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HomeMy WebLinkAbout- 26-279 - 8. Proposed Budget Book FY 26-27 - 5/12/20262026 - 2027 FOR THEFISCAL YEAR PROPOSED OPERATING & CAPITAL IMPROVEMENT BUDGET CITY OF COSTA MESA, CALIFORNIA Proposed Operating and Capital Improvement Budget  FISCAL YEAR 2026-2027 Prepared By the Finance Department Cecilia Gallardo-Daly City Manager TABLE OF CONTENTS BUDGET MESSAGE GENERAL INFORMATION 10 Organization Chart 11 History of Costa Mesa 12 Miscellaneous Statistics 13 Budget Guide 14 Budget Process 16 Financial and Budget Policies SUMMARIES OF FINANCIAL DATA 24 Budget Overview 32 All Funds Revenues and Sources of Funds 37 General Fund Revenues and Sources of Funds Revenue Summaries – All Funds 41 Sales and Use Tax 42 Property Tax 43 Transient Occupancy Tax 44 Franchise Fees 45 Business License 46 Licenses and Permits 47 Fines and Forfeitures 48 Use of Money and Property 49 Fees and Charges for Services 50 Schedule of Interfund Transfers Appropriations Summaries – All Funds 51 Total Appropriations (Including Transfers) – Graphs 52 Summary of Appropriations by Department/by Category – All Funds 54 Summary of Appropriations by Account – All Funds City of Costa Mesa, California TABLE OF CONTENTS Appropriations Summaries – General Fund 56 Total General Fund Appropriations (including Transfers) Graphs 57 Summary of Appropriations by Department/by Category – General Fund 59 Summary of Appropriations by Department by Account – General Fund 62 Four-Year Personnel Summary by Department Departmental Budget Details 69 City Council 75 City Manager’s Office 95 City Attorney’s Office 101 Finance Department 115 Parks and Community Services Department 133 Information Technology Department 143 Police Department 159 Fire and Rescue Department 173 Economic & Development Services Department 193 Public Works Department 217 Non-Departmental CAPITAL IMPROVEMENT PROGRAM 238 Capital Improvement Program Overview COSTA MESA HOUSING AUTHORITY 320 Costa Mesa Housing Authority Overview 322 Total Resources and Appropriations APPENDIX 327 Description of Funds & Fund Types 332 Glossary of Budget Terms 337 Acronyms 340 Computation of Legal Debt Margin 341 Assessed Valuation Last 10 Fiscal Years 342 Description of City’s Current Debt Obligations 343 Schedule of Debt Service Requirements to Maturity City of Costa Mesa, California This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Budget Message BUDGET MESSAGE This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 California Society of Municipal  Finance Officers  Certificate of Award Operating Budget Excellence Award Fiscal Year 2025-2026 Presented to the City of Costa Mesa For meeting the criteria established to achieve a CSMFO Award in Budgeting. February 5, 2026 Jennifer Wakeman James Russell-Field, Chair 2025 CSMFO President Recognition Committee Dedicated to Excellence in Municipal Financial Reporting 3City of Costa Mesa, California Budget Message PRESENTED TO City of Costa Mesa California For the Fiscal Year Beginning July 01, 2025 Executive Director GOVERNMENT FINANCE OFFICERS ASSOCIATION Distinguished Budget Presentation Award Proposed Budget for Fiscal Year 2026-2027 4 City of Costa Mesa, California Finance Department City of Costa Mesa, California 1/12/2026 The Government Finance Officers Association of the United States and Canada The Certificate of Recognition for Budget Preparation is presented by the Government Finance Officers Association to those individuals who have been instrumental in their government unit achieving a Distinguished Budget Presentation Award. The Distinguished Budget Presentation Award, which is the highest award in governmental budgeting, is presented to those government units whose budgets are judged to adhere to program standards. presents this CERTIFICATE OF RECOGNITION FOR BUDGET PREPARATION to Date: Executive Director 5City of Costa Mesa, California Budget Message This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 General InformationGENERAL INFORMATION CITY LEADERSHIP CITY COUNCIL CITY OFFICIALS City Manager City Attorney Finance Director Director of Parks and Community Services Director of Information Technology Chief of Police Acting Fire Chief Director of Economic & Development Services Director of Public Works Cecilia Gallardo-Daly Kimberly Barlow Vacant Brian Gruner Steve Ely Joyce LaPointe Jason Pyle Carrie Tai Raja Sethuraman MANUEL CHAVEZ MAYOR PRO TEM DISTRICT 4 MIKE BULEY COUNCIL MEMBER DISTRICT 1 LOREN GAMEROS COUNCIL MEMBER DISTRICT 2 ARLIS REYNOLDS COUNCIL MEMBER DISTRICT 5 JOHN STEPHENS MAYOR ANDREA MARR COUNCIL MEMBER DISTRICT 3 JEFF PETTIS COUNCIL MEMBER DISTRICT 6 9City of Costa Mesa, California general InforMatIon 10 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 History of Costa Mesa Located on the “coastal tableland” above Newport Bay, Costa Mesa was once grazing grounds for cattle belonging to the Mission San Juan Capistrano. At the beginning of the 19th Century, missionaries built an adobe way station or “estancia” for the vaqueros who tended the herds. This structure still stands at 1900 Adams Avenue and was restored and transformed by the City into a museum. In 1810, this same area was a part of the Spanish land grant of Santiago del Santa Ana made to Jose Antonio Yorba. By 1880, settlers had begun buying portions of the rancho from Yorba’s heirs and in the same decade established the town of Fairview. A schoolhouse and church were built near the present intersection of Harbor and Adams, and a 25-room hotel accommodated visitors to the nearby hot sulfur springs. But in early 1889, a storm washed out the railroad and brought financial disaster to the community which soon reverted to farming country. By this time, the little town of Harper, named after a nearby rancher, had emerged alongside the Santa Ana and Newport Railroad. Its first business, Ozment’s General S tore, stood on the corner of Newport and 18th Street and contained the City’s first post office, established in 1909. On May 11, 1920, Harper officially changed its name to Costa Mesa, which means “coastal tableland” in Spanish and continued as an agricultural community, growing sweet potatoes, corn, tomatoes, strawberries, and apples. Building and oil drilling industries were just beginning to bring new growth to the City when the Depression hit Southern California. Industries collapsed and the local bank closed. More disaster followed when the 1933 earthquake shook the town, damaging businesses and the main school. Soon after, the school was rebuilt and continued to operate as the Clara McNally School. These buildings are now used for school administrative and service purposes. World War II brought many thousands of people to the area for training at the Santa Ana Army Air Base, located on what is now the Orange County Fairgrounds, Orange Coast College, and the present site of the Civic Center. When the war ended, many of these men returned with their families to begin a population boom in the City. On June 29, 1953, the City was incorporated and a City Council-Manager form of government was chosen. The new City had an area of 3.5 square miles and a population of 16,840. The City currently has an area of 16.8 square miles and the population has increased to 109,423 as of July 2025. Today, Costa Mesa is a major commercial and industrial center of Orange County. The City, which formally adopted the slogan “The City of the Arts” in late 1984, is home to the Orange County Performing Arts Center and the Tony Award-winning South Coast Repertory Theater. The Center includes a 3,000-seat facility, which was completed in 1985. In September 2006, the 2,000-seat Henry and Renee Segerstrom Concert Hall and 500-seat Samueli Theater opened with great success. The Concert Hall is the new home to Orange County’s Pacific Symphony and Pacific Chorale. Costa Mesa also offers world-class shopping and dining experiences in and around South Coast Plaza. Home to large corner stores like Nordstroms, Macy’s, Saks Fifth Avenue, and Bloomingdale’s, South Coast Plaza also offers smaller specialized stores like Tiffany & Co., Sugarfina, Kate Spade, and Coach. The South Coast Plaza area also offers a variety of fine dining that includes Din Tai Fung, Vaca, AnQi Bistro, The Capital Grille, and Water Grill. This history has made and continues to make the City of Costa Mesa a destination for all experiences. 11City of Costa Mesa, California general InforMatIon Miscellaneous Statistics GENERAL Date of Incorporation June 29, 1953 Form of Government Council-Manager Classification General Law Area (in square miles)16.8 Population 109,423 Acres Zoned for Industry 1,026 Acres of Open Space 1,039 Post Offices 2 Miscellaneous Statistics FIRE PROTECTION Number of Fire Stations 6 Number of Sworn Fire Fighters 86 Fire Insurance Rating Class 2 POLICE PROTECTION Number of Sworn Police Officers 142 STREETS, PARKS and SANITATION Miles of Streets (in lane miles)522 Miles of Alleys 15 Trees, Street 25,000 Park Sites 30 Skate Park 1 18-hole Public Golf Courses 2 Miles of Storm Drains 45.5 Miles of Sewers 325.7 Sanitation Pumping Stations Education Facilities 20 EDUCATION FACILITIES Elementary Schools 14 Junior High Schools 2 High Schools 4 2-year Community College 1 Private Schools 17 Public Libraries 2 12 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Budget Guide The purpose of the City of Costa Mesa’s budget is to serve as a blueprint for providing City services and as a working financial plan for the fiscal year. It also represents the official organizational plan by which City policies, priorities, and programs are implemented. It provides the means to communicate to the residents, businesses, and employees how the City’s financial sources are used to provide services to the community. The budget includes both the operating costs to manage the City and the capital improvement projects that the City plans to undertake during the fiscal year. The budget is organized by fund, department, division, program, and by account. A fund is defined as a fiscal accounting entity with a self-balancing set of accounts recording cash and other financial resources, together with all related liabilities and balances, which are segregated for the purpose of carrying on specific activities in accordance with special regulations, restrictions, or limitations. A department (e.g., Police Department) is an organizational unit with divisions (e.g., Police Support Services) and within each division is a specific program (e.g., Crime Investigation). Line accounts provide the details of the type of expenditure that each department/ division/program spends e.g., salaries, benefits, supplies, and so forth. Budget Preparation Overview Budget Message: This section includes the City Manager’s transmittal letter to the City Council and describes what is in the budget, including budget issues and policies that lead to the development of the budget. It also includes the City Council’s Goals which direct the budget development process. General Information: This section includes the organizational chart, city leadership, the community profile, the budget guide, budget process, financial and budget policies, as well as the description of each fund. The funds are listed by fund t ype: Governmental Funds (including the General Fund, S pecial Revenue Funds, Capital Projects Funds, and Debt Service Funds), and Proprietary Funds (which include the Internal Service Funds). Summaries of Financial Data: This section provides a budget overview, a variety of financial analyses, such as the pie charts of resources and appropriations, multi-year budget comparisons, revenue details/narratives with historical trends, and a summary of personnel changes by department. Departmental Budget Details: This section divides the budget by department. It starts with the City Council. The reader will find a narrative of the department describing each division, an organizational chart, program accomplishments and goals, and performance measures/workload indicators. This section also provides the financial data of each department which include multi-year comparisons of expenditures sorted in several ways: by funding source, by division, program, and expenditure category. The last department is the Non-Departmental which is not an actual department, it is merely a cost center to house expenditures such as debt service payments and transfers outs, which are not attributed to a specific department. Capital Improvement Program: This section provides financial status of the ongoing capital improvement projects, a summary of the capital improvement projects planned for the year by category and by funding source, and project detail forms that include their descriptions, funding sources, and the estimated cost of each project. This section also includes a five-year capital improvement project schedule. Appendix: This is the final section of the budget book which includes a brief history of the City, miscellaneous statistics (such as date of incorporation, form of government, population, etc.), community profile (provides demographics information, among other things), a glossary of budget terms, a listing of acronyms used throughout the budget document, various statistical data about the City’s debt obligations, and a per capita expenditure comparison with other jurisdictions contiguous to Costa Mesa. 13City of Costa Mesa, California general InforMatIon Budget Process Operating Budget Each year, the Finance Department coordinates the preparation of the following fiscal year’s budget. The information contained in the budget is the end product of a thorough financial review performed through the combined efforts of City staff. The City’s budget process begins in December with a kick-off meeting with all departments. The City Manager outlines the goals and directives for the development of the coming year’s budget. The Finance Department distributes the budget calendar, instructions, forms, and budget analysis to the d epartments. The Maintenance Services staff c oordinates the d epartmental building modification and vehicle replacement requests, while the Public Works Department the capital improvement project requests. Each department is responsible for developing their own budget. After the departments have submitted their budget requests, the Finance Department reviews each request, analyzes all supporting documentation, and compiles the data. The budget team then calculates the total amount requested including estimated revenues and projected fund balances. The City Manager and Finance Department hold departmental budget meetings to discuss each department’s requests and obtains additional i nformation, i f necessary. Following t hese meetings, l ine item requests a re a djusted i n accordance with the City M anager’s funding decisions. This budget-making process takes place from February through May. Once the budget is adopted by City Council, the City staff incorporates the budgetary data into the City’s financial system. Staff then issues the adopted budget document and submits it for both the national and the state budget awards program. On an ongoing basis, the Finance Department monitors budget performance using month-end reports, which are available to the departments throughout the year. Capital Budget The City maintains a rolling five-year Capital Improvement Program (CIP). In October/November of each year, the Public Works Department solicits proposals from the other City departments for inclusion in the coming year’s capital improvement projects budget. Around the same time, the Finance Department provides Public Works the estimated fund balances available for appropriation for CIP. These fund balances usually come from Special Revenue Funds and Capital Projects Funds. Both these fund types are earmarked for specific uses. The General Fund provides funding for CIP based on the Capital Asset Needs Ordinance and in turn, cash is then transferred to the Capital Improvement Projects Fund, where the projects will reside. Public Works staff then prepares the capital project detail forms, which provide detailed information about the proposed capital project. Typically, a project costing $30,000 or more (with some exceptions depending on the type of project) is categorized as a capital improvement project. Others, costing less, could be included in consolidated Building Modification projects. These are routine maintenance and/or repairs of City buildings and facilities. During the departmental budget meetings, the City Manager and staff review the various proposed projects. After the City Manager’s evaluation of what will be included in the proposed budget, the CIP is submitted to the FiPAC Committee to review and is presented to the Planning Commission to determine if the projects conform to the General Plan. The proposed CIPs relating to parks are also submitted to the Parks & Recreation Commission for comments and recommendations. The FiPAC Committee presented the proposed CIP on  March 11, 2026. The Parks, Arts and Community Services Commission presented the proposed CIP on March 12, 2026. The CIP was presented to the City Council at the March 31, 2026 study session. The Planning Commission will be presented the proposed CIP on  April 27, 2026. Budget and Funding Accounting Basis of Budgeting The City uses the modified accrual basis in budgeting governmental funds. This means that obligations of the City, including outstanding purchase orders, are budgeted as appropriations and revenues are recognized when they are both measurable and available to fund current expenditures. The City does not have an enterprise fund. However, the City does utilize the internal service funds for its fleet services operations, self-insurance program, and information technology replacement program. Under the internal service funds, the budget is prepared on a full accrual basis. This means expenses are recognized when incurred and revenues are recognized when due to the City. Depreciation expense is not included in budgeting for internal service funds but the full purchase price of equipment is included in the budget. 14 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Budget Pre-Kickoff Meeting (DEC 2025) Finance Analyzes Data and Sends to Dept (JAN 2026) Departments Prepare Prelim Budget info (JAN 2026) Finance Department Reviews Prelim Budget (JAN-FEB 2026) Pre-Budget Meetings- Dept/Finance (FEB-APR 2026) Budget Meetings - Dept/Finance/CM (APR 2026) Budget Team Meets with City Manager to finalize Prelim Budget (APR 2026) Council Adopts Budget (MAY/JUN 2026) Finance/IT Upload Adopted Budget to Financial System (JUN 2026) Finance Prepares Adopted Budget Book (JUL 2026) Finance/Central Services Prepares Prelim Budget Book (MAY 2026) Prelim Budget Book for City Manager’s Review (MAY 2026) FiPAC Committee Reviews Proposed Prelim Budget (MAY 2026) Council Study Session Reviews Proposed Prelim Budget (MAY 2026) Basis of Accounting The City uses the modified accrual basis of accounting for governmental funds. Revenues are recorded when measurable and available to fund current expenditures. Expenditures are recorded when the services are substantially performed or the goods have been received and the liabilities have been incurred. The City’s internal service funds use the full accrual basis of accounting; revenues are recorded when earned and expenses are recorded when incurred. Budgetary control is maintained at the department level within each fund. The City also maintains an encumbrance accounting system b udgetary c ontrol. Estimated p urchase amounts are e ncumbered p rior to the r elease of purchase o rders to vendors. At fiscal year-end, all operating budget appropriations lapse, except for ongoing grant projects. User Fees & Charges As part of the budget cycle, the City considers updates to its fees and charges, usually, after the budget is adopted. The City uses, to some extent, a cost allocation method for administrative and overhead charges as part of the calculation. Administrative costs are based on staff salaries and benefits, which are allocated on a pro-rata basis; overhead charges are for maintenance and operation costs which are also allocated in the same manner. Both of these charges are added to the cost of personnel who are directly involved in the activity for which a fee is charged, which is determined by the time spent on that activity multiplied by the hourly rate for salaries and benefits. The City Council conducts a public hearing before adopting the new fees. 15City of Costa Mesa, California general InforMatIon Financial And Budget Policies Introduction The City of Costa Mesa’s largest financial responsibility to its residents is the care of public funds. Financial and budget policies are developed by the Finance Department and City Manager in order to establish the framework for the overall budget planning and financial management for the City of Costa Mesa. These policies shall periodically be reviewed by the City’s Finance and Pension Advisory Committee (FiPAC) and adopted by the City Council. These policies will help City officials plan fiscal strategy using a consistent approach contributing to the City’s fiscal stability and will provide adequate funding of the services desired by the public. The City Manager will propose a budget within a reasonable amount of time for the City Council and public to review and discuss it before adoption. As per the City’s Municipal Code, City Council shall adopt the annual budget by June 30th of each year. Revenues Revenues and Grants The City will seek to maintain a diversified and stable revenue base to protect the City from short-term fluctuations in any one revenue source. Ongoing revenues will be projected using realistic assumptions. Revenue forecasts will be neither overly optimistic nor overly conservative. They will be as realistic as possible based on the best available information. Should economic downturns develop which could result in revenue shortfalls or fewer available resources, the City will make adjustments in anticipated expenditures to compensate. One-time revenues shall be limited for use on non-recurring items which include start-up costs, reserve stabilization, capital expenses, and early debt retirement. Fees and Charges for Services User fees will be imposed to cover the cost of services provided for unique or narrow segments of the community. Fees will normally be set at full cost recovery. Full cost recovery includes direct and indirect costs, overhead and depreciation for the period during which the fee will be in effect. Fees may be set at less than full cost recovery (cost of service may be subsidized) as the City Council deems necessary. 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. Fees that are set by State law shall be implemented in accordance with those laws. Operating & Capital Budget Consistency with City Council and City Manager Priorities Base operating budget requests shall be consistent with the priorities and operational plans set forth by the City Council, City Manager, and the City’s Financial Policies. Department Heads are responsible for using these priorities and plans, along with program outcome indicators, to evaluate existing programs and redirect existing resources as needed for greater efficiency, to reduce cost, and minimize the requests for additional resources. Balanced Budget A balanced budget means that operating revenues must fully cover operating expenditures, including debt service. Under this policy, it is allowable for total expenditures to exceed revenues in a given year by the use of fund balance. However, in that situation, beginning unassigned fund balance can only be used to fund capital improvement plan projects or other one-time, non-recurring expenditures. Budgets for funds outside the General Fund are balanced to the funds’ own revenue sources without General Fund subsidy unless previously approved by the City Council. Salaries and Benefits The Finance Department will set the regular salary and employee benefits base budgets based on known changes in bargaining unit MOUs, retirement rates, and other employee benefit costs. The F Y 2019-20 Adopted Budget added a vacancy factor for each of the following departments: Parks and Community Services (6%), Public Works Department (1%) and Police (8%). The F Y 2026-27 Proposed Budget recalculated the attrition factor to 2% across all departments and reallocated to Non Departmental in the General Fund. Maintenance and Operations 16 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Maintenance and operations shall be budgeted at the same level as current year budget to the extent they are necessary to support basic operations, Council, and City Manager’s goals. Budgeted base amounts may be reduced if an analysis of actual usage reveals ongoing over-budgeting practices. One-time items applicable only to past years operations may be removed from the base. Percentage of General Fund Budget for Capital Expenditures The City shall allocate a minimum of five percent (5%) of annual General Fund revenue to the Capital Asset fund. The Capital funds are to be used for the construction, design, engineering, project management, inspection, contract administration, and property acquisition of City-owned or operated facilities. Capital asset funds may also be applied toward debt obligations created to fund capital assets where the indebtedness originated after October 15, 2020. For purposes of this policy, Capital assets are defined as fixed assets with a value greater than $30,000 that are stationary in nature including, but not limited to, publicly owned or operated streets, highways, bridges, sidewalks, curbs, gutters, alleys, storm drains, trees and landscaping, medians, parks, playgrounds, traffic signals, streetlights, fences, facilities, and walls. Capital assets are defined as City-owned or operated buildings including, but not limited to, City Hall, Civic Center, Police Department, Old Corp Yard, New Corp Yard, fire stations, libraries, and community centers. These expenditures can be budgeted in either the General Fund or Capital Improvements Fund. During an economic downturn or in the event of a disaster these allocated funds could be used as a type of reserve for operations upon approval by a supermajority of the entire City Council (5 votes). Percentage of General Fund Budget for Information Technology Expenditures The City will allocate a minimum of one and one-half percent (1.5%) of General Fund revenue to the Information Technology Replacement Fund. The technology funds are to be used for hardware, software, services, systems and supporting infrastructure to manage and deliver information. For purposes of this policy, Infrastructure Expenditures are defined as expenditures on funding the implementation of the City’s Information Technology Strategic Plan, replacement, maintenance, or improvement of the City’s information technology and/or for staffing for the implementation of infrastructure needs. During an economic downturn or in the event of a disaster these allocated funds could be used as a type of reserve for operations upon approval by a supermajority of the entire City Council (5 votes). Contingencies A contingency of $500,000 is included in the annual operating budget; which is a reduction of the normal allocation of $1.0 million. This amount allows the City Manager to retain budget flexibility for operations during the fiscal year and will be used in accordance with the City’s financial policies, however in FY 2026-27 the full amount of the City Manager’s contingency was deferred. Legal costs are included here to defend the City in litigation matters that are not assigned or associated with a specific department. Requests for Budget Increase All requests for budget increases require an evaluation that outlines the department’s intended outcome(s). Multiple requests are ranked in order of the department’s priority for approval. Department Heads will confirm that all potential alternatives for redirecting existing resources have been examined and that lower priority items have been reduced or eliminated in order to free up existing resources before asking for an increase. The Finance Department and the City Manager will conduct a mid-year review of prior year budget increases to determine what prior year budget increases will be funded based on funding availability. Funding for these increases will continue if the Finance Department, the City Manager, and the requesting department agree that: ■They meet the performance expectations ■They merit continuation ■They are still relevant to the department’s mission, and ■Sufficient funding exists. 17City of Costa Mesa, California general InforMatIon Five-Year Financial Forecast The City will forecast its General Fund revenues and expenditures for each of the next five years. General Expenditure Management Mid-Year Budget Reviews The City Council will formally review the budget to actual status of revenues and expenditures as soon as practical and amend the budget, if necessary. The mid-year review will also serve as an opportunity for the City Council to discuss and provide guidance on expectations for the next fiscal year’s budget preparation. Budgetary Control The level of budget control exists at the program level. Annual budgets are set at the individual account level however, Department Heads will be  responsible for not exceeding the overall program budget. The Finance Department will review monthly budget to  actual reports provided to  the City Manager for review. It  is the responsibility of each department to communicate to the Finance Department when program budgets might be exceeded. This communication is to be before the situation occurs and include the reason or cause for the potential situation. At that time, the most appropriate action will be discussed to ensure fiscal balance. Budget Transfers and Adjustments Budget transfers are shifts of existing resources between divisions, programs, and accounts. Department Heads are responsible for the efficient and effective use of the resources within their departmental budgets and are required to  reallocate existing resources before requesting budget increases. Therefore, they are permitted, with the concurrence of the Finance Department, to make budget transfers of resources among the accounts, programs and divisions within their department. If a department is unable to resolve budgetary issues within their department budget, the City Manager may approve the transfer of resources between departments staying within the total appropriations previously authorized by the City Council. Exceptions to this flexibility are transfers out of salaries and benefits, which require City Manager or Finance Department approval. The City Manager has the authority to transfer money to the appropriate item, account, program, department, or fund to cover expenditures which have been approved by the Council, except where such transfer is expressly prohibited in a resolution or ordinance passed by the Council. The City Manager also has the authority to transfer money between and within funds to meet the operational needs of the City within established spending limits. Budget adjustments are changes that affect the total amount of the City budget. These include appropriation of new grants or other revenues that had not been approved or realized at the time of the budget adoption. These also include increases or decreases to unassigned fund balance for items approved but not spent in previous fiscal years (i.e. purchase order rollovers) or for unanticipated, one-time items that cannot be postponed to the next budget cycle. Budget adjustments must be approved by the City Council. Operating Carryover and Surplus Balances in operating program appropriations at the end of the  fiscal year may be carried over for specific purposes into the next fiscal year with the approval of the City Manager, and reporting to the City Council during a quarterly budget update report. A fiscal year-end surplus may occur when there is a net increase in fund balance or when there is a positive budget variance. Such a surplus will be reviewed for potential use using the following priorities: 1. Increase reserves if reserves are below target. 2. Examine opportunities for prepayment and accelerated payoff of debt. 3. Increase funds for capital facilities. Arts and Cultural Master Plan Funding Authorize the City Manager, or her designee, to fund the differential amount in the Arts Cultural Master Plan Fund when a shortfall exists from insufficient Cannabis Measure Q revenues from the General Fund, as necessary. 