        1,123,326$        1,201,065$        1,287,417$         28 Other Reserves4 6,087,166$       6,087,166$        6,087,166$        6,087,166$        6,087,166$        6,087,166$         29 Unreserved Working Capital ‐ Year End 42,985,231$    17,618,524$      10,559,771$     5,908,795$        5,092,465$       5,069,642$         NOTES AS NECESSARY 1 Sewer revenue from Cal Poly is expected to decrease when the University brings its on‐campus wastewater treatment plant online. Projections are based on  the total annual volumes projected to be delivered to the City, as provided by the University. 2 Other revenue includes grant revenue and long‐term debt proceeds. Delays with the WRRF project resulted in $15M of debt proceeds to be delayed to FY 25. 3 Transfers occur after the close of the fiscal year. Amount shown for FY 24 are for the fees collected during FY 24, but were transferred during FY 25. 4 Includes CalPERS Unfunded Liability Payment and SRF loan payments. Financial Plan Page 163 Page 683 of 994 Operating Budget  Utilities  To address ongoing expenses related to project deferrals and inflation, staff have identified the following  key areas of focus: pursuing grants, improving operations, and exploring infrastructure replacement  alternatives. Over the past seven years, the Sewer Fund has received over $7 million in grants and  alternative funding sources, such as loan forgiveness, to fund capital projects that would have otherwise  relied on ratepayer contributions. The City has also applied for over $5 million of Inflation Reduction Act  funding associated with work completed during the WRRF upgrade. If received, this could be used to offset  funding that would otherwise be collected by rates or to support additional needed projects.  If this  funding is not awarded, the current CIP schedule will remain as forecasted. The Department is also  focusing on capital planning projects, such as the Wastewater Collection System Infrastructure Renewal  Strategy (long‐range plan) analysis, which allows the department to be proactive in infrastructure  maintenance and replacement. Lastly, once the new WRRF facility stabilizes post‐construction, staff will  be able to evaluate opportunities to further optimize processes to reduce operational expenditures and  maximize the utilization of onsite biogas for energy production.                                 Financial Plan Page 164 Page 684 of 994 Operating Budget  Utilities  Department Programs      Financial Plan Page 165 Page 685 of 994 Operating Budget  Utilities        Financial Plan Page 166 Page 686 of 994 Operating Budget  Utilities       Financial Plan Page 167 Page 687 of 994 Operating Budget  Utilities  Opportunities and Challenges  The Utilities Department continues to focus on providing essential services while planning for and  delivering major capital improvement and long‐term planning projects. The Department continues to  pursue grants and alternative funding sources to fund infrastructure and sustainability initiatives.   Technology upgrades, such as the implementation of Advanced Metering Infrastructure (AMI) will allow  the Department to enhance operational efficiency while strengthening customer service for the  community.  Several Capital Improvement Projects aimed at enhancing infrastructure and operational efficiencies will  occur over the next two years.  Key projects include but are not limited to, construction for new  groundwater wells to bring groundwater online to ensure a reliable water supply, implementing AMI,  completing the construction of the Water Resource Recovery Facility (WRRF) and optimizing operation of  the new facility.  Additionally, the Department will continue efforts, such as the private sewer lateral offset  program, to accommodate growth while addressing capacity issues in the wastewater collection  (conveyance) system and controlling treatment costs at the WRRF associated with high flows due to inflow  and infiltration.  The implementation of SB1383 regulations for solid waste and recycling compliance will  also remain a key focus during the upcoming financial plan.    Challenges continue to be rising costs, maintaining and replacing aging infrastructure, increased  regulations, and potential financial constraints. While inflationary costs have begun to stabilize, the  Department continues to identify increased efficiencies and new ways of doing business to manage  increasing costs to ratepayers.   Planning remains essential in maintaining reliability and financial stability.   The Department is also working to streamline training programs for onboarding new staff, which will be  helpful in addressing the high amount of turnover realized across the City with the modern workforce.  Filling open positions and planning for anticipated retirements will continue to be a challenge that the  Department will face over the next two years.   Major City Goal Contributions  In addition to safeguarding public health through safe and reliable utilities services, the Utilities  Department also supports the City’s goals of sustainability, focused planning, infrastructure resiliency, and  fiscal responsibility. The Departments core services and daily operations advance climate action by  promoting water conservation, waste diversion, and sustainable energy use. Investments in pipeline  upgrades, leak detection, and water and wastewater treatment ensure reliable infrastructure while  providing high quality and reliable water and sewer services.. Strategic financial management of the Water  and Sewer Funds keeps utility services sustainable without overburdening rate payers. In addition to these  core services, the  specific Major City Goals the Utilities Department will be addressing during the 2025‐ 27 Financial Plan include:   Ensure public spaces, roads, and utilities support future growth and development:  o Complete the WRRF Upgrade Project   Strengthen community resilience through emergency preparedness, community networks, and  planning efforts:  o Conduct a study session to consider options for funding stormwater and / or creek  maintenance and flood preparedness in support of CASE programs   Continue implementation of the Climate Action Plan (CAP) and Lead by Example (LBE) Work  Programs:  Financial Plan Page 168 Page 688 of 994 Operating Budget  Utilities  o Partner with the Integrated Waste Management Authority (IWMA) to develop and  distribute waste education materials to HOAs and property managers, with a focus on  food waste diversion in high‐turnover multi‐family complexes and mobile home  communities.     2025‐27 Department Goals  The Department’s strategic priorities for the 2025‐27 Financial Plan are intended to support the  advancement of the City’s overall objectives tied to Major City Goals, Department Strategic Plans, and  other priorities that may arise. These goals are in addition to ongoing services described in the  ‘Department Programs’ section above.  Strategic Goal(s)  1) Continue to pursue grant funding for all funds and innovative strategies to mitigate rate increases  and ensure continued affordability.  2) Improve resiliency in water and sewer programs to ensure continued service delivery through  emergency planning, infrastructure maintenance, and expansion of source water supplies.  3) In coordination with the Community Development Department, continue to optimize water and  wastewater systems to facilitate the City’s housing goals.  4) Continue to partner with the IWMA to provide education and outreach to the community to  increase waste diversion and maintain regulatory compliance with State legislation.  5) Develop strategies for Departmental efficiencies and continue to explore new ways of doing  business, reducing ongoing operational costs and capital delivery costs while exploring  supplemental revenue streams to reduce the rate burden on the community.    Performance Measures  Performance measures are designed to determine accountability, improve service quality, allocate  resources, and evaluate Departmental performance in meeting San Luis Obispo’s goals and objectives.    2023‐24  Actual  2024‐25  Projected  2025‐26  Target  2026‐27 Target   Measure: Sanitary Sewer Overflows  per 100 miles  of  sewer publicly‐owned sewer main 1  *3 0  0   Measure: Breaks/leaks per 100 miles of water main 1  4  <13.4 <13.4   Objective: Maintain and  manage infrastructure, assets, and  facilities responsibly and  transparently.  Strategic  Goal: Public Stewardship  Notes: *Includes  impacts from private infrastructure.  Notes: Breaks/leaks per 100 mile performance measure targeted figures  are derived from  AWWA Utility  Benchmarking Median  Figures.  Financial Plan Page 169 Page 689 of 994 Operating Budget  Utilities    2023‐24  Actual  2024‐25  Projected  2025‐26  Target   2026‐27  Target   Measure: Recycled Water Delivered (AF) 308.52 355 375 395  Measure: Number of customers who have setup an  online profile  to view their real‐time water usage N/A 400 1,000 1,600 Notes:  The  City initiated its transition to Advanced  Metering Infrastructure  (AMI) in 2024 and the Utilities  Department aims to have all water meters  and radios  upgraded to AMI ‐capable  technology in 2027. Notes: n/a   Objective: Provide the Community with High Quality and  Reliable Service   Strategic  Goal: Public Service     2023‐24  Actual  2024‐25  Projected  2025‐26  Target   2026‐27  Target   Measure: Minimize  Customer Shut‐Off for  Nonpayment 268 440 <400  <400  Measure: Number of water/sewer customers  enrolled  in the customer assistance program (low ‐income  program). 239 415 465 500 Objective: Enhance  Accessibility and Equity in Services Strategic  Goal: Public Service   Notes: n/a   Notes: During FY 2023‐24, 3  months of shutoffs were canceled due  to extreme weather, delayed meter  readings, and impacted workloads. The  number of shutoffs during FY 2024‐25 is comparable to FY 2022‐23  given the relative increase in number of customers.   Financial Plan Page 170 Page 690 of 994 Operating Budget Non‐Departmental  NON‐DEPARTMENTAL BUDGET About the Program The Non‐Departmental Program accounts for indirect Citywide costs not clearly linked to individual  departmental operating programs or projects.  This budget is managed by the Finance Department, which  is responsible for disbursing the allocated budget in coordination with various departments, according to  established policies.  Budget at a Glance Actuals Budget Financial  Plan Non‐Departmental FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 58,103        793,338            1,533,091   2,586,494    YoY Change 1265%93% 69% Other Operating Expenditures 348,419      431,700            868,603      876,831       YoY Change 24%101% 1% Total 406,522      1,225,051         2,401,696   3,463,326    YoY Change 201%96% 44% Financial Plan Page 171 Page 691 of 994 Operating Budget  Non‐Departmental    Fiscal Analysis  Expenditures are proposed to increase from FY 2024‐25 to FY 2025‐26 by $1,176,645 or 96%. Staffing is  projected to increase by $739,753 or 93%, driven by Council‐approved negotiating parameters for three  bargaining groups. Other Operating Expenditures are expected to increase by $436,903 or 101%, which  reflects several re‐allocations from other departments for items more properly accounted for in non‐ departmental.  The Non‐Departmental budget has historically included funding for:    A staffing contingency for new labor agreements finalized after the budget was developed;   Ventures and Contingency funding for use at the City Manager’s discretion to support needs that  arise mid‐year;    Citywide postage and mailing supplies;   Citywide copier maintenance and supplies;   Citywide membership and conference fees for the League of California Cities; and   General Fund leave payouts.  Re‐allocations from other departments that drive the increase in the 2025‐27 Financial Plan include:   Funding for the City’s tuition reimbursement program (formerly included in Human Resources’  budget);    Funding for the lease of 994 Mill Street for Human Resources Department office space (formerly  included in Human Resources’ budget);   Contributions to other entities (including the City’s share of cost for the City/County Library and  the annual contribution to the Cal Poly Performing Arts Center), which are both managed by the  Administration and IT Department, but do not directly support the department’s operations  (formerly included in Administration and IT’s budget);   Funding for Citywide employee recognition and the Day of Welcome program for new employees  (formerly include in Human Resource’s budget);  Partially offsetting the increases noted above, a portion of the budget for credit card processing fees  attributable to business licensing fees was moved into the Finance Department’s budget, where charges  for actual fees incurred will be recorded.    In order to ensure that overall budgets did not increase, the reallocations into the non‐departmental  program resulted in equal reductions to the previously responsible department’s budget. The  reallocations noted above did not count towards budget reductions made by departments as a part of the  constrained base budget exercise for FY 2025‐26.     Significant Operating Budget Changes  No Significant Operating Budget Changes are recommended for the Non‐Departmental budget.      Financial Plan Page 172 Page 692 of 994 AVILA  RANCH   COMMUNITY FACILITIES  DISTRICT  Program Description  A Mello‐Roos Community Facilities District (CFD) was established and approved by City Council on October  24, 2017 (Resolution No 10844) pursuant to section 5.02.1 of the Avila Ranch Development Agreement.  The CFD boundaries are identical to that of the Avila Ranch Development project and located at the  northeast corner of Buckley Road and Vachell Lane and includes up to 720 dwelling units, 15,000 square  feet of office and retail, 18 acres of parks, 53 acres of open space, riparian corridors and farmed  agricultural land.   The primary function of the Avila Ranch CFD is a special financing mechanism which was established to  fund maintenance services, fire protection services, police protection services, and for construction of  facilities within the CFD boundaries.  Special taxes are levied on developed parcels located in the  boundaries of the CFD through the San Luis Obispo County annual property tax levy which are used to  fund the annual costs required by the CFD.  Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  The annual costs of the CFD are funded with two types of Special Taxes, the Authorized Services Special  Tax and the Authorized Infrastructure/Facilities Special Tax.  The Services Special Tax is collected to fund  Actuals Budget Financial  Plan Avila Ranch CFD FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Tax Revenue 268,984          523,648          792,617          1,289,186        Total Revenue 268,984          523,648          792,617          1,289,186        YoY Change 95% 51% 63% Actuals Budget Financial  Plan Avila Ranch  CFD FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Authorized Expenditures 41,673          199,000        91,293          94,633           Transfers 17,085          110,814        234,122        337,373         Total Expenditures 58,758          309,814        325,415        432,006         YoY Change 427% 5% 33% Financial Plan Page 173 Page 693 of 994 costs associated with Maintenance, Trash Service, Street Sweeping, Water Service, Sewer Service,  Electrical Service, Materials/ Supplies, Administration, Fire Protection and Police Protection.  The Facilities  Special Tax is collected to fund costs associated with the purchase, construction, expansion, improvement  or rehabilitation of facilities required to serve the project.  Revenues are proposed to increase by $268,969 or 51% due to continued buildout of the Avila Ranch  Development Project which increases the number of parcels subject to the Special Taxes as permits are  issued.  For FY 2025‐26 there is expected to be an additional 62 developed parcels which will be subject  to the Special Tax levy.  In addition, the Services Special Tax levy is escalated for inflation by 4% annually  and the Facilities Special Tax levy is escalated for inflation by 2% annually, which is contributing to the  expected increase.  Expenditures are proposed to increase by $15,601 or 5% and can be attributed to the continued buildout  of the Avila Ranch Development Project.  As new units are constructed and occupied, the demand for  operation and maintenance services on CFD facilities and the demand for Police and Fire services will be  increased.  Therefore, because of the increased demand for services, the expected cost to provide those  services will also increase.  In addition, a portion of the increase can be attributed to contracts which are  subject to annual inflation increases.   There are no infrastructure facility items budgeted, therefore the  Facilities Special Tax levied will remain in the fund and will be expended as facility needs are identified in  future years.   Transfers Out are to the General Fund and represent the budgeted amount for City staff administration,  police protection services, and fire protection services.      Financial Plan Page 174 Page 694 of 994 BOYSEN RANCH  Program Description  Boysen Ranch consists of approximately 116 acres bounded by Los Osos Valley Road, Foothill Boulevard,  and O’Connor Way. In 2005, the City accepted and currently holds a series of conservation easements  that protect approximately 25 acres at the Boysen Ranch to mitigate for impacts to wetlands and waters  by the Home Depot, Costco, and other Irish Hills Plaza development projects on Los Osos Valley Road.  Boysen Ranch is part of the City’s designated greenbelt. The funding was set up as an endowment to fund  monitoring and maintenance of the restored wetland area.  Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  Revenues are proposed to remain unchanged from the current year despite significantly outperforming  budget in the prior year due to lower interest rates earned on investments and a volatile market.  Expenditures are proposed to remain unchanged at $7,500.  Actuals Budget Financial  Plan Boysen Ranch FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Investment Income 18,353            7,500              7,500              7,500               Total Revenue 18,353            7,500              7,500              7,500               YoY Change ‐59%0%0% Actuals Budget Financial  Plan Boysen Ranch FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Authorized Expenditures 9,135            7,500            7,500            7,500             Total Expenditures 9,135            7,500            7,500            7,500             YoY Change ‐18% 0% 0% Financial Plan Page 175 Page 695 of 994 DOWNTOWN SLO BUSINESS  IMPROVEMENT DISTRICT   Program Description  The Downtown Business Improvement District (DBID) was established in 1975 as a parking and  promotions district for the City’s downtown area. As a special fee district, fees are collected from business  license holders operating within the designated area and revenue supports the operations of Downtown  SLO, a non‐profit organization. The City and Downtown SLO (DSLO) agreed by contract that DSLO would  provide various services for the economic, social, cultural, and environmental vitality and beautification  of downtown San Luis Obispo. The assessment is a special revenue and is administered through a separate  and distinct fund.   Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  Revenues are proposed to decrease by $11,749 or 5% based on a conservative analysis of recently  observed results on assessment collections.  Expenditures are budgeted equal to expenditures. Should revenue exceed budget, the actual amount  collected will be transferred to DSLO.   Actuals Budget Financial  Plan Downtown FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Assessments 265,255          258,462          246,713          251,647           Total Revenue 265,255          258,462          246,713          251,647           YoY Change ‐3%‐5%2% Actuals Budget Financial  Plan Downtown FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Authorized Expenditures 396,392        258,462        246,713        251,647         Total Expenditures 396,392        258,462        246,713        251,647         YoY Change ‐35%‐5% 2% Financial Plan Page 176 Page 696 of 994 INSURANCE FUND  Program Description  The Insurance Fund and Risk Management Program aim to protect the organization through risk transfer,  risk control and risk avoidance. Safety in the workplace and in the community is promoted by minimizing  accidents, reducing liabilities and associated costs. The City maintains an Insurance Fund for the purpose  of paying its annual premiums for liability, workers’ compensation, special events, volunteer, property,  and other insurances needed to protect the City and to manage the fluctuations in claims‐related expense.   The Insurance Fund is managed by the Human Resources Department which runs the City’s Risk  Management Program.  Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  Revenues are proposed to remain unchanged as the fund’s only revenue stream is a recurring transfer in  from the General Fund. It is expected that the annual transfer amount will need to increase in in future  years in order to build and maintain adequate reserves.  Expenditures are proposed to decrease by $141,701 or 2% in line with projected changes to insurance  premiums. The City has some flexibility over its premium costs as providers and self‐insurance limits can  be changed in order to balance premium savings with risk management.   Actuals Budget Financial  Plan Insurance FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Transfers in 6,407,630       6,000,000       6,000,000       6,000,000        Total Revenue 6,407,630       6,000,000       6,000,000       6,000,000        YoY Change ‐6%0%0% Actuals Budget Financial  Plan Insurance Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Workers  Comp 1,605,230     2,610,281     2,069,183     2,355,887      Liability & Other 3,155,160     3,058,578     3,457,975     3,710,366      Total Expenditures 4,760,390     5,668,859     5,527,158     6,066,253      YoY Change 19%‐2% 10% Financial Plan Page 177 Page 697 of 994 PUBLIC SAFETY EQUIPMENT  REPLACEMENT FUND  Program Description  The Public Safety Equipment Fund (PSEF) was created with the 2019‐21 Financial Plan to help budget and  forecast the replacement of Public Safety equipment that has expired or become damaged. The Fund  received an original seed amount in FY 2019‐20 and going forward, an annual allocation is made from the  General Fund. Budgeting annual amortized amounts set aside in this project account allows for crucial  public safety equipment to be replaced at scheduled intervals, which smooths out the annual  contribution, reducing the impact on the budget at time of replacement.  Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  Revenues are proposed to decrease by $151,108 or 39% as one‐time funding from the 2023‐25 financial  plan to catch up for inflation on significant purchases including breathing apparatus and turnouts for Fire  and suppressors and rifle rated vests for Police was not continued.  Expenditures are proposed to decrease by $207,360 or 51% because only smaller asset replacements are  scheduled during the 2025‐27 Financial Plan.   Actuals Budget Financial  Plan Public Safety FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Transfers  in 391,322          387,334          236,226          236,226           Total Revenue 391,322          387,334          236,226          236,226           YoY Change ‐1%‐39%0% Actuals Budget Financial  Plan Public Safety FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Equipment Purchases 603,889        403,560        196,200        91,900           Total Expenditures 603,889        403,560        196,200        91,900           YoY Change ‐33%‐51%‐53% Financial Plan Page 178 Page 698 of 994 SAN LUIS RANCH   COMMUNITY FACILITIES DISTRICT Program Description   A Mello‐Roos Community Facilities District (CFD) was established and approved by City Council on April  16, 2019 (Ordinance No 1661) pursuant to section 5.02 of the San Luis Ranch Development Agreement  and located in the San Luis Ranch Specific Plan area. The boundaries of the CFD are identical to the San  Luis Ranch Specific Plan area and includes 131.4 acres approved for up to 577 dwelling units and  commercial development, a 200‐room hotel, 100,000 square feet of office space, 150,000 square feet of  retail space, 7.8 acres of parks/ open space, and 52.3 acres of farmed agriculture land.  The primary function of the San Luis Ranch CFD is a special financing mechanism in which municipal bonds  were issued to fund construction of required facilities to serve the project.  The district is authorized to  issue up to $25,000,000 in bonds.  There is currently a total of $19,380,000 bonds outstanding.  Special  Taxes are levied on developed parcels through the San Luis Obispo County annual property tax levy which  are used to fund debt service payments for the bonds issued and other operational costs of the CFD.  Program Budget at a Glance  Revenue  Expenditures  Actuals Budget Financial  Plan San Luis Ranch CFD FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Tax Revenue 1,867,271       1,000,250       1,360,981       1,388,201        Total Revenue 1,867,271       1,000,250       1,360,981       1,388,201        YoY Change ‐46% 36%2% Actuals Budget Financial  Plan San Luis Ranch CFD FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Authorized Expenditures 9,145          10,392        336,956      130,749       Transfers ‐              26,530        207,243      142,826       Debt Service 911,650      949,450      946,700      964,200       Total Expenditures 920,795      986,372      1,490,899   1,237,774    YoY Change 7% 51%‐17% Financial Plan Page 179 Page 699 of 994 Fiscal Analysis  For the San Luis Ranch CFD, revenue received in the current fiscal year funds a portion of current year  expenses and a portion of subsequent years expenses.  This is required to ensure cash flow of the CFD is  sufficient to fund debt service payments that are due in September prior to the 1st installments of Special  Tax revenue being received in December.  Revenues are proposed to increase by $360,731 or 36% due to the buildout of the development.  Parcels  are taxed at the maximum rate as allowed by the Rate and Method of Apportionment (RMA).  Revenue is  expected to continue to increase at 2% per year until the remaining 15 Final Map Parcels permits are  issued, making them subject to the Special Tax and therefore increasing the Special Tax revenue by more  than 2%.  Expenditures are proposed to increase by $504,527 or 51% due to the Arbitrage Yield Restriction Liability  expected to be paid to the Internal Revenue Service IRS in June 2026.  A portion of the increase can also  be attributed to the administration contract which is subject to a 5% annual inflation increase.  In addition,  the budgeted amount for City Staff allows for a 2% annual inflation increase.  The Special Tax revenues collected that are not otherwise needed to fund the administration of the CFD,  debt service, or to replenish the bond reserve fund, is allocated 50/50 to the City and the Developer on a  Pay‐As‐You‐Go basis.  “Pay‐As‐You‐Go” is the use of Special Tax revenues to directly fund or reimburse  the costs of acquisition, construction, and improvement of Authorized Facilities as part of an Acquisition  Agreement with the City for required facilities needed to serve the project.     Transfers Outs include amounts allocated to the General Fund for City staff administration and includes  amounts allocated to the Pay‐As‐You‐Go account for use on authorized facilities which is budgeted though  the Financial Plan and Capital Improvement Plan (CIP).           Financial Plan Page 180 Page 700 of 994 TOURISM BUSINESS IMPROVEMENT  DISTRICT   Program Description  The City established a Tourism Business Improvement District (TBID) as requested by the local lodging  industry in 2008. The district levies an assessment on all lodging properties for the purpose of tourism  promotion for the benefit of the district’s constituents. The assessment is a special revenue and is  administered in a separate and distinct fund.  Program Budget at a Glance  Revenue  Expenditures  Fiscal Analysis  Revenues are proposed to increase by $102,690 or 5% based on TBID Board advisement and also informed  in part through a commissioned study with Visit SLO CAL and Tourism Economics.  Expenditures are proposed to increase to the same amount in order to align with revenues. TBID policy  calls for an initial expenditure budget that is equal to the revenue budget, and enables the budget to be  amended during the year as needs arise.   Actuals Budget Financial  Plan TBID FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Assessments 2,267,304       2,117,251       2,219,941       2,229,130        Total Revenue 2,267,304       2,117,251       2,219,941       2,229,130        YoY Change ‐7%5%0% Actuals Budget Financial  Plan TBID Fund FY 2023‐24 FY 2024‐25 FY 2025‐26 FY 2026‐27 Staffing 260,092        269,700        263,115        275,415         Other Operating Expenditures 1,866,570     1,834,244     1,912,427     1,909,132      Transfers 43,611          43,545          44,399          44,583           Total Expenditures 2,170,273     2,147,489     2,219,941     2,229,130      YoY Change ‐1% 3% 0% Financial Plan Page 181 Page 701 of 994 Financial Plan Overview Debt  Debt  The City of San Luis Obispo is guided by its budget and fiscal  policies when managing its debt. In accordance with the  policy section “Capital Financing and Debt Management”:  The City’s debt capacity cannot exceed 15% of General Fund revenues. Its direct debt will not exceed 2% of assessed valuations. No more than 60% of capital improvement outlays will be funded from long‐term debt. Debt should only be incurred for one‐time capital expenditures and not for on‐going operations.  Borrowing for one‐time capital expenditures allows for the cost of the project to be spread over the useful  life of the asset and results in the cost being paid by future beneficiaries as well as current taxpayers. Debt Management  The City’s bond issues are periodically reviewed by rating agencies to provide insight to the City’s financial  outlook and hence its creditworthiness. The 2018 refinancing of three different lease revenue bonds was  rated by Standard & Poor’s that gave the City an AA rating. In February 2025, Fitch affirmed the City’s  Issuer Default Rating at AA+, also with a stable outlook. The ratings  agencies cited:  The City’s strong operating performance, a moderate long‐ term liability burden, strong revenue growth and solid  expenditure flexibility offsetting a constrained revenue  raising environment.   The City’s gap closing capacity being superior given ample reserves and moderate revenue volatility. Budget management at times of recovery being very strong, leaving the City well prepared to manage the current period of economic stress. The City’s engagement in thorough and conservative long‐ term financial planning with a focus on maintaining structural budget balance. The City maintaining its capital assets with minimal debt reliance and proactive efforts to pay down its unfunded retirement liabilities above actuarially determined levels. AAA •Extremely strong capacity to meet financial commitments. Highest rating.  AA •Very strong capacity to meet financial committments. A •Strong cpacity to meet financial commitments, but somewhat susceptible to adverse economic  conditions and changes in circumstance. BBB •Adequate capacity to met financial commitments, but more subject to adverse  economic conditions. BB •Less vulnerable in the near‐term, but faces major ongoiong uncertainties to adverse business, financial, and economic conditions. CCC •Currently vulnerable and dependent onfavorable business, financial, and economic  conditions to meet financial committments CC •Highly vulnerable; default has not yet occured,  but it is expected to be a virtual certainty. C •Currently highly vulnerable to non‐payment, and ultimate recovery is expected to be lower than that of higher rates obliations. Financial Plan Page 182 Page 702 of 994 Financial Plan Overview  Debt        The City’s Current Debt  The City currently holds $203 million in overall outstanding debt in a combination of lease revenue bonds,  State Revolving Fund loans, Infrastructure‐Bank loans, and other borrowings. The longest outstanding  maturity is to 2054.     The City’s debt service costs over the next ten years, including accounting adjustments for amortized  bond premiums and discounts, are shown below:      The following tables outline by fund: the current debt, the purpose, the projected outstanding principal  as of 6/30/2025, the FY 2025‐26 debt service costs, and the retirement year of the debt. Maturities range  from 2029 to 2054  General Fund Debt Detail and Debt Retirement  The following table summarizes current outstanding debt obligations for the General Fund, and its cash  payments excluding amortized bond premiums and discounts:    Debt Issue ‐ Asset Outstanding  Principal  Annual  Payment  Final    Year  2014 Lease Revenue Bond – LOVR Overpass $5,885,000 $419,631 2044  2018 Lease Revenue Bond – Refunding (various) $6,874,225 $940,584 2039  2023 Lease Revenue Bond – Refunding (2012 Bonds) $1,640,000 $364,750 2029   $14,399,225 $1,724,965 2044           ‐  2,000,000  4,000,000  6,000,000  8,000,000  10,000,000  12,000,000  14,000,000  16,000,000 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Debt Service Costs by Fund GENERAL PARKING SEWER WATER Financial Plan Page 183 Page 703 of 994 Financial Plan Overview  Debt        General Fund Debt policy adherence: FY 2025‐26 Revenue  $117,231,041       Debt Payments    $1,724,965           Percentage of Revenue          1.5%       Maximum Allowed         15%     Parking Fund Debt Detail and Debt Retirement  The following table summarizes current outstanding debt obligations for the Parking Fund:  Debt Issue ‐ Asset Outstanding  Principal  Annual Payment Final    Year  2001 State I‐ Bank Loan ‐ Marsh St. Garage $2,537,059 $410,829 2032  2018 Refunding Bond ‐ 919 Palm Street Structure $3,533,114 $461,706 2039  2023 Lease Revenue Bond – CADPS $43,220,000 $2,824,000 2054  2023 Interfund Loan – 1166 Higuera $4,845,000 $139,536 2053  Total Parking Fund Debt $54,135,173 $3,836,071 2054    The interfund loan owed to the General Fund to finance the acquisition of a parking lot at 1166 Higuera is  currently an interest only loan and will require principal payments beginning in FY 2026‐27.   Sewer Fund Debt Detail and Debt Retirement  The following table summarizes current outstanding debt obligations for the Sewer Fund: Debt Issue ‐ Asset Outstanding  Principal  Annual  Payment  Final  Year  2009 State I‐Bank Loan ‐ Farm Lift Station $5,272,953 $548,786 2038  2014 US Bank Wastewater Lease Agreement $1,770,696 $616,711 2029  2018 Lease Revenue Bond ‐ Refunding $522,264 $31,790 2039  2019 SRF Loan – WRRF Upgrade $108,267,430 $4,956,584 2053  Total Sewer Fund Debt $115,833,344   $6,153,872 2053  The table above is based on the amounts currently outstanding. The City will continue to draw down upon  the Water Resource Recovery Facility (WRRF) credit facility as construction is completed. The Sewer Fund  budget includes an additional amount for these additional anticipated drawdowns. Water Fund Debt Detail and Debt Retirement  The following table summarizes current outstanding debt obligations for the Water Fund:  Debt Issue ‐ Asset Outstanding  Principal  Annual  Payment  Final  Year  2018 Lease Revenue Bond ‐ Dispatch Center $220,096 $28,284 2039  2018 Revenue Bond – Refunding $6,845,000 $887,250 2035  2020 State I‐Bank Loan – Water Treatment Plant $11,357,487 $951,376 2040  Total Water Fund Debt $18,422,582 $1,865,911 2040  Financial Plan Page 184 Page 704 of 994 CAPITAL IMPROVEMENT PLAN Financial Plan Page 185 Page 705 of 994 CAPITAL IMPROVEMENT PLAN Capital Improvement Plan (CIP) Purpose of CIP The Capital Improvement Program enables the City to plan, schedule, and finance capital projects to ensure cost effectiveness and conformance with established plans and policies. The City’s budget process guides the capital priorities through community input, Council goal setting, Local Revenue Measure priorities, and the biennially adopted Major City Goal work programs. The Capital Improvement Plan (CIP) and its annual implementation of projects is a major focus of local government work. Through its adopted CIP, the City meets community needs by providing the infrastructure required for economic vitality, neighborhood wellness, housing, transportation, sustainability, active and passive recreation, public safety, cleanliness, and other basic amenities. As part of each two-year Financial Plan, the City has traditionally prepared a five-year Capital Improvement Program (CIP) for Council consideration and approval. While only the first two years were previously incorporated into the budget, multi-year planning has remained a best practice for aligning capital needs with available resources. For this Financial Plan, the City has expanded its long-range planning by developing a full 10-year CIP that is fiscally constrained, meaning that all projects included are aligned with the City’s long-term funding forecasts. While only the first two years are funded and adopted as part of this financial plan, the full 10-year outlook serves as a strategic tool to prioritize future capital investment. This allows for better alignment of funding with realistic project delivery timelines and supports more strategic long-term planning. The City systematically plans, schedules, and finances capital projects to ensure cost-effectiveness and conformance with established policies. Comprehensive policies governing the development and management of the CIP are primarily set forth in the City’s fiscal policies. Construction projects and equipment expenditures costing $25,000 or more are included in the City’s CIP. Based on the Council determined goals, and balanced with the City’s financial circumstances, the recommended capital improvement projects total $112 million for the 2025-27 Financial Plan, and $659 million over the ten-year plan. City staff will work to ensure that the community is well informed of various capital projects consistent with the Public Engagement and Noticing Manual with the framework of Inform, Consult, and Collaborate. A Note on Unprecedented CIP Circumstances The CIP continues to face challenges from inflation, labor shortages, and rising construction costs, all of which impact the City’s ability to deliver projects on time and within budget. Since FY 2021-22, Measure G-20, the Local Revenue Measure (LRM), has been a critical source of local funding, helping to sustain the CIP amid rising costs and growing capital needs. The City is facing an unprecedented level of capital needs, particularly in parks, public safety, and roadway infrastructure, with several projects projected to cost more than $20 million each. While Measure G-20 remains a key funding source, it is not sufficient on its own to fully fund these large-scale initiatives. Some projects in the CIP have received initial funding for early planning or scoping, while others have been Financial Plan Page 186 Page 706 of 994 CAPITAL IMPROVEMENT PLAN phased, when feasible, to support gradual delivery over time. Many projects are still in the early stages of development, and as a result, their full scope is not yet fully reflected in the CIP. Although the complete construction costs of these projects may not appear in the current 10-year CIP, staff continue to develop cost estimates and explore funding strategies for inclusion in future financial plans. Additional information on these efforts is provided later in this report. Damage from the 2023 winter storms continues to impact the CIP. To address emergency repairs, the City redirected funding and staff resources from planned capital projects in the 2023–25 Financial Plan. The 2025–27 Financial Plan represents a course correction, reinvesting in previously deferred projects while also allocating funds for storm-related repairs that are still in the design phase. Despite ongoing financial and logistical challenges, CIP staff remain focused on securing external funding, streamlining internal processes, and prioritizing resources to support timely and accountable project delivery. Staff are also committed to incorporating community feedback and advancing high-priority projects that reflect public needs and values. Multi-Year Project Management and Long-Term Impacts It is important to note that capital projects often span over multiple years and even across financial plans. Staff continuously evaluate the CIP to determine which projects are best suited for activity depending on the resources available (people and funding) and in some instances the time of the year for construction activities. As the City adopts the 2025-27 Financial Plan, many active and ongoing capital projects remain in process that were identified and funded for activity during prior fiscal years. In addition to cost estimates and project budgets, there are often ongoing maintenance or operating costs associated with a given asset after it is completed. This can be seen in the need for additional resources to maintain a new park or enhanced street sweeping with a new roadway or greenway being added to the City’s transportation network. While many CIP’s create efficiencies, when preparing and implementing the capital plan, staff must be mindful of the long-term impacts and the need to maintain City infrastructure. Types of CIP Projects To assist the City Manager in developing the recommended CIP for the 2025-27 Financial Plan, a designated CIP Review Committee comprised of the Assistant City Manager, Deputy City Manager, Finance Director, Fire Chief, Utilities Director, Community Development Director, Parks and Recreation Director, and Public Works Director, among other staff, evaluated project requests across the City. The Capital Improvement Program Administrative Manager oversaw the execution of the CIP and collaborated closely with the CIP Review Committee and departments citywide to ensure effective implementation. Financial Plan Page 187 Page 707 of 994 CAPITAL IMPROVEMENT PLAN As shown in the chart to the right, the City continues to prioritize the repair and replacement of existing infrastructure. In the first two years of the 2025–27 Financial Plan, the CIP allocates 38% of the total capital budget to Asset Maintenance, 32% to Asset Replacement, 23% to New Assets, and 7% to Reserves, reflecting a fiscally responsible approach focused on preserving service reliability and quality of life. The table below details the 10-year CIP by project type. For fiscal year 2025–26, the CIP totals $53.6 million, increasing to $58.3 million in 2026–27, with continued emphasis on maintaining and replacing aging infrastructure. Funding projections in later years, particularly the spike to $173.2 million in 2029–30 highlight planned investments in new assets, including large-scale projects such as the Prado Road Interchange. *Funding amounts are rounded to the nearest thousand dollars Project Prioritization Because the City’s infrastructure needs often exceed available funding, department staff must prioritize various projects taking into consideration timing, cost estimates, mandates, and useful life, among many other factors. With input from the CIP Review Committee and staff across the organization, the CIP addresses the most urgent projects, while planning for future improvements. The City Council adopted Resolution No. 11159 (2020 Series) which established a goal of community wide carbon neutrality by 2035, with municipal operations being carbon neutral by 2030. CIP is a major factor in reaching these ambitious goals. As a result, staff consider project selection and timing through the lens of carbon neutrality when possible. This includes projects aimed at reducing energy consumption, reducing vehicle miles traveled (active transportation), incorporating bikes or electric vehicles into the city fleet, tree planting, and solid waste management. The City Council has also established Diversity, Equity, and Inclusion (DEI) as a core organizational value and citywide goal. In alignment with this commitment, CIP planning and prioritization incorporate a DEI lens to ensure equitable access to public infrastructure and services. This includes prioritizing projects that serve historically underserved or underrepresented communities, improving accessibility for all users, and engaging diverse stakeholders throughout the planning process. Financial Plan Page 188 Page 708 of 994 CAPITAL IMPROVEMENT PLAN Key Questions the CIP Committee Asks About Projects In categorizing projects and recommending them for funding consideration, the CIP Review Committee engaged in a rigorous ranking and review framework to develop the proposed projects for both the General Fund, Enterprise Funds, and various special funds. In general, projects that maintain existing infrastructure are ranked ahead of asset replacement projects, and asset replacement projects are ranked ahead of building new assets. It is important to note that generally new assets are related to Major City Goals, community enhancements, commitments in adopted City plans or contracts, or are critical infrastructure associated with development areas. This “ranking” however is a general guideline and is complemented by the following questions which were asked and applied equally to all projects as well. In addition, staff identify project needs based on factors including, but not limited to: 1. Public input through committees, community groups, community forums and/or budget hearings 2. Legal requirements or mandates 3. Policy direction from the City Council and Major City Goals 4. Best practices, asset useful life, or replacement schedules 5. Studies and assessments, and professional expertise 6. Citywide planning documents or studies; including the Active Transportation Plan, Pavement Management Plan, General Plan, Climate Action Plan, among many others. Does project support economic sustainability of the community and organization? Does project address a critical community health or safety need? Does project make good on ongoing commitments? Does project address core infrastructure needs? Does project provide a visible and measurable community benefit? Does project align with Major City Goals? Does project address a Measure G priority? Does project have a positive impact on ongoing operations? Financial Plan Page 189 Page 709 of 994 CAPITAL IMPROVEMENT PLAN Capital Project Delivery As mentioned previously, the City’s capital budget has grown significantly due to the local sales tax measure, which also allows the City to leverage local dollars to secure additional funding through regional, state, and federal grants. This increase in available resources has resulted in notable growth in General Fund projects, while substantial Enterprise Fund capital projects also continue to advance. To deliver this expanded portfolio, staff assessed the resources needed across both the two-year and ten- year planning horizons as part of the completed 2025–27 Financial Plan. Ongoing efforts are also focused on implementing recommendations from the CIP process analysis completed by Management Partners in 2021 and refining the Public Works CIP Engineering Division’s organizational structure, job roles, tools, training, and methods—ensuring continued alignment between the City’s Capital Improvement Plan and available resources. A critical factor in the successful delivery of the CIP is the capacity of Project Managers (PMs). In allocating resources and prioritizing projects, it is essential to consider team capacity. The ability to effectively manage a complex portfolio of projects directly impacts delivery outcomes, including timeliness, scope, and budget adherence. The CIP Engineering Team currently has eight PMs overseeing 69 projects in 2025–26 (Year 1) and 43 projects in 2026–27 (Year 2), averaging 9 and 5 projects per PM, respectively. In FY 2023-24, with the same number of project managers, the CIP Engineering Team successfully completed 30 projects— averaging about 3 projects completed per PM. The average project per PM in years Year 1 and 2 of the 2025-27 Financial Plan still exceeds what is typical of past performance. While FY 2025-26 will still be high in terms of PM workload, a more balanced workload is anticipated in FY 2026-27 as prior projects conclude and create more capacity. To help manage the current workload, consultant PM support is included in Year 1 to assist with complex and resource-intensive efforts such as the Prado Road Interchange, Prado Creek Bridge Widening, and multiple Active Transportation Projects (ATP). By accounting for resource capacity, project complexity, and phase-specific demands, the CIP Engineering Team is well-positioned to manage project delivery within the 2025–27 Financial Plan. Through strategic resource allocation and workload balancing, projected delivery timelines are achievable. The flow chart below outlines the general phases of a CIP project. While not every project follows the same path, this overview provides a reference for the typical progression from project identification to completion. For simpler efforts—such as parking lot paving or HVAC replacements, it typically takes 12 to 18 months to reach the construction phase. Factoring this timeline into the planning process ensures realistic expectations and adequate lead time for successful delivery. Financial Plan Page 190 Page 710 of 994 CAPITAL IMPROVEMENT PLAN Financial Plan Page 191 Page 711 of 994 CAPITAL IMPROVEMENT PLAN CIP Project Classifications The City groups capital projects by Project Classification to provide a broader understanding of the types of investments being made across the CIP. These classifications help identify the general purpose or function of a project and support long-range planning by offering a higher-level view of where capital dollars are being directed. The primary classifications used in the CIP include: • Maintenance – Projects that preserve the functionality, safety, and longevity of existing City infrastructure. This includes recurring and essential activities such as annual paving and sidewalk repair programs, traffic signal and signage maintenance, parks and landscape upkeep, storm drain and utility system maintenance, and storm response and recovery efforts. It also covers specialized efforts like silt removal and other work needed to sustain core public infrastructure and services over time. • Transportation – Projects that enhance the City’s transportation infrastructure, mobility, and accessibility. This classification includes major capital investments such as the construction of new parking garages, the Prado Interchange and bridge widening, and corridor improvements like the California/Taft Roundabout. It also encompasses implementation of the Vision Zero Action Plan, Active Transportation Plan (ATP) projects, and investments in transit, including bus and train station upgrades. These projects are aimed at improving safety, efficiency, connectivity, and sustainability across all modes of transportation. • Community Improvement – Projects that enhance the quality of life, aesthetics, and overall experience of the City’s public spaces. This includes the development of new parks and the replacement or renovation of existing ones, installation of new trash receptacles in high-traffic areas like Downtown, public art installations that enrich the cultural landscape, and investments in new broadband infrastructure to improve connectivity for residents and businesses. These projects reflect the City’s commitment to building vibrant, accessible, and inclusive community spaces. • Reserve – In accordance with City policy, 20% of the LRM Funding allocated to the CIP is set aside annually in a dedicated reserve account. This equates to roughly $4 million per year. The reserve plays a critical role in maintaining the City’s flexibility and resilience by providing a financial cushion for unanticipated project needs, emergency response, inflationary cost increases, or bid results that exceed budget estimates. By maintaining this reserve, the City can continue delivering critical infrastructure investments without significant delays due to funding constraints. • Fleet – Purchases or replacements of vehicles and heavy equipment necessary for City operations, ensuring departments can continue to provide essential services effectively. • Safety – Projects that support the protection of public health, life, and property. This classification includes critical public safety buildings such as fire stations, police facilities, and emergency operations centers, as well as safety retrofits to existing structures like parking facilities. It also encompasses infrastructure investments that enhance public safety in community spaces, such as roadway barricades used during Downtown Farmers' Markets to protect pedestrians and improve event safety. Financial Plan Page 192 Page 712 of 994 CAPITAL IMPROVEMENT PLAN • Public Facility – Projects that maintain or improve the City’s existing public buildings and shared- use infrastructure. This includes facility refresh and renewal projects such as new roofing, carpet, paint, HVAC upgrades, and other building systems that ensure safe, functional, and welcoming environments for staff and the public. It may also include infrastructure that supports City operations, like office IT improvements or installation of EV chargers at City facilities for fleet use. These investments help preserve the City’s assets and ensure they continue to meet operational needs. • Information Technology (IT) – Projects that support digital infrastructure, software systems, cybersecurity, and other technology improvements that enhance internal operations and service delivery to the community. Using these classifications allows for more strategic oversight of the City’s capital portfolio and supports informed decision-making around budget allocations, policy priorities, and service outcomes. These broader groupings also help align CIP investments with organizational goals, making it easier to communicate priorities to the public and key stakeholders. Financial Plan Page 193 Page 713 of 994 CAPITAL IMPROVEMENT PLAN The following table summarizes the total planned investments for the 2025–27 CIP, organized by classification. These figures reflect both the 2-year funding allocations proposed for the current CIP cycle and the projected 10-year totals based on anticipated long-term needs and priorities. All funding sources are included in these totals, including local funds, enterprise funds, anticipated grants, debt financing, and other external contributions. Each classification corresponds to the categories previously described, providing a comprehensive view of how capital funding is distributed across the City's key infrastructure and service areas. CIP By Classification 2-Year CIP 10-Year CIP Community Improvement $ 16,153,095 $ 48,456,095 Fleet $ 4,384,000 $ 32,298,457 Information Technology $ 2,366,281 $ 16,525,907 Maintenance $ 51,336,300 $ 278,469,205 Public Facility $ 3,315,323 $ 13,000,323 Reserve $ 8,000,000 $ 40,000,000 Safety $ 3,300,990 $ 9,139,602 Transportation $ 23,128,727 $ 221,503,373 Grand Total $ 111,984,715 $ 659,392,961 Financial Plan Page 194 Page 714 of 994 CAPITAL IMPROVEMENT PLAN Funds and Funding Sources The City’s Capital Improvement Plan (CIP) is supported by a variety of funding sources, each with specific legal, policy, or programmatic restrictions. These include the General Fund, enterprise funds, special revenue funds such as Development Impact Fees and the Local Revenue Measure (Measure G-20), as well as grants and other external funding sources. Understanding the purpose and constraints of each fund type is essential to effectively planning and delivering capital projects. The following sections provide an overview of each fund’s role in supporting the 2025–27 Financial Plan and the broader capital program. Financial Plan Page 195 Page 715 of 994 CAPITAL IMPROVEMENT PLAN Financial Plan Page 196 Page 716 of 994 CAPITAL IMPROVEMENT PLAN Financial Plan Page 197 Page 717 of 994 CAPITAL IMPROVEMENT PLAN The following table summarizes the current 10-year CIP by fund. *Funding amounts are rounded to the nearest thousand dollars Financial Plan Page 198 Page 718 of 994 CAPITAL IMPROVEMENT PLAN Grants The City’s CIP program, while largely comprised of funds arising from local revenues, service fees, and impact fees, also includes funding from grants, and for larger projects includes debt issuance (such as the Prado Interchange). The City typically receives grant funds from State or Federal agencies that either offset a burdensome cost for infrastructure or service needs, advance a positive environmental or ecological improvement, or stimulate the economy. Some grants the City receives are based upon regulation or a methodology, such as the City’s population. Discretionary grants are those grants where the City competes for limited funds to advance a specific project or a new way of doing business. Some of these discretionary grants are programmed into the City’s 2025-27 Financial Plan which is often required by the granting agencies. Grant activity across the City is primarily seen in the Transit program, as well as the improvement of the City’s transportation network. Development Impact Fees Development Impact Fees are one-time charges assessed on new development to help fund the infrastructure needed to serve the growing community. These fees ensure that new development contributes its fair share toward improvements such as parks, transportation, public safety facilities, and utilities. Collected fees are allocated to specific capital projects identified in the City’s Development Impact Fee Program and are an important funding source for expanding infrastructure capacity in step with future growth. The following section outlines how Development Impact Fees are planned to support capital projects in the 2025–27 Financial Plan. The Citywide Transportation Development Impact Fee (TIFF) has been overcommitted by approximately $1.74 million in prior financial plans. The 2025–27 Financial Plan addresses this imbalance by aligning planned project allocations with available revenue, ensuring the long-term sustainability of the fund. As part of this correction, the Prado Road Bridge Widening project will retain $2.3 million in TIFF funding, consistent with the project team's expectations and planning assumptions. Financial Plan Page 199 Page 719 of 994 CAPITAL IMPROVEMENT PLAN *Funding amounts are rounded to the nearest thousand dollars Debt Financing and Impacts on Major Capital Projects The City of San Luis Obispo generally follows a “pay-as-you-go” philosophy for funding capital projects. However, for large-scale infrastructure projects with significant long-term benefits and costs, debt financing becomes a necessary and strategic tool. In these cases, issuing debt helps the City distribute costs over time while preserving current fund balances and the ability to address ongoing infrastructure needs. Prado Road Interchange Currently, the Prado Road Interchange is the only project identified in the out-years, FY 2029-30, of the CIP requiring debt financing. The project recently entered the Plans, Specifications, and Estimates (PS&E) phase, which is estimated to cost approximately $16 million, including right-of-way acquisition and utility relocation. The construction phase is estimated at $132 million, bringing the total project cost to $148 million. On February 18, 2025, staff presented these updated estimates to City Council and Council approved funding for the PS&E phase, appropriating $10 million in San Luis Ranch contributions. Staff also introduced a preliminary estimate of $100 million in debt financing to support the construction phase, which prompted Council discussion about the scale of long-term debt and the importance of pursuing grant funding and regional partnerships. To reflect the Council’s feedback and support a fiscally responsible approach, the financing strategy reflected in the CIP was revised to anticipate $75 million in debt financing, with $25 million anticipated through unrealized grants. This adjustment reflects efforts to secure external funding and minimize the City’s debt exposure. The projected debt service is based on a 30-year bond at a 5% interest rate, with payments of approximately $4.6 million annually beginning in Year 5. During the early years, interest earnings are expected to offset some of the cost, including an estimated $3 million in Year 5 and $1.5 million in Year 6. The PS&E phase will span approximately four years, with construction anticipated to begin in late 2029. Throughout this period, staff will regularly check in with Council and work to secure outside funding to reduce the City’s debt burden. Furthermore, the 2025-27 Financial Plan proposes to reallocate to the Prado Bridge Widening Project approximately $5 million from the combined IIF and LRM general fund contributions originally allocated to the Prado Interchange Project. At the February 18, 2025 City Council meeting, Council appropriated $10 million in San Luis Ranch contributions for the design of the Prado Interchange, which were previously Financial Plan Page 200 Page 720 of 994 CAPITAL IMPROVEMENT PLAN earmarked for that project. These San Luis Ranch contributions are restricted and can only be used for the Prado Interchange Project. Due to sufficient San Luis Ranch contributions, there will be no need to request additional general funding for the Prado Interchange until construction begins in Year 5. Because of this, the $5 million currently allocated from the IIF and LRM general fund contributions to the Prado Interchange Project can be redirected to the Prado Bridge Widening Project, where those funds are more urgently needed to cover construction costs. This strategic reallocation ensures the Prado Bridge Widening Project has the necessary resources to move forward without causing delays, while still maintaining the overall financial integrity of the Prado Interchange Project. Below is a table that summarizes all budget actions for the Prado Interchange Project, including the estimated Debt Repayment starting in FY 2029-30. All funding in the table below is shown in dollars by thousands. *Funding amounts are rounded to the nearest thousand dollars In addition to the Prado Interchange Project, the City anticipates future debt financing needs for two major public safety facilities, Fire Station 5 (future replacement for the interim station being built at Avila Ranch) and the Public Safety Center. However, the first two years of this Financial Plan are focused on programming and analysis to better understand the scope, timing, and needs associated with these projects. Public Safety Center During the 2023-25 Financial Plan, funding was programmed for the design of a Public Safety Center. However, priorities shifted when the City purchased the building at 1106 Walnut Street in November 2022, located directly across from the existing Police Station at 1042 Walnut Street. This decision was made to address the Police Department’s immediate space needs, utilizing the available Public Safety funding for both the acquisition and the planned tenant improvements (TI), which are expected to be completed by the end of calendar year 2025. With this shift, evaluating the condition of the existing Police Station at 1042 Walnut is essential to ensure it remains functional while the long-term plan for the Public Safety Center is developed. A two-site analysis is planned to occur shortly after completion of the tenant improvement project at 1106 Walnut to determine whether operations should be consolidated into a single facility or continue across two Financial Plan Page 201 Page 721 of 994 CAPITAL IMPROVEMENT PLAN locations. Once this analysis is complete, the next step will be to assess whether 1042 Walnut should undergo a major TI to remain in use long-term or if a full demolition and rebuild is necessary. Given the uncertainty surrounding the project's final scope and the City's debt capacity, particularly with the Prado Bridge project in the near-term horizon as well, investing in a TI at 1042 Walnut is recommended to maintain operations in the interim. As part of the 2025-27 Financial Plan, funding is being allocated to continue the programming for the Public Safety Center while also addressing immediate facility needs at 1042 Walnut. This includes funding for initial paint and carpet replacement, which will be completed in Year 1 of the Financial Plan to coincide with completion of the TI at 1106 Walnut, as well as funding for the design and construction of a TI in Years 1 and 2, which will address immediate-term needs for safety improvements in the lobby as well as restroom and locker room upgrades. The TI will also replace the building’s aging HVAC and hydronic system, ensuring the facility remains operational while broader public safety infrastructure planning continues. *Funding amounts are rounded to the nearest thousand dollars Fire Station 5 Fire Station 5 remains a critical priority in addressing the growing emergency response needs on the southern end of town where the City is experiencing population growth. As part of the 2025-27 Financial Plan, funding is allocated in Year 1 for the programming and planning efforts to ensure there is a well- informed approach to the eventual construction of a permanent station. However, immediate funding for design or construction is not necessary. Avila Ranch, a new development on the south side of town, is addressing the immediate needs generated by its growth by constructing an interim two-person fire station, expected to be completed in Year 3 of the Financial Plan (FY 2027-28). The Fire Department has identified the need for a three-person crew, and the City is budgeting to cover the additional cost in the amount of $440,000 in FY 2027-28. This interim facility will provide coverage for the area while the City continues monitoring future development and its impact on emergency response needs. The 2016 San Luis Obispo Fire Department Master Plan recommends a fifth fire station when the entire southern area of the City reaches 90 percent buildout. However, the definition of this threshold remains Financial Plan Page 202 Page 722 of 994 CAPITAL IMPROVEMENT PLAN somewhat ambiguous. As additional developments come online, staff will continue evaluating response times and service demands to determine the appropriate timing and location for a permanent Fire Station 5. In the meantime, the interim station will become operational in Fiscal Year 2027-28 to ensure adequate coverage. *Funding amounts are rounded to the nearest thousand dollars Taken together, the Prado Interchange, Public Safety Center, and Fire Station 5 represent a future capital investment need that will likely require debt financing due to their scale. However, the City’s debt capacity is limited (particularly in light of the Prado Interchange project’s need for debt financing in the near term), and incurring large, long-term obligations must be carefully weighed against other critical capital needs and the ability to sustain high-quality public services over time. Ultimately, maintaining a responsible and balanced approach to debt financing is essential to preserving the City’s long-term fiscal health while still delivering critical infrastructure that supports public safety, mobility, and quality of life. Staff continues to monitor and report to Council as updates become available. Financial Plan Page 203 Page 723 of 994 CAPITAL IMPROVEMENT PLAN Major Park Projects The Orcutt Area Park Project has progressed into a phased approach due to funding limitations and inflation impacts. Originally planned to be fully funded through development fees, revenue from fees fell short, prompting the City to divide the $27.69 million project into manageable phases. The 2025-27 Financial Plan proposes adding $6.5 million to the project in Year 1 to support Phase 1—estimated at $13.5 million—which will deliver core features such as play structures, restrooms, fields, patios, and parking. To date, $8.5 million has been allocated from Orcutt Area Specific Plan and Local Revenue Measure funds. Future phases shown in the outyears for the financial plan include additional amenities like pickleball courts, a pump track, basketball and tennis courts, pocket park and key pedestrian and vehicular bridges to connect park areas. This phased strategy allows progress while aligning with broader community park priorities. The 10-year CIP reflects the City’s commitment to both new park development and the replacement of aging facilities citywide, ensuring equitable investment across neighborhoods. The table below outlines various park projects throughout the City that are programmed in the coming financial years. *Funding amounts are rounded to the nearest thousand dollars Financial Plan Page 204 Page 724 of 994 CAPITAL IMPROVEMENT PLAN CIP Expenditures in Active Transportation The community and Council have placed strong emphasis on the City’s effort to implement the programs, policies and infrastructure projects identified in the adopted Active Transportation Plan (ATP), which includes a priority list of network enhancements focused on improving safety and mobility for people walking and bicycling. While the primary focus of this Plan is on walking and bicycling, “active transportation” refers to all human-powered modes of transportation, from walking and bicycling, to scootering, skateboarding, traveling by wheelchair and using other rolling mobility devices. Over the next two years, staff will continue to deliver on the goals and objectives outlined in the ATP, as well as the Infrastructure and Sustainable Transportation Major City Goal, utilizing a variety of funding sources to leverage local funds. The table below outlines various ATP projects and respective funding sources that are programmed in the coming fiscal years. *Funding amounts are rounded to the nearest thousand dollars Financial Plan Page 205 Page 725 of 994 CAPITAL IMPROVEMENT PLAN Storm Response Following the severe Winter Storms of 2023, the City mobilized quickly to complete emergency repairs, several of which were delivered within the 2023 calendar year under emergency purchasing provisions. Projects not completed during the emergency period are now advancing through standard purchasing and permitting processes. While some storm-related projects may still be eligible for partial FEMA reimbursement, the City is planning to fully fund design and construction using local resources due to the uncertainty of federal reimbursement. Key sites currently under design include the Golf Course Pedestrian Bridge, Mission Plaza sidewalk repair, Prefumo Grade structure replacement, and San Luis Obispo Creek bank repair at the Elks Lodge. *Funding amounts are rounded to the nearest thousand dollars CIP Fund Optimization & Reallocation Staff conducted a review of existing CIP accounts to ensure that available funds are used effectively and aligned with current city goals and priorities. This effort allows the City to direct resources toward projects that are ready for delivery in the 2025-27 CIP while maintaining flexibility for future funding decisions. As part of the 2025-27 Financial Plan, $1.0 million in anticipated LRM revenue in FY 2025-26 and $1.5 million in FY 2026-27 were allocated to the operating budget rather than to capital expenditures. This adjustment better aligns funding with available project management capacity, recognizing the significant increase in workload since the passage of the LRM in 2020, and provides partial relief to the City's operating deficit. The impact on the overall LRM capital program is minimal, with the capital allocation decreasing slightly from 70% in FY 2024-25 to 69% in FY 2025-26 and 67% FY 2026-27. The table below represents two categories in which staff were able to reallocate Capital Outlay and LRM funding towards capital projects in the 2025-27 Financial Plan. 1. Completed Projects with Residual Balances – Certain projects have reached full completion and associated Notices of Completion have been filed. However, unexpended funds remain in the corresponding project accounts. Staff recommend reallocating these residual balances to advance priority projects identified in the FY 2025–27 CIP. 2. Projects Previously Funded – Several projects received appropriations for design activities in prior financial plans but have not progressed to the construction phase due to staffing limitations and shifting community priorities. As a result, the CIP Review Committee recommends prioritizing projects that are feasible for advancement within the FY 2025–27 cycle. For projects not scheduled to proceed to construction during this period, and for which funds have already been appropriated, staff recommend reallocating those appropriations to support higher-priority Financial Plan Page 206 Page 726 of 994 CAPITAL IMPROVEMENT PLAN needs within the 2025–27 Financial Plan. Funding for design and construction of these deferred projects may be reconsidered in a future financial plan as staffing and fiscal resources permit. Financial Plan Page 207 Page 727 of 994 CAPITAL IMPROVEMENT PLAN How to Use and Read the 2025–27 CIP Tables Overview The Capital Improvement Plan (CIP) tables are organized into two primary components: A. 2025-27 CIP Project Table: Overview of all projects and summary of 10-year budget. B.2025-27 CIP Project Detail Sheets: Detailed pages of each CIP Project, including funding and project descriptions. Projects can be located in several ways: The 2025-27 CIP Project Table – This table lists all project name and the corresponding project number. This Project Number can then be used when looking up a project in the 2025-27 CIP Project Detail Sheets. Projects are listed in numerical order, by project number, in both the 2025-27 CIP Project Table and the Project Detail Sheets, by project number. Searching by project name or keyword using Ctrl+F in either the 2025–27 CIP Project Table or the 2025-27 CIP Project Details document. A. 2025-27 CIP Project Table 1.Locate the project in the 2025–27 Detailed CIP Project Table by using Ctrl+F and searching by project name or keyword. 