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HomeMy WebLinkAbout2026 05-18 CC SP BUDGET WORKSHOP MIN CALIFORNIA NATIONAL L CIr r • `NC0RPORA„ SPECIAL MEETING MINUTES OF THE CITY COUNCIL BUDGET WORKSHOP May 18, 2026, 2:00 p.m. City Council Chamber - 1243 National City Boulevard National City, CA Present: Councilmember Bush Councilmember Rodriguez Councilmember Yamane Vice-Mayor Molina Mayor Morrison Others Present: Stephen Manganiello, Acting City Manager Heidi Skinner, Interim City Attorney Shelley Chapel, City Clerk (via Zoom) Derek Aydelotte, Acting Deputy City Manager Rachelle Barrera, Acting Director of Finance Jeremy Day, Battalion Chief Pedro Garcia, Economic Development Manager Danielle Ghio, Director of Library Services Alejandro Hernandez, Police Chief Tonya Hussain, Deputy City Clerk Martha Juarez, Acting Director of Engineering & Public Works Sergio Mora, Fire Chief Mike Pacheco, Director of Community Services Angelita Palma, Community Development Manager Martin Reeder, Director of Community Development Stephen Sanders, Interim Director of Human Resources Paul Valadez, Budget Manager David Welch, Principal Planner 1. CALL TO ORDER A Special Meeting of the City Council of the City of National City was called to order at 2:02 p.m. via teleconference and in the Council Chamber, located in City Hall, 1243 National City Boulevard, National City, California. 2. ROLL CALL Councilmembers present: Bush, Rodriguez, Yamane, Molina, Morrison Interpretation in Spanish provided by Ruth and Grisel. 3. PLEDGE OF ALLEGIANCE Vice-Mayor Molina led the Pledge of Allegiance. 4. PUBLIC COMMENT (Public Comment will be Restricted to Agenda Items Only) Public comment was received from Ed Nieto. 5. STAFF REPORT 5.1 Fiscal Year 2026-2027 Budget Workshop No. 2 PowerPoint presentation introduced by Acting City Manager Stephen Manganiello. Presentation provided by Budget Manager Paul Valadez and Department Directors. Councilmember Yamane left the dais at 2:24 p.m. and returned at 2:26 p.m. Councilmember Bush left the dais at 2:52 p.m. and returned at 2:53 p.m. Recommendation: Review, Receive Presentation, and Provide Staff Direction. The City Council requested that additional discussion take place at a future Budget Workshop and directed staff to return with the following information: 1. Further budget detail including the reasons for overtime including impacts to operations. 2. Explore charging fees to owners of vacant storefronts for long-term vacancy. 3. Councilmembers to meet with specific departments to explore actual expenses. Councilmember Bush requested that Acting City Manager Steve Manganiello direct Directors to engage with their department staff regarding the budget. ACTION: Motion by Bush, seconded by Councilmember Rodriguez for staff to provide detailed information on contracts; professional services and other maintenance and operations accounts; position detail for personnel excluding employee names; work chart of filled positions including temporary employees and annuitants; detailed cost for the 12 month UAL pension obligation bond liability, worker's compensation premium, and for the Acting City Manager to meet with individual Councilmembers to provide specific details as requested. Motion carried by unanimous vote. ACTION: Motion by Councilmember Bush, seconded by Councilmember Yamane for staff to revise page 5 (General Fund Revenues) of the PowerPoint presentation to add the audited FY24 actuals as the first column, the FY25 unaudited actuals in the second column, the FY26 adopted budget in the third column, the FY26 actuals up to March 31, 2026 and the projection for the remainder of FY26 in the fourth column, and move the 'FY27 Prelim Budget' column to the end, as the fifth column. Motion carried by unanimous vote. ACTION: Motion by Councilmember Bush, seconded by Councilmember Rodriguez to revise page 6 (General Fund Expenditures) of the PowerPoint presentation to add the audited FY24 actuals as the first column, the FY25 unaudited actuals in the second column, the FY26 adopted budget in the third column, the FY26 actuals up to March 31, 2026 and the projection for the remainder of FY26 in the fourth column, and move the 'FY27 Prelim Budget' column to the end, as the fifth column. Motion carried by unanimous vote. ACTION: Motion by Councilmember Rodriguez, seconded by Councilmember Bush for staff to provide updated calculations reflecting a freeze on all new, non- essential vehicle purchases for FY27 and any future vehicle purchase deemed necessary would be brought forward for City Council consideration and approval. Motion carried by unanimous vote. ACTION: Motion by Councilmember Rodriguez to freeze all new full-time unfilled positions excluding non-essential replacements for FY27 with the exception of one Recreation Center Supervisor position. Amended motion by Councilmember Rodriguez, seconded by Councilmember Yamane to direct staff to return to the City Council with additional information regarding the potential cost savings associated with freezing new, unfilled full-time positions for FY27, excluding essential positions, positions filled through attrition, and one Recreation Center Supervisor position. Any additional staffing requests would be brought forward to the City Council for consideration and approval. Motion carried by 4-1 vote. Ayes: Bush, Rodriguez, Yamane, Molina Nays: Morrison ACTION: Motion by Vice-Mayor Molina, seconded by Councilmember Bush to proceed with the staff recommendations as presented and direct staff to prepare a preliminary budget for presentation at the June 2nd City Council meeting. Motion carried by unanimous vote. Mayor Morrison called for a recess at 5:15 p.m. All members returned to the dais at 5:27 p.m. ACTION: Motion by Councilmember Bush, seconded by Councilmember Rodriguez for staff to return with a budget proposal to further reduce overtime, freeze salary increases for executive and management positions, and explore early retirement options. Motion carried by unanimous vote. ACTION: Motion by Councilmember Bush, seconded by Rodriguez to accept all of the revenue recommendations and to explore increasing sales tax through events, and utilizing assets by renting City-owned spaces. Motion carried by unanimous vote. 6. ADJOURNMENT Mayor Morrison adjourned at 6:09 p.m. to the Regular Meeting of the City Council of the City of National City, Tuesday, May 19, 2026, 6:00 p.m. in the Council Chamber, located in City Hall, 1243 National City Boulevard, National City, California. The meeting adjourned at 6:09 p.m. `7 Tonya ussain, CMC, Deputy City Clerk The foregoing minutes were approved at the Regular Me of June 2, 2026. Ron rrison, Mayor