18 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Accounting The City will comply with the requirements of the Governmental Accounting Standards Board (GASB) and record and maintain its financial transactions based upon Generally Accepted Accounting Principles (GAAP). Investments The City Treasurer shall invest the City’s idle funds in accordance with the guidelines established in the adopted Investment Policy. Fund Balance and Reserves Fund balance consists of nonspendable, restricted, committed, assigned, and unassigned funds. Nonspendable fund balance includes amounts that cannot be spent because they are either not in spendable form (such as inventory) or legally or contractually required to be maintained intact (such as endowments). Restricted fund balance includes amounts that can be spent only for specific purposes specified by constitution, external resource providers, or through enabling legislation. Committed fund balance includes amounts that can be used only for specific purposes determined by formal action of a City ordinance by the Council. It includes legislation (Council action) that can only be overturned by new legislation requiring the same t ype of voting consensus that created the original action. Therefore, if Council action limiting the use of funds is separate from the action (legislation) that created (enables) the funding source, then it is committed, not restricted. For the purposes of establishing, modifying, and rescinding a committed fund balance, the City considers an ordinance more binding than a resolution or a minute action by City Council. Assigned fund balance includes amounts that are designated or  expressed by  the Council, but does not require a formal action like a resolution or ordinance. The Council may delegate the ability to an employee or committee to assign uses of specific funds for specific purposes. In June 2011, the City Council passed Resolution 11-27, delegating authority to establish, modify, or rescind a fund balance assignment to the Finance Director. Unassigned fund balance includes the residual balance for the City’s General Fund and includes all spendable amounts not contained in other classifications. As of June 30, 2025, combined reserves fund balance totals $61.0 million as follows. The following information is from the City’s audited financial statements for FY 2024-25. Fund Balance Category FY 2024-25 Audited Committed Declared Disasters $ 14,125,000 Self Insurance $ 2,000,000 Economic Reserves $ 9,000,000 Assigned Compensated Absences $ 5,982,021 Police Retirement Supplemental $ 1,572,306 Worker’s Compensation $ 2,000,000 Facilities Reserve $ 2,000,000 Strategic Plan Projects $ 2,000,000 Section 115 Trust $ 2,092,360 Non-spendable $ 883,072 Unassigned $ 19,307,000 Total $ 60,961,759 Reserve Study and Goals The financial risks that the City faces, and which should be accounted for in the process of establishing reserves, include economic volatility, major infrastructure failure, natural disasters, and other emergencies. A separate study of these risks was prepared in  2020 and is periodically updated by the Finance Department to assess each category of risk and recommended to the City Council an adequate amount of reserves that will enable the City to prepare for the identified risks. At that time, Council determined the appropriate reserve level was $55 million and committed to a plan to reach that goal and to increase the reserve level annually in years where the General 19City of Costa Mesa, California general InforMatIon Fund had a surplus. During the mid-year budget report and preparation of the five-year financial plan, actual reserve amounts are compared to recommended amounts. If reserves are below target, recommendations will be made for increasing reserves. The City reached the $55 million goal on June 30, 2016. Committed for Declared Disasters/Emergency Reserve The $14.1 million committed for declared disasters was established by the City Council as an emergency reserve. As set forth by Council Resolution 11-27 (June 21, 2011) and Municipal Code Sections 2-206 and 2-207, use of this reserve is limited to the following purposes: 1. To provide required emergency funding as a result of a declared emergency. 2. To provide required funding for an unanticipated but urgent event threatening the public health, safety, and welfare of the City, such as earthquakes, major unanticipated infrastructure failures, and terrorist events. This reserve may only be utilized by resolution of the City Council for the reasons stated above. This amount will be shown as a committed fund balance on the City’s Annual Comprehensive Financial Report (ACFR). Paired with this reserve is the policy of a minimum monthly cash balance (throughout the fiscal year) in the General Fund of at least $14.1 million. This keeps the reserve funds liquid rather than having them tied up in longer-term investments. The amount presented on the monthly Treasurer’s Report will be used to determine the actual ending monthly cash balance. Committed for Self-Insurance The $2 million self-insurance reserve is set by Resolution 11-27 and Municipal Code Section 2-154. The City will maintain a Committed General Fund Balance minimum of $2 million to be used to pay actual losses not covered by other insurance policies or insurance pools. If used, this reserve shall be replenished with funds each fiscal year from the General Fund operating reserve. Committed for Economic Reserves During the reserve study discussed above, the City Council approved the establishment of a reserve to address possible economic instability resulting in a decline in sales tax, property tax, and transient occupancy tax. After the adoption of the reserve goal, the Finance Department created the Committed for Economic Reserve account and has a current balance of $9.0 million. Other General Fund Reserves The other three categories of reserves listed above are based on specific studies or calculations of what is needed for those programs. The amounts are refreshed annually and recommended to continue as long as required. In addition to these reserves, the City Council has delegated the authority to determine fund balance assignments to the Finance Director. These assignments include: Compensated Absences, Police Retirement 1% Supplemental, Worker’s Compensation, Facilities Reserve, S trategic Plan Projects, and  a  Pension Section 115  Trust. These assignments total $19.3 million at June 30, 2025. Debt Service Fund Reserves The City shall maintain reserves in the Debt Service Funds as prescribed by the bond covenants adopted at the time of debt issuance. Equipment Replacement Fund Reserves The Equipment Replacement Fund shall maintain adequate reserves to provide funding for replacement of fleet vehicles and both motorized and non- motorized equipment. 20 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Debt Debt Issuance The City may issue long-term (exceeding twelve months) debt for capital projects and fixed assets. All General Fund debt issuances shall identify the method of repayment (or have a dedicated revenue source). The term of the debt should not exceed the life of the asset being financed. The City shall not issue General Fund debt to support ongoing operating costs unless such debt issuance achieves net operating cost savings and such savings are verified by independent analysis. Unfunded Pension Liability Should the City’s pension obligations include an unfunded liability, the City shall develop a plan to reduce and eventually eliminate the unfunded liability. In addition to paying the annual required contribution (that includes amortization of the unfunded pension liability), the City will annually allocate a minimum of $500,000 annually towards reducing the unfunded liability starting with the FireSide Fund. In addition, if the City prepays annual retirement costs, the savings on any prepayment option exercised will be evaluated by the Finance Department to determine if it could be used to make an additional payment to the FireSide Fund. 21City of Costa Mesa, California general InforMatIon This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Summaries of Financial DataSUMMARIES OF FINANCIAL DATA Budget Overview The Fiscal Year 2026-27 Budget reflects the operating and capital spending plans for the General Fund, Special Revenue Funds, Capital Project Funds, and Internal Service Funds. The total Proposed budget for all funds is approximately $245 million, an increase of $19.9 million, or 9 percent compared to the adopted budget for Fiscal Year 2025-26. Table 1 illustrates these amounts. Table 1 - Proposed Budget - All Funds Adopted Proposed Increase/(Decrease) FY 2026-27 Expenditure Category FY 2025-26 FY 2026-27 Amount Percent % of Total Operating Budget $ 202,433,823 $ 2 11,466,653 $ 9,032,830 4% 86% Transfers Out 3,547,836 9,825,324 6 ,277,488 177% 4% Capital Budget 18,957,631 23,585,595 4,627,964 24% 10% Total $ 224,939,290 $ 2 44,877,572 $ 19,938,282 9% 10 0% General Fund Budget Overview The General Fund comprises 81.7 percent of the total operating budget. Therefore, the succeeding discussion will focus primarily on the General Fund. The General Fund budget is $200.0 million (including transfers out), an increase of approximately $13.1 million, or 7 p ercent c ompared to the F iscal Year 2025-26 adopted b udget. Table 2 below illustrates t he components a nd the changes of the budget as compared to the prior year’s budget. Table 2 - General Fund Operating Budget Adopted Proposed Increase/(Decrease) FY 2026-27 Expenditure Category FY 2025-26 FY 2026-27 Amount Percent % of Total Salaries and Benefits $ 137,367,317 $ 146,171,618 $ 8,804,301 6% 73% Maintenance and Operations 4 3,726,192 41,165,570 (2,560,622) -6% 21% Fixed Assets 2,964,263 2,804,063 (160,200) -5% 1% Transfers Out 2,797,836 9,825,324 7,027,488 2 51% 5% Total $ 186,855,608 $ 199,966,575 $ 13,110,967 7% 10 0% Salaries And Benefits Budgeted personnel costs increased by $8.8 million, or 6 percent. The Proposed Budget includes 599 full-time employees, a net decrease of one (1) F TE in the Park Ranger classification. The City is also proposing a reclassification to the following positions: Emergency Service Coordinator to a Fire Battalion Chief, Chief of Code Enforcement to a Senior Permit Technician, and Public Safety Dispatcher to a Public Safety Dispatcher Supervisor. These amended staffing adjustments and strategic workflow allocation provides the City with the appropriate classifications to deliver service. Further, as part of the efforts to maintain a balanced budget in F Y 2026-27, the following positions are being proposed to be held vacant (hiring freeze): Associate Planner Economic, Principal Planner (3 months), Assistant Fire Marshal, Programmer Analyst II, and Office Police Records Shift Supervisor. Additionally, the following positions that were frozen in the prior fiscal year will remain frozen, including: Office Specialist II (Parks and Community Services Department), Office Specialist II (Economic and Development Services Department), Code Enforcement Officer II, Engineering Technician III, Facilities Maintenance Technician, and Maintenance Supervisor. Proposed Budget for Fiscal Year 2026-2027 24 City of Costa Mesa, California Maintenance And Operations The maintenance and operations category includes accounts such as: office supplies, office equipment, electricity, gas, and water for all City owned property including parks, medians, street lights and traffic signals, park and facility maintenance, general liability insurance, the contingency account, and principal and interest payments on outstanding City debt. The budget for maintenance and operations in the General Fund is $41.2 million, a net decrease of $2.6 million, or 6 percent compared to the FY  2025-26  Adopted Budget. The decrease is attributed to a request by the City Manager for a one-time reduction in non- critical services in the General Fund. These reductions will be re-evaluated for consideration to be returned in the next budget cycle. Additional reductions include a realignment of $350,000 for eligible landscaping expenses to the Gas Tax Fund (Fund 201), eligible drainage expenses of $ 66,000 to the Drainage Fund ( Fund 209), and $220,000 for traffic signal maintenance to Measure M2 (Fund 416). These reductions are partially offset by targeted General Fund increases across several departments to address critical operational needs: ■City Attorney: Increase of $33,711 to reflect Consumer Price Index (CPI) adjustments in contractual agreements. ■City Manager’s Office / City Clerk Division: Increase of $250,000 for election expenses in 2026. Additional departmental information is detailed in each respective department. Transfers Out The budget includes an operating transfer out totaling $9.8 million from the General Fund, to fund Information Technology replacement needs and Capital Asset Needs (CAN) Ordinance to comply with this ordinance. City Council approved to implement 5% of General Fund revenues to be transferred to the Capital Improvement Fund, as required by the Capital Asset Needs (CAN) Ordinance. Ordinance 2020-06, passed by the City Council on March 17, 2020, to reallocate 1.5% of the annual General Fund revenues to fund the City’s technology needs. The 2026-27 transfers out also includes a repayment of $600,737 to the CAN and $116,310 to the IT needs from prior year deferrals. The total  Adopted FY  2026-27 General Fund revenue is $200.0 million, an increase of $13.1 million or 7 percent compared to FY 2025-26 Adopted Budget. Table 3 illustrates the General Fund revenue sources estimates of each revenue source. Table 3 - General Fund Revenue Estimates Adopted Proposed Increase/(Decrease) FY 2026-27 Revenue Source FY 2025-26 FY 2026-27 Amount Percent % of Total Taxes $ 159,300,278 $ 169,204,186 $ 9,903,908 6% 85% Licenses and Permits 5,700,227 5,970,320 270,093 5% 3% Fines and Forfeitures 1,302,091 1,661,991 359,900 28% 1% Use of Money and Property 5 ,108,250 6,141,623 1,033,373 20% 3% Other Governmental Agencies 937,582 1,448,853 5 11,271 55% 1% Fees and Charges for Service 13,181,206 13,989,555 808,349 6% 7% Other Revenue 1,325,972 1,550,047 224,075 17% 1% Operating Transfer In - - 10 0% 0% Total $ 186,855,606 $ 199,966,575 $ 13,110,969 7% 10 0% Revenues City management has been working with all Departments to develop a structurally balanced FY 2026-27 General Fund Budget. Table 3 above reflects an overall increase of $13.1 million or 7 percent in General Fund revenue compared to the Fiscal Year 2025-26 Adopted Budget. 25City of Costa Mesa, California suMMarIes of fInancIal data Other Governmental Funds To gain a better understanding of the budget as a whole, the General Fund budget is compared to the entire budget covering all governmental funds. Table 4 illustrates this relationship. Table 4 - Revenue Budget - All Funds by Fund Type Adopted Proposed Increase/(Decrease) FY 2026-27 Fund Types FY 2025-26 FY 2026-27 Amount Percent % of Total General Fund $ 186,855,606 $ 199,966,575 $ 13,110,969 7% 89% Special Revenue Funds 15,627,832 14 ,738,494 (889,338) -6% 7% Capital Projects Funds 6,111,122 11,231,034 5 ,119,912 84% 5% Total $ 208,594,560 $ 2 25,936,103 $ 17,341,543 8% 10 0% *Does not include Internal Services Revenue Internal Service Funds The internal service funds are used to finance and account for activities involved in rendering equipment replacement, self-insurance services, and information technology replacement to departments within the City. Costs of materials, equipment, and services used are accumulated in these funds and charged to the user departments as such goods are delivered or services rendered. The City uses Internal Service Funds to account for the following activities: Equipment Replacement Fund (601) This fund accounts for the accumulation of resources necessary to replace vehicles over a number of years based upon an established replacement schedule. This fund also accounts for fleet services provided by the Maintenance Services Division to the user-departments. For FY 2026-27, the budget is approximately $6.0 million. Under the Internal Service Funds method of accounting for fleet services, user-departments are charged monthly internal rent. The rent consists of the estimated cost for future replacement of department vehicles and the monthly cost of maintenance, including fuel. S taff uses an inflationary factor compounded annually to determine the estimated future replacement cost divided by the estimated life of the vehicles. Maintenance charges are based on actual usage of fuel and service, including labor, materials, and overhead costs. Property TaxProperty Tax $64,010,902$64,010,902 Property Tax $64,010,902 Fines and ForfeituresFines and Forfeitures $1,661,991$1,661,991 Fines and Forfeitures $1,661,991 Other Government AgenciesOther Government Agencies $1,448,853$1,448,853 Other Government Agencies $1,448,853 Business License TaxBusiness License Tax $980,741$980,741 Business License Tax $980,741 Sales TaxSales Tax $82,541,833$82,541,833 Sales Tax $82,541,833 Cannabis Gross Receipts TaxCannabis Gross Receipts Tax $3,664,353$3,664,353 Cannabis Gross Receipts Tax $3,664,353 Transient Occupancy TaxTransient Occupancy Tax $10,573,611$10,573,611 Transient Occupancy Tax $10,573,611 Franchise Fees TaxFranchise Fees Tax $7,432,746$7,432,746 Franchise Fees Tax $7,432,746 Licenses and PermitsLicenses and Permits $5,970,320$5,970,320 Licenses and Permits $5,970,320 Use of Money & PropertyUse of Money & Property $6,141,623$6,141,623 Use of Money & Property $6,141,623 Fees and ChargesFees and Charges $13,989,555$13,989,555 Fees and Charges $13,989,555 Other RevenuesOther Revenues $1,550,047$1,550,047 Other Revenues $1,550,047 Graph 1 - General Fund Revenue Estimates by Category Proposed Budget for Fiscal Year 2026-2027 26 City of Costa Mesa, California Self-Insurance Fund (602) This fund accounts for the Risk Management Program including workers compensation, general liability, and unemployment insurance. The F Y 2026-27 budget totals $5.9 million. The City currently contracts with separate vendors for workers compensation and managed care services that historically were handled together. Since the City has separated the two, it has been able to take advantage of competitive rates and additional cost savings on medical expenses. The unemployment insurance portion is  based on  actual payments to  the S tate Employment Development Department (EDD), which processes the claims for unemployment benefits on  behalf of  the City. The City reimburses the EDD on a quarterly basis. Departments are charged back based on an established formula. Revenues for the Self-insurance Fund comes from internal charges to the user-departments based on historical costs of incurred losses, insurance premiums, and other services provided by the Risk Management Division. Information Technology Replacement Fund (603) This fund accounts for the accumulation of  resources necessary to  replace hardware and software related to information technology. As per Ordinance no. 2025-06, 1.5% of annual General Fund revenues is allocated to the Information Technology Replacement Fund to provide funding for the City’s immediate and future information technology needs, including those identified in the Information Technology Strategic Plan. Table 5 - Revenue Budget - Internal Service Funds Adopted Proposed Increase/(Decrease) FY 2026-27 Fund Types FY 2025-26 FY 2026-27 Amount Percent % of Total Equipment Replacement Fund $ 5 ,953,599 $ 5 ,953,599 $ - 0% 40% Self-Insurance Fund 5,412,265 5,920,958 508,693 9% 39% IT Replacement Fund 1 ,597,836 3,115,809 1,517,973 95% 21% Total $ 12,963,700 $ 14,990,366 $ 2,026,666 16% 10 0% Capital Improvement Projects The Proposed Capital Budget is approximately $23.6 million, an increase of $4.6 million or 24% from the adopted FY 2025-26 budget. In reviewing the Capital Improvement Program budget, it is important to keep in mind that most projects are funded by restricted revenue sources or grants. Consequently, there will potentially be significant differences from year to year in both the numbers of projects adopted and the total dollars budgeted. Primary funding sources for capital projects include the Measure M, Gas Tax, Road Maintenance and Rehabilitation Account, Park Development Fees, Traffic Impact Fees, Capital Improvement and Drainage Fees Funds. Key projects included in the Capital Improvement Budget for FY 2026-27 are: ■Citywide Alley Improvements ■Police Department Chiller Replacement ■Police Department Emergency Communications Center ■Citywide Tree Maintenance (in Public Right-of-Way) ■Harper Park Playground Improvements ■Costa Mesa Skate Park Expansion ■Adams Avenue Multipurpose Trail ■Newport Blvd. Improvement NB (22nd to Bristol) & SB (Bristol to Mesa) ■Mesa Del Mar Multimodal Access 27City of Costa Mesa, California suMMarIes of fInancIal data The City’s Five-Year Capital Improvement Program (CIP) is listed at the end of the CIP section of this budget book. This section provides comprehensive, detailed information on the capital p rojects that the City plans to undertake in the coming fiscal year and beyond. It also contains a summary listing of projects by funding source. 28 City of Costa Mesa, California This Page Intentionally Left Blank City of Costa Mesa, California Calculation of Projected Fund Balances for the Fiscal Year Ending June 30, 2027 Fund Description * (1) Projected Fund Balances 7/1/2026 (2) Estimated Revenues FY 2026-27 (3) Proposed Operating Expenditures FY 2026 -27 GOVERNMENTAL FUNDS General Fund 101 $ 57,424,791 $ 199,966,575 $ 199,966,575 Special Revenue Funds Arts Cultural Master Plan 130 (1)$ (132,244) 242,200 $ 242,200 First Time Homebuyer Program 140 (3) 621,812 242,200 227,472 Legal Defense Fund 145 20,280 - - Disaster Fund 150 (1) 29,462 - - Gas Tax Fund 201 (3) 1,789,380 3,302,813 2 ,858,513 Air Quality Management District Fund (AQMD) 203 (4) 457,532 145,800 16,000 American Rescue Plan 204 332,702 - - HOME Program Fund 205 1,438,951 380,848 7 30,814 Community Development Block Grant Fund (CDBG) 207 663,000 8 15,535 812,257 Supplemental Law Enforcement Services Fund 213 (1) 13 ,232 332,622 334,056 Rental Rehabilitation Program Fund 216 344,536 - - Narcotics Forfeiture Fund 217 837,268 - 300,000 Local Law Enforcement Block Grant Fund 219 3 7,704 - - Office of Traffic Safety 220 14,079 - - Housing Trust Fund 226 60,675 - - Opioid Settlement Funds 227 14,452 - - Federal Grants Fund 230 (2) 33,258 4,745,000 - State Grants Fund 231 (2) 18 4,683 724,920 353,198 Grants -Other 232 14,990 650,000 - RMRA Gas Tax Fund 251 1,644,642 3,156,556 - Subtotal Special Revenue Funds $ 8,420,394 $ 14,738,494 $ 5,874,511 Capital Projects Funds Park Development Fees Fund 208 $ 252,421 $ 200,000 $ 346,805 Drainage Fees Fund 209 268,186 120,000 168,339 Traffic Impact Fees Fund 214 (3) 4 42,497 400,000 - Fire System Development Fees Fund 218 366,803 - - Fire Protective System Paramedic Fund 228 334,004 - - Cannabis Traffic Impact Fees 240 3 11,383 Capital Improvement Fund 401 3,486,366 6 ,709,516 1,128,352 Vehicle Parking District 1 409 (4) 82,169 4,026 - Vehicle Parking District 2 410 (4) 170,298 12 ,285 - Golf Course Improvement Fund 413 (3) 402,130 110,000 50,000 Measure “M2” Regional Fund 415 (3) (557,033) - - Measure “M2” Fairshare Fund 416 1,964,164 3,675,207 220,000 Jack Hammett SC Capital Improvement Fund 417 213,146 - - Lions Park Project 2017 Bond Fund 418 14,684 - - Park Land Acquisition 420 409,023 - - Subtotal Capital Projects Funds $ 8,160,241 $ 11,231,034 $ 1,913,496 Total Governmental Funds $ 74,005,426 $ 225,936,103 $ 207,754,581 INTERNAL SERVICE FUNDS Equipment Replacement Fund 601 $ 4,240,959 $ 5,953,599 $ 6,090,648 Self-Insurance Fund 602 452,233 5 ,920,958 5,965,614 IT Replacement Fund 603 2 ,143,832 3,115,809 1,481,134 Total Internal Service Funds $ 6,837,024 $ 14,990,366 $ 13,537,396 GRAND TOTAL $ 80,842,450 $ 240,926,469 $ 221,291,977 Explanation of negative fund balance: (1) Negative fund balances are recognized in previous audits and will be corrected over time. (2) A portion of approved grants from prior years are being expended on approved projects/costs. There were approved grant funds approved in previous years on a cost-reimbursement basis so the fund balance will be corrected. (3) Revenues adopted and higher than the expenses. (4) Revenues are recieved annually, however no expendetures are allocated this Fiscal Year Proposed Budget for Fiscal Year 2026-2027 30 City of Costa Mesa, California ~ (4) Proposed Capital Expenditures FY 2026-27 (5) = (3+4) Total Proposed Expenditures FY 2026-27 (6) = (2-5) Estimated Revenues Over (Under) Budget (1) + (2) - (5) Projected Fund Balances 6/30/2027 % Incr/ (Dec) $ - $ 199,966,575 $ $ 57,424,791 0.00% $ - $ 242,200 $ - $ (132,244) 0.00% - 227,472 14,728 $ 636,540 2.37% - - - $ 20,280 0.00% - - - $ 29,462 0.00% 1,790,000 4 ,648,513 (1,345,700) $ 443,680 (75.20%) - 16,000 12 9,800 $ 5 87,332 28.37% - - - $ 332,702 0.00% - 730,814 (349,966) $ 1,088,985 -24.32% - 812,257 3,278 $ 666,278 0.49% - 334,056 (1,434) $ 11,798 -10.84% - - - $ 344,536 0.00% - 300,000 (300,000) $ 5 37,268 -35.83% - - - $ 3 7,704 0.00% - - - $ 14,079 0.00% - - - $ 60,675 0.00% - - - $ 14,452 0.00% 4,745,000 4,745,000 - $ 33,258 0.00% 349,920 703,118 21,802 $ 206,485 11.81% 650,000 650,000 - $ 14,990 0.00% 3,150,000 3,150,000 6,556 $ 1,651,198 0.40% $ 10,684,920 $ 16,559,431 $ (1,820,937) $ 6,599,457 (21.63%) $ 100,000 $ 4 46,805 $ (246,805) $ 5 ,616 (97.78%) - 168,339 (4 8,339) $ 219,847 -18.02% 250,000 250,000 150,000 $ 592,497 3 3.90% - - - $ 366,803 0.00% - - - $ 334,004 0.00% 150,000 150,000 $ 161,383 -48.17% 6,100,000 7,228,352 (518,836) $ 2 ,967,530 -14.88% - - 4,026 $ 86,195 4 .90% - - 12,285 $ 18 2,583 7.21% - 50,000 60,000 $ 4 62,130 14.92% - - - $ (557,033) 0.00% 4,666,000 4,886,000 (1,210,793) $ 753,371 (61.64%) - - - $ 2 13,146 0.00% - - - $ 14,684 0.00% - - - $ 409,023 0.00% $ 11,266,000 $ 13,179,496 $ (1,948,462) $ 6,211,779 (23.88%) $ 21,950,920 229,705,501 (3,769,398) $ 70,236,028 (5.09%) $ - $ 6,090,648 $ (137,049) $ 4 ,103,910 -3.23% - 5,965,614 (44,656) 407,577 -9.87% 1,634,675 3,115,809 - $ 2 ,143,832 0.00% $ 1,634,675 $ 15,172,071 $ (181,705) $ 6,655,319 -2.66% $ 23,585,595 $ 244,877,572 $ (3,951,103) $ 76,891,347 (4.89%) 31City of Costa Mesa, California suMMarIes of fInancIal data All Funds Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26 -27 Proposed Budget % Incr/ (Dec) GENERAL FUND Fund 101 - General Fund $ 184,490,064 $ 190,046,650 $ 186,855,606 $ 199,966,575 7% SPECIAL REVENUE FUNDS Fund 130 - Cultural Arts Master Plan Cannabis Q Bus Tax $ 132,412 $ 2 31,201 $ 242,200 $ 242,200 0% Total Fund 130 $ 132,412 $ 231,201 $ 242,200 $ 242,200 0% Fund 140 - First Time Homebuyer Program Cannabis X Bus Tax $ - $ - $ 242,200 $ 242,200 0% Cannabis Q Bus Tax 132,412 231,201 - - 0% Total Fund 140 $ 132,412 $ 231,201 $ 242,200 $ 242,200 0% Fund 150 - Disaster Fund FEMA Disaster Reimbursement $ - $ 6 3,574 $ - $ - 0% Total Fund 150 $ - $ 63,574 $ - $ - 0% Fund 201 - Gas Tax Investment Earnings $ 209,088 $ 342,767 $ - $ - 0% GASB 31 Market Value Adjustmnt 14 0,331 134,499 - - 0% Gasoline Tax - Section 2103 1,023,298 1,074,745 1,023,777 1,099,842 7% Gasoline Tax - Section 2105 682,428 698,938 716,150 735,444 3% Gasoline Tax - Section 2106 439,467 455,475 458,786 4 74,070 3% Gasoline Tax - Section 2107.1 923,725 927,202 977,383 983,457 1% Gasoline Tax - Section 2107.5 10,000 10,000 10,000 10,000 0% Other Reimbursements 167,874 218,959 - - 0% Total Fund 201 $ 3,596,212 $ 3,862,586 $ 3,186,096 $ 3,302,813 4% Fund 203 - Air Quality Investment Earnings $ 10,571 $ 17,906 $ - $ - 0% Air Quality Improvement Fees 150,191 14 5,853 14 5,800 14 5,800 0% GASB 31 Market Value Adjustmnt 6,940 8,968 - - 0% Total Fund 203 $ 167,702 $ 172,727 $ 145,800 $ 145,800 0% Fund 204 - American Rescue Plan Investment Earnings $ 166,876 $ 77,484 $ - $ - 10 0% American Rescue Plan 3,620,652 4,894,160 - - 0% Total Fund 204 $ 3,787,528 $ 4,971,644 $ - $ - 100% Fund 205 - HOME Investment Partnerships Program (HOME) Lien/Loan Repayment $ 123,856 $ 13 4,836 $ 20,000 $ 40,000 10 0% Investment Earnings 34,543 8,791 - - 0% HOME Invest. Partnership Grant 930,233 560,386 3 76,014 340,848 -9% GASB 31 Market Value Adjustmnt 3,752 5,864 - - 0% Total Fund 205 $ 1,092,383 $ 709,877 $ 396,014 $ 380,848 -4% 32 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 All Funds Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26 -27 Proposed Budget % Incr/ (Dec) Fund 207 - Community Development Block Grant (CDBG) Lien/Loan Repayment $ 30,900 $ - $ - $ - 0% Community Dev. Block Grant $ 619,833 $ 1,509,889 $ 8 74,288 $ 815,535 -7 % Investment Earnings 4 1,661 - - 0% Total Fund 207 $ 650,738 $ 1,511,551 $ 874,288 $ 815,535 -7% Fund 213 - Supplemental Law Enforcement Services (SLESF) Investment Earnings $ (33) $ (42) $ - $ - 0% Citizens’ Option Public Safety 3 21,103 332,622 332,622 332,622 0% GASB 31 Market Value Adjustmnt 292 - - - 0% Total Fund 213 $ 321,361 $ 332,580 $ 332,622 $ 332,622 0% Fund 216 - Rental Rehabilitation Program Investment Earnings $ 6,975 $ 10 ,767 $ - $ - 0% GASB 31 Market Value Adjustmnt 4,318 4 ,997 - - 0% Lien/Loan Repayment - 40,000 - - 0% Total Fund 216 $ 11,293 $ 55,764 $ - $ - 0% Fund 217 - Narcotics Forfeiture Investment Earnings $ 38,985 $ 53,871 $ - $ - 0% Asset Forfeiture - Treasury 125,118 18,655 - - 0% GASB 31 Market Value Adjustmnt 2 3,516 24,215 - - 0% Total Fund 217 $ 187,619 $ 96,741 $ - $ - 0% Fund 220 - Office of Traffic Safety Other Federal Grants $ 170,219 $ 329,559 $ - $ - 0% Total Fund 220 $ 170,219 $ 329,559 $ - $ - 0% Fund 230 - Federal Grants Investment Earnings $ 7 8,150 $ 8 7,733 $ - $ - 0% Other Federal Grants 31,179 1,225,911 6,382,000 4,745,000 -26% Local Law Enforcemnt Blk Grnt 5,638 18,946 - - 0% Other State Grants 47,310 - - - 0% Other County Grants/Programs 83,009 - - - 0% Total Fund 230 $ 245,286 $ 1,332,590 $ 6,382,000 $ 4,745,000 -26% Fund 231 - State Grants Other State Grants $ 2,994,375 $ 6,266,404 $ 375,000 $ 724,920 93% Total Fund 231 $ 2,994,375 $ 6,266,404 $ 375,000 $ 724,920 93% Fund 232 - Federal Grants State/Local Partnership Grant $ 50,000 $ - $ - $ - 0% Other Governmental Agencies 63,602 329,200 500,000 650,000 30% Investment Earnings 78 (80) - - 0% Total Fund 230 $ 113,680 $ 329,121 $ 500,000 $ 650,000 30% 33City of Costa Mesa, California suMMarIes of fInancIal data All Funds Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26 -27 Proposed Budget % Incr/ (Dec) Fund 251 - Road Maintenance and Rehabilitation Account (RMRA) Gas Tax Investment Earnings $ 2 97,830 $ 446,790 $ - $ - 0% Gasoline Tax - RMRA 2,902,974 3 ,069,996 2 ,951,612 3,156,556 7% GASB 31 Market Value Adjustmnt 198,542 218,444 - - 0% Total Fund 251 $ 3,399,347 $ 3,735,230 $ 2,951,612 $ 3,156,556 7% CAPITAL PROJECTS FUNDS Fund 208 - Park Development Fees Investment Earnings $ 66,926 $ 74,554 $ - $ - 0% Park Development Fees 142,598 262,786 100,000 200,000 10 0% GASB 31 Market Value Adjustmnt 36,908 29,783 - - 0% Total Fund 208 $ 246,433 $ 367,122 $ 100,000 $ 200,000 10 0% Fund 209 - Drainage Fees Investment Earnings $ 53,870 $ 74,699 $ 2,339 $ - -100% Drainage Assessment Fees 81,806 150,933 100,000 120,000 20% GASB 31 Market Value Adjustmnt 32,291 3 4,818 - - 0% Total Fund 209 $ 167,968 $ 260,450 $ 102,339 $ 120,000 17% Fund 214 - Traffic Impact Fees Investment Earnings $ 120,724 $ 145,916 $ - $ - 0% Traffic Impact Fees 39,292 554,731 600,000 400,000 -33% GASB 31 Market Value Adjustmnt 69,611 61,768 - - 0% Total Fund 214 $ 229,627 $ 762,416 $ 600,000 $ 400,000 -33% Fund 401 - Capital Outlay Investment Earnings $ 726,432 $ 1,067,851 $ - $ - 0% GASB 31 Market Value Adjustmnt 4 77,293 5 02,418 - - 0% Other Federal Grants 2,972 516,334 - - 0% Other Governmental Agencies 150,000 50,000 - - 0% Other Reimbursements 9,254 22,376 - - 0% Other 26,598 25 - - 0% Total Revenues $ 1,392,551 $ 2,159,003 $ - $ - 0% Operating Transfers In $ 7,194,994 $ 3,949,994 $ 1,200,000 $ 6 ,709,516 459% Total Other Financing Sources $ 7,194,994 $ 3,949,994 $ 1,200,000 $ 6,709,516 459% Total Fund 401 $ 8,587,545 $ 6,108,997 $ 1,200,000 $ 6,709,516 459% 34 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 All Funds Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26 -27 Proposed Budget % Incr/ (Dec) Fund 409 - Vehicle Parking District 1 Secured Property Tax $ 9,124 $ 9,972 $ 4,000 $ 4,000 0% Unsecured Property Tax 12 13 12 12 0% Supplemental Property Tax 11 10 11 11 0% Homeowners Property Tax 2 2 2 2 0% Delinquent Tax - Penalties/Int 1 1 1 1 0% Investment Earnings 1,284 2,072 - - 0% GASB 31 Market Value Adjustmnt 870 1,026 - - 0% Total Fund 409 $ 11,303 $ 13,095 $ 4,026 $ 4,026 0% Fund 410 - Vehicle Parking District 2 Secured Property Tax $ 15,440 $ 17,894 $ 12,260 $ 12,260 0% Unsecured Property Tax 10 11 11 11 0% Supplemental Property Tax 9 8 11 11 0% Homeowners Property Tax 1 1 2 2 0% Delinquent Tax - Penalties/Int 0 1 1 1 0% Investment Earnings 2,844 4,445 - - 0% GASB 31 Market Value Adjustmnt 1,888 2 ,174 - - 0% Total Fund 410 $ 20,193 $ 24,534 $ 12,285 $ 12,285 0% Fund 413 - Golf Course Improvement Investment Earnings $ 15,581 $ 6 7,726 $ - $ - 0% Golf Course Operations 179,443 186,142 110,000 110,000 0% GASB 31 Market Value Adjustmnt 9 ,183 12,030 - - 0% Total Fund 413 $ 204,207 $ 265,897 $ 110,000 $ 110,000 0% Fund 415 - Measure M2 Competitive Measure “M2” Regional Grant $ 6 80,760 $ 375,000 $ - $ - 0% Total Fund 415 $ 680,760 $ 375,000 $ - $ - 0% Fund 416 - Measure M2 Fairshare Investment Earnings $ 176,465 $ 254,273 $ - $ - 0% Measure “M2” Fairshare 3 ,489,746 3,485,654 3,982,472 3,675,207 -8% GASB 31 Market Value Adjustmnt 119,330 120,327 - - 0% Total Fund 416 $ 3,785,541 $ 3,860,254 $ 3,982,472 $ 3,675,207 -8% Fund 417 - Jack Hammett Sports Complex Capital Improvement Investment