2.Project accounts are highlighted in gray. Sub-projects (if any) are listed in white underneath. 3.Funding amounts for sub-projects (if applicable) appear on their respective white rows. The Project row (in gray) reflects the total funding for all sub-projects within that fiscal year. 4.Funding amounts are shown in thousands of dollars ($1,000 units). For example, a project with a $1,200,000 budget will appear as $1,200. 5.Funding is distributed over a 10-year period, shown in columns by fiscal year starting in Fiscal Year 2025-26. 6.Sub-projects are aligned under Projects to show breakout of scope and associated funding. B. 2025-27 CIP Project Detail Sheets 1.Locate the project in the 2025–27 Detailed CIP Project Table by using Ctrl+F and searching by project name or keyword, or by finding the page number after using the CIP table of Contents. Projects Sub-Projects Sum Financial Plan Page 208 Page 728 of 994 CAPITAL IMPROVEMENT PLAN 2.Each project write-up provides expanded context and data, including: a.Project Number – A unique identifier for each project. b.Major City Goal – Alignment with 2025–27 City Council priorities. c.Project Classification – Functional area, ties to other CIP projects, community priority, and project type. d.Project Description – Explains the purpose, need, and key elements of the project. e.Fiscal Years – Shows the distribution of funding across ten years. f.Overall project (Upper Table) – Details all funding that support the project, which includes all sub-tasks. g. Sub-tasks (Lower Table) – Details any sub-projects and associated annual funding (shown in light blue) h.Fund & Funding Sources – White lines indicate funding source and amount of funding. All figures are shown in $1,000 units. Project Overall Project Details on Project Sub-Task Project Description Financial Plan Page 209 Page 729 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) CIP No. #2000027 - Urban Forest Maintenance 400$ 400$ 450$ 450$ 450$ 450$ 450$ 450$ 450$ 450$ CIP No. #2000029 - Bridge Maintenance 94$ -$ 50$ -$ 50$ -$ 50$ -$ 50$ -$ CIP No. #2000030 - Laguna Lake Golf Course Maintenance -$ 10$ -$ 10$ -$ 10$ -$ 10$ -$ 10$ CIP No. #2000031 - Parking Lot Maintenance 178$ -$ 1,010$ 500$ 40$ 475$ 1,700$ 400$ -$ -$ Laguna Lake Golf Course Paving Lot Paving -$ -$ -$ -$ -$ -$ 50$ 400$ -$ -$ Laguna Lake Parking Lot Paving -$ -$ -$ -$ -$ 75$ 1,250$ -$ -$ -$ Ludwick Community Center Parking Lot Paving -$ -$ 30$ 500$ -$ -$ -$ -$ -$ -$ Meadow Park Parking Lot Paving 178$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Santa Rosa Park Parking Lot Paving -$ -$ 980$ -$ -$ -$ -$ -$ -$ -$ Sinsheimer Park Parking Lot Paving -$ -$ -$ -$ 40$ 350$ -$ -$ -$ -$ Throop Park Parking Lot Paving -$ -$ -$ -$ -$ 50$ 400$ -$ -$ -$ CIP No. #2000032 - Pedestrian and Bicycle Pathway Maintenance -$ -$ 100$ 100$ 515$ 200$ 100$ 200$ -$ 100$ Andrews and Johnson Bike Path Maintenance -$ -$ -$ -$ 65$ 200$ -$ -$ -$ -$ Brookpine and Spanish Oaks Bike Path Maintenance -$ -$ -$ -$ 350$ -$ -$ -$ -$ -$ Pedestrian and Bicycle Pathway Maintenance -$ -$ 100$ 100$ 100$ -$ 100$ 200$ -$ 100$ CIP No. #2000033 - Playground Equipment Replacement 585$ -$ 629$ 100$ -$ 850$ 100$ 500$ -$ 100$ Anholm Playground Equipment Replacement -$ -$ -$ -$ -$ -$ 100$ 500$ -$ -$ DeVaul Ranch Playground Replacement 585$ -$ -$ -$ -$ -$ -$ -$ -$ -$ French Park Playground Equipment Replacement -$ -$ -$ -$ -$ -$ -$ -$ -$ 100$ Laguna Hills Playground Replacement -$ -$ -$ 100$ -$ 850$ -$ -$ -$ -$ Vista Lago Playground Replacement -$ -$ 629$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000037 - South Street Median Landscaping (1)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000038 - Edna Tank Recoating -$ -$ -$ 3,000$ -$ -$ -$ -$ -$ -$ CIP No. #2000050 - 871 Marsh Parking Structure Maintenance -$ -$ 2,000$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000053 - Bus Wash Replacement -$ 75$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000054 - Righetti Community Park 6,500$ -$ -$ -$ 2,300$ -$ 1,900$ -$ 9,500$ 6,110$ Righetti Park - Phase 1 (Play Structure and Fields) 6,500$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Righetti Park - Phase 2 (Pickleball)-$ -$ -$ -$ 2,300$ -$ -$ -$ -$ -$ Righetti Park - Phase 3 (Pump Track)-$ -$ -$ -$ -$ -$ 1,900$ -$ -$ -$ Righetti Park - Phase 4 (Basketball and Parking)-$ -$ -$ -$ -$ -$ -$ -$ 9,500$ -$ Righetti Park - Phase 5 (Tennis Courts)-$ -$ -$ -$ -$ -$ -$ -$ -$ 6,110$ CIP No. #2000056 - Development Agreement - City Share -$ -$ 800$ 1,000$ -$ 800$ -$ 500$ -$ -$ CIP No. #2000057 - Development Related Park Improvements -$ -$ 400$ -$ -$ -$ -$ -$ -$ -$ Righetti Park (Pocket Park)-$ -$ 400$ -$ -$ -$ -$ -$ -$ -$ Righetti Park (Linear Park)-$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000062 - Water Meters and Boxes 1,916$ 1,916$ 50$ 50$ 50$ -$ -$ -$ -$ -$ Water Meter and Box 1,450$ 1,450$ 50$ 50$ 50$ -$ -$ -$ -$ -$ Water Meters and Boxes - AMI Radio 466$ 466$ -$ -$ -$ -$ -$ -$ -$ -$ 2025-27 FP Outyears 2025-27 CIP Project Table 1 of 14Financial Plan Page 210Page 730 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears CIP No. #2000063 - Water Distribution Fire Hydrants 55$ 55$ 55$ 55$ 55$ 55$ 55$ 55$ -$ -$ CIP No. #2000065 - Point Repair 150$ -$ 250$ -$ 350$ -$ -$ -$ -$ -$ CIP No. #2000066 - Big Belly Replacements 170$ 85$ 265$ 90$ 90$ -$ -$ -$ -$ -$ Big Belly Trash and Recycling Cans in Parks -$ -$ 175$ -$ -$ -$ -$ -$ -$ -$ Compacting Big Belly in Small Parks 85$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Recycling-Solid Waste Big Belly in Downtown 85$ 85$ 90$ 90$ 90$ -$ -$ -$ -$ -$ CIP No. #2000073 - Vision Zero Program Implementation -$ 250$ 200$ 200$ -$ 200$ 200$ 200$ -$ 200$ CIP No. #2000075 - Major Facility Maintenance (185)$ 400$ 715$ 2,065$ 415$ 715$ 1,015$ 65$ 15$ 65$ Fire Station 1 Tile Roof Moisture Barrier & Termite Tenting -$ -$ -$ 120$ -$ -$ -$ -$ -$ -$ 879 Morro - Roof 75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ ADA Transition Plan Implementation -$ -$ 15$ -$ 15$ -$ 15$ -$ 15$ -$ Circulation Pump Rebuild (4)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ City County Community Room TI (paint, carpet, lighting fixtures)38$ -$ -$ -$ -$ -$ -$ -$ -$ -$ City Facilities Fence Maintenance (ROW, Parks, Facilities)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ City Hall Fire Alarm Fire Alarm Control Panel -$ 115$ -$ -$ -$ -$ -$ -$ -$ -$ City/County Library front steps -$ -$ -$ 15$ 250$ -$ -$ -$ -$ -$ Citywide Fire Alarm Communication Upgrade (Cell connection)-$ -$ -$ 50$ -$ -$ -$ -$ -$ -$ Corp Yard (Annual Asset Maintenance)(249)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Corp Yard Roof Coating -$ -$ -$ 50$ -$ 500$ -$ -$ -$ -$ Dispatch Center Flat Roof Coating 20$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Dispatch HVAC Replacement -$ -$ 150$ -$ -$ -$ -$ -$ -$ -$ Existing SLO Repertory Theater Tenant Improvements -$ -$ -$ 100$ -$ 150$ 1,000$ -$ -$ -$ Facility Roll Up Door Replacements - Various Locations -$ 20$ -$ 20$ -$ 20$ -$ 20$ -$ 20$ Fire Station 1 Administration Building Roof (39)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Hydration Stations -$ -$ -$ 25$ -$ 25$ -$ 25$ -$ 25$ IT Room Heat Pump Replacements -$ 20$ -$ 20$ -$ 20$ -$ 20$ -$ 20$ Parks and Recreation Roofing, Siding, and Exterior Painting -$ 170$ -$ -$ -$ -$ -$ -$ -$ -$ Police Department Emergency Communications Center Workstation/Carpet Replacement -$ 50$ 350$ -$ -$ -$ -$ -$ -$ -$ Railroad Museum Roof -$ -$ 30$ -$ 150$ -$ -$ -$ -$ -$ Railroad Safety Trail Fencing Replacement (112)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Senior Center Roof -$ -$ -$ 85$ -$ -$ -$ -$ -$ -$ Swim Center Bath House Ceiling (1)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Swim Center Deck Replacement -$ -$ 100$ 1,500$ -$ -$ -$ -$ -$ -$ Swim Center Exterior Paint -$ -$ -$ 80$ -$ -$ -$ -$ -$ -$ Swim Center Multipurpose Room flooring -$ 25$ -$ -$ -$ -$ -$ -$ -$ -$ Swim Center Old Bath House Roof 70$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Swim Center Olympic Pool Thermal Blankets 50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Therapy Pool Shade Structure Material Replacement (33)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 2 of 14Financial Plan Page 211Page 731 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears CIP No. #2000077 - WRRF - Asset Replacement 475$ 295$ 50$ 50$ 110$ -$ -$ -$ -$ -$ Cityworks Sewer Strategic Plan & Implementation -$ 20$ -$ -$ -$ -$ -$ -$ -$ -$ Rebuild Influent Storm Pumps 75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Screw Press 200$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Sewer Asset Replacement 200$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Sewer Coating Maintenance -$ 25$ -$ -$ -$ -$ -$ -$ -$ -$ Sewer Headworks Grit Piping and Blowers -$ 250$ -$ -$ -$ -$ -$ -$ -$ -$ Sludge Dry Bed Polymer Feed and Piping -$ -$ -$ -$ 60$ -$ -$ -$ -$ -$ UV Bulb Replacement (annual replacement)-$ -$ 50$ 50$ 50$ -$ -$ -$ -$ -$ CIP No. #2000078 - Ludwick Roof, Solar, Siding, and HVAC -$ -$ 2,500$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000082 - Sewer Lift Station Replacement - Silver City 200$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000084 - Sewer Maintenance Cover Adjustments 110$ 30$ 30$ 35$ 35$ -$ -$ -$ -$ -$ CIP No. #2000092 - Sewer Main Replacement: Buchon - Morro to Johnson 135$ -$ 2,485$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000093 - Sewer-main Replacement: Serrano, Bressi, Dana, and Higuera Pipeline Replacement -$ -$ -$ -$ 1,895$ -$ -$ -$ -$ -$ CIP No. #2000094 - Sewer-main Replacement: Foothill Siphon -$ -$ -$ 150$ 1,950$ -$ -$ -$ -$ -$ CIP No. #2000102 - Parking Lot Maintenance - Bus Yard 600$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000115 - Sinsheimer Park Playground Turf, Soft Surface Replacement -$ 50$ 250$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000117 - Cultural Arts District Parking Structure 628$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CADPS EV Charging Service (2 Year)115$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Cultural Arts District Parking Garage Construction 513$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000118 - Public Safety Center -$ 200$ -$ -$ 300$ 1,000$ -$ -$ -$ -$ Public Safety Center Entitlements/Design -$ -$ -$ -$ 300$ 1,000$ -$ -$ -$ -$ Public Safety Center Initial Scoping -$ 200$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000119 - Police Building - 1042 Tenant Improvements 350$ 4,310$ -$ -$ -$ -$ -$ -$ -$ -$ Police Building - 1042 TI 350$ 3,010$ -$ -$ -$ -$ -$ -$ -$ -$ Police Building - 1042 TI (HVAC Package Unit Replacement)-$ 300$ -$ -$ -$ -$ -$ -$ -$ -$ Police Building - 1042 TI (Hydronic System)-$ 1,000$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000120 - Police Building - 1042 Stop Gap Improvements 250$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000121 - Mobility Services TI -$ -$ 150$ -$ 1,000$ -$ -$ -$ -$ -$ CIP No. #2000122 - Fire Station 5 150$ -$ 440$ -$ -$ -$ -$ 300$ -$ -$ Fire Station 5 (Interim)-$ -$ 440$ -$ -$ -$ -$ -$ -$ -$ Fire Station 5 Entitlements & Environmental -$ -$ -$ -$ -$ -$ -$ 300$ -$ -$ Fire Station 5 Programming 150$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000150 - SGMA GSP 150$ 150$ 150$ 150$ 150$ -$ -$ -$ -$ -$ CIP No. #2000155 - OpenSLO Downtown (60)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000157 - Banner Arms, Bench Arms Rests, Signs 25$ 25$ 25$ 25$ 25$ 25$ 25$ 25$ 25$ 25$ CIP No. #2000165 - Transportation Impact Fee Program Update 50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000170 - Islay Sewer Replacement 2,100$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 3 of 14Financial Plan Page 212Page 732 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears CIP No. #2000198 - Silt Removal 170$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ CIP No. #2000402 - Electric Buses and Associated Infrastructure -$ 5,507$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000405 - Refurbishment of SLO Transit Buses 1,500$ 1,000$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000406 - Senior Center Paint and Window -$ 35$ 125$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000501 - Bob Jones Trail Solar Lighting (48)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000502 - Corporation Yard Perimeter Fence Replacement -$ -$ -$ -$ -$ -$ 30$ 300$ -$ -$ CIP No. #2000503 - Public Art Maintenance 110$ 210$ 210$ 210$ 210$ 210$ 210$ 210$ 210$ 210$ Public Art Coordination 110$ 110$ 110$ 110$ 110$ 110$ 110$ 110$ 110$ 110$ Public Art Procurement -$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ CIP No. #2000506 - Bus Stop Improvements 350$ 90$ 90$ 90$ 90$ 90$ 90$ 90$ 90$ 90$ CIP No. #2000508 - City Hall Drought Tolerant Landscaping and Restroom 300$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000510 - Public Art Installations 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ CIP No. #2000512 - Downtown Zig-Zig Lighting -$ 20$ 20$ 20$ 20$ 20$ 20$ 20$ 20$ 20$ CIP No. #2000513 - Electric Vehicle Charging Stations 442$ 430$ 30$ 30$ 180$ 30$ 280$ 430$ 30$ 30$ 1042 Walnut (Police Station) EV Charging Station 412$ -$ -$ -$ -$ -$ 250$ -$ -$ -$ Corporation Yard EV Charging Station -$ 400$ -$ -$ -$ -$ -$ 400$ -$ -$ Fire Station 1 EV Charging Station -$ -$ -$ -$ 150$ -$ -$ -$ -$ -$ Various City Facilities EV Charging Stations 30$ 30$ 30$ 30$ 30$ 30$ 30$ 30$ 30$ 30$ CIP No. #2000514 - Emerson Park Amenity Upgrades and Beautification 1,855$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000516 - Fire Station 3&4 Remodel 1,301$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000519 - Fleet Replacement: Parks and Rec 95$ 69$ 90$ -$ -$ -$ 603$ 180$ -$ -$ Golf Course Cart, Spray Applicator (1911) -$ -$ -$ -$ -$ -$ -$ 30$ -$ -$ Golf Course Diesel UTV w/ Dump Bed (1733) -$ -$ -$ -$ -$ -$ -$ 30$ -$ -$ Golf Course Mower (1518)-$ -$ 90$ -$ -$ -$ -$ -$ -$ -$ Golf Course Truck (0819) EV -$ 69$ -$ -$ -$ -$ -$ -$ -$ -$ Golf Course Utility Cart (1910) -$ -$ -$ -$ -$ -$ -$ 40$ -$ -$ Parks and Rec Admin Compact Pickup (1014)35$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Parks and Rec Rangers Dump Trailer (1641)-$ -$ -$ -$ -$ -$ 20$ -$ -$ -$ Parks and Rec Rangers F-350 (1606, 1615, 1616, 1623)-$ -$ -$ -$ -$ -$ 358$ -$ -$ -$ Parks and Rec Rangers Mini Ex. (1732)-$ -$ -$ -$ -$ -$ 80$ -$ -$ -$ Parks and Rec Rangers Tractor (1734)-$ -$ -$ -$ -$ -$ 100$ -$ -$ -$ Parks and Rec Rangers Trail Dozer (1825)-$ -$ -$ -$ -$ -$ -$ 80$ -$ -$ Parks and Rec Rangers Trailers (0715, 0716, 0717)-$ -$ -$ -$ -$ -$ 45$ -$ -$ -$ Parks and Rec Van (New Asset)60$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000520 - Fleet Replacement: Public Works 368$ 698$ 849$ 795$ 1,806$ 1,439$ 1,252$ 2,016$ 280$ 930$ Engineering Compact Pickup (0904) EV 65$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Engineering Compact Pickup (0905) EV -$ 65$ -$ -$ -$ -$ -$ -$ -$ -$ Engineering Pickup (1521, 1632, 1718, 2220, 2305) EV -$ -$ -$ -$ 76$ 79$ 83$ -$ -$ -$ 2025-27 CIP Project Table 4 of 14Financial Plan Page 213Page 733 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Facilities Maintenance 3/4 ton Pickup with Utility Bed (0829) EV -$ 75$ -$ -$ -$ -$ -$ -$ -$ -$ Facilities Maintenance 3/4 ton Pickup with Utility Bed (1624,1625)-$ -$ -$ -$ 160$ -$ -$ -$ -$ -$ Fleet Maintenance Forklifts (1640 & 1820)-$ -$ -$ -$ -$ 90$ -$ 100$ -$ -$ Fleet Maintenance Service Truck (0312)-$ -$ 80$ -$ -$ -$ -$ -$ -$ -$ Golf Course Mower (1725) -$ -$ -$ -$ -$ -$ 90$ -$ -$ -$ Golf Course Mower-Reel (1907) -$ -$ -$ -$ -$ -$ -$ 90$ -$ -$ Parks Maint Mower (1611)-$ -$ 90$ -$ -$ -$ -$ -$ -$ -$ Parks Maint Refuse Truck F450 (1015)-$ 80$ 80$ 80$ 80$ 80$ -$ -$ -$ -$ Parks Maint Turf Tender (0609)-$ 22$ -$ -$ -$ -$ -$ -$ -$ -$ Parks Maintenance - Mower (1504)-$ -$ 90$ -$ -$ -$ -$ -$ -$ -$ Parks Maintenance 3/4 ton Pickup (0832)(0903) EV 65$ 69$ -$ -$ -$ -$ -$ -$ -$ -$ Parks Maintenance 3/4 ton Pickup (1514,26, 27, 28, 29, 30, 1819)-$ -$ -$ -$ 455$ -$ -$ 86$ -$ -$ Parks Maintenance Aerator (1904)-$ -$ -$ -$ -$ -$ -$ 20$ -$ -$ Parks Maintenance Compact Pickup (0848) Hybrid/EV -$ 39$ -$ -$ -$ -$ -$ -$ -$ -$ Parks Maintenance Compact Pickup (0849)38$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Parks Maintenance Field Prep Machine (0505, 0701, 1408)-$ -$ -$ 55$ -$ -$ 30$ -$ -$ -$ Parks Maintenance Tractor (1807)-$ -$ -$ -$ -$ -$ -$ 120$ -$ -$ Parks Maintenance Turf Sweeper (1513)-$ -$ -$ -$ -$ -$ 30$ -$ -$ -$ Parks Maintenance Utility Cart w/ Dump (1803)-$ -$ -$ -$ -$ 30$ -$ -$ -$ -$ Parks MCC Compact Pickup (1013)-$ -$ 69$ -$ -$ -$ -$ -$ -$ -$ Streets Maint Compact Pickup (0223) (GPR Truck) EV -$ 80$ -$ -$ -$ -$ -$ -$ -$ -$ Streets Maint HD Roll-Off Truck (0830) -$ -$ 100$ 100$ 100$ 100$ 100$ -$ -$ -$ Streets Maint Paver (1001)-$ -$ -$ 80$ 80$ 80$ 80$ 80$ -$ -$ Streets Maintenance 1/2 Ton Pickup Truck (1525)-$ -$ -$ -$ 76$ -$ -$ -$ -$ -$ Streets Maintenance 3/4 ton Pickup (0820) EV -$ -$ 72$ -$ -$ -$ -$ -$ -$ -$ Streets Maintenance Asphalt Zipper (1802)-$ -$ -$ -$ -$ 300$ -$ -$ -$ -$ Streets Maintenance Backhoe (0413)200$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Streets Maintenance Backhoe (1714)-$ -$ -$ -$ 300$ -$ -$ -$ -$ -$ Streets Maintenance Compact Pickup - Replace w/ Van (0853)-$ -$ 69$ -$ -$ -$ -$ -$ -$ -$ Streets Maintenance Crack Seal Machine (1805)-$ -$ -$ -$ -$ 60$ -$ -$ -$ -$ Streets Maintenance F-550 Concrete (1519)-$ -$ -$ -$ -$ 125$ -$ -$ -$ -$ Streets Maintenance F-550 Paint & Sign (1622)-$ -$ -$ -$ -$ -$ 125$ -$ -$ -$ Streets Maintenance F-550 Traffic Control Truck(1905)-$ -$ -$ -$ -$ -$ -$ 150$ -$ -$ Streets Maintenance F-750 Dump Truck (1405)-$ -$ -$ -$ -$ 80$ 80$ 80$ 80$ 80$ Streets Maintenance Loader (0329)-$ -$ -$ 80$ 80$ 80$ 80$ 80$ -$ -$ Streets Maintenance Message Board (1906)-$ -$ -$ -$ -$ -$ -$ 35$ -$ -$ Streets Maintenance Paving Broom Sweeper (1824)-$ -$ -$ -$ -$ -$ -$ 750$ -$ -$ Streets Maintenance Pickup (1722)-$ -$ -$ -$ -$ -$ 90$ -$ -$ -$ 2025-27 CIP Project Table 5 of 14Financial Plan Page 214Page 734 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Streets Maintenance Pickup (1723)-$ -$ -$ -$ -$ -$ 90$ -$ -$ -$ Streets Maintenance Pressure Washer (2102)-$ -$ -$ -$ -$ 35$ -$ -$ -$ -$ Streets Maintenance Roller (1002)-$ -$ -$ 100$ -$ -$ -$ -$ -$ -$ Streets Maintenance Skip & Drag (1823)-$ -$ -$ -$ -$ -$ 175$ -$ -$ -$ Streets Maintenance Trailer (1902)-$ -$ -$ -$ -$ -$ -$ 25$ -$ -$ Streets Maintenance Trailer - Tack Distribution (1301)-$ -$ -$ 35$ -$ -$ -$ -$ -$ -$ Streets Maintenance Transfer Dump (1901)-$ -$ -$ -$ -$ -$ -$ -$ -$ 750$ Streets- Sweeper (1703) EV -$ 200$ 200$ 200$ 200$ 200$ -$ -$ -$ -$ Transportation Planning E-150 Van (1402)-$ -$ -$ 65$ -$ -$ -$ -$ -$ -$ Urban Forest Pickup (0852) EV -$ 69$ -$ -$ -$ -$ -$ -$ -$ -$ Urban Forest Chipper (1717)-$ -$ -$ -$ 100$ -$ -$ -$ -$ -$ Urban Forest Chipper Truck (1806)-$ -$ -$ -$ -$ -$ -$ 200$ -$ -$ Urban Forestry Lift Truck (1816)-$ -$ -$ -$ -$ -$ 100$ 100$ 100$ 100$ Urban Forestry Water Truck (1612) -$ -$ -$ -$ 100$ 100$ 100$ 100$ 100$ -$ CIP No. #2000521 - Fleet Replacement: Utilities 238$ 600$ 1,758$ 396$ 648$ 908$ 723$ 50$ 268$ 200$ Camera Replacement in Wastewater Collection Van 200$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Environmental Compliance - Compact Pickup (0816)-$ -$ -$ 46$ -$ -$ -$ -$ -$ -$ Environmental Compliance - Sedan (0805)-$ -$ 42$ -$ -$ -$ -$ -$ -$ -$ Stormwater Compact Pickup (0850) EV -$ -$ 42$ -$ -$ -$ -$ -$ -$ -$ Wastewater Collection Van (1643) -$ -$ -$ -$ -$ 125$ -$ -$ -$ -$ Wastewater Collections Portable Pump (1730)-$ -$ -$ -$ -$ -$ 75$ -$ -$ -$ Wastewater Collections Caterpillar Excavator (0626)-$ -$ -$ -$ 100$ -$ -$ -$ -$ -$ Wastewater Collections Concrete Trailer (1804) -$ -$ -$ -$ -$ -$ -$ 50$ -$ -$ Wastewater Collections Dump Truck (0840)-$ -$ -$ -$ 350$ -$ -$ -$ -$ -$ Wastewater Collections Hydrocleaner (1407) -$ -$ 575$ -$ -$ -$ -$ -$ -$ -$ Wastewater Collections Portable Generator (1620)-$ -$ -$ -$ -$ -$ 200$ -$ -$ -$ Wastewater Collections Service Truck (1608) -$ -$ -$ -$ -$ 100$ -$ -$ -$ -$ Wastewater Collections Service Truck (1810)-$ -$ -$ -$ -$ 100$ -$ -$ -$ -$ Wastewater Collections Truck (1631)-$ -$ -$ -$ -$ -$ 83$ -$ -$ -$ Wastewater Collections Truck w/Dump Bed (1811)-$ -$ -$ -$ -$ -$ 100$ -$ -$ -$ Water Conservation Compact Pickup (1613) -$ -$ -$ -$ -$ 53$ -$ -$ -$ -$ Water Distribution - Water Distribution Service Truck (0847)-$ -$ 600$ -$ -$ -$ -$ -$ -$ -$ Water Distribution Backhoe (0720)-$ -$ 250$ -$ -$ -$ -$ -$ -$ -$ Water Distribution Hydro Ex Trailer (1621)-$ -$ -$ 150$ -$ -$ -$ -$ -$ -$ Water Distribution Meter Van (1909) -$ -$ -$ -$ -$ -$ -$ -$ 75$ -$ Water Distribution Pickup - Long-range (1629)-$ -$ 76$ -$ -$ -$ -$ -$ -$ -$ Water Distribution Pickup (1523)-$ -$ -$ -$ -$ 79$ -$ -$ -$ -$ Water Distribution Pickup (1724)-$ -$ -$ -$ -$ -$ 90$ -$ -$ -$ 2025-27 CIP Project Table 6 of 14Financial Plan Page 215Page 735 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Water Distribution Pickup (1903)-$ -$ -$ -$ -$ -$ -$ -$ 97$ -$ Water Distribution Pickup (1908)-$ -$ -$ -$ -$ -$ -$ -$ 97$ -$ Water Distribution Portable Generator (1619)-$ -$ -$ -$ -$ 200$ -$ -$ -$ -$ Water Distribution Portable Generator (2007)-$ -$ -$ -$ -$ -$ -$ -$ -$ 200$ Water Distribution Service Truck (0846)-$ 600$ -$ -$ -$ -$ -$ -$ -$ -$ Water Distribution Trailer (0235)-$ -$ -$ -$ 25$ -$ -$ -$ -$ -$ Water Quality Lab SUV (1713)-$ -$ -$ -$ -$ 73$ -$ -$ -$ -$ Water Treatment Plant Forklift (0910)-$ -$ 75$ -$ -$ -$ -$ -$ -$ -$ Water Treatment Plant Pickup (1004)-$ -$ 69$ -$ -$ -$ -$ -$ -$ -$ Water Treatment Plant Service Truck (1644)-$ -$ -$ -$ -$ -$ 100$ -$ -$ -$ Whale Rock - Boat -$ -$ -$ -$ 40$ -$ -$ -$ -$ -$ Whale Rock 1/2 Ton Truck (1630)-$ -$ -$ -$ 83$ -$ -$ -$ -$ -$ Whale Rock Boat Trailer -$ -$ -$ -$ 10$ -$ -$ -$ -$ -$ Whale Rock Portable Generator (1302) -$ -$ -$ 200$ -$ -$ -$ -$ -$ -$ Whale Rock Service Truck (1637)-$ -$ -$ -$ -$ 100$ -$ -$ -$ -$ Whale Rock SUV (1738)-$ -$ -$ -$ -$ -$ 76$ -$ -$ -$ Whale Rock UTV w/ Dump Bed (1509)-$ -$ 30$ -$ -$ -$ -$ -$ -$ -$ WRRF Compact Pickup 4x4 (0851)38$ -$ -$ -$ -$ -$ -$ -$ -$ -$ WRRF Compact Pickup (1522)-$ -$ -$ -$ -$ 79$ -$ -$ -$ -$ WTP Utility Cart -$ -$ -$ -$ 40$ -$ -$ -$ -$ -$ CIP No. #2000527 - Point Repairs - Wastewater Collections System 340$ 240$ 240$ -$ 240$ -$ -$ -$ -$ -$ CIP No. #2000529 - Recycled Water Orcutt Street - Fernwood to Laurel -$ 1,900$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000530 - Recycled Water Tank 100$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000531 - Recycled Water and Ultraviolet Disinfection Maintenance (602)-$ 10$ 10$ 10$ 10$ -$ -$ -$ -$ -$ CIP No. #2000532 - Major Facility Replacements -$ -$ 50$ 100$ -$ -$ -$ 2,000$ -$ -$ CIP No. #2000533 - Cutaway Bus Replacememt 260$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000536 - Fleet Replacement: Transit 150$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000537 - Transportation Monitoring & Modeling Update 15$ 55$ 55$ 55$ 55$ 55$ 55$ 55$ 55$ 55$ CIP No. #2000540 - Water Distribution System Hydraulic Model Update -$ -$ 120$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000542 - WTP Major Facility Maintenance 113$ -$ 120$ 1,280$ 1,098$ -$ -$ -$ -$ -$ Actiflo Electrical Panel Replacement -$ -$ -$ 100$ -$ -$ -$ -$ -$ -$ Actiflo Poly Blend Units 25$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Contact Basin Drain Repair - Ozone System 38$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Effluent Pipe Corrosion Protection 50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Facility Master Plan -$ -$ -$ 700$ 1,000$ -$ -$ -$ -$ -$ Package Thickener -$ -$ -$ 480$ -$ -$ -$ -$ -$ -$ Washwater Reclamation Pipe Cleaning -$ -$ -$ -$ 38$ -$ -$ -$ -$ -$ Cityworks Integration -$ -$ 120$ -$ -$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 7 of 14Financial Plan Page 216Page 736 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Sludge Drying Beds -$ -$ -$ -$ 60$ -$ -$ -$ -$ -$ CIP No. #2000543 - Stenner Canyon Waterline Replacement -$ -$ -$ 80$ 1,100$ -$ -$ -$ -$ -$ CIP No. #2000546 - Highland at UPRR and Cal Poly Waterline Replacement -$ -$ -$ -$ 850$ -$ -$ -$ -$ -$ CIP No. #2000547 - Foothill - Chorro to California 24" Pipeline Inter-tie -$ -$ -$ -$ 180$ 3,080$ -$ -$ -$ -$ CIP No. #2000548 - Water - Pipeline Replacement -$ -$ -$ -$ -$ 5,700$ 9,785$ 7,475$ 6,165$ 7,855$ CIP No. #2000549 - Whale Rock Pump Station Rehab (A and B)-$ -$ 5,039$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000551 - WRRF Power Cogeneration Upgrade -$ 1,475$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000553 - Fleet Replacement: Police 705$ 437$ 933$ 1,112$ 588$ 465$ 272$ 479$ 286$ 293$ Admin sedan (1531) EV -$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Admin sedan (1534)70$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Police Investigations Enclosed Trailer (0115)-$ -$ -$ 25$ -$ -$ -$ -$ -$ -$ Police Investigations Sedan (1016)65$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Police Patrol Electric SUV (1 -2 Vehicles Per Year) EV -$ 115$ 90$ -$ -$ 265$ -$ -$ -$ -$ Police Patrol Electric SUV (1-2 Vehicles Per Year) EV -$ -$ 164$ 261$ 258$ -$ 272$ 279$ 286$ 293$ Police Transport Van (0222)-$ -$ -$ -$ 120$ -$ -$ -$ -$ -$ 3.7L AWD Police Sedan (1638)-$ -$ -$ 75$ -$ -$ -$ -$ -$ -$ Captain SUV (1715)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Communications Lieutenant Vehicle (NEW)65$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Investigation Sedan (1532)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Investigations Mini Van (1614) Hybrid -$ 70$ -$ -$ -$ -$ -$ -$ -$ -$ Investigations Sedan (1533)70$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Investigations Sedan (1628)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Investigations Sedan (1635)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Investigations SUV (1535)-$ 65$ -$ -$ -$ -$ -$ -$ -$ -$ Investigations SUV (1601)-$ -$ 70$ -$ -$ -$ -$ -$ -$ -$ Motorcycle (1817)-$ -$ -$ 45$ -$ -$ -$ -$ -$ -$ Patrol SUV (2 to 4 Vehicles)370$ 187$ 194$ -$ -$ 200$ -$ 200$ -$ -$ PD Motors Unit #M1 (2205)-$ -$ -$ -$ 45$ -$ -$ -$ -$ -$ PD Motors Unit #M1 (2206)-$ -$ -$ -$ 45$ -$ -$ -$ -$ -$ PD Motors Unit #M1 (2207)-$ -$ -$ -$ 45$ -$ -$ -$ -$ -$ Police FST Truck (1633)-$ -$ -$ 75$ -$ -$ -$ -$ -$ -$ Police Motorcycles (1602, 1603)65$ -$ 65$ -$ -$ -$ -$ -$ -$ -$ Public Safety Mobile Command Vehicle/City EOC -$ -$ -$ 550$ -$ -$ -$ -$ -$ -$ SWAT Trailer Enclosed, 2 Axle, Complex (0845)-$ -$ -$ -$ 75$ -$ -$ -$ -$ -$ Truck to tow the Mobile Command Trailer -$ -$ -$ 82$ -$ -$ -$ -$ -$ -$ CIP No. #2000554 - Fleet Replacement: Fire 300$ 675$ 450$ 1,900$ 1,290$ 800$ 850$ 850$ 350$ 480$ 1/2 Ton SUV - Battallion Chief Vehicle (1706)-$ -$ 100$ -$ -$ -$ -$ -$ -$ -$ 1/2 Ton SUV - General Utility Vehicle (1406)-$ -$ 50$ -$ -$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 8 of 14Financial Plan Page 217Page 737 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Cart Utility w/ Dump Bed (1802)-$ 25$ -$ -$ -$ -$ -$ -$ -$ -$ Connect Van XL (2201)-$ -$ -$ -$ -$ -$ -$ 50$ -$ -$ Engine 3 (2004)-$ -$ -$ -$ -$ -$ -$ -$ 350$ 350$ Fire 1/2 ton Truck (2)-$ -$ -$ -$ -$ -$ 100$ -$ -$ -$ Fire Truck 1 - Tiller Ladder Truck (Replacement) (1017) -$ -$ -$ 1,300$ 300$ 300$ 300$ 300$ -$ -$ Fire Truck 2 - Quint (Replacement) (1814)-$ -$ -$ 300$ 300$ 300$ 300$ 300$ -$ -$ Forklift (1626)-$ -$ -$ -$ -$ -$ -$ -$ -$ 30$ Medic Rescue (Ambulance) (1822)-$ -$ -$ -$ 300$ -$ -$ -$ -$ -$ Patrol - Type VI Fire Engine -$ 350$ -$ -$ -$ -$ -$ -$ -$ -$ Pickup 1/2 ton (0801) -$ -$ -$ -$ -$ 100$ -$ -$ -$ -$ Pickup Truck 1/2 (0702)-$ -$ -$ -$ -$ -$ -$ -$ -$ 100$ Pickup Truck 1/2 (1719)-$ -$ -$ -$ -$ -$ 50$ -$ -$ -$ Pickup Truck 3/4 (1821)-$ -$ -$ -$ -$ 100$ -$ -$ -$ -$ Pickup Truck 3/4 (2221)-$ -$ -$ -$ -$ -$ -$ 100$ -$ -$ Small SUVs (2) (1604,1605)-$ -$ -$ -$ 120$ -$ -$ -$ -$ -$ Station 5 Fire Apparatus 300$ 300$ 300$ 300$ 150$ -$ -$ -$ -$ -$ SUV 1/2 Ton 4x4 (2202)-$ -$ -$ -$ -$ -$ -$ 100$ -$ -$ SUV 1/2 Ton 4x4 (2208)-$ -$ -$ -$ -$ -$ 100$ -$ -$ -$ SUVs (2) (Light Fleet) (1503, 1502)-$ -$ -$ -$ 120$ -$ -$ -$ -$ -$ CIP No. #2000555 - Fleet Replacement: Admin -$ -$ -$ -$ 50$ 252$ 100$ 159$ -$ -$ City Hall and 919 Pool Cars (1541, 1710, 1711, 1720, 1721) EV -$ -$ -$ -$ 50$ 100$ 100$ -$ -$ -$ Information Tech SUV (1826) EV -$ -$ -$ -$ -$ -$ -$ 80$ -$ -$ Information Tech Van (1634) EV -$ -$ -$ -$ -$ 73$ -$ -$ -$ -$ Information Tech Van (1815) EV -$ -$ -$ -$ -$ -$ -$ 80$ -$ -$ Natural Resources Pickup Truck 4x4 (1520) EV -$ -$ -$ -$ -$ 79$ -$ -$ -$ -$ CIP No. #2000557 - Swim Center Expansion -$ -$ -$ -$ -$ -$ -$ -$ -$ 100$ CIP No. #2000561 - Sewer-main Replacement: Morro, Mill, Santa Rosa, and Chorro 145$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000563 - Waterline Replacement: California Ave - Taft to Mill 2,570$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000568 - Golf Course Pro Shop - Flood Damage Repair -$ 250$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000570 - Sewer-main Replacements: Taft, Hathaway, Phillips, Buena Vista, and Loomis 330$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000571 - Sewer-main Replacements: San Jose, Ramona, Monte Vista, and California -$ 310$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000574 - Parking Pay Station Installation 500$ 500$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000577 - Police Station TI - 1106 Walnut 75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000601 - Public Safety IT Replacements 1,152$ 398$ 1,546$ 352$ 761$ 1,144$ 299$ 1,254$ 1,020$ 446$ 911 Phone System -$ -$ -$ -$ 300$ -$ -$ -$ -$ -$ Access Control (Automatic Gate Card System)-$ -$ 150$ -$ -$ -$ -$ 174$ -$ -$ Audio Recording System Replacement -$ 174$ -$ -$ -$ -$ 200$ -$ -$ -$ Body Worn Cameras and In-Car Video Replacement -$ -$ -$ -$ 250$ -$ -$ -$ 281$ -$ 2025-27 CIP Project Table 9 of 14Financial Plan Page 218Page 738 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears CAD/RMS Replacement -$ -$ 900$ -$ -$ -$ -$ -$ -$ -$ ECC Computers -$ -$ -$ 169$ -$ -$ -$ 190$ -$ -$ ECC Audio Visual System -$ -$ -$ -$ -$ -$ -$ -$ 457$ -$ ECC Equipment Replacement -$ -$ 39$ 39$ -$ -$ 44$ 44$ -$ -$ ECC Radio Consoles -$ -$ -$ -$ -$ -$ -$ -$ 202$ -$ ECC UPS 161$ -$ -$ -$ -$ -$ -$ 198$ -$ -$ Fire Station Alerting System 340$ -$ -$ -$ -$ 375$ -$ -$ -$ -$ PD Data Storage -$ 163$ -$ -$ -$ 184$ -$ -$ -$ 207$ Police CAD Hardware (Servers and Storage)-$ -$ 406$ -$ -$ -$ -$ 470$ -$ -$ Public Safety MDC 443$ -$ -$ -$ -$ 515$ -$ -$ -$ -$ Public Safety POD Cameras 63$ 61$ 51$ -$ 71$ 70$ 55$ -$ 80$ 77$ Radio Handhelds & Mobiles 145$ -$ -$ 144$ -$ -$ -$ 178$ -$ -$ Storage Refresh/Expansion (PD)-$ -$ -$ -$ 140$ -$ -$ -$ -$ 162$ CIP No. #2000603 - Enterprise IT Replacements 351$ -$ 340$ 1,257$ -$ 59$ 322$ 108$ 183$ 593$ Asset Works Upgrades -$ -$ 143$ -$ -$ -$ -$ -$ -$ -$ Chamber AV Replacement (Broadcast System)-$ -$ -$ 250$ -$ -$ -$ -$ -$ -$ Citywide Radio Simulcast Backend Upgrade (Tait)-$ -$ -$ 850$ -$ -$ -$ -$ -$ -$ Escribe replacement -$ -$ 40$ -$ -$ -$ -$ -$ -$ -$ Facility Security Cameras 51$ -$ -$ 46$ -$ 59$ 61$ -$ 54$ -$ Facility Security Citywide Camera Storage -$ -$ -$ 46$ -$ -$ -$ -$ 54$ -$ Parks & Rec ActiveNet Software Replacement -$ -$ 50$ -$ -$ -$ -$ -$ -$ -$ Radios, Mobiles and stations not replaced - EF & PW Only -$ -$ -$ -$ -$ -$ 246$ -$ -$ -$ Security Video System Replacement (Camera&Software)-$ -$ -$ 64$ -$ -$ -$ -$ 75$ -$ UB System Upgrade -$ -$ -$ -$ -$ -$ -$ -$ -$ 202$ VoIP Telephone System 300$ -$ -$ -$ -$ -$ -$ -$ -$ 391$ Wireless System Citywide -$ -$ 107$ -$ -$ -$ 15$ 108$ -$ -$ CIP No. #2000604 - Network IT Replacements 242$ 223$ 192$ 989$ 406$ 462$ 289$ -$ 1,070$ 1,069$ City SAN -$ 223$ -$ -$ -$ 251$ -$ -$ -$ 283$ Firewall Replacement -$ -$ -$ -$ 290$ -$ -$ -$ -$ 336$ Network Security Upgrade -$ -$ 137$ -$ -$ 149$ -$ -$ 163$ -$ Network Switching Infrastructure Equipment -$ -$ -$ 544$ -$ -$ -$ -$ 631$ -$ Network Switching Infratstructure Equipment -$ -$ -$ 93$ -$ -$ -$ -$ 108$ -$ PD/City backup storage, secondary storage -$ -$ -$ 87$ -$ -$ -$ -$ 101$ -$ Uninterruptible Power Supplies (UPS’s Servers and Storage)-$ -$ 56$ -$ -$ 61$ -$ -$ 67$ -$ Virtual Private Network Replace -$ -$ -$ -$ 116$ -$ -$ -$ -$ 134$ VMware Infrastructure Upgrade 242$ -$ -$ 264$ -$ -$ 289$ -$ -$ 316$ CIP No. #2000608 - Active Transportation Plan Implementation -$ 200$ 200$ 400$ 200$ 350$ 550$ 200$ 400$ 200$ Active Transporation Plan Tier 1 Network Implementation -$ -$ -$ -$ -$ 150$ 150$ -$ -$ -$ 2025-27 CIP Project Table 10 of 14Financial Plan Page 219Page 739 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Bicycle Facility Improvements -$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ Pavement Maintenance Projects Complete Street Components -$ -$ -$ 200$ -$ -$ 200$ -$ 200$ -$ Pedestrian Facility Improvements -$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ CIP No. #2000610 - Fleet Replacement: CDD -$ -$ -$ -$ -$ -$ -$ 325$ -$ -$ CIP No. #2000611 - Fleet Replacement: Parking -$ 50$ -$ 66$ -$ -$ 76$ 300$ -$ -$ 919 Palm Structure Generator -$ -$ -$ -$ -$ -$ -$ 300$ -$ -$ Mobility Services Pool Car (EV)-$ 50$ -$ -$ -$ -$ -$ -$ -$ -$ Parking Services SUV (1737)-$ -$ -$ -$ -$ -$ 76$ -$ -$ -$ Parking Services SUV with LPR (1401)-$ -$ -$ 66$ -$ -$ -$ -$ -$ -$ CIP No. #2000616 - 2025 Paving Project 5,237$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000617 - 2026 Paving Project -$ 4,303$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2000900 - Multi Generational Community Center -$ -$ -$ -$ -$ -$ -$ -$ -$ 100$ CIP No. #2001001 - Street Reconstruction & Resurfacing -$ -$ 4,827$ 4,374$ 4,402$ 4,430$ 6,019$ 5,869$ 5,603$ 5,350$ CIP No. #2001002 - Sidewalk Maintenance 140$ 250$ 250$ 250$ 250$ 250$ 150$ 150$ 150$ 150$ CIP No. #2001003 - Traffic Maintenance and Replacement 360$ 430$ 500$ 300$ 500$ 500$ 500$ 500$ 500$ 500$ No Parking Sign Installations 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ 100$ Traffic Signal Asset Maintenance and Replacements (ADA)100$ 200$ 200$ 100$ 200$ 200$ 200$ 200$ 200$ 200$ Traffic Signs & Striping Maintenance 160$ 130$ 200$ 100$ 200$ 200$ 200$ 200$ 200$ 200$ CIP No. #2001004 - Water Distribution Utility Trench Repair 340$ 340$ 340$ 340$ 340$ -$ -$ -$ -$ -$ CIP No. #2001005 - Water Valve Cover Adjustments 285$ 35$ 35$ 35$ 35$ -$ -$ -$ -$ -$ CIP No. #2001008 - Downtown Renewal (73)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001009 - Whale Rock Reservoir – Asset Replacement 40$ 20$ 220$ 20$ 70$ 20$ 20$ 120$ 120$ 120$ Intake Valve Replacements -$ -$ 200$ -$ -$ -$ -$ -$ -$ -$ Reservoir Fencing 20$ 20$ 20$ 20$ 20$ -$ -$ -$ -$ -$ Shop Pavement Repair -$ -$ -$ -$ 50$ -$ -$ -$ -$ -$ Stilling Basin 20$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Whale Rock - Major Maintenance -$ -$ -$ -$ -$ 20$ 20$ 120$ 120$ 120$ CIP No. #2001010 - Parks Major Maintenance 2$ 575$ 475$ 480$ 585$ 1,510$ 405$ 660$ 80$ 385$ ADA Transition Plan Implementation -$ -$ 25$ -$ 25$ -$ 25$ 25$ -$ -$ Cheng Park Maintenance (124)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Concrete Bench & Table Replacement Various Locations 15$ 15$ 15$ 15$ 15$ 15$ 15$ 15$ 15$ 15$ Devaul Basketball Court Replacement -$ -$ -$ -$ -$ -$ 15$ 250$ -$ -$ Irrigation Mainline Leak Repair 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ Islay Park Flatwork Replacement -$ 40$ -$ -$ -$ -$ -$ -$ -$ -$ Johnson Park Sidewalk & Tree Replacement -$ -$ -$ -$ 175$ -$ -$ -$ -$ -$ Laguna Lake Park Docks and Ramp -$ -$ 100$ -$ -$ -$ -$ -$ -$ -$ Landscape Controller System Upgrade to Calsense -$ 150$ -$ -$ -$ -$ -$ -$ -$ -$ Madonna Road Landscaping and Irrigation Replacement (26)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 11 of 14Financial Plan Page 220Page 740 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Meadow Park Exercise/Par Course Equipment Replacement (40)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Mission Plaza Railing Upgrade -$ 35$ -$ 35$ -$ 35$ -$ 35$ -$ 35$ Parks Play Surfacing 285$ 285$ 285$ 280$ 285$ 285$ 285$ 285$ -$ 285$ Sinsheimer Park Outfield Wall Replacement -$ -$ -$ -$ 20$ 125$ -$ -$ -$ -$ Sinsheimer Park Stadium Bleachers -$ -$ -$ 100$ -$ 1,000$ -$ -$ -$ -$ Sinsheimer Stadium Irrigation and Drainage Replacement (158)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Water Stations & Supply Lines -$ -$ -$ -$ 15$ -$ 15$ -$ 15$ -$ CIP No. #2001011 - Open Space Maintenance 125$ 125$ 170$ 170$ 170$ 170$ 170$ 170$ 170$ 170$ General Open Space Maintenance 75$ 75$ 120$ 120$ 120$ 120$ 120$ 120$ 120$ 120$ Open Space Fencing 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ 50$ CIP No. #2001014 - Multisite Energy Management (72)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001015 - Neighborhood Traffic Improvements -$ 35$ 35$ 35$ 35$ 35$ 35$ 35$ 35$ 35$ CIP No. #2001016 - Street Lights -$ 80$ 80$ 80$ 80$ 80$ 80$ 80$ 80$ 80$ CIP No. #2001017 - Whale Rock Reservoir Transmission Pipeline Replacement 90$ 960$ 550$ -$ 1,800$ 1,800$ 1,800$ -$ -$ -$ Pipeline Creek Crossing Repairs 30$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Transmission Pipeline Repairs 60$ 960$ 550$ -$ 1,800$ -$ -$ -$ -$ -$ Whale Rock - Pipeline Replacement -$ -$ -$ -$ -$ 1,800$ 1,800$ -$ -$ -$ CIP No. #2001024 - Sewer Inflow and Infiltration Reduction 420$ 420$ 420$ 250$ 250$ -$ -$ -$ -$ -$ CIP No. #2001025 - Sewer Utility Trench Repair 25$ 25$ 25$ 30$ 30$ -$ -$ -$ -$ -$ CIP No. #2001026 - WTP Major Maintenance 180$ 180$ 180$ 180$ 180$ -$ -$ -$ -$ -$ Chemical System Maintenance 33$ 33$ 33$ 33$ 33$ -$ -$ -$ -$ -$ Compressor and Dryer Maintenance 7$ 7$ 7$ 7$ 7$ -$ -$ -$ -$ -$ Ozone System Maintenance 140$ 140$ 140$ 140$ 140$ -$ -$ -$ -$ -$ CIP No. #2001028 - Lead By Example -$ -$ 1,305$ 1,120$ -$ -$ -$ -$ -$ -$ Building Electrification - City Hall Heat Pump -$ -$ 100$ 750$ -$ -$ -$ -$ -$ -$ Building Electrification - Rooftop Units at Corp Yard -$ -$ 55$ 370$ -$ -$ -$ -$ -$ -$ Building Electrification - Swim Center Heat Pump -$ -$ 1,150$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001029 - License Plate Recognition Replacement -$ -$ -$ 100$ -$ -$ 50$ -$ -$ -$ CIP No. #2001031 - Laguna Lake Golf Course Irrigation Improvements -$ -$ -$ -$ -$ 300$ 1,700$ -$ -$ -$ CIP No. #2001032 - Pismo Street Retaining Wall (Storm Recovery)100$ 1,900$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001033 - Downtown Transit Center Rehabilitation 250$ -$ 3,000$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001034 - Police Range Facility Improvements and Rehabilitation -$ -$ -$ -$ 250$ 750$ -$ -$ -$ -$ CIP No. #2001035 - Emily Street Extension -$ -$ -$ -$ -$ -$ -$ -$ -$ 200$ CIP No. #2001039 - Sewer Main Replacement: Broad, Murray, and Chorro -$ -$ 145$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001040 - Waterline Replacement: Chorro - Highland to Meinecke 24-inch Pipeline Replacement 100$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001041 - Water Treatment Plant - Filter Media Replacement and Underdrain Repairs 480$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001042 - Sewer-main Replacement: Chorro - Boysen to Rougeot -$ 2,750$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001043 - Recycled Water Pump Station Maintenance -$ 45$ -$ -$ 45$ -$ -$ -$ -$ -$ 2025-27 CIP Project Table 12 of 14Financial Plan Page 221Page 741 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Recycled Water Pump Upgrade -$ -$ -$ -$ 45$ -$ -$ -$ -$ -$ RW Effluent Meter Replacement -$ 45$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001044 - Recycled Water Storage Tank -$ -$ -$ -$ 20$ -$ -$ -$ -$ -$ CIP No. #2001048 - Waterline Replacement: Santa Rosa - Stenner Creek Road to Highland 30-inch Pipeline -$ -$ 9,230$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001049 - WRRF Major Equipment Maintenance -$ -$ -$ -$ -$ 50$ 50$ -$ -$ 2,000$ CIP No. #2001050 - Sewer Lift Station Maintenance 400$ -$ 80$ -$ 80$ -$ -$ -$ -$ -$ CIP No. #2001051 - Source Water Strategic Plan -$ -$ -$ 300$ 1,300$ -$ -$ -$ -$ -$ CIP No. #2001052 - Water Storage Tank Inspection and Cleaning 10$ 10$ 90$ 10$ 10$ -$ -$ -$ -$ -$ Reservoir 1 Floating Cover -$ -$ 45$ -$ -$ -$ -$ -$ -$ -$ Reservoir 2 Floating Cover -$ -$ 45$ -$ -$ -$ -$ -$ -$ -$ Storage Tanks 10$ 10$ -$ 10$ 10$ -$ -$ -$ -$ -$ CIP No. #2001053 - Waterline Abandonment & Connections -$ 50$ 50$ 50$ 50$ -$ -$ -$ -$ -$ CIP No. #2001054 - Water - Major Maintenance -$ -$ -$ -$ -$ 12,414$ 2,558$ 2,398$ 2,478$ 2,388$ CIP No. #2001055 - WRRF - Building Maintenance 150$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001056 - Water Treatment Plant - Building Maintenance 300$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001057 - ATP - Higuera Complete Street Project 2,500$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001058 - ATP - Foothill Boulevard Complete Street Project -$ 200$ -$ 2,500$ -$ -$ -$ -$ -$ -$ ATP - Foothill Boulevard Complete Street Project (Construction)-$ -$ -$ 2,500$ -$ -$ -$ -$ -$ -$ ATP - Foothill Boulevard Complete Street Project (Planning and Design)-$ 200$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001062 - ATP - Railroad Safety Trail (Orcutt to Tiburon) and Bullock Culvert Replacement -$ -$ -$ -$ -$ -$ -$ 700$ -$ 2,450$ CIP No. #2001063 - Broadband Plan -$ 6,200$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001067 - Ramona Crossing Improvements 20$ 200$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001070 - ATP-South Broad Street Corridor -$ -$ -$ -$ 2,800$ -$ -$ -$ -$ -$ CIP No. #2001071 - Storm Response and Recovery 100$ 2,183$ -$ 1,986$ 3,501$ 1,856$ -$ -$ -$ -$ Laguna Lake Golf Course Bridge Replacement -$ 600$ -$ -$ -$ -$ -$ -$ -$ -$ Mission Plaza Creek Sidewalk Repair -$ -$ -$ 870$ -$ -$ -$ -$ -$ -$ Mitigation Planting 100$ 1,583$ -$ -$ -$ -$ -$ -$ -$ -$ Prefumo Creek Grade Structure -$ -$ -$ 916$ -$ -$ -$ -$ -$ -$ SLO Creek Repairs at Elks Lodge -$ -$ -$ 200$ 3,501$ 1,856$ -$ -$ -$ -$ CIP No. #2001073 - Sewer Main Replacement: Oceanaire - Cayucos to Froom Rd 35$ -$ -$ -$ 100$ -$ -$ -$ -$ -$ Oceanaire - Cayucos to Froom Road 35$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Ocenaire - Laguna to Cayucos -$ -$ -$ -$ 100$ -$ -$ -$ -$ -$ CIP No. #2001075 - Parking Structure Safety Element R&D 1,500$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Parking Structure Safety Element Construction Cameras 500$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Parking Structure Safety Element Construction Fencing 1,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2001076 - Roadway Barricade Enhancements 150$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2090742 - Storm Drains -$ 750$ 250$ 525$ 75$ 750$ -$ 1,000$ -$ 1,000$ Drainage Infrastructure Replacement -$ 750$ -$ 450$ -$ 750$ -$ 1,000$ -$ 1,000$ 2025-27 CIP Project Table 13 of 14Financial Plan Page 222Page 742 of 994 2025-27 CIP Project Table 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Project Number and Name (Project Subtasks Shown in While Lines) Year 1 - ($K) Year 2 - ($K) Year 3 - ($K) Year 4 - ($K) Year 5 - ($K) Year 6 - ($K) Year 7 - ($K) Year 8 - ($K) Year 9 - ($K) Year 10 - ($K) 2025-27 FP Outyears Storm Drain Long-Range Plan -$ -$ 100$ -$ -$ -$ -$ -$ -$ -$ Trash Capture -$ -$ 150$ 75$ 75$ -$ -$ -$ -$ -$ CIP No. #2091219 - WRRF Upgrade 2,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091224 - Sewer Lift Station Replacement - Foothill -$ -$ -$ -$ 400$ -$ -$ -$ -$ -$ CIP No. #2091252 - Prado Road Bridge Widening 7,346$ 3,500$ 30,489$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091368 - T-3 Water Storage Tank Replacement - High Pressure Zone -$ 500$ -$ -$ 9,250$ -$ -$ -$ -$ -$ CIP No. #2091369 - Sewer Lift Station Replacement - Airport -$ -$ -$ 3,645$ -$ -$ -$ -$ -$ -$ CIP No. #2091375 - Railroad Safety Trail Taft to Pepper (27)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091503 - California & Taft Roundabout 500$ 3,650$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091506 - Groundwater Well Development Program [91506]2,250$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Construct Extraction and Treatment Wells 2,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Construct Monitoring Wells 250$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091613 - Prado Road Interchange (5,018)$ -$ 2,000$ 2,000$ 121,000$ -$ -$ -$ -$ -$ CIP No. #2091619 - Anholm Neighborhood Greenway Plan (0)$ -$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091633 - Corp Yard Storage Stalls -$ 100$ -$ 1,000$ -$ -$ -$ -$ -$ -$ CIP No. #2091634 - Fire Station 1 Wash Area 40$ 150$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091639 - Sewer Main Replacement: Chorro – Meinecke to Murray -$ 260$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2091640 - Sewer - Pipeline Replacement -$ -$ -$ -$ -$ 6,030$ 3,240$ 5,980$ 2,900$ 4,998$ CIP No. #2091734 - Water Treatment Plant - Water Meter Replacement 55$ 82$ -$ -$ -$ -$ -$ -$ -$ -$ Drying Bed Meters 5$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Effluent Meter Replacement -$ 32$ -$ -$ -$ -$ -$ -$ -$ -$ Salinas Water Meter 50$ 50$ -$ -$ -$ -$ -$ -$ -$ -$ CIP No. #2099110 - Laguna Lake Dredging -$ -$ -$ 500$ -$ 824$ -$ 800$ -$ 800$ CIP No. #2099837 - Open Space Acquisition 150$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ 150$ CIP No. #CIP Res - CIP Reserve 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ 4,000$ CIP No. #IIF - IIF Public Safety Contribution -$ -$ -$ -$ -$ -$ 1,010$ 500$ 1,289$ 1,000$ CIP No. #Interchange Debt Payments - Prado Road Interchange -$ -$ -$ -$ 1,604$ 3,104$ 4,604$ 4,604$ 4,604$ 4,604$ Prado Road Interchange Debt Repayment -$ -$ -$ -$ 1,604$ 3,104$ 4,604$ 4,604$ 4,604$ 4,604$ Grand Total 53,644$ 58,340$ 84,667$ 41,851$ 173,173$ 59,116$ 48,191$ 47,173$ 42,875$ 50,362$ 2025-27 CIP Project Table 14 of 14Financial Plan Page 223Page 743 of 994 Project Number Project Name 2000027 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 400,000 400,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 Local Revenue Measure (Capital Outlay 401)400,000 400,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 2000027 - Urban Forest Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Urban Forest Maintenance Local Revenue Measure (Capital Outlay 401)400,000 400,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 450,000 The City’s Urban Forest is comprised of approximately 13,000 public trees. Regular tree pruning and related maintenance provides for an attractive, healthy,and safer urban forest. This funding will be used to provide annual tree pruning in neighborhoods and the downtown to compliment the Urban Forest Master Plan used to guide long term maintenance and operations program efforts. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Urban Forest Maintenance Open Space, Climate Action, and Resilience Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 1 Financial Plan Page 224Page 744 of 994 Project Number Project Name 2000029 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 93,682 50,000 50,000 50,000 50,000 Local Revenue Measure (Capital Outlay 401)93,682 - 50,000 - 50,000 - 50,000 - 50,000 - 2000029 - Bridge Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Bridge Maintenance Local Revenue Measure (Capital Outlay 401)93,682 - 50,000 - 50,000 - 50,000 - 50,000 - The City of San Luis Obispo has 38 vehicular bridges and 11 pedestrian bridges ranging in age from one to 100+years old.In accordance with Title 23 of the Code of Federal Regulations (Federal Highway Act)and the National Bridge Inspection Standards, Caltrans provides bridge inspections on vehicular bridges over 20 feet in length every 2 to 4 years. The City is committed to providing preventative maintenance measures to extend the service life of these structures. The following bridges have been identified for maintenance: Elks Lane Bridge 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Bridge Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 2 Financial Plan Page 225Page 745 of 994 Project Number Project Name 2000030 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 10,000 10,000 10,000 10,000 10,000 Local Revenue Measure (Capital Outlay 401)- 10,000 - 10,000 - 10,000 - 10,000 - 10,000 2000030 - Laguna Lake Golf Course Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Laguna Lake Golf Course Maintenance Local Revenue Measure (Capital Outlay 401)- 10,000 - 10,000 - 10,000 - 10,000 - 10,000 This Annual Asset Maintenance Project for the Laguna Lake Golf Course provides funding for work efforts such as general repairs of the 40 year old irrigation system, increasing water efficiencies by reducing leaks, and increasing playability and viability of the turf. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Laguna Lake Golf Course Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 3 Financial Plan Page 226Page 746 of 994 Project Number Project Name 2000031 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 178,236 1,010,000 500,000 40,000 475,000 1,700,000 400,000 Local Revenue Measure (Capital Outlay 401)178,236 - 1,010,000 500,000 40,000 475,000 1,700,000 400,000 - - 2000031 - Parking Lot Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Santa Rosa Park Parking Lot (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - 980,000 - - - - - - - Sinsheimer Park Parking Lot (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - - - 40,000 350,000 - - - - Ludwick Community Center (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - 30,000 500,000 - - - - - - Meadow Park Parking Lot (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)178,236 - - - - - - - - - Laguna Lake Parking Lot (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - - - - 75,000 1,250,000 - - - Laguna Lake Golf Course (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - - - - - 50,000 400,000 - - Throop Park (Parking Lot Maintenance) Local Revenue Measure (Capital Outlay 401)- - - - - 50,000 400,000 - - - Parking Lot Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description The total area of City maintained parking lots is approximately 360,000 square feet or 8.3 acres.In order to increase the percentage of lot surfaces in good condition,regular maintenance needs to be completed. The following parking lots have been identified for maintenance and repair: 2025-26: Meadow Park, Fire Station 2, and ongoing minor repairs 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 4 Financial Plan Page 227Page 747 of 994 Project Number Project Name 2000032 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 100,000 515,000 200,000 100,000 200,000 100,000 Local Revenue Measure (Capital Outlay 401)- - 100,000 100,000 515,000 200,000 100,000 200,000 - 100,000 2000032 - Pedestrian and Bicycle Pathway Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Brookpine and Spanish Oaks Bike Path Maintenance Local Revenue Measure (Capital Outlay 401)- - - - 350,000 - - - - - Pedestrian and Bicycle Pathway Local Revenue Measure (Capital Outlay 401)- - 100,000 100,000 100,000 - 100,000 200,000 - 100,000 Andrews and Johnson Bike Path Local Revenue Measure (Capital Outlay 401)- - - - 65,000 200,000 - - - - There are approximately 6.5 miles of asphalt concrete pathways and bike paths within the City. Examples of these paths are the Brookpine and Spanish Oaks and Andrews and Johnson Trail. These pathways are used by bicycles and pedestrians,along with occasional service vehicles. To maintain accessibility to these facilities and reduce the risk of accidents, regular maintenance of pathways is important. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Pedestrian and Bicycle Pathway Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 5 Financial Plan Page 228Page 748 of 994 Project Number 2000033 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 585,000 629,000 100,000 850,000 100,000 500,000 100,000 Capital Outlay (Capital Outlay 401)- - 75,000 - - - - - - - Local Revenue Measure (Capital Outlay 401)585,000 - 554,000 100,000 - 850,000 100,000 - - 100,000 State or Federal Grant (Capital Outlay 401)- - - - - - - 500,000 - - 2000033 - Playground Equipment Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 French Park Playground Equipment Replacement Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 100,000 Anholm Playground Equipment Replacement Local Revenue Measure (Capital Outlay 401)- - - - - - 100,000 - - - State or Federal Grant (Capital Outlay 401)- - - - - - - 500,000 - - Devaul Ranch Playground Local Revenue Measure (Capital Outlay 401)585,000 - - - - - - - - - Laguna Hills Playground Local Revenue Measure (Capital Outlay 401)- - - 100,000 - 850,000 - - - - Vista Lago Playground Local Revenue Measure (Capital Outlay 401)- - 554,000 - - - - - - - Capital Outlay (Capital Outlay 401)- - 75,000 - - - - - - - Project Name Playground Equipment Replacement Infrastructure and Sustainable Transportation Community Improvement Asset Replacement Project Description Park playground equipment is required to be inspected monthly and replaced based on its life expectancy. Each park playground amenity is assessed and scheduled out for replacement within the CIP. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 6 Financial Plan Page 229Page 749 of 994 Project Number Project Name 2000038 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 3,000,000 Water Fund (601)- - - 3,000,000 - - - - - - 2000038 - Edna Tank Recoating Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Edna Tank Recoating Water Fund (601)- - - 3,000,000 - - - - - - Storage capacity of treated water is an essential function of a water distribution system to provide adequate flows and pressures throughout the community.In 2012,a consultant was hired to inspect and produce a report regarding the interior and exterior of the City’s water storage tanks. Following the inspection of the tanks, staff worked with the consultant to assign a priority ranking to each outlined capital project. The Edna Tank, a significant water storage facility situated behind the hilltops, was constructed in 1974 and has a storage capacity of 4 million gallons. The City’s largest steel water storage tank is experiencing corrosion on the interior surfaces and requires new interior and exterior coatings to prevent the corrosion from spreading into the structural members. The purpose of this re-coating project is to extend the life of the storage tank through preventative maintenance to prolong the life span of the equipment,and to avoid costly repairs to the structural components. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Edna Tank Recoating Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 7 Financial Plan Page 230Page 750 of 994 Project Number Project Name 2000050 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,000,000 Parking Fund (611)- - 2,000,000 - - - - - - - 2000050 - 871 Marsh Parking Structure Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 871 Marsh Parking Structure Parking Fund (611)- - 2,000,000 - - - - - - - In 2018,the City completed a Capital Asset Management Plan that identified needed maintenance projects to repair deficiencies and extend the life of the 871 Marsh Parking Structure. The structure has several structural and accessibility deficiencies that this project proposes to address. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 871 Marsh Parking Structure Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 8 Financial Plan Page 231Page 751 of 994 Project Number Project Name 2000053 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 75,000 Transit Fund (621)- 75,000 - - - - - - - - 2000053 - Bus Wash Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Bus Wash Replacement Transit Fund (621)- 75,000 - - - - - - - - The City's bus wash facility has met the end of its useful life and is often out of service. This project will repair or replace failing components necessary to extend the life of the facility. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Bus Wash Replacement Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 9 Financial Plan Page 232Page 752 of 994 Project Number Project Name 2000054 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 6,500,000 2,300,000 1,900,000 9,500,000 6,110,000 Local Revenue Measure (Capital Outlay 401)6,500,000 - - - 2,300,000 - 1,900,000 - 9,500,000 6,110,000 2000054 - Righetti Community Park Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Righetti Community Park - Play Structure and Fields Local Revenue Measure (Capital Outlay 401)6,500,000 - - - - - - - - - Righetti Community Park - Basketball and Parking Local Revenue Measure (Capital Outlay 401)- - - - - - - - 9,500,000 - Righetti Community Park - Tennis Courts Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 6,110,000 Righetti Community Park - Pickleball Local Revenue Measure (Capital Outlay 401)- - - - 2,300,000 - - - - - Righetti Community Park - Pump Track Local Revenue Measure (Capital Outlay 401)- - - - - - 1,900,000 - - - With the dedication of parkland and park fees collected from developments within the Orcutt Area Specific Plan (OASP),the City is constructing 4 phases within the community park of Righetti Ranch as provided in the OASP development plans.Park amenities include: pickleball and tennis courts, playground, restrooms, sport fields, basketball court, BBQ pavilion, and bike/pump track. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Righetti Community Park Infrastructure and Sustainable Transportation Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 10 Financial Plan Page 233Page 753 of 994 Project Number Project Name 2000056 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 800,000 1,000,000 800,000 500,000 Local Revenue Measure (Capital Outlay 401)- - 800,000 1,000,000 - 800,000 - 500,000 - - 2000056 - Development Agreement - City Share Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 City Share Future Agreements Local Revenue Measure (Capital Outlay 401)- - 800,000 1,000,000 - 800,000 - 500,000 - - This funding supports the City's proportional share of oversized infrastructure constructed by various development projects. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Development Agreement - City Share Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 11 Financial Plan Page 234Page 754 of 994 Project Number Project Name 2000057 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 400,000 Local Revenue Measure (Capital Outlay 401)- - 400,000 - - - - - - - 2000057 - Development Related Park Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Orcutt Area - Pocket Park Local Revenue Measure (Capital Outlay 401)- - 400,000 - - - - - - - Orcutt Area - Linear Park Local Revenue Measure (Capital Outlay 401)- - - - - - - - - - With the dedication of parkland and collection of park fees from developments within the Orcutt Area Specific Plan (OASP)and San Luis Ranch (SLR), the City will utilize these funds for new park development and enhancements.In the OASP area,this includes the development of a linear park and a pocket park. Designs were approved by the Parks and Recreation Commission and informed by community input gathered through surveys and workshops in 2023. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Development Related Park Improvements Infrastructure and Sustainable Transportation Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 12 Financial Plan Page 235Page 755 of 994 Project Number 2000062 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,916,000 1,916,000 50,000 50,000 50,000 Sewer Fund (602)958,000 958,000 25,000 25,000 25,000 - - - - - Water Fund (601)958,000 958,000 25,000 25,000 25,000 - - - - - 2000062 - Water Meters and Boxes Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Meter and Box (sewer fund contribution) Sewer Fund (602)958,000 958,000 25,000 25,000 25,000 - - - - - Water Meter and Box (water fund contribution) Water Fund (601)492,000 492,000 25,000 25,000 25,000 - - - - - Water Meters and Boxes - AMI Radio Water Fund (601)391,000 391,000 - - - - - - - - Water Fund (601)75,000 75,000 - - - - - - - - Project Name Water Meters and Boxes Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description This project funds the material cost for water meters, meter appurtenances,and meter boxes where water distribution staff needs to remove or repair public water meters within the distribution system that are reported to be defective. The objective of the project is to increase accuracy and reliability of public water meters,and efficiently manage all water resources in a cost-effective manner. When leaks are suspected, water distribution staff will use the best available technology to monitor the water service area (pressure zone) using:leak detection equipment, sound correlators,radio monitoring telemetry of water flows around a pressure zone,and pilot tests by the water distribution staff for a temporary district metering area.Funding will also provide the addition of Advanced Metering Infrastructure (AMI) that can augment the ability to accurately read water consumption, promptly provide billing information to customers,and facilitate better customer service interaction during the start and stop of water services. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 13 Financial Plan Page 236Page 756 of 994 Project Number Project Name 2000063 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 Water Fund (601)55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 - - 2000063 - Water Distribution Fire Hydrants Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Distribution Fire Hydrants Water Fund (601)55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 - - The project funds the replacement of fire hydrant units and hydrant appurtenances that are reported to be defective, leaking,or corroded. The objective of the project is to assess the condition of fire hydrants,and when applicable, replace them with new hydrants that meet current codes and standards for protection of public health and infrastructure. When a defective hydrant is reported, water distribution staff will use the best available technology to monitor the water service area (pressure zone) using leak detection equipment, sound correlators, and radio monitoring telemetry of water flows and pressures, and catalog the inspection assessment into a database and mapping software. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Distribution Fire Hydrants Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 14 Financial Plan Page 237Page 757 of 994 Project Number Project Name 2000065 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 250,000 350,000 Water Fund (601)150,000 - 250,000 - 350,000 - - - - - 2000065 - Point Repair Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Point Repair Water Fund (601)150,000 - 250,000 - 350,000 - - - - - Replacement of water distribution pipes, mainlines,and related infrastructure is an ongoing program to provide a reliable water distribution network that includes fire protection. The point repair project will address existing deficiencies,and the potential for near-term failure, according to priority. The objective of the project is to explore opportunities to consolidate water distribution service areas (pressure zones), and construct new pipe interconnections between pressure zones to simplify operations, improve water reuse operations, reduce pumping needs,and eliminate pump stations or tanks that would otherwise require replacement. Project efforts may include engineering reports, updates to the computer hydraulic model, construction plans for point repairs, construction management services, tank re-coatings, pump maintenance, updates to construction water filling stations, materials for point repairs, easement acquisitions,grant applications,and field testing of water distribution infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Point Repair Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 15 Financial Plan Page 238Page 758 of 994 Project Number Project Name 2000066 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 170,000 85,000 265,000 90,000 90,000 Local Revenue Measure (Capital Outlay 401)170,000 85,000 265,000 90,000 90,000 - - - - - 2000066 - Big Belly Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Recycling-Solid Waste Big Belly in Downtown (15 locations per year) Local Revenue Measure (Capital Outlay 401)85,000 85,000 90,000 90,000 90,000 - - - - - Big Belly Trash and Recycling Cans in Parks Local Revenue Measure (Capital Outlay 401)- - 175,000 - - - - - - - Compacting Big Belly in Small Parks Local Revenue Measure (Capital Outlay 401)85,000 - - - - - - - - - This project will continue to replace trash receptacles within the downtown to the updated Big Belly standard and add recycling receptacles to each location. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Big Belly Replacements Infrastructure and Sustainable Transportation Community Improvement Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 16 Financial Plan Page 239Page 759 of 994 Project Number Project Name 2000073 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 250,000 200,000 200,000 200,000 200,000 200,000 200,000 Local Revenue Measure (Capital Outlay 401)- 250,000 200,000 200,000 - 200,000 200,000 200,000 - 200,000 2000073 - Vision Zero Program Implementation Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Vision Zero Program Implementation Local Revenue Measure (Capital Outlay 401)- 250,000 200,000 200,000 - 200,000 200,000 200,000 - 200,000 This project supports implementation of the City's Traffic Safety/Vision Zero program, funding the highest-priority safety and operational improvements to support the City's adopted goal to eliminate traffic-related fatalities and severe injuries citywide. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Vision Zero Program Implementation Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 17 Financial Plan Page 240Page 760 of 994 Project Number 2000075 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 252,500 400,000 715,000 2,065,000 415,000 715,000 1,015,000 65,000 15,000 65,000 Capital Outlay (Capital Outlay 401)127,500 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)50,000 400,000 715,000 2,065,000 415,000 715,000 1,015,000 65,000 15,000 65,000 Sewer Fund (602)37,500 - - - - - - - - - Water Fund (601)37,500 - - - - - - - - - 2000075 - Major Facility Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Police Department Emergency Communications Center Workstation/Carpet Replacement Local Revenue Measure (Capital Outlay 401)- 50,000 350,000 - - - - - - - City County Community Room TI (paint, carpet, lighting fixtures) Capital Outlay (Capital Outlay 401)37,500 - - - - - - - - - Citywide Fire Alarm Communication Upgrade (Cell connection) Local Revenue Measure (Capital Outlay 401)- - - 50,000 - - - - - - City Facilities Fence Maintenance (ROW, Parks, Facilities) Local Revenue Measure (Capital Outlay 401)- - 70,000 - - - - - - - IT Room Heat Pump Replacements (Annual Asset Maintenance) Local Revenue Measure (Capital Outlay 401)- 20,000 - 20,000 - 20,000 - 20,000 - 20,000 Parks and Recreation Roofing Siding and Exterior Painting Local Revenue Measure (Capital Outlay 401)- 170,000 - - - - - - - - Facility Roll Up Door Replacements - Various Locations Local Revenue Measure (Capital Outlay 401)- 20,000 - 20,000 - 20,000 - 20,000 - 20,000 Existing SLO Repertory Theater Tenant Improvements Local Revenue Measure (Capital Outlay 401)- - - 100,000 - 150,000 1,000,000 - - - Project Name Major Facility Maintenance Infrastructure and Sustainable Transportation Public Facility Asset Replacement Project Description This project will maintain,upgrade, or replace City facilities that serve the community. Funding in this Financial Plan is intended to support the Corporation Yard Fuel Island Siding, Jack House Roof Repairs, and HVAC work at the Parking Services Office, among others. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 18 Financial Plan Page 241Page 761 of 994 2000075 - Major Facility Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears FS 1 Tile Roof Moisture Barrier & Termite Tenting Local Revenue Measure (Capital Outlay 401)- - - 120,000 - - - - - - City Hall Fire Alarm Fire Alarm Control Panel Local Revenue Measure (Capital Outlay 401)- 115,000 - - - - - - - - Hydration Stations (Annual Asset Maintenance) Local Revenue Measure (Capital Outlay 401)- - - 25,000 - 25,000 - 25,000 - 25,000 Swim Center Olympic Pool Thermal Blankets Local Revenue Measure (Capital Outlay 401)50,000 - - - - - - - - - Swim Center Multipurpose Room flooring Local Revenue Measure (Capital Outlay 401)- 25,000 - - - - - - - - ADA Transition Plan Implementation Local Revenue Measure (Capital Outlay 401)- - 15,000 - 15,000 - 15,000 - 15,000 - Dispatch Center Flat Roof Coating Capital Outlay (Capital Outlay 401)20,000 - - - - - - - - - Swim Center Old Bath House Roof Capital Outlay (Capital Outlay 401)70,000 - - - - - - - - - City/County Library front steps Local Revenue Measure (Capital Outlay 401)- - - 15,000 250,000 - - - - - Swim Center Deck Replacement Local Revenue Measure (Capital Outlay 401)- - 100,000 1,500,000 - - - - - - Swim Center Exterior Paint Local Revenue Measure (Capital Outlay 401)- - - 80,000 - - - - - - Dispatch HVAC Replacement Local Revenue Measure (Capital Outlay 401)- - 150,000 - - - - - - - Corp Yard Roof Coating Local Revenue Measure (Capital Outlay 401)- - - 50,000 - 500,000 - - - - Railroad Museum Roof Local Revenue Measure (Capital Outlay 401)- - 30,000 - 150,000 - - - - - Senior Center Roof Local Revenue Measure (Capital Outlay 401)- - - 85,000 - - - - - - 879 Morro - Roof Sewer Fund (602)37,500 - - - - - - - - - Water Fund (601)37,500 - - - - - - - - - 2025-27 CIP Project Detail Sheets Page 19 Financial Plan Page 242Page 762 of 994 Project Number Project Name 2000077 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 275,000 295,000 50,000 50,000 110,000 Sewer Fund (602)275,000 295,000 50,000 50,000 110,000 - - - - - 2000077 - WRRF - Asset Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Cityworks Strategic Plan & Implementation Sewer Fund (602)- 20,000 - - - - - - - - UV Bulb Replacement (annual replacement) Sewer Fund (602)- - 50,000 50,000 50,000 - - - - - Sludge Dry Bed Polymer Feed and Piping Sewer Fund (602)- - - - 60,000 - - - - - Headworks Grit Piping and Blowers Sewer Fund (602)- 250,000 - - - - - - - - Rebuild Influent Storm Pumps Sewer Fund (602)75,000 - - - - - - - - - Coating Maintenance Sewer Fund (602)- 25,000 - - - - - - - - Asset Replacement Sewer Fund (602)200,000 - - - - - - - - - WRRF - Asset Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description The City’s Water Resource Recovery Facility (WRRF) was originally constructed in 1941.In 1993,a significant upgrade to portions of the plant were completed to meet changing water quality requirements.In 2025,another major upgrade project known as SLO Water Plus was completed, replacing older equipment with a new membrane bioreactor and ultraviolet disinfection systems. The proposed asset replacement projects include servicing: ultraviolet disinfection vessels, influent storm pumps rehabilitation,screw press upgrades,primary scum pit,grit pumps,grit piping and blowers. Construction of these asset replacements will be coordinated with the facility’s renewal strategy, and will allow plant staff to extend the life of essential infrastructure for environmental and regulatory compliance. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 20 Financial Plan Page 243Page 763 of 994 Project Number Project Name 2000078 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,500,000 Local Revenue Measure (Capital Outlay 401)- - 2,500,000 - - - - - - - 2000078 - Ludwick Roof, Solar, Siding, and HVAC Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 LCC Roof, Solar, Siding, and HVAC Local Revenue Measure (Capital Outlay 401)- - 2,500,000 - - - - - - - The Ludwick Community Center was originally constructed in 1941 and has been upgraded several times to its current state. The roof, HVAC system and rooftop solar are all past their useful life and need to be replaced. This project proposes to update the HVAC system to an all-electric heat pump, install new solar panels, replace the roof and repair any portions of damaged siding to ensure its continued use as a community asset. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Ludwick Roof, Solar, Siding, and HVAC Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 21 Financial Plan Page 244Page 764 of 994 Project Number Project Name 2000082 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 200,000 Sewer Fund (602)200,000 - - - - - - - - - 2000082 - Sewer Lift Station Replacement - Silver City Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Silver City Lift Station Sewer Fund (602)200,000 - - - - - - - - - The Silver City Lift Station is a Smith and Loveless dry/wet well design,and was constructed in 1971.The existing six-inch asbestos concrete force main pumps under San Luis Obispo Creek (it is encased under the creek) approximately 765 feet to a manhole upstream of the Laguna Lift Station. The Silver City lift station operates with two 450 gpm, 18.5 horsepower pumps. The replacement will be in the same vicinity.An additional property acquisition and easements will be required to relocate both the new lift station and force main.In addition to the force main replacement,it will require the pipe to be encased in the San Luis Creek crossing. The replacement lift station will accommodate a portion of the future development anticipated in the Margarita Area Specific Plan. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Lift Station Replacement - Silver City Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 22 Financial Plan Page 245Page 765 of 994 Project Number Project Name 2000084 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 110,000 30,000 30,000 35,000 35,000 Sewer Fund (602)110,000 30,000 30,000 35,000 35,000 - - - - - 2000084 - Sewer Maintenance Cover Adjustments Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Maintenance Hole Cover Adjustments Sewer Fund (602)110,000 30,000 30,000 35,000 35,000 - - - - - The project includes raising or lowering sewer maintenance covers when road pavement operations are performed by public works within the public right of way. The objective of the project is to protect existing sewer maintenance cover frames and pipes from damage by paving machinery, and to efficiently complete paving operations within the roadway. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Maintenance Cover Adjustments Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 23 Financial Plan Page 246Page 766 of 994 Project Number Project Name 2000092 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 135,000 2,485,000 Sewer Fund (602)135,000 - 2,485,000 - - - - - - - 2000092 - Sewer Main Replacement: Buchon - Morro to Johnson Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Main Replacement: Buchon - Morro to Johnson Sewer Fund (602)135,000 - 2,485,000 - - - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer lines and related operational equipment. Some pipes are over 100 years old, and are undersized. Maintenance requirements increase dramatically as pipeline and equipment approach the end of their useful life.Pipeline and operational equipment require ongoing maintenance and condition assessment to prioritize periodic replacement, ensure proper function,and prolong service life. The objective of this project is to replace existing clay pipes from 1927 with a new 10-inch sewer main serving areas that have shown high inflow or infiltration flows based on recorded sewer spills,and high recorded flow rates during major storm events. The pipeline replacement project will require re-routing the sewer flows near the intersection of Johnson and San Luis Drive into service Area F. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Main Replacement: Buchon - Morro to Johnson Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 24 Financial Plan Page 247Page 767 of 994 Project Number Project Name 2000093 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,895,000 Sewer Fund (602)- - - - 1,895,000 - - - - - 2000093 - Sewer-main Replacement: Serrano, Bressi, Dana, and Higuera Pipeline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Serrano, Bressi, Dana and Higuera Sewer Fund (602)- - - - 1,895,000 - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer lines and related operational equipment. Some pipes are over 100 years old, and are undersized. Maintenance requirements increase dramatically as pipeline and equipment approach the end of their useful life.Pipeline and operational equipment require ongoing maintenance and condition assessment to prioritize periodic replacement, ensure proper function,and prolong service life. The objective of this project is to replace sewer pipes in areas that have shown high inflow or infiltration flows based on recorded sewer spills, and high recorded flow rates during major storm events. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer-main Replacement: Serrano, Bressi, Dana, and Higuera Pipeline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 25 Financial Plan Page 248Page 768 of 994 Project Number Project Name 2000094 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 1,950,000 Sewer Fund (602)- - - 150,000 1,950,000 - - - - - 2000094 - Sewer-main Replacement: Foothill Siphon Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Foothill Sewer Siphon Sewer Fund (602)- - - 150,000 1,950,000 - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer lines and related operational equipment. Some pipes are over 100 years old, and are undersized. Maintenance requirements increase dramatically as pipeline and equipment approach the end of their useful life.Pipeline and operational equipment require ongoing maintenance and condition assessment to prioritize periodic replacement, ensure proper function,and prolong service life. The objective of this project is to replace sewer pipes in areas that have shown high inflow or infiltration flows based on recorded sewer spills, and high recorded flow rates during major storm events. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer-main Replacement: Foothill Siphon Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 26 Financial Plan Page 249Page 769 of 994 Project Number Project Name 2000102 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 600,000 Transit Fund (621)600,000 - - - - - - - - - 2000102 - Parking Lot Maintenance - Bus Yard Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parking Lot Maintenance - Bus Yard Transit Fund (621)600,000 - - - - - - - - - This project includes the rehabilitation of the employee and guest parking lot area at the Bus Yard facility (29 Prado Road). The project will improve functional use of the limited area available for non-fleet vehicles. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Parking Lot Maintenance - Bus Yard Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 27 Financial Plan Page 250Page 770 of 994 Project Number Project Name 2000115 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 250,000 Local Revenue Measure (Capital Outlay 401)- 50,000 250,000 - - - - - - - 2000115 - Sinsheimer Park Playground Turf, Soft Surface Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sinsheimer Park Playground Turf, Soft Surface Replacement, and Hillside Turf (every 5 years) Local Revenue Measure (Capital Outlay 401)- 50,000 250,000 - - - - - - - This project will be used to replace existing portions of the soft surface hillside that are showing signs of deterioration and nearing the end of their useful life. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sinsheimer Park Playground Turf, Soft Surface Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 28 Financial Plan Page 251Page 771 of 994 Project Number 2000117 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 627,800 Capital Outlay (Capital Outlay 401)513,000 - - - - - - - - - Parking Fund (611)114,800 - - - - - - - - - 2000117 - Cultural Arts District Parking Structure Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Cultural Arts District Parking Garage Construction Capital Outlay (Capital Outlay 401)513,000 - - - - - - - - - CADPS EV Charging SaaS and Warranty (2 Years) Parking Fund (611)114,800 - - - - - - - - - Project Name Cultural Arts District Parking Structure Cultural Vitality, Economic Resilience, and Fiscal Sustainability Transportation New Asset Project Description The project includes the construction of a new parking structure at the intersection of Palm and Nipomo that will include approximately 400 parking spaces, two elevators, electric vehicle charging stations, an event space and viewing deck, safe bike parking, solar panels and other amenities to support the downtown community. The total project cost is currently estimated at approximately $54.5 Million. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 29 Financial Plan Page 252Page 772 of 994 Project Number Project Name 2000118 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 200,000 300,000 1,000,000 Local Revenue Measure (Capital Outlay 401)- 200,000 - - 300,000 1,000,000 - - - - 2000118 - Public Safety Center Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Public Safety Center Entitlements/Design Local Revenue Measure (Capital Outlay 401)- - - - 300,000 1,000,000 - - - - Public Safety Center Initial Scoping Local Revenue Measure (Capital Outlay 401)- 200,000 - - - - - - - - The police station was constructed in 1969 and has been identified as seismically deficient and inadequately sized. This project will initiate a study and conceptual design to identify the space needed to accommodate the police department in the future. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Public Safety Center Cultural Vitality, Economic Resilience, and Fiscal Sustainability Safety Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 30 Financial Plan Page 253Page 773 of 994 Project Number 2000119 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 350,000 4,310,000 Capital Outlay (Capital Outlay 401)350,000 3,010,000 - - - - - - - - Local Revenue Measure (Capital Outlay 401)- 1,300,000 - - - - - - - - 2000119 - Police Building - 1042 Tenant Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Police Building - 1042 TI (HVAC Package Unit Replacement) Local Revenue Measure (Capital Outlay 401)- 300,000 - - - - - - - - Police Building - 1042 TI (Hydronic System) Local Revenue Measure (Capital Outlay 401)- 1,000,000 - - - - - - - - Police Building - 1042 TI Capital Outlay (Capital Outlay 401)350,000 3,010,000 - - - - - - - - Project Name Police Building - 1042 Tenant Improvements Cultural Vitality, Economic Resilience, and Fiscal Sustainability Maintenance Asset Replacement Project Description 1106 Walnut was a commercial property purchased by the City in 2023 with the intent to move some police department staff into the existing building, as well as construct a temporary emergency operations center. The property must now be re-developed in a secure site capable of housing the investigations and administration divisions. This project includes the addition of internal partitions, a secure entry system, HVAC upgrade and IT improvements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 31 Financial Plan Page 254Page 774 of 994 Project Number Project Name 2000120 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 250,000 Capital Outlay (Major Facility Repl 404)250,000 - - - - - - - - - 2000120 - Police Building - 1042 Stop Gap Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Police Building - 1042 Paint and Carpet Replacement Capital Outlay (Major Facility Repl 404)250,000 - - - - - - - - - This is an immediate and critical needs project to replace selected flooring and paint work at 1042 Walnut,as well as limited furniture reconfiguring, as staff prepares to move and shuffle with 1106 Walnut coming on-line by the end of the year (2025). 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Police Building - 1042 Stop Gap Improvements Cultural Vitality, Economic Resilience, and Fiscal Sustainability Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 32 Financial Plan Page 255Page 775 of 994 Project Number 2000121 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 1,000,000 Parking Fund (611)- - 75,000 - 500,000 - - - - - Transit Fund (621)- - 75,000 - 500,000 - - - - - 2000121 - Mobility Services TI Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Mobility Services TI Parking Fund (611)- - 75,000 - 500,000 - - - - - Transit Fund (621)- - 75,000 - 500,000 - - - - - Project Name Mobility Services TI Cultural Vitality, Economic Resilience, and Fiscal Sustainability Public Facility Asset Replacement Project Description This project supports the renovation and reconfiguration of office space at 1260 Chorro Street, including updates to the front counter, workstations,and interior layout to improve functionality.Key improvements include the creation of dedicated meeting space, installation of modern technologies, potential HVAC adjustments, upgraded fixtures and appliances, and enhanced storage solutions. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 33 Financial Plan Page 256Page 776 of 994 Project Number 2000122 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 440,000 300,000 Capital Outlay (Major Facility Repl 404)150,000 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)- - 440,000 - - - - 300,000 - - 2000122 - Fire Station 5 Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Fire Station 5 Entitlements & Environmental Local Revenue Measure (Capital Outlay 401)- - - - - - - 300,000 - - Fire Station 5 Programming Capital Outlay (Major Facility Repl 404)150,000 - - - - - - - - - Fire Station 5 (Interim) Local Revenue Measure (Capital Outlay 401)- - 440,000 - - - - - - - Project Name Fire Station 5 Cultural Vitality, Economic Resilience, and Fiscal Sustainability Safety New Asset Project Description Growth in the southern area of the City is prompting expansion of fire services to this area in order to achieve response time objectives. Funding to initiate that planning for the permanent Station 5 will commence this financial plan with a scoping study. Upon completion of the scoping study, staff expects to better understand requirements for a future site to accommodate Station 5. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 34 Financial Plan Page 257Page 777 of 994 Project Number Project Name 2000150 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 150,000 150,000 150,000 150,000 Water Fund (601)150,000 150,000 150,000 150,000 150,000 - - - - - 2000150 - SGMA GSP Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 SGMA GSP Water Fund (601)150,000 150,000 150,000 150,000 150,000 - - - - - The City of San Luis Obispo formed a Groundwater Sustainability Agency (GSA)in June of 2017 for management of the San Luis Valley Groundwater Basin (SLO Basin)in accordance with the Sustainable Groundwater Management Act (SGMA). This project will provide financial resources to collaborate with GSA stakeholders to effectively manage the groundwater basin in the city, which may include preparation of research studies, field investigations,legal documents,grant applications,and regional participation in the development and implementation of a groundwater sustainability plan. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears SGMA GSP Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 35 Financial Plan Page 258Page 778 of 994 Project Number Project Name 2000157 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 Local Revenue Measure (Capital Outlay 401)25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 2000157 - Banner Arms, Bench Arms Rests, Signs Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Banner Arms, Bench Arm Rests, Signs Local Revenue Measure (Capital Outlay 401)25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 This project provides banner arms, banners, bench arm rests,and signs in the downtown core.It includes the buildout,installation and maintenance of a 4 season rotational banner program that aids the City's beautification and placemaking efforts. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Banner Arms, Bench Arms Rests, Signs Cultural Vitality, Economic Resilience, and Fiscal Sustainability Community Improvement Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 36 Financial Plan Page 259Page 779 of 994 Project Number Project Name 2000165 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 Local Revenue Measure (Capital Outlay 401)50,000 - - - - - - - - - 2000165 - Transportation Impact Fee Program Update Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Transportation Impact Fee Program Update Local Revenue Measure (Capital Outlay 401)50,000 - - - - - - - - - This funding supports updates to the City’s Transportation Impact Fee (TIF)Program to ensure it remains aligned with current infrastructure needs,land use plans,and development projections. Updates include review of existing fee structures, evaluation of planned transportation projects and costs, and analysis of projected growth to ensure a fair and legally defensible cost allocation. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Transportation Impact Fee Program Update Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 37 Financial Plan Page 260Page 780 of 994 Project Number Project Name 2000170 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,100,000 Sewer Fund (602)2,100,000 - - - - - - - - - 2000170 - Islay Sewer Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Islay Sewer Replacement Sewer Fund (602)2,100,000 - - - - - - - - - As pipelines reach their flow capacities,or when they approach the end of their useful life, a higher degree of maintenance is required to manage the wastewater collection system.Pipelines in the public wastewater collection system are inspected using specialized video equipment that will prioritize periodic cleaning frequencies or recommend a complete replacement. Based on the assessment, this project is needed for the replacement of clay sewer mains dating back to 1927 that make up potions of the backbone system serving essential facilities along Johnson Avenue with a new 12-inch sewer-main. The project will coordinate efforts made by the hospital’s infrastructure improvements along Iris Road and the railroad crossing to ensure design capacities are adequate for current and future needs. Funding will provide engineering design services, environmental clearance, permitting, easement acquisitions, and construction of the final design. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Islay Sewer Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 38 Financial Plan Page 261Page 781 of 994 Project Number Project Name 2000198 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 170,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 Zone 9 (Capital Outlay 401)170,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 2000198 - Silt Removal Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Silt Removal 2025 Zone 9 (Capital Outlay 401)170,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 Silt carried by storm water settles at points in the creek where the storm water's velocity decreases. This reduction in velocity allows solids suspended in the water to settle out.As these deposits build up,the capacity of the creek decreases and risk of flooding of the surrounding areas increases. The regular removal of silt restores channel capacity and reduces risk of flooding. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Silt Removal Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 39 Financial Plan Page 262Page 782 of 994 Project Number Project Name 2000402 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 5,507,000 State or Federal Grant (Transit 621)- 5,507,000 - - - - - - - - 2000402 - Electric Buses and Associated Infrastructure Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2 Battery Electric Buses and Associated Infrastructure State or Federal Grant (Transit 621)- 5,507,000 - - - - - - - - This project will replace diesel-powered buses that are beyond their useful life with battery electric equivalents. This project will also fund the procurement and installation of charging equipment for the new electric buses. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Electric Buses and Associated Infrastructure Infrastructure and Sustainable Transportation Transportation Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 40 Financial Plan Page 263Page 783 of 994 Project Number Project Name 2000405 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,500,000 1,000,000 State or Federal Grant (Transit 621)1,500,000 1,000,000 - - - - - - - - 2000405 - Transit Fleet Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Refurbishment of SLO Transit Buses (Base) State or Federal Grant (Transit 621)1,500,000 1,000,000 - - - - - - - - This project will refurbish five old diesel-powered buses, extending their useful life and allowing for the expansion of services,as recommended by the City's recently adopted Short-Range Transit Plan. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Refurbishment of SLO Transit Buses Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 41 Financial Plan Page 264Page 784 of 994 Project Number Project Name 2000406 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 35,000 125,000 Local Revenue Measure (Capital Outlay 401)- 35,000 125,000 - - - - - - - 2000406 - Senior Center Paint and Window Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Senior Center Paint and Window Local Revenue Measure (Capital Outlay 401)- 35,000 125,000 - - - - - - - This project will restore the wood sash windows and building paint at the historic Senior Center facility and ensure the building a sealed envelop. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Senior Center Paint and Window Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 42 Financial Plan Page 265Page 785 of 994 Project Number 2000502 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 30,000 300,000 Local Revenue Measure (Capital Outlay 401)- - - - - - 20,000 180,000 - - Sewer Fund (602)- - - - - - 5,000 60,000 - - Water Fund (601)- - - - - - 5,000 60,000 - - 2000502 - Corporation Yard Perimeter Fence Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Corporation Yard Perimeter Fence Replacement Water Fund (601)- - - - - - 5,000 60,000 - - Sewer Fund (602)- - - - - - 5,000 60,000 - - Local Revenue Measure (Capital Outlay 401)- - - - - - 20,000 180,000 - - Project Name Corporation Yard Perimeter Fence Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description The Corp Yard fencing is original to the facility and needs to be upgraded to address the current security concerns. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 43 Financial Plan Page 266Page 786 of 994 Project Number Project Name 2000503 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 110,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 Local Revenue Measure (Public Art Private Sector 207)110,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 2000503 - Public Art Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Public Art Coordination (ops) Local Revenue Measure (Public Art Private Sector 207)110,000 110,000 110,000 110,000 110,000 110,000 110,000 110,000 110,000 110,000 Public Art Procurement Local Revenue Measure (Public Art Private Sector 207)- 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 This project will support the Public Art maintenance needs for the current collection of artwork, the Public Art programming of artist workshops, temporary murals, and the Utility Box Art Program. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Public Art Maintenance Cultural Vitality, Economic Resilience, and Fiscal Sustainability Community Improvement Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 44 Financial Plan Page 267Page 787 of 994 Project Number Project Name 2000506 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 350,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 State or Federal Grant (Transit 621)350,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 2000506 - Bus Stop Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Bus Stop Improvements State or Federal Grant (Transit 621)350,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 This is an ongoing project to install new and to replace existing bus stop amenities like shelters, trash receptacles, benches, solar lighting, and informational displays at various locations that have met or exceeded their useful life. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Bus Stop Improvements Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 45 Financial Plan Page 268Page 788 of 994 Project Number Project Name 2000508 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 300,000 Local Revenue Measure (Capital Outlay 401)300,000 - - - - - - - - - 2000508 - City Hall Drought Tolerant Landscaping and Restroom Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 City Hall Drought Tolerant Landscaping and Restroom Local Revenue Measure (Capital Outlay 401)300,000 - - - - - - - - - This project will install drought tolerant landscaping to comply with California State Law, and a restroom facility adjacent to City Hall, near the Transit Center. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears City Hall Drought Tolerant Landscaping and Restroom Diversity Equity, and Inclusion Public Facility Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 46 Financial Plan Page 269Page 789 of 994 Project Number Project Name 2000510 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Local Revenue Measure (Public Art Private Sector 207)100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 2000510 - Public Art Installations Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Public Art Installations Local Revenue Measure (Public Art Private Sector 207)100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 This project will support the planning and installation of signature public art items such as sculptures, large murals, etc. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Public Art Installations Cultural Vitality, Economic Resilience, and Fiscal Sustainability Community Improvement Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 47 Financial Plan Page 270Page 790 of 994 Project Number Project Name 2000512 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 Local Revenue Measure (Capital Outlay 401)- 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 2000512 - Downtown Zig-Zig Lighting Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Downtown Zig-Zag Lighting Local Revenue Measure (Capital Outlay 401)- 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 This funding supports maintenance of the downtown overhead "zig-zag" lighting. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Downtown Zig-Zig Lighting Cultural Vitality, Economic Resilience, and Fiscal Sustainability Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 48 Financial Plan Page 271Page 791 of 994 Project Number 2000513 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 442,000 430,000 30,000 30,000 180,000 30,000 280,000 430,000 30,000 30,000 Local Revenue Measure (Capital Outlay 401)442,000 270,000 30,000 30,000 180,000 30,000 280,000 270,000 30,000 30,000 Sewer Fund (602)- 80,000 - - - - - 80,000 - - Water Fund (601)- 80,000 - - - - - 80,000 - - 2000513 - Electric Vehicle Charging Stations Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 1042 Walnut (Police Station) EV Charging Station Local Revenue Measure (Capital Outlay 401)412,000 - - - - - 250,000 - - - Various City Facilities EV Charging Stations Local Revenue Measure (Capital Outlay 401)30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 Corporation Yard EV Charging Station Local Revenue Measure (Capital Outlay 401)- 240,000 - - - - - 240,000 - - Sewer Fund (602)- 80,000 - - - - - 80,000 - - Water Fund (601)- 80,000 - - - - - 80,000 - - Fire Station 1 Charging Station Local Revenue Measure (Capital Outlay 401)- - - - 150,000 - - - - - Project Name Electric Vehicle Charging Stations Open Space, Climate Action, and Resilience Safety New Asset Project Description This project includes electric vehicle chargers for the Police Station and the Corporation Yard and includes ongoing capital support for maintenance of the existing electric vehicle charging infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 49 Financial Plan Page 272Page 792 of 994 Project Number Project Name 2000514 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,854,612 Park Improvement Fee (Citywide 519)1,854,612 - - - - - - - - - 2000514 - Emerson Park Amenity Upgrades and Beautification Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Emerson Park Amenity Upgrades and Beautification Park Improvement Fee (Citywide 519)1,854,612 - - - - - - - - - This project received the California Prop.68 grant award in December 2021 for amenity upgrades and park beautification at Emerson Park. Park upgrades include construction of restrooms, creation of a small fenced dog park, installation of an educational garden,amenity upgrades,expansion of the basketball court, playground, perimeter fencing,and addition of safety lighting.As outlined in the Prop 68 Grant, the project's scheduled completion date is December 2027. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Emerson Park Amenity Upgrades and Beautification Infrastructure and Sustainable Transportation Community Improvement Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 50 Financial Plan Page 273Page 793 of 994 Project Number 2000516 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,300,990 Fire Impact Fee (Citywide Fire Impact Fee 516)283,990 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)1,017,000 - - - - - - - - - 2000516 - Fire Station 3&4 Remodel Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Fire Station 3&4 Remodel Local Revenue Measure (Capital Outlay 401)1,017,000 - - - - - - - - - Fire Impact Fee (Citywide Fire Impact Fee 516)283,990 - - - - - - - - - Project Name Fire Station 3&4 Remodel Diversity Equity, and Inclusion Safety Asset Replacement Project Description In an effort to make the Fire Department a more inclusive environment and to support the City Council's Major City Goal of Diversity, Equity and Inclusion, the Fire Department is seeking to remodel the living quarters for Fire Stations 3 and Station 4.Both Stations were designed with dorm-like sleeping quarters that lack the needed privacy for a multi-gendered staff. Station 4 will also need bathroom modifications in addition to the living quarters. This project will allow the fire department to conduct a space study and design, allowing staff to properly plan for the remodel scope and budget requirements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 51 Financial Plan Page 274Page 794 of 994 Project Number 2000519 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 95,000 68,500 90,000 603,000 180,000 Capital Outlay (Fleet Repl 402)95,000 - 90,000 - - - 603,000 180,000 - - Local Revenue Measure (Capital Outlay 401)- 68,500 - - - - - - - - 2000519 - Fleet Replacement: Parks and Rec Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parks and Rec Rangers F-350 (1606, 1615, 1616, 1623) Capital Outlay (Fleet Repl 402)- - - - - - 358,000 - - - Parks and Rec Rangers Trailers (0715, 0716, 0717) Capital Outlay (Fleet Repl 402)- - - - - - 45,000 - - - Golf Course Cart, Spray Applicator (1911) Capital Outlay (Fleet Repl 402)- - - - - - - 30,000 - - Golf Course Diesel UTV w/ Dump Bed (1733) Capital Outlay (Fleet Repl 402)- - - - - - - 30,000 - - Parks and Rec Admin Compact Pickup (1014) Capital Outlay (Fleet Repl 402)35,000 - - - - - - - - - Parks and Rec Rangers Dump Trailer (1641) Capital Outlay (Fleet Repl 402)- - - - - - 20,000 - - - Parks and Rec Rangers Trail Dozer (1825) Capital Outlay (Fleet Repl 402)- - - - - - - 80,000 - - Parks and Rec Rangers Mini Ex. (1732) Capital Outlay (Fleet Repl 402)- - - - - - 80,000 - - - Parks and Rec Rangers Tractor (1734) Capital Outlay (Fleet Repl 402)- - - - - - 100,000 - - - Golf Course Utility Cart (1910) This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Project Name Fleet Replacement: Parks and Rec Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 52 Financial Plan Page 275Page 795 of 994 2000519 - Fleet Replacement: Parks and Rec Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Capital Outlay (Fleet Repl 402)- - - - - - - 40,000 - - Golf Course Truck (0819) EV Local Revenue Measure (Capital Outlay 401)- 68,500 - - - - - - - - Golf Course Mower (1518) Capital Outlay (Fleet Repl 402)- - 90,000 - - - - - - - Parks and Rec Van (NEW) Capital Outlay (Fleet Repl 402)60,000 - - - - - - - - - 2025-27 CIP Project Detail Sheets Page 53 Financial Plan Page 276Page 796 of 994 Project Number 2000520 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 368,000 697,500 849,000 795,000 1,805,503 1,439,000 1,251,500 2,016,000 280,000 930,000 Capital Outlay (Fleet Repl 402)303,000 - 569,000 515,000 1,070,503 1,159,000 1,251,500 1,180,000 280,000 930,000 Local Revenue Measure (Capital Outlay 401)65,000 697,500 280,000 280,000 735,000 280,000 - 836,000 - - 2000520 - Fleet Replacement: Public Works Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parks Maintenance 3/4 ton Pickup (1514, 1526, 1527, 1528, 1529, 1530, 1819) Local Revenue Measure (Capital Outlay 401)- - - - 455,000 - - 86,000 - - Facilities Maintenance 3/4 ton Pickup with Utility Bed (1624,1625) Capital Outlay (Fleet Repl 402)- - - - 159,503 - - - - - Facilities Maintenance 3/4 ton Pickup with Utility Bed (0829) EV Local Revenue Measure (Capital Outlay 401)- 75,000 - - - - - - - - Streets- Sweeper (1703) (no later than a year 3 purchase) EV Local Revenue Measure (Capital Outlay 401)- 200,000 200,000 200,000 200,000 200,000 - - - - Streets Maintenance Compact Pickup - Replace w/ Van (0853) Capital Outlay (Fleet Repl 402)- - 68,500 - - - - - - - Parks Maintenance Field Prep Machine (0505, 0701, 1408) Capital Outlay (Fleet Repl 402)- - - 55,000 - - 30,000 - - - Streets Maintenance Trailer - Tack Distribution (1301) Capital Outlay (Fleet Repl 402)- - - 35,000 - - - - - - Streets Maintenance F-550 Traffic Control Truck(1905) Capital Outlay (Fleet Repl 402)- - - - - - - 150,000 - - Streets Maint Compact Pickup (0223) (GPR Truck) EV Local Revenue Measure (Capital Outlay 401)- 80,000 - - - - - - - - This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Project Name Fleet Replacement: Public Works Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 54 Financial Plan Page 277Page 797 of 994 2000520 - Fleet Replacement: Public Works Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Parks Maintenance Compact Pickup (0848) Hybrid/EV Local Revenue Measure (Capital Outlay 401)- 38,500 - - - - - - - - Engineering Pickup (1521, 1632, 1718, 2220, 2305) Capital Outlay (Fleet Repl 402)- - - - 75,500 79,000 82,500 - - - Parks Maintenance 3/4 ton Pickup (0832)(0903) EV Local Revenue Measure (Capital Outlay 401)65,000 68,500 - - - - - - - - Streets Maintenance 1/2 Ton Pickup Truck (1525) Capital Outlay (Fleet Repl 402)- - - - 75,500 - - - - - Streets Maintenance Paving Broom Sweeper (1824) Local Revenue Measure (Capital Outlay 401)- - - - - - - 750,000 - - Parks Maintenance Utility Cart w/ Dump (1803) Capital Outlay (Fleet Repl 402)- - - - - 30,000 - - - - Streets Maintenance Crack Seal Machine (1805) Capital Outlay (Fleet Repl 402)- - - - - 60,000 - - - - Streets Maintenance F-550 Paint & Sign (1622) Capital Outlay (Fleet Repl 402)- - - - - - 125,000 - - - Streets Maintenance 3/4 ton Pickup (0820) EV Capital Outlay (Fleet Repl 402)- - 72,000 - - - - - - - Urban Forestry Water Truck (1612) (Financed) Capital Outlay (Fleet Repl 402)- - - - 100,000 100,000 100,000 100,000 100,000 - Streets Maintenance F-750 Dump Truck (1405) Capital Outlay (Fleet Repl 402)- - - - - 80,000 80,000 80,000 80,000 80,000 Streets Maintenance Pressure Washer (2102) Capital Outlay (Fleet Repl 402)- - - - - 35,000 - - - - Fleet Maintenance Forklifts (1640 & 1820) Capital Outlay (Fleet Repl 402)- - - - - 90,000 - 100,000 - - Streets Maintenance F-550 Concrete (1519) Capital Outlay (Fleet Repl 402)- - - - - 125,000 - - - - Streets Maintenance Asphalt Zipper (1802) Capital Outlay (Fleet Repl 402)- - - - - 300,000 - - - - Transportation Planning E-150 Van (1402) Capital Outlay (Fleet Repl 402)- - - 65,000 - - - - - - Streets Maintenance Message Board (1906) Capital Outlay (Fleet Repl 402)- - - - - - - 35,000 - - Streets Maintenance Transfer Dump (1901) Capital Outlay (Fleet Repl 402)- - - - - - - - - 750,000 Parks Maintenance Compact Pickup (0849) Capital Outlay (Fleet Repl 402)38,000 - - - - - - - - - Streets Maint HD Roll-Off Truck (0830) Capital Outlay (Fleet Repl 402)- - 100,000 100,000 100,000 100,000 100,000 - - - Fleet Maintenance Service Truck (0312) Capital Outlay (Fleet Repl 402)- - 80,000 - - - - - - - Streets Maintenance Skip & Drag (1823) Capital Outlay (Fleet Repl 402)- - - - - - 175,000 - - - 2025-27 CIP Project Detail Sheets Page 55 Financial Plan Page 278Page 798 of 994 2000520 - Fleet Replacement: Public Works Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Parks Maintenance Turf Sweeper (1513) Capital Outlay (Fleet Repl 402)- - - - - - 30,000 - - - Parks Maint Refuse Truck F450 (1015) Local Revenue Measure (Capital Outlay 401)- 80,000 80,000 80,000 80,000 80,000 - - - - Urban Forestry Chipper Truck (1806) Capital Outlay (Fleet Repl 402)- - - - - - - 200,000 - - Streets Maintenance Backhoe (0413) Capital Outlay (Fleet Repl 402)200,000 - - - - - - - - - Streets Maintenance Backhoe (1714) Capital Outlay (Fleet Repl 402)- - - - 300,000 - - - - - Streets Maintenance Trailer (1902) Capital Outlay (Fleet Repl 402)- - - - - - - 25,000 - - Engineering Compact Pickup (0904) Capital Outlay (Fleet Repl 402)65,000 - - - - - - - - - Engineering Compact Pickup (0905) Local Revenue Measure (Capital Outlay 401)- 65,000 - - - - - - - - Streets Maintenance Loader (0329) Capital Outlay (Fleet Repl 402)- - - 80,000 80,000 80,000 80,000 80,000 - - Streets Maintenance Roller (1002) Capital Outlay (Fleet Repl 402)- - - 100,000 - - - - - - Streets Maintenance Pickup (1722) Capital Outlay (Fleet Repl 402)- - - - - - 89,500 - - - Streets Maintenance Pickup (1723) Capital Outlay (Fleet Repl 402)- - - - - - 89,500 - - - Parks Maintenance - Mower (1504) Capital Outlay (Fleet Repl 402)- - 90,000 - - - - - - - Urban Forestry Lift Truck (1816) Capital Outlay (Fleet Repl 402)- - - - - - 100,000 100,000 100,000 100,000 Parks Maintenance Aerator (1904) Capital Outlay (Fleet Repl 402)- - - - - - - 20,000 - - Parks Maintenance Tractor (1807) Capital Outlay (Fleet Repl 402)- - - - - - - 120,000 - - Parks MCC Compact Pickup (1013) Capital Outlay (Fleet Repl 402)- - 68,500 - - - - - - - Parks Maint Turf Tender (0609) Local Revenue Measure (Capital Outlay 401)- 22,000 - - - - - - - - Golf Course Mower-Reel (1907) Capital Outlay (Fleet Repl 402)- - - - - - - 90,000 - - Urban Forest Pickup (0852) EV Local Revenue Measure (Capital Outlay 401)- 68,500 - - - - - - - - Urban Forest Chipper (1717) Capital Outlay (Fleet Repl 402)- - - - 100,000 - - - - - Streets Maint Paver (1001) Capital Outlay (Fleet Repl 402)- - - 80,000 80,000 80,000 80,000 80,000 - - 2025-27 CIP Project Detail Sheets Page 56 Financial Plan Page 279Page 799 of 994 2000520 - Fleet Replacement: Public Works Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Golf Course Mower (1725) Capital Outlay (Fleet Repl 402)- - - - - - 90,000 - - - Parks Maint Mower (1611) Capital Outlay (Fleet Repl 402)- - 90,000 - - - - - - - 2025-27 CIP Project Detail Sheets Page 57 Financial Plan Page 280Page 800 of 994 Project Number 2000521 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 238,000 600,000 1,758,000 395,500 647,500 908,000 723,000 50,000 268,000 200,000 Capital Outlay (Fleet Repl 402)- - 42,000 - - - - - - - Sewer Fund (602)238,000 - 617,000 45,500 275,000 476,500 457,500 50,000 - - Water Fund (601)- 600,000 1,069,000 150,000 240,000 331,500 189,500 - 268,000 200,000 Whale Rock Fund (705)- - 30,000 200,000 132,500 100,000 76,000 - - - 2000521 - Fleet Replacement: Utilities Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Distribution - Water Distribution Service Truck (0847) Water Fund (601)- - 600,000 - - - - - - - Wastewater Collections Caterpillar Excavator (0626) Sewer Fund (602)- - - - 100,000 - - - - - Environmental Compliance - Compact Pickup (0816) Sewer Fund (602)- - - 45,500 - - - - - - Wastewater Collections Portable Generator (1620) Sewer Fund (602)- - - - - - 200,000 - - - Camera Replacement in Wastewater Collection Van Sewer Fund (602)200,000 - - - - - - - - - Wastewater Collections Concrete Trailer (1804) Sewer Fund (602)- - - - - - - 50,000 - - Wastewater Collections Truck w/Dump Bed (1811) Sewer Fund (602)- - - - - - 100,000 - - - Water Distribution Pickup - Long-range (1629) Water Fund (601)- - 75,500 - - - - - - - Wastewater Collections Service Truck (1608) Project Name Fleet Replacement: Utilities Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 58 Financial Plan Page 281Page 801 of 994 2000521 - Fleet Replacement: Utilities Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Sewer Fund (602)- - - - - 100,000 - - - - Water Distribution Portable Generator (1619) Water Fund (601)- - - - - 200,000 - - - - Water Distribution Portable Generator (2007) Water Fund (601)- - - - - - - - - 200,000 Wastewater Collections Hydrocleaner (1407) Sewer Fund (602)- - 575,000 - - - - - - - Wastewater Collections Service Truck (1810) Sewer Fund (602)- - - - - 100,000 - - - - Wastewater Collections Portable Pump (1730) Sewer Fund (602)- - - - - - 75,000 - - - Water Distribution Hydro Ex Trailer (1621) Water Fund (601)- - - 150,000 - - - - - - Water Treatment Plant Service Truck (1644) Water Fund (601)- - - - - - 100,000 - - - Water Conservation Compact Pickup (1613) Water Fund (601)- - - - - 52,500 - - - - Wastewater Collections Dump Truck (0840) Water Fund (601)- - - - 175,000 - - - - - Sewer Fund (602)- - - - 175,000 - - - - - Water Distribution Service Truck (0846) Water Fund (601)- 600,000 - - - - - - - - Environmental Compliance - Sedan (0805) Sewer Fund (602)- - 42,000 - - - - - - - Water Treatment Plant Forklift (0910) Water Fund (601)- - 75,000 - - - - - - - Whale Rock Portable Generator (1302) Whale Rock Fund (705)- - - 200,000 - - - - - - Water Distribution Meter Van (1909) Water Fund (601)- - - - - - - - 75,000 - Water Treatment Plant Pickup (1004) Water Fund (601)- - 68,500 - - - - - - - Wastewater Collections Truck (1631) Sewer Fund (602)- - - - - - 82,500 - - - Whale Rock UTV w/ Dump Bed (1509) Whale Rock Fund (705)- - 30,000 - - - - - - - Water Distribution Backhoe (0720) Water Fund (601)- - 250,000 - - - - - - - Water Distribution Trailer (0235) Water Fund (601)- - - - 25,000 - - - - - Wastewater Collection Van (1643) Sewer Fund (602)- - - - - 125,000 - - - - Stormwater Compact Pickup (0850) Capital Outlay (Fleet Repl 402)- - 42,000 - - - - - - - 2025-27 CIP Project Detail Sheets Page 59 Financial Plan Page 282Page 802 of 994 2000521 - Fleet Replacement: Utilities Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Water Distribution Pickup (1523) Water Fund (601)- - - - - 79,000 - - - - Water Distribution Pickup (1724) Water Fund (601)- - - - - - 89,500 - - - Water Distribution Pickup (1903) Water Fund (601)- - - - - - - - 96,500 - Water Distribution Pickup (1908) Water Fund (601)- - - - - - - - 96,500 - Whale Rock 1/2 Ton Truck (1630) Whale Rock Fund (705)- - - - 82,500 - - - - - Whale Rock Service Truck (1637) Whale Rock Fund (705)- - - - - 100,000 - - - - WRRF Compact Pickup 4x4 (0851) Sewer Fund (602)38,000 - - - - - - - - - Water Quality Lab SUV (1713) Sewer Fund (602)- - - - - 72,500 - - - - WRRF Compact Pickup (1522) Sewer Fund (602)- - - - - 79,000 - - - - Whale Rock Boat Trailer Whale Rock Fund (705)- - - - 10,000 - - - - - Whale Rock SUV (1738) Whale Rock Fund (705)- - - - - - 76,000 - - - Whale Rock - Boat Whale Rock Fund (705)- - - - 40,000 - - - - - WTP Utility Cart Water Fund (601)- - - - 40,000 - - - - - 2025-27 CIP Project Detail Sheets Page 60 Financial Plan Page 283Page 803 of 994 Project Number Project Name 2000527 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 340,000 240,000 240,000 240,000 Sewer Fund (602)340,000 240,000 240,000 - 240,000 - - - - - 2000527 - Point Repairs - Wastewater Collections System Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Point Repairs - Wastewater Collections System Sewer Fund (602)340,000 240,000 240,000 - 240,000 - - - - - Point repairs of sewer mains and related infrastructure is a required effort for a reliable wastewater collection system. This point repair project will address existing deficiencies in a surgical manner,and identify potential failures in the public wastewater collection system using video inspections of public mains. The objective of the point repair project is to explore opportunities to improve wastewater catchment areas in a surgical method with limited impacts to traffic circulation and paved roads. The project efforts may include engineering reports, video inspections, updates to the computer hydraulic model, construction plans for point repairs, construction management services,re- coatings of maintenance structures (MHs), acquisition of easements, research for grant programs,and field testing of the wastewater collection system. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Point Repairs - Wastewater Collections System Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 61 Financial Plan Page 284Page 804 of 994 Project Number Project Name 2000529 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,900,000 Water Fund (601)- 1,900,000 - - - - - - - - 2000529 - Recycled Water Orcutt Street - Fernwood to Laurel Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Recycled Water Orcutt Street - Fernwood to Laurel Water Fund (601)- 1,900,000 - - - - - - - - The City continues to expand the recycled water system that is currently comprised of one distribution zone,one booster-pump station,and one tank located at the WRRF. This project will install critical infrastructure needed to serve irrigation services along Laurel Lane and the class 1 bike path. The objective of the project is to expand the recycled water distribution system,and meet the increased demands for recycled water to irrigate public parks. The new pipe system will meet standards set by the American Water Works Association (AWWA) and the State’s regulatory requirements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Recycled Water Orcutt Street - Fernwood to Laurel Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 62 Financial Plan Page 285Page 805 of 994 Project Number Project Name 2000530 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 Water Fund (601)100,000 - - - - - - - - - 2000530 - Recycled Water Tank Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Chemical Storage Tank Replacement Water Fund (601)100,000 - - - - - - - - - The City operates and maintains the recycled water system that is currently comprised of one distribution zone,one booster-pump station, and a concrete tank located at the WRRF. This project will install critical infrastructure needed to reconstruct chemical dosing pumps and piping systems of the recycled water storage tank. The objective of the project is to improve the chemical dosing process, monitor the disinfection performance in the distribution system,and prepare engineering studies required by the Regional Board for regulatory compliance. The project also includes installation of security fencing and replacement of telemetry components. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Recycled Water Tank Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 63 Financial Plan Page 286Page 806 of 994 Project Number Project Name 2000531 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 10,000 10,000 10,000 10,000 Water Fund (601)- 10,000 10,000 10,000 10,000 - - - - - 2000531 - Recycled Water and Ultraviolet Disinfection Maintenance (602) Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Recycled Water and Ultraviolet Disinfection Maintenance Water Fund (601)- 10,000 10,000 10,000 10,000 - - - - - The project includes replacement of ultraviolet bulbs and calibration of disinfection vessels and control panels needed to disinfect WRRF effluent water used by the City's Recycled Water System. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Recycled Water and Ultraviolet Disinfection Maintenance (602) Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 64 Financial Plan Page 287Page 807 of 994 Project Number Project Name 2000532 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 100,000 2,000,000 Local Revenue Measure (Capital Outlay 401)- - 50,000 100,000 - - - 2,000,000 - - 2000532 - Major Facility Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Corporation Yard TI Local Revenue Measure (Capital Outlay 401)- - 50,000 100,000 - - - 2,000,000 - - This project will replace or build new facilities for use by the City. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Major Facility Replacements Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 65 Financial Plan Page 288Page 808 of 994 Project Number Project Name 2000533 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 260,000 State or Federal Grant (Transit 621)260,000 - - - - - - - - - 2000533 - Cutaway Bus Replacememt Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Transit Cutaway Bus Replacement State or Federal Grant (Transit 621)260,000 - - - - - - - - - This project involves replacing aging diesel-powered cutaway buses that have exceeded their useful life with battery-electric equivalents, supporting the City’s transition to a more sustainable and energy-efficient fleet. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Cutaway Bus Replacememt Infrastructure and Sustainable Transportation Transportation Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 66 Financial Plan Page 289Page 809 of 994 Project Number Project Name 2000536 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 State or Federal Grant (Transit 621)150,000 - - - - - - - - - 2000536 - Fleet Replacement: Transit Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Transit Supervisor ADA EV Van State or Federal Grant (Transit 621)150,000 - - - - - - - - - SLO Transit operates an ADA van used by contracted staff to transport eligible riders and to respond to calls for service.SLO Transit also operates a cutaway bus to deliver fixed route and tripper services. This project will replace the existing gasoline-powered ADA van and cutaway bus vehicles, which have both met the end of their useful life, with battery electric equivalents. This project is in compliance with the City's Fleet Replacement Policy and SLO Transit's Zero-Emission Rollout Plan. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Fleet Replacement: Transit Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 67 Financial Plan Page 290Page 810 of 994 Project Number Project Name 2000537 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 15,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 Local Revenue Measure (Capital Outlay 401)15,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 2000537 - Transportation Monitoring & Modeling Update Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Transportation Monitoring & Modeling Update Local Revenue Measure (Capital Outlay 401)15,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,000 As required under the General Plan Circulation Element (Policy 7.7), the City conducts auto/bicycle/pedestrian traffic volume counts citywide every other year to monitor mode shift changes and traffic patterns resulting from land use projects, circulation improvements,and changes in travel behavior. Up-to-date traffic counts help support a variety of ongoing projects and programs, including tracking progress towards adopted mode shift targets, supporting traffic studies prepared for develoment entitlement review and local circulation studies, programming traffic signal timing,guiding future roadway improvements,and facilitating the City’s Traffic Safety/Vision Zero, Operations,and Neighborhood Traffic Management Programs. This funding also supports ongoing minor updates to the City's Travel Demand Forecasting Model, which are necessary for preparing future traffic volume forecasts and vehicle miles traveled (VMT) projections for development review and internal planning and monitoring. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Transportation Monitoring & Modeling Update Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 68 Financial Plan Page 291Page 811 of 994 Project Number Project Name 2000540 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 120,000 Water Fund (601)- - 120,000 - - - - - - - 2000540 - Water Distribution System Hydraulic Model Update Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Distribution System - Infrastructure Renewal Strategy (IRS) Water Fund (601)- - 120,000 - - - - - - - This project will update the computer model of the water distribution system that monitors pipe capacities for existing and future flows. The model will use best available information from new developments and compare the projections against flow data obtained from the Supervisory Control and Data Acquisition (SCADA). The flow monitoring efforts will be conducted over several months to record improvements in pipe integrity and reductions on main breaks. The information will be used to schedule priorities for new water pipe replacement projects,and identify where water demands may be restricting the capacity of the water distribution system. This study will be particularly important for proper planning of new infill housing developments, hospital expansions,and possible projects by the university needing additional water capacities. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Distribution System Hydraulic Model Update Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 69 Financial Plan Page 292Page 812 of 994 Project Number Project Name 2000542 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 113,000 120,000 1,280,000 1,098,000 Water Fund (601)113,000 - 120,000 1,280,000 1,098,000 - - - - - 2000542 - WTP Major Facility Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Contact Basin Drain Repair - Ozone System Water Fund (601)38,000 - - - - - - - - - Actiflo Electrical Panel Replacement Water Fund (601)- - - 100,000 - - - - - - Effluent Pipe Corrosion Protection Water Fund (601)50,000 - - - - - - - - - Washwater Reclamation Pipe Cleaning Water Fund (601)- - - - 38,000 - - - - - Actiflo Poly Blend Units Water Fund (601)25,000 - - - - - - - - - Cityworks Integration Water Fund (601)- - 120,000 - - - - - - - Facility Master Plan Water Fund (601)- - - 700,000 1,000,000 - - - - - Sludge Drying Beds Water Fund (601)- - - - 60,000 - - - - - Package Thickener Water Fund (601)- - - 480,000 - - - - - - WTP Major Facility Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description Ongoing equipment maintenance at the Water Treatment Plant is necessary to prolong the useful life of the facilities and ensure staff’s ability to operate the plant and treat water to State and Federal standards. This project includes repairs or replacements to the ozone contact basin and overflow piping system, corroded pipelines,package thickener processing unit, actiflo-poly blend units, electrical panels, wash water reclamation pipe,implementation of asset management software, arc-flash electrical studies,and engineering services required for condition assessments of existing infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 70 Financial Plan Page 293Page 813 of 994 Project Number Project Name 2000543 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 80,000 1,100,000 Water Fund (601)- - - 80,000 1,100,000 - - - - - 2000543 - Stenner Canyon Waterline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Stenner Canyon Waterline Replacement Water Fund (601)- - - 80,000 1,100,000 - - - - - The 17.6 miles of pipeline conduit that transport raw water from the Salinas Reservoir to the City of San Luis Obispo was installed in1960. Given the aging infrastructure, this project will include point repairs or replacement of pipe segments that have experienced corrosion or have failed the structural integrity assessment in the older transmission system along Stenner Creek and northeast of the Water Treatment Plant. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Stenner Canyon Waterline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 71 Financial Plan Page 294Page 814 of 994 Project Number Project Name 2000546 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 850,000 Water Fund (601)- - - - 850,000 - - - - - 2000546 - Highland at UPRR and Cal Poly Waterline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Highland at UPRR and Cal Poly Water Fund (601)- - - - 850,000 - - - - - The City operates a complex potable water distribution system that is comprised of 15 distribution zones,nine potable water storage tanks, two reservoirs, five hydro-pneumatic tanks, seven pump stations,21 pressure reducing valves (PRVs)and over 180 miles of pipe with diameters ranging in size from four inches to 30 inches. This project will replace critical infrastructure that has reached the end of its useful life, experienced water main breaks,and is ranked as a high priority for replacement. The objective of the project is to replace cast-iron pipe with 24-inch ductile iron pipe meeting standards by the American Water Works Association (AWWA) with earthquake resistant joints, providing resiliency to the distribution network against vibrations and water pressure surges. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Highland at UPRR and Cal Poly Waterline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 72 Financial Plan Page 295Page 815 of 994 Project Number Project Name 2000547 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 180,000 3,080,000 Water Fund (601)- - - - 180,000 3,080,000 - - - - 2000547 - Foothill - Chorro to California 24" Pipeline Inter-tie Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Foothill - Chorro to California 24" Pipeline Inter-tie Water Fund (601)- - - - 180,000 3,080,000 - - - - This project will install a water distribution inter-tie between two major pressure zones along Foothill Boulevard. The two pressures zones have transmission pipelines that deliver water from the Water Treatment Plant to storage tanks.In the event of a seismic event and a transmission failure each pressure zone would provide resiliency to the community by installing temporary pumps at the new service connections provided by the inter-tie system. The inter-tie will meet standards by the American Water Works Association (AWWA) with earthquake resistant joints, which will provide resiliency to the distribution network during emergency conditions. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Foothill - Chorro to California 24" Pipeline Inter-tie Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 73 Financial Plan Page 296Page 816 of 994 Project Number Project Name 2000548 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 5,700,001 9,785,000 7,475,000 6,165,000 7,855,000 Water Fund (601)- - - - - 5,700,001 9,785,000 7,475,000 6,165,000 7,855,000 2000548 - Water - Pipeline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water - Pipeline Replacement Water Fund (601)- - - - - 5,700,001 9,785,000 7,475,000 6,165,000 7,855,000 Replacement of water distribution pipes, mainlines,and related infrastructure is an ongoing program required for a reliable water distribution network. When new developments are completed, the demands for water services are tracked by telemetry systems and used to calibrate the computer models that assess the priority of system maintenance, replacements,and capacity needs. The purpose of this project is to forecast anticipated capital expenditures beyond the 5-year financial plan, and to provide stability during the development of rate setting studies. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water - Pipeline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 74 Financial Plan Page 297Page 817 of 994 Project Number Project Name 2000549 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 5,039,380 Whale Rock Fund (705)- - 5,039,380 - - - - - - - 2000549 - Whale Rock Pump Station Rehab (A and B) Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Whale Rock Pump Station Rehab (A and B) Whale Rock Fund (705)- - 5,039,380 - - - - - - - The 17.6 miles of pipeline conduit that transport water from the Whale Rock Reservoir (WRR)to the City of San Luis Obispo, Cal Poly,and California Men’s Colony rely on two major water pump stations constructed in 1961.An assessment of the water pump stations (PSA and PSB)is required to replace the electrical systems and pumps,and upgrade the building structure to meet new building codes and site access requirements.This project will fund engineering studies, design of construction documents,and implementation of infrastructure upgrades.The replacement of the pump station is needed to ensure water deliveries can be made to the City of San Luis Obispo when other water reservoirs are taken out of service for regular maintenance. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Whale Rock Pump Station Rehab (A and B) Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 75 Financial Plan Page 298Page 818 of 994 Project Number Project Name 2000551 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,475,000 Sewer Fund (602)- 1,475,000 - - - - - - - - 2000551 - WRRF Power Cogeneration Upgrade Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 WRRF - Digester Flare Upgrade Sewer Fund (602)- 1,475,000 - - - - - - - - The City’s Water Resource Recovery Facility (WRRF)long-range plan identified the need for energy production,energy efficiency,and the reduction of electrical imports during peak demands.One of those priority projects,or Energy Conservation Measures (ECM's),is the expansion of biogas production and the addition of a new cogeneration unit. This project will study the feasibility of increased bio-gas production through field studies for optimization of the new digester’s heating and mixing systems constructed in 2025.The studies will result in a plan to increase methane production,and convert biogas into electrical power using a cogeneration unit, while staying in compliance with emission regulations. This project will coordinate with the California Resiliency Challenge and the Department of Energy’s models to consider alternatives for sustainable power solutions and increase electrical power production using the best available technologies. This project will fund engineering studies, design, environmental clearance, permitting,grant applications,and construction of the new infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears WRRF Power Cogeneration Upgrade Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 76 Financial Plan Page 299Page 819 of 994 Project Number 2000553 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 705,000 437,000 933,000 1,112,454 588,000 465,000 272,000 479,000 286,000 293,000 Capital Outlay (Fleet Repl 402)705,000 187,000 843,243 562,454 588,000 200,000 272,000 479,000 286,000 293,000 Local Revenue Measure (Capital Outlay 401)- 250,000 89,757 550,000 - 265,000 - - - - 2000553 - Fleet Replacement: Police Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Police Patrol Electric SUV (1 -2 Vehicles Per Year) EV Local Revenue Measure (Capital Outlay 401)- 115,000 89,757 - - 265,000 - - - - Police Patrol Electric SUV (1-2 Vehicles Per Year) EV Capital Outlay (Fleet Repl 402)- - 164,243 260,954 258,000 - 272,000 279,000 286,000 293,000 Police Investigations Enclosed Trailer (0115) Capital Outlay (Fleet Repl 402)- - - 25,000 - - - - - - Public Safety Mobile Command Vehicle/City EOC Local Revenue Measure (Capital Outlay 401)- - - 550,000 - - - - - - SWAT Trailer Enclosed, 2 Axle, Complex (0845) Capital Outlay (Fleet Repl 402)- - - - 75,000 - - - - - Communications Lieutenant Vehicle (NEW) Capital Outlay (Fleet Repl 402)65,000 - - - - - - - - - Truck to tow the Mobile Command Trailer Capital Outlay (Fleet Repl 402)- - - 81,500 - - - - - - Investigations Mini Van (1614) Hybrid Local Revenue Measure (Capital Outlay 401)- 70,000 - - - - - - - - Police Investigations Sedan (1016) Capital Outlay (Fleet Repl 402)65,000 - - - - - - - - - Police Motorcycles (1602, 1603) This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Project Name Fleet Replacement: Police Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 77 Financial Plan Page 300Page 820 of 994 2000553 - Fleet Replacement: Police Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Capital Outlay (Fleet Repl 402)65,000 - 65,000 - - - - - - - Patrol SUV (2 to 4 Vehicles) Capital Outlay (Fleet Repl 402)370,000 187,000 194,000 - - 200,000 - 200,000 - - 3.7L AWD Police Sedan (1638) Capital Outlay (Fleet Repl 402)- - - 75,000 - - - - - - Investigations Sedan (1533) Capital Outlay (Fleet Repl 402)70,000 - - - - - - - - - Investigations Sedan (1628) Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - Investigations Sedan (1635) Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - Police Transport Van (0222) Capital Outlay (Fleet Repl 402)- - - - 120,000 - - - - - Investigation Sedan (1532) Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - Investigations SUV (1535) Local Revenue Measure (Capital Outlay 401)- 65,000 - - - - - - - - Investigations SUV (1601) Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - PD Motors Unit #M1 (2205) Capital Outlay (Fleet Repl 402)- - - - 45,000 - - - - - PD Motors Unit #M1 (2206) Capital Outlay (Fleet Repl 402)- - - - 45,000 - - - - - PD Motors Unit #M1 (2207) Capital Outlay (Fleet Repl 402)- - - - 45,000 - - - - - Police FST Truck (1633) Capital Outlay (Fleet Repl 402)- - - 75,000 - - - - - - Admin sedan (1531) EV Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - Admin sedan (1534) Capital Outlay (Fleet Repl 402)70,000 - - - - - - - - - Captain SUV (1715) Capital Outlay (Fleet Repl 402)- - 70,000 - - - - - - - Motorcycle (1817) Capital Outlay (Fleet Repl 402)- - - 45,000 - - - - - - 2025-27 CIP Project Detail Sheets Page 78 Financial Plan Page 301Page 821 of 994 Project Number 2000554 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 300,000 675,000 450,000 1,900,000 1,290,000 800,000 850,000 850,000 350,000 480,000 Capital Outlay (Fleet Repl 402)- 25,000 150,000 600,000 1,140,000 800,000 750,000 850,000 350,000 480,000 Local Revenue Measure (Capital Outlay 401)300,000 650,000 300,000 300,000 150,000 - 100,000 - - - State or Federal Grant (Capital Outlay 401)- - - 1,000,000 - - - - - - 2000554 - Fleet Replacement: Fire Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Fire Truck 1 - Tiller Ladder Truck (Replacement) (1017) Capital Outlay (Fleet Repl 402)- - - 300,000 300,000 300,000 300,000 300,000 - - State or Federal Grant (Capital Outlay 401)- - - 1,000,000 - - - - - - 1/2 Ton SUV - Battallion Chief Vehicle (1706) Capital Outlay (Fleet Repl 402)- - 100,000 - - - - - - - 1/2 Ton SUV - General Utility Vehicle (1406) Capital Outlay (Fleet Repl 402)- - 50,000 - - - - - - - Fire Truck 2 - Quint (Replacement) (1814) Capital Outlay (Fleet Repl 402)- - - 300,000 300,000 300,000 300,000 300,000 - - SUVs (2) (Light Fleet) (1503, 1502) Capital Outlay (Fleet Repl 402)- - - - 120,000 - - - - - Cart Utility w/ Dump Bed (1802) Capital Outlay (Fleet Repl 402)- 25,000 - - - - - - - - Medic Rescue (Ambulance) (1822) Capital Outlay (Fleet Repl 402)- - - - 300,000 - - - - - Patrol - Type VI Fire Engine Local Revenue Measure (Capital Outlay 401)- 350,000 - - - - - - - - Small SUVs (2) (1604,1605) Project Name Fleet Replacement: Fire Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description This funding supports the replacement of existing Fire Department vehicles in accordance with updated Fire Fleet Replacement Guidelines. These guidelines include evaluation criteria specific to fire service demands, such as Emission Compliance,Engine Hours, Mileage,Age, Known Manufacturer Issues, Repair Cost History, Utilization,and Fleet System Analytics. Given the critical nature of emergency response operations, the guidelines also consider operational readiness and response capability. Additionally,age and mileage replacement targets have been extended across all fire apparatus and support vehicles to ensure continued service reliability while optimizing replacement cycles. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 79 Financial Plan Page 302Page 822 of 994 2000554 - Fleet Replacement: Fire Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Capital Outlay (Fleet Repl 402)- - - - 120,000 - - - - - Station 5 Fire Apparatus Local Revenue Measure (Capital Outlay 401)300,000 300,000 300,000 300,000 150,000 - - - - - Pickup Truck 3/4 (1821) Capital Outlay (Fleet Repl 402)- - - - - 100,000 - - - - Pickup Truck 1/2 (1719) Capital Outlay (Fleet Repl 402)- - - - - - 50,000 - - - Pickup Truck 3/4 (2221) Capital Outlay (Fleet Repl 402)- - - - - - - 100,000 - - Pickup Truck 1/2 (0702) Capital Outlay (Fleet Repl 402)- - - - - - - - - 100,000 Pickup 1/2 ton (0801) Capital Outlay (Fleet Repl 402)- - - - - 100,000 - - - - Fire 1/2 ton Truck (2) Local Revenue Measure (Capital Outlay 401)- - - - - - 100,000 - - - SUV 1/2 Ton 4x4 (2208) Capital Outlay (Fleet Repl 402)- - - - - - 100,000 - - - SUV 1/2 Ton 4x4 (2202) Capital Outlay (Fleet Repl 402)- - - - - - - 100,000 - - Connect Van XL (2201) Capital Outlay (Fleet Repl 402)- - - - - - - 50,000 - - Engine 3 (2004) Capital Outlay (Fleet Repl 402)- - - - - - - - 350,000 350,000 Forklift (1626) Capital Outlay (Fleet Repl 402)- - - - - - - - - 30,000 2025-27 CIP Project Detail Sheets Page 80 Financial Plan Page 303Page 823 of 994 Project Number Project Name 2000555 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 251,500 100,000 159,000 Capital Outlay (Fleet Repl 402)- - - - 50,000 251,500 100,000 159,000 - - 2000555 - Fleet Replacement: Admin Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 City Hall and 919 Pool Cars (1541, 1710, 1711, 1720, 1721) EV Capital Outlay (Fleet Repl 402)- - - - 50,000 100,000 100,000 - - - Natural Resources Pickup Truck 4x4 (1520) EV Capital Outlay (Fleet Repl 402)- - - - - 79,000 - - - - Information Tech Van (1634) EV Capital Outlay (Fleet Repl 402)- - - - - 72,500 - - - - Information Tech SUV (1826) EV Capital Outlay (Fleet Repl 402)- - - - - - - 79,500 - - Information Tech Van (1815) EV Capital Outlay (Fleet Repl 402)- - - - - - - 79,500 - - This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Fleet Replacement: Admin Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 81 Financial Plan Page 304Page 824 of 994 Project Number Project Name 2000557 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 100,000 2000557 - Swim Center Expansion Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Swim Center Expansion Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 100,000 This project will support the initial programming for the expansion of aquatic amenities at the current SLO Swim Center,as outlined in the P&R Blueprint and in response to community and PRC feedback. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Swim Center Expansion Infrastructure and Sustainable Transportation Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 82 Financial Plan Page 305Page 825 of 994 Project Number 2000561 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 145,000 Sewer Fund (602)45,000 - - - - - - - - - Water Fund (601)100,000 - - - - - - - - - 2000561 - Sewer-main Replacement: Morro, Mill, Santa Rosa, and Chorro Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Morro, Mill, Santa Rosa, Chorro Pipeline Replacement Water Fund (601)100,000 - - - - - - - - - Sewer Fund (602)45,000 - - - - - - - - - Project Name Sewer-main Replacement: Morro, Mill, Santa Rosa, and Chorro Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description The City’s wastewater collection system includes approximately 140 miles of sewer mains. Some pipes are over 100 years old, and are undersized to handle the current flow rates. Maintenance needs increase dramatically as pipelines reach their flow capacities,or when they approach the end of their useful life.Pipelines in the public wastewater collection system are inspected using specialized video equipment to prioritize periodic cleaning frequencies or recommend a complete replacement. Based on the assessment, this project will replace sewer mains dating back to 1948 that require high cleaning frequencies, have experienced structural failures due to root intrusions,and have shown high infiltration flows rates during major storm events. Additional funding is requested for the existing appropriation to cover cost escalations experienced with providing labor,equipment,and materials for the construction of this high-priority project,and to replace small water service lines damaged during the construction of the new sewer main. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 83 Financial Plan Page 306Page 826 of 994 Project Number Project Name 2000563 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,570,000 Water Fund (601)2,570,000 - - - - - - - - - 2000563 - Waterline Replacement: California Ave - Taft to Mill Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Waterline Replacement: California Ave - Taft to Mill Water Fund (601)2,570,000 - - - - - - - - - The City operates a complex potable water distribution system that is comprised of 15 distribution zones,nine potable water storage tanks, two reservoirs, five hydro‐pneumatic tanks, seven pump stations,21 pressure reducing valves (PRVs)and over 180 miles of pipe with diameters ranging in size from four inches to 30 inches. This project will replace critical infrastructure that has reached the end of its useful life, experienced water main breaks,and is ranked as a high priority for replacement.The project will replace a critical transmission main crossing Highway 101 with new pipe meeting new standards by the American Water Works Association (AWWA),and provide resiliency in the distribution network against variations in pressure and flows. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Waterline Replacement: California Ave - Taft to Mill Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 84 Financial Plan Page 307Page 827 of 994 Project Number Project Name 2000568 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 250,000 Local Revenue Measure (Capital Outlay 401)- 250,000 - - - - - - - - 2000568 - Golf Course Pro Shop - Flood Damage Repair Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Golf Course Pro Shop Flood Damage Local Revenue Measure (Capital Outlay 401)- 250,000 - - - - - - - - The Pro Shop is located at the entrance of the Laguna Lake Golf Course and houses concessions as well as equipment available for purchase,in addition to Golf Course staff. The building was damaged during a series of winter storms in 2021, and now that hazardous materials have been removed,rehabilitation of the Pro Shop can begin.This project proposes a tenant improvement of the Pro Shop, including new interior finishes, offices and concessionaire. Site drainage around the building will also be addressed to minimize the potential for flood damage to occur again. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Golf Course Pro Shop - Flood Damage Repair Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 85 Financial Plan Page 308Page 828 of 994 Project Number Project Name 2000570 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 330,000 Sewer Fund (602)330,000 - - - - - - - - - 2000570 - Sewer-main Replacements: Taft, Hathaway, Phillips, Buena Vista, and Loomis Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Taft, Hathaway, Phillips, Buena Vista, and Loomis Pipeline Replacement Sewer Fund (602)330,000 - - - - - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer mains. Some pipes are over 100 years old, and are undersized to handle the current flow rates. Maintenance needs increase dramatically as pipelines reach their flow capacities,or when they approach the end of their useful life.Pipelines in the public wastewater collection system are inspected using specialized video equipment that will prioritize periodic cleaning frequencies or recommend a complete replacement. Based on the assessment, this project will replace sewer mains dating back to 1955 that make up portions of the backbone system crossing Highway 101 and have shown high infiltration flows rates during major storm events. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer-main Replacements: Taft, Hathaway, Phillips, Buena Vista, and Loomis Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 86 Financial Plan Page 309Page 829 of 994 Project Number Project Name 2000571 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 310,000 Sewer Fund (602)- 310,000 - - - - - - - - 2000571 - Sewer-main Replacements: San Jose, Ramona, Monte Vista, and California Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 San Jose, Ramona, Monte Vista, and California Pipeline Replacement Sewer Fund (602)- 310,000 - - - - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer mains. Some pipes are over 100 years old, and are undersized to handle the current flow rates. Maintenance needs increase dramatically as pipelines reach their flow capacities,or when they approach the end of their useful life.Pipelines in the public wastewater collection system are inspected using specialized video equipment that will prioritize periodic cleaning frequencies or recommend a complete replacement. Based on the assessment, this project is needed for the replacement of sewer mains dating back to 1958 that require high cleaning frequencies, have experienced structural failures due to root intrusions,and have shown high infiltration flows rates during major storm events. The replacement of the sewer-main will improved capacity constrained areas on the north part of the City, which will reduce conveyance and treatment costs experienced by high flows at the Water Resource Recovery Facility (WRRF). 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer-main Replacements: San Jose, Ramona, Monte Vista, and California Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 87 Financial Plan Page 310Page 830 of 994 Project Number Project Name 2000574 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 500,000 500,000 Parking Fund (611)500,000 500,000 - - - - - - - - 2000574 - Parking Pay Station Installation Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parking Pay Station Installation Parking Fund (611)500,000 500,000 - - - - - - - - This project includes the installation of on-street and lot pay stations as part of the downtown paid parking infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Parking Pay Station Installation Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 88 Financial Plan Page 311Page 831 of 994 Project Number Project Name 2000577 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 75,000 Local Revenue Measure (Capital Outlay 401)75,000 - - - - - - - - - 2000577 - Police Station TI - 1106 Walnut Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 1106 Walnut HVAC Controls Local Revenue Measure (Capital Outlay 401)75,000 - - - - - - - - - This project will upgrade the new Police Facility to meet the needs of the department. Additional funding is intended to support HVAC upgrades to the building. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Police Station TI - 1106 Walnut Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 89 Financial Plan Page 312Page 832 of 994 Project Number 2000601 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,152,000 397,867 1,545,787 351,817 760,907 1,144,000 299,000 1,254,000 1,020,000 446,000 Capital Outlay (Info Tech Repl 403)1,152,000 291,734 1,545,787 351,817 760,907 1,144,000 299,000 1,254,000 1,020,000 446,000 Local Revenue Measure (Capital Outlay 401)- 106,133 - - - - - - - - 2000601 - Public Safety IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Body Worn Cameras and In-Car Video Replacement Capital Outlay (Info Tech Repl 403)- - - - 250,000 - - - 281,000 - Access Control (Automatic Gate Card System) Capital Outlay (Info Tech Repl 403)- - 150,000 - - - - 174,000 - - Police CAD Hardware (Servers and Storage) Capital Outlay (Info Tech Repl 403)- - 405,746 - - - - 470,000 - - Audio Recording System Replacement Capital Outlay (Info Tech Repl 403)- 173,891 - - - - 200,000 - - - Storage Refresh/Expansion (PD) Capital Outlay (Info Tech Repl 403)- - - - 140,000 - - - - 162,000 Fire Station Alerting System Capital Outlay (Info Tech Repl 403)340,000 - - - - 375,000 - - - - Radio Handhelds & Mobiles Capital Outlay (Info Tech Repl 403)145,000 - - 143,598 - - - 178,000 - - Public Safety POD Cameras Capital Outlay (Info Tech Repl 403)63,000 60,777 50,648 - 70,907 70,000 55,000 - 80,000 77,000 ECC Equipment Replacement Capital Outlay (Info Tech Repl 403)- - 39,393 39,393 - - 44,000 44,000 - - ECC Audio Visual System This project will replace public safety related Information Technology assets based upon equipment lifespan, condition,and organizational requirements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Project Name Public Safety IT Replacements Infrastructure and Sustainable Transportation Information Technology Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 90 Financial Plan Page 313Page 833 of 994 2000601 - Public Safety IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Capital Outlay (Info Tech Repl 403)- - - - - - - - 457,000 - CAD/RMS Replacement Capital Outlay (Info Tech Repl 403)- - 900,000 - - - - - - - Public Safety MDC Capital Outlay (Info Tech Repl 403)443,000 - - - - 515,000 - - - - ECC Radio Consoles Capital Outlay (Info Tech Repl 403)- - - - - - - - 202,000 - 911 Phone System Capital Outlay (Info Tech Repl 403)- - - - 300,000 - - - - - PD Data Storage Capital Outlay (Info Tech Repl 403)- 57,066 - - - 184,000 - - - 207,000 Local Revenue Measure (Capital Outlay 401)- 106,133 - - - - - - - - ECC Computers Capital Outlay (Info Tech Repl 403)- - - 168,826 - - - 190,000 - - ECC UPS Capital Outlay (Info Tech Repl 403)161,000 - - - - - - 198,000 - - 2025-27 CIP Project Detail Sheets Page 91 Financial Plan Page 314Page 834 of 994 Project Number 2000603 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 351,000 339,589 1,257,082 59,123 321,939 108,498 182,513 593,019 Capital Outlay (Info Tech Repl 403)282,661 - 314,892 1,231,381 - 42,739 111,664 94,936 152,719 320,705 Parking Fund (611)30,384 - 2,600 18,996 - 12,110 37,071 3,014 22,021 26,015 Sewer Fund (602)14,011 - 12,998 1,118 - 713 83,445 - 1,296 118,272 Transit Fund (621)5,876 - 1,300 5,588 - 3,561 9,818 1,507 6,478 3,659 Water Fund (601)16,510 - 6,500 - - - 67,643 7,535 - 122,336 Whale Rock Fund (705)1,558 - 1,300 - - - 12,299 1,507 - 2,033 2000603 - Enterprise IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Radios, Mobiles and stations not replaced - EF & PW Only Transit Fund (621)- - - - - - 6,149 - - - Whale Rock Fund (705)- - - - - - 12,299 - - - Parking Fund (611)- - - - - - 24,597 - - - Capital Outlay (Info Tech Repl 403)- - - - - - 67,643 - - - Water Fund (601)- - - - - - 67,643 - - - Sewer Fund (602)- - - - - - 67,643 - - - Security Video System Replacement (Camera&Software) Capital Outlay (Info Tech Repl 403)- - - 64,340 - - - - 75,000 - Citywide Radio Simulcast Backend Upgrade (Tait) Capital Outlay (Info Tech Repl 403)- - - 850,000 - - - - - - Parks & Rec ActiveNet Software Replacement Capital Outlay (Info Tech Repl 403)- - 50,000 - - - - - - - Facility Security Citywide Camera Storage Transit Fund (621)- - - 2,794 - - - - 3,239 - Project Name Enterprise IT Replacements Infrastructure and Sustainable Transportation Information Technology Asset Replacement Project Description This project will replace Enterprise Fund related Information Technology assets based upon equipment lifespan, condition,and organizational requirements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 92 Financial Plan Page 315Page 835 of 994 2000603 - Enterprise IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Parking Fund (611)- - - 9,498 - - - - 11,011 - Capital Outlay (Info Tech Repl 403)- - - 33,520 - - - - 38,859 - Sewer Fund (602)- - - 559 - - - - 648 - Chamber AV Replacement (Broadcast System) Capital Outlay (Info Tech Repl 403)- - - 250,000 - - - - - - Facility Security Cameras Capital Outlay (Info Tech Repl 403)36,867 - - 33,520 - 42,739 44,021 - 38,859 - Parking Fund (611)10,446 - - 9,498 - 12,110 12,473 - 11,011 - Transit Fund (621)3,072 - - 2,794 - 3,561 3,668 - 3,239 - Facility Security Cameras Sewer Fund (602)615 - - 559 - 713 734 - 648 - Wireless System Citywide Transit Fund (621)- - 1,300 - - - - 1,507 - - Whale Rock Fund (705)- - 1,300 - - - - 1,507 - - Parking Fund (611)- - 2,600 - - - - 3,014 - - Water Fund (601)- - 6,500 - - - - 7,535 - - Sewer Fund (602)- - 12,998 - - - 15,068 - - - Capital Outlay (Info Tech Repl 403)- - 81,892 - - - - 94,936 - - VoIP Telephone System Capital Outlay (Info Tech Repl 403)245,794 - - - - - - - - 320,705 Parking Fund (611)19,938 - - - - - - - - 26,015 Water Fund (601)16,510 - - - - - - - - 21,542 Sewer Fund (602)13,396 - - - - - - - - 17,479 Transit Fund (621)2,804 - - - - - - - - 3,659 Whale Rock Fund (705)1,558 - - - - - - - - 2,033 Asset Works Upgrades Capital Outlay (Info Tech Repl 403)- - 143,000 - - - - - - - Escribe replacement Capital Outlay (Info Tech Repl 403)- - 40,000 - - - - - - - UB System Upgrade Sewer Fund (602)- - - - - - - - - 100,794 Water Fund (601)- - - - - - - - - 100,794 2025-27 CIP Project Detail Sheets Page 93 Financial Plan Page 316Page 836 of 994 Project Number 2000604 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 242,000 223,414 192,321 988,986 405,746 461,608 288,961 1,069,589 1,069,139 Capital Outlay (Info Tech Repl 403)191,123 200,494 158,591 603,632 332,159 398,954 228,211 - 889,140 888,414 Local Revenue Measure (Capital Outlay 401)- - - 208,845 - - - - - - Parking Fund (611)1,281 2,292 5,011 14,818 9,136 8,055 1,530 - 21,540 15,165 Sewer Fund (602)20,630 9,168 12,526 84,424 36,265 24,007 24,633 - 86,694 80,573 Transit Fund (621)4,843 2,292 1,661 11,953 2,027 4,394 5,783 - 9,705 11,571 Water Fund (601)15,822 9,168 11,928 55,519 22,470 23,353 18,892 - 58,561 58,307 Whale Rock Fund (705)8,301 - 2,604 9,795 3,690 2,845 9,912 - 3,949 15,108 2000604 - Network IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 VMware Infrastructure Upgrade (Whale Rock Fund Contributions) Whale Rock Fund (705)8,301 - - 9,071 - - 9,912 - - 10,831 Uninterruptible Power Supplies (UPS’s Servers and Storage) Parking Fund (611)- - 1,072 - - 1,171 - - 1,280 - Transit Fund (621)- - 1,072 - - 1,171 - - 1,280 - Whale Rock Fund (705)- - 2,144 - - 2,343 - - 2,560 - Water Fund (601)- - 2,145 - - 2,344 - - 2,561 - Sewer Fund (602)- - 3,215 - - 3,513 - - 3,839 - Capital Outlay (Info Tech Repl 403)- - 46,082 - - 50,356 - - 55,025 - VMware Infrastructure Upgrade (Sewer Fund Contributions) Sewer Fund (602)20,630 - - 22,543 - - 24,633 - - 26,917 VMware Infrastructure Upgrade (Water Fund Contributions) Water Fund (601)15,822 - - 17,289 - - 18,892 - - 20,644 Network Switching Infratstructure Equipment Project Name Network IT Replacements Infrastructure and Sustainable Transportation Information Technology Asset Replacement Project Description This project will replace network-related Information Technology assets based upon equipment lifespan, condition,and organizational requirements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 94 Financial Plan Page 317Page 837 of 994 2000604 - Network IT Replacements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Water Fund (601)- - - 34,752 - - - - 40,287 - Sewer Fund (602)- - - 58,403 - - - - 67,705 - Network Switching Infrastructure Equipment Whale Rock Fund (705)- - - 725 - - - - 840 - Capital Outlay (Info Tech Repl 403)- - - 525,381 - - - - 609,060 - Transit Fund (621)- - - 5,792 - - - - 6,714 - Parking Fund (611)- - - 12,549 - - - - 14,548 - PD/City backup storage, secondary storage Parking Fund (611)- - - 869 - - - - 1,008 - Transit Fund (621)- - - 869 - - - - 1,008 - Sewer Fund (602)- - - 3,478 - - - - 4,032 - Water Fund (601)- - - 3,478 - - - - 4,032 - Capital Outlay (Info Tech Repl 403)- - - 78,251 - - - - 90,714 - Virtual Private Network Replace Parking Fund (611)- - - - 776 - - - - 899 Transit Fund (621)- - - - 776 - - - - 899 Water Fund (601)- - - - 2,714 - - - - 3,146 Whale Rock Fund (705)- - - - 2,714 - - - - 3,146 Sewer Fund (602)- - - - 15,509 - - - - 17,979 Capital Outlay (Info Tech Repl 403)- - - - 93,440 - - - - 108,322 VMware Infrastructure Upgrade Capital Outlay (Info Tech Repl 403)191,123 - - - - - 228,211 - - 249,372 Transit Fund (621)4,843 - - 5,292 - - 5,783 - - 6,319 Parking Fund (611)1,281 - - 1,400 - - 1,530 - - 1,671 Local Revenue Measure (Capital Outlay 401)- - - 208,845 - - - - - - Network Security Upgrade Whale Rock Fund (705)- - 460 - - 503 - - 549 - Transit Fund (621)- - 589 - - 644 - - 703 - Parking Fund (611)- - 3,939 - - 4,305 - - 4,704 - Sewer Fund (602)- - 9,311 - - 10,175 - - 11,118 - Water Fund (601)- - 9,783 - - 10,690 - - 11,682 - Capital Outlay (Info Tech Repl 403)- - 112,508 - - 122,941 - - 134,341 - Firewall Replacement Whale Rock Fund (705)- - - - 976 - - - - 1,131 Transit Fund (621)- - - - 1,251 - - - - 1,450 Parking Fund (611)- - - - 8,360 - - - - 9,692 Water Fund (601)- - - - 19,756 - - - - 22,902 Sewer Fund (602)- - - - 20,757 - - - - 24,063 Capital Outlay (Info Tech Repl 403)- - - - 238,719 - - - - 276,740 City SAN Parking Fund (611)- 2,292 - - - 2,579 - - - 2,903 Transit Fund (621)- 2,292 - - - 2,579 - - - 2,903 Water Fund (601)- 9,168 - - - 10,319 - - - 11,614 Sewer Fund (602)- 9,168 - - - 10,319 - - - 11,614 2025-27 CIP Project Detail Sheets Page 95 Financial Plan Page 318Page 838 of 994 Project Number 2000608 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 200,000 200,000 400,000 200,000 350,000 550,000 200,000 400,000 200,000 Local Revenue Measure (Capital Outlay 401)- 100,000 100,000 300,000 100,000 250,000 450,000 100,000 300,000 100,000 State or Federal Grant (Capital Outlay 401)- 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 2000608 - Active Transportation Plan Implementation Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Pavement Maintenance Projects Complete Street Components Local Revenue Measure (Capital Outlay 401)- - - 200,000 - - 200,000 - 200,000 - Active Transporation Plan Tier 1 Network Implementation Local Revenue Measure (Capital Outlay 401)- - - - - 150,000 150,000 - - - Pedestrian Facility Improvements State or Federal Grant (Capital Outlay 401)- 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Bicycle Facility Improvements Local Revenue Measure (Capital Outlay 401)- 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Project Name Active Transportation Plan Implementation Infrastructure and Sustainable Transportation Transportation New Asset Project Description In 2021, the City adopted its first Active Transportation Plan (ATP), which identifies policies, programs and projects needed to support a high- quality, safe and efficient citywide bicycle and pedestrian transportation system. Elements of the Active Transportation Plan are implemented through private development as well as City-led programs and capital improvement projects. This project funds the planning, design and construction of complete street projects, including pedestrian accessibility enhancements,new pedestrian and bicycle crossing improvements, and new and improved bicycle facilities. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 96 Financial Plan Page 319Page 839 of 994 Project Number Project Name 2000610 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 325,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - 325,000 - - 2000610 - Fleet Replacement: CDD Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Community Development 2 Sedan & 3 SUV's (1707, 1708, 1712, 1735, 1736) Local Revenue Measure (Capital Outlay 401)- - - - - - - 325,000 - - This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Fleet Replacement: CDD Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 97 Financial Plan Page 320Page 840 of 994 Project Number 2000611 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 65,500 76,000 300,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - 150,000 - - Parking Fund (611)- 25,000 - 65,500 - - 76,000 150,000 - - Transit Fund (621)- 25,000 - - - - - - - - 2000611 - Fleet Replacement: Parking Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parking Services SUV with LPR (1401) Parking Fund (611)- - - 65,500 - - - - - - Mobility Services Pool Car (EV) Parking Fund (611)- 25,000 - - - - - - - - Transit Fund (621)- 25,000 - - - - - - - - 919 Palm Structure Generator Parking Fund (611)- - - - - - - 150,000 - - Local Revenue Measure (Capital Outlay 401)- - - - - - - 150,000 - - Parking Services SUV (1737) Parking Fund (611)- - - - - - 76,000 - - - Project Name Fleet Replacement: Parking Infrastructure and Sustainable Transportation Fleet Asset Replacement Project Description This project funding replaces existing City vehicles in compliance with revised Fleet Replacement Guidelines.Revised Fleet Replacement Guidelines include the evaluation of the following criteria: Emission Compliance,Engine Hours, Mileage,Age,Known Manufacturer Problems, Repair Cost History, Utilization,and Fleet System Analytics. Additionally, the age and mileage replacement targets have been extended for all vehicle and equipment categories within the fleet. New vehicle and equipment replacements are selected with the cleanest emissions systems possible that can be fueled and/or charged locally while meeting the end users' operational needs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 98 Financial Plan Page 321Page 841 of 994 Project Number 2000616 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 5,237,312 211 - SB1 Road Repair 1,277,312 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)3,960,000 - - - - - - - - - 2000616 - 2025 Paving Project Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025 Paving Project Local Revenue Measure (Capital Outlay 401)3,960,000 - - - - - - - - - 211 - SB1 Road Repair 1,277,312 - - - - - - - - - Project Name 2025 Paving Project Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description Pavement maintenance is an ongoing need and capital project priority. The City’s Pavement Management Plan (PMP), adopted in 1998, provides maintenance zones within the City, ensuring streets are maintained in an eight year rotation.In 2009,Council adopted a revitalized PMP that alternates between maintenance of arterial roads and sealing of neighborhood streets. The City maintains 135 miles of roadways, and in 2025 will perform maintenance on Tank Farm and Sacramento Streets, as well as Orcutt Road and Calle Joaquin. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 99 Financial Plan Page 322Page 842 of 994 Project Number 2000617 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 4,302,858 211 - SB1 Road Repair - 1,302,858 - - - - - - - - Local Revenue Measure (Capital Outlay 401)- 3,000,000 - - - - - - - - 2000617 - 2026 Paving Project Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2026 Paving Project Local Revenue Measure (Capital Outlay 401)- 3,000,000 - - - - - - - - 211 - SB1 Road Repair - 1,302,858 - - - - - - - - Project Name 2026 Paving Project Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description Pavement maintenance is an ongoing need and capital project priority. The City’s Pavement Management Plan (PMP), adopted in 1998, provides maintenance zones within the City, ensuring streets are maintained in an eight year rotation.In 2009,Council adopted a revitalized PMP that alternates between maintenance of arterial roads and sealing of neighborhood streets. The City maintains 135 miles of roadways, and in 2026 will perform re-sealing and re-striping of neighborhood streets within pavement areas 2 and 3. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 100 Financial Plan Page 323Page 843 of 994 Project Number Project Name 2000900 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 100,000 2000900 - Multi Generational Community Center Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Multi-Generaltional Community Center Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 100,000 This project will support the initial scoping of a community center that will effectively host community-focused programs, childcare, events and meetings, as outlined in the P&R Blueprint and in response to community and PRC feedback. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Multi Generational Community Center Infrastructure and Sustainable Transportation Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 101 Financial Plan Page 324Page 844 of 994 Project Number 2001001 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 4,827,026 4,374,221 4,401,705 4,429,739 6,018,532 5,869,338 5,602,631 5,350,170 211 - SB1 Road Repair - - 1,347,275 1,374,221 1,401,705 1,429,739 1,458,334 1,487,501 1,517,251 1,547,596 Local Revenue Measure (Capital Outlay 401)- - 3,479,751 3,000,000 3,000,000 3,000,000 4,560,198 4,381,837 4,085,380 3,802,574 2001001 - Street Reconstruction & Resurfacing Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Pavement Management Future GRANT FUNDS 211 - SB1 Road Repair - - 1,347,275 1,374,221 1,401,705 1,429,739 1,458,334 1,487,501 1,517,251 1,547,596 Pavement Management Future Local Revenue Measure (Capital Outlay 401)- - 3,479,751 3,000,000 3,000,000 3,000,000 4,560,198 4,381,837 4,085,380 3,802,574 Project Name Street Reconstruction & Resurfacing Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description Pavement maintenance is an ongoing need and capital project priority. The City’s Pavement Management Plan (PMP), adopted in 1998, provides maintenance zones within the City, ensuring streets are maintained in an eight year rotation.In 2009,Council adopted a revitalized PMP that alternates between maintenance of arterial roads and sealing of neighborhood streets. The City maintains 135 miles of roadways, and in 2027 will perform pavement maintenance of Prado Road and South Higuera Street.In 2028,re-sealing and re-striping of Areas 4 and 5 will take place. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 102 Financial Plan Page 325Page 845 of 994 Project Number Project Name 2001002 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 140,000 250,000 250,000 250,000 250,000 250,000 150,000 150,000 150,000 150,000 Local Revenue Measure (Capital Outlay 401)140,000 250,000 250,000 250,000 250,000 250,000 150,000 150,000 150,000 150,000 2001002 - Sidewalk Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sidewalk Replacement and Cleaning Local Revenue Measure (Capital Outlay 401)140,000 250,000 250,000 250,000 250,000 250,000 150,000 150,000 150,000 150,000 The City has an established network of streets with curbs, gutters,and sidewalks. This system includes over 200 miles of sidewalk and more than 2,400 pedestrian crossing points at intersections.Ongoing sidewalk and curb ramp replacement installations are necessary to support the City’s commitment to maintaining a complete and accessible pedestrian path of travel. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sidewalk Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 103 Financial Plan Page 326Page 846 of 994 Project Number 2001003 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 360,132 430,000 500,000 300,000 500,000 500,000 500,000 500,000 500,000 500,000 Capital Outlay (Capital Outlay 401)9,274 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)350,858 430,000 500,000 300,000 500,000 500,000 500,000 500,000 500,000 500,000 2001003 - Traffic Maintenance and Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Traffic Signal Asset Maintenance and Replacements (ADA) Local Revenue Measure (Capital Outlay 401)100,000 200,000 200,000 100,000 200,000 200,000 200,000 200,000 200,000 200,000 Traffic Signs & Striping Maintenance Local Revenue Measure (Capital Outlay 401)160,000 130,000 200,000 100,000 200,000 200,000 200,000 200,000 200,000 200,000 No Parking Sign Installations Local Revenue Measure (Capital Outlay 401)90,858 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Capital Outlay (Capital Outlay 401)9,274 - - - - - - - - - Project Name Traffic Maintenance and Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description The City is responsible for maintaining approximately 15,000 traffic signs,134 miles of roadway striping,and 70 traffic signals. This project funds replacements and upgrades to traffic signs, refreshing faded roadway striping and pavement markings,and maintenance and modernization of traffic signal systems, such as the replacement of outdated signal cabinets and controllers,upgrades to emergency vehicle preemption equipment, and accessible pedestrian signals. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 104 Financial Plan Page 327Page 847 of 994 Project Number Project Name 2001004 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 340,000 340,000 340,000 340,000 340,000 Water Fund (601)340,000 340,000 340,000 340,000 340,000 - - - - - 2001004 - Water Distribution Utility Trench Repair Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Trench Repairs- Water Water Fund (601)340,000 340,000 340,000 340,000 340,000 - - - - - This project includes repairs to paved areas by Job Order Contract (JOC)and City’s purchasing policies where water distribution staff need to remove or repair service connections within the public right of way. The project will remove city owned polybutylene service connections, cast iron fittings,and deteriorated water pipes,and efficiently replace several temporary asphalt patches with permanent pavement using bulk orders from the JOC. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Distribution Utility Trench Repair Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 105 Financial Plan Page 328Page 848 of 994 Project Number Project Name 2001005 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 285,000 35,000 35,000 35,000 35,000 Water Fund (601)285,000 35,000 35,000 35,000 35,000 - - - - - 2001005 - Water Valve Cover Adjustments Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Valve Cover Adjustments Water Fund (601)285,000 35,000 35,000 35,000 35,000 - - - - - This project includes raising or lowering water valve covers when road pavement operations are performed by public works within the public right of way. The objective of the project is to protect existing water valves and access covers from damage by paving machinery,and to efficiently complete paving operations within the roadway. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Valve Cover Adjustments Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 106 Financial Plan Page 329Page 849 of 994 Project Number Project Name 2001009 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 40,000 20,000 220,000 20,000 70,000 20,000 20,000 120,000 120,000 120,000 Whale Rock Fund (705)40,000 20,000 220,000 20,000 70,000 20,000 20,000 120,000 120,000 120,000 2001009 - Whale Rock Reservoir – Asset Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Whale Rock - Major Maintenance Whale Rock Fund (705)- - - - - 20,000 20,000 120,000 120,000 120,000 Intake Valve Replacements Whale Rock Fund (705)- - 200,000 - - - - - - - Shop Pavement Repair Whale Rock Fund (705)- - - - 50,000 - - - - - Reservoir Fencing Whale Rock Fund (705)20,000 20,000 20,000 20,000 20,000 - - - - - Stilling Basin Whale Rock Fund (705)20,000 - - - - - - - - - Whale Rock Reservoir was originally constructed in 1961.In 2018, an assessment was completed to evaluate the condition of the Dam’s spillway and related infrastructure per requirements set by the Division of Safety of Dams (DSOD). The recommendations by the assessment include capital improvement projects required to operate the facility in a safe and reliable manner per DSOD requirements. Additionally, the ongoing maintenance of the facility and associated infrastructure at the Whale Rock Reservoir are necessary to prolong the useful life of the facilities and ensure staff’s ability to operate the dam and deliver water to the City. This project will fund all necessary studies,engineering design, permitting, environmental clearance,and construction of the proposed improvements required to address annual inspection reports prepared by DSOD and City Staff. The improvements currently identified include, stilling basin inspection and repairs, spillway repairs, concrete sealing, security fencing,road pavement, advanced instrumentation, intake structure inspection,and repairs to intake structure valves and appurtenances. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Whale Rock Reservoir – Asset Replacement Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 107 Financial Plan Page 330Page 850 of 994 Project Number Project Name 2001010 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 350,000 575,000 475,000 480,000 585,000 1,510,000 405,000 660,000 80,000 385,000 Local Revenue Measure (Capital Outlay 401)350,000 575,000 475,000 480,000 585,000 1,510,000 405,000 660,000 80,000 385,000 2001010 - Parks Major Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Concrete Bench & Table Replacement Various Locations Local Revenue Measure (Capital Outlay 401)15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 Landscape Controller System Upgrade to Calsense Local Revenue Measure (Capital Outlay 401)- 150,000 - - - - - - - - Sinsheimer Park Outfield Wall Replacement Local Revenue Measure (Capital Outlay 401)- - - - 20,000 125,000 - - - - Johnson Park Sidewalk & Tree Replacement Local Revenue Measure (Capital Outlay 401)- - - - 175,000 - - - - - Devaul Basketball Court Replacement Local Revenue Measure (Capital Outlay 401)- - - - - - 15,000 250,000 - - ADA Transition Plan Implementation Local Revenue Measure (Capital Outlay 401)- - 25,000 - 25,000 - 25,000 25,000 - - Sinsheimer Park Stadium Bleachers Local Revenue Measure (Capital Outlay 401)- - - 100,000 - 1,000,000 - - - - Irrigation Mainline Leak Repair Local Revenue Measure (Capital Outlay 401)50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 Islay Park Flatwork Replacement Local Revenue Measure (Capital Outlay 401)- 40,000 - - - - - - - - Laguna Lake Park Docks and Ramp Local Revenue Measure (Capital Outlay 401)- - 100,000 - - - - - - - Parks Major Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description Parks require ongoing maintenance in order to continue to provide users a safe and quality experience. This Annual Asset Maintenance Project provides ongoing funding for the maintenance and replacement of a park infrastructure. This account provides funding annually for parks surfacing maintenance and water supply infrastructure including the installation of hydration stations. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 108 Financial Plan Page 331Page 851 of 994 2001010 - Parks Major Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 2025-2027 Financial Plan Outyears Mission Plaza Railing Upgrade Local Revenue Measure (Capital Outlay 401)- 35,000 - 35,000 - 35,000 - 35,000 - 35,000 Water Stations & Supply Lines Local Revenue Measure (Capital Outlay 401)- - - - 15,000 - 15,000 - 15,000 - Parks Play Surfacing Local Revenue Measure (Capital Outlay 401)285,000 285,000 285,000 280,000 285,000 285,000 285,000 285,000 - 285,000 2025-27 CIP Project Detail Sheets Page 109 Financial Plan Page 332Page 852 of 994 Project Number Project Name 2001011 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 125,000 125,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 Local Revenue Measure (Capital Outlay 401)125,000 125,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 170,000 2001011 - Open Space Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 General Open Space Maintenance Local Revenue Measure (Capital Outlay 401)75,000 75,000 120,000 120,000 120,000 120,000 120,000 120,000 120,000 120,000 Open Space Fencing Local Revenue Measure (Capital Outlay 401)50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 This project supports continued implementation of the City’s adopted Open Space Maintenance Plan.The ongoing maintenance of all City Open Space is premised on the protection of natural resources, including plants, animals,geologic and historic features and the natural areas themselves. Maintenance includes: enhancement to existing trailheads; maintenance and construction of approved and sustainable trails and open space facilities for passive recreation purposes only; removal of illicit materials and non-authorized trails; improved user and natural resource safety;land restoration and stewardship projects; invasive species treatment and control; erosion control and stabilization; education of users via patrols and community outreach;and management of the wildland-urban interface. Additionally, funding helps establish new open space trails associated with recent acquisitions and planning for public use. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Open Space Maintenance Open Space, Climate Action, and Resilience Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 110 Financial Plan Page 333Page 853 of 994 Project Number Project Name 2001015 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 Local Revenue Measure (Capital Outlay 401)- 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 2001015 - Neighborhood Traffic Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Neighborhood Traffic Improvements Local Revenue Measure (Capital Outlay 401)- 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 This project continues efforts to address traffic concerns in residential neighborhoods,including collector and arterial streets with fronting residential. Each year the City receives requests for solutions to reduce speeding and cut-through traffic problems. This project funds the implementation of small to moderately sized projects to correct traffic-related problems. Occasionally,larger needs are scoped and developed into capital projects and budgeted individually. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Neighborhood Traffic Improvements Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 111 Financial Plan Page 334Page 854 of 994 Project Number Project Name 2001016 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 Local Revenue Measure (Capital Outlay 401)- 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 2001016 - Street Lights Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Streetlights Local Revenue Measure (Capital Outlay 401)- 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 This annual asset account supports the establishment of new street lights requested by the community and maintenance/replacement of existing streetlights as needed. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Street Lights Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 112 Financial Plan Page 335Page 855 of 994 Project Number Project Name 2001017 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 90,000 960,000 550,000 1,800,000 1,800,000 1,800,000 Whale Rock Fund (705)90,000 960,000 550,000 - 1,800,000 1,800,000 1,800,000 - - - 2001017 - Whale Rock Reservoir Transmission Pipeline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Whale Rock - Pipeline Replacement Whale Rock Fund (705)- - - - - 1,800,000 1,800,000 - - - Pipeline Creek Crossing Repairs Whale Rock Fund (705)30,000 - - - - - - - - - Transmission Pipeline Repairs Whale Rock Fund (705)60,000 960,000 550,000 - 1,800,000 - - - - - The 17.6 miles of pipeline conduit that transport water from the Whale Rock Reservoir (WRR)to the City of San Luis Obispo, Cal Poly,and California Men’s Colony is 57 years old.Given the aging infrastructure,an assessment of the pipeline’s condition has been completed to properly schedule repairs or replacement projects. Understanding the condition of the WRR pipeline has assisted in planning for long term pipeline reliability and associated maintenance needs, minimizing pipeline failures and associated disruptions, cost,and water leaks. The following scheduled repairs will include point repairs or replacement of pipe segments that have experienced corrosion or have failed the structural integrity assessment. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Whale Rock Reservoir Transmission Pipeline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 113 Financial Plan Page 336Page 856 of 994 Project Number Project Name 2001024 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 420,000 420,000 420,000 250,000 250,000 Sewer Fund (602)420,000 420,000 420,000 250,000 250,000 - - - - - 2001024 - Sewer Inflow and Infiltration Reduction Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Inflow and Infiltration Reduction Sewer Fund (602)420,000 420,000 420,000 250,000 250,000 - - - - - Replacement of wastewater collection pipes,and related infrastructure is an ongoing program for a reliable sanitary sewer collection system. The program’s inflow and infiltration program will conduct pipe integrity tests, video inspections of public sewers, smoke testing of service areas,and schedule point repairs to address existing deficiencies according to priority. The objective of the project is to explore opportunities to consolidate sewer collection systems that may run parallel along roadways,and construct new sewer lateral interconnections that can simplify maintenance operations, reduce illegal stormwater connections into the sewer, and rehabilitate fractures in clay pipes that may be experiencing groundwater infiltration due to soil settlements or root instructions. A decrease of infiltration flows will result in lower energy costs needed to treat sewer volumes at the wastewater treatment plant. The project will fund sewer lateral rebates, engineering reports, construction plans for point repairs, acquisition of public sewer easements, construction management services, sewer manhole re-coatings, sewer flow monitoring studies, and field testing of wastewater piping infrastructure. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Inflow and Infiltration Reduction Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 114 Financial Plan Page 337Page 857 of 994 Project Number Project Name 2001025 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 25,000 25,000 25,000 30,000 30,000 Sewer Fund (602)25,000 25,000 25,000 30,000 30,000 - - - - - 2001025 - Sewer Utility Trench Repair Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Utility Trench Repair Sewer Fund (602)25,000 25,000 25,000 30,000 30,000 - - - - - The project includes repairs to paved areas by Job Order Contract (JOC) where wastewater collection staff need to address system failures, or potholing operations along the public sewer system. The objective of the project is to efficiently replace several temporary asphalt patches within the roadway that resulted from potholing operations with permanent pavement using bulk orders from the JOC. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Utility Trench Repair Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 115 Financial Plan Page 338Page 858 of 994 Project Number Project Name 2001026 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 180,000 180,000 180,000 180,000 180,000 Water Fund (601)180,000 180,000 180,000 180,000 180,000 - - - - - 2001026 - WTP Major Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Air Compressor and Dryer Maintenance Water Fund (601)7,000 7,000 7,000 7,000 7,000 - - - - - Chemical System Maintenance Water Fund (601)33,000 33,000 33,000 33,000 33,000 - - - - - Ozone System Maintenance Water Fund (601)140,000 140,000 140,000 140,000 140,000 - - - - - The ongoing maintenance of the facilities and equipment at the Water Treatment Plant is necessary to prolong the useful life of the facilities and ensure staff’s ability to operate the plant and treat water to State and Federal standards. The purpose of this project is to secure a service contract for equipment maintenance required by the ozone disinfection system and associated chiller systems. The product vendors conduct the service maintenance to ensure optimal performance and collaborate with plant operators during normal operations of the disinfection system. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears WTP Major Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 116 Financial Plan Page 339Page 859 of 994 Project Number Project Name 2001028 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,305,000 1,120,000 Local Revenue Measure (Capital Outlay 401)- - 1,305,000 1,120,000 - - - - - - 2001028 - Lead By Example Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Building Electrification - Rooftop Units at Corp Yard Local Revenue Measure (Capital Outlay 401)- - 55,000 370,000 - - - - - - Building Electrification - Swim Center Heat Pump Local Revenue Measure (Capital Outlay 401)- - 1,150,000 - - - - - - - Building Electrification - City Hall Heat Pump Local Revenue Measure (Capital Outlay 401)- - 100,000 750,000 - - - - - - This project includes building and facility electrification retrofits at the SLO Swim Center, City Hall,and the Corporation Yard in support of Council's adopted goal of carbon neutral municipal operations by 2030. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Lead By Example Open Space, Climate Action, and Resilience Public Facility Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 117 Financial Plan Page 340Page 860 of 994 Project Number Project Name 2001029 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 50,000 Parking Fund (611)- - - 100,000 - - 50,000 - - - 2001029 - License Plate Recognition Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 License Plate Recognition Replacement (Cameras) Parking Fund (611)- - - 100,000 - - 50,000 - - - Parking Enforcement currently operates 3 Genetec License Plate Recognition (LPR) camera systems. The LPR units were purchased in December 2023. The hardware is covered under warranty for 4 years and will need to be updated in early 2028. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears License Plate Recognition Replacement Infrastructure and Sustainable Transportation Transportation Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 118 Financial Plan Page 341Page 861 of 994 Project Number Project Name 2001031 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 300,000 1,700,000 Local Revenue Measure (Capital Outlay 401)- - - - - 300,000 1,700,000 - - - 2001031 - Laguna Lake Golf Course Irrigation Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Laguna Lake Golf Course Irrigation Improvements Local Revenue Measure (Capital Outlay 401)- - - - - 300,000 1,700,000 - - - Project Fund is to support overhauls and infrastructure improvements to the Laguna Lake Golf Course irrigation system. The life expectancy of a golf course technical irrigation system varies from 10 to 30 years. The Laguna Lake Golf Course irrigation was installed in 1976, exceeding its functional lifespan. The Parks and Recreation master plan,(Parks + Recreation Blueprint for the Future:2021-2041) highlighted the LLGC’s failing irrigation infrastructure and has a Mid-Term goal (5 to 10 years)to assess and implement a rehabilitation of the irrigation and utilities at the course. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Laguna Lake Golf Course Irrigation Improvements Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 119 Financial Plan Page 342Page 862 of 994 Project Number Project Name 2001032 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 1,900,000 Local Revenue Measure (Capital Outlay 401)100,000 1,900,000 - - - - - - - - 2001032 - Pismo Street Retaining Wall (Storm Recovery) Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Pismo Street Retaining Wall Adjacent to Vista Grande Local Revenue Measure (Capital Outlay 401)100,000 1,900,000 - - - - - - - - Since 2008,the hillslope along Pismo Street between Morro and Chorro has been deteriorating, resulting in installation of protective k-rail barriers chain link fencing to prevent rockfall from injuring the public.In December 2021,additional failures and dislodging of boulders occurred, necessitating a geotechnical consultant to evaluate the slope. These damages were further exacerbated in the Winter 2023 storm events, and since then design of a wall to retain the slope and protect the property above have been under design. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Pismo Street Retaining Wall (Storm Recovery) Infrastructure and Sustainable Transportation Maintenance New Asset Project Description 2025-27 CIP Project Detail Sheets Page 120 Financial Plan Page 343Page 863 of 994 Project Number Project Name 2001033 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 250,000 3,000,000 State or Federal Grant (Transit 621)250,000 - 3,000,000 - - - - - - - 2001033 - Downtown Transit Center Rehabilitation Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Downtown Transit Center Rehabilitation State or Federal Grant (Transit 621)250,000 - 3,000,000 - - - - - - - This project will rehabilitate the existing Downtown Transit Center that opened for operations in 2002.The project scope includes the removal and replacement of the existing mission style structures, demolition of concrete, the addition of new passenger bus shelters and seating, digital displays and smart bus stop signs, possible conduit for future opportunity charging, expansion of bus bays to accommodate expansion of services, ADA improvements, and security cameras. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Downtown Transit Center Rehabilitation Infrastructure and Sustainable Transportation Transportation Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 121 Financial Plan Page 344Page 864 of 994 Project Number Project Name 2001034 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 250,000 750,000 Local Revenue Measure (Capital Outlay 401)- - - - 250,000 750,000 - - - - 2001034 - Police Range Facility Improvements and Rehabilitation Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Police Range Facility Improvements and Rehabilitation Local Revenue Measure (Capital Outlay 401)- - - - 250,000 750,000 - - - - The proposed project is to address improvements at the current range facility to meet current needs for firearms safety qualifications and defensive tactics. Both interior and exterior areas are in need of rehabilitation,including power and lighting in the obstacle course area, removing unstable ground areas and installing a durable surface. Perimeter fencing is dilapidated and needs replacing. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Police Range Facility Improvements and Rehabilitation Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 122 Financial Plan Page 345Page 865 of 994 Project Number Project Name 2001035 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 200,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 200,000 2001035 - Emily Street Extension Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Emily Street Extension Local Revenue Measure (Capital Outlay 401)- - - - - - - - - 200,000 This project will extend roadway and curb, gutter,and sidewalk to the railroad right of way from its existing limits.It will also create a bike and pedestrian pathway connection to the end of High Street and the railroad station parking lot through UPRR right of way. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Emily Street Extension Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 123 Financial Plan Page 346Page 866 of 994 Project Number Project Name 2001049 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 50,000 2,000,000 Sewer Fund (602)- - - - - 50,000 50,000 - - 2,000,000 2001049 - WRRF Major Equipment Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 WRRF Major Equipment Maintenance Sewer Fund (602)- - - - - 50,000 50,000 - - 2,000,000 Major maintenance of the Water Resource Reclamation Facility (WRRF) includes ongoing upkeep of treatment process systems, pumps, blowers, electrical and control systems,and related infrastructure necessary for a reliable and compliant wastewater treatment operation.As the WRRF is currently undergoing a major upgrade,significant maintenance activities are not expected in the near term. However,planning for long-term maintenance in the outyears of the Financial Plan is essential to ensure continued regulatory compliance, operational reliability, and cost predictability. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears WRRF Major Equipment Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 124 Financial Plan Page 347Page 867 of 994 Project Number Project Name 2001039 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 145,000 Sewer Fund (602)- - 145,000 - - - - - - - 2001039 - Sewer Main Replacement: Broad, Murray, and Chorro Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Main Replacement: Broad, Murray, and Chorro Sewer Fund (602)- - 145,000 - - - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer lines and related operational equipment. Some pipes are over 100 years old, and are undersized. Maintenance requirements increase dramatically as pipeline and equipment approach the end of their useful life.Pipeline and operational equipment require ongoing maintenance and condition assessment to prioritize periodic replacement, ensure proper function,and prolong service life. The objective of this project is to replace clay sewer pipes from 1968 located near Murray Street and along the creek parallel to Chorro Street that has shown high inflow or infiltration flows based on recorded surcharges,and high recorded flow rates during major storm events. The first phase of this project will look at design parameters with the objective of replacing the sewer main with new plastic pipe using open-trench construction,pipe bursting, slip-line,or cured in place rehabilitation methods. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Main Replacement: Broad, Murray, and Chorro Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 125 Financial Plan Page 348Page 868 of 994 Project Number Project Name 2001040 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 Water Fund (601)100,000 - - - - - - - - - 2001040 - Waterline Replacement: Chorro - Highland to Meinecke 24- inch Pipeline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Waterline Replacement: Chorro Street From Highland to Meinecke Water Fund (601)100,000 - - - - - - - - - The water transmission pipeline along Chorro Street from Highland to Meinecke is scheduled for replacement by the Water Master Plan. Installed in 1953 using concrete cylinder pipe (CCP)and cast-iron materials, the pipeline does not meet current seismic standards and needs replacement within the next 5 years. The existing 18-inch CCP will be replaced with a new 24-inch seismic restrained ductile iron pipe for the distribution of treated water into the Foothill and Downtown service areas. The new alignment will follow Environmental Protection Agency (EPA)-recommended design guidelines for “lifeline services” providing reliable water resources during catastrophic events. This project will allow bypass pumping opportunities for future pipeline replacement projects and future interconnections between the two major pressure zones: High Pressure and the Downtown/Foothill Zone. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Waterline Replacement: Chorro - Highland to Meinecke 24-inch Pipeline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 126 Financial Plan Page 349Page 869 of 994 Project Number Project Name 2001041 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 480,000 Water Fund (601)480,000 - - - - - - - - - 2001041 - Water Treatment Plant - Filter Media Replacement and Underdrain Repairs Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Filter Media Replacement and Underdrain Repairs Water Fund (601)480,000 - - - - - - - - - The ongoing maintenance of the facilities and equipment at the Water Treatment Plant is necessary to prolong the useful life of the facilities and ensure staff’s ability to operate the plant and deliver potable water to the City of San Luis Obispo. The proposed project includes a study phase to analyze the condition of the water filter media and associated undrain system. The study will develop a framework for the design and construction of a new filter media of equal or greater performance, which is a required treatment process to meet State and Federal regulations for drinking water standards. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Treatment Plant - Filter Media Replacement and Underdrain Repairs Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 127 Financial Plan Page 350Page 870 of 994 Project Number Project Name 2001042 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,750,000 Sewer Fund (602)- 2,750,000 - - - - - - - - 2001042 - Sewer-main Replacement: Chorro - Boysen to Rougeot Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Chorro - Boysen to Rougeot Sewer Pipeline Replacement Sewer Fund (602)- 2,750,000 - - - - - - - - The 2015 Wastewater Infrastructure Renewal Strategy (IRS or masterplan) identified sewer service areas with capacity constraints from stormwater infiltrations into the sewer system.One of the capacity constrained areas (Area A)is located north of Foothill and west of Chorro, and is currently undergoing sewer main improvements to remove existing clay sewer pipes with new fused plastic pipes using high density polyethylene (HDPE). Other ongoing improvements to reduce capacity constraints include replacement of sewer laterals through lateral rebate programs or as triggered by building permit submittals. Additionally, the collaboration with the 790 Foothill development identified the opportunity to improve the conditions in Area A by transferring the sewer serving the project site and adjacent parcels from Area A to the Area C sewer pipe network, which has available capacity. The proposed pipeline replacement project will expand on this initial point repair completed by the development,and replace the existing 6-inch sewer main along Chorro Street with a larger pipe from Highland to Meinecke. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer-main Replacement: Chorro - Boysen to Rougeot Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 128 Financial Plan Page 351Page 871 of 994 Project Number Project Name 2001043 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 45,000 45,000 Water Fund (601)- 45,000 - - 45,000 - - - - - 2001043 - Recycled Water Pump Station Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 RW Effluent Meter Replacement Water Fund (601)- 45,000 - - - - - - - - Recycled Water Pump Upgrade Water Fund (601)- - - - 45,000 - - - - - The recycled water pump station and storage tank was constructed within the Water Resource Recovery Facility (WRRF)in 2003 and is need of maintenance work. The required maintenance includes asset replacement of existing pipe supports and pipe fittings that experienced settlements due to pressure surges and minor corrosion problems. The project will correct the existing deficiencies with new pipeline spools and re-coat the exterior of the pipe manifold to extend the life of the pump station infrastructure,and install new programmable logic controller that will integrate with the plant’s telemetry system. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Recycled Water Pump Station Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 129 Financial Plan Page 352Page 872 of 994 Project Number Project Name 2001044 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 20,000 Water Fund (601)- - - - 20,000 - - - - - 2001044 - Recycled Water Storage Tank Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Recycled Water Storage Expansion Study Water Fund (601)- - - - 20,000 - - - - - The recycled water pump station and storage tank were constructed within the Water Resource Recovery Facility (WRRF)in 2003 and needs additional storage capacity. The purpose and need for this project is to begin a study phase of the storage tank expansion. The expansion opportunities may include incorporating stranded assets that could get repurposed into a recycled water tank,or looking for new sites that could incorporate a tank and pipe transmission system that can address pressures and system demands. The study could include preliminary design, land title research to evaluate site constraints, and property acquisitions. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Recycled Water Storage Tank Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 130 Financial Plan Page 353Page 873 of 994 Project Number Project Name 2001048 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 9,230,000 Water Fund (601)- - 9,230,000 - - - - - - - 2001048 - Waterline Replacement: Santa Rosa - Stenner Creek Road to Highland 30-inch Pipeline Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water Line Replacement: Santa Rosa - Stenner Creek Water Fund (601)- - 9,230,000 - - - - - - - The water transmission pipeline extending from the Water Treatment Plant to Santa Rosa Road is not constructed of standard material types or sizes and if a leak occurs,it would be difficult to repair without putting many residents out of water service, triggering boil water notices across the eastern side of the City. Installed in 1964 using concrete cylinder pipe (CCP) materials, the pipeline does not meet current seismic standards and is needed for replacement within the next 5 years. The existing 27-inch CCP will be replaced with a new 30- inch seismic restrained ductile iron pipe for the distribution of treated water into the Foothill and Downtown services areas. The new alignment will follow Environmental Protection Agency (EPA)-recommended design guidelines for “lifeline services” providing reliable water resources during catastrophic events. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Waterline Replacement: Santa Rosa - Stenner Creek Road to Highland 30-inch Pipeline Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 131 Financial Plan Page 354Page 874 of 994 Project Number Project Name 2001050 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 400,000 80,000 80,000 Sewer Fund (602)400,000 - 80,000 - 80,000 - - - - - 2001050 - Sewer Lift Station Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Laguna Lift Station Pump Upgrade Sewer Fund (602)400,000 - 80,000 - 80,000 - - - - - Replacements of pumps, valves, fittings,pipe manifolds, flow meters, electrical components, telemetry,and related infrastructure are an ongoing need for reliable wastewater lift stations. The purpose of this project is to categorize costs for major asset replacements needed at lift stations to extend the life of the infrastructure without having to replace the entire facility. The project may include engineering reports, updates to the computer hydraulic model, construction plans for lift station rehabilitation projects, construction management services, coatings, pump maintenance, bypass pumping services, telemetry upgrades,electrical repairs, field testing of infrastructure,and early purchase of materials that are now experiencing long lead times due to delays in supply chains. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Lift Station Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 132 Financial Plan Page 355Page 875 of 994 Project Number Project Name 2001051 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 300,000 1,300,000 Water Fund (601)- - - 300,000 1,300,000 - - - - - 2001051 - Source Water Strategic Plan Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Source Water Strategic Plan Water Fund (601)- - - 300,000 1,300,000 - - - - - With substantial completion of the WRRF’s Phase 1 Upgrade (SLO Water Plus)in 2023 and regulatory requirements for potable re-use, this Source Water Strategic Plan is needed to look at possible roadmaps that can consider the preservation or expansion of the City’s Water Portfolio. Phase 1 replaced WRRF’s aging infrastructure with a new membrane-bioreactor (MBR)and ultraviolet disinfection system, that provides treatment credits that can be expanded into a future beneficial reuse program through direct or indirect potable systems. The strategic plan will study restrictions of potable re-use on surface or groundwater programs,and develop a decision matrix for new projects that may expand the City’s source water portfolio. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Source Water Strategic Plan Infrastructure and Sustainable Transportation Community Improvement Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 133 Financial Plan Page 356Page 876 of 994 Project Number Project Name 2001052 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 10,000 10,000 90,000 10,000 10,000 Water Fund (601)10,000 10,000 90,000 10,000 10,000 - - - - - 2001052 - Water Storage Tank Inspection and Cleaning Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Reservoir 1 Floating Cover Water Fund (601)- - 45,000 - - - - - - - Reservoir 2 Floating Cover Water Fund (601)- - 45,000 - - - - - - - Storage Tanks Water Fund (601)10,000 10,000 - 10,000 10,000 - - - - - Storage capacity of treated drinking water is an essential function of a water distribution system to provide adequate flows and pressures throughout the community.In addition to water storage tanks at the Water Treatment Plant, there are nine water storage tanks located within the City’s distribution system,and a few have been in operation since the early 1940s. Maintenance of water storage facilities is necessary to prolong the useful life of these assets and ensures staff’s ability to operate the water system to State and Federal standards. This project will fund inspection, cleaning, and disinfection cycles needed at water storage tanks. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Storage Tank Inspection and Cleaning Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 134 Financial Plan Page 357Page 877 of 994 Project Number Project Name 2001053 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 50,000 50,000 50,000 50,000 Water Fund (601)- 50,000 50,000 50,000 50,000 - - - - - 2001053 - Waterline Abandonment & Connections Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Waterline Abandonment & Connections Water Fund (601)- 50,000 50,000 50,000 50,000 - - - - - Replacement of water distribution pipes, mainlines,and related infrastructure is an ongoing program for reliable water distribution and fire protection. This waterline abandonment and connections project will address existing deficiencies of public water mains in a surgical manner by eliminating publicly maintained lines that need to get consolidated into a new pressure zone,or eliminating distribution mains running though backyard easements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Waterline Abandonment & Connections Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 135 Financial Plan Page 358Page 878 of 994 Project Number Project Name 2001054 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 12,414,000 2,557,999 2,397,999 2,477,999 2,387,999 Water Fund (601)- - - - - 12,414,000 2,557,999 2,397,999 2,477,999 2,387,999 2001054 - Water - Major Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Water - Major Maintenance Water Fund (601)- - - - - 12,414,000 2,557,999 2,397,999 2,477,999 2,387,999 Major maintenance of water distribution tanks, pumps, electrical systems, telemetry,and related infrastructure is an ongoing program required for a reliable water distribution network. When new developments are completed, the demands for water services are tracked by telemetry systems and used to calibrate the computer models that assess the priority of system maintenance, replacements,and capacity needs. The purpose of this project is to forecast anticipated capital expenditures beyond the 5-year financial plan, and to provide stability during the development of rate setting studies. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water - Major Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 136 Financial Plan Page 359Page 879 of 994 Project Number Project Name 2001055 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 Sewer Fund (602)150,000 - - - - - - - - - 2001055 - WRRF - Building Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Lab Admin HVAC Sewer Fund (602)150,000 - - - - - - - - - The WRRF has been in operation since the 1930’s with various levels of upgrades in 1964, 1992, and most recently in 2023.The staff facilities includes: the laboratory, operations building, and the administration building,which have not been upgraded since their original construction. This building maintenance category will provide asset replacement funds to renovate ancillary facilities and extend the life of the facility. Current needs include replacement of the laboratory chemical vent,air circulation fans, HVAC system,and security upgrades to the existing building entrances and doors. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears WRRF - Building Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 137 Financial Plan Page 360Page 880 of 994 Project Number Project Name 2001056 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 300,000 Water Fund (601)300,000 - - - - - - - - - 2001056 - Water Treatment Plant - Building Maintenance Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Roof replacement Water Fund (601)300,000 - - - - - - - - - The Water Treatment Plant has been in operation since the 1940’s with some facilities upgraded in 1963, 1994, and 2008.Additional repairs, maintenance,and energy efficiency projects were completed between 2010 and 2023.The Building Maintenance Project will provide asset replacement funds to repair roof and window leaks experienced in the administration building and replace the carpet on the second floor of the building. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Treatment Plant - Building Maintenance Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 138 Financial Plan Page 361Page 881 of 994 Project Number Project Name 2001057 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,500,000 Local Revenue Measure (Capital Outlay 401)2,500,000 - - - - - - - - - 2001057 - ATP - Higuera Complete Street Project Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 ATP - Higuera Complete Street Local Revenue Measure (Capital Outlay 401)2,500,000 - - - - - - - - - This project includes complete street and active transportation safety improvements along the Higuera corridor between Marsh Street and Los Osos Valley Road, bikeway and pedestrian enhancements on Madonna Road between Higuera Street and the US 101 SB Ramps,and neighborhood greenway improvements along Bridge Street/Corrida/Woodbridge Street east of Higuera. Improvements include buffered and protected bike lanes, bicycle and pedestrian crossing improvements, hi-visibility crosswalks, ADA curb ramp upgrades,speed reduction elements, and traffic signal upgrades. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears ATP - Higuera Complete Street Project Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 139 Financial Plan Page 362Page 882 of 994 Project Number Project Name 2001058 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 200,000 2,500,000 Local Revenue Measure (Capital Outlay 401)- 200,000 - 2,500,000 - - - - - - 2001058 - ATP - Foothill Boulevard Complete Street Project Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 ATP - Foothill Boulevard Complete Street Project (Planning and Design) Local Revenue Measure (Capital Outlay 401)- 200,000 - - - - - - - - ATP - Foothill Boulevard Complete Street Project (Construction) Local Revenue Measure (Capital Outlay 401)- - - 2,500,000 - - - - - - This project includes complete street and active transportation safety improvements along Foothill Boulevard between the western city limits and California Boulevard, consistent with the Active Transportation Plan,Bishop Peak/Pacheco Elementary Safe Routes to School Plan and recommendations from the City's Traffic Safety/Vision Zero planning.Improvements include buffered/protected bike lanes, pedestrian crossing improvements, and speed reduction elements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears ATP - Foothill Boulevard Complete Street Project Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 140 Financial Plan Page 363Page 883 of 994 Project Number 2001062 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 700,000 2,450,000 Local Revenue Measure (Capital Outlay 401)- - - - - - - 700,000 - 1,450,000 Orcutt Area Transportation Impact Fee (515)- - - - - - - - - 1,000,000 2001062 - ATP - Railroad Safety Trail (Orcutt to Tiburon) and Bullock Culvert Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 ATP - Railroad Safety Trail (Orcutt to Tiburon) and Bullock Culvert Replacement (Including Orcutt Road Railroad Crossing Upgrades) Local Revenue Measure (Capital Outlay 401)- - - - - - - 700,000 - 1,450,000 Orcutt Area Transportation Impact Fee (515)- - - - - - - - - 1,000,000 Project Name ATP - Railroad Safety Trail (Orcutt to Tiburon) and Bullock Culvert Replacement Infrastructure and Sustainable Transportation Transportation New Asset Project Description This project includes closing the existing gap in the Railroad Safety Trail within the Orcutt Area,extending the shared-use path parallel to Bullock Lane between Tiburon Drive and Orcutt road.The project also includes reconstruction of the existing narrow culvert on Bullock Lane to provide width for two auto lanes, a shared-use path on the west side and continuous sidewalks on the east side,and pedestrian and bicycle safety improvements at the Bullock Lane/Orcutt Road intersection and adjacent at-grade rail crossing. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 141 Financial Plan Page 364Page 884 of 994 Project Number Project Name 2001063 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 6,200,000 State or Federal Grant (Capital Outlay 401)- 6,200,000 - - - - - - - - 2001063 - Broadband Plan Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Broadband Construction State or Federal Grant (Capital Outlay 401)- 6,200,000 - - - - - - - - Information Technology (IT) staff have lead an effort to identify areas in the City underserved by high-speed fiber technology, called Broadband.This Broadband plan allowed the City to apply for and receive State funding to help serve residents lacking high speed internet. The current project will install underground and overhead fiber line that a private Internet Service Provider can connect to and offer internet. Future phases of this project will connect City facilities to Broadband and create a redundant City-wide loop. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Broadband Plan Diversity Equity, and Inclusion Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 142 Financial Plan Page 365Page 885 of 994 Project Number Project Name 2001067 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 20,000 200,000 Local Revenue Measure (Capital Outlay 401)20,000 200,000 - - - - - - - - 2001067 - Ramona Crossing Improvements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Ramona Crossing Improvements Local Revenue Measure (Capital Outlay 401)20,000 200,000 - - - - - - - - This project will investigate modifications to the crossing on Ramona, with the intent to construct improvements providing additional pedestrian crossing comfort, if feasible within the existing road right-of-way and topographric constraints. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Ramona Crossing Improvements Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 143 Financial Plan Page 366Page 886 of 994 Project Number Project Name 2001070 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,800,000 Local Revenue Measure (Capital Outlay 401)- - - - 2,800,000 - - - - - 2001070 - ATP-South Broad Street Corridor Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 ATP-South Broad St Corridor Local Revenue Measure (Capital Outlay 401)- - - - 2,800,000 - - - - - This project includes complete street and safety improvements along Broad Street between South Street/Santa Barbara Avenue and the southern city limits near Farmhouse Lane.Improvements will be guided by the recommendations of the City's Active Transportation Plan, Traffic Safety/Vision Zero Plan,and 2014 South Broad Street Area Plan.Improvements are expected to include addition of new signalized intersections, streetlighting, potential for buffered/protected bike lanes, landscaped medians, pedestrian crossing improvements and speed reduction elements. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears ATP-South Broad Street Corridor Infrastructure and Sustainable Transportation Transportation New Asset Project Description 2025-27 CIP Project Detail Sheets Page 144 Financial Plan Page 367Page 887 of 994 Project Number Project Name 2001071 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 2,183,315 1,985,933 3,501,238 1,856,156 Local Revenue Measure (Capital Outlay 401)100,000 2,183,315 - 1,985,933 3,501,238 1,856,156 - - - - 2001071 - Storm Response and Recovery Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Laguna Lake Golf Course Repairs Bridge Replacement (Storm Response and Recovery) Local Revenue Measure (Capital Outlay 401)- 600,000 - - - - - - - - Mitigation Planting (Storm Response and Recovery) Local Revenue Measure (Capital Outlay 401)100,000 1,583,315 - - - - - - - - Mission Plaza Creek Sidewalk Repair Local Revenue Measure (Capital Outlay 401)- - - 870,000 - - - - - - SLO Creek Repairs at Elks Lodge Local Revenue Measure (Capital Outlay 401)- - - 200,000 3,501,238 1,856,156 - - - - Prefumo Creek Grade Structure Local Revenue Measure (Capital Outlay 401)- - - 915,933 - - - - - - The City of SLO was struck with multiple storm events from December 2022 through March 2023,which were a federally declared major disaster. Staff are leading efforts to respond to the infrastructure damage caused by these events and mitigate future damage to the maximum extent feasible. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Storm Response and Recovery Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 145 Financial Plan Page 368Page 888 of 994 Project Number Project Name 2001073 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 35,000 100,000 Sewer Fund (602)35,000 - - - 100,000 - - - - - 2001073 - Sewer Main Replacement: Oceanaire - Cayucos to Froom Rd Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Oceanaire - Cayucos to Froom Road Sewer Fund (602)35,000 - - - - - - - - - enaire - Laguna to Cayucos Sewer Fund (602)- - - - 100,000 - - - - - During the 2023 and 2024 storms, severe erosion was observed along Perfumo Creek,near Oceanaire Street,and across the alignment of an existing 15-inch sewer main crossing the creek. This project is needed for the replacement of a clay sewer pipe dating back to 1958 that requires high cleaning frequencies along backyard easements,has experienced structural failures due to root intrusions,and has shown high infiltration flows rates during major storm events. The project will include a new creek crossing at a new location not susceptible to creek flows or erosion,and eliminate the need to cross behind residential parcels by constructing the new sewer main along the recently completed road and bridge on Froom Ranch Road south of Oceanaire. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Main Replacement: Oceanaire - Cayucos to Froom Rd Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 146 Financial Plan Page 369Page 889 of 994 Project Number Project Name 2001075 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,500,000 Parking Fund (611)1,500,000 - - - - - - - - - 2001075 - Parking Structure Safety Element R&D Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Parking Structure Safety Element Construction Fencing Parking Fund (611)1,000,000 - - - - - - - - - Parking Structure Safety Element Construction Cameras Parking Fund (611)500,000 - - - - - - - - - This project includes the installation of security fencing along the top perimeter of the existing parking garages,as well as installation of security cameras throughout the garage structures. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Parking Structure Safety Element R&D Infrastructure and Sustainable Transportation Safety Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 147 Financial Plan Page 370Page 890 of 994 Project Number Project Name 2001076 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 Local Revenue Measure (Capital Outlay 401)150,000 - - - - - - - - - 2001076 - Roadway Barricade Enhancements Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Roadway Barricade Enhancements Local Revenue Measure (Capital Outlay 401)150,000 - - - - - - - - - This project will add different barricade and security enhancements throughout the downtown to increase pedestrian safety. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Roadway Barricade Enhancements Infrastructure and Sustainable Transportation Safety New Asset Project Description 2025-27 CIP Project Detail Sheets Page 148 Financial Plan Page 371Page 891 of 994 Project Number Project Name 2090742 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 750,000 250,000 525,000 75,000 750,000 1,000,000 1,000,000 Local Revenue Measure (Capital Outlay 401)- 750,000 250,000 525,000 75,000 750,000 - 1,000,000 - 1,000,000 2090742 - Storm Drains Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Drainage Infrastructure Replacement Local Revenue Measure (Capital Outlay 401)- 750,000 - 450,000 - 750,000 - 1,000,000 - 1,000,000 Storm Drain Long-Range Plan Local Revenue Measure (Capital Outlay 401)- - 100,000 - - - - - - - Trash Capture Local Revenue Measure (Capital Outlay 401)- - 150,000 75,000 75,000 - - - - - This annual asset maintenance project addresses major maintenance and replacement of pipes, culverts,and constructed drainage channels to provide increased flood protection and reduced likelihood of loss of property.Budget is used to address high priority maintenance and repair of pipes and culverts past their design life and at risk of failure, as well as emergency repairs. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Storm Drains Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 149 Financial Plan Page 372Page 892 of 994 Project Number Project Name 2091219 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,000,000 Sewer Fund (602)2,000,000 - - - - - - - - - 2091219 - WRRF Upgrade Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 WRRF Facility Upgrade Construction Sewer Fund (602)2,000,000 - - - - - - - - - The City’s Water Resource Recovery Facility (WRRF) must be upgraded to comply with stricter discharge limits required by the Central Coast Water Board (CCWB),to increase capacity to serve the City’s population at General Plan build out,and to replace existing aged facilities that have reached the end of their service life. The draft 2015 WRRF Facilities Plan identifies the related upgrades and associated costs. Stricter discharge limits will require new treatment processes as well as changes to current processes at the WRRF to remove nutrients and disinfection by-products prior to releasing environmental water to San Luis Obispo Creek. These limits are required to meet the CCWB’s Basin Plan for inland waterbodies. The Regional Water Quality Control Board adopted a revised National Pollutant Discharge Elimination System Permit with stricter discharge requirements that went into effect December 1, 2014 and requires the City to meet these new standards. The WRRF’s capacity will be increased from its current 5.1 million gallons per day (MGD)to approximately 5.4 MGD to meet the projected growth for the next 20 years while several aged or obsolete processes will require upgrades or removal. This project will also maximize recycled water production and include much needed upgrades to buildings and communication infrastructure.All aspects of the upgrade will consider a triple bottom line approach to ensure the facility becomes a valuable community asset. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears WRRF Upgrade Infrastructure and Sustainable Transportation Public Facility Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 150 Financial Plan Page 373Page 893 of 994 Project Number Project Name 2091224 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 400,000 Sewer Fund (602)- - - - 400,000 - - - - - 2091224 - Sewer Lift Station Replacement - Foothill Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Foothill Sewer Lift Station Replacement Sewer Fund (602)- - - - 400,000 - - - - - Foothill Lift Station is the oldest in the City’s wastewater collection system and is in a location with limited vehicle access for maintenance. This station is over 50 years old and is operating beyond its life expectancy. The equipment was originally installed in 1962 to serve the Broad Street and Orcutt area, but was removed and warehoused, then reconfigured and installed in its present location in 1986.The sump pump floor was repaired in 1995 to address external corrosions,and in 2013 the force-main failed and repaired to extend the life of the facility. Replacement of the lift station has been prioritized with the other necessary system components.It is recommended that the station be relocated approximately 500 feet west of its current location to serve future development. Relocating the station would require an addition of 500 feet of gravity, a new force-main, easement acquisition, and installation of modern control panels and telemetry systems. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Lift Station Replacement - Foothill Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 151 Financial Plan Page 374Page 894 of 994 Project Number 2091252 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 7,346,479 3,500,000 30,488,630 Capital Outlay (Infrastructure Invest CIP 405)4,750,000 3,500,000 11,158,406 - - - - - - - Local Revenue Measure (Capital Outlay 401)2,267,551 - 3,000,000 - - - - - - - State or Federal Grant (Capital Outlay 401)2,065,000 - 16,330,224 - - - - - - - Transportation Development Impact Fee (507)(1,736,073) - - - - - - - - - 2091252 - Prado Road Bridge Widening Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Prado Road Bridge & Road Widening Capital Outlay (Infrastructure Invest CIP 405)2,750,000 - - - - - - - - - Local Revenue Measure (Capital Outlay 401)2,267,551 - 3,000,000 - - - - - - - State or Federal Grant (Capital Outlay 401)2,065,000 - - - - - - - - - Capital Outlay (Infrastructure Invest CIP 405)2,000,000 3,500,000 11,158,406 - - - - - - - Transportation Development Impact Fee (507)(1,736,073) - - - - - - - - - State or Federal Grant (Capital Outlay 401)- - 16,330,224 - - - - - - - Project Name Prado Road Bridge Widening Infrastructure and Sustainable Transportation Transportation New Asset Project Description The bridge over San Luis Obispo Creek at Prado Road is functionally obsolete, structurally deficient,and can no longer accommodate the City’s multi-modal needs. This project proposes to replace the bridge with a wider one while armoring San Luis Obispo Creek to maximize its hydraulic capacity. Additionally, the intersection at Prado and South Higuera will be widened with protective features for bicycles and pedestrians to operate in conjunction with the widened bridge.All overhead utilities in the area will be undergrounded to provide a more aesthetic and resilient corridor. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 152 Financial Plan Page 375Page 895 of 994 Project Number Project Name 2091368 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 500,000 9,250,000 Water Fund (601)- 500,000 - - 9,250,000 - - - - - 2091368 - T-3 Water Storage Tank Replacement - High Pressure Zone Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Reservoir 2 Replacement Water Fund (601)- 500,000 - - 9,250,000 - - - - - The City currently operates two potable reservoirs (No.1 and No.2) that were constructed in the late 1960’s. Reservoir #2 is a 7.44 million- gallon (MG) reservoir equipped with new floating covers installed in 2024 to extend the life of the storage tank but is deficient in meeting new building codes. Because the reservoir is one big basin used as a storage tank, the entire water volume must be taken out-of-service during maintenance and inspections. The water distribution hydraulic model identified opportunities to consolidate water distribution zones to improve operations, reduce pumping needs, eliminate tanks and pump stations that would otherwise require replacement, improve fire flow, and improve available fire storage. Replacement of Reservoir #2 with a new High-Pressure Zone (HPZ) water storage tank will include construction of two new 2.5-MG above-ground tanks at the existing reservoir site or equivalent elevation. This will provide critical redundancy and allow for tank maintenance without service interruption.It will also be designed to increase water mixing in the reservoir, which will in turn lessen the overall age of water.Older water age contributes to disinfection by-products, a regulated substance which may be harmful to human health. The study phase will research constructability and identify funding options,and begin property acquisition, preliminary designs, and environmental clearances needed to secure State or Federal funding. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears T-3 Water Storage Tank Replacement - High Pressure Zone Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 153 Financial Plan Page 376Page 896 of 994 Project Number Project Name 2091369 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 3,645,000 Sewer Fund (602)- - - 3,645,000 - - - - - - 2091369 - Sewer Lift Station Replacement - Airport Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Airport Lift Station Sewer Fund (602)- - - 3,645,000 - - - - - - The Airport Lift Station is located on Broad Street near the intersection of Fiero Lane.This station is a Smith and Loveless dry/wet well design.It operates with two-240 gpm, 5 horsepower pumps and 840 feet of existing eight-inch force main and was originally constructed by San Luis Obispo County in 1968;the City took over its operation and maintenance in 2000.Due to age, poor structural conditions,and exterior corrosion, the station is operating beyond its life expectancy. The replacement lift station will be sited to accommodate future development of the Airport Area Specific Plan,which will include additional gravity sewers and a new sewer force main. Efforts will be made to look for alternative solutions to eliminate the need for a longer forcemain, which may require additional gravity systems, easement and property acquisitions through the recent Fiero Annexation completed in 2021. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Lift Station Replacement - Airport Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 154 Financial Plan Page 377Page 897 of 994 Project Number 2091503 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 500,000 3,650,000 Local Revenue Measure (Capital Outlay 401)- 2,250,000 - - - - - - - - San Luis Ranch Transportation Fee (514)500,000 1,400,000 - - - - - - - - 2091503 - California & Taft Roundabout Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 California & Taft Roundabout San Luis Ranch Transportation Fee (514)500,000 1,400,000 - - - - - - - - Local Revenue Measure (Capital Outlay 401)- 2,250,000 - - - - - - - - Project Name California & Taft Roundabout Infrastructure and Sustainable Transportation Transportation Asset Replacement Project Description This project includes installation of a roundabout at the intersection of California & Taft, which improves traffic safety and congestion for all road users. This project also improves pedestrian and bicycle connectivity to the newly-constructed segment of the Railroad Safety Trail on the west side of California Boulevard. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 155 Financial Plan Page 378Page 898 of 994 Project Number Project Name 2091506 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 2,250,000 Water Fund (601)2,250,000 - - - - - - - - - 2091506 - Groundwater Well Development Program Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Construct Extraction and Treatment Wells Water Fund (601)2,000,000 - - - - - - - - - Construct Monitoring Wells Water Fund (601)250,000 - - - - - - - - - The City of San Luis Obispo secured grant funds for cleanup and monitoring efforts of groundwater contamination within the City’s basin caused by tetrachloroethylene contamination, also known as Perchloroethylene (PCE). PCE is a chemical that is typically associated with dry cleaners, textile operations,and metal degreasing activities. Local groundwater quality sampling has documented areas of the San Luis Obispo Valley Groundwater Basin underlying the City that have localized groundwater contamination from PCE. The origin of the contamination remains unknown; however,it is not believed to be from a facility owned by the City of San Luis Obispo. The purpose of this project is extract the groundwater and remediate the basin through a filtering process that meets State and Federal regulations. Use of available groundwater resources would improve resiliency in the City’s water supply portfolio,and based on estimates published in the San Luis Obispo Valley Basin Groundwater Sustainability Plan,the City anticipates about 700-acre-feet of groundwater is available for use each year. The City does not currently use groundwater as a drinking water source but considers groundwater as a valuable water resource that will help the City meet its future water supply and resiliency goals. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Groundwater Well Development Program Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 156 Financial Plan Page 379Page 899 of 994 Project Number 2091613 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total (5,017,551) 2,000,000 2,000,000 122,604,336 3,104,336 4,604,336 4,604,336 4,604,336 4,604,336 Capital Outlay (Infrastructure Invest CIP 405)(2,750,000) - - - - - - - - - Debt Financed (Capital Outlay 401)- - - - 75,000,000 - - - - - Local Revenue Measure (Capital Outlay 401)(2,267,551) - - - 1,604,336 3,104,336 4,604,336 4,604,336 4,604,336 4,604,336 San Luis Ranch Cash (Capital Outlay 401)- - 2,000,000 2,000,000 11,000,000 - - - - - SLOCOG Grant (Capital Outlay 401)- - - - 10,000,000 - - - - - State or Federal Grant (Capital Outlay 401)- - - - 25,000,000 - - - - - 2091613 - Prado Road Interchange Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Construction Phase Prado Interchange San Luis Ranch Cash (Capital Outlay 401)- - 2,000,000 2,000,000 11,000,000 - - - - - Local Revenue Measure (Capital Outlay 401)(2,267,551) - - - - - - - - - Capital Outlay (Infrastructure Invest CIP 405)(2,750,000) - - - - - - - - - SLOCOG Grant (Capital Outlay 401)- - - - 10,000,000 - - - - - State or Federal Grant (Capital Outlay 401)- - - - 25,000,000 - - - - - Debt Financed (Capital Outlay 401)- - - - 75,000,000 - - - - - Prado Interchange Debt Repayment Local Revenue Measure (Capital Outlay 401)- - - - 1,604,336 3,104,336 4,604,336 4,604,336 4,604,336 4,604,336 Project Name Prado Road Interchange Infrastructure and Sustainable Transportation Transportation New Asset Project Description The existing interchange at Prado Road is at grade and cannot accommodate development needs within the City and region.Prado road will be extended across Hwy 101, and the North Bound on and off ramps will also be added to this raised interchange. Elks Lane will be re- routed and form a new intersection with the driveway to the City Corporation Yard and Water Resource Recovery Facility. Corporation Yard assets will be re-organized to allow the interchange to be constructed.Prado Road will also be widened from Elks Lane to the Prado Creek Bridge. Grant Funding will be pursued during future design phases to help fund construction costs to the maximum extent possible. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 157 Financial Plan Page 380Page 900 of 994 Project Number 2091633 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 100,000 1,000,000 Local Revenue Measure (Capital Outlay 401)- 50,000 - 500,000 - - - - - - Sewer Fund (602)- 25,000 - 250,000 - - - - - - Water Fund (601)- 25,000 - 250,000 - - - - - - 2091633 - Corp Yard Storage Stalls Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Corp Yard Material Storage Stalls Sewer Fund (602)- 25,000 - 250,000 - - - - - - Water Fund (601)- 25,000 - 250,000 - - - - - - Local Revenue Measure (Capital Outlay 401)- 50,000 - 500,000 - - - - - - Project Name Corp Yard Storage Stalls Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description In order to comply with the City’s Phase II Small MS4 Permit (Section E.11 - Pollution Prevention/Good Housekeeping for Permittee Operations Program), material storage stalls must be covered in order to prevent stormwater transfer of the various materials stored in the stalls such as sand, dirt, street sweeping debris,and cold patch, which can be toxic to aquatic life. This project demos the existing material stalls at the Corp Yard and rebuilds them to provide a vaulted root and backwall with an option to install solar panels on the roofing. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 158 Financial Plan Page 381Page 901 of 994 Project Number Project Name 2091634 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 40,000 150,000 Local Revenue Measure (Capital Outlay 401)40,000 150,000 - - - - - - - - 2091634 - Fire Station 1 Wash Area Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Fire Station 1 Vehicle Wash Area Local Revenue Measure (Capital Outlay 401)40,000 150,000 - - - - - - - - This project is driven by stormwater requirements.The infrastructure being installed will support compliance with the needed stormwater compliance standards. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Fire Station 1 Wash Area Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 159 Financial Plan Page 382Page 902 of 994 Project Number Project Name 2091639 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 260,000 Sewer Fund (602)- 260,000 - - - - - - - - 2091639 - Sewer Main Replacement: Chorro – Meinecke to Murray Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer Main Replacement: Chorro – Meinecke to Murray Sewer Fund (602)- 260,000 - - - - - - - - The City’s wastewater collection system includes approximately 140 miles of sewer mains. Some pipes are over 100 years old, and are undersized to handle the current flow rates. Maintenance needs increase dramatically as pipelines reach their flow capacities,or when they approach the end of their useful life.Pipelines in the public wastewater collection system are inspected using specialized video equipment that will prioritize periodic cleaning frequencies or recommend a complete replacement. Based on the assessment, this project is needed for the replacement of sewer mains dating back to 1949.The sewer mains run along backyard easements and have shown high infiltration flows rates during major storm events, which continue to exceed the flow capacity of the original design. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer Main Replacement: Chorro – Meinecke to Murray Infrastructure and Sustainable Transportation Maintenance Asset Maintenance Project Description 2025-27 CIP Project Detail Sheets Page 160 Financial Plan Page 383Page 903 of 994 Project Number Project Name 2091640 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 6,030,000 3,240,000 5,980,000 2,900,000 4,997,840 Sewer Fund (602)- - - - - 6,030,000 3,240,000 5,980,000 2,900,000 4,997,840 2091640 - Sewer - Pipeline Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Sewer - Pipeline Replacement Sewer Fund (602)- - - - - 6,030,000 3,240,000 5,980,000 2,900,000 4,997,840 The 2015 Wastewater Infrastructure Renewal Strategy (IRS or masterplan) identified sewer service areas with capacity constraints from stormwater infiltrations into the sewer piping system. Replacement of sewer pipelines, and related infrastructure is an ongoing program required for a reliable wastewater collection system. When new developments are completed, the demands for sewer capacities are tracked by telemetry systems and are used to calibrate the computer models that assess the priority of system maintenance, replacements,and capacity needs. The purpose of this project is to forecast anticipated capital expenditures beyond the financial plan, and to provide stability during the development of rate setting studies. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Sewer - Pipeline Replacement Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 161 Financial Plan Page 384Page 904 of 994 Project Number Project Name 2091734 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 54,800 82,000 Water Fund (601)54,800 82,000 - - - - - - - - 2091734 - Water Treatment Plant - Water Meter Replacement Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Effluent Meter Replacement Water Fund (601)- 32,000 - - - - - - - - Salinas Water Meter Water Fund (601)50,000 50,000 - - - - - - - - Drying Bed Meters Water Fund (601)4,800 - - - - - - - - - This project will install new water meters that track water resources coming in and out of the Water Treatment Plant to improve the accounting of volumes and flows impacting the water distributions system during water loss audits. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Water Treatment Plant - Water Meter Replacement Infrastructure and Sustainable Transportation Maintenance Asset Replacement Project Description 2025-27 CIP Project Detail Sheets Page 162 Financial Plan Page 385Page 905 of 994 Project Number 2099110 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 500,000 824,000 800,000 800,000 Capital Outlay (Capital Outlay 401)- - - - - 24,207 - - - - Local Revenue Measure (Capital Outlay 401)- - - 500,000 - 799,793 - 800,000 - 800,000 2099110 - Laguna Lake Dredging Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Laguna Lake Dredging Local Revenue Measure (Capital Outlay 401)- - - 500,000 - 799,793 - 800,000 - 800,000 Capital Outlay (Capital Outlay 401)- - - - - 24,207 - - - - Project Name Laguna Lake Dredging Infrastructure and Sustainable Transportation Community Improvement Asset Maintenance Project Description The Laguna Lake Nature Reserve is 344-acres of City owned land.Laguna Lake is a naturally occurring water body although the lake and surrounding watershed have been modified including the rerouting of Prefumo Creek into Laguna Lake in the 1960’s. This rerouting of Prefumo Creek has increased sediment deposits into the lake, and this project will dredge excess sediment from the lake bed. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 163 Financial Plan Page 386Page 906 of 994 Project Number Project Name 2099837 Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 Local Revenue Measure (Capital Outlay 401)150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 2099837 - Open Space Acquisition Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Open Space Acquisition Local Revenue Measure (Capital Outlay 401)150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 The City continues to actively pursue land purchases and conservation easements to enhance the Greenbelt around the City, which protects watersheds and maintains habitat connectivity. Funding for this project is matched by grant funding to implement open space acquisition. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears Open Space Acquisition Infrastructure and Sustainable Transportation Community Improvement New Asset Project Description 2025-27 CIP Project Detail Sheets Page 164 Financial Plan Page 387Page 907 of 994 Project Number n/a Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 1,009,990 500,000 1,288,622 1,000,000 Capital Outlay (Capital Outlay 401)- - - - - - 485,433 - 1,288,622 1,000,000 Local Revenue Measure (Capital Outlay 401)- - - - - - 524,557 500,000 - - IIF Public Safety Contribution Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 IIF for Future Public Safety Projects Capital Outlay (Capital Outlay 401)- - - - - - 485,433 - 1,288,622 1,000,000 Local Revenue Measure (Capital Outlay 401)- - - - - - 524,557 500,000 - - Project Name IIF Public Safety Contribution Cultural Vitality, Economic Resilience, and Fiscal Sustainability Safety Asset Replacement Project Description This funding serves as a placeholder to the Infrastructure Investment Fund (IIF)in anticipation of future costs related to the development of a new Public Safety Center and/or proposed Fire Station 5.While the specific scope and timeline of these projects remain uncertain,it is anticipated that significant investment may be required in the coming years for activities such as entitlement work,land acquisition, preliminary design, environmental review,or other pre-construction needs. Allocating funding in the outyears allows the City to remain flexible and responsive as more information becomes available and planning efforts progress. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears 2025-27 CIP Project Detail Sheets Page 165 Financial Plan Page 388Page 908 of 994 Project Number Project Name n/a Major City Goal: Project Classification: Project Type: Total Project Budget 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 Total 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 Local Revenue Measure (Capital Outlay 401)4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 CIP Reserve Project Tasks 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34 2034-35 CIP Reserve Local Revenue Measure (Capital Outlay 401)4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 In accordance with city policy, city shall maintain 20% of LRM funding in reserve. 2025-2027 Financial Plan Outyears 2025-2027 Financial Plan Outyears CIP Reserve Cultural Vitality, Economic Resilience, and Fiscal Sustainability Reserve Reserve Project Description 2025-27 CIP Project Detail Sheets Page 166 Financial Plan Page 389Page 909 of 994 REFERENCE MATERIAL  Financial Plan Page 390 Page 910 of 994 REFERENCE MATERIAL Basis of Budgeting and Accounting  Basis of Budgeting  Budgetary basis refers to the basis of accounting used to estimate financing sources and uses in the  budget. The City prepares its budget for each fund in accordance with its respective basis of accounting.  The City prepares a two‐year Financial Plan and appropriates a one‐year budget. The City Council  approves the appropriation for governmental funds and business activities (enterprise funds).   Basis of Accounting  In accordance with generally accepted accounting principles (GAAP), the City’s financial reporting  system is organized on the fund basis consisting of three major fund types ‐ governmental, proprietary,  and fiduciary. The City’s various funds have been established in order to segregate and identify those  financial transactions and resources associated with providing specific activities or programs in  conformance with special regulations, restrictions, or limitations.   Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable  and available. Expenditures generally are recorded when a liability is incurred; however, debt service  expenditures, as well as expenditures related to compensated absences and claims and judgments, are  recorded only when payment is due.   Proprietary (Enterprise) funds are accounted for on the flow of economic resources measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded  when earned and expenses are recorded at the time liabilities are incurred. The only type of proprietary  funds that the City uses are enterprise funds for water, sewer, parking, and transit services. Within this  document, they are reported under business activities.   Fiduciary funds. The City has established fiduciary funds, which are used to account for funds held by the City as an agent for private individuals, organizations or other government agencies. Unlike other  types of funds, fiduciary funds only report assets and liabilities, thus they do not have a measurement  focus since they do not report operating activity. However, fiduciary funds do use the accrual basis of  accounting to recognize receivables and payables.   Internal Service fund. The City created an internal service fund to account for the resources needed to pay for liability, workers compensation, and other benefit‐related costs. Internal service funds  typically assess a fee or seek reimbursement for the amounts that are expended and are not expected to  accumulate fund reserves unless needed for a future payment.   Financial Plan Page 391 Page 911 of 994 REFERENCE MATERIAL CalPERS Pension Obligations  Background  Along with 3,000 other cities and local agencies, the City of San Luis Obispo contracts with the California  Public Employees Retirement System (CalPERS) for its “defined benefit” retirement plan, which covers  all regular employees (and temporary employees when required by State law).  In 2012, the City  proactively negotiated a lower second tier retirement benefit for employees hired after CalPERS  contracts were amended.  In addition, the Public Employee Pension Reform Act (AB 340) became  effective in January 2013 and created the third, and even lower, tier retirement benefit.  Under this  program, employees who are considered new to the CalPERS retirement program are enrolled under the  new law.  Currently, 72% of all participating City employees are enrolled in the lower retirement tiers.  Benefit Tiers  Employee Group Tier 1 Tier 2 Tier 3 ‐ PEPRA  Sworn Public Safety 3% at age 50 Police – 2% at age 50  Fire – 3 % at age 55  2.7 % at age 57  Non‐Sworn Employees 2.7% at age 55 2% at age 60 2% at age 62  CalPERS establishes the annual employer contribution rate that is charged against the City’s payroll costs  for eligible employees. The annual contribution rate is comprised of the following components:  1.Normal Cost, which is the amount needed to fund benefits earned by active employees in the upcoming year. 2.Unfunded liability required contribution, which is the amount charged to pay down the pool’s unfunded liability. Each October, CalPERS provides an actuarial valuation report for each benefit plan that updates certain  values to reflect changes in plan activity since the previous valuation.  These changes include but are not  limited to:  The difference between the expected rate of return and the actual rate realized. Changes in the number of plan members who retire each year. Changes in the number of new plan members. Changes in the annual payroll provided to existing members of the plan. The actuarial valuations also provide new information on the variables associated with maintaining the  plan, such as the amount of the unfunded liability and the annual Employer Contribution rate, which  represents the amount that the City is required to pay for every dollar of eligible payroll, beginning the  following fiscal year. The information used for this report is taken from the latest valuation report that  was issued for the year ending June 30, 2023.  CalPERS is a separate and distinct legal entity from the City and serves as an independent fiduciary in  managing the City’s retirement plan assets.    Financial Plan Page 392 Page 912 of 994 REFERENCE MATERIAL CalPERS Employer Contributions  CalPERS Employer Cost Trends  The following summarizes CalPERS employer contributions since 2011‐12.  In July 2024, CalPERS reported a 9.3% net return on investments for the 12‐month period that ended  June 30, 2024. Under the current provisions of the CalPERS Asset Liability Management process, returns  that exceed the established 6.8% discount rate require the Board of Administration to review whether  to lower the rate for future years. Lowering the discount rate would have the immediate effect of a  lower funded ratio and higher normal cost for the City. Fortunately, the target rate remains unchanged  at 6.8% and the City should benefit from the 9.3% FY 2023‐24 returns with lower unfunded liability  contributions in FY 2026‐27.  Unfunded Liabilities  In 2018, City Council adopted a Fiscal Health Response Plan (FHRP) to help address the City’s unfunded  liabilities. One component of the FHRP included making additional discretionary payments (ADPs) to  CalPERS. To date, the City has made a total of $22.3 million in ADPs to paydown its pension liability.  In March 2023, staff engaged with Foster & Foster, an independent national actuarial consulting firm, to  perform a review of the City’s progress in paying down unfunded liabilities. Based on the Foster & Foster  actuarial report, the City’s commitment to paying down its pension debt by making additional ADPs has  helped to make progress on improving the plan’s overall funded status. Feedback provided by the City’s  independent Actuary is that the City is taking appropriate action to make progress in paying down the  unfunded pension liabilities. A negative investment return of ‐7.5% in FY 2021‐22 provides a good  reminder that the City’s ability to address unfunded liabilities is heavily impacted by factors outside of  the City’s control. The primary recommended strategy coming out of the Foster & Foster report is to  continue to make required and Additional Discretionary Payments; the City Council adopted Fiscal  Policies prioritize ADPs and the City assumes that at least the first $2.0 million of unassigned fund  balance will be used to make Additional Discretionary Payments annually.   Employer Retirement Contributions  Fiscal Year Safety Non‐Safety Total  2011‐12 $4,202,200 $4,226,700 $8,428,900  2012‐13 $4,418,518 $4,347,255 $8,765,773  2013‐14 $4,152,103 $4,528,325 $8,680,428  2014‐15 $4,607,331 $5,027,328 $9,634,659  2015‐16 $5,885,722 $5,824,217 $11,709,939  2016‐17 $6,299,915 $6,776,945 $13,076,860  2017‐18 $5,910,345 $6,693,987 $12,604,332  2018‐19 $8,348,780 $9,361,882 $17,710,662  2019‐20 $7,167,638 $7,709,918 $14,877,556  2020‐21 $7,631,620 $8,069,806 $15,701,426  2021‐22 $12,756,585 $15,923,929 $28,680,514  2022‐23 $9,721,641 $11,050,124 $20,771,765  2023‐24 $10,004,005 $11,022,370 $21,026,375  Financial Plan Page 393 Page 913 of 994 REFERENCE MATERIAL Current CalPERS Employer Contribution Rates   CalPERS has published the employer rates for 2025‐26 as well as projected rates for the following year,  as shown below. These contribution amounts do not reflect any employee cost sharing contributions,  and for many plans, the actual cost to the City is lower. While CalPERS has been able to create separate  rates for each of the Safety Plan Benefit Tiers, they have chosen to create a blended rate for all three  Miscellaneous retirement benefit tiers. The table below is based on the June 30, 2023 valuation date,  which is the latest available valuation.  CalPERS Employer Rates  Retirement Tier 2025‐26 2026‐27 Projection  Miscellaneous 9.74% 9.6%  Safety Tier I 29.35% 29.4%  Safety Police Tier II 21.98% 22.0%  Safety Police Tier III 14.96% 15.0%  Safety Fire Tier II 25.02% 25.0%  Safety Fire Tier III 14.96% 15.0%  In addition to the rate for the normal cost, CalPERS requires a fixed annual amount to pay down the  unfunded liability. The June 30, 2023 valuation provides the amount for 2025‐26 and a projection for  2026‐27 as shown below.  Unfunded Liability Payments  Employer Payment 2025‐26 2026‐27 Projection  Miscellaneous $8,620,133 $9,486,000  Safety  $7,950,675 $8,702,000  Employee Contribution Rates  Employees are making contributions to CalPERS along with employer contribution rates. Employee  contribution rates vary, depending on retirement tier. Beginning in January 2014, the Police Officers’  Association (POA) agreed to contribute an additional 3.0% of pay to help offset the employer’s share of  retirement costs. In 2019 and 2020, the POA agreed to phase in an additional 3.0%, bringing their total  additional contribution to 6.0%. During this same period, the Police Management, Fire, Unrepresented  Management, and Confidential bargaining groups also agreed to contribute an additional 3.0% of pay to  help offset the employer’s share of the retirement costs.  Employee Plan Employee Contribution Rate  Miscellaneous 7.0% to 10.5%  Public Safety Sworn   9.0% to 17.5%  Financial Plan Page 394 Page 914 of 994 REFERENCE MATERIAL CalPERS Plan Funding Levels  The following shows CalPERS funding levels for the City’s Miscellaneous Plan and Safety Pool for the  actuarial valuations from June 30, 2011 through June 30, 2023. This is the most recent actual  information that is available from CalPERS.   Actuarial  Valuation  Date Ending  June 30  Asset Value 1 Entry Age Actuarial  Accrued Liability  Assets Over (Under)  Actuarial Accrued  Liability  Funded  Ratio  Tier I Safety Employee Plan  2011  $    94,068    $    143,482    $    (49,414) 65.6%  2012  $    92,264   $    149,615   $    (57,351) 61.7%  2013  $    100,910    $    154,746    $    (53,836) 65.2%  2014  $    113,884   $    165,802   $    (51,918) 68.7%  2015  $    111,864    $    170,942    $    (59,078) 65.4%  2016  $    109,934   $    178,704   $    (68,770) 61.5%  2017  $    118,917    $    188,177    $    (69,260) 63.2%  2018  $    123,952   $    200,729   $    (76,777) 61.8%  2019  $    127,661    $    205,097    $    (77,436) 62.2%  2020  $    128,700   $    210,170   $    (81,470) 61.2%  2021  $    153,350  $    220,803    $    (67,453) 69.5%  2022  $    142,972  $    229,475  $    (86,503) 62.3%  2023  $    148,020    $    236,750  $    (88,729) 62.5%  Miscellaneous Employee Plan  2011  $    103,392    $    150,651    $    (47,259) 68.6%  2012  $    108,926   $    157,223   $    (48,297) 69.3%  2013  $    101,989    $    163,765    $    (61,776) 62.3%  2014  $    117,762   $    178,138   $    (60,376) 66.1%  2015  $    118,043    $    185,020    $    (66,977) 63.8%  2016  $    116,863   $    196,413   $    (79,550) 59.5%  2017  $    128,186    $    208,025    $    (79,839) 61.6%  2018  $    136,587   $    225,101   $    (88,514) 60.7%  2019  $    144,624    $    234,600    $    (89,976) 61.6%  2020  $    147,848  $    240,866   $    (93,017) 61.4%  2021  $    177,819    $    255,715    $    (77,896) 69.5%  2022  $    168,312  $    267,621  $    (99,309) 62.9%  2023  $    176,888  $    280,827  $     (103,939) 63.0%  All numbers presented in Thousands of Dollars  Beginning in 2006, the Safety Plan is a member of a CalPERS safety pool.  1 Before 2013, CalPERS used the Actuarial Value of Assets. Starting in 2013 Market Value of Assets is used. Financial Plan Page 395 Page 915 of 994 REFERENCE MATERIAL Fiscal Policies  Section 1. General Revenue Management  A.Diversified and Stable Base.  The City will seek to maintain a diversified and stable revenue base to protect it from short‐term fluctuations in any one revenue source. B.Long‐Range Focus.  To emphasize and facilitate long‐range financial planning, the City will maintain current projections of revenues for the succeeding five years. C.Current Revenues for Current Uses.  The City will make all current expenditures with current revenues, avoiding procedures that balance current budgets by postponing needed expenditures, accruing future revenues, or rolling over short‐term debt. D.Interfund Transfers and Loans.  In order to achieve important public policy goals, the City has established various special revenue, capital project, debt service and enterprise funds to account for revenues whose use should be restricted to certain activities. Accordingly, each fund exists as a separate financing entity from other funds, with its own revenue sources, expenditures and fund equity. Any transfers between funds for operating purposes are clearly set forth in the Financial Plan, and can only be made by the Finance Director in accordance with the adopted budget.  These operating transfers, under which financial resources are transferred from one fund to another, are distinctly different from interfund borrowings, which are usually made for temporary cash flow reasons, and are not intended to result in a transfer of financial resources by the end of the fiscal year. In summary, interfund transfers result in a change in fund equity; interfund borrowings do not, as the intent is to repay the loan in the near term. From time to time, interfund borrowings may be appropriate; however, these are subject to the following criteria in ensuring that the fiduciary purpose of the fund is met: 1.The Finance Director is authorized to approve temporary interfund borrowings for cash flow purposes whenever the cash shortfall is expected to be resolved within 45 days.  The most common use of interfund borrowing under this circumstance is for grant programs like the Community Development Block Grant, where costs are incurred before drawdowns are initiated and received.  However, receipt of funds is typically received shortly after the request for funds has been made. 2.Any other interfund borrowings for cash flow or other purposes require case‐by‐case approval by the Council. 3.Any transfers between funds where reimbursement is not expected within one fiscal year shall not be recorded as interfund borrowings; they shall be recorded as interfund operating transfers that affect equity by moving financial resources from one fund to another. Financial Plan Page 396 Page 916 of 994 REFERENCE MATERIAL Section 2. User Fee Cost Recovery Goals  A.Ongoing Review Fees will be reviewed and updated on an ongoing basis to ensure that they keep pace with changes in the cost‐of‐living as well as changes in methods or levels of service delivery. In implementing this goal, a comprehensive analysis of City costs and fees should be made at least every three years.  In the interim, fees will be adjusted by annual changes in the Consumer Price Index.  Fees may be adjusted during this interim period based on supplemental analysis whenever there have been significant changes in the method, level or cost of service delivery. B.User Fee Cost Recovery Levels In setting user fees and cost recovery levels, the following factors will be considered: 1.Community‐Wide Versus Special Benefit.  The level of user fee cost recovery should consider the community‐wide versus special service nature of the program or activity.  The use of general‐purpose revenues is appropriate for community‐wide services, while user fees are appropriate for services that are of special benefit to easily identified individuals or groups. 2.Service Recipient Versus Service Driver.  After considering community‐wide versus special benefit of the service, the concept of service recipient versus service driver should also be considered.  