Earnings $ 9,809 $ 15,605 $ - $ - 0% Jack Hammett Field Rental 165,000 - - - 0% GASB 31 Market Value Adjustmnt 7,527 8,278 - - 0% Total Fund 417 $ 182,336 $ 23,882 $ - $ - 0% Fund 420 - Park Land Acquisition Operating Transfers In $ 384,576 $ - $ - $ - 10 0% Investment Earnings $ 1,516 $ 11,104 $ - $ - 0% GASB 31 Market Value Adjustmnt $ 5,866 $ 5 ,960 $ - $ - 0% Total Fund 420 $ 391,958 $ 17,065 $ - $ - 100% 35City of Costa Mesa, California suMMarIes of fInancIal data All Funds Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26 -27 Proposed Budget % Incr/ (Dec) INTERNAL SERVICE FUNDS Fund 601 - Equipment Replacement Fund Investment Earnings $ 193,338 $ 190,744 $ 5 2,313 $ 5 2,313 0% Sale of Automotive Equipment 118,453 123,424 - - 0% Sale of Other Equipment 59,764 4,406 - - 0% Automotive Equipment, Rental 5,846,393 6 ,143,747 5 ,901,286 5 ,901,286 0% GASB 31 Market Value Adjustmnt 117,420 9 8,154 - - 0% Damage to City Property 10,000 - - - 0% Other Reimbursements - 44,188 - - 0% Other - 232 - - 0% Total Revenues $ 6,345,367 $ 6,604,893 $ 5,953,599 $ 5,953,599 0% Operating Transfers In $ 170,000 $ - $ - $ - 0% Total Other Financing Sources $ 170,000 $ - $ - $ - 0% Total Fund 601 $ 6,515,367 $ 6,604,893 $ 5,953,599 $ 5,953,599 0% Fund 602 - Self Insurance Fund Investment Earnings $ 452,080 $ 5 56,617 $ - $ - 0% Unemployment Premiums 80,180 80,180 80,180 80,180 0% General Liability Premiums 2,072,221 2,072,221 2,392,171 2 ,900,864 21% Workers’ Compensation Premiums 2,939,914 2,939,914 2 ,939,914 2 ,939,914 0% GASB 31 Market Value Adjustmnt 283,642 255,878 - - 0% Damage to City Property - 29,258 - - 0% Total Revenues $ 5,828,037 $ 5,934,068 $ 5,412,265 $ 5,920,958 9% Operating Transfers In $ 432,039 $ - $ - $ - 0% Total Other Financing Sources $ 432,039 $ - $ - $ - 0% Total Fund 602 $ 6,260,076 $ 5,934,068 $ 5,412,265 $ 5,920,958 9% Fund 603 - IT Replacement Fund Investment Earnings $ 248,493 $ 362,202 $ - $ - 0% GASB 31 Market Value Adjustmnt 174,489 189,300 - - 0% Total Revenues $ 422,981 $ 551,501 $ - $ - 0% Operating Transfers In $ 3 ,114,347 $ 2,856,000 $ 1 ,597,836 $ 3,115,809 95% Total Other Financing Sources $ 3,114,347 $ 2,856,000 $ 1,597,836 $ 3,115,809 95% Total Fund 603 $ 3,537,328 $ 3,407,501 $ 1,597,836 $ 3,115,809 95% TOTAL REVENUES $ 221,401,890 $ 235,498,183 $ 218,760,424 $ 231,101,144 6% TOTAL OTHER SOURCES $ 10,911,380 $ 6,805,994 $ 2,797,836 $ 9,825,325 251% GRAND TOTAL ALL FUNDS $ 232,313,270 $ 242,304,177 $ 221,558,260 $ 240,926,469 9% 36 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 General Fund Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26-27 Proposed Budget % Incr/ (Dec) GENERAL FUND Fund 101 - General Fund Taxes Secured Property Tax $ 3 7,592,131 $ 39,550,555 $ 42,215,803 $ 4 2,471,611 1% Unsecured Property Tax 1,091,599 1,231,279 1,225,024 1,459,338 19% Supplemental Property Tax 933,133 9 48,375 996,508 1,010,873 1% Homeowners Property Tax 145,287 144,520 168,295 151,779 -10% Delinquent Tax - Penalties/Int 68,540 81,685 72,539 89,629 24% Property Transfer Tax 995,403 871,383 1,139,605 924,364 -19% Property Tax In-Lieu of VLF 15,639,656 16,489,859 17,154,400 17,903,308 4% Sales Tax 76,400,160 78,244,492 73,654,333 8 1,105,836 10% Sales Tax - Prop 172 1,396,143 1,392,219 1,395,843 1,435,997 3% Transient Occupancy Tax 10,150,696 9,962,421 9,843,276 10,573,611 7% Electric Utility Franchise Tax 1,781,661 1 ,859,611 1,859,611 1,896,233 2% Cable TV Franchise Tax 722,645 646,857 838,557 486,242 -42% PEG Cable TV Franchise Tax 172,565 125,179 164,416 10 8,623 -34% Gas Utility Franchise Tax 3 92,610 258,366 412,610 302,586 -27% Business License Tax 7 07,121 978,401 940,807 980,741 4% - - - Solid WasteHauler Frnchise Tax 3,473,321 3 ,747,137 3,603,384 4,639,062 29% Cannabis X Bus Tax 5 14,354 747,736 708,201 779,376 10% Cannabis Q Bus Tax 2 ,416,215 2,871,971 2,907,066 2,884,977 - Total Taxes $ 154,593,240 $ 160,152,045 $ 159,300,278 $ 169,204,186 6% Licenses and Permits Dog Licenses $ 63,545 $ 7 0,818 $ 74,066 $ 66,183 -11% Fire Permits 7 7,610 92,565 101,542 97,706 -4% Fire Construction Permits 101,680 97,651 243,155 118,212 -51% Building Permits 2,318,788 3,065,605 3,344,210 3,511,420 5% Electrical Permits 215,770 225,751 293,872 279,983 -5% Plumbing/Mechanical Permits 232,545 282,246 318,505 299,059 -6% Street Permits 881,628 9 55,175 9 08,510 1,320,701 45% Special Business Permits - - 430 - -100% Cannabis X Bus Permit 273,236 159,734 191,465 84,099 -56% Cannabis Q Bus Permit - 68,088 118,441 88,972 -25% Home Occupation Permits 15,901 19,600 25,963 19,631 -24% Operator’s Permits 9,406 4,875 2,500 4,259 70% Self-Haul Permit 40,600 32,800 3 7,260 33,161 -11% Other Permits 37,897 42,591 40,308 46,934 16% Total Licenses and Permits $ 4,268,606 $ 5,117,499 $ 5,700,227 $ 5,970,320 5% 37City of Costa Mesa, California suMMarIes of fInancIal data General Fund Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26-27 Proposed Budget % Incr/ (Dec) Fund 101 - General Fund (continued) Fines and Forfeitures Municipal Code Violations $ 8 3,752 $ 111,391 $ 175,000 $ 116,254 -34% Vehicle Code Violations 2 15,612 2 51,913 293,588 285,033 -3% Parking Citations 980,277 1,069,108 803,503 1,240,704 5 4% Red-Light Violation 1 7,678 23,352 30,000 20,000 -33% Total Fines and Forfeitures $ 1,297,319 $ 1,455,764 $ 1,302,091 $ 1,661,991 28% Use of Money and Property Investment Earnings $ 1,167,635 $ 1,585,572 $ 500,000 $ 1,100,000 120% GASB 31 Market Value Adjustmnt 7 79,833 643,356 (500,000) - -100% Int. Earned on Lease Payments 113,866 50,135 88,493 50,000 -43% Buildings/Grounds, Rental 250,879 251,784 260,000 252,288 -3% Downtown Community Center,Rent 22,021 33,910 21,758 33,978 56% Balearic Community Center,Rent 11,831 13,027 12,573 13 ,053 4% N Hertzog Comm Center, Rent 107,158 127,166 128,122 129,222 1% Senior Center, Rental 14 0 - - - 10 0% Field Rental 14 8,210 167,089 202,311 202,102 0% Tennis,Rental 7 3,816 72,406 100,000 63,481 -37% 3175 Airway Rental 125,940 72,263 - - 10 0% Golf Course Operations 3,717,380 3,974,455 4 ,205,161 4,193,934 0% Bus Shelter Advertising 5 5,419 99,325 89,832 103,565 15% Total Use of Money and Property $ 6,574,128 $ 7,090,489 $ 5,108,250 $ 6,141,623 20% Other Government Agencies Other Federal Grants $ 838,889 $ 3 26,713 $ 53,354 $ - -100% Motor Vehicle In-Lieu Tax 13 8,951 177,378 177,378 203,035 14% Peace Offcrs. Stand./Training 28,253 27,273 30,300 30,000 -1% Beverage Container Program - - 31,050 - -100% Mattress Recycling Council 9,000 7,770 10 ,500 7,700 -27% Reimb. of Mandated Costs 252,485 245,827 55,000 2 58,118 369% Other State Grants 618,821 1,141,377 350,000 650,000 86% Other County Grants/Programs 294,107 2 57,866 230,000 300,000 30% Total Other Govt. Agencies $ 2,180,506 $ 2,184,204 $ 937,582 $ 1,448,853 55% Fees and Charges Plan Check Fee $ 1,367,067 $ 1,654,522 $ 1,765,079 $ 2,057,180 17% Zoning, Variance & CUP Fees 373,225 362,735 411,971 $ 4 53,178 10% Cannabis X CUP - - - $ 2 2,105 10 0% Cannabis Q CUP 36,998 (14,799) - $ - 10 0% Subdivision Map Fees 32,600 50,600 28,070 $ 5 4,193 93% Environmental Impact Fees 1,530 15,926 6,469 $ 17,223 166% Vacation/Abandonment of R-O-W - - 750 $ - -100% 38 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 General Fund Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26-27 Proposed Budget % Incr/ (Dec) Fund 101 - General Fund (continued) Fees and Charges (continued) Source Reduction/Recycling $ 1,830 $ 2,440 $ 2,484 $ 2 ,613 5% Self Haul Per-Project Fee 190,088 263,745 230,000 227,328 -1% Special Policing Fees 4 26,674 454,072 400,000 486,311 22% Cannabis X Background 14 4,499 61,181 3 8,813 30,051 -23% Cannabis Q Background 199,396 53,856 60,576 46,696 -23% Vehicle Storage/Impound Fees 337,100 466,293 350,000 481,705 38% Vehicle Code Violation Fee 780 735 1,085 267 -75% Repossessed Veh. Release Fees 3,090 3,261 3,728 3,625 -3% DUI Emergency Response - - - - 10 0% Police False Alarms 168,753 262,345 200,000 217,701 9% Fingerprinting 13,372 9,568 2 3,175 5,947 -74% Animal Pound Fees - 20,010 - 6,027 10 0% Fire Inspections 4,930 3,735 10 ,350 5,141 -50% EMS - First Responder Fee - - 1,001 - -100% Paramedic Fee - Advanced 7,105,819 7,462,703 7,898,044 8,227,630 4% Paramedic GEMT Fees - - (140,887) (140,887) 0% Fire Plan Review Fees 79,643 87,754 158,288 120,408 -24% Accident Cost Recovery 33,403 12 ,136 26,486 - -100% Fire Special Event Fees 20,845 18 ,614 41,462 79,550 92% Park Permits 50,849 48,714 50,000 3 7,494 -25% Park Improvements 7,185 2,215 17,624 4,730 -73% Youth Sports (0) - - - - Aquatics 90,987 116,902 73,200 8 7,663 20% Day Camp 199,885 180,235 187,500 160,000 -15% Playgrounds 308,380 343,133 308,339 3 50,219 14% Special Events 39,420 32,200 37,800 23,946 -37% Early Childhood 132,241 129,052 131,328 13 4,305 2% Instructional Classes 2 01,533 226,868 350,000 248,349 -29% Basketball 27,275 31,369 26,200 - -100% Adult Open Gym 9,855 11,176 6,750 12,192 81% Softball 38,283 34,320 3 7,500 34,867 -7 % Adult Futsal - - - - 10 0% Teen Camp 38,725 51,907 37,000 35,000 -5% Senior Center Charges 9,621 10,217 7,800 12,508 60% Community Event Charges 1,825 (30) 6,500 - -100% Photocopies 3,752 3,503 3,300 3,500 6% Building Doc Retention Fee 12,652 870 91,080 - -100% Police Reports 27,765 23,517 29,246 26,458 -10% Police Clearance Letters 2 ,910 2,395 3,958 2 ,515 -36% Sale of Other Supplies - - 700 - -100% Central Services Charges 66,875 65,936 80,000 66,029 -17% Business License Proc Fee 36,202 40,365 45,000 43,932 -2% EV Charge Station Fees 3 7,823 60,884 40,000 55,705 39% Other Charges for Services 15,583 24,629 30,000 7,606 -75% Special Assessments - - 1,000 - -100% 39City of Costa Mesa, California suMMarIes of fInancIal data General Fund Revenues and Sources of Funds From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Fund/Account Description FY 23-24 Actual FY 24-25 Actual FY 25-26 Adopted Budget FY 26-27 Proposed Budget % Incr/ (Dec) Residential Permit Parking 3 0,712 37,683 62,437 45,383 -27% TESSA C. Cards Transaction Fee - - - 193,162 - Total Fees and Charges $ 11,931,983 $ 12,729,491 $ 13,181,206 $ 13,989,555 6% Fund 101 - General Fund (continued) Other Revenues Contributions $ - $ - $ 25,000 $ - -100% Sponsorship 61,000 32,500 60,000 112,000 87% Donations 75,006 50,006 75,000 50,000 -33% Construction Permit Insp. Fees 158,745 198,250 180,000 186,164 3% Damage to City Property 160,899 25,007 100,000 61,974 -38% Civil Subpoena Costs 18,433 19,410 14 ,407 14 ,466 0% Settlements Revenue 113,012 42,091 20,000 11,268 -44% Bus Shelter Maint Reimb 35,000 - 35,000 70,000 10 0% Public Notices 11,752 31,900 24,840 33,993 37% Other Reimbursements 789,620 862,596 470,000 832,538 77% Nonoperating Income - Other 1,368,045 - - - 10 0% Sale of Other Equipment - - 100 - -100% Other (89,923) 2 9,168 300,000 157,644 -47% Other Governmental Agencies 49,577 25,599 21,625 20,000 -8% Total Other Revenues $ 2,751,165 $ 1,316,527 $ 1,325,972 $ 1,550,047 17% Total Revenues $ 183,596,946 $ 190,046,019 $ 186,855,606 $ 199,966,575 7% Other Financing Sources Operating Transfers In $ 888,618 $ 631 $ - $ - 10 0% Total Other Financing Sources $ 888,618 $ 631 $ - $ - 100% Total Fund 101 $ 184,485,564 $ 190,046,650 $ 186,855,606 $ 199,966,575 7% 40 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Sales Tax In-Lieu Sales and Use Tax - Prop 172 Sales and Use Tax FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $12,000,000$24,000,000$36,000,000$48,000,000 $60,000,000$72,000,000$84,000,000$96,000,000 Sales and Use Tax Description Sales tax applies to all retail sales of goods and merchandise except those specifically exempt by law. Use tax generally applies to the storage, use, or other consumption in California of goods purchased from retailers in transactions where sales tax is not collected. A portion of the sales and use tax is a state tax while another portion is a locally imposed tax. The current sales and use tax rate in the City of Costa Mesa is 7.75% on all taxable sales, of which Costa Mesa receives an “effective” rate of 1%. What is also included is the Proposition 172 half-cent sales and use tax approved by voters in 1993 to cushion the impact of the “Educational Revenue Augmentation Fund” (ERAF) property tax shifts. The State collects the Proposition 172 tax and apportions it to each county based on their proportionate share of statewide taxable sales. Each county is then required to allocate this revenue to the cities for public safety services only. The sales and use tax rate at the City is broken down as follows: State General Fund 5.00% City of Costa Mesa General Fund 1.00% Countywide Transportation Tax 0.25% County Mental Health 0.50% Public Safety Augmentation Fund (Prop 172) 0.50% County Transactions Tax (Measure M) 0.50% Total Rate 7.75% Sales and use tax represents Costa Mesa’s single largest revenue source at approximately 40 percent of the total General Fund revenues projected for Fiscal Year 2026-27. Trend Current year’s influences on Sales and Use Tax include the impact on consumer spending and sentiment, persistent inflation, uncertain fiscal policy, and high interest rates on large purchases such as autos, home improvement and large household items. Fuel prices remain volatile due to dynamic demand as a result of global economic uncertainty. Outlook Sales tax receipts are forecasted to continue slightly grow in Fiscal Year 2026-27 from Fiscal Year 2025-26. While the consumer spending has previously proven to be relatively resistant, higher costs on core household goods, persistently high interest rates, geopolitical conflict, increased fuel prices, and uncertainty of fiscal policy (such as tariffs) on future inflation and economic growth have led consumers to remain cautious. A moderate sales tax receipt increased is forecasted at this time, however economic growth will be dependent on Fed policy and the duration of geopolitical conflict. 41City of Costa Mesa, California suMMarIes of fInancIal data Property Tax In-Lieu of VLF Property Transfer Tax Delinquent Tax - Penalties/Int Property Tax - Homeowners Property Tax - Secured - Suplemental Property Tax - Unsecured Property Tax - Secured FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $12,000,000 $24,000,000 $36,000,000 $48,000,000 $60,000,000 $72,000,000 Property Tax Description Property tax is imposed on real property (defined by land and permanently attached improvements such as buildings) and tangible personal property (movable property) located within Costa Mesa, based on the property value. Properties are distinguished as secured and unsecured (property for which the value of the lien is not sufficient to assure payment of the tax). With the passage of Proposition 13 in 1978, property taxes may not exceed 1% of the assessed value. The City’s share of the 1% is equivalent to 15 cents on every dollar collected by the County for property taxes. Assessment increases to reflect current market values are allowed when property ownership changes or when improvements are made; otherwise, increases in assessed value are based on the Consumer Price Index (CPI), capped at 2% per year. The CPI for Fiscal Year 2026-27 is 2.37%. The City’s top property taxpayers include The Irvine Company, South Coast Plaza, PR II MCC South Coast Property Owners LLC, United Dominion Realty LP, Advanced Costa Mesa 23 LLC, and Automobile Club of Southern CA. This category also includes property tax in lieu of vehicle license fees (VLF). Prior to the 2004 State Budget Act, the VLF tax rate was 2% of the motor vehicle value. The State General Fund “offset” 67.5% of this tax resulting in an effective VLF tax rate of 0.65%. A backfill from the S tate’s General Fund brought the cities and counties’ revenue share equivalent to a full 2% VLF tax rate. The 2004 budget included a permanent reduction of the VLF rate to 0.65%, eliminated the VLF backfill and replaced it with a matching amount of property taxes. After FY 2004-05, each city’s property tax in Lieu of VLF increases (or decreases) annually in proportion to the change in the jurisdiction’s assessed valuation. Property tax represents Costa Mesa’s second largest revenue source at approximately 24% of the total General Fund revenues for Fiscal Year 2026-27. Trend Home sales in fiscal year 2025-2026 have remained relatively flat versus the prior fiscal year as demand leveled off due to high interest rates. The median price in the City for 2025 increased from 2024 by 7.02 percent to $1,600,000. Outlook For Fiscal Year 2026-27, estimated revenue from property tax is $64.0 million. This estimate is an increase of $1.0 million, or 1.6 percent over the Fiscal Year 2025-26 adopted budget.The persistent pressure on the available homes for sale along with higher interest rates have not resulted in the year-over-year growth as we saw during the post-pandemic period. The City retains HdL Coren & Cone, an expert in municipal finance, to assist with forecasting, trend analysis, and other property tax services. 42 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Transient Occupancy Tax FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $1,200,000 $2,400,000 $3,600,000 $4,800,000 $6,000,000 $7,200,000 $8,400,000 $9,600,000 $10,800,000 $12,000,000 Transient Occupancy Tax Description Transient occupancy tax (TOT) is imposed on persons staying 30 days or less in a hotel, inn, motel, tourist home, or other lodging facilities. There are 29 hotels and lodging facilities located within Costa Mesa and the current TOT rate i s 8 %. A dditionally, t he C ity C ouncil a dopted a b usiness i mprovement a rea (BIA), w hich i ncludes m emberships from 11 Costa Mesa hotels. BIA imposes an additional 3% levy on stays at member hotels and the collection is remitted to Travel Costa Mesa, a non-profit organization, to promote travel and tourism throughout the City. Factors influencing TOT revenue include business and leisure travel, new hotels, hotel expansion, and room rate increases. Due to close proximity to the John Wayne Airport, the Costa Mesa hotel market benefits from business and leisure spending of both domestic and international travelers. TOT is the General Fund’s fourth largest revenue source at approximately 5% of the total General Fund revenues. Trend Costa Mesa saw a slight uptick in travel early in the Fiscal Year 2025-26 , however a reduction in spending by consumers on leisure travel may transpire if high fuel prices persist. . Outlook In Fiscal Year 2026-27, hotel tax is projected at $10.6 million, with an increase of approximately $0.7 million or 7.4 percent above the prior year. Despite concerns over U.S. policies and geopolitical conflict, travel and hotel tax revenue is forecasted to increase slightly. The stock market has reached all-time highs, which increases the wealthier households’ discretionary spending on experiences such as leisure travel.. 43City of Costa Mesa, California suMMarIes of fInancIal data Solid Waste Hauler Franchise Fee Gas Franchise Fee PEG Cable Franchise Fee Cable TV Franchise Fee Electric Franchise Fee FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $1,500,000 $3,000,000 $4,500,000 $6,000,000 $7,500,000 $9,000,000 Franchise Fees Description Solid waste hauler franchise fee is the City’s largest franchise fee, which is estimated to be at approximately $4.6 million annually. The City Council adopted the Solid Waste Hauler Franchise Ordinance and corresponding franchise fees, effective February 1, 2005. Over the years, the City Council revised the ordinance to define hauler classes and adopted new fees. The City’s current solid waste hauler franchise fee is 16 percent of gross receipts on business conducted within Costa Mesa. The City also allows contractors to obtain a Self-Haul Permit and corresponding Per-Project Permit. These permit fees are categorized under the licenses and permits and fees and charges for services revenue accounts, respectively. The City grants franchise rights to three other businesses that use City streets and rights-of-way: electric, gas, and cable television. Currently, the City collects electric and gas franchise fees equal to 2 percent of gross receipts, and cable franchise fees equal to 5 percent of gross receipts. The electric and gas franchise fees are paid annually while the cable franchise fees are paid on a quarterly basis. The California Public Utility Commission limits electric and gas franchise fees to 2 percent and cable franchise fees to 5 percent of gross receipts. Any growth in utility franchise revenues would be as a result of utility rate increases imposed by the electric, gas, and cable companies. The cable franchise also pays a PEG (Public, Education, and Government) fee, estimated at $109,000 for next year. The General Fund uses this amount to support the operating costs of public access cable television services provided by the City. Trend Solid waste hauling activities from commercial and residential projects have increased steadily over the past several years. The revenue is expected to continue since the City is built out and property owners often opt to renovate or rebuild their property. Any growth in electric and gas franchise fees is limited to rate increase and additional new development. Outlook For Fiscal Year 2026-27, franchise tax revenue is estimated at $7.4 million. Franchise fees revenue makes up approximately 4 percent of the total General Fund revenues. 44 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Business License Tax FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 Business Licenses Description Business licenses are issued for either regulatory or cost recovery purposes, to applicants who conduct business activities within the City. The regulatory authority provides cities the means to protect overall community interests. The City of Costa Mesa contracts with HdL Companies to conduct a review of the businesses that are operating in the City. Business licenses tax is capped at $200 and has not been adjusted in over four decades. Trend In Fiscal Year 2024-25, business license revenue rebounded from prior fiscal year and any lingering impacts from the COVID-19 pandemic and is projected to remain solid in Fiscal Year 2025-26 in spite of some fiscal and immigration policy uncertainty, tariffs, and increasing fuel prices affecting businesses. Outlook For Fiscal Year 2026-27, estimated revenue from business licenses is $980,741, which represents 0.5% of total General Fund revenues. 45City of Costa Mesa, California suMMarIes of fInancIal data Other Street Permits Plumbing/Mechanical Permits Electrical Permits Building Permits FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $800,000 $1,600,000 $2,400,000 $3,200,000 $4,000,000 $4,800,000 $5,600,000 $6,400,000 $7,200,000 $8,000,000 Licenses and Permits Description Licenses and permits are issued for either regulatory or cost recovery purposes, to applicants who conduct business activities within the City. The regulatory authority provides cities the means to protect the overall community interests. An example of licenses issued is animal licenses. Major categories of permits are street permits, building permits, electrical permits, plumbing permits, and mechanical permits. Also included in the permit revenue are cannabis business permits. Building permits is the largest category of the license and permits revenue at $3.3 million, followed by street and plumbing permits respectively. Building permits are required for most structure modifications and its volume reflects the local building activities. Trend While the total license and permit fee revenues for Fiscal Year 2024-25 has been strong, 2025-26 revenues are projected to continue to show growth, in spite of some potential negative impacts from higher interest rates and slower overall economic growth. Outlook With rising interest rates tempering selling activity, property owners are still likely to maintain home improvement spending. For Fiscal Year 2026-27, estimated revenue from licenses and permits is $6.0 million, which represents approximately 3% of total General Fund revenues. 46 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Red Light Violations Parking Citations Vehicle Code Violations Municipal Code Violations FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 $1,600,000 $1,800,000 $2,000,000 Fines and Forfeitures Description Fines and forfeitures primarily come from municipal code violations, motor vehicle code violations, and parking fines. A mounts paid b y a defendant include fi nes a nd various p enalties, a ssessments, a nd restitution. Cities s hare the revenue from fines and forfeitures with the State and the County. Parking citation is the largest line item in fines and forfeitures at approximately $1.0 million. The citations are generally f or v iolations t hat c orrespond t o t he  no p arking o rdinances. F ines v ary d epending o n the t ype o f violation.  Trend Fines and forfeitures have been relatively consistent over the years, fluctuating between $1.1 million and $1.9 million over the last 10 years. Fiscal Year 2026-27 is projected to increase by $300,000 from the prior Fiscal Year. Outlook For Fiscal Year 2026-27, estimated revenue from fines and forfeitures is $1.7 million, which represents approximately 1% of the total General Fund revenue. The estimated amount is reflected from last year’s projected revenues. 47City of Costa Mesa, California suMMarIes of fInancIal data Rental Income Other Interest GASB 31 Adjustment Investment Earnings FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $-1,000,000 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 Use of Money and Property Description Use of money and property consists of interest earned from investing the City’s idle cash, rental of various City facilities such as the golf course, parks, athletic fields, community centers, tennis center, and lease from the bus shelter space for advertising. The largest income item in this category is from the golf course operations, which is projected to generate $4.2 million in rental revenue. A private company manages the golf course operations on behalf of the City under an agreement through August 31, 2029. In return, the City receives between 6% to 35% of gross receipts on green fees, food and beverages, banquet facilities, and the pro shop. Fees were increased in Fiscal Year 2022-23. Other significant revenue included in this category under normal economic circumstances is the City’s investment portfolio earnings. The City’s investment portfolio, valued approximately at $140 million, generates a steady income stream from interest. However, the market-to-market adjustment, which is required under the Government Accounting Standards Board (GASB), is not budgeted due to its unpredictability.   Trend The golf course operation generates approximately 81% of the City’s rental income and has remained a stable source of revenue even during the pandemic. This trend is expected to continue as weather permits. Outlook For Fiscal Year 2026-27, estimated revenue from use of money and property total $6.1 million, or approximately 3 % of the total General Fund revenues. The estimate represents a decrease in approximately $1.1 million increase from prior year’s adopted estimate. Included in this total is also estimated Investment Earnings and the GASB impact at year end. 48 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Other Fees and Charges Central Service Charges Recreation Fees Ambulance Transportation Program Vehicle Storage/Impound Fees Special Policing Fees Zoning/Variance/CUP Fees Plan Checking Fee FY 1 7 - 1 8 A c t u a l FY 1 8 - 1 9 A c t u a l FY 1 9 - 2 0 A c t u a l FY 2 0 - 2 1 A c t u a l FY 2 1 - 2 2 A c t u a l FY 2 2 - 2 3 A c t u a l FY 2 3 - 2 4 A c t u a l FY 2 4 - 2 5 A c t u a l FY 2 5 - 2 6 A d o p t e d FY 2 6 - 2 7 P r o p o s e d $0 $1,500,000 $3,000,000 $4,500,000 $6,000,000 $7,500,000 $9,000,000 $10,500,000 $12,000,000 $13,500,000 $15,000,000 Fees and Charges for Services Description Cities have the general authority to impose fees or charges for services. Fees and charges are distinguished from taxes i n two p rincipal w ays: 1) t he a mount o f the f ee m ay n ot e xceed t he e stimated r easonable c ost o f providing t he particular service or facility for which the fee is charged; and 2) the service or facility for which the fee is charged bears a relationship to the person or entity paying the fee. Costa Mesa’s fees and charges include: user fees charged to a person or entity participating in the various recreation classes offered by the City, plan check fees, other services provided by the Planning Division related to zoning and conditional use permits, fingerprinting, false alarms, police reports, fire inspection, ambulance transportation, and hazardous materials disclosure fees. When the City reviews its user fees and charges, it submits any changes for Council approval. User fees and charges were revised effective January 1, 2009. A review of user fees and charges is currently being conducted with the assistance of a consultant for cost recovery. Since then, certain fees have been updated and approved by the Council. For classes offered by the Parks and Community Services Department, fee changes are also reviewed and approved by the Parks, Arts, and Community Services Commission.   Trend In 2018, the City Council authorized the annual adjustment of building fees to align to the change in regional consumer price index (CPI). Fees not proposed for adjustment are primarily Recreation and Facility Rental Fees and fees limited by S tate Law. It is the intent of staff to perform a full cost of service study every three to five years and to submit CPI adjustment during interim years with only minor adjustments. The ambulance transportation program, the largest fee line item, will be in its ninth year of operation in Fiscal Year 2026-27. With the adoption of this budget, staff recommends resuming use of a waste fee schedule. This is simply consolidating the city’s various existing fees into a consolidated document. Outlook For Fiscal Year 2026-27, estimated revenue from fees and charges for service is $13.5 million, which represents approximately 7 percent of the total General Fund revenue. This includes a proposed consumer price index (CPI) increase of 3.3% to certain fees and a new credit card processing fee of 2.7%. This projected revenue is slightly higher to the prior year’s adopted budget. 49City of Costa Mesa, California suMMarIes of fInancIal data Schedule of Interfund Transfers for the Fiscal Year Ending June 30, 2027 Fund Transfers In Transfers Out General Fund - 101 9,825,324 IT Replacement Fund - 603 3,115,809 Capital Improvement Fund - 401 6,709,516 Subtotal $ 9,825,325 $ 9,825,324 TOTAL $ 9,825,325 $ 9,825,324 50 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 By Category SalariesSalaries $80.6M; (33.3%)$80.6M; (33.3%) Salaries $80.6M; (33.3%) BenefitsBenefits $26.8M; (11.1%)$26.8M; (11.1%) Benefits $26.8M; (11.1%) RetirementRetirement $44.1M; (18.2%)$44.1M; (18.2%) Retirement $44.1M; (18.2%)Maintenance and OperationsMaintenance and Operations $52.0M; (21.5%)$52.0M; (21.5%) Maintenance and Operations $52.0M; (21.5%) Fixed AssetsFixed Assets $5.1M; (2.1%)$5.1M; (2.1%) Fixed Assets $5.1M; (2.1%) Transfers OutTransfers Out $9.8M; (4.1%)$9.8M; (4.1%) Transfers Out $9.8M; (4.1%) Capital ImprovementCapital Improvement $23.6M; (9.7%)$23.6M; (9.7%) Capital Improvement $23.6M; (9.7%) Total Appropriations - All Funds (Including Transfers) Total Appropriations - All Funds (Including Transfers) for the Fiscal Year Ending June 30, 2027 Total Appropriations - All Funds - $244.9 (Includes Capital Improvement) (in millions) 51City of Costa Mesa, California suMMarIes of fInancIal data Summary of Appropriations by Department/by Category – All Funds (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Department/Category FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget City Council Salaries and Benefits $ 5 72,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations 178,062 193,616 161,181 161,181 Fixed Assets - - 2,000 2,000 Subtotal City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 City Manager’s Office Salaries and Benefits $ 9,010,354 $ 10,677,599 $ 10 ,096,234 $ 10,987,159 Maintenance and Operations 7,488,942 8,025,001 4,912,360 5,399,603 Fixed Assets 10 0,887 14,054 16,900 8 ,900 Subtotal City Manager’s Office $ 16,600,184 $ 18,716,655 $ 15,025,494 $ 16,395,662 City Attorney Maintenance and Operations 9 77,061 1,107,716 1,123,700 1 ,157,411 Subtotal City Attorney $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Finance Salaries and Benefits $ 3,578,893 $ 4,440,258 $ 4,985,873 $ 5,168,834 Maintenance and Operations 7 98,210 603,605 1,273,330 852,551 Fixed Assets 39,480 17,094 7 87,300 3 7,300 Subtotal Finance $ 4,416,583 $ 5,060,956 $ 7,046,503 $ 6,058,685 Parks and Community Services Salaries and Benefits $ 7,058,462 $ 7,927,841 $ 6,594,381 $ 7,087,395 Maintenance and Operations 3,340,631 3 ,182,807 3 ,267,445 3,215,358 Fixed Assets 16,647 2,350 3,800 3,800 Subtotal Parks and Community Services $ 10,415,740 $ 11,112,999 $ 9,865,626 $ 10,306,553 Information Technology Salaries and Benefits $ 4 ,141,132 $ 4,879,652 $ 4 ,819,929 $ 5 ,195,161 Maintenance and Operations 858,650 791,693 965,396 5 14,570 Fixed Assets 1,370,904 1,040,493 1,883,227 2 ,271,416 Subtotal Information Technology $ 6,370,686 $ 6,711,838 $ 7,668,552 $ 7,981,147 Police Department Salaries and Benefits $ 56,060,741 $ 60,479,457 $ 56,296,322 $ 63,430,864 Maintenance and Operations 6,825,972 6,616,157 6 ,661,265 5 ,814,025 Fixed Assets 1,088,630 1,101,589 993,216 1,238,016 Subtotal Police Department $ 63,975,342 $ 68,197,203 $ 63,950,803 $ 70,482,905 Fire and Rescue Department Salaries and Benefits $ 29,489,641 $ 33,418,841 $ 32,985,288 $ 33,700,551 Maintenance and Operations 5 ,644,516 5 ,722,116 5,885,188 5,688,188 Fixed Assets 25,478 26,379 32,990 32,990 Subtotal Fire and Rescue Department $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 52 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Summary of Appropriations by Department/by Category – All Funds (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Department/Category FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Development Services Salaries and Benefits $ 8 ,452,749 $ 8,915,953 $ 9,454,779 $ 10,184,644 Maintenance and Operations 2 ,113,323 2,253,568 2,000,455 2 ,183,180 Fixed Assets 83,403 11,882 28,250 54,500 Subtotal Development Services $ 10,649,476 $ 11,181,403 $ 11,483,484 $ 12,422,324 Public Works Salaries and Benefits $ 11,744,853 $ 12,913,806 $ 13,565,636 $ 16,003,689 Maintenance and Operations 16,673,276 17,342,748 16,120,329 15,901,129 Fixed Assets 724,521 204,075 1,478,900 1,472,100 Subtotal Public Works $ 29,142,649 $ 30,460,629 $ 31,164,865 $ 33,376,918 Non-Departmental Salaries and Benefits $ - $ 2 ,047,615 $ 4 ,859,345 $ 1,793,572 Maintenance and Operations 9,070,177 8 ,106,376 11,565,032 10,673,725 Fixed Assets 14,857,218 11,573,359 2,797,836 9,825,324 Subtotal Non-Departmental $ 23,927,395 $ 21,727,351 $ 19,222,213 $ 22,292,621 TOTAL APPROPRIATIONS - ALL FUNDS Salaries and Benefits $ 13 2,070,247 $ 14 6,304,923 $ 144,448,749 $ 154,357,520 Maintenance and Operations $ 53,968,821 53,945,404 53,508,491 5 1,988,111 Fixed Assets $ 18,307,168 13,991,275 8 ,024,419 14,946,346 TOTAL APPROPRIATIONS - ALL FUNDS $ 204,346,236 $ 214,241,602 $ 205,981,659 $ 221,291,977 53City of Costa Mesa, California suMMarIes of fInancIal data Summary of Appropriations by Account - All Funds (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Account Description Account Number FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Salaries and Benefits Salaries and Wages 501000 $ - $ - $ (4 ,346,404) $ (4,027,157) Salaries & Wages 501001 - - 1,977,205 2,938,589 Regular Salaries - Sworn 501100 26,301,467 27,197,952 29,599,752 30,899,907 Regular Salaries - Non-Sworn 501200 31,150,967 3 5,647,454 38,090,342 42,069,326 Regular Salaries - Part-Time 501300 5,724,714 5,970,991 5,023,463 5,007,353 Overtime 501400 8 ,314,837 10,917,873 4,904,449 5,025,449 Accrual Payoff - Excess Max.501500 557,926 540,031 191,128 191,128 Vacation/Comp. Time Cash Out 501600 520,372 656,840 303,980 303,980 Holiday Allowance 501700 971,160 1,125,879 979,119 976,584 Separation Pay-Off 501800 391,598 4 46,192 145,776 145,776 Other Compensation 501900 3,961,466 4,218,914 4,366,638 4,823,497 Cafeteria Plan 505100 12 ,229,132 12,839,839 1 4,267,153 14,481,455 Medicare 505200 1,191,314 1,327,962 1,114,701 1,369,335 Retirement 505300 36,028,770 3 9,451,185 41,726,930 44,054,523 Longevity 505400 460,619 1,000,957 1,199,524 1,198,758 Executive Prof Development 505500 74,626 87,069 10 9,526 103,670 Auto Allowance 505600 3 8,415 46,707 48,300 48,300 Unemployment 505800 26,854 13 ,058 80,020 80,000 Workers’ Compensation 505900 2,225,102 2,828,403 2,207,147 2,207,049 City Contrib - Retiree Medical 506100 1,900,907 1,987,615 2,460,000 2,460,000 Subtotal Salaries and Benefits $ 132,070,247 $ 146,304,923 $ 144,448,749 $ 154,357,520 Maintenance and Operations Stationery and Office 510100 $ 220,970 $ 215,320 $ 2 19,650 $ 192,250 Multi-Media, Promos, Subscrpt.510200 8 78,106 846,996 658,689 522,305 Small Tools and Equipment 510300 8 41,094 2 87,940 255,092 223,026 Uniforms and Clothing 510400 464,528 631,690 422,250 379,750 Safety and Health 510500 736,134 580,790 658,622 605,931 Maintenance and Construction 510600 1,155,456 954,538 7 17,250 7 17,250 Agriculture 510700 101,227 63,378 97,000 97,000 Fuel 510800 704,695 836,924 701,400 701,400 Electricity - Buildings & Fac.515100 886,363 916,336 580,020 580,020 Electricity - Power 515200 364,680 324,763 2 81,800 2 81,800 Electricity - Street Lights 515300 1,237,221 1,272,173 1,000,000 1,000,000 Gas 515400 6 4,014 7 7,786 45,400 45,400 Water - Domestic 515500 61,352 92,761 76,100 76,100 Water - Parks and Parkways 515600 805,573 1,004,422 8 59,100 8 59,100 Waste Disposal 515700 2 71,191 258,605 262,462 262,702 Janitorial and Housekeeping 515800 586,380 629,518 6 92,143 6 92,143 Legal Advertising/Filing Fees 520200 223,108 292,731 329,600 325,600 Advertising and Public Info.520300 23,582 14,673 16,300 15,900 Telephone/Radio/Communications 520400 1 ,017,966 913,232 810,089 810,089 Business Meetings 520500 9 7,076 123,191 51,580 54,445 54 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Mileage Reimbursement 520600 1,735 2,051 3,300 3,300 Dues and Memberships 520700 212,695 230,838 2 08,712 2 06,412 Board Member Fees 520800 50,200 50,600 49,700 48,806 Professional Development 520900 706,234 779,959 672,827 4 80,381 Buildings and Structures 525100 4 39,094 399,490 376,913 3 37,163 Landscaping and Sprinklers 525200 3,449,870 3,546,622 3,520,500 3,520,500 Automotive Equipment 525400 4 64,611 592,059 464,728 464,728 Office Furniture 525600 11,614 - 2,000 2,000 Office Equipment 525700 80,576 79,666 66,631 56,831 Other Equipment 525800 1,397,437 1,221,310 941,650 839,150 Streets, Alleys and Sidewalks 525900 1,726,929 1,753,245 1,812,790 1,812,790 Employment 530100 20,399 17,092 26,000 16,000 Consulting 530200 3 ,869,110 3,706,281 3,757,822 3,939,731 Legal 530300 1,947,474 1,447,516 2,880,450 1,825,211 Engineering and Architectural 530400 3 84,122 419,678 5 57,912 4 77,912 Financial & Information Svcs.530500 683,969 531,852 1,078,750 67 7,971 Medical and Health Inspection 530600 192,811 282,744 2 28,100 226,100 Public Safety 530700 2,875,287 3,003,287 3,252,920 3,206,320 Recreation 530800 433,038 4 77,614 645,620 6 22,374 Sanitation 530900 46,960 1,040 1,200 1,200 Principal Payments 535100 2,254,849 2 ,607,704 3,738,983 3,838,983 Interest Payments 535200 9 96,717 958,932 1,156,448 1,156,448 External Rent 535400 805,389 669,327 965,742 993,909 Grants, Loans and Subsidies 535500 2,147,134 2 ,388,122 2,124,914 2 ,329,028 Depreciation 535600 1,532,452 1,632,720 1,679,726 1,375,000 Internal Rent Central Services 535800 66,875 65,936 99,722 99,722 Internal Rent Postage 535900 151,327 121,240 111,334 110,792 Internal Rent - Maintenance 536100 884,887 885,447 884,887 884,887 Internal Rent - Repl Cost 536200 4,385,219 4,514,439 4,514,999 4,514,999 Internal Rent - Fuel 536400 573,094 501,777 501,400 5 01,400 Internal Rent Genl Liability 536500 2,072,221 2,072,221 2,392,171 2,900,864 Internal Rent Workers’ Comp 536600 2,939,914 2,939,914 2,939,914 2 ,939,915 Internal Rent Unemployment 536700 80,180 80,180 80,180 80,180 General Liability 540100 2,047,044 2,748,558 2,082,251 2,590,944 Special Liability 540200 - - 9,400 9,400 Buildings & Personal Property 540500 - - 195,200 195,200 Taxes and Assessments 540700 3 37,358 349,557 196,200 207,401 Contingency 540800 2,926,444 2,517,522 550,000 50,000 Other Costs 540900 3 ,711 6,867 1,948 1,948 Emergency Protective Measure 580200 29,125 4,229 - - Subtotal Maintenance and Operations $ 53,968,821 $ 53,945,404 $ 53,508,491 $ 51,988,111 Fixed Assets Automotive Equipment 590500 709,476 137,258 1,441,000 1,441,000 Office Furniture 590600 42,847 14 ,085 12,900 7,900 Office Equipment 590700 4,515 - - - Other Equipment 590800 2,660,333 2,207,106 3,022,683 3,672,122 Loss on Disposal of Assets 599100 32,779 58,835 - - Subtotal Fixed Assets $ 3,449,950 $ 4,146,146 $ 4,476,583 $ 5,121,022 Transfers Out 595100 $ 1 4,857,218 $ 9,845,129 $ 3 ,547,836 $ 9,825,324 Subtotal Transfers Out $ 14,857,218 $ 9,845,129 $ 3,547,836 $ 9,825,324 TOTAL APPROPRIATIONS - ALL FUNDS $ 204,346,236 $ 214,241,602 $ 205,981,659 $ 221,291,977 55City of Costa Mesa, California suMMarIes of fInancIal data By Category SalariesSalaries $76.4M; (38.8%)$76.4M; (38.8%) Salaries $76.4M; (38.8%) BenefitsBenefits $23.9M; (12.1%)$23.9M; (12.1%) Benefits $23.9M; (12.1%) RetirementRetirement $42.9M; (21.8%)$42.9M; (21.8%) Retirement $42.9M; (21.8%) Maintenance and OperationsMaintenance and Operations $41.2M; (20.9%)$41.2M; (20.9%) Maintenance and Operations $41.2M; (20.9%) Fixed AssetsFixed Assets $2.8M; (1.4%)$2.8M; (1.4%) Fixed Assets $2.8M; (1.4%) Transfers OutTransfers Out $9.8M; (5.0%)$9.8M; (5.0%) Transfers Out $9.8M; (5.0%) City CouncilCity Council $1.0M; (0.5%)$1.0M; (0.5%) City Council $1.0M; (0.5%) City ManagerCity Manager $10.4M; (5.2%)$10.4M; (5.2%) City Manager $10.4M; (5.2%) City AttorneyCity Attorney $1.2M; (0.6%)$1.2M; (0.6%) City Attorney $1.2M; (0.6%)FinanceFinance $5.9M; (3.0%)$5.9M; (3.0%) Finance $5.9M; (3.0%) Parks and Community ServicesParks and Community Services $9.7M; (4.9%)$9.7M; (4.9%) Parks and Community Services $9.7M; (4.9%) Information TechnologyInformation Technology $6.6M; (3.3%)$6.6M; (3.3%) Information Technology $6.6M; (3.3%) PolicePolice $69.9M; (35.0%)$69.9M; (35.0%) Police $69.9M; (35.0%) Fire and RescueFire and Rescue $39.4M; (19.7%)$39.4M; (19.7%) Fire and Rescue $39.4M; (19.7%) Development ServicesDevelopment Services $10.7M; (5.3%)$10.7M; (5.3%) Development Services $10.7M; (5.3%) Public WorksPublic Works $22.8M; (11.4%)$22.8M; (11.4%) Public Works $22.8M; (11.4%) Non-DepartmentalNon-Departmental $22.3M; (11.1%)$22.3M; (11.1%) Non-Departmental $22.3M; (11.1%) Total Appropriations - General Fund (Including Transfers) for the Fiscal Year Ending June 30, 2027 Total Appropriations - General Fund - $200.0 (includes Capital Improvement) (in millions) 56 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Summary of Appropriations by Department/by Category – General Fund (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Department/Category FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget City Council Salaries and Benefits $ 5 72,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations 178,062 193,616 161,181 161,181 Fixed Assets - - 2,000 2,000 Subtotal City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 City Manager’s Office Salaries and Benefits $ 6 ,353,178 $ 7,395,113 $ 7,467,570 $ 8 ,313,839 Maintenance and Operations 2,512,292 2,491,136 2,128,759 2 ,107,309 Fixed Assets 3 7,286 14,054 16,900 8 ,900 Subtotal City Manager’s Office $ 8,902,755 $ 9,900,304 $ 9,613,229 $ 10,430,048 City Attorney Maintenance and Operations $ 9 77,061 $ 1,107,716 $ 1,123,700 $ 1 ,157,411 Subtotal City Attorney $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Finance Salaries and Benefits $ 3,578,893 $ 4,436,730 $ 4,985,873 $ 5,043,527 Maintenance and Operations 7 98,210 603,605 1,273,330 852,551 Fixed Assets 39,480 17,094 37,300 3 7,300 Subtotal Finance $ 4,416,583 $ 5,057,429 $ 6,296,503 $ 5,933,378 Parks and Community Services Salaries and Benefits $ 6,883,249 $ 7,744,619 $ 6 ,414,691 $ 7,057,245 Maintenance and Operations 2,860,191 2,663,849 2,683,340 2,656,503 Fixed Assets 9,911 - 3,800 3,800 Subtotal Parks and Community Services $ 9,753,352 $ 10,408,468 $ 9,101,831 $ 9,717,548 Information Technology Salaries and Benefits $ 3 ,807,287 $ 4 ,197,303 $ 4 ,126,819 $ 4,424,523 Maintenance and Operations 528,121 791,693 560,670 414,570 Fixed Assets 1,232,559 1,040,493 1,883,227 1,786,227 Subtotal Information Technology $ 5,567,967 $ 6,029,490 $ 6,570,716 $ 6,625,320 Police Department Salaries and Benefits $ 5 5,153,482 $ 59,383,960 $ 55,642,498 $ 62,792,930 Maintenance and Operations 6 ,527,658 6 ,272,190 6,226,075 6,233,215 Fixed Assets 324,768 1,046,592 951,896 896,696 Subtotal Police Department $ 62,005,909 $ 66,702,742 $ 62,820,469 $ 6 9,922,841 57City of Costa Mesa, California suMMarIes of fInancIal data Summary of Appropriations by Department/by Category – General Fund (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Department/Category FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Fire and Rescue Department Salaries and Benefits $ 29,489,641 $ 33,418,841 $ 32,985,288 $ 33,700,551 Maintenance and Operations 5 ,644,516 5 ,722,116 5,885,188 5,688,188 Fixed Assets 25,478 26,379 32,990 32,990 Subtotal Fire and Rescue Department $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 Development Services Salaries and Benefits $ 7,841,123 $ 8 ,415,086 $ 8,606,799 $ 9,598,845 Maintenance and Operations 1,158,259 1,144,404 1,060,686 1,024,686 Fixed Assets 83,403 11,882 28,250 28,250 Subtotal Development Services $ 9,082,786 $ 9,571,371 $ 9,695,735 $ 10,651,781 Public Works Salaries and Benefits $ 9 ,867,265 $ 10 ,765,043 $ 11,487,472 $ 12,640,934 Maintenance and Operations 13,230,159 12,044,721 11,058,231 10,196,231 Fixed Assets 4,540 4,320 7,900 7,900 Subtotal Public Works $ 2 3,101,963 $ 2 2,814,083 $ 22,553,603 $ 22,845,065 Non-Departmental Salaries and Benefits $ 1,960,907 $ 2 ,047,615 $ 4 ,859,345 $ 1,793,572 Maintenance and Operations 9,030,177 8,049,376 11,565,032 10,673,725 Fixed Assets - 1,478,861 - - Transfers Out 12,432,270 6,918,994 2,797,836 9,825,324 Subtotal Non-Departmental $ 23,423,354 $ 18,494,847 $ 19,222,213 $ 22,292,621 TOTAL APPROPRIATIONS - GENERAL FUND Salaries and Benefits $ 125,507,538 $ 138,408,211 $ 137,367,317 $ 146,171,618 Maintenance and Operations 43,444,708 41,084,423 43,726,192 41,165,570 Fixed Assets 1,757,426 3,639,674 2,964,263 2,804,063 Transfers Out 12,432,270 6,918,994 2,797,836 9,825,324 TOTAL APPROPRIATIONS - GENERAL FUND $ 183,141,942 $ 190,051,302 $ 186,855,608 $ 199,966,575 58 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Summary of Appropriations by Account – General Fund (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Account Description FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Salaries and Benefits Salaries and Wages $ - $ - $ (4 ,346,404) $ (4,027,157) Salaries & Wages - - 1,977,205 2,938,589 Regular Salaries - Sworn 26,037,765 27,019,962 29,325,600 30,648,303 Regular Salaries - Non-Sworn 29,170,030 33,227,712 3 5,588,159 38,375,276 Regular Salaries - Part-Time 5,585,102 5 ,820,130 4,848,561 4,844,745 Overtime 7,927,468 10,264,009 4,828,573 4,950,573 Accrual Payoff - Excess Max. 545,763 532,524 186,128 186,128 Vacation/Comp. Time Cash Out 509,827 650,019 302,980 302,980 Holiday Allowance 963,606 1,107,008 965,235 965,235 Separation Pay-Off 373,419 429,646 145,376 145,376 Other Compensation 3,913,768 4 ,177,004 4,312,649 4,775,675 Cafeteria Plan 11,807,771 12,383,220 13,735,999 14,030,013 Medicare 1,148,592 1,279,048 1,067,500 1,321,234 Retirement 35,049,145 38,403,378 40,623,510 42,913,158 Longevity 460,619 996,242 1,192,160 1,192,161 Executive Prof Development 75,341 83,987 10 5,786 101,030 Auto Allowance 3 8,415 46,707 48,300 48,300 City Contrib - Retiree Medical 1,900,907 1,987,615 2,460,000 2,460,000 Subtotal Salaries and Benefits $ 125,507,538 $ 138,408,211 $ 137,367,317 $ 146,171,618 Maintenance and Operations Stationery and Office $ 2 20,515 $ 213,749 $ 2 14,150 $ 191,250 Multi-Media, Promos, Subscrpt. 809,815 759,504 584,389 4 55,719 Small Tools and Equipment 790,764 259,084 2 40,151 211,026 Uniforms and Clothing 458,854 596,753 418,250 369,750 Safety and Health 659,605 5 61,844 658,122 604,931 Maintenance and Construction 482,693 442,011 328,250 328,250 Agriculture 101,227 63,378 97,000 97,000 Electricity - Buildings & Fac. 886,363 916,336 580,020 580,020 Electricity - Power 364,680 324,763 2 81,800 2 81,800 Electricity - Street Lights 1,237,221 1,272,173 1,000,000 1,000,000 Gas 6 4,014 7 7,786 45,400 45,400 Water - Domestic 61,352 92,761 76,100 76,100 Water - Parks and Parkways 805,573 1,004,422 8 59,100 8 59,100 Waste Disposal 232,704 256,895 261,462 261,702 Janitorial and Housekeeping 585,629 628,738 690,243 690,243 Legal Advertising/Filing Fees 222,392 291,990 3 11,600 243,600 Advertising and Public Info. 19,168 12,263 14 ,300 7,400 Telephone/Radio/Communications 1 ,017,966 913,232 810,089 810,089 Business Meetings 95,653 121,904 51,080 54,445 Mileage Reimbursement 1,735 2,051 3,300 3,300 Dues and Memberships 203,828 223,035 2 04,712 2 00,712 59City of Costa Mesa, California suMMarIes of fInancIal data Summary of Appropriations by Account – General Fund (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Account Description FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Maintenance and Operations (Continued) Board Member Fees 41,800 42,500 41,300 41,300 Professional Development 658,644 672,985 664,141 476,781 Buildings and Structures 4 05,414 329,926 2 76,913 237,163 Landscaping and Sprinklers 3,446,847 3,503,179 3,400,500 3,050,500 Automotive Equipment 2 ,159 3,603 - - Office Furniture 11,614 - 2,000 2,000 Office Equipment 80,190 79,252 66,431 56,431 Other Equipment 1,061,746 1,220,810 9 27,150 6 05,150 Streets, Alleys and Sidewalks 1,726,929 285,455 371,610 371,610 Employment 20,399 17,092 26,000 16,000 Consulting 2,909,759 2,729,640 2 ,890,160 3,070,636 Legal 1,944,321 1,447,516 2,880,000 1,825,211 Engineering and Architectural 3 84,122 419,678 5 47,848 4 67,848 Financial & Information Svcs. 683,969 531,852 1,078,750 67 7,971 Medical and Health Inspection 192,811 282,744 228,100 226,100 Public Safety 2,818,556 3,001,614 3,202,920 3 ,156,320 Recreation 372,935 408,496 504,220 496,020 Sanitation 960 1,040 1,200 1,200 Principal Payments 2,486,391 2 ,607,704 3,450,000 3,550,000 Interest Payments 941,676 880,601 1,067,905 1,067,905 External Rent 805,389 669,327 965,742 993,909 Grants, Loans and Subsidies 1,304,743 1,308,543 1,287,994 1,267,994 Internal Rent Central Services 66,875 65,936 99,722 99,722 Internal Rent Postage 151,305 121,240 110,792 110,792 Internal Rent - Maintenance 884,300 884,300 884,300 884,300 Internal Rent - Repl Cost 4,384,659 4,514,439 4,514,439 4,514,439 Internal Rent - Fuel 573,094 501,777 5 01,400 5 01,400 Internal Rent Genl Liability 2,069,259 2,069,259 2,389,209 2 ,897,902 Internal Rent Workers’ Comp 2 ,910,749 2,896,619 2,938,441 2 ,938,441 Internal Rent Unemployment 79,264 79,099 79,687 79,687 Taxes and Assessments 211,642 252,158 96,200 107,401 Contingency 457,722 2 14,679 500,000 - Other Costs 3,588 6,692 1,600 1,600 Emergency Protective Measure 29,125 - - - Subtotal Maintenance and Operations $ 43,444,708 $ 41,084,423 $ 43,726,192 $ 41,165,570 60 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Summary of Appropriations by Account – General Fund (Excludes CIP) From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Account Description FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Fixed Assets Land - 1,478,861 - - Automotive Equipment 33,187 - - - Office Furniture 42,847 14 ,085 12,900 7,900 Office Equipment 4,515 - - - Other Equipment 1,676,877 2,146,728 2,951,363 2 ,796,163 Subtotal Fixed Assets $ 1,757,426 $ 3,639,674 $ 2,964,263 $ 2,804,063 Transfers Out Operating Transfers Out $ 12,432,270 $ 6,918,994 $ 2 ,797,836 $ 9,825,324 Subtotal Transfers Out $ 12,432,270 $ 6,918,994 $ 2,797,836 $ 9,825,324 TOTAL APPROPRIATIONS - GENERAL FUND $ 183,141,942 $ 190,051,302 $ 186,855,608 $ 199,966,575 61City of Costa Mesa, California suMMarIes of fInancIal data Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed City Council Council Member 7.00 7.00 7.00 7.00 7.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Total City Council 8.00 8.00 8.00 8.00 8.00 City Manager’s Office City Manager 1.00 1.00 1.00 1.00 1.00 Assistant City Manager 1.00 1.00 1.00 1.00 1.00 Administrative Assistant 1.00 1.00 1.00 1.00 1.00 Assistant to the City Manager 1.00 2.00 2.00 2.00 2.00 City Clerk 1.00 1.00 1.00 1.00 1.00 Community Outreach Worker ^ 2.00 7.00 6.00 7.00 7.00 Community Outreach Supervisor 1.00 1.00 1.00 1.00 1.00 Deputy City Clerk 2.00 2.00 2.00 2.00 2.00 Deputy City Manager 1.00 1.00 1.00 1.00 1.00 Energy and Sustainability Services Manager - 1.00 1.00 1.00 1.00 Executive Assistant to the City Manager 1.00 1.00 1.00 1.00 1.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Graphics Designer 1.00 1.00 1.00 1.00 1.00 Human Resources Administrator 2.00 2.00 2.00 2.00 2.00 Human Resources Analyst ^ 4.00 4.00 3.00 3.00 3.00 Human Resources Manager 1.00 1.00 1.00 1.00 1.00 Human Resources Assistant 1.00 1.00 1.00 1.00 1.00 Human Resources Technician 1.00 1.00 1.00 1.00 1.00 Management Aide 2.00 1.00 1.00 1.00 1.00 Management Analyst 3.00 4.00 4.00 4.00 4.00 Neighborhood Improvement Manager 1.00 1.00 1.00 1.00 1.00 Office Specialist II 1.00 1.00 1.00 2.00 2.00 Principal Human Resources Analyst 2.00 2.00 2.00 2.00 2.00 Public Affairs Manager 2.00 3.00 3.00 3.00 3.00 Real Property Manager 1.00 - - - - Senior Management Analyst ^ 3.00 2.00 1.00 1.00 1.00 Senior Code Enforcement Officer 1.00 1.00 1.00 - - Video Production Coordinator 1.00 1.00 1.00 1.00 1.00 Video Production Specialist 2.00 - - - - Multimedia Specialist - 2.00 2.00 2.00 2.00 Website Coordinator/ Programmer Analyst I ^ 1.00 1.00 - - - Total City Manager’s Office 43.00 49.00 45.00 46.00 46.00 Finance Department Finance Director 1.00 1.00 1.00 1.00 1.00 Accountant 1.00 1.00 1.00 1.00 1.00 Accounting Specialist I 1.00 1.00 1.00 1.00 1.00 Accounting Specialist II 4.00 4.00 4.00 4.00 4.00 Accounting Supervisor 1.00 - - - - Administrative Assistant (CON) 1.00 1.00 1.00 1.00 62 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed Assistant Finance Director 1.00 1.00 1.00 1.00 1.00 Budget and Purchasing Manager 1.00 1.00 1.00 1.00 1.00 Business License Inspector 1.00 1.00 1.00 1.00 1.00 Buyer 2.00 2.00 2.00 2.00 2.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Financial Analyst 2.00 2.00 2.00 2.00 2.00 Finance Manager 1.00 1.00 1.00 1.00 1.00 Finance Officer- Accounting - 1.00 1.00 1.00 1.00 Finance Officer- Payroll (CON) - 1.00 1.00 1.00 1.00 Finance Officer- Purchasing - 1.00 1.00 1.00 1.00 Finance Officer- Revenue - 1.00 1.00 1.00 1.00 Payroll Coordinator 1.00 1.00 1.00 1.00 1.00 Payroll Supervisor 1.00 - - - - Permit Processing Specialist 1.00 1.00 1.00 1.00 1.00 Purchasing Supervisor 1.00 - - - - Revenue Supervisor 1.00 - - - - Senior Accountant 1.00 1.00 1.00 1.00 1.00 Senior Budget Analyst 2.00 2.00 2.00 2.00 2.00 Total Finance Department 25.00 26.00 26.00 26.00 26.00 Parks And Community Services Department Parks and Community Services Director 1.00 1.00 1.00 1.00 1.00 Arts Specialist 1.00 1.00 1.00 1.00 1.00 Community Outreach Worker 1.00 1.00 1.00 1.00 1.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Fairview Park Administrator 1.00 1.00 1.00 1.00 1.00 Fairview Park Senior Maintenance Technician 1.00 1.00 Maintenance Worker 1.00 1.00 1.00 - - Office Specialist II* 1.00 1.00 1.00 1.00 1.00 Recreation Coordinator* 4.00 4.00 4.00 4.00 4.00 Recreation Manager 1.00 1.00 1.00 1.00 1.00 Recreation Specialist 7.00 8.00 8.00 8.00 8.00 Recreation Supervisor 3.00 3.00 3.00 3.00 3.00 Senior Management Analyst 1.00 1.00 1.00 1.00 1.00 Senior Recreation Supervisor 2.00 2.00 2.00 2.00 2.00 Total Parks and Community Svcs Department 25.00 26.00 26.00 26.00 26.00 Information Technology Department Information Technology Director 1.00 1.00 1.00 1.00 1.00 Information Technology Manager 2.00 2.00 2.00 2.00 2.00 Computer Operations & Networking Sup. 1.00 1.00 1.00 1.00 1.00 Cyber Security Analyst 1.00 1.00 1.00 1.00 1.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Network Administrator 5.00 5.00 5.00 5.00 5.00 Office Specialist II 1.00 1.00 1.00 1.00 1.00 Programmer Analyst II 4.00 4.00 4.00 4.00 4.00 Senior Management Analyst 1.00 1.00 1.00 1.00 1.00 Senior Programmer Analyst 4.00 4.00 4.00 4.00 4.00 63City of Costa Mesa, California suMMarIes of fInancIal data Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed Systems & Programming Supervisor 1.00 1.00 1.00 1.00 1.00 Total Information Technology Department 22.00 22.00 22.00 22.00 22.00 Police Department Police Chief 1.00 1.00 1.00 1.00 1.00 Deputy Police Chief 1.00 1.00 1.00 1.00 1.00 Administrative Assistant 1.00 1.00 1.00 1.00 1.00 Account Specialist II 1.00 1.00 1.00 1.00 Animal Services Coordinator 1.00 1.00 1.00 1.00 Animal Control Officer 3.00 3.00 3.00 3.00 3.00 Animal Control Supervisor 1.00 1.00 1.00 1.00 1.00 Civilian Investigator 1.00 1.00 1.00 1.00 1.00 Communications Installer 1.00 1.00 1.00 1.00 1.00 Communications Officer 11.00 11.00 11.00 11.00 11.00 Communications Supervisor 4.00 4.00 4.00 4.00 4.00 Community Services Specialist 7.00 7.00 7.00 7.00 7.00 Court Liaison 1.00 1.00 1.00 1.00 1.00 Crime Analyst 2.00 2.00 2.00 2.00 2.00 Crime Prevention Specialist 1.00 1.00 1.00 1.00 1.00 Crime Scene Investigation Supervisor 1.00 1.00 1.00 1.00 1.00 Crime Scene Specialist 4.00 4.00 4.00 4.00 4.00 Custody Officer** 10.00 10.00 11.00 11.00 10.00 Custody Supervisor** 1.00 1.00 1.00 1.00 2.00 Electronics Technician 1.00 1.00 1.00 1.00 1.00 Executive Assistant 2.00 2.00 2.00 2.00 2.00 Emergency Services Manager * 0.50 0.50 0.50 0.50 0.50 Office Specialist II 1.00 1.00 1.00 1.00 1.00 Park Ranger*** 6.00 7.00 7.00 7.00 6.00 Permit Processing Specialist - 1.00 1.00 1.00 1.00 Police Captain 2.00 2.00 2.00 2.00 2.00 Police Lieutenant 7.00 7.00 7.00 7.00 7.00 Police Officer 1 07.00 1 07.00 1 07.00 1 07.00 107.00 Police Records Bureau Supervisor 1.00 1.00 1.00 1.00 1.00 Police Records Shift Supervisor 3.00 3.00 3.00 3.00 3.00 Police Records and Property & Evidence Manager 1.00 1.00 1.00 1.00 1.00 Police Sergeant 22.00 22.00 22.00 22.00 22.00 Police Training Assistant 1.00 1.00 1.00 1.00 1.00 Property Evidence Specialist 2.00 3.00 1.00 1.00 1.00 Property Evidence Supervisor 1.00 1.00 1.00 1.00 1.00 Public Affairs Manager 1.00 1.00 1.00 1.00 1.00 Range Master 1.00 1.00 1.00 1.00 1.00 Recreation Coordinator 1.00 - - - - Senior Property & Evidence Specialist 2.00 2.00 2.00 Senior Public Safety Dispatcher 6.00 6.00 6.00 6.00 6.00 Senior Communications Supervisor 1.00 1.00 1.00 1.00 1.00 Senior Management Analyst 1.00 1.00 1.00 1.00 1.00 64 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed Senior Police Officer 2.00 2.00 2.00 2.00 2.00 Senior Police Records Technician 16.00 16.00 16.00 16.00 16.00 Telecommunications Manager 0.50 0.50 0.50 0.50 0.50 Total Police Department 238.00 242.00 243.00 243.00 242.00 **Reclassification of one Custody Officer to Custody Supervisor FY 2026-27 *** Reduction to one Park Ranger postion Fire And Rescue Department Fire Chief 1.00 1.00 1.00 1.00 1.00 Assistant Fire Chief/Operations - sworn 1.00 1.00 1.00 1.00 1.00 Assistant Fire Chief/Community Risk Reduction - non sworn 1.00 1.00 1.00 1.00 1.00 Assistant Fire Marshal 2.00 2.00 2.00 2.00 2.00 Code Enforcement Officer 1.00 1.00 1.00 1.00 1.00 Battalion Chief 3.00 3.00 3.00 3.00 4.00 Emergency Medical Services Coordinator 1.00 1.00 1.00 1.00 - Emergency Services Manager * 0.50 0.50 0.50 0.50 0.50 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Fire Captain 18.00 18.00 18.00 18.00 18.00 Fire Captain - Administration/Training/PIO 1.00 1.00 1.00 1.00 1.00 Fire Captain - Administration/EMS 1.00 1.00 1.00 1.00 1.00 Fire Engineer 18.00 18.00 18.00 18.00 18.00 Fire Protection Specialist 3.00 3.00 3.00 3.00 3.00 Firefighter 42.00 42.00 42.00 42.00 42.00 Office Specialist II 1.00 1.00 1.00 1.00 1.00 Senior Manager Analyst 1.00 1.00 1.00 1.00 1.00 Telecommunications Manager * 0.50 0.50 0.50 0.50 0.50 Total Fire Department 97.00 97.00 97.00 97.00 97.00 * FY 2026-27 Emergency Mediacl Services Coordinator reclassifed to a Battalion Chief Development Services Department Economic & Development Services Director 1.00 1.00 1.00 1.00 1.00 Administrative Assistant 1.00 1.00 1.00 1.00 1.00 Assistant Development Services Director 1.00 1.00 1.00 1.00 1.00 Assistant Planner 4.00 4.00 4.00 4.00 4.00 Associate Planner 3.00 3.00 3.00 3.00 3.00 Building/Combination Bldg. Inspector 4.00 4.00 4.00 - - Building Inspector I/II 4.00 4.00 Building Official 1.00 1.00 1.00 1.00 1.00 Building Technician II 3.00 4.00 4.00 4.00 4.00 Chief of Code Enforcement * 1.00 1.00 1.00 1.00 - Chief of Inspection 1.00 1.00 1.00 1.00 1.00 Chief Plans Examiner 1.00 1.00 1.00 1.00 1.00 Code Enforcement Officer * 7.00 7.00 7.00 7.00 7.00 Code Enforcement Manager 1.00 1.00 Community Improvement Manager 1.00 1.00 1.00 - - Economic Development Administrator 1.00 1.00 1.00 1.00 1.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 65City of Costa Mesa, California suMMarIes of fInancIal data Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed Grant Administrator 1.00 1.00 1.00 1.00 1.00 Management Analyst 1.00 1.00 1.00 1.00 1.00 Office Specialist II * 1.00 1.00 1.00 1.00 1.00 Permit Processing Specialist 3.00 3.00 3.00 3.00 3.00 Planning Manager 2.00 2.00 Planning and Sustainable Development Manager 1.00 2.00 2.00 - - Plan Check Engineer 3.00 3.00 3.00 3.00 3.00 Principal Planner 2.00 2.00 2.00 2.00 2.00 Senior Code Enforcement Officer 2.00 2.00 2.00 2.00 2.00 Senior Combination Inspector 1.00 1.00 1.00 1.00 1.00 Senior Management Analyst 2.00 2.00 2.00 2.00 2.00 Senior Permit Technican 1.00 Senior Planner 2.00 3.00 3.00 3.00 3.00 Total Development Services Department 50.00 53.00 53.00 53.00 53.00 Public Works Department Public Works Director 1.00 1.00 1.00 1.00 1.00 Active Transportation Coordinator 1.00 1.00 1.00 1.00 1.00 Administrative Assistant 3.00 3.00 3.00 3.00 3.00 Assistant Engineer 4.00 4.00 4.00 4.00 4.00 Assistant City Engineer 1.00 1.00 1.00 1.00 1.00 Associate Engineer 8.00 8.00 8.00 8.00 8.00 City Engineer 1.00 1.00 1.00 1.00 1.00 Construction Inspector 3.00 3.00 3.00 3.00 3.00 Deputy Director of Public Works 1.00 1.00 1.00 1.00 1.00 Energy and Sustainability Service Manager 1.00 - - - - Engineering Technician II 1.00 1.00 1.00 1.00 1.00 Engineering Technician III * 5.00 5.00 5.00 5.00 5.00 Equipment Mechanic I 1.00 1.00 1.00 - - Equipment Mechanic II 2.00 2.00 2.00 2.00 2.00 Equipment Mechanic III 2.00 2.00 2.00 3.00 3.00 Executive Assistant 1.00 1.00 1.00 1.00 1.00 Facilities Maintenance Technician * 2.00 2.00 2.00 2.00 2.00 Lead Facilities Maintenance Technician 2.00 2.00 2.00 2.00 2.00 Lead Maintenance Worker 7.00 7.00 7.00 7.00 7.00 Lead Equipment Mechanic 1.00 1.00 1.00 1.00 1.00 Maintenance Assistant 1.00 1.00 1.00 1.00 1.00 Maintenance Services Manager 1.00 1.00 1.00 1.00 1.00 Maintenance Superintendent 3.00 3.00 3.00 3.00 3.00 Maintenance Supervisor * 5.00 5.00 5.00 5.00 5.00 Maintenance Worker 4.00 4.00 4.00 4.00 4.00 Management Analyst 1.00 1.00 1.00 - - Office Specialist II 2.00 2.00 2.00 2.00 2.00 Senior Engineer * 4.00 4.00 4.00 4.00 4.00 Senior Maintenance Worker 6.00 6.00 6.00 6.00 6.00 Senior Management Analyst 2.00 2.00 2.00 3.00 3.00 Storekeeper 2.00 2.00 2.00 2.00 2.00 66 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Four-Year Personnel Summary by Department From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 FY 23-24 Adopted FY 24-25 Adopted FY 25-26 Adopted FY 25-26 Amended FY 26-27 Proposed Transportation Services Manager 1.00 1.00 1.00 1.00 1.00 Total Public Works Department 80.00 79.00 79.00 79.00 79.00 Total Full-time Employees 588.00 602.00 599.00 600.00 599.00 Part-Time Employees FTE’s (Full-Time Equivalents) City Manager’s Office 8.32 8.32 8.32 7.32 7.32 Finance Department - 0.75 0.75 0.75 0.75 Parks and Community Services 63.82 62.57 62.57 62.57 62.57 Police Department 16.86 14 .75 22.25 22.25 22.25 Fire and Rescue Department 2.25 2.25 2.25 2.25 2.25 Development Services Department 5.34 5.34 5.34 5.34 5.34 Public Works Department 5.50 6.00 6.00 6.00 6.00 Total Part-time FTEs 102.09 99.98 107.48 106.48 106.48 Total Citywide FTEs 690.09 704.09 706.48 706.48 705.48 67City of Costa Mesa, California suMMarIes of fInancIal data This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CityCouncil City Council City Council Mayor (1) City Council Members (6) Executive Assistant Access, Building, Fire and Housing Board of Appeals Committee Housing and Public Service Grants Committee Mobile Home Park Advisory Committee Planning Commission Active Transportation Committee Finance and Pension Advisory Committee Fairview Park Steering Committee Traffic Impact AD HOC Committee Animal Services Committee Arts Commission Historical Preservation Committee Park and Community Services Commission Citizens of Costa Mesa Proposed Budget for Fiscal Year 2026-2027 70 City of Costa Mesa, California The Mayor and City Council serve as the elected legislative and policy-setting body of the City. City Council duties include establishing goals and policies, enacting legislation, adopting the City’s operating and capital budget, and appropriating the funds necessary to provide services to the City’s residents, businesses, and visitors. The City Council also participates in a wide variety of community and regional activities and spends a considerable amount of time interacting with residents, business owners, and community stakeholders. The City Council also serves as the governing board for the Housing Authority, Public Financing Authority, and Financing Authority. City Council – 10100 City Council – 50110 This program supports City Council activities. It includes the salaries of the City Council – one Mayor, six Council Members, and one Executive Assistant. The Executive Assistant provides administrative support to the Mayor and City Council Members. 