For example, it could be argued that the applicant is not the beneficiary of the City's development review efforts:  the community is the primary beneficiary.  However, the applicant is the driver of development review costs, and as such, cost recovery from the applicant is appropriate. 3.Effect of Pricing on the Demand for Services.  The level of cost recovery and related pricing of services can significantly affect the demand and subsequent level of services provided.  At full cost recovery, this has the specific advantage of ensuring that the City is providing services for which there is genuinely a market that is not overly‐stimulated by artificially low prices. Conversely, high levels of cost recovery will negatively impact the delivery of services to lower income groups.  This negative feature is especially pronounced, and works against public policy, if the services are specifically targeted to low‐income groups. 4.Feasibility of Collection and Recovery.  Although it may be determined that a high level of cost recovery may be appropriate for specific services, it may be impractical or too costly to establish a system to identify and charge the user.  Accordingly, the feasibility of assessing and collecting charges should also be considered in developing user fees, especially if significant program costs are intended to be financed from that source. C.Factors Favoring Low‐Cost Recovery Levels Very low‐cost recovery levels are appropriate under the following circumstances: 1.There is no intended relationship between the amount paid and the benefit received.  Almost all "social service" programs fall into this category as it is expected that one group will subsidize another. Financial Plan Page 397 Page 917 of 994 REFERENCE MATERIAL 2.Collecting fees is not cost‐effective or will significantly impact the efficient delivery of the service. 3.There is no intent to limit the use of (or entitlement to) the service.  Again, most "social service" programs fit into this category as well as many public safety (police and fire) emergency response services and the ability to appeal planning decisions.  Historically, access to neighborhood and community parks would also fit into this category. 4.The service is non‐recurring, generally delivered on a "peak demand" or emergency basis, cannot reasonably be planned for on an individual basis, and is not readily available from a private sector source.  Many public safety services also fall into this category. 5.Collecting fees would discourage compliance with regulatory requirements and adherence is primarily self‐identified, and as such, failure to comply would not be readily detected by the City.  Many small‐scale licenses and permits might fall into this category. D.Factors Favoring High Cost Recovery Levels The use of service charges as a major source of funding service levels is especially appropriate under the following circumstances: 1.The service is similar to services provided through the private sector. 2.Other private or public sector alternatives could or do exist for the delivery of the service. 3.For equity or demand management purposes, it is intended that there be a direct relationship between the amount paid and the level and cost of the service received. 4.The use of the service is specifically discouraged.  Police responses to disturbances or false alarms might fall into this category. 5.The service is regulatory in nature and voluntary compliance is not expected to be the primary method of detecting failure to meet regulatory requirements.  Building permit, plan checks, and subdivision review fees for large projects would fall into this category. E.General Concepts Regarding the Use of Service Charges The following general concepts will be used in developing and implementing service charges: 1.Revenues should not exceed the reasonable cost of providing the service. 2.Cost recovery goals should be based on the total cost of delivering the service, including direct costs, departmental administration costs and organization‐wide support costs such as accounting, personnel, information technology, legal services, fleet maintenance and insurance. 3.The method of assessing and collecting fees should be as simple as possible in order to reduce the administrative cost of collection. Financial Plan Page 398 Page 918 of 994 REFERENCE MATERIAL 4.Rate structures should be sensitive to the "market" for similar services as well as to smaller, infrequent users of the service. 5.A unified approach should be used in determining cost recovery levels for various programs based on the factors discussed above. F.Low Cost‐Recovery Services Based on the criteria discussed above, the following types of services should have very low‐cost recovery goals.  In selected circumstances, there may be specific activities within the broad scope of services provided that should have user charges associated with them.  However, the primary source of funding for the operation as a whole should be general‐purpose revenues, not user fees. 1.Delivering public safety emergency response services such as police patrol services and fire suppression. 2.Maintaining and developing public facilities that are provided on a uniform, community‐wide basis such as streets, parks and general‐purpose buildings. 3.Providing social service programs and economic development activities. 4.Appealing planning decisions.  Appeal fees are charged based on a tiered system and fees for all tiers should be at 15% cost recovery for both applicants and non‐applicants, based on the cost of responding to appeals initiated by the applicant. G.Recreation Programs The following cost recovery policies apply to the City's recreation programs: 1.Cost recovery for activities directed to adults should be relatively high. 2.Cost recovery for activities directed to youth and seniors should be relatively low.  In those circumstances where services are similar to those provided in the private sector, cost recovery levels should be higher. Although ability to pay may not be a concern for all youth and senior participants, these are desired program activities, and the cost of determining need may be greater than the cost of providing a uniform service fee structure to all participants.  Further, there is a community‐wide benefit in encouraging high‐levels of participation in youth and senior recreation activities regardless of financial status. 3.Fees for golf activities should be comparable to other communities. 4.Cost recovery goals for recreation activities are set as follows: High‐Range Cost Recovery Activities ‐ (60% to 100%) a.Adult athletics Financial Plan Page 399 Page 919 of 994                                                                                                                 REFERENCE MATERIAL    b. Banner permit applications   c. Major commercial film permit applications    Mid‐Range Cost Recovery Activities ‐ (30% to 60%)  d. Triathlon  e. Summer and Spring Break Camps  f. Junior Ranger camp  g. Childcare services  h. Classes     Low‐Range Cost Recovery Activities‐ (0 to 30%)  i. Aquatics  j. Community gardens  k. Minor commercial film permit applications  l. Skate park  m. Parks and Recreation sponsored events (except for Triathlon)   n. Youth sports    o. Teen services   p. Senior services     5. For cost recovery activities of less than 100%, there should be a differential in rates between  residents and non‐residents.  However, the Director of Parks and Recreation is authorized to  reduce or eliminate non‐resident fee differentials when it can be demonstrated that:    a. The fee is reducing attendance.  b. There are no appreciable expenditure savings from the reduced attendance.    6. Charges will be assessed for use of rooms, pools, gymnasiums, ball fields, special‐use areas, and  recreation equipment for activities not sponsored or co‐sponsored by the City.  Such charges  should be based upon comparability with other communities.  However, the Director of Parks  and Recreation is authorized to charge fees that are closer to full cost recovery for facilities that  are heavily used at peak times and include a majority of non‐resident users.    7. A vendor charge of at least 10 percent of gross income will be assessed from individuals or  organizations using City facilities for moneymaking activities.    8. The Director of Parks and Recreation is authorized to offer reduced fees such as introductory  rates, family discounts and coupon discounts on a pilot basis (not to exceed 18 months) to  promote new recreation programs or revive existing ones.    9. The Parks and Recreation Department will consider waiving fees only when the City Manager  determines in writing that an undue hardship exists.    H. Development Review Programs  The following cost recovery policies apply to the development review programs:    1. Services provided under this category include:  Financial Plan Page 400 Page 920 of 994                                                                                                                 REFERENCE MATERIAL      a. Planning (planned development permits, tentative tract and parcel maps, re‐zonings,  general plan amendments, variances, use permits).  b. Building and safety (building permits, structural plan checks, inspections).  c. Engineering (public improvement plan checks, inspections, subdivision requirements,  encroachments).  d. Fire plan check.    2. Cost recovery for these services should generally be very high.  In most instances, the City's cost  recovery goal should be 100%.      3. However, in charging high cost recovery levels, the City needs to clearly establish and articulate  standards for its performance in reviewing developer applications to ensure that there is “value  for cost.”    4. Building Permit Plan Check Services – The City of San Luis Obispo offers building permit plan  check services through consultants at a set price, not to exceed 65% of the City’s fee for the  service. Building Permit Plan Check Services are offered by the City on a 100% cost‐recovery  basis, and the service is provided after the fee is paid in full. As a result, the Finance Director is  authorized to make appropriations from the related revenue account to cover the cost of the  services provided.    I. Services Supporting Sustainability Goals of the City  Fees for services that support the sustainability goals of the City should be set at 50% cost recovery.  These include:    1. Building permits for:  a. Electric Car Charging System  b. Graywater System  c. Graywater/Rainwater Harvesting System  d. Heat Pump  e. Insulation/Energy Update  f. Photovoltaic Systems  g. Photovoltaic Unit Installation – Residential  h. Residential Photovoltaic System   i. Solar/PV System ‐ Commercial BLDG  j. Solar/PV System – Multifamily BLDG  k. Solar Water System Fixtures ‐ BLDG  l. Doors/Windows  m. Electric Service Upgrades  n. New/Altered Circuits  o. Window Retrofit    2. Pedicab Fee and Pedicab Renewal Fee    J. Concealed Carry Weapon Permit fee  Financial Plan Page 401 Page 921 of 994                                                                                                                 REFERENCE MATERIAL    The Concealed Carry Weapon Permit fee should be based upon comparability with other  communities.      K. Comparability with Other Communities    In setting user fees, the City will consider fees charged by other agencies in accordance with the  following criteria:     1. Surveying the comparability of the City's fees to other communities provides useful background  information in setting fees for several reasons:    a. They reflect the "market" for these fees and can assist in assessing the reasonableness of  San Luis Obispo’s fees.    b. If prudently analyzed, they can serve as a benchmark for how cost‐effectively San Luis  Obispo provides its services.    2. However, fee surveys should never be the sole or primary criteria in setting City fees as there  are many factors that affect how and why other communities have set their fees at their levels.   For example:    a. What level of cost recovery is their fee intended to achieve compared with our cost recovery  objectives?  b. What costs have been considered in computing the fees?  c. When was the last time that their fees were comprehensively evaluated?  d. What level of service do they provide compared with our service or performance standards?  e. Is their rate structure significantly different than ours and what is it intended to achieve?    3. These can be very difficult questions to address in fairly evaluating fees among different  communities.  As such, the comparability of our fees to other communities should be one factor  among many that is considered in setting City fees.    Section 3. Enterprise Fund Fees and Rates    A. Water, Sewer, and Parking.  The City will set fees and rates at levels which fully cover the total  direct and indirect costs—including operations, capital outlay, and debt service—of the following  enterprise programs:  water, sewer, and parking. For water and sewer, the rate setting process will  be in accordance with Proposition 218 and its notification requirements.    B. Transit.  Based on targets set under the Transportation Development Act, the City will strive to  cover at least twenty percent of transit operating costs with fare revenues.    C. Ongoing Rate Review.  The City will review and adjust enterprise fees and rate structures as  required to ensure that they remain appropriate and equitable.    Financial Plan Page 402 Page 922 of 994                                                                                                                 REFERENCE MATERIAL    D. Cost of Service Fees. The City will treat the water and sewer funds in the same manner as if they  were privately owned and operated. This means assessing reasonable cost of service fees in fully  recovering service costs.    The purpose of the cost of service fee is reasonable cost recovery for the use of the City’s services  such as street rights‐of‐way and public safety. The appropriateness of charging the water and sewer  fund a reasonable cost of service fee for the use of the City streets is further supported by the  results of studies from Arizona, California, Ohio, and Vermont which concluded that the leading  cause of street resurfacing and reconstruction is street cuts and trenching for Utilities.    Section 4. Revenue Distribution     The Council recognizes that generally accepted accounting principles for state and local governments  discourage the “earmarking” of General Fund revenues, and accordingly, the practice of designating  General Fund revenues for specific programs should be minimized in the City's management of its fiscal  affairs.  Approval of the following revenue distribution policies does not prevent the Council from  directing General Fund resources to other functions and programs as necessary.    A. Property Taxes.  With the passage of Proposition 13 on June 6, 1978, California cities no longer can  set their own property tax rates.  In addition to limiting annual increases in market value, placing a  ceiling on voter‐approved indebtedness, and redefining assessed valuations, Proposition 13  established a maximum county‐wide levy for general revenue purposes of 1% of market value.   Under subsequent state legislation, which adopted formulas for the distribution of this countywide  levy, the City now receives a percentage of total property tax revenues collected countywide as  determined by the State and administered by the County Auditor‐Controller. The City receives  14.9% of each dollar collected in property tax after allocations to school districts.    Accordingly, while property revenues are often thought of as local revenue sources, in essence they  are State revenue sources, since the State controls their use and allocation.      With the adoption of a Charter revision in November 1996, which removed provisions that were in  conflict with Proposition 13 relating to the setting of property tax revenues between various funds,  all property tax revenues are now accounted for in the General Fund.    B. Gasoline Tax Subventions.  All gasoline tax revenues (which are restricted by the State for street‐ related purposes) will be used for maintenance activities.  Since the City's total expenditures for gas  tax eligible programs and projects are much greater than this revenue source, operating transfers  will be made from the gas tax fund to the General Fund for this purpose.  This approach significantly  reduces the accounting efforts required to meet State reporting requirements.    C. Transportation Development Act (TDA) Revenues.  All TDA revenues will be allocated to alternative  transportation programs, including regional and municipal transit systems, bikeway improvements,  and other programs or projects designed to reduce automobile usage.  Because TDA revenues will  not be allocated for street purposes, it is expected that alternative transportation programs (in  conjunction with other state or federal grants for this purpose) will be self‐supporting from TDA  revenues.    Financial Plan Page 403 Page 923 of 994                                                                                                                 REFERENCE MATERIAL    D. Parking Fines.  All parking fine revenues will be allocated to the Parking Fund, except for those  collected by Police staff (who are funded by the General Fund) in implementing neighborhood  wellness programs.    Section 5. Investments    Link to the City’s Investment Policy & Management Plan    Policy Statement  The City of San Luis Obispo shall invest public funds in such a manner as to comply with state and local  laws; ensure prudent money management; provide for daily cash flow requirements; and meet the  objectives of the Investment Policy & Management Plan in priority order of Safety, Liquidity, and Return  on Investment.     The purpose of the Investment Policy and Management Plan is to establish policies, practices, and  procedures to be used in administering the City's investment portfolio in accordance with the City's  Statement of Investment policy.     Primary Investment Objective   The City's primary investment objective is to achieve a reasonable rate of return on public funds while  minimizing the potential for capital losses arising from market changes or issuer default. Although the  generation of revenues through interest earnings on investments is an appropriate City goal, the  primary consideration in the investment of City funds is capital preservation in the overall portfolio. As  such, the City's yield objective is to achieve a reasonable rate of return on City investments rather than  the maximum generation of income, which could expose the City to unacceptable levels of risk.     In determining individual investment placements, the following factors shall be considered in priority  order: 1) Safety   2) Liquidity   3) Yield – (Return on Investment). The City will also take into account  Environmental, Social, and Governance (ESG) objectives, the City’s Socially Responsible Investment  Policy, and other qualitative considerations as directed by Council and required by the Investment Policy  & Management Plan.    Section 6. Appropriations Limitation     A. The Council will annually adopt a resolution establishing the City's appropriations limit calculated in  accordance with Article XIII‐B of the Constitution of the State of California, Section 7900 of the State  of California Government Code, and any other voter approved amendments or state legislation that  affect the City's appropriations limit.    B. The supporting documentation used in calculating the City's appropriations limit and projected  appropriations subject to the limit will be available for public and Council review at least 10 days  before Council consideration of a resolution to adopt an appropriations limit.  The Council will  generally consider this resolution in connection with final approval of the budget.    C. The City will strive to develop revenue sources, both new and existing, which are considered non‐tax  proceeds in calculating its appropriations subject to limitation.  Financial Plan Page 404 Page 924 of 994 REFERENCE MATERIAL D.The City will annually review user fees and charges and report to the Council the amount of program subsidy, if any, that is being provided by the General or Enterprise Funds. E.The City will actively support legislation or initiatives sponsored or approved by League of California Cities which would modify Article XIII‐B of the Constitution in a manner which would allow the City to retain projected tax revenues resulting from growth in the local economy for use as determined by the Council. F.The City will seek voter approval to amend its appropriation limit at such time that tax proceeds are in excess of allowable limits. Section 7. Fund Balance and Reserves  Link to the City’s Fund Balance & Reserve Policy  This policy establishes guidelines and procedures for allocating and reporting the City’s fund balances in  the financial statements in accordance with Governmental Accounting Standards Board (GASB)  Statement No. 54 and as committed by the City Council effective beginning fiscal year ending June 30,  2021.  Additionally, the policy establishes the City’s reserve levels to address protection from risk and  unexpected situation that require financial resources. The City of San Luis Obispo faces risks such as  revenue shortfalls during recessions and losses from extreme events, like earthquakes, wildland fires,  flooding, and other natural disasters. Prudent reserve levels help make sure that the City of San Luis  Obispo can respond quickly and decisively to those events. Reserves also support vital public services  during revenue declines. As such, the City’s reserve policy describes how much the City will retain in the  reserves and stipulates activation and acceptable uses of the reserves.  Since reserve levels need to be considered when establishing fund balances, both are addressed within  this policy.  Section 8. CalPERS & Unfunded Liabilities  With the 2018‐19 Financial Plan Supplement, the City adopted its Fiscal Health Response Plan (FHRP); a  three‐year plan to address the City’s escalating unfunded pension liability stemming from the CalPERS’  changes under the Public Employees’ Pension Reform Act (PEPRA). PEPRA prescribe that a member  agency’s pension liability had to be paid down over a 30‐year period which triggered annually escalating  contributions through 2045.    The FHRP therefore targeted a realignment of revenues and expenditures to allow for additional  payments to CalPERS, negotiated additional contributions toward pension payments for employee  groups, and prioritized the use of unassigned fund balance once the City’s Financial Statements had  been audited and accepted by the City Council. The goal of this realignment was the payment of the  unfunded liability (UFL) over a reduced timeline therefore securing pensions for City employees and  saving the City considerable interest payments.   Financial Plan Page 405 Page 925 of 994 REFERENCE MATERIAL Given the long‐term ramifications of the deliverables put in motion through the FHRP, this section  addresses the City’s long‐term commitment to payment of the UFL, annual additional discretionary  payments (ADPs), and the needed prioritization to hold the shortened timeline.   1.The City sets the following prioritization of unassigned General Fund balance: a.Additional discretionary payments to CalPERS b.Infrastructure investments c.Emerging Health and Safety needs of the community 2.The City commits to ADPs to CalPERS and adding an annual inflator equal to increases in payroll whenever CalPERS reaches its discount rate or larger rates of return based on what is presented in the latest five‐year forecast. 3.Whenever CalPERS does not reach its adopted discount rate, the City commits to first use any unassigned fund balance to counteract the investment loss CalPERS experienced. It will add the loss to the committed ADP as outlined above to safeguard the investment already made toward the early repayment of the UFL. Section 9. Capital Improvement Program Management    A.CIP Projects: $25,000 or More.  Construction projects which cost $25,000 or more will be included in the CIP and are accounted for in the Capital Outlay Fund.  Minor capital outlays of less than $25,000 will be included with the operating program budgets. B.CIP Purpose.  The purpose of the CIP is to systematically plan, schedule, and finance capital projects to ensure cost‐effectiveness as well as conformance with established policies.  The CIP is a five‐year plan organized by the same functional categories as the City’s operating programs. The CIP reflects a balance between capital replacement projects‐ those that repair, replace, or enhance existing facilities, equipment or infrastructure, and capital facility projects‐ those that significantly expand or add to the City’s existing fixed assets. C.CIP Project Type.  Projects are categorized by type, including: 1.Asset Maintenance – Reoccurring and annual needs that maintain existing assets. 2.Asset Replacement – Periodically reoccurring and/or annual needs that replace existing assets with similar assets. 3.New Asset – Periodic needs to expand the number of assets that serve the community. Asset maintenance projects and costs should be considered before recommending funding for  projects to replace existing assets or construct new assets.  Asset Maintenance projects are not  ranked by the CIP Review Committee.  D.CIP Project, Project Manager.  Every CIP project will have a “project manager” who will be responsible for managing the project scope, budget, and timeline.  Project managers will be Financial Plan Page 406 Page 926 of 994 REFERENCE MATERIAL responsible for ensuring that required phases are completed on schedule, authorizing all project  expenditures, ensuring that all regulations and laws are observed, regularly communicating with  project proponents and other stakeholders, and reporting on project status.  Project  management will primarily be performed by staff in the Public Works Department, but staff  from other departments may also manage projects.    E.CIP Review Committee.  The CIP Review Committee provides governance of the CIP by evaluating and prioritizing capital projects based upon an established set of criteria to ensure alignment with Major City Goals, the General Plan, strategic growth objectives and needs for services provided within the City.  The Assistant City Manager serves as Chair of the Committee and the Director of Public Works is Vice Chair; other members include: Deputy City Manager, Director of Community Development, Director of Finance, Director of Parks and Recreation, Director of Utilities, and a public safety department head (rotating between the Fire Chief and Police Chief).  The CIP Administrative Manager, City Engineer, Principal Budget Analyst, DEI Manager, and Sustainability Manager provide staff support to the Committee.  The Committee is responsible for: 1.Assessing the City’s fiscal and staff capacity to deliver projects so that the recommended CIP represents what can realistically be accomplished; and 2.Recommending to the City Manager the projects and associated budgets that should be included in the biennial financial plan; and 3.Considering requests for new projects that may be requested outside of financial plan development to address emergent needs; and 4.Evaluating the re‐prioritization of projects as needs and conditions change in order to ensure consistency with project evaluation criteria, ability to deliver projects, and City priorities. F.Project Request Forms.  The CIP Review Committee requires that departments submitting a request for an Asset Replacement or New Asset project to be funded in the Five‐Year CIP cycle submit a Project Request Form (PRF) to formally document the project request.  The PRF is intended to ensure that the Committee has necessary information to evaluate and prioritize projects for funding.  In addition to completion of the PRF, the Committee may also request a presentation from the requesting department to gather additional information.  The content of the PRF shall include, but not be limited to the following: 1.Proposed project title 2.Proponent (Client) department 3.Proposed managing department or division 4.Project function (Major City Goal Alignment) 5.Project type 6.City priority alignment 7.Project scope 1.Purpose and Need (including approved planning documents or mandates) 2.Consistency with Climate Action Plan 3.Consistency with DEI Financial Plan Page 407 Page 927 of 994 REFERENCE MATERIAL 4.Impact to Operations 8.Proposed project schedule/delivery 9.Estimated project budget and funding source(s) G.Creation of Projects.  New projects shall only be considered during development of the biennial financial plan.  Staff requests for projects outside of the financial plan development process will be considered only if they are intended to address an emergency need.  Staff may create new projects as directed by the City Council at any point. H.CIP Phases.  The CIP will emphasize project planning, with projects progressing through at least two and up to ten of the following phases: 1.Designate.  Appropriates funds based on projects designated for funding by the Council through adoption of the Financial Plan. 2.Study.  Concept, site selection, feasibility analysis, schematic design, environmental determination, property appraisals, scheduling, grant application, grant approval, specification preparation for equipment purchases. 3.Environmental Review.  EIR preparation, other environmental studies. 4.Real Property Acquisitions.  Property acquisition for projects, if necessary. 5.Design.  Final design, plan and specification preparation and construction cost estimation. 6.Construction.  Construction contracts. 7.Construction Management and Special Inspections. Contract project management and inspection, soils and material tests, other support services during construction. 8.Equipment Acquisitions. Vehicles, heavy machinery, computers, office furnishings, other equipment items acquired and installed independently from construction contracts. 9.Debt Service. Installment payments of principal and interest for completed projects funded through debt financings. Expenditures for this project phase are included in the Debt Service section of the Financial Plan. Generally, it will become more difficult for a project to move from one phase to the next.  As such, more projects will be studied than will be designed, and more projects will be designed than will be constructed or purchased during the term of the CIP. I.CIP Appropriation.  The City’s annual CIP appropriation is based on the projects designated by the Council through adoption of the Financial Plan.  Upon adoption of the Financial Plan, the Capital Improvement Program (CIP) is concurrently approved, authorizing appropriations for projects with allocated funding in the designated fiscal year. Appropriations are processed at the start of the fiscal year, ensuring that funds are available in the project account within the City’s financial management system. If project costs at the time of bid award are less than the budgeted amount, the balance will be reappropriated to the CIP reserve,  or be allocated to another project.  If project costs at the time of bid award are greater than budget amounts, five basic options are available: Financial Plan Page 408 Page 928 of 994 REFERENCE MATERIAL 1.Eliminate the project. 2.Defer the project for consideration to the next Financial Plan period. 3.Rescope or change the phasing of the project to meet the existing budget. 4.Transfer funding from another specified, lower priority project. 5.Appropriate additional resources as necessary from fund balance. 6.Appropriate funding from the Capital Reserve. J.CIP Project Lapse.  Appropriations for CIP projects lapse three years after budget adoption. Projects which lapse from lack of project account appropriations may be resubmitted for inclusion in a subsequent CIP.  Project accounts, which have been appropriated, will not lapse until completion of the project phase. K.CIP Reporting.  Staff shall publish reports on the progress of delivering the Capital Improvement Plan at least quarterly, as part of Quarterly Budget Reports provided to the City Council.  These reports shall include a summary of project budgets, a status update on projects in progress, and a listing of projects completed within the quarter. L.Public Art.  CIP projects will be evaluated during the budget process and prior to each phase for conformance with the City's public art policy, which generally requires that 1% of eligible project construction costs be set aside for public art.  Excluded from this requirement are underground projects, utility infrastructure projects, funding from outside agencies, and costs other than construction such as study, environmental review, design, site preparation, land acquisition and equipment purchases. It is generally preferred that public art be incorporated directly into the project, but this is not practical or desirable for all projects; in this case, an in‐lieu contribution to public art will be made.  To ensure that funds are adequately budgeted for this purpose regardless of whether public art will be directly incorporated into the project, funds for public art will be identified separately in the CIP. M.General Plan Consistency Review.   The Planning Commission will review the Preliminary CIP for consistency with the General Plan and provide its findings to the Council prior to adoption. N.Climate Action Plan Implementation.  Council adopted Resolution No.  11159 (2020 Series) establishes a goal of community‐wide carbon neutrality by 2035 and municipal operations carbon neutrality by 2030. The City’s Capital Improvement Program is a critical implementation tool, and every CIP will be evaluated for alignment with these climate goals. Examples of ways projects or project components can align the with goals include (but are not limited to): 1.Elimination or reduction of vehicle miles traveled (e.g., active transportation and transit improvements), 2.Elimination or reduction of fossil fueled appliances, vehicles, and equipment, 3.Reduced energy consumption (e.g., efficient mechanical equipment, efficient lighting, etc.) 4.Carbon storage through tree planting or landscape management, and 5.Solid waste/ green waste diversion O.Diversity, Equity and Inclusion.  In 2020 the City Council declared diversity, equity, and inclusion (DEI) as integral aspects of their City Mission and Meta Goal, ensuring that through policies, Financial Plan Page 409 Page 929 of 994 REFERENCE MATERIAL programs, and projects, San Luis Obispo will foster a community that is welcoming, equitable,  safe and inclusive for all. The City’s Capital Improvement Program is a critical component of  achieving these goals by ensuring that capital projects are designed to be accessible, inclusive,  and safe for diverse populations.  Capital Improvement Projects can advance diversity, equity,  through project design and accessibility, diverse representation in art components of projects,  ensuring there are programs to subsize costs for low‐income communities to access the project,  providing opportunities to diverse populations and stakeholders for community input, including  DEI as a priority in RFPs or project scope, and ensuring the project does not disproportionately  burden one community over another.  Section 10. Capital Financing & Debt Management   Link to the City’s Capital Financing & Debt Management Policy  Policy Statement  The City of San Luis Obispo (City) will maintain, at all times, debt management policies that are fiscally  prudent, consistent with State and Federal law, and reflective of the most opportune financing  strategies to deliver on the needs and goals of the community and the City organization. The Debt  Management Policy establishes objectives, parameters, and guidelines for responsibly issuing and  administering the City’s debt. Prudent management of the City’s debt program is necessary to achieve  cost‐effective access to the capital markets and demonstrate a commitment to long‐term financial  planning and sustainability.   Debt Management Objectives  The policy sets forth key objectives for the City in issuing and administering the City’s debt, which are to:   Maintain the City’s sound financial position. Minimize debt service and issuance cost. Maintain access to cost‐effective borrowing. Achieve and maintain highest reasonable credit rating. Ensure full and timely repayment of debt. Maintain full and complete financial disclosure and reporting including voluntary disclosures. Ensure compliance with State and Federal laws and regulations. Scope  This policy establishes the framework for when the City of San Luis Obispo should consider issuing debt  and the overall acceptable debt burden. Long‐term debt is an effective way to finance capital  improvements by matching the term of the debt with the useful life of the asset being financed.  Properly managed debt provides flexibility in current and future operating budgets and provides the City  with the long‐term assets required to deliver services, programs, and public infrastructure to the  community. The City recognizes that effective debt management practices require a comprehensive  Debt Management Policy that details the use of capital debt to support the capital infrastructure in the  community while maintaining a stable and prudent fiscal outlook.  Financial Plan Page 410 Page 930 of 994 REFERENCE MATERIAL Debt Capacity  1.General Purpose Debt Capacity. The City will carefully monitor its levels of general purpose debt. Because the City’s general‐purpose debt capacity is limited, it is important that the City only use general purpose debt financing for high‐priority projects when it cannot reasonably use other financing methods for two key reasons: a.Funds borrowed for a project today are not available to fund other projects tomorrow. b.Funds committed for debt repayment today are not available to fund operations in the future. In evaluating debt capacity, general‐purpose annual debt service payments should generally not  exceed 10% of General Fund revenues; and in no case should they exceed 15%. Further, direct  debt will not exceed 2% of assessed valuation; and no more than 60% of capital improvement  outlays will be funded from long‐term financings.  2.Enterprise Fund Debt Capacity. The City will set enterprise fund rates at levels needed to fully cover debt service requirements as well as operations, maintenance, administration and capital improvement costs. The ability to afford new debt for enterprise operations will be evaluated as an integral part of the City’s rate review and setting process. Section 11. Human Resource Management  A.Regular Staffing 1.The budget will fully appropriate the resources needed for authorized regular staffing. 2.Regular employees will be the core work force and the preferred means of staffing ongoing, year‐round program activities that should be performed by regular full‐ or part‐time City employees rather than limited‐term employees or independent contractors. The City will strive to provide competitive compensation and benefit schedules for its authorized regular work force. Each regular employee will: a.Fill an authorized regular position. b.Be assigned to an appropriate bargaining unit, unless designated as an unrepresented management or confidential classification. c.Receive salary and benefits consistent with labor agreements or other compensation plans. 3.To  manage the growth of the regular workforce and overall staffing costs, the City will follow these procedures: a.The Council will authorize and approve funding to increase headcount for regular full‐time equivalent positions. b.The Human Resources Department will coordinate and approve the hiring of all regular and temporary staff. c.All requests for additional regular positions will include evaluations of: Financial Plan Page 411 Page 931 of 994 REFERENCE MATERIAL The necessity, term, and expected results of the proposed activity. Staffing and materials costs including salary, benefits, equipment, uniforms, vehicles, clerical support, and facilities. The ability and cost of private industry to provide the proposed service. Additional revenues or cost savings, which may be realized. 4.Periodically, and before any request for additional regular positions, programs will be evaluated to determine if they can be accomplished with fewer regular employees. (See Productivity Review Policy) 5.Total  expenditures for regular, temporary, and contract staff hired to provide operating and maintenance services will be limited to approved budgets for regular, temporary, and contract salaries and benefits. B.Temporary  Staff 1.The hiring of temporary staff will not be used as an incremental method for expanding the City's regular work force. 2.Temporary  staff include all employees other than regular employees, elected officials, and volunteers. Temporary  staff include seasonal or occasional employees, employees with irregular schedules, limited benefit employees limited‐term contract employees, CalPERS retired annuitants, and leased employees. Temporary  staff may work on a full‐ or part‐time basis and will generally augment regular City staffing. Temporary  staff may be used as extra‐help during peak workloads, coverage during extended absences of regular employees, seasonal workforce, a means to assess ongoing staffing needs, or as the staffing method for program delivery that is most effectively staffed using part‐time hours to ensure adequate coverage. 3.The City Manager and Department Heads will encourage the use of temporary staff rather than regular employees to meet peak workload requirements, fill interim vacancies, and accomplish tasks where less than full‐time, year‐round staffing is required. 4.Under this guideline, temporary staff hours will generally not exceed 1,000 hours annually, or about 50% of a fulltime position. There may be limited circumstances where the use of temporary staff on an ongoing basis in excess of this target may be appropriate due to unique programming or staffing requirements. However, any such exceptions must be approved by the City Manager based on the review and recommendation of the Directors of Finance and Human Resources. 5.Limited‐term contract employees are defined as temporary staff, eligible for defined benefits, with written employment contracts that have a defined end‐date and are approved by the Director of Human Resources and City Attorney. Limited‐term contract employees will generally be used for medium‐term (generally between six months and two years) projects, programs, or activities requiring specialized or augmented levels of staffing for a specific period of time. The services of limited‐term contract employees will be discontinued upon completion of the assigned project, program, or activity. Accordingly, limited‐term contract employees will not be used for services that are anticipated to be delivered on an ongoing basis and as such, a determination as to the expected need will be made at the end of each contract term and prior to extending or renewing a contract. Financial Plan Page 412 Page 932 of 994 REFERENCE MATERIAL 6.Temporary  Agency Employees are employed during short‐term, peak workload assignments to be accomplished using personnel contracted through an outside employment agency (OEA). In this situation, it is anticipated that City staff will closely monitor the work of temporary agency employees and minimal training will be required. However, they will always be considered the employees of the OEA and not the City. All placements through an OEA will be coordinated through the Human Resources Department and subject to the approval of the Director of Human Resources. C.Overtime Management 1.Overtime should be used only when necessary and when other alternatives are not feasible or cost effective. 2.All overtime must be pre‐authorized by a department head or delegate unless it is assumed preapproved by its nature (e.g., overtime that results when an employee is assigned to standby and/or must respond to an emergency or complete an emergency response). 3.Departmental operating budgets should reflect anticipated annual overtime costs and departments will regularly monitor overtime use and expenditures. 4.When considering the addition of regular or temporary staffing, the use of overtime as an alternative will be considered. The department will take into account: a.The duration that additional staff resources may be needed. b.The cost of overtime versus the cost of additional staff. c.The skills and abilities of current staff. d.Training costs associated with hiring additional staff. e.The impact of overtime on existing staff. D.Independent Contractors Independent contractors are not City employees. Independent contractors are used in construction of public works projects and delivery of operating, maintenance, or specialized professional services not routinely performed by City employees. Such services will be provided without close supervision by City staff, and the required methods, skills, and equipment will generally be determined and provided by the independent contractor. Contract awards will be guided by the City's purchasing policies and procedures. (See Contracting for Services Policy) Section 12. Contracting for Services  A.General Policy Guidelines 1.Contracting with the private sector for the delivery of services provides the City with an opportunity for cost containment and productivity enhancements.  As such, the City is committed to using private sector resources in delivering municipal services as a key element in our continuing efforts to provide cost‐effective programs. Financial Plan Page 413 Page 933 of 994 REFERENCE MATERIAL 2.Private sector contracting approaches under this policy include construction projects, professional services, outside employment agencies, and ongoing operating and maintenance services. 3.In evaluating the costs of private sector contracts compared with in‐house performance of the service, indirect, direct, and contract administration costs of the City will be identified and considered. 4.Whenever private sector providers are available and can meet established service levels, they will be considered as viable service delivery alternatives using the evaluation criteria outlined below. 5.For programs, services, and activities currently provided by City employees, conversions to contract services will generally be made through attrition, reassignment or absorption by the contractor, after fulfilling required meet and confer obligations. B.Evaluation Criteria Within the general policy guidelines stated above, the cost‐effectiveness of contract services in meeting established service levels will be determined on a case‐by‐case basis using the following criteria: 1.Is a sufficient private sector market available to competitively deliver this service and assure a reasonable range of alternative service providers? 2.Can the contract be effectively and efficiently administered? 3.What are the consequences if the contractor fails to perform, and can the contract reasonably be written to compensate the City for any such damages? 4.Can a private sector contractor better respond to expansions, contractions or special requirements of the service? 5.Can the work scope be sufficiently defined to ensure that competing proposals can be fairly and fully evaluated, as well as the contractor's performance after bid award? 6.Does the use of contract services provide us with an opportunity to redefine service levels? 7.Will the contract limit our ability to deliver emergency or other high priority services? 8.Overall, can the City successfully delegate the performance of the service but still retain accountability and responsibility for its delivery? Section 13: Productivity  Ensuring the “delivery of service with value for cost” is one of the key concepts embodied in the City's  Mission Statement (San Luis Obispo Style— Quality With Vision).  To this end, the City will constantly  monitor and review our methods of operation to ensure that services continue to be delivered in the  most cost‐effective manner possible.    Financial Plan Page 414 Page 934 of 994 REFERENCE MATERIAL This review process encompasses a wide range of productivity issues, including:  A.Analyzing systems and procedures to identify and remove unnecessary review requirements. B.Evaluating the ability of new technologies and related capital investments to improve productivity. C.Developing the skills and abilities of all City employees. D.Developing and implementing appropriate methods of recognizing and rewarding exceptional employee performance. E.Evaluating the ability of the private sector to perform the same level of service at a lower cost. F.Periodic formal reviews of operations on a systematic, ongoing basis. G.Maintaining a decentralized approach in managing the City's support service functions.  Although some level of centralization is necessary for review and control purposes, decentralization supports productivity by: 1.Encouraging accountability by delegating responsibility to the lowest possible level. 2.Stimulating creativity, innovation and individual initiative. 3.Reducing the administrative costs of operation by eliminating unnecessary review procedures. 4.Improving the organization's ability to respond to changing needs and identify and implement cost‐saving programs. 5.Assigning responsibility for effective operations and citizen responsiveness to the department. H.Maintaining City purchasing policies and procedures that are as efficient and effective as possible. Financial Plan Page 415 Page 935 of 994 REFERENCE MATERIAL Glossary  A   Abatement. A reduction in amount, degree, or intensity of something, such as a tax.  Account. A separate financial reporting unit. All budgetary transactions are recorded in accounts.  Accrual Basis. A basis of accounting in which transactions are recognized at the time they are incurred,  as opposed to when cash is received or spent.  Actuarial. A person or methodology that makes determinations or required contributions to achieve  future funding levels that address risk and time.  Ad Valorem Tax. A tax levied on the assessed value of real estate and personal property. This tax is also  known as property tax.  Adopted Budget. The proposed budget as formally approved by the City Council.  Appropriation. An authorization made by the City Council, which permits the City to incur obligations to  make expenditures for specific purposes.  Assessed Valuation. A value that is established for real and personal property for use as a basis for  levying property taxes.  Asset. Resources owned or held by a government that have monetary value.  B  Balanced Budget. A budget in which planned funds or revenues available are equal to planned fund  expenditures.  Bond. A written promise to pay a sum of money on a specific date at a specified interest rate. The  interest payments and the repayment of the principal are detailed in a bond ordinance. The most  common types of bonds are general obligation and revenue bonds.  Bond Rating. The City of San Luis Obispo uses both of the Nation's primary bond rating services ‐  Moody’s Investors Service and Standard & Poor's. These rating services perform credit analysis to  determine the probability of an issuer of debt defaulting partially or fully.  Bond Refinancing. The payoff and re issuance of bonds to obtain better interest rates and/or bond  conditions.  Budget. A plan of financial operation for a specified period of time (fiscal year). The Annual Budget  Financial Plan Page 416 Page 936 of 994                                                                                                                 REFERENCE MATERIAL    authorizes and provides the basis for control of financial operations during the fiscal year.    Budget Adjustment. A procedure to revise a budget appropriation either by City Council approval  through the adoption of a supplemental appropriation ordinance for any interdepartmental or inter‐ fund adjustments or by City Manager authorization to adjust appropriations within a departmental  budget.    Budget Calendar. The schedule of key dates or milestones that the City follows in the preparation,  adoption, and administration of the budget.    Budget Document. The instrument used by the budget‐making authority to present a comprehensive  financial program to the City Council.    Budget Team. A fun group of hard‐working employees responsible for budget preparation,  benchmarking, forecasting, and financial analysis.    Budget Message. The opening section of the budget that provides the City Council and the public with a  general summary of the most important aspects of the budget, changes from the current and previous  fiscal years, and recommendations regarding the financial policy for the upcoming period.    Budgetary Basis. This refers to the form of accounting used throughout the budget process. These  generally take one of three forms:  GAAP, cash, modified accrual, or some type of statutory form.    Budgetary Control. The control or management of a governmental unit or enterprise in accordance  with an approved budget for the purpose of keeping expenditures within the limitations of authorized  appropriations and available revenues.    C    Capital Assets. Assets of long‐term character that are intended to continue to be held or used, such as  land, buildings, machinery, furniture and other equipment.    Capital Budget. The appropriation of bonds or operating revenue for improvements to facilities and  other infrastructure.    Capital Improvements. Expenditures related to the acquisition, expansion, or rehabilitation of an  element of the government’s physical plant, sometimes referred to as infrastructure.    Capital Improvement Plan (CIP). A plan for capital expenditures to provide long‐lasting physical  improvements to be incurred over a fixed period of several future years. The City of San Luis Obispo’s  City Charter requires annual submission of a five‐year capital program for City Council acceptance.    Capital Outlay. Expenditures that result in the acquisition of, or addition to, fixed assets.    Cash Basis. A basis of accounting in which transactions are recognized only when cash is increased or  decreased.    Financial Plan Page 417 Page 937 of 994                                                                                                                 REFERENCE MATERIAL    Contingency. A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise  budgeted.    Core Service.  A principal service or product delivered by a program or department that is necessary to  the successful operation of the City.    D    Debt Service. The amount of interest and principal that a City must pay each year on net direct long‐ term debt plus the interest it must pay on direct short‐term debt.    Deficit. The excess of an entity’s liabilities over its assets or the excess of expenditures over revenues  during a single accounting period.    Department. A major administrative unit of the City that indicates overall management responsibility  for an operation or a group of related operations within a functional area. Departments are comprised  of divisions, programs, and/or sections.    Depreciation. Expiration in the service life of capital assets attributable to wear and tear, deterioration,  action of the physical elements, inadequacy, or obsolescence.    Diversity, Equity and Inclusion (DEI). The City of San Luis Obispo values diversity, promotes equity and  belonging, actively denounces all forms of bigotry and believes that both in value and practice San Luis  Obispo can be a place where all individuals* are treated with dignity, respect, and inclusion. The City is  dedicated to building a community and government in which diversity is celebrated, inclusion and equity  are embedded in policy, and all members of the public are represented to ensure San Luis Obispo is a  place all can thrive. *All individuals refer to all cultures, national origins, gender identities, gender  expressions, sexual orientations, pregnancy statuses, racial and ethnic identities, linguistic backgrounds  and languages, age, disabilities, genetic information, veteran status, and spiritual/religious beliefs.    Division. A functional unit within a department.    E    Encumbrance. The legal commitment of appropriated funds to purchase an item or service. To  encumber funds means to set aside or commit funds for a future expenditure.    ESG Investing. Environmental, Social, and Governance refers to the three central factors in measuring  the sustainability and societal impact of an investment in accompany or business. The method rates  company’s environmental footprint, social behavior, and company governance such as labor practice,  governing board composition, talent management, product safety, and data security to name a few.     Estimated Revenue. The amount of projected revenue to be collected during the fiscal year.    Expenditure/Expense. This term refers to the outflow of funds paid for an asset obtained or goods and  services obtained.  Financial Plan Page 418 Page 938 of 994                                                                                                                 REFERENCE MATERIAL    F    Financial Reserves. An unappropriated source of funding that can be utilized to meet unexpected  budgetary needs.    Fiscal Year. The time period designated by the City signifying the beginning and ending period for  recording financial transactions. The City of San Luis Obispo has specified July 1 to June 30 as its fiscal  year.    Forfeiture. The automatic loss of property, including cash, as a penalty for breaking the law, or as  compensation for losses resulting from illegal activities. Once property has been forfeited, the City may  claim it, resulting in confiscation of the property.    Full Faith and Credit. A pledge of a government’s taxing power to repay debt obligations.    Full‐Time Employee. A full‐time employee working 38‐40 hours per week and receiving benefits.    Fund. A set of inter‐related accounts to record revenues and expenditures associated with a specific  purpose. Fund structure presented below    Governmental Funds    Capital Projects Fund. Capital Projects Funds are used to account for financial resources to be  used for the acquisition or construction of major capital facilities (other than those financed by  Proprietary Funds and Trust Funds).    Debt Service Fund. Debt Service Funds are set up to receive dedicated revenues used to make  principal and interest payments on City debt. They are used to account for the accumulation of  resources for, and the payment of, general obligation and special assessment debt principal,  interest and related costs, except the debt service accounted for in the Special Revenue Funds  and Enterprise Funds.    General Fund. The General Fund is the general operating fund of the City. It is used to account  for all activities of the City not accounted for in another fund.    Special Revenue Fund. Special Revenue Funds are set up as accounts for Federal or State grants  legally restricted to expenditures for specific purposes.    Proprietary Funds    Enterprise Funds. Enterprise Funds are used to account for operations including debt service  (a) that are financed and operated in a manner similar to private businesses – where the intent  of the government body is that the costs (expenses, including depreciation) of providing goods  or services to the general public on a continuing basis is financed or recovered primarily through  user charges; or (b) where the governing body has determined that periodic determination of  revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance,  public policy, management control accountability, or other purposes.  Financial Plan Page 419 Page 939 of 994                                                                                                                 REFERENCE MATERIAL      Internal Service Funds. Internal Service Funds are established to account for an entity that  provides goods and services to other City entities and charges those entities for the goods and  services provided.    Fund Balance. The difference between revenues and expenditures. The beginning fund balance  represents the residual funds brought forward from the previous year (ending balance)    G    Generally Accepted Accounting Principles (GAAP). Uniform minimum standards for financial accounting  and recording, encompassing the conventions, rules, and procedures that define accepted accounting  principles.    General Governmental Revenue. The revenues of a government other than those derived from and  retained in an Enterprise Fund. General Governmental revenues include those from the General, Debt  Service, and Special Revenue Funds.    General Obligation Bonds. Bonds that finance a variety of public projects such as streets, buildings, and  improvements; the repayment of these bonds is usually made from secondary property taxes, and these  bonds are backed by the full faith and credit of the issuing government.    Goal. A statement of direction based on identified strategic priorities. Should be measurable and able to  be achieved in 3 to 5 years.    Grant. A contribution by the State or Federal government or other organization to support a particular  function. Grants may be classified as either categorical or block depending upon the amount of  discretion allowed the grantee.    I    Indirect Cost. A cost necessary for the functioning of the organization as a whole, but which cannot be  directly assigned, such as administrative support, facility maintenance or custodial services.    Inflation. A rise in price levels caused by an increase in available funds beyond the proportion of  available goods.    Infrastructure. Public domain fixed assets including roads, curbs, gutters, sidewalks, drainage systems,  lighting systems, and other items that have value only to the City.    Interest Income. Revenue associated with the city cash management activities of investing fund  balances.    Intergovernmental Resources. Funds received from federal, state, and other local government sources  in the form of grants, shared revenues, and payments in lieu of taxes.    Financial Plan Page 420 Page 940 of 994                                                                                                                 REFERENCE MATERIAL    Inter‐fund Transfer. The movement of monies between funds of the same governmental entity.    Inter‐local Agreement. A contractual agreement between two or more governmental entities.    Internal Services Charges. The charges to user departments for internal services provided by another  government agency, such as data processing, equipment maintenance and communications.    L    Levy. To impose taxes for the support of government activities.    Long‐Term Debt. Debt with a maturity of more than one year after the date of issuance.    M    Major City Goals. The most important, highest priority goals for the City to accomplish over the next  two years, and as such, resources should be included in the 2025‐27 Financial Plan.    Major Fund. Funds whose revenues, expenditures/ expenses, assets, or liabilities (excluding  extraordinary items) are at least 10 percent of corresponding totals for all governmental or enterprise  funds and at least 5 percent of the aggregate amount for all governmental and enterprise funds. These  represent the City's most important funds and include the General Fund.    Mandate. A requirement from a higher level of government that a lower level of government perform a  task in a particular way or standard.    Mission Statement. The statement that identifies the particular purpose and function of an entity.    Modified Accrual Basis. The basis of accounting under which revenues are recognized when measurable  and available to pay liabilities. Expenditures are recognized when the liability is incurred except for  interest on long‐term debt which is recognized when due, and the noncurrent portion of accrued  vacation and sick leave, which is recorded in general long‐term debt.    Municipal Code. A collection of laws, rules, and regulations that apply to the City and its citizens.    N    Neighborhood Services. A program developed to promote and strengthen the stability, development,  revitalization, and preservation of neighborhoods through community‐based problem solving.    Net Position. Governmental financial statement reporting for proprietary funds where assets plus  deferred outflows of resources, less liabilities, less deferred inflows of resources, equals net position  program.    Financial Plan Page 421 Page 941 of 994                                                                                                                 REFERENCE MATERIAL    O    Objective. A specific measurable and observable result of an organization’s activity, which advances the  organization toward its goal.    Ombudsman. One that investigates reported complaints, reports findings, and helps to achieve  equitable settlements.    OPEB. Other post‐employment benefits are benefits that an employee will begin to receive at the start  of retirement such as health care and deferred‐compensation arrangements.     Operating Budget. The portion of the budget that pertains to daily operations that provide basic  governmental services. The operating budget contains appropriations for expenditures such as  personnel, supplies, utilities, materials, travel, and fuel.    Operating Expenses. The cost for personnel, materials, and equipment required for a department to  function.    Operating Revenue. Funds that the government receives as income to pay for ongoing operations,  including such items as taxes, user fees, interest earnings, and grant revenues. Operating revenues are  used to pay for day‐to‐ day services.    P    Pay‐As‐You‐Go Financing. A term used to describe a financial policy by which the capital program is  financed from current revenues rather than through borrowing.    Per Capita. A measurement of the proportion of some statistic to an individual resident determined by  dividing the statistic by the current population.    Performance Budget. A budget that focuses upon departmental goals and objectives rather than line  items, programs, or funds. Workload and unit cost data are collected in order to assess the effectiveness  and efficiency of services. Typical measures collected might include average emergency response time  for the fire.    Performance Measure. Data collected to determine how effective and/or efficient a program is in  achieving its objectives.    Policy. A plan, course of action or guiding principle designed to set parameters for decisions and actions.    Prior Year Encumbrances. Obligations from previous years in the form of purchase orders or contracts  that are chargeable to an appropriation, and for which a part of the appropriation is reserved. They  cease to be encumbrances when the obligations are paid or otherwise terminated.    Potable Water. Water that is fit to drink.    Financial Plan Page 422 Page 942 of 994                                                                                                                 REFERENCE MATERIAL    Program. Group activity, operations, or organizational units directed to attaining specific objectives and  achievements and budgeted as sub‐units of a department.    Program Budget. A budget that allocates money to the functions or activities of a government rather  than to specific items of cost or to specific departments.    Property Tax. A levy upon the assessed valuation of the property within the City of San Luis Obispo upon  each $100 of assessment.    R    Retained Earnings. An equity account reflecting the accumulated earnings of an enterprise or internal  service fund.    Revenue. Funds that the government receives as income. It includes such items as tax payments, fees  from specific services, receipts from other governments, fines, forfeitures, grants, shared revenues, and  interest income.    