71City of Costa Mesa, California cIty councIl Budget Narrative The Fiscal Year 2026-27 budget for the Office of the City Council is $968,834, an increase of $14,691, or 2 percent, compared to the adopted budget for Fiscal Year 2025-26. The increase is primarily attributed to the proposed labor memorandum of understanding (MOU). The City Council’s salaries and benefits budget funds the compensation of one (1) Mayor, six (6) council members, and one (1) Executive Assistant position. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY COUNCIL BY FUNDING SOURCE General Fund - 101 $ 750,577 $ 7 97,518 $ 9 54,143 $ 968,834 Total City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY COUNCIL BY PROGRAM ADMINISTRATION - 10100 City Council - 50110 Salaries and Benefits $ 5 72,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations 178,062 193,616 161,181 161,181 Fixed Assets - - 2,000 2,000 Subtotal City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 Emergency Services - 51040 TOTAL CITY COUNCIL Salaries and Benefits $ 5 72,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations 178,062 193,616 161,181 161,181 Fixed Assets - - 2,000 2,000 Total City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 Proposed Budget for Fiscal Year 2026-2027 72 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY COUNCIL BY ACCOUNT: ALL FUNDS Salaries and Benefits Regular Salaries - Non-Sworn $ 150,595 $ 126,804 $ 2 20,144 $ 2 16,159 Overtime 5,362 2,850 500 500 Holiday Allowance 701 - - - Other Compensation - - 470 - Cafeteria Plan 251,535 2 38,147 320,436 320,436 Medicare 5 ,111 4 ,776 3,199 5,739 Retirement 159,211 231,324 246,213 262,819 Subtotal Salaries & Benefits $ 572,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations Stationery and Office $ 1,353 $ 1,916 $ 2,600 $ 2,600 Multi-Media, Promos, Subscrpt. 1,951 4,220 4,000 4,000 Small Tools and Equipment 2,071 4,618 2,000 2,000 Uniforms and Clothing 500 1,505 500 500 Safety and Health 490 480 480 480 Business Meetings 23,320 29,062 15,000 15,000 Dues and Memberships 123,232 128,538 115,545 115,545 Professional Development 20,852 20,229 18,100 18,100 Office Equipment 827 1,272 - - External Rent 1,700 1,775 1,700 1,700 Internal Rent Central Services - - 1,224 1,224 Internal Rent Postage 1,766 1 32 32 Subtotal Maintenance & Operations $ 178,062 $ 193,616 $ 161,181 $ 161,181 Fixed Assets Other Equipment $ - $ - $ 2,000 $ 2,000 Subtotal Fixed Assets $ - $ - $ 2,000 $ 2,000 Total City Council $ 750,577 $ 7 97,518 $ 954,143 $ 968,834 73City of Costa Mesa, California cIty councIl From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY COUNCIL BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Regular Salaries - Non-Sworn $ 150,595 $ 126,804 $ 2 20,144 $ 2 16,159 Overtime 5,362 2,850 500 500 Holiday Allowance 701 - - - Other Compensation - - 470 - Cafeteria Plan 251,535 2 38,147 320,436 320,436 Medicare 5,111 4,776 3 ,199 5,739 Retirement 159,211 231,324 246,213 262,819 Subtotal Salaries & Benefits $ 572,515 $ 603,902 $ 790,962 $ 805,653 Maintenance and Operations Stationery and Office $ 1,353 $ 1,916 $ 2,600 $ 2,600 Multi-Media, Promos, Subscrpt. 1,951 4,220 4,000 4,000 Small Tools and Equipment 2,071 4 ,618 2,000 2,000 Uniforms and Clothing 500 1,505 500 500 Safety and Health 490 480 480 480 Business Meetings 23,320 29,062 15,000 15,000 Dues and Memberships 123,232 128,538 115,545 115,545 Professional Development 20,852 20,229 18,100 18,100 Office Equipment 827 1,272 - - External Rent 1,700 1,775 1,700 1,700 Internal Rent Central Services - - 1,224 1,224 Internal Rent Postage 1,766 1 32 32 Subtotal Maintenance & Operations $ 178,062 $ 193,616 $ 161,181 $ 161,181 Fixed Assets Other Equipment $ - $ - $ 2,000 $ 2,000 Subtotal Fixed Assets $ - $ - $ 2,000 $ 2,000 Transfers Out Total City Council $ 750,577 $ 797,518 $ 954,143 $ 968,834 Proposed Budget for Fiscal Year 2026-2027 74 City of Costa Mesa, California City Manager’sOffice City Manager’s Office 1.0 FTE - City Manager 1.0 FTE - Executive Assistant to the City Manager 1.0 FTE - Energy & Sustainability Services Manager 2.0 FTE - Public Affairs Manager 2.0 FTE - Assistant to the City Manager 1.0 FTE - Public Affairs Manager 1.0 FTE - Graphics Designer 1.0 FTE - Office Specialist II 1.0 FTE - Video Production Coordinator 2.0 FTE - Multimedia Specialist 3.25 FTE - Part-Time 1.0 FTE - HR Manager 2.0 FTE - HR Administrator 2.0 FTE - Principal HR Analyst 3.0 FTE - HR Analyst 1.0 FTE - HR Assistant 1.0 FTE - HR Technician 0.75 FTE - Part-Time 1.0 FTE - City Clerk 1.0 FTE - Administrative Assistant 1.0 FTE - Management Analyst 2.0 FTE - Deputy City Clerk 1.0 FTE - Office Specialist II 1.0 FTE -Part-Time 1.0 FTE - Assistant City Manager 1.0 FTE - Executive Assistant 1.0 FTE - Senior Management Analyst 1.0 FTE - Neighborhood Improvement Manager 1.0 FTE- Management Analyst 1.0 FTE - Community Outreach Supervisor 6.0 FTE - Community Outreach Worker 1.0 FTE - Senior Code Enforcement Officer 2.32 FTE - Part-Time 1.0 FTE - Deputy City Manager 1.0 FTE - Management Analyst (Special Events) 1.0 FTE - Management Analyst (Constituent Services) 1.0 FTE- Management Aide (Constituent Services) Proposed Budget for Fiscal Year 2026-2027 76 City of Costa Mesa, California The City Manager’s Office is a General Government Support function. The Department comprises of four (4) divisions, split into different programs and has 46 full-time staff members. Part-time staffing consists of 7.32 full-time equivalents. The divisions are as follows: ■Administration ●Constituent Services Team ●Communications and Marketing ●Homeless Outreach ●Energy and Sustainability ●Legislative Affairs ■City Clerk ■Human Resources ■Risk Management Administration — 11100 Administration – 50001 The City Manager’s Office coordinates and directs the City’s functions within the framework of policy established by the City Council. The duties of the City Manager’s Office include: sustainability-related efforts, policy implementation, budget development and strategic planning, coordinating the preparation of City Council agendas, assisting with the development of City Council’s goals and objectives, and keeping the City Council apprised of important community issues. The Office provides leadership and direction to the other City departments and is responsible for ensuring the delivery of quality services to its constituents and business communities. The City Manager’s Office is responsible for representing the City’s interests at the local, state, and federal level through coordination with the City’s corresponding elected officials and preparation of letters of position on various legislation. Constituent Services – 50110 The Constituent Services Team works closely with the City Council to respond to constituent needs, gather information to address important community issues, and provide support at various special events and community meetings. The team responds to all City Council requests and coordinates with different departments to ensure that the needs of the Council Members are being met. Communications and Marketing – 51050 The Communication and Marketing division specializes in ensuring quality communication, both internally and externally. The division manages internal communications, media relations, and public information and education. The division utilizes a variety of informational platforms, such as the City website, the City news blog, social media networks, and traditional media, such as television, newsletters, and print media, to maintain the City’s branding throughout the community. The division manages in-house communications, including video production and editing, graphic design, and mail, print, and binding services. Energy and Sustainability - 20240 The Energy and Sustainability division plans, develops, and executes sustainability initiatives, including energy conservation and efficiency, clean energy generation, electrification of transportation, zero emission City fleet, expansion of electric vehicle (EV) charging stations, solid waste management, water conservation, urban greening, greenhouse gases (GHG) reduction and promoting green economy and workforce among others. The division provides leadership and support to identify Citywide sustainability focus areas, programs and policies that are practical, innovative and align with City Council’s Goals and Priorities. The division works in tandem with Legislative Affairs to identify and prioritize sustainability projects, builds internal and external partnerships, 77City of Costa Mesa, California cIty Manager’s offIce secures funding/ financing and implements projects. Furthermore, the division leads outreach and educational efforts, including organizing and attending community events and hosting internal and external workshops that promote sustainability, climate resilience and environmental protection in Costa Mesa. City Clerk – 11200 Elections – 50120 As the local elections official, the City Clerk conducts the General Municipal Election by governing the filings of candidate nominations, initiatives, ballot measures, referendums, and recall actions. The City Clerk is the Filing Officer for the City and maintains filings required by the Political Reform Act. The City Clerk manages the filing of campaign financial statements and Conflicts of Interest Statements, in accordance with the Fair Political Practices Commission. Council Meetings – 50410 The role of the City Clerk includes serving as Clerk of the City Council and Secretary to the Housing Authority. As the Brown Act official, the Clerk is responsible for preparing and reviewing agendas for all meetings, managing records pertaining to Council legislative actions and proceedings, minutes, ordinances, resolutions, public notices and indices thereof. The City Clerk manages the concierge services in the City Hall lobby, which is responsible for greeting the public, checking guests in, and answering the main telephone line to City Hall. Public Records – 50420 As the Public Records Act official, Custodian of Records and City Archivist, the Clerk is the administrator for official city documents and records, including indexing, preservation and archiving programs, retention schedules, public records requests and responses, and subpoenas for records. The City Clerk is responsible for the management of the Laserfiche Electronic Document Imaging S ystem, a database designed to provide the public greater access to all public documents. Human Resources — 14100 Recruitment and Selection – 50610 Human Resources Administration provides a full range of traditional and core human resources services that include: recruitment and selection, classification and compensation systems, employee development and training, and labor/employee relations. These comprehensive services are provided in compliance and as mandated by Federal and State labor laws, Personnel Rules and Regulations, and current Memorandum of Understandings (MOUs). Employee Benefits Administration – 50630 Administers group health and welfare benefits and retirement plans for active employees and retirees. Evaluates and makes recommendations on ways to improve benefits, such as utilizing wellness programs, flexible spending accounts and long-term disability insurance; oversees required/optional industrial medical examinations; and the Employee Assistance Program (EAP). Serves as staff/advisor to Benefits Review Committee consisting of labor and management representatives who meet to review and discuss relevant issues related to employee benefits/ programs and appropriate cost-effective spending of benefit dollars. Manages the City Employee Health and Wellness Program. Monitors and ensures compliance with Federal, State and City leave programs such as the Family Medical Leave Act (FMLA) and California Family Rights Act (CFRA), as well as Fair Employment & Housing Act (FEHA), and Americans with Disabilities Act (ADA). Proposed Budget for Fiscal Year 2026-2027 78 City of Costa Mesa, California Risk Management — 14400 Risk Management Administration – 50661 Procures and administers the City’s comprehensive commercial insurance protection program. Includes property inspections and appraisals as part of a comprehensive real and personal property insurance program; evaluate levels of coverage for appropriate protection of assets. Liability – 50662 Evaluates and monitors the City’s risk of loss, minimizing the financial impact of such risks to the lowest feasible level; and procures and administers the City’s self-insured general liability and environmental insurance programs. Claims against the City are jointly handled with the City’s third-party administrator or internally as appropriate. Includes loss control program that identifies areas of concerns and acts to mitigate future incidents. Serves as staff/advisors to the City’s Safety Coordinating Committee consisting of joint labor-management representatives. Provides staff support to the City’s Insurance Committee. Workers Compensation – 50663 Proactively administers safety and wellness programs for employees as well as the self-insured Workers’ Compensation Program and the Occupational Injury/Illness Prevention Plan. Maintains oversight of the third-party workers’ compensation claims administrator and consultants for workplace safety, ergonomics, and indoor air quality. Administers and coordinates work-related disability compliance and interactive process, physical and fitness-for-duty examinations and infection control program. Provides training to departments to assist in cost containment/appropriate use of this program. 79City of Costa Mesa, California cIty Manager’s offIce Fiscal Year 2025-26 Accomplishments ■The City funded $200,000 in contract legal assistance services and created a legal assistance fund to support families in need and established a fund for the public to contribute monetary donations for impacted families needing assistance. ■The City made financial donations totaling $100,000 supporting two local non-profits in providing assistance with food, utilities, and rent for residents in need. ■The City facilitated the acquisition of 778 Shalimar and assisted in preparing the building for demolition. ■The City enhanced public safety for participants and visitors of City Council meetings by implementing metal detector screening and bag inspections. ■The Constituent Services team developed the Costa Mesa CARES Resources, which identifies referral pathways to the community members in need of food, shelter, and legal resources. ■The Community Relations and Constituent Services team made the Costa Mesa CARES resource accessible via website, social media, bus shelter advertisement and in-person distribution. ■The Community Relations team assisted Public Works in ridership for the “Let’s Go Costa Mesa” free rideshare program to improve community mobility access to education, employment, medical, and retail locations. ■The Community Relations team worked with Development Services to implement the “Let’s Do Business” awareness campaign to connect local businesses with City service contract opportunities. ■The Communications team coordinated with Newport Mesa Unified School District Youth Engagement with real-world learning opportunities with City projects for students. ■The Communications team enhanced public outreach efforts in English and Spanish on key community issues such as Rental Assistance, Waste Management, and Residential Parking. ■The Communications team conducted targeted marketing and outreach campaigns to engage hard-to-reach communities in city initiatives through mailers, social media, door-to-door canvassing, and in-person events. ■The Communications team provided timely, accessible City communications through multiple platforms, including social media, press releases, brochures and flyers, City Hall Snapshot, the Costa Mesa Minute and the launch of Let’s Talk Costa Mesa. ■The Communications team expanded the City’s digital and social media presence across Facebook, X (Twitter), Instagram, Nextdoor, Nixle, YouTube, LinkedIn, and the City’s in-house podcast and is currently on pace to project a 20% increase over social media viewership. ■The Costa Mesa Television team (CMTV 3) team launched a new “interview” format series for social media called “Let’s Talk Costa Mesa/Hablemos Costa Mesa.” The series will feature subject matter experts from various city departments providing details about important initiatives, services and upcoming events to the public via Costa Mesa’s social media platforms. ■The Costa Mesa Television team (CMTV 3) earned two National NATOA Government Programming Awards for excellence in City programming by Costa Mesa Television. ■The Legislative Affairs Team, with the help of Townsend Public Affairs, helped secure federal House of Representatives Appropriations totaling $1.29 million for critical projects. ■The Legislative Affairs Team, with the help of Townsend Public Affairs secured $1.04 million from the Department of Justice for the Costa Mesa Police Department’s Real Time Crime Center. ■The Legislative Affairs Team, with the help of Townsend Public Affairs secured $250,000 from the Department of Housing and Urban Development for the Costa Mesa Senior Center renovation which includes Roof, and HVAC Replacement. ■The Legislative Affairs team adopted the City’s first Legislative Platform to support and advance City Council goals and initiatives. ■The Legislative Affairs team developed a draft amendment to the Tenant Protection Ordinance and provided a 2025 update on tenant support services and at-fault eviction tracking. ■The Legislative Affairs team supported the ongoing development of the Fairview Development Center Visioning Project. ■The Legislative Affairs team presented an analysis of the Long Beach Self-Checkout Ordinance at the council’s request and developed a draft Costa Mesa Ordinance for consideration. Proposed Budget for Fiscal Year 2026-2027 80 City of Costa Mesa, California ■The Special Events team planned, organized, coordinated and saw an increase in attendance in signature City events, including Independence Day, Snoopy House, State of the City, Love Costa Mesa Day, Hispanic Heritage Month Celebration, and the Earth Day Festival. ■The Special Events team celebrated major City investments through ribbon-cutting events and groundbreaking events, including Brentwood Park, Fire Station Training Tower, Ketchum-Libolt Park, and Shalimar Park. ■The Homeless and Housing Division oversaw the construction and lease-up of the Mesa Vista Apartments Homekey project (formerly Motel 6), delivering 40 Permanent Supportive Housing units for individuals experiencing homelessness and 46 Very Low-Income units for Costa Mesa seniors. ■The Homeless and Housing Division facilitated the acquisition and ongoing construction of the Avon River Apartments Homekey project (formerly Travelodge), which will provide 76 Permanent Supportive Housing units for individuals experiencing homelessness. ■The Homeless and Housing Division managed procurement for shelter operations and kitchen services to support individuals experiencing homelessness. ■The Homeless and Housing Division partnered with the City of Irvine to lease unused beds at the Bridge Shelter, maximizing regional shelter capacity. ■The Homeless and Housing Division successfully hosted a Network for Homeless Solutions Town Hall, informing City Council and the public about the City’s comprehensive system of care for individuals experiencing homelessness. ■The Homeless and Housing Division and Constituent Services provided an update on support services and assistance for residents and tracking of at-fault evictions. ■The Human Resources Division partnered with the Police Department to achieve full staffing in sworn ranks for the first time in over 15 years by conducting ongoing recruitments for Police Recruits, Police Academy Graduates, and sworn Police Officers and promotional examinations for all sworn ranks, including Police Sergeant, Police Lieutenant and Police Captain. ■The Human Resources Division partnered with the Fire Department to conduct a large-scale Firefighter and Firefighter/Paramedic recruitment, which brought over 100 more applicants than prior recruitments. ■The Human Resources Division worked with the Fire Department to conduct promotional examinations for Fire Engineer and Fire Captain positions. ■The Human Resources Division partnered with the various departments to conduct recruitments for key executive positions, including Assistant Development Services Director, Energy & Sustainability Manager and Assistant Finance Director. ■The Human Resources Division advanced development of Costa Mesa University, the City’s leadership, training, and mentoring program for employees across all departments including creating a comprehensive Supervisor’s Resource Portal – a one-stop hub offering videos, templates, workbooks, links to upcoming training and other supervisory resources. ■The Human Resources Division expanded the use of NeoGov’s Learn module to allow employees to view and sign up for training online, including coordinating Citywide cybersecurity training in partnership with the IT Department. ■The Human Resources Division piloted NeoGov’s Perform module with the Police Department to allow supervisors and employees to submit and view performance evaluations in a new electronic format. ■The Human Resources Division facilitated employment law and employee relations training, including supervisory, performance management, and mandated harassment prevention training, through the Orange County Human Resources Consortium and implemented internal small-group training sessions to enable more in-depth, collaborative discussions with supervisors. ■The Human Resources Division initiated negotiations for successor Memoranda of Understanding (MOUs) with the Costa Mesa City Employees Association, Costa Mesa Police Association, and Costa Mesa Police Management Association. ■The Human Resources Division continues to promote employee health, safety and well-being as part of the City’s Employee Wellness Program, including offering monthly on-site Employee Assistance Program Counselor wellness seminars, health screenings and various fitness activities. ■The Human Resources Division conducted and coordinated classification and compensation studies for various job classifications to realign salaries to the market and address internal alignment or compaction issues. 81City of Costa Mesa, California cIty Manager’s offIce ■The Human Resources Division coordinated monthly Meet and Greet events to acknowledge new hires, recent promotions, retirements and the City Manager’s Leadership Award recipient. ■The City Clerk Division served 36,274 citizens via telephone and walk-in inquiries and ensured Spanish bilingual staff was available to assist the public. ■The City Clerk Division served as the gateway to open and accessible government by processing 1,442 public records requests in compliance with the Public Records Act. ■The City Clerk Division successfully conducted 21 City Council meetings and 7 Study Session meetings via hybrid format (in person and Zoom), ensuring the public’s right to access and to participate in public meetings. ■The City Clerk Division provided Spanish translation and interpretation services at all City Council meetings. ■The City Clerk Division provided Spanish translation of all the City Council Meeting agendas and agenda reports. ■The City Clerk Division promoted transparency, facilitating the scanning/importing of 11,891 documents into the Laserfiche Electronic Document Imaging System and providing the public access to these documents. ■The City Clerk Division successfully completed one Commission and Committee recruitment. ■The City Clerk Division conducted a Commission and Committee Nuts and Bolts Training for members. Proposed Budget for Fiscal Year 2026-2027 82 City of Costa Mesa, California Fiscal Year 2026-27 Goals ■The City Manager’s Office will establish department-wide Customer Service goals to respond to all constituent inquiries within 1 business day and resolve or provide a status update within 5 business days. ■The City Manager’s Office will expand outreach efforts and transparency by providing bilingual services and translation to encourage civic engagement. ■The City Manager’s office will ensure that City Council policies, goals and objectives are executed effectively and efficiently citywide. ■The City Manager’s Office will efficiently plan, organize and implement ribbon cuttings and celebrations for major capital projects such as Ketchum-Libolt Park, Shalimar Park, Brentwood, Skate Park, and more. ■The Communications and Marketing Division will expand opportunities for youth engagement and participation in city programs, projects, and career paths through marketing and outreach. ■The Community Outreach and Constituent Services Team will increase levels of participation and awareness amongst hard-to-reach communities in Costa Mesa, including but not limited to residents whose primary language is not English. ■The Community Outreach and Constituent Services Team will increase community outreach by 15% over the current figures of enrollment and participation of residents and businesses in the Costa Mesa 311 App. ■The Community Outreach and Constituent Services Team will support effective methods of community outreach and engagement by City Departments, including pop-ups, neighborhood events, partnerships with community groups, and targeted canvassing designed to meet stakeholders where they are. ■The Communications and Marketing Division will continue to engage the public via the City’s website, social media, and traditional media platforms to inform and encourage civic participation. ■The Communications and Marketing Division will continue to film innovative and engaging video content through long-form videos and short-term reels. ■The Communications & Marketing Division will launch a new quarterly City Employee newsletter that highlights accomplishments and individual employees. ■The Legislative and Government Affairs Team will advocate and implement the Costa Mesa Legislative Platform and analyze the November 2026 election impacts with a report to the City Council. ■The Legislative and Government Affairs Team will coordinate on the ongoing implementation of the Fairview Development Center Specific Plan and work with state agencies (Department of General Services, Department of Development Services, and California Office of Emergency Services) on the construction of the Southern Regional Emergency Operations Center and the sale of remaining lands. ■The Legislative and Government Affairs Team will assist Economic and Development Services in efforts to certify the city’s housing element and restore eligibility for applicable state funding. ■The Legislative and Government Affairs Team will research, track, and evaluate legislative and funding earmark requests at the federal, state, and regional levels and prepare recommendations to advance City priorities and secure funding opportunities in alignment with City Council goals. ■The HR Division will continue to implement innovative and modernized recruitment techniques to foster talent acquisition, talent management, and succession planning. ■The HR Division will continue to create and provide comprehensive training and development programs to meet the City’s organizational needs. ■The HR Division will continue to identify and evaluate risk and loss exposures to the City to efficiently and appropriately mitigate financial costs and proactively implement procedures, guidelines and training to reduce workers’ compensation and general liability costs. ■The HR Division will continue to provide managers and supervisors with ongoing and proactive employee relations training, counseling and assistance necessary. ■The HR Division will continue to design and deliver comprehensive training and development programs that support the City’s organizational needs, with a strong emphasis on enhancing customer service excellence. ■The HR Division will continue to identify and evaluate risk and loss exposures to the City to efficiently and appropriately mitigate risks and proactively implement procedures, guidelines and training to reduce and mitigate workers’ compensation and general liability costs. ■The HR Division will continue to process liability claims quickly and efficiently to mitigate losses to the City. 83City of Costa Mesa, California cIty Manager’s offIce ■The HR Division will continue to provide managers and supervisors with proactive employee relations training, counseling, and assistance as necessary. ■The HR Division will continue to facilitate ongoing legal and labor relations training, including harassment training for managers and supervisors through the Orange County Human Resources Consortium. ■The HR Division will complete negotiations with the Costa Mesa City Employees Association, Costa Mesa Police Association, and Costa Mesa Police Management Association and begin negotiations for a successor MOU with the Costa Mesa Firefighters Association, Costa Mesa Fire Management Association and the Costa Mesa Division Managers’ Association. ■Human Resources will conduct a comprehensive overhaul of the performance evaluation process and continue to pilot NeoGov’s Perform module with other Departments. ■The City Clerk’s Division will conduct the 2026 General Municipal Election. ■The City Clerk Division will maintain accurate records of official documents of the City; publish City legal notices as required by law. ■The City Clerk Division will prepare and publish the agenda for City Council meetings to the public in compliance with the Brown Act. ■The City Clerk Division will maintain campaign financial statements and Conflicts of Interest Statements (Form 700), in accordance with the City’s Municipal Code and the Fair Political Practices Commission. ■The City Clerk Division will implement and manage the email management training program. ■The Neighborhood Improvement Division will execute a long-term contract with the City of Irvine for the use of beds at the Bridge Shelter. ■The Neighborhood Improvement Division will help facilitate construction completion and lease-up of the Travelodge Homekey project, which will produce 76 units of Permanent Supportive Housing for people experiencing homelessness. ■The Neighborhood Improvement Division will execute a new contract for Shelter Operations at the Bridge Shelter. ■The Neighborhood Improvement Division will implement on-site primary and dental care at the Bridge Shelter. Proposed Budget for Fiscal Year 2026-2027 84 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Conduct an organizational assessment of public safety dispatch and Emergency Operations Center (EOC) to ensure consistency with best practices in hiring, staffing, and chain of command. ;TRUE ;TRUE 2 Work with the City’s real property consultant to consider options for acquiring park and green space for Costa Mesa, including the central parts of the City. ;TRUE 3 Utilize social media and non-traditional means to promote the City’s recruitments efforts through increased marketing on Facebook, Instagram, LinkedIn, and other sites. ;TRUE 4 Launch the Costa Mesa University Program for all city employees for a fall training curriculum. ;TRUE 5 Finalize the College Summer Internship Program implementation. ;TRUE 6 Complete a demonstration of the employee training management system (NeoGov “LEARN”) to City leadership prior to launching Citywide. ;TRUE ;TRUE 7 Complete the first phase launch of the employee performance evaluation system (NeoGov “PERFORM”). ;TRUE ;TRUE 8 Explore additional opportunities for mental health and wellness programs and activities for City employees. ;TRUE 9 Work with the City Manager and Police Chief to finalize the hiring incentives for lateral police officers. ;TRUE ;TRUE 10 Fully implement the 15 behavioral health beds at the Costa Mesa Bridge Shelter with the $4.2M Orange County Health Care Agency grant. ;TRUE ;TRUE 11 Monitor status of Travelodge Project Homekey motel conversion and assist with the implementation if awarded. ;TRUE ;TRUE 12 Provide continued assistance to households and families facing no-fault evictions. ;TRUE ;TRUE 13 Present to City Council recommended Enterprise Resource Planning (ERP) consultant to award contract and begin ERP implementation. ;TRUE Goals and Objectives The goals and objectives of the City Manager’s Department listed above were developed in alignment with the City Council’s priorities. 85City of Costa Mesa, California cIty Manager’s offIce Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 14 Consider, in concert with external stakeholders, potential economic opportunities from Olympics-related activities such as hotels, venues, and practice areas in Costa Mesa. ;TRUE 15 Present to City Council the consultant recommended for the Climate Action & Adaptation Plan and a timeline for implementation. ;TRUE 16 Develop a Municipal Sustainable Purchasing Policy. ;TRUE ;TRUE 17 Conduct an EV fleet and charging station assessment and install additional City-owned EV charging stations, especially providing more equity for renters. ;TRUE ;TRUE 18 Host the City’s 4th Annual Earth Day Festival. ;TRUE 19 Consider a Community Choice Energy Program. ;TRUE 20 Provide customer service training across all departments. ;TRUE 21 Develop thorough community outreach and engagement policies and protocols across all departments in order to prioritize responsiveness. ;TRUE 22 Create a plan that lists existing translation efforts and provides opportunities to improve these services. ;TRUE 23 Provide advanced meeting agenda noticing. ;TRUE Proposed Budget for Fiscal Year 2026-2027 86 City of Costa Mesa, California Performance Measures/Workload Indicators: Workload Indicators FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated CITY CLERK’S OFFICE Number of City Clerk concierge contacts (walk-ins, call-ins, emails)45,931 38,564 40,000 41,000 Number of public records requests processed 1,066 1,120 1,100 1,442 Number of public meetings with interpretation available 26 20 25 25 Number of contacts facilitated for bilingual assistance at public meetings*194 146 200 150 COMMUNICATIONS & MARKETING Number of Costa Mesa Minutes produced 81 74 40 40 Number of “Let’s Talk Costa Mesa” produced --40 40 Number of Costa Mesa “El Minuto” produced 46 49 25 25 Number of “Hablamos Costa Mesa” produced --40 40 Number of City Hall Snapshots issued 50 50 50 50 Number of content views on City social media 453,500 3.9 million 7.9 million 7.9 million CONSTITUENT SERVICES Number of letters sent on behalf of the Mayor and City Council**26 56 50 50 Number of constituent contacts (in-person, calls, emails)432 347 370 370 Number of Grand Opening/Ribbon Cutting events facilitated 18 26 25 25 Number of community outreach events supported 26 44 35 35 Number of proclamations provided 29 22 25 25 Number of Certificates of Recognitions produced 261 415 370 370 HOMELESS OUTREACH & BRIDGE SHELTER Number of NHS hotline contacts (calls, emails)2,102 2,526 2,700 2,700 Number of client contacts engaged by Homeless Outreach 178 164 200 200 Number of clients housed by Homeless Outreach, including reconnections 40 51 55 55 Number of clients housed from Shelter 32 31 35 35 Number of non-duplicated guests served in Shelter 259 231 250 250 HUMAN RESOURCES Number of recruitments processed 61 45 50 50 Number of job applications processed 7,305 12,762 8,000 8,000 Number of employee wellness events hosted 58 77 26 30 Number of full-time employees hired 68 68 70 70 Number of part-time employees hired 128 62 100 100 Number of new general liability claims processed 86 85 80 80 Number of benefit enrollment and benefit changes processed 2,101 2,247 2,100 2,100 Number of personnel actions processed 993 845 800 800 *Headsets and live interpretation **Includes letters for constituents, elected officials, legislative positions, etc. Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated Public record requests responded to within prescribed time 98%100%100%100% Completed City Council minutes by the following Council meeting 95%98%98%100% Citywide employee turnover rate (non-retirements)4.70%6.00%4.70%4.70% Percentage of work-related injuries reported within 24-hr notice of injury 100%100%100%100% Percentage of claims filed that are closed without litigation 86%85%80%80% Customer Service Goal Goal Average response time to constituent requests within 24 hours 95% 87City of Costa Mesa, California cIty Manager’s offIce Budget Narrative The Fiscal Year 2026-27 budget for the City Manager’s Office for all funds is an increase of $1.4 million or 9.1 percent to the adopted budget for Fiscal Year 2025-26. Key changes include increases related to labor-negotiated salary and benefit adjustments, and addition funding for election-related costs. These increases are partially offset by reductions in operating expenditure to ensure spending remains even with available resources. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER’S OFFICE BY FUNDING SOURCE General Fund - 101 $ 8,902,755 $ 9,900,304 $ 9,613,229 $ 10,430,048 Disaster Fund - 150 - 3 ,461 - - Grants - Other - 232 63,602 50,000 - - Capital Improvements Fund - 401 - 37,180 - - Self-Insurance Fund - 602 7,633,827 8,725,710 5,412,265 5,965,614 Total City Manager’s Office $ 16,600,184 $ 18,716,655 $ 15,025,494 $ 16,395,662 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER’S OFFICE BY PROGRAM ADMINISTRATION - 11100 Energy & Sustainability Program - 20250 Maintenance and Operations 17,502 $ 10 4,238 - - Fixed Assets 63,602 $ - - - Subtotal Energy & Sustainability Program $ 81,104 $ 104,238 $ - $ - City Manager Administration - 50001 Salaries and Benefits $ 1,883,145 $ 2,686,977 $ 2 ,945,175 $ 3,096,726 Maintenance and Operations 1,067,421 1,116,929 975,897 893,857 Fixed Assets 31,383 12,076 2,000 - Subtotal City Manager Administration $ 2,981,949 $ 3,815,982 $ 3,923,072 $ 3,990,583 Communications and Marketing - 51050 Salaries and Benefits $ 1,086,672 $ 1,056,107 $ 1,110,012 $ 1,288,066 Maintenance and Operations 189,196 200,724 169,686 155,436 Fixed Assets 5,771 1,828 10 ,900 8 ,900 Subtotal Communications and Marketing $ 1,281,640 $ 1,258,659 $ 1,290,598 $ 1,452,402 City Council - 50110 Salaries and Benefits $ 490,363 $ 617,769 $ 593,734 $ 6 47,627 Subtotal City Council $ 490,363 $ 617,769 $ 593,734 $ 6 47,627 CITY CLERK - 11200 Proposed Budget for Fiscal Year 2026-2027 88 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Elections - 50120 Salaries and Benefits $ 9 7,354 $ 102,088 $ 101,795 $ 108,868 Maintenance and Operations 1,829 155,264 25,200 275,200 Subtotal Elections $ 99,183 $ 257,352 $ 126,995 $ 384,068 City Council Meetings - 50410 Salaries and Benefits $ 483,058 $ 505,001 $ 504,266 $ 6 31,146 Maintenance and Operations 42,882 45,586 35,580 33,580 Subtotal City Council Meetings $ 525,941 $ 550,587 $ 539,846 $ 664,726 Public Records - 50420 Salaries and Benefits $ 4 39,193 $ 464,900 $ 399,543 $ 520,954 Maintenance and Operations 13,862 19,535 4 3,157 12,157 Fixed Assets 13 2 151 2,000 - Subtotal Public Records $ 453,187 $ 484,585 $ 444,700 $ 533,111 HUMAN RESOURCES - 14100 Recruitment and Selection - 50610 Salaries and Benefits $ 1 ,527,467 $ 1,596,797 $ 1,584,138 $ 1,717,584 Maintenance and Operations 1,058,029 806,363 7 71,739 629,579 Fixed Assets - - 2,000 - Subtotal Recruitment and Selection $ 2,585,496 $ 2,403,160 $ 2,357,877 $ 2,347,163 Employee Benefit Administration - 50630 Salaries and Benefits $ 26,854 $ 13 ,058 $ 80,000 $ 80,000 Maintenance and Operations 13,696 14 ,453 9,400 9,400 Subtotal Employee Benefit Administration $ 40,550 $ 27,512 $ 89,400 $ 89,400 Post-Employment Benefits - 50650 Salaries and Benefits $ 62,819 $ 64,633 $ - $ - Subtotal Post Employment Benefits $ 6 2,819 $ 64,633 $ - $ - Emergency Services - 51040 RISK MANAGEMENT - 14400 Risk Management Administration - 50661 Salaries and Benefits $ 282,500 $ 300,841 $ 228,907 $ 302,867 Maintenance and Operations 10 5,001 115,223 9 8,100 98,100 Subtotal Risk Management Administration $ 387,501 $ 416,064 $ 3 27,007 $ 400,967 89City of Costa Mesa, California cIty Manager’s offIce Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Liability - 50662 Salaries and Benefits $ 165,436 $ 181,088 $ 165,141 $ 178,004 Maintenance and Operations 4,643,684 5,161,846 2,442,291 2,950,984 Subtotal Liability $ 4,809,120 $ 5,342,934 $ 2,607,432 $ 3,128,988 Workers’ Compensation - 50663 Salaries and Benefits $ 2,464,886 $ 3,084,879 $ 2,383,523 $ 2 ,415,316 Maintenance and Operations 332,966 284,839 3 41,310 341,310 Subtotal Workers’ Compensation $ 2 ,797,853 $ 3 ,369,718 $ 2 ,724,833 $ 2,756,626 TOTAL CITY MANAGER’S OFFICE Salaries and Benefits $ 9,010,354 $ 10,677,599 $ 10 ,096,234 $ 10,987,159 Maintenance and Operations 7,488,942 8,025,001 4,912,360 5,399,603 Fixed Assets 10 0,887 14,054 16,900 8 ,900 Total City Manager’s Office $ 16,600,184 $ 18,716,655 $ 15,025,494 $ 16,395,662 Proposed Budget for Fiscal Year 2026-2027 90 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER’S OFFICE BY ACCOUNT: ALL FUNDS Salaries and Benefits Regular Salaries - Non-Sworn $ 3 ,907,353 $ 4,333,165 $ 4 ,577,830 $ 5 ,043,317 Regular Salaries - Part-Time 468,606 565,218 433,919 433,919 Overtime 119,832 126,728 49,100 4 9,100 Accrual Payoff - Excess Max. 6,599 6,830 5,000 5,000 Vacation/Comp. Time Cash Out 5 2,517 65,053 48,300 48,300 Holiday Allowance 14 ,540 11,672 12,485 11,765 Separation Pay-Off 15,432 46,427 8 ,100 8 ,100 Other Compensation 121,500 122,284 10 0,681 14 3,229 Cafeteria Plan 798,891 875,348 939,541 943,061 Medicare 74,361 82,909 74,424 9 7,722 Retirement 1,153,189 1,562,841 1,518,915 1,875,596 Executive Prof Development 14 ,592 23,790 2 7,090 2 7,200 Auto Allowance 10,986 13 ,876 13 ,800 13 ,800 Unemployment 26,854 13 ,058 80,000 80,000 Workers’ Compensation 2 ,225,102 2,828,403 2,207,049 2,207,049 Subtotal Salaries & Benefits $ 9,010,354 $ 10,677,599 $ 10,096,234 $ 10,987,159 Maintenance and Operations Stationery and Office $ 4 4,357 $ 42,050 $ 39,900 $ 34,500 Multi-Media, Promos, Subscrpt. 154,272 153,191 14 2,300 105,110 Small Tools and Equipment 37,822 6,878 10,300 4,300 Uniforms and Clothing 6,771 5,222 3,800 800 Safety and Health 35,833 34,086 29,000 29,000 Legal Advertising/Filing Fees 16,836 23,052 20,000 18,000 Advertising and Public Info. 19,168 12,263 14,300 7,400 Telephone/Radio/Communications 22,298 25,442 23,900 23,900 Business Meetings 22,403 16,964 9,880 7,880 Mileage Reimbursement 795 706 500 500 Dues and Memberships 9 ,159 12,240 9,024 7,024 Professional Development 14 6,640 139,699 104,876 83,616 Buildings and Structures - 84,504 - - Office Furniture 11,614 - - - Office Equipment 36,027 3 4,145 20,300 20,300 Other Equipment 17,133 19,716 10,000 10,000 Employment 20,399 17,092 26,000 16,000 Consulting 1,051,063 912,722 6 92,150 905,150 Legal 137,891 123,025 231,300 152,800 Medical and Health Inspection 113,824 185,456 101,900 10 1,900 Public Safety 93,630 156,540 164,600 134,000 Sanitation 480 520 400 400 91City of Costa Mesa, California cIty Manager’s offIce From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER’S OFFICE BY ACCOUNT: ALL FUNDS Maintenance and Operations (Continued) External Rent 4 7,704 43,205 45,400 35,800 Grants, Loans and Subsidies 39,750 43,550 20,000 - Internal Rent Central Services 12,815 13 ,847 13 ,429 13,429 Internal Rent Postage 15,425 4,552 7,138 7,138 Internal Rent - Maintenance 600 600 600 600 Internal Rent - Repl Cost 3,900 3,900 3,900 3,900 Internal Rent - Fuel 3,055 1,000 1,000 1,000 Internal Rent Genl Liability 717,330 717,330 717,330 7 17,330 Internal Rent Workers’ Comp 21,096 21,096 21,096 21,096 Internal Rent Unemployment 6 ,186 6 ,186 6 ,186 6,186 General Liability 2,047,044 2,748,558 2,082,251 2,590,944 Special Liability - - 9,400 9,400 Buildings & Personal Property - - 195,200 195,200 Taxes and Assessments 106,901 75,639 85,000 85,000 Contingency 2,468,722 2,302,843 50,000 50,000 Subtotal Maintenance & Operations $ 7,488,942 $ 7,987,822 $ 4,912,360 $ 5,399,603 Fixed Assets Office Furniture $ 17,819 $ 11,962 $ - $ - Other Equipment 83,068 2,093 16,900 8 ,900 Subtotal Fixed Assets $ 100,887 $ 14,054 $ 16,900 $ 8,900 Total City Manager’s Office $ 16,600,184 $ 18,679,475 $ 15,025,494 $ 16,395,662 Proposed Budget for Fiscal Year 2026-2027 92 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Regular Salaries - Non-Sworn $ 3,688,126 $ 4 ,117,434 $ 4,365,009 $ 4,818,402 Regular Salaries - Part-Time 387,314 463,359 413,394 413,394 Overtime 115,856 122,316 49,100 4 9,100 Accrual Payoff - Excess Max. 6,599 6,830 5,000 5,000 Vacation/Comp. Time Cash Out 51,114 63,530 48,300 48,300 Holiday Allowance 13,886 11,298 11,765 11,765 Separation Pay-Off 15,097 46,427 8 ,100 8 ,100 Other Compensation 120,449 121,245 99,617 143,025 Cafeteria Plan 762,040 839,593 903,231 903,231 Medicare 69,695 78,064 71,317 9 2,217 Retirement 1,097,603 1 ,487,778 1,452,287 1,780,744 Executive Prof Development 14,411 23,365 26,650 26,760 Auto Allowance 10,986 13 ,876 13 ,800 13 ,800 Subtotal Salaries & Benefits $ 6,353,178 $ 7,395,113 $ 7,467,570 $ 8,313,839 Maintenance and Operations Stationery and Office $ 4 4,357 $ 42,050 $ 39,900 $ 34,500 Multi-Media, Promos, Subscrpt. 154,272 153,191 14 2,300 105,110 Small Tools and Equipment 37,822 6,878 10,300 4,300 Uniforms and Clothing 6,771 5,222 3,800 800 Safety and Health 35,833 34,086 29,000 29,000 Legal Advertising/Filing Fees 16,836 23,052 20,000 18,000 Advertising and Public Info. 19,168 12,263 14,300 7,400 Telephone/Radio/Communications 22,298 25,442 23,900 23,900 Business Meetings 22,403 16,964 9,880 7,880 Mileage Reimbursement 795 706 500 500 Dues and Memberships 9 ,159 12,240 9,024 7,024 Professional Development 14 6,640 139,699 104,876 83,616 Buildings and Structures - 84,504 - - Office Furniture 11,614 - - - Office Equipment 36,027 3 4,145 20,300 20,300 Other Equipment 17,133 19,716 10,000 10,000 Employment 20,399 17,092 26,000 16,000 Consulting 694,864 543,077 330,400 543,400 Legal 137,891 123,025 231,300 152,800 Medical and Health Inspection 113,824 185,456 101,900 10 1,900 Public Safety 93,630 156,540 164,600 134,000 Sanitation 480 520 400 400 External Rent 4 7,704 43,205 45,400 35,800 Grants, Loans and Subsidies 39,750 43,550 20,000 - Internal Rent Central Services 12,815 13 ,847 13 ,429 13,429 93City of Costa Mesa, California cIty Manager’s offIce From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY MANAGER BY ACCOUNT: GENERAL FUND ONLY Maintenance and Operations (Continued) Internal Rent Postage 15,425 4,552 7,138 7,138 Internal Rent - Maintenance 600 600 600 600 Internal Rent - Repl Cost 3,900 3,900 3,900 3,900 Internal Rent - Fuel 3,055 1,000 1,000 1,000 Internal Rent Genl Liability 717,330 717,330 717,330 7 17,330 Internal Rent Workers’ Comp 21,096 21,096 21,096 21,096 Internal Rent Unemployment 6 ,186 6 ,186 6 ,186 6,186 Taxes and Assessments 2 ,216 - - - Subtotal Maintenance & Operations $ 2,512,292 $ 2,491,136 $ 2,128,759 $ 2,107,309 Fixed Assets Office Furniture $ 17,819 $ 11,962 $ - $ - Other Equipment 19,466 2,093 16,900 8 ,900 Subtotal Fixed Assets $ 37,286 $ 14,054 $ 16,900 $ 8,900 Total City Manager’s Office $ 8,902,755 $ 9,900,304 $ 9,613,229 $ 10,430,048 Proposed Budget for Fiscal Year 2026-2027 94 City of Costa Mesa, California City Attorney’sOffice City Attorney’s Office City Attorney Contracted City Attorney Jones & Mayer Assistant City Attorney (2) Proposed Budget for Fiscal Year 2026-2027 96 City of Costa Mesa, California The City Attorney’s Office is classified as a General Government Support function. The City Attorney is a contracted service with the legal firm of Jones & Mayer. City Attorney — 12100 Legal Services – 50320 Provides legal counsel and advice during official meetings and study sessions of the City Council and various commissions; serves as a legal advisor to City staff; prepares and reviews City ordinances, resolutions, contracts and legal documents; represents the City in civil and criminal litigations; oversees the work of outside private counsel when hired to assist in litigation; and coordinates/reviews claims filed against or for the City with Risk Management. Legal costs associated with litigation are included in the Non-Departmental budget rather than the City Attorney’s Office budget. 97City of Costa Mesa, California cIty attorney’s offIce Budget Narrative The Fiscal Year 2026-27 budget for the City Attorney’s Office is $1,157,411, an increase of $33,711, or 3.0% compared to the adopted budget for Fiscal Year 2025-26. The increase is primarily attributed to the adjustment in costs due to the Consumer Price Index in the agreement. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY ATTORNEY’S OFFICE BY FUNDING SOURCE General Fund - 101 $ 9 77,061 $ 1,107,716 $ 1,123,700 $ 1 ,157,411 Total City Attorney’s Office $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY ATTORNEY’S OFFICE BY PROGRAM ADMINISTRATION - 12100 General Legal Services - 50320 Maintenance and Operations $ 9 77,061 $ 1,107,716 $ 1,123,700 $ 1 ,157,411 Subtotal General Legal Services $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Emergency Services - 51040 Local Emergency Responses - 52100 TOTAL CITY ATTORNEY’S OFFICE Maintenance and Operations $ 9 77,061 $ 1,107,716 $ 1,123,700 $ 1 ,157,411 Total City Attorney’s Office $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Proposed Budget for Fiscal Year 2026-2027 98 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY ATTORNEY’S OFFICE BY ACCOUNT: ALL FUNDS Maintenance and Operations Legal 9 77,061 1 ,107,716 1,123,700 1,157,411 Subtotal Maintenance & Operations $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Total City Attorney’s Office $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 99City of Costa Mesa, California cIty attorney’s offIce From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget CITY ATTORNEY’S OFFICE BY ACCOUNT: GENERAL FUND ONLY Maintenance and Operations Legal 9 77,061 1 ,107,716 1,123,700 1,157,411 Subtotal Maintenance & Operations $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Total City Attorney’s Office $ 977,061 $ 1,107,716 $ 1,123,700 $ 1,157,411 Proposed Budget for Fiscal Year 2026-2027 100 City of Costa Mesa, California FinanceDepartment Finance Department Finance Department Finance Administration 1.0 FTE- Finance Director 1.0 FTE- Assistant Finance Director 1.0 FTE- Executive Assistant 1.0 FTE - Financial Analyst Budget 2.0 FTE - Senior Budget Analyst 1.00 FTE- Finance Manager Purchasing 1.0 FTE - Finance Officer- Purchasing 2.0 FTE - Buyer 1.00 FTE- Budget and Purchasing Manager 1.0 FTE- Executive Assistant Treasury 1.0 FTE - Finance Officer- Revenues 1.0 FTE - Accounting Specialist I 2.0 FTE - Accounting Specialist II 1.0 FTE - Financial Analyst 1.0 FTE- Business License Inspector 1.0 FTE - Permit Processing Specialist Payroll 1.0 FTE - Finance Officer- Payroll (CON) 1.0 FTE - Payroll Coordinator Accounting 1.0 FTE - Finance Officer- Accounting 1.0 FTE - Senior Accountant 1.0 FTE - Accountant 2.0 FTE - Accounting Specialist II 0.75 FTE- Part-Time Proposed Budget for Fiscal Year 2026-2027 102 City of Costa Mesa, California The Finance Department is a General Government Support function. The Department has 26 full-time staff members composed of four (4) management, four (4) Officers, sixteen (16) professional staff, and two (2) clerical positions. The department is comprised of two divisions as follows: ■Finance Administration ■Financial Operations Finance Administration — 13100 Administration – 50001 Provides the Department’s overall administrative direction and policy implementation; advises the City Manager, City C ouncil, Finance and P ension Advisory C ommittee, a nd the Deferred C ompensation C ommittee; and p rovides the overall coordination of the Department, including budgeting, accounting, payroll, purchasing, and treasury functions. Financial Operations — 13200 Financial Services – 50500 Provides financial, accounting, payroll, treasury, procurement and budgetary services for all departments of the City. The Division is responsible for government-wide financial analysis, fund financial analysis, cash management, investments, capital assets, debt administration, and financial reporting. The Division is also responsible for monitoring the City’s investment portfolio; procures services, supplies, and equipment for City departments; prepares and administers the City’s annual budget; provides accounting and budgeting to the Housing Authority, the Public Financing Authority, the Financing Authority, and the Costa Mesa Foundation; maintains effective internal control policies and procedures to safeguard the City’s assets and manage its resources; and conducts fiscal analysis during labor negotiations. Accounting Maintains t he a ccounting a nd fi xed a ssets s ystems; p rovides a ccounts p ayable s ervices to d epartments, i ncluding 1099 reporting; reconciles monthly bank statements; coordinates all financial audits including the annual financial audit and audits by all outside agencies; provides internal and external financial reports including publication of the Annual Comprehensive Financial Report (ACFR); oversees the implementation of new accounting pronouncements by the Governmental Accounting S tandards Board (GASB); coordinates State-mandated costs reimbursement claim (SB 90); provides accounting for the Housing Authority, and the Costa Mesa Foundation. Budget Prepares and administers the City’s annual budget development process and prepares the annual budget for adoption by City Council. The Budget Division also prepares and monitors expenditure and revenue projections; prepares budget forecast and performance reports, including the quarterly and mid-year review; performs special research projects or analysis as assigned by the Finance Director, City Manager, and/or City Council. The Budget Division also participates in preparing labor cost estimates for labor negotiations, future budgets, and long-term forecasting. Payroll Payroll division is managed by two full time staff, the payroll coordinator and payroll officer. Payroll plans, organizes, coordinates, and supervises activities for bi-weekly payroll processing in compliance with Federal and State tax law, and City labor contracts for each labor group accurately and timely. The division prepares monthly, quarterly and annual reporting for Federal taxes, California Public Employee’s Retirement System (CalPERS), and California Employment Development Department (EDD). In addition, Payroll prepares annual census data and prepares the legally required W-2 forms that’s distributed to all city staff part-time and full-time City staff. 103City of Costa Mesa, California fInance departMent Purchasing The City of Costa Mesa Procurement staff is dedicated to the principles of competition, fairness, and transparency in procurement. Our goal is to ensure that Costa Mesa taxpayers receive the best quality at the best price on every purchase, supported by effective contract management and the use of digital tools such as PlanetBids to promote open and competitive bidding. All expenditures are conducted in a manner that preserves the public trust. Purchasing operates in compliance with federal, state, and local law and is strictly prohibited from taking any actions that do not reflect the ideals of honor and integrity in the performance of its work. Treasury Monitors and safeguards the public funds of the City; Provides centralized cashiering and collections; performs investment functions under direction of the Finance Director/City Treasurer; monitors accounting and collections for all City revenues, including transient occupancy taxes; cannabis taxes; franchise taxes and lease revenues; sidewalk sales, non-profit solicitations, and firework stands; coordinates the annual update of Schedule of User and Regulatory Fees (Master Fee Schedule); administers the City’s business license programs; generates billings for various receivables; reviews audits performed by outside consultants for cannabis tax, transient occupancy tax, waste hauler franchises, Costa Mesa golf course and tennis center; prepares the Treasurer’s Report, Property Tax Report, and Sales Tax Report. Proposed Budget for Fiscal Year 2026-2027 104 City of Costa Mesa, California Fiscal Year 2025-2026 Accomplishments ■Maintained the City’s AA+ Lease Revenue Bond credit rating. ■Received the California Society of Municipal Finance Officers (CSMFO) Operating Budget Excellence Award ■Recipient of the Government Finance Officer Association’s (GFOA) Certificate of Recognition for Budget Preparation for fiscal year ended June 30, 2025. ■ Implemented Governmental Accounting Standards Board (GASB) 101, a reporting standard for compensated absences. ■Prepared the June 30, 2025 Annual Comprehensive Financial Report (ACFR), Single Audit Report, Financing Authority Financial Statements, Housing Authority Financial Statements, Cities Financial Transactions Report to the State Controller’s Office, and the Development Impact Fees Annual Report. ■ Exceeded City Council General Fund reserve policy of $55 million by $5 million for a year end of $60.9 million. ■ Continue to provide recommended updates to the Citywide Master Fee and Charges Schedule to FiPAC and request for City Council consideration during the annual budget process. ■Received the GFOA Certificate of Achievement for Excellence in Financial Reporting for fiscal year ended June 30, 2025. ■ Received the GFOA Distinguished Budget Presentation Award for fiscal year beginning July 1, 2025. ■ Successfully submitted a balanced FY 2025-26 budget to the City Council. ■ Successfully transitioned the W-2 printing and distribution process to Automatic Data Processing (ADP), Inc. ■Implemented payroll changes to reflect new requirements and compensation updates enacted through the One Big Beautiful Bill Act (OBBBA). ■Ensured the continued processing of payroll accurately and on time, while maintaining compliance with all federal and state-mandated reporting requirements. ■Provide financial reports that includes State Tax and Property Tax for City Council and FiPAC. ■Coordinated with legislative staff to identify external restricted revenue sources. ■Initiated the implementation of the City’s new Enterprise Resource Planning (ERP), a major modernization initiative designed to replace multiple legacy platforms. ■ Per City Council direction, conduct a comprehensive review and analysis of both Business License Tax and Hotel Tax (Transient Occupancy Tax) for consideration of a November 2026 ballot initiative. ■As per City Council direction, worked with FiPAC subcommittee to review the feasibility of two ballot measures. ■Continued to safeguard the City’s assets and invested available cash in accordance with the City’s adopted investment policy, optimizing returns. ■Continue to work with Public Works and the Fire and Rescue Departments to secure funding for Fire Station 2. 105City of Costa Mesa, California fInance departMent Fiscal Year 2026-2027 Goals ■Continue to provide excellent customer service for the City’s external customers in the Treasury Division ■As an internal general government support department, provide excellent customer service to internal departments and increase interdepartmental collaboration. ■Present FY 2026-2027 Mid-Year Budget updates and adjustments to the City Council, as needed. ■Continue to prepare for annual financial statement audits and work with departments to ensure compliance. ■ Implement Government Accounting Standards Board (GASB) 104, ensuring compliant reporting of capital assets. ■Continue to review cost recovery models across all departments. ■ Continue to audit the cannabis business tax receipts for Measures X and Q. ■Maintain ongoing audits of the hotel tax (transient occupancy tax) receipts. ■Continue the implementation of the City’s new Enterprise Resource Planning (ERP) system, a major modernization initiative replacing multiple legacy platforms. This will include finalizing configuration of core financial and procurement modules, and completing data conversion and validation. ■Receipt of two triple-combination pumping engines is anticipated in the fall of 2026. ■Initiate contract execution and purchase distribution through digital procurement, transitioning to a paperless process. ■Potentially place ballot measures, in collaboration with the City Council, on the November 2026 elections. Proposed Budget for Fiscal Year 2026-2027 106 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Implementation of ERP financial software solutions to improve reporting efficiences ;TRUE 2 Continue to evaluate and implement multi-year strategic funding options of the Self Insurance Fund ;TRUE 3 Identify options for reducing the net pension liability and net OPEB liability ;TRUE 4 Monitor Measure Q and X tax rate and fees. ;TRUE 5 Continue to provide quarterly financial reports to the City Council and FiPAC ;TRUE Goals and Objectives The goals and objectives of the Finance Department were developed in alignment with the City Councils priorities. 107City of Costa Mesa, California fInance departMent Performance Measures/Workload Indicators: Workload Indicators FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated Number of Waitwhile bookings of business licenses 1,605 1,573 1,500 1,500 Number of budget adjustments processed 54 85 72 75 Number of budget transfers 343 348 350 350 Number of business licenses issued or renewed 6,307 9,554 10,000 10,200 Number of business license renewal notices sent 11,560 7,536 8,000 8,200 Number of cash register transactions processed 6,898 6,805 7,000 8,000 Number of contracts issued 393 492 495 495 Number of form 1099s issued 223 230 245 290 Number of form W-2s issued 867 913 915 915 Number of journal entries prepared 966 665 700 700 Number of payroll issued 19,286 20,204 20,500 20,500 Number of purchase orders issued 1,760 1,316 1,400 1,400 Number of Vendor Payments issued 19,254 7599 8,000 8,500 Number of Accounts Receivable Invoices 1,033 1,318 1,600 1,800 Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated Years received GFOA Distinguished Budget Award 23 24 25 26 Years received the ACFR Excellence in Financial Reporting Award 26 27 28 29 Years with Structurally Balanced Budget since 2019 5 6 7 8 Years with Positive Fiscal Year End Balance Results 5 6 7 8 Number of Years with Clean “Unmodified” Audit Results 5 6 7 8 Number of Years Maintain/Exceed General Fund Reserve Target of $55 million since 2019 3 4 5 6 Customer Service Goal Goal Average response time to process business license requests within 2 business days 95% Proposed Budget for Fiscal Year 2026-2027 108 City of Costa Mesa, California Budget Narrative The F iscal Year 2 026-27 b udget for t he F inance D epartment i s $6.1 m illion, a d ecrease o f $987,818, o r 14.0 p ercent compared to the adopted budget for Fiscal Year 2025-26. While there are increases attributed to adjustments to salaries and benefits as result of labor negotiations, the operating budget is temporarily being reduced to maintain a balanced budget under current economic conditions. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 4,416,583 $ 5,057,429 $ 6,296,503 $ 5,933,378 Payroll Clearing - 120 500 - - - Disaster Fund - 150 - 3,527 - - Grants - State - 231 - - 750,000 - IT Replacement Fund - 603 - - - 125,307 Total Finance Department $ 4,417,083 $ 5,060,956 $ 7,046,503 $ 6,058,685 Expense by Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY PROGRAM ADMINISTRATION - 13100 Finance Administration - 50001 Salaries and Benefits $ 9 15,324 $ 1,213,194 $ 1,486,634 $ 1,531,976 Maintenance and Operations 97,648 151,778 426,360 406,360 Fixed Assets 22,860 - 7,900 7,900 Subtotal Finance Administration $ 1,035,832 $ 1,364,973 $ 1,920,894 $ 1,946,236 Emergency Services - 51040 Maintenance and Operations 4,331 - - - Subtotal Emergency Services $ 4,331 $ - $ - $ - FINANCIAL OPERATIONS - 13200 Financial Services - 50500(1)(2) Salaries and Benefits $ 2,658,614 $ 3,223,536 $ 3,499,239 $ 3,636,858 Maintenance and Operations 696,730 451,827 846,970 4 46,191 Fixed Assets 16,621 17,094 7 79,400 29,400 Subtotal Financial Services $ 3,371,965 $ 3,692,456 $ 5,125,609 $ 4,112,449 109City of Costa Mesa, California fInance departMent Expense by Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget TOTAL FINANCE DEPARTMENT Salaries and Benefits $ 3,578,893 $ 4,440,258 $ 4,985,873 $ 5,168,834 Maintenance and Operations 7 98,710 603,605 1,273,330 852,551 Fixed Assets 39,480 17,094 7 87,300 3 7,300 Total Finance Department $ 4,417,083 $ 5,060,956 $ 7,046,503 $ 6,058,685 (1) As of Fiscal Year 2024-25, Financial Services consists of Accounting, Treasury, Budget and Purchasing. (2) As of Fiscal Year 2024-25, Warehouse operations were transferred from the Finance Department to the Public Works Department. Proposed Budget for Fiscal Year 2026-2027 110 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Regular Salaries - Non-Sworn $ 1,981,521 $ 2,515,951 $ 3 ,108,737 $ 3,201,303 Regular Salaries - Part-Time 171,712 281,934 73,492 73,492 Overtime 57,344 95,852 36,500 36,500 Accrual Payoff - Excess Max. - - 3,200 3,200 Vacation/Comp. Time Cash Out 18,635 28,013 20,600 20,600 Holiday Allowance 8,904 7,979 5,088 5,088 Separation Pay-Off 3 2,142 8,683 9,080 9,080 Other Compensation 32,247 30,471 37,567 28,074 Cafeteria Plan 3 91,997 488,482 594,248 594,248 Medicare 35,476 4 6,135 4 6,418 52,731 Retirement 835,991 9 23,124 1,034,683 1,127,818 Executive Prof Development 6,007 6,695 9,360 9,800 Auto Allowance 6 ,919 6,938 6 ,900 6 ,900 Subtotal Salaries & Benefits $ 3,578,893 $ 4,440,258 $ 4,985,873 $ 5,168,834 Maintenance and Operations Stationery and Office $ 2 0,819 $ 19,316 $ 14 ,300 $ 14 ,300 Multi-Media, Promos, Subscrpt. 