Revenue Bonds. Bonds usually sold for constructing a project that will produce revenue for the  government. That revenue is pledged to pay the principal and interest of the bond.    Reserve. An account used to indicate that a portion of a fund’s assets are legally restricted for a specific  purpose and is, therefore, not available for general appropriation.    Resolution. A special or temporary order of a legislative body requiring less legal formality than an  ordinance or statute.    Resources. Total amounts available for appropriation including estimated revenues, fund transfers, and  beginning balances.    Risk Management. An organized attempt to protect a government’s assets against accidental loss in the  most economical method.    S    Sales Tax. Tax imposed on the taxable sales of all final goods.    Source of Revenue. Revenues are classified according to their source or point of origin.    Special Assessment. A compulsory levy made against certain properties to defray part or all of the cost  of a specific improvement or service deemed to primarily benefit those properties.    State and Local Fiscal Recovery Funds. Federal program authorized by the American Rescue Plan Act  (ARPA) to provide $350 billion to state, territorial, local, and Tribal governments across the United States  to support their response to and recovery from the COIVD‐19 public health emergency.    Financial Plan Page 423 Page 943 of 994                                                                                                                 REFERENCE MATERIAL    Strategic Plan. A document outlining long‐term goals, critical issues, and action plans that will increase  the organization’s effectiveness in attaining its vision, priorities, mission, goals and objectives.    System Development Charge. That portion of the connection charge that is determined to be the  customer’s proportionate share of the cost of providing transmission, pumping, and storage facilities  required to serve the various distribution areas or zones within the system.    T    Tax Levy. The resultant product when the tax rate per $100 is multiplied by the tax base.    Taxes. Compulsory charges levied by a government for the purpose of financing services performed for  the common benefit of the people. This term does not include specific charges made against particular  persons or property for current or permanent benefit, such as special assessments.    Transfers In/Out. Amounts transferred from one fund to another to assist in financing the services for  the recipient fund.    U    Undesignated Fund Balance. The portion of a fund’s balance that is not legally restricted for a specific  purpose and is available for general appropriation.    Unencumbered Balance. The amount of an appropriation that is neither expended nor encumbered. It  is essentially the amount of money still available for future purposes.    Unfunded Pension Liability. The difference between assets in a pension fund and the amount of  benefits the fund is required to pay out in the long‐term.     Unreserved Fund Balance. The portion of a fund’s balance that is not restricted for a specific purpose  and is available for general appropriation.    Useful Life. The period of time that a fixed asset is able to be used. This can refer to a budget period of  time for an equipment class or the actual amount of time for a particular item.    User Charges. The payment of a fee for direct receipt of a public service by the party who benefits from  the service.          Financial Plan Page 424 Page 944 of 994 REFERENCE MATERIAL Acronym Glossary  3CE Central Coast Community Energy  ACFR Annual Comprehensive Financial  Reports  AP Accounts Payable  APWA American Public Works  Association  AR Accounts Receivable  ARB Administrative Review Board  ARC Architectural Review Commission  ARPA American Rescue Plan Act  ATC Active Transportation Committee  BAR Budget Amendment Request  CAD Computer Aided Dispatch  CALOES California Office of Emergency  Services  CALPERS California Public Employee  Retirement System  CAP Cost Allocation Plan  CAPSLO Community Action Partnership of  San Luis Obispo  CAR Council Agenda Report  CAT Community Action Team  CBOA Construction Board of Appeals  CCCI California Construction Cost Index  CDBG Community Development Block  Grant  CDD Community Development  Department  CEQA California Enivronmental Quality  Act  CHC Cultural Heritage Committee  CMR City Manager Report  COPS Community Oriented Policing  Strategy  COS Cost of Services  CPA Certified Public Accountant  CPI Consumer Price Index  CPUC California Public Utilities  Commission  CUP Conditional Use Permit  CVRA California Voting Rights Act of  2001  DEITF Diversity, Equity, Inclusion (Task  Force)  DSLO Downtown San Luis Obispo  EOC Emergency Operations Center  EV Electric Vehicle  FEMA Federal Emergency Management  Agency  FMLA Family and Medical Leave Act  FMM Financial Management Manual  FPSC Financial Plan Steering Committee  FTE Full Time Equivalent  FY Fiscal Year  FYTD Fiscal Year‐to‐date  GAAP Generally Accepted Accounting  Principles  GASB Governmental Accounting  Standards Board  GFOA Government Finance Officers  Association  GIS Geographic Information System  GL General Ledger  HAZMAT Hazardous Materials  HA Housing Authority  HR Human Resources  HRC Human Relations Commission  IAFF International Association of Fire  Fighters  IOC Investment Oversight Committee  IT Information Technology  ITSC Information Technology Steering  Committee  JPA Joint Powers Authority  LAFCO Local Agency Formation  Commission  LAIF Local Agency Investment Fund  LGBQT Lesbian, Bisexual, Gay,  Transgender, Questioning  LRM Local Revenue Measure  MCU Mobile Crisis Unit  MDC Mobile Data Computer  MOA Memorandum of Agreement  MOU Memorandum of Understanding  MTC Mass Transportation Committee  MUP Minor Use Permit  NEPA National Environmental Policy Act  NOV Notice of Violation  Financial Plan Page 425 Page 945 of 994 REFERENCE MATERIAL OSHA Occupational Safety and Health  Administration  PAFT Popular Annual Financial Report  PB Personnel Board  PC Planning Commission  PCC Promotional Coordinating  Committee  PERS Public Employees' Retirement  System  PFF Public Facilities Fees  PO Purchase Order  POA Police Officers’ Association  POST Peace Officer Standards and  Training  PRRC Parks and Recreation Commission  PW Public Works  REOC Revenue Enhancement Oversight  Commission  RFI Request for Information  RFP Request for Proposal  RFQ Request for Qualifications  RMS Records Management System  SLFRF State and Local Fiscal Recovery  Funds  SLOCEA San Luis Obispo City Employees'  Association  SLOCOG San Luis Obispo Council of  Governments  SLOPSOA San Luis Obispo Police Staff  Officers' Association  SLOREP San Luis Obispo Repertory Theatre  SOBC Significant Operating Budget  Change  SOP Standard Operating Procedure  SRF State Revolving Fund  TAC Technical Advisory Committee  TBID Tourism Business Improvement  District  TC Tree Committee  TDA Transportation Development Act  THMA Transitions‐ Mental Health  Association  TOT Transient Occupancy Tax  USGS U.S. Geological Survey  UT Utilities  UUT Utilities Users Tax  VLF Vehicle License Fee  Financial Plan Page 426 Page 946 of 994 REFERENCE MATERIAL Appropriation Limit  The City’s appropriation limit is based on the Gann Spending Limit Initiative, a State constitutional  amendment adopted by the voters on June 6, 1979 and amended in 1990 with Proposition 111. It is  anchored in the State Constitution under Article XIIIB.   The limit restricts appropriations from tax revenues by State and local governments. Under its  provisions, no local agency can appropriate proceeds of taxes in excess of its “appropriation limit”.  Excess funds may be carried over into the next year. However, any excess funds remaining after the  second year must be returned to taxpayers by reducing tax rates or fees; a majority of the voters may  approve an override to increase the limit.   The City’s appropriation limit is calculated by considering population growth and cost of living as  allowed under Proposition 111.    The following summarizes changes in the City’s appropriation limit and appropriations subject to the  limit for the past ten years as well as the appropriation limit for FY 2025‐26.  A positive variance  indicates that the City’s appropriations are lower than the allowable limit.  Factors Ratio A.) Prior Year Appropriation Limit $94,976,973 B.) Adjustment Factors 1. Population Change 1.02% 1.0152 2. Cost of Living Increase 1.06% 1.0644 3. Combined Factor 1.08% 1.0806 Adjusted Limit $102,632,964 Fiscal Year Limit Base Cost of Living Factor Population  Factor Appropriation  Limit Appropriations Subject to Limit Variance 2016‐17 62,534,500 5.63% 0.60% 66,451,500 49,397,200 17,054,300 2017‐18 66,451,500 1.20% 0.92% 67,867,633 50,036,391 17,831,242 2018‐19 67,867,633 1.88% 0.35% 69,383,546 51,142,315 18,241,231 2019‐20 69,383,546 6.37% 0.24% 73,981,290 50,127,692 23,853,598 2020‐21 73,981,290 1.92%‐0.04% 75,373,410 48,342,410 27,031,416 2021‐22 75,373,410 5.11% 0.31% 79,470,558 52,362,031 27,108,458 2022‐23 79,470,558 7.55% 0.28% 85,706,220 65,610,162 20,093,058 2023‐24 85,706,220 4.79% 1.15% 90,839,932 71,693,192 19,146,740 2024‐25 90,839,932 3.62% 0.90% 94,976,973 76,671,495 18,305,478 2025‐26 94,976,973 6.44% 1.52% 102,632,964 91,034,718 11,598,246 Financial Plan Page 427 Page 947 of 994 APPENDIX  Financial Plan Page 428 Page 948 of 994 Appendix  Operating Budget Line‐Item Detail (All funds)  This section includes General Ledger Account level detail for all funds’ operating budgets by department  and cost center. Because it includes all funds, department totals may not equal summary tables included  elsewhere in the budget. Accounts included in the following tables are limited to operating  expenditures, including staffing and other operating expenditures, and do not include non‐operating  costs like capital expenditures, debt service, or transfers.  Financial Plan Page 429 Page 949 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 Administration & IT 13,749,393          13,815,019           1001‐City Administration 1,651,007             1,707,428              51001‐Salaries ‐ Regular 1,043,481             1,062,984              51004‐Salaries ‐ Temporary 8,400                     8,400                      52001‐Retirement Contributions 69,658                   71,012                    52002‐Retirement PARS ‐ 401 11,341                   11,734                    52003‐PERS Unfunded Liability 233,809                256,628                 53001‐Employee Group Insurance 98,844                   103,302                 53002‐Retiree Healthcare 13,135                   13,496                    55001‐Medicare 14,541                   14,809                    61001‐Advertising and Public Outreach 6,000                     6,000                      61008‐Parking 7,680                     7,680                      61013‐Other Contract Services 82,665                   87,500                    62001‐Print and Reproduction 200                        200                         62002‐Office Supplies 3,500                     3,500                      62003‐Postage 200                        200                         62004‐Publications and Subscriptions 310                        325                         62009‐Software Licensing and Maint Agreements 27,143                   29,558                    63001‐Membership and Certifications 2,400                     2,400                      63002‐Education and Training 13,800                   13,800                    63003‐Trips and Meetings 13,900                   13,900                    1002‐City Council 200,724                203,580                 51001‐Salaries ‐ Regular 1,061                     1,061                      51002‐Council and Commissioners 109,606                109,606                 52001‐Retirement Contributions 5,000                     5,000                      52003‐PERS Unfunded Liability 18,824                   20,661                    53001‐Employee Group Insurance 29,190                   30,180                    53002‐Retiree Healthcare 1,058                     1,087                      55001‐Medicare 1,586                     1,586                      62001‐Print and Reproduction 400                        400                         62010‐Office Expenses ‐ Other 17,400                   17,400                    63002‐Education and Training 12,000                   12,000                    63003‐Trips and Meetings 4,600                     4,600                      Financial Plan Page 430 Page 950 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 1004‐Economic Development 777,621                788,450                 51001‐Salaries ‐ Regular 158,497                165,138                 52001‐Retirement Contributions 10,656                   11,104                    52003‐PERS Unfunded Liability 36,760                   40,347                    53001‐Employee Group Insurance 3,600                     3,600                      53002‐Retiree Healthcare 2,065                     2,122                      55001‐Medicare 2,293                     2,389                      61001‐Advertising and Public Outreach 11,100                   11,100                    61013‐Other Contract Services 536,000                536,000                 62004‐Publications and Subscriptions 300                        300                         62509‐Misc Materials and Supplies 2,100                     2,100                      63001‐Membership and Certifications 1,000                     1,000                      63002‐Education and Training 5,000                     5,000                      63003‐Trips and Meetings 8,250                     8,250                      1005‐Natural Resource Protection 949,227                953,648                 51001‐Salaries ‐ Regular 514,147                514,147                 52001‐Retirement Contributions 34,042                   34,042                    52003‐PERS Unfunded Liability 121,736                133,617                 53001‐Employee Group Insurance 61,680                   64,032                    53002‐Retiree Healthcare 6,839                     7,027                      55001‐Medicare 7,324                     7,324                      61009‐Regulatory Fees 40,000                   40,000                    61013‐Other Contract Services 130,000                120,000                 62003‐Postage 500                        500                         62004‐Publications and Subscriptions 500                        500                         62509‐Misc Materials and Supplies 21,959                   21,959                    63002‐Education and Training 10,000                   10,000                    63003‐Trips and Meetings 500                        500                         1006‐Tourism and Bid Promotion 2,175,542             2,184,547              51001‐Salaries ‐ Regular 157,759                164,371                 51004‐Salaries ‐ Temporary 40,007                   41,009                    52001‐Retirement Contributions 10,497                   10,938                    52003‐PERS Unfunded Liability 35,813                   39,308                    53001‐Employee Group Insurance 14,189                   14,774                    53002‐Retiree Healthcare 2,012                     2,067                      55001‐Medicare 2,838                     2,948                      61001‐Advertising and Public Outreach 55,055                   55,275                    61013‐Other Contract Services 1,823,238             1,819,586              62004‐Publications and Subscriptions 15,015                   15,075                    62509‐Misc Materials and Supplies 1,001                     1,005                      63001‐Membership and Certifications 4,004                     4,020                      63002‐Education and Training 9,009                     9,045                      63003‐Trips and Meetings 5,105                     5,126                      Financial Plan Page 431 Page 951 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 1007‐Community Promotion 398,545                400,143                 51001‐Salaries ‐ Regular 21,468                   22,368                    52001‐Retirement Contributions 1,415                     1,475                      52003‐PERS Unfunded Liability 4,838                     5,310                      53001‐Employee Group Insurance 3,247                     3,394                      53002‐Retiree Healthcare 272                        279                         55001‐Medicare 304                        317                         61001‐Advertising and Public Outreach 50,000                   50,000                    61013‐Other Contract Services 313,000                313,000                 63003‐Trips and Meetings 4,000                     4,000                      1008‐Downtown Association Administration 246,713                251,647                 61013‐Other Contract Services 246,713                251,647                 1009‐Community Services Group 639,244                653,267                 51001‐Salaries ‐ Regular 397,496                398,411                 52001‐Retirement Contributions 26,563                   26,624                    52002‐Retirement PARS ‐ 401 2,558                     2,558                      52003‐PERS Unfunded Liability 121,479                133,334                 53001‐Employee Group Insurance 25,590                   26,580                    53002‐Retiree Healthcare 6,824                     7,012                      55001‐Medicare 5,715                     5,728                      61008‐Parking 995                        995                         61013‐Other Contract Services 40,000                   40,000                    62002‐Office Supplies 1,650                     1,650                      62007‐Employee Recognition 1,000                     1,000                      62509‐Misc Materials and Supplies 350                        350                         63001‐Membership and Certifications 1,525                     1,525                      63002‐Education and Training 3,500                     3,500                      63003‐Trips and Meetings 4,000                     4,000                      1010‐Office of DEI 708,209                658,742                 51001‐Salaries ‐ Regular 207,776                213,470                 52001‐Retirement Contributions 16,145                   16,528                    52003‐PERS Unfunded Liability 32,971                   36,189                    53001‐Employee Group Insurance 24,456                   25,560                    53002‐Retiree Healthcare 1,852                     1,903                      55001‐Medicare 3,009                     3,092                      61013‐Other Contract Services 405,000                345,000                 63002‐Education and Training 17,000                   17,000                    Financial Plan Page 432 Page 952 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 1021‐City Clerk 758,454                686,007                 51001‐Salaries ‐ Regular 376,543                383,108                 51004‐Salaries ‐ Temporary 6,103                     6,256                      52001‐Retirement Contributions 31,927                   32,566                    52003‐PERS Unfunded Liability 88,411                   97,039                    53001‐Employee Group Insurance 40,977                   42,810                    53002‐Retiree Healthcare 4,967                     5,103                      55001‐Medicare 5,482                     5,580                      61001‐Advertising and Public Outreach 10,000                   10,000                    61013‐Other Contract Services 163,900                73,900                    62001‐Print and Reproduction 1,000                     500                         62002‐Office Supplies 5,700                     5,700                      62004‐Publications and Subscriptions 5,200                     5,200                      62010‐Office Expenses ‐ Other 1,000                     1,000                      63001‐Membership and Certifications 1,545                     1,545                      63002‐Education and Training 9,250                     9,250                      63003‐Trips and Meetings 6,450                     6,450                      1031‐Boysen Ranch Conserv Easement 7,500                     7,500                      61013‐Other Contract Services 7,500                     7,500                      1101‐Network Services 3,630,747             3,671,425              51001‐Salaries ‐ Regular 971,560                983,366                 51004‐Salaries ‐ Temporary 21,625                   22,166                    51010‐Overtime 37,500                   37,500                    51017‐Standby 18,500                   18,500                    51018‐Call Back 33,955                   33,955                    52001‐Retirement Contributions 79,740                   80,520                    52003‐PERS Unfunded Liability 222,358                244,059                 53001‐Employee Group Insurance 129,639                134,970                 53002‐Retiree Healthcare 12,492                   12,835                    55001‐Medicare 14,178                   14,353                    61005‐Data Processing Services 795,204                755,186                 61013‐Other Contract Services 468,667                513,884                 61503‐Electric Service 8,311                     8,311                      61505‐Communication Service 336,470                336,470                 62002‐Office Supplies 310,180                305,180                 62509‐Misc Materials and Supplies 18,648                   16,808                    62511‐Rents and Leases 93,420                   95,061                    63001‐Membership and Certifications 2,200                     2,200                      63002‐Education and Training 54,100                   54,100                    63003‐Trips and Meetings 2,000                     2,000                      Financial Plan Page 433 Page 953 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 1103‐Information Services 1,605,860             1,648,636              51001‐Salaries ‐ Regular 1,010,728             1,022,325              51010‐Overtime 12,535                   12,535                    52001‐Retirement Contributions 87,511                   88,532                    52003‐PERS Unfunded Liability 240,414                263,876                 53001‐Employee Group Insurance 141,018                147,175                 53002‐Retiree Healthcare 13,506                   13,878                    55001‐Medicare 14,553                   14,720                    61005‐Data Processing Services 45,095                   45,095                    61013‐Other Contract Services 11,400                   11,400                    62002‐Office Supplies 6,000                     6,000                      63002‐Education and Training 22,700                   22,700                    63003‐Trips and Meetings 400                        400                         Community Development 8,399,657             8,449,562              4001‐Community Development Administration 1,126,412             1,006,413              51001‐Salaries ‐ Regular 539,779                544,630                 51010‐Overtime 1,400                     1,400                      52001‐Retirement Contributions 41,704                   42,177                    52002‐Retirement PARS ‐ 401 2,224                     2,224                      52003‐PERS Unfunded Liability 122,146                134,066                 53001‐Employee Group Insurance 84,588                   88,320                    53002‐Retiree Healthcare 6,862                     7,051                      55001‐Medicare 7,714                     7,784                      61001‐Advertising and Public Outreach 15,000                   15,000                    61005‐Data Processing Services 10,500                   10,500                    61008‐Parking 23,650                   23,650                    61013‐Other Contract Services 150,086                8,852                      62001‐Print and Reproduction 6,600                     6,600                      62002‐Office Supplies 6,000                     6,000                      62003‐Postage 8,000                     8,000                      62004‐Publications and Subscriptions 900                        900                         62007‐Employee Recognition 3,000                     3,000                      62509‐Misc Materials and Supplies 3,050                     3,050                      63001‐Membership and Certifications 1,000                     1,000                      63002‐Education and Training 5,000                     5,000                      63003‐Trips and Meetings 1,210                     1,210                      65013‐Credit Cards Merchant Fees 86,000                   86,000                    Financial Plan Page 434 Page 954 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 4002‐Commissions and Committees 36,563                  36,563                   51002‐Council and Commissioners 25,000                   25,000                    55001‐Medicare 363                        363                         62004‐Publications and Subscriptions 300                        300                         63002‐Education and Training 7,600                     7,600                      63003‐Trips and Meetings 3,300                     3,300                      4003‐Planning 1,946,679             2,010,790              51001‐Salaries ‐ Regular 1,109,322             1,135,082              51004‐Salaries ‐ Temporary 45,806                   46,310                    51010‐Overtime 12,500                   12,500                    52001‐Retirement Contributions 90,332                   92,597                    52003‐PERS Unfunded Liability 258,888                284,153                 53001‐Employee Group Insurance 118,950                123,780                 53002‐Retiree Healthcare 14,544                   14,944                    55001‐Medicare 16,665                   17,044                    61013‐Other Contract Services 251,473                256,179                 62004‐Publications and Subscriptions 500                        500                         62509‐Misc Materials and Supplies 700                        700                         63001‐Membership and Certifications 5,000                     5,000                      63002‐Education and Training 21,000                   21,000                    63003‐Trips and Meetings 1,000                     1,000                      4004‐Engineering 956,698                999,988                 51001‐Salaries ‐ Regular 596,436                620,300                 51010‐Overtime 12,000                   12,000                    52001‐Retirement Contributions 46,898                   48,736                    52003‐PERS Unfunded Liability 142,695                156,621                 53001‐Employee Group Insurance 71,040                   74,136                    53002‐Retiree Healthcare 8,016                     8,237                      55001‐Medicare 8,613                     8,959                      61013‐Other Contract Services 57,000                   57,000                    62002‐Office Supplies 3,000                     3,000                      62004‐Publications and Subscriptions 500                        500                         63001‐Membership and Certifications 3,500                     3,500                      63002‐Education and Training 6,000                     6,000                      63003‐Trips and Meetings 1,000                     1,000                      Financial Plan Page 435 Page 955 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 4006‐Building and Safety 2,961,864             3,040,529              51001‐Salaries ‐ Regular 1,566,001             1,594,814              51010‐Overtime 10,000                   10,000                    52001‐Retirement Contributions 136,069                138,663                 52003‐PERS Unfunded Liability 317,904                348,929                 53001‐Employee Group Insurance 207,078                216,012                 53002‐Retiree Healthcare 17,859                   18,351                    55001‐Medicare 22,543                   22,959                    61001‐Advertising and Public Outreach 1,410                     1,410                      61005‐Data Processing Services 44,394                   44,394                    61006‐Engineering and Plan Checks 432,665                439,057                 61011‐Maintenance 2,440                     2,440                      61013‐Other Contract Services 140,000                140,000                 62004‐Publications and Subscriptions 2,000                     2,000                      62506‐Safety Materials and Supplies 500                        500                         62509‐Misc Materials and Supplies 7,200                     7,200                      63001‐Membership and Certifications 2,000                     2,000                      63002‐Education and Training 50,500                   50,500                    63003‐Trips and Meetings 1,300                     1,300                      4008‐Housing Policy and Homelessness Programs 1,371,441             1,355,278              51001‐Salaries ‐ Regular 506,432                525,809                 51004‐Salaries ‐ Temporary 23,770                   23,770                    51010‐Overtime 5,000                     5,000                      52001‐Retirement Contributions 41,217                   42,906                    52003‐PERS Unfunded Liability 115,144                126,381                 53001‐Employee Group Insurance 49,050                   51,156                    53002‐Retiree Healthcare 6,469                     6,647                      55001‐Medicare 7,639                     7,920                      61013‐Other Contract Services 601,720                550,690                 62002‐Office Supplies 6,800                     6,800                      62004‐Publications and Subscriptions 700                        700                         63002‐Education and Training 7,500                     7,500                      Financial Plan Page 436 Page 956 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 City Attorney 1,657,575             1,719,298              1501‐City Attorney 1,657,575             1,719,298              51001‐Salaries ‐ Regular 952,719                984,112                 51004‐Salaries ‐ Temporary 112,319                112,319                 52001‐Retirement Contributions 72,478                   74,504                    52002‐Retirement PARS ‐ 401 15,060                   15,693                    52003‐PERS Unfunded Liability 226,062                248,124                 53001‐Employee Group Insurance 106,794                111,498                 53002‐Retiree Healthcare 12,700                   13,049                    55001‐Medicare 14,867                   15,303                    61007‐Legal Services 59,000                   59,000                    61008‐Parking 3,240                     3,240                      61013‐Other Contract Services 41,350                   41,880                    62002‐Office Supplies 400                        400                         62003‐Postage 100                        100                         62004‐Publications and Subscriptions 20,260                   20,850                    63001‐Membership and Certifications 3,825                     3,825                      63002‐Education and Training 14,200                   13,200                    63003‐Trips and Meetings 2,200                     2,200                      Finance 2,770,356             2,852,226              2001‐Financial Administration 370,023                365,647                 51001‐Salaries ‐ Regular 247,501                256,894                 52001‐Retirement Contributions 16,194                   16,815                    52002‐Retirement PARS ‐ 401 2,055                     2,141                      52003‐PERS Unfunded Liability 44,272                   48,593                    53001‐Employee Group Insurance 3,600                     3,600                      53002‐Retiree Healthcare 2,487                     2,556                      55001‐Medicare 3,484                     3,617                      61008‐Parking 1,080                     1,080                      61013‐Other Contract Services 36,500                   17,500                    62002‐Office Supplies 4,000                     4,000                      62004‐Publications and Subscriptions 250                        250                         62007‐Employee Recognition 800                        800                         63001‐Membership and Certifications 300                        300                         63002‐Education and Training 5,500                     5,500                      63003‐Trips and Meetings 2,000                     2,000                      Financial Plan Page 437 Page 957 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 2002‐Budget 239,021                267,927                 51001‐Salaries ‐ Regular 127,309                132,435                 52001‐Retirement Contributions 8,395                     8,734                      52003‐PERS Unfunded Liability 29,215                   32,066                    53001‐Employee Group Insurance 8,220                     8,592                      53002‐Retiree Healthcare 1,641                     1,686                      55001‐Medicare 1,806                     1,879                      61001‐Advertising and Public Outreach 3,900                     4,000                      61013‐Other Contract Services 58,035                   78,035                    63001‐Membership and Certifications 300                        300                         63002‐Education and Training 200                        200                         2003‐Revenue Management 586,620                603,487                 51001‐Salaries ‐ Regular 217,054                226,513                 52001‐Retirement Contributions 18,314                   19,118                    52003‐PERS Unfunded Liability 50,057                   54,943                    53001‐Employee Group Insurance 26,856                   27,960                    53002‐Retiree Healthcare 2,812                     2,890                      55001‐Medicare 3,143                     3,281                      61013‐Other Contract Services 163,308                163,708                 62003‐Postage 9,000                     9,000                      62010‐Office Expenses ‐ Other 1,575                     1,575                      63001‐Membership and Certifications 300                        300                         63002‐Education and Training 4,000                     4,000                      63003‐Trips and Meetings 200                        200                         65013‐Credit Cards Merchant Fees 90,000                   90,000                    2004‐Purchasing 251,548                260,360                 51001‐Salaries ‐ Regular 169,050                172,458                 52001‐Retirement Contributions 13,198                   13,524                    52003‐PERS Unfunded Liability 39,208                   43,035                    53001‐Employee Group Insurance 10,620                   10,992                    53002‐Retiree Healthcare 2,203                     2,263                      55001‐Medicare 2,429                     2,477                      61013‐Other Contract Services 11,840                   12,611                    63002‐Education and Training 3,000                     3,000                      Financial Plan Page 438 Page 958 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 2005‐Accounting 1,323,145             1,354,806              51001‐Salaries ‐ Regular 796,861                807,168                 52001‐Retirement Contributions 56,713                   57,488                    52003‐PERS Unfunded Liability 160,518                176,183                 53001‐Employee Group Insurance 110,544                115,062                 53002‐Retiree Healthcare 9,018                     9,266                      55001‐Medicare 11,392                   11,540                    61001‐Advertising and Public Outreach 1,000                     1,000                      61013‐Other Contract Services 168,000                168,000                 62001‐Print and Reproduction 500                        500                         62004‐Publications and Subscriptions 500                        500                         63001‐Membership and Certifications 500                        500                         63002‐Education and Training 6,600                     6,600                      63003‐Trips and Meetings 1,000                     1,000                      Fire 18,421,320          19,013,900           8501‐Fire Administration 1,476,006             1,506,107              51001‐Salaries ‐ Regular 652,311                652,653                 51004‐Salaries ‐ Temporary 63,061                   64,139                    51010‐Overtime 2,700                     2,700                      52001‐Retirement Contributions 141,256                141,279                 52002‐Retirement PARS ‐ 401 2,491                     2,491                      52003‐PERS Unfunded Liability 150,160                164,814                 53001‐Employee Group Insurance 48,780                   50,760                    53002‐Retiree Healthcare 8,436                     8,668                      55001‐Medicare 9,961                     9,981                      61005‐Data Processing Services 65,939                   64,741                    61013‐Other Contract Services 164,908                170,944                 61501‐City Water Service 19,200                   20,900                    61502‐City Sewer Service 16,800                   17,472                    61503‐Electric Service 91,200                   95,760                    61504‐Natural Gas Service 10,000                   10,000                    62001‐Print and Reproduction 1,000                     1,000                      62002‐Office Supplies 5,000                     5,000                      62003‐Postage 100                        100                         62007‐Employee Recognition 2,500                     2,500                      62010‐Office Expenses ‐ Other 500                        500                         62509‐Misc Materials and Supplies 3,100                     3,100                      63001‐Membership and Certifications 2,954                     2,954                      63002‐Education and Training 12,000                   12,000                    63003‐Trips and Meetings 1,650                     1,650                      Financial Plan Page 439 Page 959 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 8502‐Emergency Reponse 14,521,062          15,083,641           51001‐Salaries ‐ Regular 7,244,200             7,532,836              51010‐Overtime 1,106,344             1,161,661              51012‐Overtime ‐ Training 77,964                   81,862                    51018‐Call Back 10,080                   10,584                    52001‐Retirement Contributions 1,286,907             1,333,471              52003‐PERS Unfunded Liability 3,285,803             3,606,474              53001‐Employee Group Insurance 846,444                882,414                 53002‐Retiree Healthcare 184,590                189,670                 55001‐Medicare 98,088                   102,029                 61005‐Data Processing Services 30,000                   30,000                    61013‐Other Contract Services 18,391                   17,391                    62503‐Equipment Maintenance Supplies 2,300                     2,300                      62505‐Machinery and Equipment 196,200                10,000                    62506‐Safety Materials and Supplies 38,900                   38,900                    62507‐Public Safety Supplies 49,000                   49,000                    62509‐Misc Materials and Supplies 45,850                   35,050                    8503‐Hazard Prevention 1,236,599             1,299,357              51001‐Salaries ‐ Regular 795,839                829,641                 51010‐Overtime 5,810                     5,984                      52001‐Retirement Contributions 56,172                   58,448                    52003‐PERS Unfunded Liability 207,598                227,858                 53001‐Employee Group Insurance 90,036                   93,978                    53002‐Retiree Healthcare 11,662                   11,983                    55001‐Medicare 11,271                   11,755                    61005‐Data Processing Services 38,000                   39,000                    61013‐Other Contract Services 1,500                     1,500                      62002‐Office Supplies 600                        600                         62004‐Publications and Subscriptions 3,635                     3,635                      62010‐Office Expenses ‐ Other 1,400                     1,400                      62506‐Safety Materials and Supplies 1,000                     1,000                      62507‐Public Safety Supplies 2,000                     2,000                      62509‐Misc Materials and Supplies 1,450                     1,450                      63001‐Membership and Certifications 625                        625                         63002‐Education and Training 7,400                     7,900                      63003‐Trips and Meetings 600                        600                         8504‐Training Services 136,374                137,374                 61005‐Data Processing Services 5,800                     5,800                      61013‐Other Contract Services 67,000                   68,000                    62507‐Public Safety Supplies 21,700                   21,700                    63001‐Membership and Certifications 250                        250                         63002‐Education and Training 41,124                   41,124                    63003‐Trips and Meetings 500                        500                         Financial Plan Page 440 Page 960 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 8505‐Recruit Academy 77,600                  ‐                          61013‐Other Contract Services 10,000                   ‐                          62506‐Safety Materials and Supplies 55,000                   ‐                          62507‐Public Safety Supplies 11,600                   ‐                          62509‐Misc Materials and Supplies 1,000                     ‐                          8506‐Fire Apparatus Services 591,234                598,373                 51001‐Salaries ‐ Regular 190,688                194,483                 51010‐Overtime 13,470                   14,290                    51017‐Standby 1,735                     1,787                      52001‐Retirement Contributions 14,430                   14,674                    52003‐PERS Unfunded Liability 42,022                   46,123                    53001‐Employee Group Insurance 44,616                   46,626                    53002‐Retiree Healthcare 2,361                     2,426                      55001‐Medicare 2,707                     2,759                      56002‐Misc Employee Reimbursement 3,000                     3,000                      61005‐Data Processing Services 2,400                     2,400                      61013‐Other Contract Services 33,930                   36,930                    62502‐Construction Materials and Supplies 2,000                     2,000                      62503‐Equipment Maintenance Supplies 110,355                110,355                 62504‐Fuel 101,300                101,300                 62509‐Misc Materials and Supplies 13,800                   6,800                      63001‐Membership and Certifications 820                        820                         63002‐Education and Training 11,600                   11,600                    8507‐Fire Station Facility Support 43,325                  43,325                   61013‐Other Contract Services 14,000                   14,000                    62503‐Equipment Maintenance Supplies 2,600                     2,600                      62507‐Public Safety Supplies 26,725                   26,725                    8510‐Mobile Crisis Unit 136,000                136,000                 51010‐Overtime 12,000                   12,000                    61013‐Other Contract Services 100,000                100,000                 62002‐Office Supplies 1,000                     1,000                      62509‐Misc Materials and Supplies 18,000                   18,000                    63002‐Education and Training 5,000                     5,000                      Financial Plan Page 441 Page 961 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 8599‐Emergency Management 203,120                209,724                 51001‐Salaries ‐ Regular 119,548                122,053                 52001‐Retirement Contributions 7,882                     8,048                      52003‐PERS Unfunded Liability 29,327                   32,189                    53001‐Employee Group Insurance 21,990                   22,980                    53002‐Retiree Healthcare 1,648                     1,693                      55001‐Medicare 1,696                     1,731                      61001‐Advertising and Public Outreach 4,450                     4,450                      62001‐Print and Reproduction 1,500                     1,500                      62002‐Office Supplies 1,500                     1,500                      62010‐Office Expenses ‐ Other 1,000                     1,000                      62507‐Public Safety Supplies 4,510                     4,510                      62509‐Misc Materials and Supplies 1,100                     1,100                      63001‐Membership and Certifications 330                        330                         63002‐Education and Training 5,500                     5,500                      63003‐Trips and Meetings 1,140                     1,140                      Human Resources 7,564,991             8,184,613              3001‐Human Resources 1,982,033             2,062,750              51001‐Salaries ‐ Regular 1,082,004             1,124,924              51004‐Salaries ‐ Temporary 20,977                   21,502                    52001‐Retirement Contributions 71,510                   74,359                    52002‐Retirement PARS ‐ 401 2,044                     2,141                      52003‐PERS Unfunded Liability 242,271                265,915                 53001‐Employee Group Insurance 147,510                154,122                 53002‐Retiree Healthcare 13,610                   13,985                    55001‐Medicare 15,688                   16,309                    61013‐Other Contract Services 95,500                   94,561                    61029‐Recruitment Expenses 77,288                   79,772                    61030 ‐ Medical Services 5,400                     5,400                      62002‐Office Supplies 3,500                     3,500                      62004‐Publications and Subscriptions 6,570                     6,800                      62007‐Employee Recognition 1,500                     1,500                      62008‐Furniture and Fixtures 1,000                     1,000                      62009‐Software Licensing and Maint Agreements 39,610                   39,610                    63001‐Membership and Certifications 1,650                     1,650                      63002‐Education and Training 133,400                133,400                 63003‐Trips and Meetings 20,000                   21,300                    65014‐Misc Other Charges 1,000                     1,000                      3003‐Wellness Program 55,800                  55,610                   61013‐Other Contract Services 37,000                   38,110                    61028‐Personnel Services 9,300                     9,000                      62008‐Furniture and Fixtures 8,000                     7,000                      63003‐Trips and Meetings 1,500                     1,500                      Financial Plan Page 442 Page 962 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 3050‐Insurance ISF 5,527,158             6,066,253              54001‐Workers Comp Insurance 2,069,183             2,355,887              61014‐Liability Insurance 2,547,586             2,625,060              61015‐Other Insurance 910,389                1,085,306              Non‐Departmental 2,401,694             3,463,325              2007‐Non‐Departmental 2,401,694             3,463,325              51001‐Salaries ‐ Regular 50,000                   50,000                    52001‐Retirement Contributions 47,960                   48,949                    53002‐Retiree Healthcare 1,922                     2,075                      53003‐Unemployment Insurance 30,000                   30,000                    56002‐Misc Employee Reimbursement 15,000                   15,000                    56003‐Contingency Expense 1,388,209             2,440,470              61010‐Ventures and Contingencies 200,000                200,000                 61013‐Other Contract Services 385,191                393,971                 62001‐Print and Reproduction 46,000                   46,000                    62003‐Postage 43,000                   43,000                    62007‐Employee Recognition 25,000                   20,000                    62010‐Office Expenses ‐ Other 6,000                     6,000                      62511‐Rents and Leases 131,612                135,560                 63001‐Membership and Certifications 18,500                   19,000                    63002‐Education and Training 3,300                     3,300                      65013‐Credit Cards Merchant Fees 10,000                   10,000                    Financial Plan Page 443 Page 963 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 Parks & Recreation 6,222,696             6,363,030              7001‐Recreation Administration 1,086,220             1,110,533              51001‐Salaries ‐ Regular 573,038                576,704                 51003‐Salaries ‐ Contract 68,354                   71,942                    51004‐Salaries ‐ Temporary 45,250                   46,382                    51010‐Overtime 800                        800                         52001‐Retirement Contributions 53,439                   54,146                    52002‐Retirement PARS ‐ 401 2,224                     2,224                      52003‐PERS Unfunded Liability 142,429                156,329                 53001‐Employee Group Insurance 65,310                   67,788                    53002‐Retiree Healthcare 8,001                     8,222                      55001‐Medicare 9,870                     9,991                      61001‐Advertising and Public Outreach 1,000                     1,000                      61005‐Data Processing Services 21,000                   21,000                    61008‐Parking 7,470                     7,470                      61011‐Maintenance 2,500                     1,000                      61013‐Other Contract Services 4,900                     4,900                      62001‐Print and Reproduction 2,400                     2,400                      62002‐Office Supplies 11,800                   11,800                    62003‐Postage 700                        700                         62004‐Publications and Subscriptions 400                        400                         62007‐Employee Recognition 3,600                     3,600                      62010‐Office Expenses ‐ Other 15,000                   15,000                    62509‐Misc Materials and Supplies 24,775                   24,775                    63001‐Membership and Certifications 1,210                     1,210                      63002‐Education and Training 7,750                     7,750                      63003‐Trips and Meetings 1,000                     1,000                      65013‐Credit Cards Merchant Fees 12,000                   12,000                    7002‐Recreation Facilities 392,228                394,954                 51001‐Salaries ‐ Regular 120,636                120,636                 51004‐Salaries ‐ Temporary 114,757                115,903                 51010‐Overtime 400                        400                         52001‐Retirement Contributions 12,235                   12,343                    52003‐PERS Unfunded Liability 37,980                   41,687                    53001‐Employee Group Insurance 30,030                   31,020                    53002‐Retiree Healthcare 2,134                     2,192                      55001‐Medicare 3,375                     3,392                      61013‐Other Contract Services 48,150                   48,850                    61014‐Liability Insurance 10,000                   10,000                    62002‐Office Supplies 800                        800                         62509‐Misc Materials and Supplies 10,000                   6,000                      63001‐Membership and Certifications 330                        330                         63002‐Education and Training 1,400                     1,400                      Financial Plan Page 444 Page 964 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 7003‐Youth Services 1,592,313             1,628,964              51001‐Salaries ‐ Regular 583,097                601,307                 51004‐Salaries ‐ Temporary 520,876                520,876                 51010‐Overtime 2,100                     2,100                      52001‐Retirement Contributions 61,869                   63,606                    52003‐PERS Unfunded Liability 128,179                140,688                 53001‐Employee Group Insurance 96,468                   100,200                 53002‐Retiree Healthcare 7,201                     7,399                      55001‐Medicare 15,974                   16,238                    61001‐Advertising and Public Outreach 500                        500                         61013‐Other Contract Services 52,950                   52,950                    62001‐Print and Reproduction 1,000                     1,000                      62002‐Office Supplies 1,500                     1,500                      62008‐Furniture and Fixtures 3,500                     3,500                      62507‐Public Safety Supplies 2,610                     2,610                      62509‐Misc Materials and Supplies 53,940                   53,940                    62511‐Rents and Leases 48,600                   48,600                    63001‐Membership and Certifications 1,350                     1,350                      63002‐Education and Training 10,600                   10,600                    7004‐Community Services 644,285                665,436                 51001‐Salaries ‐ Regular 234,593                245,833                 51004‐Salaries ‐ Temporary 101,223                101,616                 51010‐Overtime 2,500                     2,500                      52001‐Retirement Contributions 21,626                   22,588                    52003‐PERS Unfunded Liability 67,623                   74,223                    53001‐Employee Group Insurance 46,470                   48,204                    53002‐Retiree Healthcare 3,799                     3,903                      55001‐Medicare 4,837                     5,004                      61001‐Advertising and Public Outreach 1,800                     1,800                      61013‐Other Contract Services 72,280                   72,280                    62002‐Office Supplies 800                        800                         62003‐Postage 500                        500                         62502‐Construction Materials and Supplies 2,764                     2,714                      62508‐Recreation Supplies 20,500                   20,500                    62509‐Misc Materials and Supplies 9,000                     9,000                      62511‐Rents and Leases 43,900                   43,900                    63001‐Membership and Certifications 1,070                     1,070                      63002‐Education and Training 9,000                     9,000                      Financial Plan Page 445 Page 965 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 7005‐Ranger Service 941,328                965,405                 51001‐Salaries ‐ Regular 538,896                549,123                 51004‐Salaries ‐ Temporary 75,400                   75,400                    51010‐Overtime 5,500                     5,500                      52001‐Retirement Contributions 48,610                   49,606                    52003‐PERS Unfunded Liability 119,642                131,318                 53001‐Employee Group Insurance 63,126                   65,220                    53002‐Retiree Healthcare 6,721                     6,906                      55001‐Medicare 8,794                     8,942                      61013‐Other Contract Services 29,950                   29,950                    62001‐Print and Reproduction 4,750                     3,500                      62502‐Construction Materials and Supplies 16,250                   16,250                    62505‐Machinery and Equipment 6,000                     6,000                      62509‐Misc Materials and Supplies 9,000                     9,000                      63001‐Membership and Certifications 690                        690                         63002‐Education and Training 8,000                     8,000                      7006‐Aquatics 715,194                721,012                 51001‐Salaries ‐ Regular 81,703                   81,703                    51004‐Salaries ‐ Temporary 478,711                480,213                 51010‐Overtime 3,500                     3,500                      52001‐Retirement Contributions 21,032                   21,152                    52003‐PERS Unfunded Liability 29,622                   32,513                    53001‐Employee Group Insurance 24,234                   24,924                    53002‐Retiree Healthcare 1,664                     1,710                      55001‐Medicare 8,103                     8,125                      61001‐Advertising and Public Outreach 600                        600                         61013‐Other Contract Services 47,196                   48,543                    62002‐Office Supplies 600                        600                         62505‐Machinery and Equipment 5,000                     5,000                      62506‐Safety Materials and Supplies 2,000                     2,000                      62508‐Recreation Supplies 700                        700                         62509‐Misc Materials and Supplies 7,200                     6,400                      63001‐Membership and Certifications 330                        330                         63002‐Education and Training 3,000                     3,000                      Financial Plan Page 446 Page 966 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 7007‐Golf Course 840,627                866,226                 51001‐Salaries ‐ Regular 291,127                301,670                 51004‐Salaries ‐ Temporary 101,818                101,818                 51010‐Overtime 2,500                     2,500                      52001‐Retirement Contributions 25,112                   26,013                    52003‐PERS Unfunded Liability 68,297                   74,963                    53001‐Employee Group Insurance 42,984                   44,664                    53002‐Retiree Healthcare 3,837                     3,942                      55001‐Medicare 5,638                     5,789                      61001‐Advertising and Public Outreach 1,400                     1,400                      61005‐Data Processing Services 11,450                   11,700                    61011‐Maintenance 14,500                   14,500                    61013‐Other Contract Services 26,264                   26,567                    61501‐City Water Service 132,000                135,000                 61502‐City Sewer Service 3,500                     3,500                      61503‐Electric Service 10,000                   10,000                    61504‐Natural Gas Service 400                        400                         61506‐Solid Waste Service 4,600                     4,600                      62002‐Office Supplies 1,500                     1,500                      62501‐Chemicals 20,000                   20,000                    62502‐Construction Materials and Supplies 30,000                   30,000                    62506‐Safety Materials and Supplies 2,500                     2,500                      62509‐Misc Materials and Supplies 28,400                   28,400                    63001‐Membership and Certifications 1,800                     1,800                      63002‐Education and Training 3,000                     3,000                      65013‐Credit Cards Merchant Fees 8,000                     10,000                    7008‐Jack House 10,500                  10,500                   61001‐Advertising and Public Outreach 3,000                     3,000                      62508‐Recreation Supplies 7,500                     7,500                      Financial Plan Page 447 Page 967 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 Police 25,598,563          27,002,731           8001‐Police Administration 2,781,586             2,836,812              51001‐Salaries ‐ Regular 1,001,234             1,016,561              51010‐Overtime 2,100                     2,100                      52001‐Retirement Contributions 131,285                134,254                 52002‐Retirement PARS ‐ 401 2,679                     2,679                      52003‐PERS Unfunded Liability 299,068                328,255                 53001‐Employee Group Insurance 87,516                   90,672                    53002‐Retiree Healthcare 16,801                   17,263                    55001‐Medicare 14,019                   14,226                    61011‐Maintenance 2,000                     2,000                      61013‐Other Contract Services 829,401                833,319                 61501‐City Water Service 19,392                   19,392                    61502‐City Sewer Service 7,850                     7,850                      61503‐Electric Service 165,600                165,600                 61504‐Natural Gas Service 13,100                   13,100                    62002‐Office Supplies 8,700                     8,700                      62003‐Postage 6,900                     6,900                      62004‐Publications and Subscriptions 1,400                     1,400                      62007‐Employee Recognition 9,400                     9,400                      62008‐Furniture and Fixtures 7,700                     7,700                      62010‐Office Expenses ‐ Other 9,600                     9,600                      62507‐Public Safety Supplies 9,200                     9,200                      62509‐Misc Materials and Supplies 4,300                     4,300                      63001‐Membership and Certifications 4,540                     4,540                      63002‐Education and Training 123,200                123,200                 63003‐Trips and Meetings 4,100                     4,100                      65013‐Credit Cards Merchant Fees 500                        500                         Financial Plan Page 448 Page 968 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 8002‐Patrol 13,692,074          14,629,941           51001‐Salaries ‐ Regular 7,507,034             7,971,500              51010‐Overtime 307,065                307,065                 51018‐Call Back 203,705                203,705                 52001‐Retirement Contributions 1,034,227             1,095,573              52003‐PERS Unfunded Liability 3,307,480             3,630,266              53001‐Employee Group Insurance 857,832                894,276                 53002‐Retiree Healthcare 185,808                190,921                 55001‐Medicare 102,201                108,579                 61011‐Maintenance 32,300                   32,300                    61013‐Other Contract Services 1,656                     1,656                      62504‐Fuel 1,000                     1,000                      62505‐Machinery and Equipment ‐                         81,900                    62506‐Safety Materials and Supplies 81,266                   40,700                    62507‐Public Safety Supplies 59,500                   59,500                    62509‐Misc Materials and Supplies 11,000                   11,000                    8003‐Investigations 4,073,125             4,267,933              51001‐Salaries ‐ Regular 2,197,440             2,282,011              51010‐Overtime 198,837                198,837                 51017‐Standby 21,289                   21,289                    51018‐Call Back 44,683                   44,683                    52001‐Retirement Contributions 357,172                370,217                 52003‐PERS Unfunded Liability 870,467                955,418                 53001‐Employee Group Insurance 236,676                246,408                 53002‐Retiree Healthcare 48,901                   50,247                    55001‐Medicare 30,060                   31,223                    61013‐Other Contract Services 25,500                   25,500                    62507‐Public Safety Supplies 15,900                   15,900                    62509‐Misc Materials and Supplies 3,000                     3,000                      62512‐Investigative Supplies 23,200                   23,200                    Financial Plan Page 449 Page 969 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 8004‐Police Support Services 3,703,803             3,864,439              51001‐Salaries ‐ Regular 2,254,862             2,353,485              51010‐Overtime 25,895                   25,895                    51018‐Call Back 37,677                   37,677                    52001‐Retirement Contributions 165,993                172,998                 52003‐PERS Unfunded Liability 628,501                689,839                 53001‐Employee Group Insurance 251,184                260,652                 53002‐Retiree Healthcare 35,308                   36,280                    55001‐Medicare 31,208                   32,579                    61005‐Data Processing Services 30,700                   30,700                    61013‐Other Contract Services 230,475                212,335                 61505‐Communication Service 2,000                     2,000                      62002‐Office Supplies 8,000                     8,000                      62509‐Misc Materials and Supplies 2,000                     2,000                      8005‐Neighborhood Services 327,043                332,286                 51001‐Salaries ‐ Regular 126,550                126,550                 51004‐Salaries ‐ Temporary 90,244                   92,496                    52001‐Retirement Contributions 8,345                     8,345                      52003‐PERS Unfunded Liability 29,843                   32,756                    53001‐Employee Group Insurance 9,480                     