2,625 543 1,300 1,300 Safety and Health 773 789 400 400 Legal Advertising/Filing Fees - - 6,000 6,000 Telephone/Radio/Communications 3,997 9,941 400 400 Business Meetings 3,781 3,549 - - Mileage Reimbursement 61 239 200 200 Dues and Memberships 2,370 2,770 2,000 2,000 Professional Development 17,137 20,601 14 ,660 14,660 Office Equipment 5,804 8 ,114 3,700 3,700 Consulting 164,690 123,709 277,500 257,500 Legal 1,288 8,694 10,000 10,000 Financial & Information Svcs. 489,524 326,398 838,750 437,971 Sanitation 480 520 800 800 External Rent 2,069 1,893 - - Internal Rent Central Services 4,321 4,362 20,000 20,000 Internal Rent Postage 11,781 9,009 20,460 20,460 Internal Rent - Fuel - 300 - - Internal Rent Genl Liability 25,990 25,990 25,990 25,990 Internal Rent Workers’ Comp 34,090 34,090 34,090 34,090 Internal Rent Unemployment 2,780 2,780 2,780 2,780 Emergency Protective Measure 4,331 - - - Subtotal Maintenance & Operations $ 798,710 $ 603,605 $ 1,273,330 $ 852,551 111City of Costa Mesa, California fInance departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY ACCOUNT: ALL FUNDS Fixed Assets Office Furniture $ 22,860 $ - $ 2 ,900 $ 2 ,900 Other Equipment 16,621 17,094 34,400 34,400 Subtotal Fixed Assets $ 39,480 $ 17,094 $ 37,300 $ 37,300 Transfers Out Transfers Out - - 750,000 - Subtotal Transfers Out - - 750,000 - Total Finance Department $ 4,417,083 $ 5,060,956 $ 7,046,503 $ 6,058,685 Proposed Budget for Fiscal Year 2026-2027 112 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Regular Salaries - Non-Sworn $ 1,981,521 $ 2 ,513,117 $ 3 ,108,737 $ 3 ,102,844 Regular Salaries - Part-Time 171,712 2 81,504 73,492 73,492 Overtime 57,344 95,852 36,500 36,500 Accrual Payoff - Excess Max. - - 3,200 3,200 Vacation/Comp. Time Cash Out 18,635 28,013 20,600 20,600 Holiday Allowance 8,904 7,979 5,088 5,088 Separation Pay-Off 3 2,142 8,683 9,080 9,080 Other Compensation 32,247 30,471 37,567 2 7,582 Cafeteria Plan 3 91,997 488,482 594,248 594,248 Medicare 35,476 4 6,135 4 6,418 51,296 Retirement 835,991 922,861 1,034,683 1,102,897 Executive Prof Development 6,007 6,695 9,360 9,800 Auto Allowance 6 ,919 6,938 6 ,900 6 ,900 Subtotal Salaries & Benefits $ 3,578,893 $ 4,436,730 $ 4,985,873 $ 5,043,527 Maintenance and Operations Stationery and Office $ 2 0,819 $ 19,316 $ 14 ,300 $ 14 ,300 Multi-Media, Promos, Subscrpt. 2,625 543 1,300 1,300 Safety and Health 773 789 400 400 Legal Advertising/Filing Fees - - 6,000 6,000 Telephone/Radio/Communications 3,997 9,941 400 400 Business Meetings 3,781 3,549 - - Mileage Reimbursement 61 239 200 200 Dues and Memberships 2,370 2,770 2,000 2,000 Professional Development 17,137 20,601 14 ,660 14,660 Office Equipment 5,804 8 ,114 3,700 3,700 Consulting 164,690 123,709 277,500 257,500 Legal 1,288 8,694 10,000 10,000 Financial & Information Svcs. 489,024 326,398 838,750 437,971 Sanitation 480 520 800 800 External Rent 2,069 1,893 - - Internal Rent Central Services 4,321 4,362 20,000 20,000 Internal Rent Postage 11,781 9,009 20,460 20,460 Internal Rent - Fuel - 300 - - Internal Rent Genl Liability 25,990 25,990 25,990 25,990 Internal Rent Workers’ Comp 34,090 34,090 34,090 34,090 Internal Rent Unemployment 2,780 2,780 2,780 2,780 Emergency Protective Measure 4,331 - - - Subtotal Maintenance & Operations $ 798,210 $ 603,605 $ 1,273,330 $ 852,551 113City of Costa Mesa, California fInance departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FINANCE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Fixed Assets Office Furniture $ 22,860 $ - $ 2 ,900 $ 2 ,900 Other Equipment 16,621 17,094 34,400 34,400 Subtotal Fixed Assets $ 39,480 $ 17,094 $ 37,300 $ 37,300 Total Finance Department $ 4,416,583 $ 5,057,429 $ 6,296,503 $ 5,933,378 Proposed Budget for Fiscal Year 2026-2027 114 City of Costa Mesa, California Parks and Community Services Department Parks and Community Services Department Parks and Community Services Department Parks and Community Services Administration 1.0 FTE - Parks and Community Services Director 1.0 FTE - Recreation Manager 2.0 FTE - Senior Recreation Supervisor 1.0 FTE - Senior Management Analyst 1.0 FTE - Executive Assistant Fairview Park 1.0 FTE - Fairview Park Administrator 1.0 FTE - Fairview Park Senior Maintenance Technician 1.0 FTE- Recreation Specialist 0.25 FTE - Part-time Recreation 3.0 FTE - Recreation Supervisor 4.0 FTE - Recreation Coordinator 1.0 FTE - Office Specialist II 7.0 FTE - Recreation Specialist 1.0 FTE - Community Outreach Worker 62.32 FTE - Part- Time 1.0 FTE - Arts Specialist Arts and Culture Proposed Budget for Fiscal Year 2026-2027 116 City of Costa Mesa, California The Parks and Community Services Department provides the citizens of Costa Mesa with a variety of high-quality recreation facilities, programs, and services. These facilities include the Balearic Community Center, the Downtown Aquatic and Recreation Centers, the Norma Hertzog Community Center, the Costa Mesa Senior Center, and the Jack Hammett Sports Complex. The Department allocates and monitors athletic field use and oversees public usage of park facilities. It is also responsible for the management and maintenance of Fairview Park. In terms of programs, the Department provides a large offering of youth, teen, and adult recreation programs and classes, as well as Citywide special events. The Department also manages the operating agreements for the Balearic Community Center, the Costa Mesa Country Club, and the Costa Mesa Tennis Center, and oversees long-term use agreements with the Boys and Girls Club of Orange County, the Child’s Pace program, and the Orange County Model Engineers. The department is budgeted for 26 full-time and 62.57 part-time employees. Parks and Community Services — 14300 Fairview Park – 20115 Fairview Park is the City’s largest park, hosting 195 acres of open space natural area and 13 acres of manicured landscape for a total of 208 acres. Within the 195 acres of open space, there are two Native American Nationally Registered Historic Sites and five different habitat ecosystems that are home to many rare and endangered plant and animal species. The park acts as a regional gateway to the Santa Ana River Trail and adjacent Talbert Regional Park, offering users multiple passive recreational opportunities including picnicking and wildlife viewing, along with miles of trails for walking, bicycling, and public enjoyment of nature. Downtown Recreation Center (DRC) – 40121 The Downtown Recreation Center (DRC), located at 1860 Anaheim Avenue, includes a gymnasium, two multi- purpose rooms, and a kitchen. The facility provides a variety of programs both free and fee-based, including free drop-in youth basketball, adult drop-in basketball, volleyball and pickleball, recreational adult basketball leagues, and free youth basketball and volleyball leagues. The gym is also available for rentals and has been used for karate tournaments and volleyball clinics. The DRC kitchen, office, and a classroom are designated for the Childs-Pace Inc. program, a government subsidized pre-school and daycare for low-income families. The second multi-purpose room is used for meetings and moderately sized contract classes including guitar lessons, CPR classes, dance, gymnastics, aerobics, and martial arts. During the school year, a free Teen Center is offered to teens (grades 7-12). During the summer, a free nine-week summer program is offered for children (grades 1-6). Balearic Community Center (BCC) – 40122 The Balearic Community Center (BCC), located at 1975 Balearic Dr., provides office space for program staff and includes a rental room available for meetings and receptions. The Summer R.O.C.K.S Program, Holiday and Summer Day Camps, and the City’s Early Childhood Program, known as L.E.A.P, are offered at BCC. Adjacent to the community center is a fenced playground with play equipment, a sandlot park playground, multiple basketball and pickleball courts, and a large athletic field, the use of which is permitted by the City. Norma Hertzog Community Center (NHCC) – 40123 The Norma Hertzog Community Center (NHCC) is located at 1845 Park Avenue. This newly renovated facility offers a contemporary, community meeting space that can be set up in classroom or banquet style and also features a kitchen and beautiful outdoor patio. The NHCC is available for rentals such as community events, educational meetings and classes, weddings, quinceañeras, anniversaries, and contract classes for Community groups, local businesses, non-profit organizations, schools, colleges, and private parties. 117City of Costa Mesa, California parks and coMMunIty servIces departMent Downtown Aquatic Center (DAC) / Aquatics – 40212 The Downtown Aquatic Center, located at 1860 Anaheim Avenue, operates a 25-yard swimming pool and provides year-round aquatics programming for both youth and adults. Programs include adult and youth swim instruction for beginner to advanced swimmers, aqua aerobics, summer youth aquatics camp, junior lifeguard preparation classes, and a swim instructor aid program for advanced youth swimmers. The aquatics program also offers seasonal family open swim as well as year-round drop-in and adult lap swimming. Tennis – 40213 The Costa Mesa Tennis Center, located at TeWinkle Park, 880 Junipero Drive, is currently managed by an independent operator. The Center features 12 lighted courts that are open seven days a week, and a pro shop with professional tennis staff to assist the public. Programs include lessons, tournaments, leagues, and open play for the entire community. Adult Sports - Basketball, Softball – 40214 & 40215 The Department offers year-round adult recreational basketball leagues and oversees a contract with Major League Softball to run adult softball leagues. Adult softball leagues are offered Sunday through Friday throughout the year for men’s, women’s, and co-ed teams at the TeWinkle Park Athletic Complex, creating recreational tailored to older adults. Fields / Ambassadors – 40216 The Department coordinates all athletic field reservations for both City and Newport Mesa Unified School District (NMUSD) athletic fields in accordance with the Joint Use Agreement. Fields are used by the City and community organizations for soccer, tackle and flag football, rugby, baseball, softball, and other field sports. Field ambassadors monitor field use, regulate the use of lights (both portable and permanent), and open/close the fields. Field ambassadors regularly audit field users to confirm local residency within each organization, as well as assist in resolving field disputes in accordance with the Field Use and Allocation Policy. Ambassadors also assist the Police Department and Park Rangers in monitoring parks and facilities, including all Lion’s Park facilities and Fairview Park, to ensure that park visitors are not trespassing in protected and closed areas. Other ambassador duties include assistance at a variety of department special events that take place throughout the year. Youth Sports – 40218 The Department hosts a variety of youth sports activities, including pickleball, basketball, pep squad, volleyball, running, and general fitness. The pickleball program offers eight (8) weeks of clinic-based instruction from September through November. The basketball and pep squad programs include eight (8) weeks of clinic-based instruction from January through March, concluding with game play and a halftime performance. The volleyball program provides eight (8) weeks of clinic-based instruction from March through May. The running program consists of eight (8) weeks of practices at local parks, preparing for an end-of-season run. Senior Center – 40231 & Senior Mobility – 40251 The Department contracts with various independent contractors to offer fee-based classes that provide quarterly recreational, social, enrichment, arts, adaptive, and sports activities for adults and youth at City facilities, parks, and local business establishments. Camp Costa Mesa - Day Camp – 40232 Camp Costa Mesa is a nine-week, fee-based summer Day Camp program held at Estancia Park. This camp is designed for children entering grades 1-6 in the upcoming school year. There are also one- to two-week camps during Winter Recess, Presidents’ Week, and Spring Break, all held at the Balearic Community Center. In addition, one-day camps are offered at the Balearic Community Center during the school year that coincide with NMUSD non-student day closures. Day Camps may include on-site entertainment, games, sports, arts and crafts, drama, songs, skits, educational and historical classes, character-building activities, and excursions that emphasize an active and healthy lifestyle. Proposed Budget for Fiscal Year 2026-2027 118 City of Costa Mesa, California Playgrounds Program (R.O.C.K.S) – 40233 The Recreation on Campus for Kids (R.O.C.K.S) Program provides a fee-based afterschool program for children in grades K-6 at select NMUSD elementary schools throughout the school year. The program also offers free summer activities for resident children entering grades 1-6 for multiple weeks at two (2) locations. This program focuses on four areas: education, fitness, recreation, and enrichment in a structured environment. Teen Programs – 40236 The Department’s Teen Programs provide free afterschool activities for teens in grades 7-12 at two (2) locations: TeWinkle Middle School and the Downtown Recreation Center. This program offers games, sports, arts and crafts, and special themed socials throughout the school year. Teen Spring and Summer Camps are fee-based seasonal camps that offer games, sports, arts and crafts, and excursions that emphasize an active and healthy lifestyle. The Teen Program also hosts four seasonal special events which are open to all teenagers 13 – 17 years of age. Early Childhood (L.E.A.P) Program – 40241 The Department’s recreational, fee-based Early Childhood Program, known as L.E.A.P. (Learn, Explore, Play), serves children ages 3-5 years and encourages a positive, social learning experience through the implementation of recreation activities that include directed play, games, arts and crafts, and music. This program is designed to prepare children for entrance into kindergarten. A special six-week summer camp component, Camp Mini Explorers, allows participants to continue growing during the summer months. Adult and Youth Instructional Classes – 40242 & 40243 The Department contracts with various independent contractors to offer fee-based classes that provide quarterly recreational, social, enrichment, arts, adaptive, and sports activities for adults and youth at City facilities, parks, and local business establishments. Concerts- 40237 & Special Recreation Events –40244 The Department hosts a variety of Special Events throughout the year, often with partners in the community. These events include the Scarecrow Festival, Concerts in the Park, Movies in the Park, a Spring Fest, Snoopy House, and Independence Day Celebration. These events provide family-friendly fun and recreational opportunities for all Costa Mesa residents. In addition, the Department assists with the Lion’s Club Fish Fry Event, as well as other privately hosted community events. Mobile Recreation – 40245 The Department hosts a Mobile Recreation Program that provides enrichment opportunities through both structured and unstructured recreational and educational activities within the community with insufficient access to, or financial constraints to, City programs and/or parks. The Mobile Recreation Program consists of a van- sized vehicle stocked with athletic equipment, art supplies, games, puzzles, books, music, tables, and chairs. This program also serves as an entertainment and marketing venue at City special events. Bark Park – 40248 The Bark Park provides a social, off-leash, open-play environment for dog owners and their dog(s). There are separate areas for small and large dogs. The Bark Park Program includes staffing for maintenance, classes, workshops, and partnerships with community organizations. Community Gardens – 40249 The Department has two Community Gardens that provide gardening opportunities to Costa Mesa residents. The two gardens are the Del Mar Community Garden, located at 170 Del Mar Street, which has more than 50 plots and the Hamilton Community Garden, located at 523 Hamilton Street, which has 42 plots. Each garden plot is leased annually for the purpose of growing vegetables, flowers, fruits and plants. 119City of Costa Mesa, California parks and coMMunIty servIces departMent Arts and Culture (Master Plan and Commission) - 40252 In 2021, the City Council unanimously approved the City’s Arts and Culture Master Plan. This initiative signaled the Council’s belief that the time had come to appraise the value of the City’s cultural resources, to identify what strengths and weaknesses those who live, work or visit here feel exist in the local cultural landscape, and to envision ways that the City can support and advance arts and culture in Costa Mesa. The Arts and Culture Master Plan results from the compilation and synthesis of significant community input and includes the following programs and events: Art Crawl, Arts Grant program, ARTventure Juried Art Exhibition, exhibition spaces, Free Park Performances, Free at Segerstrom Center Campus, Poet Laureate program, Utility Box Art program, and public art. The Arts Commission, established through a Master Plan, provides recommendations to the City Council and various City departments in areas related to Arts. The Commission’s general objectives are to ensure that the City of Costa Mesa is a place where Arts and Culture can promote civic pride and enrich the daily lives of the Costa Mesa community. The Commission is a seven-member advisory board appointed by City Council. Administration – 50001 The Department’s Administrative staff is based in City Hall and oversees the administration of park reservations, special event permits, model glider permits, film permits, and registration for recreation classes, programs, and activities. The administrative staff also are responsible for the development and publication of the recreation magazine, The Spotlight. They provide staff support to the Parks and Community Services Commission, the Arts Commission, the Cultural Arts Committee, the Fairview Park Steering Committee, the Historical Preservation Committee, as well as the Costa Mesa Foundation. Parks and Community Services Commission - 50125 The Parks and Community Services Commission provides recommendations to the City Council and various City departments in areas related to parks, recreation, and community services programs. The Commission is a seven- member advisory board appointed by the City Council. Fairview Park Steering Committee – 50145 The Fairview Park Steering Committee provides advice and recommendations to the City Council regarding the implementation of the Fairview Park Master Plan, the impacts of Measure AA on Capital Improvement Program projects, rehabilitation, maintenance, and activities, and recommends approval of grant applications, partnerships, and volunteer activities for the maintenance and implementation of the Fairview Park Master Plan. Proposed Budget for Fiscal Year 2026-2027 120 City of Costa Mesa, California Fiscal Year 2025-2026 Accomplishments ■Presented the draft Fairview Park Master Plan Update to City Council, advancing long-term planning for park restoration, preservation, and community use of one of the City’s most significant natural assets. ■Initiated the design and implementation phases for Fairview Park mesa restoration and cultural resource preservation, reinforcing the City’s commitment to environmental stewardship and historic conservation. ■Maintained ongoing monthly communication in partnership with the Golf Course operator, ensuring operational continuity. ■Successfully launched a new sponsorship program, generating supplemental revenue to enhance and sustain community events. ■Expanded pickleball opportunities through the addition and enhancement of public courts, responding to growing community demand. ■Secured and incorporated new grant funding for the Senior Transportation Program, supporting mobility and access for seniors in the Costa Mesa community. ■Implemented the final year of the Arts and Culture Master Plan, including public art initiatives that enriched civic spaces and community identity. ■Continued to deliver innovative and engaging creative programming to increase participation in instructional classes such as foreign languages and karate training for competition. ■Advanced Fairview Park restoration efforts through hands-on, public volunteer opportunities, fostering community stewardship and environmental awareness Fiscal Year 2026-2027 Goals ■Take initial steps to implement the Fairview Park Master Plan, focusing on priority projects that balance environmental preservation, public access, and educational opportunities. ■Create and implement a more sustainable Senior Transportation Program. ■Continue to improve and strengthen collaborative partnerships with the Newport-Mesa Unified School District to maximize shared-use facilities, joint programming, and community benefit. ■Collaborate with Public Works to finalize and implement parks and facilities assessment initiatives, supporting data-driven maintenance, capital planning, and long-term infrastructure sustainability. ■Continue to support and expand creative opportunities for both passive and active recreation across parks and open spaces, ensuring residents of all ages and interests can connect with nature, wellness, and play. ■Broaden adaptive recreation and program services to serve participants with a wide range of abilities, fostering inclusive experiences that promote independence, confidence, and community connection. ■Continue Fairview Park restoration efforts by engaging the community through hands-on volunteer opportunities that support habitat restoration, environmental education, and long-term ecological sustainability. ■Continue to provide free or low-cost recreational, cultural, and educational programs for under-represented and underserved populations, ensuring equitable access to City services throughout the Costa Mesa community. 121City of Costa Mesa, California parks and coMMunIty servIces departMent Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Fairview Park Master Plan – Provide an update to the City Council regarding the draft plan. ;TRUE 2 Fairview Park – Begin design process for mesa restoration & cultural resource preservation. ;TRUE 3 Fairview Park – Select a consultant for scope and design of pump station & wetlands recirculation system. ;TRUE 4 Work with NMUSD to determine level of security required for recently opened school fields moving forward. ;TRUE 5 Conduct ongoing communication and facility management with the Golf Course operator. ;TRUE 6 Conduct a Citywide Parks Facilities Assessment for approximately 30 City parks. ;TRUE ;TRUE 7 Provide proactive communication internally and to the public to improve response times for all calls, emails, and inquiries. ;TRUE Goals and Objectives The goals and objectives of the Parks and Community Services Department were developed in alignment with the City Council’s priorities. Proposed Budget for Fiscal Year 2026-2027 122 City of Costa Mesa, California Performance Measures/Workload Indicators: Workload Indicators FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actuals Estimated Estimated Number of recreation program enrollments 16,806 14,460 16,000 15,000 Number of park permits issued 550 642 550 550 Number of permits processed via TESSA 52 92 50 70 Number of hours permitted on athletic fields (all user groups)38,115*90,000 75,000 75,000 Total number of participants served in sports leagues 247,371*335,000 375,000 300,000 Number of classes offered 556 463 500 500 Number of youth served in free city programs 3,035 2,903 3,500 3,000 Number of youth served in after-school programs (ages 7-12)1,229 1,328 1,200 1,200 Number of rides provided to seniors through transportation programs 17,640 24 20,000 20,000 Number of meals provided to seniors 46,965 44,181 45,000 45,000 Number of utility box art projects completed 13 12 12 12 Number of swim lessons taught 247 328 400 300 Square yardage of non-native plant removal and habitat enhancement at Fairview Park 8,000 8,000 8,000 8,000 Fairview Park restoration volunteer service hours 800 1,200 800 1,500 Number of facility reservations processed 3,126 3,058 3,000 3,000 Number of attendees at City special events 35,000 38,000 35,000 35,000 *Due to increased inclement weather, fields were closed. Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated Percent increase of after school program enrollment N/A 140%*50%25% Percentage of classes offered that were completed 89.50%90%90%90% Retention of participants in adult sports leagues 55%40%50%55% Percent of “Excellent”/ “Good” ratings for LEAP (preschool) program 92%100%90%90% Percent of “Excellent”/ “Good” ratings for ROCKS (K-6) program 80%81%85%90% Average ArtVenture rating 4.1/5 4.5/5 4.7/5 4.8/5 *Due to making capacity unlimited Customer Service Goal Goal Average response time to customer email inquiries by 48 hours (72 hours if on weekends)95% 123City of Costa Mesa, California parks and coMMunIty servIces departMent Budget Narrative The Fiscal Year 2026-27 budget for the Parks and Community Services Department is $10.3 million, an increase of $440,927, or 4.5 percent compared to the adopted budget for Fiscal Year 2025-26. F Y 2026-27 funded the Arts & Cultural Master Plan in the 130-Arts & Cultural Master Plan Fund with a total budget of $242,200. This fund is supported by Measure Q Cannabis Tax of 0.5 percent. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 9,753,352 $ 10,408,468 $ 9 ,101,831 $ 9 ,717,548 Arts and Culture Master Plan - 130 318,006 364,465 416,990 242,200 Disaster Fund - 150 - 656 - - Park Development Fees Fund - 208 344,382 3 39,410 346,805 346,805 Senior Transportation - 241 - 65,660 - - Total Parks and Community Services Department $ 10,415,740 $ 11,178,658 $ 9,865,626 $ 10,306,553 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY PROGRAM PARKS AND COMMUNITY SERVICES - 14300 Parks and Community Services Administration - 50001 Salaries and Benefits $ 1,653,332 $ 1,842,620 $ 1,471,405 $ 1,872,675 Maintenance and Operations 6 32,766 4 42,113 386,293 386,293 Fixed Assets 3,913 - 2,000 2,000 Subtotal Parks and Comm. Svs. Admin.$ 2,290,011 $ 2,284,732 $ 1,859,698 $ 2,260,968 Fairview Park - 20115 Salaries and Benefits $ 403,794 $ 5 39,155 $ 5 01,900 $ 530,346 Maintenance and Operations 399,028 388,371 400,805 400,805 Fixed Assets 6,736 2,350 - - Subtotal Fairview Park $ 809,558 $ 929,876 $ 902,705 $ 931,151 Network for Homeless Solutions - 20605 Salaries and Benefits $ 1,315 $ - $ - $ - Subtotal Network for Homeless Solutions $ 1,315 $ - $ - $ - Downtown Recreation Center - 40121 Salaries and Benefits $ 169,249 $ 171,308 $ 10 2,105 $ 105,611 Maintenance and Operations 117,736 127,289 8 7,170 92,080 Subtotal Downtown Recreation Center $ 286,985 $ 298,597 $ 189,275 $ 197,691 Balearic Community Center - 40122 Salaries and Benefits $ 51,121 $ 53,632 $ 45,298 $ 4 7,922 Maintenance and Operations 171,452 6 2,817 13 3,165 163,944 Fixed Assets - - 800 800 Subtotal Balearic Community Center $ 222,573 $ 116,449 $ 179,263 $ 212,666 Proposed Budget for Fiscal Year 2026-2027 124 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Norma Hertzog Community Center - 40123 Salaries and Benefits $ 435,336 $ 508,439 $ 4 48,834 $ 475,398 Maintenance and Operations 323,092 349,180 350,453 3 52,161 Subtotal Norma Hertzog Community Center $ 758,428 $ 857,619 $ 799,287 $ 827,559 Aquatics - 40212 Salaries and Benefits $ 522,671 $ 6 20,193 $ 4 92,611 $ 516,671 Maintenance and Operations 14 ,395 16,087 13,660 13,660 Subtotal Aquatics $ 537,066 $ 636,280 $ 506,271 $ 530,331 Tennis - 40213 Maintenance and Operations 40,868 23,458 34,600 34,600 Subtotal Tennis $ 40,868 $ 23,458 $ 34,600 $ 34,600 Adult Sports Basketball - 40214 Salaries and Benefits $ 66,723 $ 76,929 $ 60,983 $ 63,647 Maintenance and Operations 16,398 16,858 9,325 - Subtotal Adult Sports Basketball $ 83,121 $ 93,788 $ 70,308 $ 63,647 Adult Sports Softball - 40215 Salaries and Benefits $ 21,872 $ 24,602 $ 2 2,811 $ 2 4,142 Subtotal Adult Sports Softball $ 21,872 $ 24,602 $ 22,811 $ 24,142 Fields/Field Ambassadors - 40216 Salaries and Benefits $ 5 18,926 $ 500,290 $ 263,838 $ 275,485 Maintenance and Operations 257,346 263,096 4 05,735 4 34,723 Subtotal Fields/Field Ambassadors $ 776,272 $ 763,386 $ 669,573 $ 710,208 Youth Sports - 40218 Salaries and Benefits $ 152,127 $ 129,290 $ 165,549 $ 173,150 Maintenance and Operations 8,903 9,959 10 ,900 10 ,900 Subtotal Youth Sports $ 161,031 $ 139,249 $ 176,449 $ 184,050 Adult Sports Futsal - 40222 Maintenance and Operations - - 500 500 Subtotal Adult Sports Futsal $ - $ - $ 500 $ 500 Senior Center - 40231 Salaries and Benefits $ 775,304 $ 988,427 $ 916,822 $ 964,335 Maintenance and Operations 3 61,726 323,579 596,114 558,897 Fixed Assets 5,999 - 1,000 1,000 Subtotal Senior Center $ 1,143,029 $ 1,312,007 $ 1,513,936 $ 1,524,232 Day Camp - 40232 Salaries and Benefits $ 159,126 $ 194,888 $ 10 0,893 $ 107,333 Maintenance and Operations 105,858 8 4,109 83,400 83,400 Subtotal Day Camp $ 264,984 $ 278,997 $ 184,293 $ 190,733 125City of Costa Mesa, California parks and coMMunIty servIces departMent Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget R.O.CK.S (Playgrounds) - 40233 Salaries and Benefits $ 1,235,441 $ 1,226,582 $ 1,164,296 $ 1,208,927 Maintenance and Operations 20,782 22,958 30,900 30,900 Subtotal R.O.C.K.S (Playgrounds)$ 1,256,223 $ 1,249,539 $ 1,195,196 $ 1,239,827 Teen Programs - 40236 Salaries and Benefits $ 234,084 $ 261,135 $ 161,151 $ 168,600 Maintenance and Operations 24,203 57,020 6 6,150 66,150 Subtotal Teen Programs $ 258,286 $ 318,154 $ 227,301 $ 234,750 Concerts - 40237 Maintenance and Operations 1,882 1,812 10,000 10,000 Subtotal Concerts $ 1,882 $ 1,812 $ 10,000 $ 10,000 Early Childhood - 40241 Salaries and Benefits $ 285,209 $ 351,380 $ 3 97,327 $ 418,515 Maintenance and Operations 8,394 8,563 9,050 9,050 Subtotal Early Childhood $ 293,603 $ 359,942 $ 406,377 $ 427,565 Adult Instructional Classes - 40242 Salaries and Benefits $ - $ 153 $ 188 $ 188 Maintenance and Operations 22,939 21,516 50,000 50,000 Subtotal Adult Instructional Classes $ 22,939 $ 21,669 $ 50,188 $ 50,188 Youth Instructional Classes - 40243 Maintenance and Operations 192,821 190,141 232,300 186,620 Subtotal Youth Instructional Classes $ 192,821 $ 190,141 $ 232,300 $ 186,620 Special Recreation Events - 40244 Salaries and Benefits $ 4 6,763 $ 90,561 $ - $ - Maintenance and Operations 159,399 188,251 45,200 45,200 Subtotal Special Recreation Events $ 206,162 $ 278,812 $ 45,200 $ 45,200 Mobile Recreation - 40245 Salaries and Benefits $ 6 7,106 $ 107,276 $ 34,099 $ 3 7,157 Maintenance and Operations 3 ,106 2,228 3,475 3,475 Subtotal Mobile Recreation $ 70,212 $ 109,504 $ 37,574 $ 40,632 Bark Park - 40248 Salaries and Benefits $ 12,984 $ 13 ,763 $ 2 5,104 $ 26,301 Maintenance and Operations 503 326 1,600 1,600 Subtotal Bark Park $ 13,488 $ 14,089 $ 26,704 $ 27,901 Community Gardens - 40249 Salaries and Benefits $ 36,701 $ 4 3,995 $ 19,594 $ 20,271 Maintenance and Operations 4,661 5,034 3,600 3,600 Subtotal Community Gardens $ 41,362 $ 49,029 $ 23,194 $ 23,871 Proposed Budget for Fiscal Year 2026-2027 126 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Animal Care Services - 40250 Salaries and Benefits $ 5,572 $ - $ - $ - Subtotal Animal Care Services $ 5,572 $ - $ - $ - Senior Mobility Program - 40251 Salaries and Benefits $ 24,687 $ - $ 19,883 $ 20,570 Maintenance and Operations 2 47,845 3 18,740 2,800 2,800 Subtotal Senior Mobility Program $ 272,532 $ 318,740 $ 22,683 $ 23,370 Arts and Culture Master Plan - 40252 Salaries and Benefits $ 175,213 $ 182,567 $ 179,690 $ 3 0,150 Maintenance and Operations 142,794 181,898 2 37,300 212,050 Subtotal Arts and Culture Master Plan $ 318,006 $ 364,465 $ 416,990 $ 242,200 Save Our Youth - 40255 Maintenance and Operations 38,584 42,000 42,000 42,000 Subtotal Save Our Youth $ 38,584 $ 42,000 $ 42,000 $ 42,000 Parks, Arts and Community Services Commission - 50125 Maintenance and Operations 8,600 8,142 7,950 7,950 Subtotal Parks, Arts and Comm. Svs. Comm.$ 8,600 $ 8,142 $ 7,950 $ 7,950 Cultural Arts Committee - 50190 Maintenance and Operations 13,159 10 ,849 13,000 12,000 Subtotal Cultural Arts Committee $ 13,159 $ 10,849 $ 13,000 $ 12,000 Emergency Services - 51040 Maintenance and Operations - 1,391 - - Subtotal Emergency Services $ - $ 1,391 $ - $ - TOTAL PARKS AND COMMUNITY SERVICES DEPARTMENT Salaries and Benefits $ 7,058,462 $ 7,927,841 $ 6,594,381 $ 7,087,395 Maintenance and Operations 3,340,631 3,248,467 3 ,267,445 3,215,358 Fixed Assets 16,647 2,350 3,800 3,800 Total Parks and Community Services Department $ 10,415,740 $ 11,178,658 $ 9,865,626 $ 10,306,553 127City of Costa Mesa, California parks and coMMunIty servIces departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Salaries and Wages $ - $ - $ (298,366) $ - Regular Salaries - Non-Sworn 2,373,621 2,585,373 2,598,453 2,630,878 Regular Salaries - Part-Time 2,974,256 3,334,536 2,564,558 2,643,879 Overtime 99,000 117,897 16,340 16,340 Vacation/Comp. Time Cash Out 8 ,218 24,495 3,760 3 ,760 Holiday Allowance 5,730 11,580 1,802 1,802 Separation Pay-Off 2 2,165 2 ,172 940 940 Other Compensation 19,199 34,369 35,933 39,342 Cafeteria Plan 500,230 5 47,900 5 41,296 5 71,377 Medicare 82,797 91,129 75,288 94,528 Retirement 9 67,710 1,169,511 1,042,077 1,072,249 Executive Prof Development 3,129 1,940 5,400 5,400 Auto Allowance 2,407 6,938 6,900 6 ,900 Subtotal Salaries & Benefits $ 7,058,462 $ 7,927,841 $ 6,594,381 $ 7,087,395 Maintenance and Operations Stationery and Office $ 2 1,314 $ 18,727 $ 22,150 $ 22,150 Multi-Media, Promos, Subscrpt. 