9,480                      53002‐Retiree Healthcare 1,677                     1,723                      55001‐Medicare 3,104                     3,136                      61001‐Advertising and Public Outreach 20,000                   20,000                    61013‐Other Contract Services 27,000                   27,000                    62509‐Misc Materials and Supplies 5,800                     5,800                      63002‐Education and Training 5,000                     5,000                      8006‐Traffic Safety 1,020,933             1,071,320              51001‐Salaries ‐ Regular 509,048                529,427                 51010‐Overtime 59,370                   59,370                    51018‐Call Back 21,414                   21,414                    52001‐Retirement Contributions 91,807                   95,464                    52003‐PERS Unfunded Liability 234,555                257,446                 53001‐Employee Group Insurance 62,736                   65,556                    53002‐Retiree Healthcare 13,177                   13,539                    55001‐Medicare 6,926                     7,203                      61011‐Maintenance 2,900                     2,900                      62010‐Office Expenses ‐ Other 800                        800                         62504‐Fuel 7,000                     7,000                      62505‐Machinery and Equipment 2,400                     2,400                      62506‐Safety Materials and Supplies 3,300                     3,300                      62509‐Misc Materials and Supplies 5,500                     5,500                      Financial Plan Page 450 Page 970 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 Public Works 27,371,164          28,950,497           5001‐Public Works Administration 1,519,014             1,559,656              51001‐Salaries ‐ Regular 989,805                999,766                 51010‐Overtime 1,200                     1,200                      52001‐Retirement Contributions 74,411                   75,187                    52002‐Retirement PARS ‐ 401 2,224                     2,224                      52003‐PERS Unfunded Liability 249,559                273,914                 53001‐Employee Group Insurance 124,254                129,276                 53002‐Retiree Healthcare 14,020                   14,406                    55001‐Medicare 14,150                   14,292                    61008‐Parking 540                        540                         61013‐Other Contract Services 5,000                     5,000                      62001‐Print and Reproduction 1,000                     1,000                      62002‐Office Supplies 4,000                     4,000                      62004‐Publications and Subscriptions 228                        228                         62007‐Employee Recognition 6,000                     6,000                      62009‐Software Licensing and Maint Agreements 1,605                     1,605                      62509‐Misc Materials and Supplies 2,800                     2,800                      63001‐Membership and Certifications 19,719                   19,719                    63002‐Education and Training 7,500                     7,500                      63003‐Trips and Meetings 1,000                     1,000                      Financial Plan Page 451 Page 971 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5002‐Parks Maintenance 4,189,120             4,275,368              51001‐Salaries ‐ Regular 1,139,361             1,184,325              51004‐Salaries ‐ Temporary 145,194                148,130                 51010‐Overtime 18,500                   18,500                    51017‐Standby 18,500                   18,500                    51018‐Call Back 1,000                     1,000                      52001‐Retirement Contributions 111,516                115,838                 52003‐PERS Unfunded Liability 236,642                259,736                 53001‐Employee Group Insurance 235,296                244,368                 53002‐Retiree Healthcare 13,294                   13,660                    55001‐Medicare 18,044                   18,739                    61011‐Maintenance 9,000                     9,000                      61013‐Other Contract Services 974,330                1,002,914              61501‐City Water Service 784,974                749,913                 61502‐City Sewer Service 72,326                   73,772                    61503‐Electric Service 154,188                157,272                 61506‐Solid Waste Service 29,676                   30,269                    62001‐Print and Reproduction 1,500                     1,500                      62002‐Office Supplies 500                        500                         62004‐Publications and Subscriptions 300                        300                         62009‐Software Licensing and Maint Agreements 4,769                     4,923                      62501‐Chemicals 15,000                   17,000                    62502‐Construction Materials and Supplies 28,250                   28,250                    62503‐Equipment Maintenance Supplies 30,000                   30,000                    62506‐Safety Materials and Supplies 9,000                     9,000                      62509‐Misc Materials and Supplies 124,500                124,500                 63001‐Membership and Certifications 3,460                     3,460                      63002‐Education and Training 10,000                   10,000                    Financial Plan Page 452 Page 972 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5003‐Swim Center Maintenance 694,394                705,891                 51001‐Salaries ‐ Regular 86,156                   86,156                    51004‐Salaries ‐ Temporary 23,442                   23,442                    51010‐Overtime 4,500                     4,500                      51017‐Standby 5,400                     5,400                      51018‐Call Back 700                        700                         52001‐Retirement Contributions 10,512                   10,512                    52003‐PERS Unfunded Liability 19,819                   21,754                    53001‐Employee Group Insurance 9,480                     9,480                      53002‐Retiree Healthcare 1,113                     1,144                      55001‐Medicare 1,565                     1,565                      61009‐Regulatory Fees 1,000                     1,000                      61013‐Other Contract Services 20,300                   20,300                    61501‐City Water Service 86,349                   88,076                    61502‐City Sewer Service 85,307                   87,013                    61503‐Electric Service 99,033                   101,013                 61504‐Natural Gas Service 94,597                   96,489                    61506‐Solid Waste Service 3,121                     3,184                      62501‐Chemicals 100,000                102,164                 62502‐Construction Materials and Supplies 5,900                     5,900                      62503‐Equipment Maintenance Supplies 22,300                   22,300                    62506‐Safety Materials and Supplies 1,100                     1,100                      62509‐Misc Materials and Supplies 9,500                     9,500                      63002‐Education and Training 3,200                     3,200                      5004‐Urban Forest Services 214,065                225,075                 51001‐Salaries ‐ Regular 117,128                123,186                 51010‐Overtime 4,500                     4,500                      52001‐Retirement Contributions 11,213                   11,804                    52003‐PERS Unfunded Liability 37,959                   41,663                    53001‐Employee Group Insurance 8,220                     8,592                      53002‐Retiree Healthcare 2,132                     2,191                      55001‐Medicare 1,669                     1,757                      61011‐Maintenance 500                        500                         61013‐Other Contract Services 4,750                     4,750                      62001‐Print and Reproduction 250                        250                         62002‐Office Supplies 100                        100                         62009‐Software Licensing and Maint Agreements 4,640                     4,779                      62506‐Safety Materials and Supplies 3,244                     3,244                      62509‐Misc Materials and Supplies 11,479                   11,479                    63001‐Membership and Certifications 1,780                     1,780                      63002‐Education and Training 4,500                     4,500                      Financial Plan Page 453 Page 973 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5005‐Facilities Maintenance 1,532,058             1,559,179              51001‐Salaries ‐ Regular 424,779                429,960                 51010‐Overtime 8,000                     8,000                      51017‐Standby 14,300                   14,300                    51018‐Call Back 7,000                     7,000                      52001‐Retirement Contributions 37,911                   38,415                    52003‐PERS Unfunded Liability 100,408                110,208                 53001‐Employee Group Insurance 76,614                   80,028                    53002‐Retiree Healthcare 5,641                     5,796                      55001‐Medicare 6,112                     6,187                      61009‐Regulatory Fees 450                        450                         61013‐Other Contract Services 318,300                318,300                 61501‐City Water Service 28,682                   29,256                    61502‐City Sewer Service 26,788                   27,324                    61503‐Electric Service 317,419                323,767                 61504‐Natural Gas Service 36,120                   36,843                    61506‐Solid Waste Service 42,998                   43,858                    62001‐Print and Reproduction 500                        500                         62002‐Office Supplies 500                        500                         62009‐Software Licensing and Maint Agreements 4,771                     4,923                      62502‐Construction Materials and Supplies 17,800                   17,800                    62503‐Equipment Maintenance Supplies 5,300                     5,300                      62506‐Safety Materials and Supplies 3,064                     3,064                      62509‐Misc Materials and Supplies 44,100                   42,900                    63002‐Education and Training 3,000                     3,000                      63003‐Trips and Meetings 1,500                     1,500                      Financial Plan Page 454 Page 974 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5006‐Street/Sidewalk Maintenance 2,623,508             2,682,950              51001‐Salaries ‐ Regular 1,070,415             1,096,250              51004‐Salaries ‐ Temporary 46,883                   46,883                    51010‐Overtime 9,700                     9,700                      51017‐Standby 18,500                   18,500                    51018‐Call Back 2,500                     2,500                      52001‐Retirement Contributions 96,627                   98,876                    52003‐PERS Unfunded Liability 227,356                249,544                 53001‐Employee Group Insurance 188,304                196,608                 53002‐Retiree Healthcare 12,772                   13,124                    55001‐Medicare 16,011                   16,386                    61013‐Other Contract Services 511,500                511,500                 61506‐Solid Waste Service 25,000                   25,000                    62001‐Print and Reproduction 3,000                     3,000                      62002‐Office Supplies 100                        100                         62009‐Software Licensing and Maint Agreements 4,640                     4,779                      62502‐Construction Materials and Supplies 290,000                290,000                 62506‐Safety Materials and Supplies 8,400                     8,400                      62509‐Misc Materials and Supplies 87,500                   87,500                    63002‐Education and Training 4,300                     4,300                      5007‐Traffic Signals and Lighting 662,397                676,702                 51001‐Salaries ‐ Regular 177,884                180,831                 51010‐Overtime 2,400                     2,400                      51017‐Standby 13,300                   13,300                    51018‐Call Back 1,200                     1,200                      52001‐Retirement Contributions 17,056                   17,343                    52003‐PERS Unfunded Liability 40,075                   43,986                    53001‐Employee Group Insurance 43,980                   45,960                    53002‐Retiree Healthcare 2,251                     2,313                      55001‐Medicare 2,539                     2,582                      61013‐Other Contract Services 15,000                   15,000                    61503‐Electric Service 264,180                269,000                 62002‐Office Supplies 100                        100                         62009‐Software Licensing and Maint Agreements 13,000                   13,255                    62506‐Safety Materials and Supplies 1,032                     1,032                      62509‐Misc Materials and Supplies 65,400                   65,400                    63002‐Education and Training 3,000                     3,000                      Financial Plan Page 455 Page 975 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5008‐Fleet 1,532,870             1,552,683              51001‐Salaries ‐ Regular 440,613                448,415                 51010‐Overtime 9,500                     9,500                      51018‐Call Back 1,000                     1,000                      52001‐Retirement Contributions 39,436                   40,186                    52003‐PERS Unfunded Liability 86,660                   95,117                    53001‐Employee Group Insurance 77,448                   80,004                    53002‐Retiree Healthcare 4,868                     5,002                      55001‐Medicare 6,334                     6,447                      61009‐Regulatory Fees 12,000                   12,000                    61013‐Other Contract Services 186,000                186,000                 62002‐Office Supplies 1,000                     1,000                      62007‐Employee Recognition 250                        250                         62009‐Software Licensing and Maint Agreements 14,362                   14,362                    62501‐Chemicals 14,500                   14,500                    62503‐Equipment Maintenance Supplies 192,700                192,700                 62504‐Fuel 420,000                420,000                 62506‐Safety Materials and Supplies 3,100                     3,100                      62509‐Misc Materials and Supplies 16,700                   16,700                    63001‐Membership and Certifications 1,500                     1,500                      63002‐Education and Training 4,500                     4,500                      63003‐Trips and Meetings 400                        400                         5009‐CIP Project Eng 3,186,264             3,301,959              51001‐Salaries ‐ Regular 2,062,466             2,109,487              51004‐Salaries ‐ Temporary 82,525                   92,765                    51010‐Overtime 6,900                     6,900                      52001‐Retirement Contributions 178,687                182,625                 52003‐PERS Unfunded Liability 455,497                499,950                 53001‐Employee Group Insurance 209,860                218,341                 53002‐Retiree Healthcare 25,589                   26,293                    55001‐Medicare 30,153                   30,842                    61001‐Advertising and Public Outreach 1,800                     1,800                      61008‐Parking 4,860                     4,860                      61009‐Regulatory Fees 2,510                     2,510                      61013‐Other Contract Services 20,000                   20,000                    62001‐Print and Reproduction 2,500                     2,500                      62002‐Office Supplies 3,500                     3,500                      62009‐Software Licensing and Maint Agreements 65,574                   65,744                    62506‐Safety Materials and Supplies 3,026                     3,026                      62509‐Misc Materials and Supplies 5,000                     5,000                      63001‐Membership and Certifications 3,817                     3,817                      63002‐Education and Training 18,500                   18,500                    63003‐Trips and Meetings 3,500                     3,500                      Financial Plan Page 456 Page 976 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5010‐Transportation Plan and Eng 939,215                974,106                 51001‐Salaries ‐ Regular 575,130                591,292                 51004‐Salaries ‐ Temporary 41,579                   42,619                    51010‐Overtime 1,600                     1,600                      52001‐Retirement Contributions 51,210                   52,690                    52003‐PERS Unfunded Liability 130,298                143,014                 53001‐Employee Group Insurance 70,794                   73,836                    53002‐Retiree Healthcare 7,320                     7,521                      55001‐Medicare 8,938                     9,188                      61001‐Advertising and Public Outreach 2,000                     2,000                      61008‐Parking 2,160                     2,160                      61013‐Other Contract Services 15,000                   15,000                    62001‐Print and Reproduction 250                        250                         62002‐Office Supplies 1,600                     1,600                      62004‐Publications and Subscriptions 1,500                     1,500                      62009‐Software Licensing and Maint Agreements 17,000                   17,000                    62506‐Safety Materials and Supplies 416                        416                         62509‐Misc Materials and Supplies 1,700                     1,700                      63001‐Membership and Certifications 1,820                     1,820                      63002‐Education and Training 7,100                     7,100                      63003‐Trips and Meetings 1,800                     1,800                      5011‐Active Transportation 265,487                271,680                 51001‐Salaries ‐ Regular 169,288                171,148                 51004‐Salaries ‐ Temporary 2,822                     2,892                      52001‐Retirement Contributions 11,408                   11,543                    52003‐PERS Unfunded Liability 38,023                   41,733                    53001‐Employee Group Insurance 16,597                   16,913                    53002‐Retiree Healthcare 2,136                     2,195                      55001‐Medicare 2,453                     2,481                      61001‐Advertising and Public Outreach 10,000                   10,000                    62001‐Print and Reproduction 250                        250                         62002‐Office Supplies 300                        300                         62009‐Software Licensing and Maint Agreements 431                        444                         63001‐Membership and Certifications 10,000                   10,000                    63002‐Education and Training 280                        280                         63003‐Trips and Meetings 1,500                     1,500                      Financial Plan Page 457 Page 977 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5101‐Parking Admin 3,950,382             4,049,250              51001‐Salaries ‐ Regular 1,206,515             1,246,538              51004‐Salaries ‐ Temporary 364,435                377,750                 51010‐Overtime 8,000                     8,000                      51017‐Standby 4,500                     4,500                      51018‐Call Back 800                        800                         52001‐Retirement Contributions 116,970                120,339                 52003‐PERS Unfunded Liability 271,504                298,001                 53001‐Employee Group Insurance 189,251                197,373                 53002‐Retiree Healthcare 15,253                   15,672                    55001‐Medicare 22,623                   23,396                    61001‐Advertising and Public Outreach 30,200                   20,200                    61005‐Data Processing Services 90,200                   90,200                    61008‐Parking 15,000                   15,000                    61011‐Maintenance 96,000                   96,000                    61013‐Other Contract Services 638,380                641,340                 61501‐City Water Service 5,950                     6,936                      61502‐City Sewer Service 600                        700                         61503‐Electric Service 269,280                274,666                 61506‐Solid Waste Service 6,426                     7,344                      62001‐Print and Reproduction 66,000                   63,000                    62002‐Office Supplies 5,000                     5,000                      62009‐Software Licensing and Maint Agreements 10,000                   19,000                    62503‐Equipment Maintenance Supplies 16,000                   16,000                    62509‐Misc Materials and Supplies 26,525                   26,525                    63001‐Membership and Certifications 1,320                     1,320                      63002‐Education and Training 8,500                     8,500                      63003‐Trips and Meetings 7,500                     7,500                      65013‐Credit Cards Merchant Fees 457,650                457,650                 Financial Plan Page 458 Page 978 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 5201‐Transit Ops and Maint 5,992,190             7,045,797              51001‐Salaries ‐ Regular 242,965                250,628                 51004‐Salaries ‐ Temporary 21,393                   21,393                    51010‐Overtime 2,500                     2,500                      52001‐Retirement Contributions 19,797                   20,382                    52003‐PERS Unfunded Liability 50,802                   55,760                    53001‐Employee Group Insurance 43,143                   44,980                    53002‐Retiree Healthcare 2,854                     2,932                      55001‐Medicare 3,803                     3,913                      61001‐Advertising and Public Outreach 30,000                   20,000                    61003‐Auditing and Accounting Fees 5,600                     5,600                      61005‐Data Processing Services 70,150                   70,150                    61008‐Parking 1,620                     1,620                      61009‐Regulatory Fees 4,800                     9,600                      61011‐Maintenance 382,180                346,615                 61013‐Other Contract Services 72,100                   72,100                    61016‐Purchased Transportation 4,481,353             5,580,494              61503‐Electric Service 22,500                   22,500                    62001‐Print and Reproduction 25,000                   25,000                    62002‐Office Supplies 1,000                     1,000                      62008‐Furniture and Fixtures 1,000                     1,000                      62009‐Software Licensing and Maint Agreements 51,000                   51,000                    62504‐Fuel 440,000                420,000                 62509‐Misc Materials and Supplies 2,500                     2,500                      63001‐Membership and Certifications 3,330                     3,330                      63002‐Education and Training 1,000                     1,000                      63003‐Trips and Meetings 6,000                     6,000                      65013‐Credit Cards Merchant Fees 3,800                     3,800                      5302 ‐ Flood Control 70,200                  70,200                   61013‐Other Contract Services 70,200                   70,200                    Financial Plan Page 459 Page 979 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 Utilities 40,969,852          37,735,922           5301‐Stormwater 1,007,153             1,038,550              51001‐Salaries ‐ Regular 563,304                577,777                 51010‐Overtime 4,600                     4,600                      51018‐Call Back 300                        300                         52001‐Retirement Contributions 49,813                   51,045                    52003‐PERS Unfunded Liability 137,985                151,451                 53001‐Employee Group Insurance 86,007                   89,235                    53002‐Retiree Healthcare 7,752                     7,965                      55001‐Medicare 8,087                     8,297                      61005‐Data Processing Services 1,000                     1,000                      61009‐Regulatory Fees 18,500                   18,500                    61013‐Other Contract Services 61,200                   59,700                    61503‐Electric Service 500                        500                         62002‐Office Supplies 1,000                     1,000                      62009‐Software Licensing and Maint Agreements 16,505                   16,505                    62503‐Equipment Maintenance Supplies 2,400                     2,400                      62506‐Safety Materials and Supplies 2,850                     2,850                      62509‐Misc Materials and Supplies 34,675                   34,675                    63001‐Membership and Certifications 3,175                     3,250                      63002‐Education and Training 7,500                     7,500                      Financial Plan Page 460 Page 980 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6001‐Water Administration/Engineering 1,917,575             1,941,752              51001‐Salaries ‐ Regular 814,609                825,471                 51003‐Salaries ‐ Contract 54,893                   112,294                 51004‐Salaries ‐ Temporary 47,540                   47,540                    51010‐Overtime 5,000                     5,000                      52001‐Retirement Contributions 64,909                   71,375                    52002‐Retirement PARS ‐ 401 890                        890                         52003‐PERS Unfunded Liability 169,999                186,590                 53001‐Employee Group Insurance 99,998                   111,927                 53002‐Retiree Healthcare 9,550                     9,813                      55001‐Medicare 12,538                   13,528                    61001‐Advertising and Public Outreach 95,000                   95,000                    61007‐Legal Services 90,000                   90,000                    61008‐Parking 8,640                     9,072                      61013‐Other Contract Services 144,892                73,796                    61501‐City Water Service 400                        400                         61502‐City Sewer Service 330                        350                         61503‐Electric Service 3,785                     3,785                      61504‐Natural Gas Service 900                        1,000                      61505‐Communication Service 2,500                     2,750                      62002‐Office Supplies 2,500                     2,500                      62004‐Publications and Subscriptions 2,500                     2,500                      62007‐Employee Recognition 1,100                     1,100                      62009‐Software Licensing and Maint Agreements 41,222                   41,222                    62010‐Office Expenses ‐ Other 13,000                   2,750                      62506‐Safety Materials and Supplies 1,950                     1,950                      63001‐Membership and Certifications 9,390                     9,610                      63002‐Education and Training 15,050                   15,050                    65013‐Credit Cards Merchant Fees 204,490                204,490                 Financial Plan Page 461 Page 981 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6002‐Water Source of Supply 17,204,493          13,638,854           51001‐Salaries ‐ Regular 134,440                135,141                 52001‐Retirement Contributions 12,421                   12,489                    52003‐PERS Unfunded Liability 30,298                   33,254                    53001‐Employee Group Insurance 22,113                   23,089                    53002‐Retiree Healthcare 1,702                     1,749                      55001‐Medicare 1,913                     1,923                      61012‐Water Supply 60,300                   62,712                    61013‐Other Contract Services 17,000                   12,000                    61017‐Nacimiento Contribution for Operations & Maintenance 1,659,694             1,726,082              61018‐Nacimiento Contribution for Electric Service 953,303                1,273,959              61019‐Nacimiento Contribution for Capital Projects 816,851                464,796                 61020‐Nacimiento Contribution for Debt Service 4,622,040             4,615,844              61021‐Salinas Contribution for Operations & Maintenance 1,334,391             1,387,767              61022‐Salinas Contribution for Electric Service 275,000                164,594                 61023‐Salinas Contribution for Capital Projects 5,010,000             1,042,900              61024‐Whale Rock Contribution for Operations & Maintenance 778,947                777,909                 61025‐Whale Rock Contribution for Electric Service 306,306                292,383                 61026‐Whale Rock Contribution for Capital Projects 866,875                1,318,362              61027‐Control Systems 9,100                     9,100                      61503‐Electric Service 107,000                118,000                 62501‐Chemicals 45,000                   45,000                    62503‐Equipment Maintenance Supplies 7,000                     7,000                      62509‐Misc Materials and Supplies 131,000                111,000                 63001‐Membership and Certifications 1,800                     1,800                      Financial Plan Page 462 Page 982 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6003‐Water Treatment 4,731,336             4,816,700              51001‐Salaries ‐ Regular 1,465,227             1,506,461              51004‐Salaries ‐ Temporary 42,619                   43,680                    51010‐Overtime 70,992                   70,992                    51017‐Standby 19,500                   19,500                    51018‐Call Back 10,000                   10,000                    52001‐Retirement Contributions 133,626                140,533                 52003‐PERS Unfunded Liability 315,861                346,687                 53001‐Employee Group Insurance 220,628                238,645                 53002‐Retiree Healthcare 17,744                   18,233                    55001‐Medicare 21,212                   22,258                    61005‐Data Processing Services 1,100                     1,100                      61013‐Other Contract Services 555,757                504,891                 61027‐Control Systems 14,543                   14,543                    61503‐Electric Service 850,000                850,000                 61505‐Communication Service 6,500                     7,150                      61506‐Solid Waste Service 7,333                     7,333                      62002‐Office Supplies 3,020                     3,020                      62004‐Publications and Subscriptions 300                        300                         62007‐Employee Recognition 1,300                     1,300                      62009‐Software Licensing and Maint Agreements 260                        260                         62501‐Chemicals 732,504                747,504                 62502‐Construction Materials and Supplies 35,500                   36,500                    62503‐Equipment Maintenance Supplies 90,450                   112,950                 62506‐Safety Materials and Supplies 29,560                   29,560                    62509‐Misc Materials and Supplies 61,800                   59,300                    63001‐Membership and Certifications 3,500                     3,500                      63002‐Education and Training 20,500                   20,500                    Financial Plan Page 463 Page 983 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6004‐Water Distribution 2,164,225             2,228,890              51001‐Salaries ‐ Regular 1,037,005             1,058,432              51010‐Overtime 25,000                   27,000                    51017‐Standby 19,000                   19,000                    51018‐Call Back 45,000                   45,000                    52001‐Retirement Contributions 95,951                   98,023                    52003‐PERS Unfunded Liability 243,840                267,637                 53001‐Employee Group Insurance 155,741                162,597                 53002‐Retiree Healthcare 13,698                   14,075                    55001‐Medicare 14,864                   15,173                    61005‐Data Processing Services 9,786                     9,786                      61011‐Maintenance 1,000                     1,000                      61013‐Other Contract Services 120,918                121,238                 61027‐Control Systems 24,997                   26,198                    61503‐Electric Service 45,738                   50,312                    61505‐Communication Service 17,300                   19,030                    62002‐Office Supplies 1,550                     1,550                      62003‐Postage 150                        150                         62007‐Employee Recognition 1,300                     1,300                      62008‐Furniture and Fixtures 300                        300                         62010‐Office Expenses ‐ Other 2,000                     2,000                      62501‐Chemicals 300                        300                         62502‐Construction Materials and Supplies 175,099                175,099                 62503‐Equipment Maintenance Supplies 23,000                   23,000                    62506‐Safety Materials and Supplies 15,798                   15,798                    62509‐Misc Materials and Supplies 42,990                   42,990                    63001‐Membership and Certifications 4,400                     4,400                      63002‐Education and Training 27,500                   27,500                    Financial Plan Page 464 Page 984 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6005‐Water Resources 698,174                710,971                 51001‐Salaries ‐ Regular 420,171                420,890                 51010‐Overtime 5,000                     5,000                      52001‐Retirement Contributions 36,746                   36,816                    52003‐PERS Unfunded Liability 93,537                   102,666                 53001‐Employee Group Insurance 54,624                   57,048                    53002‐Retiree Healthcare 5,255                     5,399                      55001‐Medicare 6,051                     6,061                      61005‐Data Processing Services 6,466                     6,466                      61013‐Other Contract Services 15,000                   15,000                    61505‐Communication Service 3,000                     3,300                      62001‐Print and Reproduction 1,000                     1,000                      62002‐Office Supplies 600                        600                         62003‐Postage 2,500                     2,500                      62007‐Employee Recognition 400                        400                         62506‐Safety Materials and Supplies 1,425                     1,425                      62509‐Misc Materials and Supplies 32,700                   32,700                    63001‐Membership and Certifications 7,700                     7,700                      63002‐Education and Training 5,000                     5,000                      63003‐Trips and Meetings 1,000                     1,000                      Financial Plan Page 465 Page 985 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6101‐Wastewater Admin and Eng 2,012,642             2,045,436              51001‐Salaries ‐ Regular 933,893                948,211                 51003‐Salaries ‐ Contract 54,893                   112,294                 51004‐Salaries ‐ Temporary 49,442                   49,442                    51010‐Overtime 5,000                     5,000                      52001‐Retirement Contributions 80,288                   87,031                    52002‐Retirement PARS ‐ 401 1,112                     1,112                      52003‐PERS Unfunded Liability 203,059                222,876                 53001‐Employee Group Insurance 119,120                131,794                 53002‐Retiree Healthcare 11,407                   11,721                    55001‐Medicare 14,942                   15,982                    61001‐Advertising and Public Outreach 50,000                   50,000                    61007‐Legal Services 75,000                   50,000                    61008‐Parking 5,400                     5,670                      61013‐Other Contract Services 82,563                   37,233                    61028‐Personnel Services 20,100                   20,100                    61501‐City Water Service 400                        400                         61502‐City Sewer Service 330                        350                         61503‐Electric Service 3,785                     3,785                      61504‐Natural Gas Service 900                        1,000                      61505‐Communication Service 3,000                     3,300                      62002‐Office Supplies 2,500                     2,500                      62004‐Publications and Subscriptions 2,500                     2,500                      62007‐Employee Recognition 1,100                     1,100                      62009‐Software Licensing and Maint Agreements 38,410                   38,785                    62010‐Office Expenses ‐ Other 13,000                   2,750                      62506‐Safety Materials and Supplies 2,150                     2,150                      63001‐Membership and Certifications 16,610                   16,610                    63002‐Education and Training 17,250                   17,250                    65013‐Credit Cards Merchant Fees 204,490                204,490                 Financial Plan Page 466 Page 986 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6102‐Wastewater Collection 1,789,332             1,825,081              51001‐Salaries ‐ Regular 932,059                945,318                 51010‐Overtime 7,000                     7,500                      51017‐Standby 16,000                   16,500                    51018‐Call Back 34,000                   34,500                    52001‐Retirement Contributions 87,445                   88,650                    52003‐PERS Unfunded Liability 188,892                207,327                 53001‐Employee Group Insurance 147,629                153,665                 53002‐Retiree Healthcare 10,612                   10,904                    55001‐Medicare 13,440                   13,632                    61009‐Regulatory Fees 5,200                     5,260                      61013‐Other Contract Services 57,700                   57,800                    61027‐Control Systems 12,200                   12,450                    61503‐Electric Service 39,098                   39,098                    61504‐Natural Gas Service 1,125                     1,125                      61505‐Communication Service 14,500                   14,500                    62002‐Office Supplies 2,500                     2,500                      62007‐Employee Recognition 900                        900                         62009‐Software Licensing and Maint Agreements 36,060                   36,380                    62010‐Office Expenses ‐ Other 1,500                     3,500                      62502‐Construction Materials and Supplies 72,775                   73,775                    62503‐Equipment Maintenance Supplies 31,763                   31,763                    62506‐Safety Materials and Supplies 12,960                   12,960                    62509‐Misc Materials and Supplies 26,800                   26,800                    63001‐Membership and Certifications 5,275                     5,275                      63002‐Education and Training 31,400                   22,500                    63003‐Trips and Meetings 500                        500                         Financial Plan Page 467 Page 987 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6103‐Environmental Programs 460,245                352,699                 51001‐Salaries ‐ Regular 149,937                157,836                 51010‐Overtime 4,000                     1,500                      52001‐Retirement Contributions 14,604                   15,373                    52003‐PERS Unfunded Liability 63,751                   69,973                    53001‐Employee Group Insurance 21,948                   22,898                    53002‐Retiree Healthcare 3,581                     3,680                      55001‐Medicare 2,174                     2,289                      61001‐Advertising and Public Outreach 2,000                     2,000                      61013‐Other Contract Services 173,200                53,600                    61505‐Communication Service 3,000                     3,000                      62001‐Print and Reproduction 500                        500                         62002‐Office Supplies 3,000                     1,000                      62004‐Publications and Subscriptions 1,000                     1,000                      62007‐Employee Recognition 200                        200                         62009‐Software Licensing and Maint Agreements 6,000                     6,500                      62506‐Safety Materials and Supplies 1,100                     1,100                      62509‐Misc Materials and Supplies 2,750                     2,750                      63001‐Membership and Certifications 1,000                     1,000                      63002‐Education and Training 6,000                     6,000                      63003‐Trips and Meetings 500                        500                         Financial Plan Page 468 Page 988 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6104‐Water Resource Recovery 5,299,236             5,387,774              51001‐Salaries ‐ Regular 1,368,249             1,382,511              51010‐Overtime 37,000                   37,000                    51017‐Standby 19,500                   19,500                    51018‐Call Back 12,500                   12,500                    52001‐Retirement Contributions 128,148                129,536                 52003‐PERS Unfunded Liability 314,327                345,003                 53001‐Employee Group Insurance 174,716                181,916                 53002‐Retiree Healthcare 17,658                   18,144                    55001‐Medicare 19,654                   19,861                    61009‐Regulatory Fees 97,955                   93,933                    61013‐Other Contract Services 972,150                997,150                 61501‐City Water Service 7,100                     7,100                      61502‐City Sewer Service 7,000                     7,000                      61503‐Electric Service 1,148,000             1,148,000              61504‐Natural Gas Service 27,000                   27,000                    61505‐Communication Service 12,000                   12,000                    61506‐Solid Waste Service 30,000                   30,000                    62002‐Office Supplies 18,500                   18,500                    62007‐Employee Recognition 1,300                     1,300                      62009‐Software Licensing and Maint Agreements 34,000                   34,000                    62501‐Chemicals 568,100                600,440                 62502‐Construction Materials and Supplies 17,000                   17,000                    62503‐Equipment Maintenance Supplies 182,500                167,500                 62506‐Safety Materials and Supplies 31,880                   27,880                    62509‐Misc Materials and Supplies 20,000                   20,000                    63001‐Membership and Certifications 7,000                     7,000                      63002‐Education and Training 26,000                   26,000                    Financial Plan Page 469 Page 989 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6105‐Utility Billing 699,927                714,000                 51001‐Salaries ‐ Regular 184,730                192,062                 51010‐Overtime 3,000                     3,000                      52001‐Retirement Contributions 17,993                   18,707                    52003‐PERS Unfunded Liability 31,314                   34,370                    53001‐Employee Group Insurance 26,814                   27,876                    53002‐Retiree Healthcare 1,759                     1,808                      55001‐Medicare 2,679                     2,785                      61005‐Data Processing Services 60,000                   61,600                    61013‐Other Contract Services 247,280                247,280                 62001‐Print and Reproduction 32,545                   32,622                    62002‐Office Supplies 500                        500                         62003‐Postage 85,814                   85,891                    62007‐Employee Recognition 300                        300                         62505‐Machinery and Equipment 750                        750                         62509‐Misc Materials and Supplies 250                        250                         63002‐Education and Training 3,000                     3,000                      63003‐Trips and Meetings 1,200                     1,200                      6106‐Water Quality Lab 860,110                883,530                 51001‐Salaries ‐ Regular 411,007                425,244                 51010‐Overtime 9,000                     9,000                      52001‐Retirement Contributions 35,917                   37,142                    52003‐PERS Unfunded Liability 92,654                   101,697                 53001‐Employee Group Insurance 68,970                   72,077                    53002‐Retiree Healthcare 5,205                     5,348                      55001‐Medicare 5,890                     6,095                      61009‐Regulatory Fees 8,000                     8,500                      61013‐Other Contract Services 142,790                136,550                 61505‐Communication Service 2,800                     3,000                      62002‐Office Supplies 1,200                     1,200                      62004‐Publications and Subscriptions 450                        450                         62007‐Employee Recognition 500                        500                         62506‐Safety Materials and Supplies 5,350                     5,350                      62509‐Misc Materials and Supplies 53,500                   53,500                    63001‐Membership and Certifications 4,877                     4,877                      63002‐Education and Training 12,000                   13,000                    Financial Plan Page 470 Page 990 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6107‐Solid Waste Recycling 374,511                391,662                 51001‐Salaries ‐ Regular 207,689                217,362                 51010‐Overtime 4,000                     4,000                      52001‐Retirement Contributions 16,711                   17,507                    52003‐PERS Unfunded Liability 46,286                   50,803                    53001‐Employee Group Insurance 43,980                   45,960                    53002‐Retiree Healthcare 2,600                     2,672                      55001‐Medicare 3,008                     3,148                      61001‐Advertising and Public Outreach 10,000                   3,200                      61008‐Parking 2,040                     2,040                      61013‐Other Contract Services 24,500                   35,000                    62001‐Print and Reproduction 2,500                     500                         62002‐Office Supplies 1,000                     200                         62004‐Publications and Subscriptions 192                        200                         62506‐Safety Materials and Supplies 634                        ‐                          62509‐Misc Materials and Supplies 800                        500                         63001‐Membership and Certifications 1,070                     1,070                      63002‐Education and Training 6,000                     6,000                      63003‐Trips and Meetings 1,500                     1,500                      Financial Plan Page 471 Page 991 of 994 Operating Budget Line Item Detail (All Funds)FY 2025‐26 FY 2026‐27 6201‐Reservoir Operations 1,750,891             1,760,024              51001‐Salaries ‐ Regular 479,824                482,568                 51010‐Overtime 3,000                     3,000                      51017‐Standby 22,245                   22,245                    51018‐Call Back 4,000                     4,000                      52001‐Retirement Contributions 39,372                   39,594                    52002‐Retirement PARS ‐ 401 222                        222                         52003‐PERS Unfunded Liability 110,015                120,752                 53001‐Employee Group Insurance 59,069                   61,481                    53002‐Retiree Healthcare 6,180                     6,351                      55001‐Medicare 6,903                     6,942                      61005‐Data Processing Services 6,466                     6,466                      61007‐Legal Services 20,000                   20,000                    61011‐Maintenance 16,200                   16,200                    61013‐Other Contract Services 118,650                134,000                 61027‐Control Systems 12,978                   12,653                    61503‐Electric Service 723,418                700,400                 61505‐Communication Service 15,500                   16,100                    61506‐Solid Waste Service 3,600                     3,600                      62002‐Office Supplies 1,500                     1,500                      62007‐Employee Recognition 500                        500                         62501‐Chemicals 700                        700                         62502‐Construction Materials and Supplies 5,900                     6,000                      62503‐Equipment Maintenance Supplies 5,500                     5,500                      62506‐Safety Materials and Supplies 62,150                   62,150                    62509‐Misc Materials and Supplies 18,800                   18,900                    63001‐Membership and Certifications 600                        600                         63002‐Education and Training 6,100                     6,100                      63003‐Trips and Meetings 1,500                     1,500                      Financial Plan Page 472 Page 992 of 994 R _____ RESOLUTION NO. ______ (2025 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ADOPTING THE 2025-27 FINANCIAL PLAN AND FISCAL YEAR 2025-26 BUDGET WHEREAS, in accordance with San Luis Obispo Charter Section 802, the City Manager has submitted the 2025-27 Financial Plan to the Council for review and consideration consistent with established budget and fiscal policies; and WHEREAS, the preparation of the 2025-27 Financial Plan was based on extensive public outreach, comment, and input and the City Council’s strategic vision as discussed at a public hearing for strategic budget direction on April 15, 2025; and WHEREAS, the Planning Commission reviewed the Capital Improvement Plan on May 28, 2025 and confirmed the plan’s conformity with the City’s General Plan; and WHEREAS, pursuant to Section 804 of the City Charter, the City Council must adopt the 2025-26 Budget by June 30, 2025 for the appropriations to be in place when the 2025-26 fiscal year begins on July 1, 2025; and WHEREAS, pursuant to Section 803 of the City Charter, the City Council shall hold a public hearing on the proposed budget and this hearing was held during the June 17, 2025 City Council meeting; and WHEREAS, California voters approved the Gann Spending-Limitation Initiative on November 6, 1979 and Proposition 111 on June 5, 1990, which establish and define annual appropriation limits on state and local government agencies; and WHEREAS, the California Government Code requires that the governing body of each local agency establish its appropriations limit and annual factors by resolution; and NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. The 2025-27 Financial Plan and Fiscal Year 2025-26 budget is hereby approved and that the budget for the fiscal year beginning July 1, 202 5 and ending June 30, 2026 is hereby appropriated as presented in the 2025-27 Financial Plan. SECTION 2. The City Manager is hereby delegated authority to approve budget adjustments, including non-substantive format and typographical changes found within the 2025-27 Financial Plan, consistent with the adopted budget policies to maintain budgetary flexibility and balances for the organization . SECTION 3. The City’s appropriation limit and annual adjustment factors for Fiscal Year 2025-26 are adopted as follows: Page 993 of 994 Resolution No. ____ (2025 Series) Page 2 R ____ Upon motion of _________, seconded by ________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this ___ day of June 2025. ______________________________ Mayor Erica A. Stewart ATTEST: Teresa Purrington, City Clerk APPROVED: J. Christine Dietrick, City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ________________________________ Teresa Purrington, City Clerk Appropriations Limit 2024-25 $94,976,973 Cost of Living Increase 1.02% Population Factor: City Population Growth 1.06% Compounded Percentage Factor (multiplicative not additive) 1.08% Appropriations Limit 2025-26 $102,632,964 Page 994 of 994 2025-27 Financial Plan FY 2025-26 Budget Adoption Recommendation Adopt a Draft Resolution approving the 2025-27 Financial Plan and Fiscal Year 2025-26 Budget. City Manager Intro Flattening revenue, combined with escalating costs  constrained budget Budget development process reflects these constraints •Non-staffing operating budgets kept flat •Limited operating budget changes recommended for approval Structural deficit identified + market considerations •Fiscal Health Contingency Plan  immediate short-term expenditure reduction strategies •Long-term reduction strategies to be developed for consideration in the future Planning ahead for budget realities Financial Planning Process Major City Goal Changes From Strategic Budget Direction Cultural Vitality, Economic Resilience, and Fiscal Sustainability Updated – 3a: Clarified to support all childcare options and evaluate approaches such as permit streamlining for childcare businesses. Added – 5f: Complete a fiscal analysis of golf operations at Laguna Lake Golf Course and conduct a Council Study Session to evaluate fiscal impacts, capital needs, and potential reuse options prior to major infrastructure investments. Added – 5g: Develop a strategic framework that connects existing strategic plans, incorporates the City’s mission and vision, and outlines core services to support a longer-term planning approach beyond the two-year Financial Plan. Major City Goal Changes From Strategic Budget Direction Housing and Neighborhood Livability – Healthy, Safe, and Affordable Updated – 2e: Revised to indicate that the RFP will be presented to Council alongside a Study Session regarding potential scoping of a Land Use and Circulation Element (LUCE). Infrastructure and Sustainable Transportation Updated – 3e: In collaboration with the Avila Ranch contractor, pursue the design and construction of interim Fire Station 5, targeting a projected opening date of 2028. Major City Goal Changes From Strategic Budget Direction Diversity, Equity and Inclusion Updated – 4e: Revised to indicate that the Council Compensation Committee, created on May 20th 2025, will review compensation for City Council and Advisory Body members. Open Space, Climate Action, and Resilience Updated – 3d: Revised completion date from FY 2026 Q2 to FY 2027 Q3 to better align with timelines for other projects. Total Budgets by Fund (in millions)FY 2025-26 General Fund $117.6 Water 40.0 Sewer 29.0 Parking 11.5 Transit 9.6 Other 9.8 Total $217.6 General Fund Operating Budget by Department (in millions)FY 2025-26 % Change Police $25.6 +9% Fire 18.2 +7% Public Works 17.4 +1% Administration & IT 11.3 -4% CDD 8.4 -5% Parks & Rec 6.2 +4% Finance 2.8 +6% Non-Departmental 2.4 +96% HR 2.0 -11% City Attorney 1.7 +9% Utilities 1.4 -14% Total $97.4 +4% Budget Changes From Strategic Budget Direction •$45k per year added for a total of $90k to fund CAPSLO’s hotel voucher program •$25k additional funding allocated to Animal Services contract cost increases •Funded through error correction of revenue originally budgeted in a grant fund moved into General Fund General Fund Long-Term Forecast (millions)FY ’24 FY ’25 FY ’26 FY ’27 FY ’28 FY ’29 Total Revenue $119.8 $126.1 $117.2 $120.6 $124.6 $128.8 Total Expenditures 118.7 126.5 117.6 120.8 127.6 130.8 Variance 1.1 (0.4)(0.4)(0.2)(3.0)(1.9) Use of Fund Balance 8.3 9.2 0.4 0.2 -- Surplus / Deficit $9.4 $8.7 $-$-($3.0)($1.9) Balancing the General Fund Budget FY 2025-26 Initial Surplus / (Deficit)($2.5M) +Base Budget Savings +$1.6M +Reduced Capital Expenditures +$1.0M +Increased staffing savings assumption +$0.6M (SOBCs)($0.7M) Proposed Surplus / (Deficit)$0 •No cost escalators built in from FY 2024-25 non-staffing operating budgets •All one-time funding was removed •Decreased flexibility to respond to emergent priorities General Fund SOBC* Recommendations (recommendations requiring support from the General Fund) *Significant Operating Budget Changes Department Item FY ‘26 FY ‘27 Admin Voter Engagement Plan $90k $30k CDD CAPSLO (safe parking, rotating overnight parking, hotel vouchers) $184k $133k Fire EV Fire Suppression Blankets $11k - Fire Fuel Budget $30k $30k Public Works 1.00 FTE Communications Coordinator $35k $35k Public Works 1.00 FTE Heavy Equipment Mechanic $94k $94k Department Item FY ‘26 FY ‘27 Police Add 2.00 FTE Police Officers & Equipment $235k $227k Police Computer Aided Dispatch $10k $10k Police Controlled substance testing $18k $18k Police Safety equipment (tasers)$16k $16k Police License Plate Reader cameras $18k - Police & Fire County Licensed Psychiatric Technicians -$16k Total General Fund Total $741k $609k General Fund SOBC Recommendations (recommendations requiring support from the General Fund) Recommended Headcount Growth: 6.25 FTE General Fund Parking Transit Water Sewer Police Officers*2.00 Heavy Equipment Mechanic 1.00 Communications Coordinator**0.40 0.30 0.30 Water Treatment Plant Mechanic 1.00 Utilities Engineering Technician 0.50 0.50 0.25 FTE UT Billing Assistant 0.125 0.125 Total FTEs 3.40 0.30 0.30 1.625 0.625 * 2.00 FTE Police Officers are partially offset by COPS grant funds ** Previously a contract position recommended to transition to regular FTE Enterprise Funds Water Sewer Parking Transit Water Fund Forecast (in millions)FY ‘24 FY ‘25 FY ‘26 FY ’27 FY ‘28 FY ‘29 Revenue $32.1 $32.7 $35.2 $36.7 $44.0 $36.7 Expense $31.0 $51.7 $40.0 $33.5 $41.5 $35.0 Surplus / (Deficit)$1.1 ($19.0)($4.8)$3.2 $2.5 $1.7 •Revenue forecast based on rate study analysis •Deficits driven by capital expenditures; all reserve levels maintained Water SOBC Recommendations Item FY ‘26 FY ‘27 Customer facing office improvements $10k - Rates and restructure study 43k - Add 1.00 FTE Water Treatment Plant Mechanic 59k 121k Add 1.00 FTE Utilities Engineering Technician 47k 47k Add 0.25 FTE Utility Billing Assistant 9k 10k Contract position for Cityworks integration -70k Interns 48k 50k Water Treatment Plant overhire & training 30k - Water SOBC Recommendations Item FY ‘26 FY ‘27 Water legal services $50k $50k Mandated increase to bi-annual water quality reports 23k 23k Increased SWRCB plan check fees 8k 8k Chorro Valley Access Road repairs -252k Nacimiento Pipeline repairs*250k - Commercial drivers license training 10k 10k Water distribution construction materials increases 37k 37k Chilled water system rehabilitation 58k 58k *Assumes FEMA & CalOES reimbursement Water SOBC Recommendations Item FY ‘26 FY ‘27 Groundwater well operations costs $50k $95k Non-routine Water Treatment Plant maintenance 35k 30k Turbidity monitoring computer replacement 10k - Recycled water systems maintenance 148k 143k Impact fee study consultant 30k - Total $1,449k $945k Sewer Fund Forecast •Revenue forecast based on fee study analysis •Deficits driven by capital expenditures; all reserve levels maintained (in millions)FY ’24 FY ‘25 FY ’26 FY ’27 FY ‘28 FY ‘29 Revenue $40.2 $36.6 $22.4 $23.9 $25.5 $27.2 Expense $38.7 $58.6 $29.0 $28.1 $26.1 $27.0 Surplus / (Deficit)$1.5 ($22.0)($6.7)($4.2)($0.7)$0.2 Sewer SOBC Recommendations Item FY ‘26 FY ‘27 Customer facing office improvements $10k $- Rate and restructure studies 43k - Local limits study 130k - Add 1.00 FTE Utilities Engineering Technician 59k 59k Add 0.25 FTE Utility Billing Assistant 9k 10k Contract position to support Cityworks integration -70k Wastewater intern 65k 68k Wastewater legal services 60k 35k Sewer SOBC Recommendations Item FY ‘26 FY ‘27 Strategic staffing plan -27k Commercial drivers license training 10k 10k Increased biosolids hauling and disposal services 277k 302k Water Resource Recovery Facility program updates 252k 246k Water Resource Recovery Facility regulatory costs 44k 25k Impact fee study 30k - Total $989k $851k Parking Fund Forecast (in millions)FY ’24 FY ’25 FY ’26 FY ’27 FY ’28 FY ‘29 Revenue $65.1 $10.0 $9.6 $10.5 $10.5 $10.5 Expense $28.9 $52.9 $11.5 $10.1 $11.9 $10.2 Surplus / (Deficit)$36.2 ($42.9)($1.9)$0.4 ($1.5)$0.3 •Revenue forecast based on Dixon Unlimited study; staff closely monitoring •Deficits driven by capital expenditures; all reserve levels maintained Parking SOBC Recommendations Item FY ‘26 FY ’27 Add 1.00 FTE Communications Coordinator $27k $27k Total $27k $27k Transit Fund Forecast (in millions)FY ‘24 FY ‘25 FY ‘26 FY ‘27 FY ‘28 FY ‘29 Revenue $6.5 $17.1 $12.0 $14.4 $11.7 $9.4 Expense $6.6 $17.2 $9.6 $14.2 $10.9 $8.1 Surplus / (Deficit)($0.1)($0.2)$2.4 $0.1 $0.8 $1.3 •Revenue forecast reliant upon federal funding •Deficits driven by capital expenditures; all reserve levels maintained Transit SOBC Recommendations Item FY ‘26 FY ‘27 Add 1.00 FTE Communications Coordinator $27k $27k Purchased transportation contract increase 182k 342k Short range transit plan implementation 581k 1,446k Transit service and planning software 50k 50k Transit intern 22k 22k Total $861k $1,886k Enterprise Fund SOBCs In addition to FTEs: •SOBCs recommended for Water, Sewer and Transit funds to restore reductions necessitated by the constrained base budget exercise Parking Transit Water Sewer Communications Coordinator 0.30 0.30 Water Treatment Plant Mechanic 1.00 Utilities Engineering Technician 0.50 0.50 0.25 FTE UT Billing Assistant 0.125 0.125 Total FTEs 0.30 0.30 1.625 0.625 Updates to Financial Plan Document Updates to Financial Plan Document •Goal: increase accessibility of document •Inclusion of Budget Balancing Strategies (reviewed by Council in January) •Enhancements to Financial Plan Overview section •More information on funding sources and uses •Consolidated financing sources and uses summary •Information about transfers between funds Updates to Financial Plan Document •Operating Budget Information •Summary of all SOBCs requested •Identification of budget and staff resources to support programs •Fiscal analysis to describe drivers of budget changes •Acronym glossary •Line-item budget detail Capital Improvement Plan 10-Year Capital Plan Purpose Enables long-term planning, scheduling, and funding of capital projects Investments align with Major City Goals, community input, and maintenance needs Snapshot 10-year plan is fiscally constrained and strategic First two years funded and adopted $112M programmed for 2025–27 $659M total planned investment Project Prioritization Infrastructure need, safety & health benefits, community impact, and Equity Alignment with City Council’s strategic goals Operational Impact Carbon Neutrality Goals (2030 municipal / 2035 community) Measure G priorities Highlighted Capital Projects Yearly Paving Projects Higuera Complete Streets Righetti Park EV Charging Infrastructure Islay Sewer Main Replacement California Water Main Replacement Water Meter Upgrades Broadband Infrastructure Emerson Park Parking Structure Safety Element Police Station TI Fire Station 3/4 Remodel California & Taft Roundabout Transit Bus Electrification and Charging Infrastructure Pismo Street Retaining Wall $6 , 5 0 0 , 0 0 0 2025-26 Play Structure and Fields $4 0 0 , 0 0 0 2027-28 Pocket Park $2 , 3 0 0 , 0 0 0 2029-30 Pickleball $1 , 9 0 0 , 0 0 0 2034-35 Pump Track $9 , 5 0 0 , 0 0 0 2033-34 Basketball and Parking $6 , 1 1 0 , 0 0 0 2034-35 Tennis Courts Righetti Park ATP Projects Higuera Complete Streets 2025-26 $2,500,000 Foothill Complete Streets 2028-29 $2,500,000 S. Broad Complete Streets 2029-30 $3,000,000 Railroad Safety Trail (Orcutt to Tiburon) 2034-35 $2,450,000 Prado Bridge Widening and Interchange 1.Prado Bridge a.Construction in Year 3 b.$5M in General Fund from Prado Interchange in Year 1 c.Depleting the IIF by Year 3 2.Prado Interchange a.Construction in Year 5 b.Debt Service = $75M iii.Unrealized Grant Funds = $25M iv.Forecasting $4.6M over 30 years at 4.5% interest Assumes $3M and $1.5M in interest in debt financing in years 5 and 6 Police Building Paint/Carpet Year 1 $250,000 Police TI Design Year 1 $350,000 Police TI, HVAC, and Hydronic System Year 2 $4,300,000 Public Safety Center Programming Year 2 $200,000 Public Safety Center Entitlements/Design Year 5/6 $1,300,000 Fire Station 3&4 Remodel Year 1 $1,300,000 Fire Station 5 Programming Year 1 $150,000 Interim Fire Station 5 Year 3 $440,000 Public Safety Projects Parking Safety Element Year 1 $1,500,000 Electric Bus Replacements Years 1 & 2 $2,500,000 Downtown Transit Center (Osos Street) Year 3 $3,000,000 Marsh Parking Structure Maintenance Year 3 $2,000,000 Parking and Transit Recommendation Adopt a Draft Resolution approving the 2025-27 Financial Plan and Fiscal Year 2025-26 Budget.