300,157 292,208 201,650 105,456 Small Tools and Equipment 264,763 44,804 68,555 68,430 Uniforms and Clothing 23,230 17,818 26,700 25,700 Safety and Health 14 ,091 9,968 16,250 16,250 Maintenance and Construction 12,205 22,208 15,600 15,600 Electricity - Buildings & Fac. 14 6,277 155,736 94,570 94,570 Electricity - Power 34,010 15,460 26,600 26,600 Gas 23,651 24,366 20,400 20,400 Water - Domestic 13,345 18,405 18,100 18,100 Janitorial and Housekeeping 144,176 151,470 158,630 158,630 Telephone/Radio/Communications 25,448 23,236 20,900 20,900 Business Meetings 5,427 10,620 200 200 Mileage Reimbursement 9 180 600 600 Dues and Memberships 4,298 3,952 4,490 4,490 Board Member Fees 17,000 16,200 16,100 15,206 Professional Development 20,193 30,717 16,025 16,025 Landscaping and Sprinklers 58,505 5 1,180 50,000 50,000 Office Furniture - - 2,000 2,000 Office Equipment 7,393 6,789 4,350 4,350 Other Equipment 31,881 2 7,706 22,370 22,370 Consulting 672,344 797,704 720,088 7 19,822 Medical and Health Inspection 475 850 700 700 Proposed Budget for Fiscal Year 2026-2027 128 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY ACCOUNT: ALL FUNDS Maintenance and Operations (Continued) Recreation 433,038 4 77,614 645,620 6 22,374 Principal Payments 78,938 82,490 - - Interest Payments 3,552 1,814 - - External Rent 568,815 5 11,628 706,534 766,301 Grants, Loans and Subsidies 7,500 20,000 15,500 14,170 Internal Rent Central Services 31,196 30,896 20,501 20,501 Internal Rent Postage 58,306 68,441 42,137 4 2,137 Internal Rent - Maintenance 4 7,300 4 7,300 47,300 47,300 Internal Rent - Repl Cost 14 ,400 14 ,400 14 ,400 14,400 Internal Rent - Fuel 23,186 18,300 18,300 18,300 Internal Rent Genl Liability 8 8,367 8 8,367 88,367 88,367 Internal Rent Workers’ Comp 109,180 109,180 109,180 109,180 Internal Rent Unemployment 12,078 12,078 12,078 12,078 Taxes and Assessments 23,193 25,655 20,500 31,701 Emergency Protective Measure 1,391 - - - Subtotal Maintenance & Operations $ 3,340,631 $ 3,248,467 $ 3,267,445 $ 3,215,358 Fixed Assets Other Equipment 16,647 2,350 3,800 3,800 Subtotal Fixed Assets $ 16,647 $ 2,350 $ 3,800 $ 3,800 Total Parks and Community Services Department $ 10,415,740 $ 11,178,658 $ 9,865,626 $ 10,306,553 129City of Costa Mesa, California parks and coMMunIty servIces departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Salaries and Wages $ - $ - $ (298,366) $ - Regular Salaries - Non-Sworn 2,262,756 2,466,576 2 ,480,913 2,630,878 Regular Salaries - Part-Time 2,974,256 3,334,536 2,564,558 2,643,879 Overtime 9 2,152 114,632 16,340 16,340 Vacation/Comp. Time Cash Out 8 ,218 24,495 3,760 3 ,760 Holiday Allowance 5,730 11,580 1,802 1,802 Separation Pay-Off 2 2,165 2 ,172 940 940 Other Compensation 19,199 34,369 35,345 39,342 Cafeteria Plan 481,256 528,269 521,496 5 71,377 Medicare 80,971 89,257 73,575 94,528 Retirement 931,009 1,129,855 1,002,028 1,042,099 Executive Prof Development 3,129 1,940 5,400 5,400 Auto Allowance 2,407 6,938 6,900 6 ,900 Subtotal Salaries & Benefits $ 6,883,249 $ 7,744,619 $ 6,414,691 $ 7,057,245 Maintenance and Operations Stationery and Office $ 2 1,314 $ 18,727 $ 22,150 $ 22,150 Multi-Media, Promos, Subscrpt. 233,367 220,004 129,150 4 0,670 Small Tools and Equipment 264,763 44,804 68,555 68,430 Uniforms and Clothing 23,230 17,818 26,700 25,700 Safety and Health 14 ,091 9,968 16,250 16,250 Maintenance and Construction 12,205 22,208 15,600 15,600 Electricity - Buildings & Fac. 14 6,277 155,736 94,570 94,570 Electricity - Power 34,010 15,460 26,600 26,600 Gas 23,651 24,366 20,400 20,400 Water - Domestic 13,345 18,405 18,100 18,100 Janitorial and Housekeeping 144,176 151,470 158,630 158,630 Telephone/Radio/Communications 25,448 23,236 20,900 20,900 Business Meetings 5,427 10,620 200 200 Mileage Reimbursement 9 180 600 600 Dues and Memberships 4,298 3,952 4,490 4,490 Board Member Fees 8,600 8 ,100 7,700 7,700 Professional Development 20,193 30,717 16,025 16,025 Landscaping and Sprinklers 55,482 48,893 50,000 50,000 Office Furniture - - 2,000 2,000 Office Equipment 7,393 6,789 4,350 4,350 Other Equipment 30,253 2 7,706 16,870 16,870 Consulting 339,348 450,455 376,283 376,283 Medical and Health Inspection 475 850 700 700 Proposed Budget for Fiscal Year 2026-2027 130 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PARKS AND COMMUNITY SERVICES DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Maintenance and Operations (Continued) Recreation 372,935 408,496 504,220 496,020 Principal Payments 78,938 82,490 - - Interest Payments 3,552 1,814 - - External Rent 568,815 445,968 706,534 766,301 Grants, Loans and Subsidies - - 3,000 3,000 Internal Rent Central Services 31,196 30,896 20,501 20,501 Internal Rent Postage 58,306 68,441 42,137 4 2,137 Internal Rent - Maintenance 4 7,300 4 7,300 47,300 47,300 Internal Rent - Repl Cost 14 ,400 14 ,400 14 ,400 14,400 Internal Rent - Fuel 23,186 18,300 18,300 18,300 Internal Rent Genl Liability 8 8,367 8 8,367 88,367 88,367 Internal Rent Workers’ Comp 109,180 109,180 109,180 109,180 Internal Rent Unemployment 12,078 12,078 12,078 12,078 Taxes and Assessments 23,193 25,655 20,500 31,701 Emergency Protective Measure 1,391 - - - Subtotal Maintenance & Operations $ 2,860,191 $ 2,663,849 $ 2,683,340 $ 2,656,503 Fixed Assets Other Equipment 9,911 - 3,800 3,800 Subtotal Fixed Assets $ 9,911 $ - $ 3,800 $ 3,800 Total Parks and Community Services Department $ 9,753,352 $ 10,408,468 $ 9,101,831 $ 9,717,548 131City of Costa Mesa, California parks and coMMunIty servIces departMent This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Information Technology Department Information Technology Department Information Technology Department Information Technology Administration 1.0 FTE -Information Technology Director 1.0 FTE - Information Technology Manager 1.0 FTE - Information Technology Project Manager 1.0 FTE- Cyber Security Analyst 1.0 FTE - Executive Assistant 1.0 FTE - Senior Management Analyst 1.0 FTE - Office Specialist II Systems and Programming 1.0 FTE - Systems & Programming Supervisor 4.0 FTE - Senior Programmer Analyst 4.0 FTE - Programmer Analyst II Computer Operations and Networking 1.0 FTE - Computer Operations & Networking Supervisor 5.0 FTE - Network Administrator Proposed Budget for Fiscal Year 2026-2027 134 City of Costa Mesa, California The Information Technology Department (IT) is responsible for network administration; software development and installation; maintenance of hardware and software, including upgrades and replacements; database management; wireless phones; and the support and oversight of all technology-related products and services for all departments, including the Police and Fire and Rescue Departments of the City of Costa Mesa. The Department’s daily activities include, but are not limited to: maintenance of all computer systems; ensuring that virus protection software are up-to-date and functioning properly; maintenance of the help desk to help troubleshoot computer-related problems; and ensuring that employees are connected and the City websites that are accessible to the public, are working properly and securely. IT is also responsible for the operation, maintenance, deployment, and utilization of all City computers. The department has 22 full-time positions composed of three management, two supervisory, 14 professionals, and three administrative support. Information Technology Department (IT) has three divisions: ■ Administration ■Computer Operations and Networking ■ Systems and Programming Information Technology Administration — 14600 Administrative Services – 50001 Coordinates and supervises the Department’s activities; manages the budget and procurement process for the Department; manages the networking resources of the City; and advises the City Manager and the City Council on computer-related technological issues. Computer Operations And Networking – 50710 Operates and monitors computer equipment in support of both Public Safety and general City services in a 7-day, 24 -hour operation. Maintains data files and processes business applications and reports distribution in a networked client-server environment. Monitors cybersecurity applications to ensure City networks are secure. Systems And Programming – 50720 Supports and enhances applications for Public Safety and general City services. Coordinates systems implementations, maintenance, and processing solutions for ad hoc data processing requests in networked client- server and internet/intranet environments. 135City of Costa Mesa, California InforMatIon technology departMent Fiscal Year 2025-2026 Accomplishments ■ Installed temporary battery backup power for City Hall to increase runtime and reliability. ■ Upgraded Telephone System to be Voice Over IP capable. ■ Initiated the Enterprise-Wide Network Cabling Upgrade in preparation for new IT equipment. ■Completed the deployment of Single Device Strategy to reduce costs of ownership. ■Updated and replaced outdated City Hall fiber connections. ■Provide funding for CAD/RMS Replacement. ■Began to implement a new ERP system. ■Completed replacement of outdated security camera systems for the Police Department. ■Upgrade the GIS Enterprise system to version 11.3 and establish a backup system for critical data. ■Upgraded all Cyber Security Systems to the latest versions. ■Replaced PD 2-Factor Authentication System for DOJ Compliance. ■Updated CAD & RMS Systems to enhance current infrastructure requirements. ■Enhance and support TESSA modules, and reports for departments. Fiscal Year 2026-2027 Goals ■Develop a Continuity of Operation Plan for the IT Department. ■Complete the Disaster Recovery Plan updates. ■Develop a new 5-year IT Strategic Plan. ■Deploy 150 user Desktops and Laptops. ■Plan and initiate the enterprise replacement of switches, routers and firewalls. ■Complete the GIS Master Plan Road Map. ■Install redundant Internet Connectivity for Public Safety and City ERP requirements. ■Implement new Enterprise Resource Planning (ERP) for Financials and Human Capital Management. ■Initiate CAD/RMS Business Process and Needs Analysis review with independent third party vendor. ■Planning for demonstration and replacement of all Public Safety Mobile Data Computers. Proposed Budget for Fiscal Year 2026-2027 136 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Develop a Continuity of Operation Plan for the IT Department. ;TRUE ;TRUE ;TRUE 2 Complete the Disaster Recovery Plan updates. ;TRUE ;TRUE ;TRUE ;TRUE 3 Develop a new 5-year IT Strategic Plan. ;TRUE ;TRUE ;TRUE ;TRUE 4 Deploy 150 user Desktops and Laptops. ;TRUE ;FALSE ;TRUE 5 Plan and initiate the enterprise replacement of switches, routers and firewalls. ;TRUE ;TRUE ;TRUE 6 Deploy VOIP phones for the enterprise to replace obsolete analog devices. ;TRUE ;TRUE 7 Complete the GIS Master Plan Road Map. ;TRUE ;TRUE ;TRUE ;TRUE 8 Install redundant Internet Connectivity for Public Safety and City ERP requirements. ;TRUE ;TRUE ;TRUE 9 Hire replacement for Programmer Analyst II/ Application Specialist. ;TRUE ;TRUE ;TRUE 10 Implement Citizen Request Management System. ;TRUE ;TRUE ;TRUE 11 Implement new Enterprise Resource Planning (ERP) for Financials and Human Capital Management. ;TRUE ;TRUE ;TRUE 12 Initiate CAD/RMS Business Process and Needs Analysis review with independent 3rd party vendor. ;TRUE ;TRUE ;TRUE ;TRUE 13 Planning for demonstration and replacement of all Public Safety Mobile Data Computers. ;TRUE ;TRUE ;TRUE ;TRUE 14 Uninterruptible Power Supply for City Hall Server Room, Emergency Operations Switch Room and PD Switch Room. ;TRUE ;TRUE Goals And Objectives The goals and objectives of the Information Technology Department were developed in alignment with the City Council’s goals and priorities. 137City of Costa Mesa, California InforMatIon technology departMent Performance Measures/Workload Indicators: Workload Indicators FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Estimated Estimated Estimated Number of computers and monitors maintained 1,744 2529 2,529 2,971 Number of forms and Help Desk Requests resolved 2280 2372 2,500 2,500 Number of mobile devices and laptops 700 265 275 275 Number of servers maintained 204 166 175 178 Number of miscellaneous devices maintained 329 231 241 291 Number of City developed software applications supported 7 7 7 7 Number of vendor software applications maintained*54 53 55 55 Percent of time with server availability 99.70%99.70%99.50%99.50% Cybersecurity alerts 668,310 500,000 600,000 735,141 *It is difficult to determine the exact number of vendor software applications maintained as each department has different requirements. Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated Desktop, laptops, Servers, Printers, Smart Phone, Monitors &Tablets per Network Administrator 675 to 1 675 to 1 675 to 1 681 to 1 Number of Software & Applications per Programmer 12 to 1 12 to 1 12 to 1 12 to 1 Percentage of ITSP projects completed per Fiscal Year 65%75%70%67% Percentage of ITSP projects in progress per Fiscal Year 27%25%16%28% Percentage of ITSP projects not yet initiated per Fiscal Year *8%0%14%5% *In Phase I, total 31 ITSP projects identified for delivery Customer Service Goal Goal Average response time to manage after-hours support call within 30 minutes 95% Proposed Budget for Fiscal Year 2026-2027 138 City of Costa Mesa, California Budget Narrative The Fiscal Year 2026-27 All Funds budget is $8.0 million, an increase of $0.3 million or 4 percent to the adopted budget for Fiscal Year 2025-26. This $1.5 million increase to the IT Replacement Fund reflects the full 1.5 percent General Fund revenue contribution as well as the scheduled F Y 2025–26 deferral repayment of $116,310. The IT Replacement Fund (Fund 603) continues to be fully supported by the Information Technology Needs allocation established in the Municipal Code, which dedicates 1.5 percent of General Fund revenues to this purpose. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget INFORMATION TECHNOLOGY DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 5 ,567,967 $ 6,029,490 $ 6,570,716 $ 6,625,320 Disaster Fund - 150 - 2,369 - - IT Replacement Fund - 603 802,719 679,980 1 ,097,836 1,355,827 Total Information Technology Department $ 6,370,686 $ 6,711,838 $ 7,668,552 $ 7,981,147 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget INFORMATION TECHNOLOGY DEPARTMENT BY PROGRAM INFORMATION TECHNOLOGY - 14600 IT Administration - 50001 Salaries and Benefits $ 784,630 $ 1,313,370 $ 1,384,793 $ 1,553,414 Maintenance and Operations 49,595 5 4,670 75,347 46,347 Fixed Assets 2,168 2 ,123 10,000 5,000 Subtotal IT Administration $ 836,394 $ 1,370,162 $ 1,470,140 $ 1,604,761 Computer Operations - 50710 Salaries and Benefits $ 1,961,355 $ 1,618,305 $ 1,477,062 $ 1,579,761 Maintenance and Operations 752,403 672,331 729,522 390,196 Fixed Assets 716,099 203,714 1,034,181 1,519,370 Subtotal Computer Operations $ 3,429,858 $ 2,494,350 $ 3,240,765 $ 3,489,327 Computer Systems Development - 50720 Salaries and Benefits $ 1,395,147 $ 1,945,608 $ 1,958,074 $ 2 ,061,986 Maintenance and Operations 56,651 64,692 160,527 78,027 Fixed Assets 652,636 834,656 839,046 747,046 Subtotal Computer Systems Develop.$ 2,104,435 $ 2,844,957 $ 2,957,647 $ 2,887,059 Emergency Services - 51040 TOTAL INFORMATION TECHNOLOGY DEPARTMENT Salaries and Benefits $ 4 ,141,132 $ 4,879,652 $ 4 ,819,929 $ 5 ,195,161 Maintenance and Operations 858,650 791,693 965,396 5 14,570 Fixed Assets 1,370,904 1,040,493 1,883,227 2 ,271,416 Total Information Technology Department $ 6,370,686 $ 6,711,838 $ 7,668,552 $ 7,981,147 139City of Costa Mesa, California InforMatIon technology departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget INFORMATION TECHNOLOGY DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Salaries and Wages $ - $ - $ (4 8,870) $ - Regular Salaries - Non-Sworn 2 ,641,898 3 ,192,697 3,211,801 3,434,326 Regular Salaries - Part-Time 1,637 - - - Overtime 136,307 170,133 110,605 110,605 Vacation/Comp. Time Cash Out 12,207 8,539 3,040 3,040 Holiday Allowance 7,341 8,296 - - Other Compensation 23,471 24,639 29,872 17,140 Cafeteria Plan 406,782 506,794 505,044 554,532 Medicare 42,847 51,664 48,392 54,278 Retirement 8 57,328 902,337 945,545 1,006,740 Executive Prof Development 4,397 7,615 7,600 7,600 Auto Allowance 6 ,919 6,938 6,900 6 ,900 Subtotal Salaries & Benefits $ 4,141,132 $ 4,879,652 $ 4,819,929 $ 5 ,195,161 Maintenance and Operations Stationery and Office $ 6,583 $ 6,655 $ 4,800 $ 4,800 Multi-Media, Promos, Subscrpt. 541 118 700 700 Small Tools and Equipment 2,005 1,793 2,000 2,000 Safety and Health 747 600 1,000 1,000 Telephone/Radio/Communications 291,286 275,923 260,600 260,600 Business Meetings 1,865 3,494 4,000 4,000 Mileage Reimbursement 723 653 350 350 Dues and Memberships - 2,000 1,000 1,000 Professional Development 33,059 41,353 70,732 632 Office Equipment 569 644 5,000 5,000 Other Equipment 324,541 - - - Consulting 68,771 72,067 175,447 99,447 Principal Payments 94,773 342,771 - - Interest Payments 1,804 12,556 - - External Rent 2,337 1,940 5,000 5,000 Depreciation - - 404,726 100,000 Internal Rent Central Services - - 1,007 1,007 Internal Rent Postage 34 113 21 21 Internal Rent Genl Liability 15,594 15,594 15,594 15,594 Internal Rent Workers’ Comp 11,841 11,841 11,841 11,841 Internal Rent Unemployment 1,578 1,578 1,578 1,578 Subtotal Maintenance & Operations $ 858,650 $ 791,693 $ 965,396 $ 514,570 Fixed Assets Office Furniture $ 2 ,168 $ 2 ,123 $ 10,000 $ 5,000 Other Equipment 1,368,735 1,038,370 1,873,227 2,266,416 Subtotal Fixed Assets $ 1,370,904 $ 1,040,493 $ 1,883,227 $ 2,271,416 Transfers Out Total Information Technology Department $ 6,370,686 $ 6,711,838 $ 7,668,552 $ 7,981,147 Proposed Budget for Fiscal Year 2026-2027 140 City of Costa Mesa, California Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget INFORMATION TECHNOLOGY DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Salaries and Wages $ - $ - $ (4 8,870) $ - Regular Salaries - Non-Sworn 2,485,948 2,729,846 2 ,745,616 2,909,376 Regular Salaries - Part-Time 1,637 - - - Overtime 13 6,303 169,783 110,605 110,605 Vacation/Comp. Time Cash Out 12,207 8,539 3,040 3,040 Holiday Allowance 7,341 7,602 - - Other Compensation 24,856 22,650 2 7,541 16,070 Cafeteria Plan 384,047 426,286 422,496 463,380 Medicare 40,178 44,412 40,390 45,958 Retirement 702,561 775,837 813,701 863,794 Executive Prof Development 5,293 5 ,410 5,400 5,400 Auto Allowance 6 ,919 6,938 6,900 6 ,900 Subtotal Salaries & Benefits $ 3,807,287 $ 4,197,303 $ 4,126,819 $ 4,424,523 Maintenance and Operations Stationery and Office $ 6,583 $ 6,655 $ 4,800 $ 4,800 Multi-Media, Promos, Subscrpt. 541 118 700 700 Small Tools and Equipment 2,005 1,793 2,000 2,000 Safety and Health 747 600 1,000 1,000 Telephone/Radio/Communications 291,286 275,923 260,600 260,600 Business Meetings 1,865 3,494 4,000 4,000 Mileage Reimbursement 723 653 350 350 Dues and Memberships - 2,000 1,000 1,000 Professional Development 33,059 41,353 70,732 632 Office Equipment 569 644 5,000 5,000 Consulting 62,783 72,067 175,447 99,447 Principal Payments 94,773 342,771 - - Interest Payments 1,804 12,556 - - External Rent 2,337 1,940 5,000 5,000 Internal Rent Central Services - - 1,007 1,007 Internal Rent Postage 34 113 21 21 Internal Rent Genl Liability 15,594 15,594 15,594 15,594 Internal Rent Workers’ Comp 11,841 11,841 11,841 11,841 Internal Rent Unemployment 1,578 1,578 1,578 1,578 Subtotal Maintenance & Operations $ 528,121 $ 791,693 $ 560,670 $ 414,570 Fixed Assets Office Furniture $ 2 ,168 $ 2 ,123 $ 10,000 $ 5,000 Other Equipment 1,230,391 1,038,370 1,873,227 1,781,227 Subtotal Fixed Assets $ 1,232,559 $ 1,040,493 $ 1,883,227 $ 1,786,227 Transfers Out Total Information Technology Department $ 5,567,967 $ 6,029,490 $ 6,570,716 $ 6,625,320 141City of Costa Mesa, California InforMatIon technology departMent This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 PoliceDepartment Police Department Police Department Police Administration 1.0 FTE - Police Chief 1.0 FTE- Deputy Police Chief 1.0 FTE - Crime Prevention Specialist 2.0 FTE - Executive Assistant 1.0 FTE - Police Lieutenant 1.0 FTE - Police Officer 2.0 FTE - Police Sergeant 1.0 FTE - Public Affairs Manager 1.0 FTE - Range Master 1.0 FTE - Senior Management Analyst 1.0 FTE - Police Training Assistant 2.0 FTE - Crime Analyst 0.50 FTE - Part-Time Police Support Services 1.0 FTE - Police Captain 1.0 FTE - Administrative Assistant 1.0 FTE- Accounting Specialist II 1.0 FTE - Civilian Investigator 1.0 FTE - Communications Installer 3.0 FTE - Community Services Specialist 1.0 FTE - Court Liaison 1.0 FTE - Crime Scene Investigation Supervisor 4.0 FTE - Crime Scene Investigator 1.0 FTE - Electronics Technician 1.0 FTE - Office Specialist II 1.0 FTE - Police Lieutenant 25.0 FTE - Police Officer 1.0 FTE - Police Records Bureau Supervisor 3.0 FTE - Police Records Shift Supervisor 4.0 FTE - Police Sergeant 3.0 FTE - Property/Evidence Specialist 1.0 FTE - Property/Evidence Supervisor 4.0 FTE - Public Safety Dispatcher Supervisor 17.0 FTE - Senior Public Safety Dispatchers 1.0 FTE - Senior Communications Supervisor 15.0 FTE - Senior Police Records Technician 0.5 FTE - Telecommunications Manager 0.5 FTE - Emergency Services Manager 1.0 FTE - Records & Property Evidence Manager 7.58 FTE - Part-Time Police Field Operations 1.0 FTE - Police Captain 3.0 FTE - Animal Control Officer 1.0 FTE- Animal Control Supervisor 1.0 FTE- Animal Services Coordinator 5.0 FTE - Community Services Specialist 10.0 FTE- Custody Officers 2.0 FTE- Custody Supervisor 6.0 FTE - Park Ranger 5.0 FTE - Police Lieutenant 1.0 FTE- Permit Processing Specialist 1.0 FTE - Senior Police Officer 82.0 FTE - Police Officer 16.0 FTE - Police Sergeant 14.17 FTE - Part-Time Proposed Budget for Fiscal Year 2026-2027 144 City of Costa Mesa, California The Police Department is tasked with protecting life and property while preserving the peace. The department has 242 full-time positions, of which 142 are sworn and 100 are professional staff. Full-time staffing is composed of 14 management positions, 35 supervisory, and 193 line-level positions. Part-time staffing consists of 22.25 full-time equivalents. The department is comprised of three divisions; and each division is further split into different units or programs. The three divisions are as follows: ■Police Administration ■Police Field Operations ■Police Support Services Police Administration — 15100 Administration – 50001 Conducts the department’s overall direction and planning with input from other divisions; provides advice to the City Manager and City Council on public safety issues; provides internal investigations through the Professional Standards Unit; performs public affairs services; performs crime analysis and implements crime prevention strategies; and manages department budget and grant administration. Training – 10133 Provides and coordinates training programs, and the recruitment and selection of candidates for vacant positions within the department, adhering to the guidelines established by statutory and state-mandated Peace Officer Standard and Training (POST) requirements for sworn and civilian personnel; develops and evaluates daily in-service programs. Police Field Operations — 15300 Patrol Services – 10111 Provides public safety services through patrol-related policing activity; coordinates community-oriented policing services; supervises the Police Reserve Program; provides public park safety services through the Park Ranger Unit; and provides business-related services to the public via the front desk. Traffic Safety – 10113 Enforces S tate and City traffic laws; provides follow-up investigation and prosecution of traffic-related criminal cases; and coordinates personnel to respond to and investigate traffic collisions. Contract & Special Events – 10114 Provides special event public safety and traffic management services requested by the community on a contract- for-pay basis. Jail Operations – 10137 Manages and operates the department’s jail facility, which includes the care and custody of all arrestees, booking, processing and transportation. The jail is staffed and operated 24 hours a day, 365 days a year. Animal Services – 10139 Regulates, controls, and prevents rabies in the wild and domesticated animal population in the City; impounds strays or unlicensed animals; and enforces those laws and ordinances applying to animals within the City. Oversees the contract for animal sheltering and adoption services and collaborates with shelter provider. Organizes and coordinates two pet-related community engagement events in the fall and spring to promote pet adoptions, educational pet care, and interactive demonstrations. Police Support Services — 15400 Administration – 50001 Provides essential logistical support services to the Police Department through the below-listed programs; responsible for computer-related activities associated with the 24-hour operation of the City’s public safety computer system; and responsible for the research and development of numerous programs, including safety equipment, new laws and regulations, and policy development. 145City of Costa Mesa, California polIce departMent Helicopter Patrol – 10112 Provides helicopter patrol services through a contract with the City of Huntington Beach. Crime Investigation – 10120 Investigates criminal activities including: homicide, rape, robbery, and assault; larcenies, including grand theft, auto theft, and fraud; residential, commercial, and vehicle burglaries reported in the City; fraudulent checks and forgery cases, including identity theft, crimes against persons and property, and where the suspect or victim is a juvenile. The program objective is the investigation of Part I Crimes; case preparation; the apprehension, prosecution and conviction of perpetrators; and the recovery of stolen property. Special Investigations Unit – 10127 Investigates illegal narcotics activity with emphasis on traffickers; vice and prostitution; and specialized investigations as determined by the Department. Records/Information Unit – 10131 Responsible for the electronic and manual processing, storing, and reporting of all crime and arrest reports, citation processing, and ancillary report processing to meet the Department of Justice crime statistics reporting mandates. Crime Scene Investigations/Photos – 10132 Provides investigative support for the collection, processing and preservation of evidence at crime scenes; laboratory and photographic support for evidentiary and non-evidentiary requests. Youth Crime Intervention – 10135 Provides services to local schools; criminal street gang suppression and investigation; and coordinates outreach intervention opportunities through the Gang Investigations Unit. Property and Evidence – 10136 Maintains records; stores, preserves, and disposes of property and evidence consistent with legal guidelines. Telecommunications Operations – 51010 Provides a centralized, computer-aided Communications Dispatch Center that receives citizen requests for emergency fire, paramedics and police services; provides medical pre-arrival instructions using Emergency Medical Dispatch (EMD) procedures; provides a means of contact for emergency Public Works, Water District service and Orange Coast College Security outside of normal business hours. Technical Support and Maintenance – 51020 Provides operational integrity of the City’s telecommunications infrastructure for data and voice; provides systems and equipment installations and electronics maintenance; oversees inter-operation of telephone, radio, audio, fire alerting system, selected data and video assets in buildings and facilities, outside plant, and in automotive/mobile and portable configurations. Emergency Services – 51040 Serves as the office responsible for the City’s emergency and disaster preparedness; acts as liaison to other government agencies, private sector partners, schools, special districts, non-government, and volunteer organizations to ensure coordinated efforts, and timely response to emergencies and disasters; conducts disaster planning meetings, trainings, and exercises; maintains disaster supplies; to ensure the City’s Emergency Operations Center (EOC) is maintained in a constant state of readiness; supports City Public Information staff in the establishment of a joint information center (JIC) when needed; responsible for maintenance of the, City’s Emergency Operations Plan; and ensures compliance with the National Incident Management System (NIMS) and California standardized Emergency management system (SEMS). Proposed Budget for Fiscal Year 2026-2027 146 City of Costa Mesa, California Fiscal Year 2025-2026 Accomplishments ■Appointed a new Chief of Police and completed a series of key promotions, including Deputy Chief, Captain, two Lieutenants, multiple Sergeants, a Records Supervisor, a Park Ranger, and an Executive Assistant. ■Filled all police officer vacancies through strategic recruitment, hiring, and onboarding processes. ■ Added a Custody Officer position to expand jail coverage. ■ Seventeen officers and one reserve officer successfully completed Field Training. ■ Achieved full compliance with all POST, STC, and State legislative training mandates. ■ Expanded Records Bureau staffing with the hiring of two Records Technicians. ■Modernized the Records Bureau training program by transitioning to LEFTA and increasing education -based training opportunities on NIBRS, public records releases, and report review. ■Achieved a 100% homicide closure rate. ■Seized significant quantities of illegal narcotics, including over 60 lbs. of methamphetamine, 70,000 fentanyl pills, eight lbs. of powder fentanyl, and 8,000 oxycodone pills. ■Six officers were recognized by MADD for DUI enforcement, including one Century Award recipient. ■Completed more than 1,900 discovery requests. ■Added an additional elementary school to the GRIP program. ■Secured multiple grants, including Cannabis Traffic Safety Grant, 2024 Operation S tonegarden Grant for narcotics interdiction, F Y 2025–2026 OTS Selective Traffic Enforcement Program Grant, California OTS TRIP Grant to implement electronic crash reporting and enhance RMS integration ■Launched the cloud-based P2C online reporting portal, expanding the list of reportable incidents. ■Records Bureau maintained full DOJ compliance under the FY 2023–2025 audit cycle, including CLETS Security, CORI, and CJIS/NCIC audits. ■Maintained DOJ NIBRS certification with an error rate below 3% on all monthly submissions. ■Collaborated with Field Operations to implement electronic submission of Missing Persons reports from the Rite of Passage Group Home. ■Completed interior painting, flooring, and wall décor upgrades in the Police Department main building. ■Completed the expansion of the Police Department back parking lot. ■Relocated the Property & Evidence warehouse to Airway and successfully transferred 1,300 evidence items. ■Conducted the first-ever onsite narcotics destruction, eliminating more than 2,000 lbs. of narcotics. ■Added a part-time cadet to support the Property & Evidence Unit. ■ CMPD social media presence grew by 9,131 followers, including expansion to the Threads platform. ■Hosted major community events such as Coffee with a Cop (three events), National Night Out, Spring Barkbash, Tip-A-Cop, Vaccine Clinic, Santa’s Sleigh, Shop with a Cop, and the annual Torch Run. ■Participated in citywide events including NMUSD Lunch & Learns, Back2School Fresh, Costa Mesa’s Hispanic Heritage event, and Bike Safety presentations. ■Supported 45 active Neighborhood Watch groups. ■Graduated 23 residents from the Citizens’ Academy and 19 students from the Teen Academy. ■Delivered six safety presentations at the Senior Center, 55+ communities, and local churches. ■Created a Business Watch manual and webpage to support the South Coast Metro Alliance and local businesses. ■Developed and conducted the City’s first Cyber Tabletop Exercise with participation from all City departments, local jurisdictions, OCIAC, and the FBI. ■Developed and published a bilingual Community Preparedness Guide (English and Spanish). ■Created a new Office of Emergency Management webpage to share preparedness resources. ■As part of the OCEMO EOC Academy Working Group, received the OCEMO Helping Hands Award for 2025. 147City of Costa Mesa, California polIce departMent Fiscal Year 2026-2027 Goals ■Strengthen recruitment and retention strategies for Public Safety Dispatch personnel to ensure adequate staffing and operational continuity. ■Continue developing the Unmanned Aerial S ystem (UAS) Team by expanding staffing and equipment to support future integration into a Drone as a First Responder (DFR) program and the Real Time Information Center (RTIC). ■Prioritize the replacement and repair of public safety vehicles and apparatus to maintain operational readiness. ■ Begin construction and facility improvements for the Public Safety Communications Center. ■Complete temporary upgrades at the Westside Substation to enhance the work environment for assigned personnel. ■ Implement improvements at the new Property & Evidence Warehouse on Airway Avenue. ■ Continue upgrading and modernizing police facilities to support staffing needs, improve workflow efficiency, and enhance service delivery. ■Complete Year 5 initiatives of the IT Strategic Plan, including funding and progress toward the CAD/RMS Public Safety System Replacement. ■Develop the location, staffing model, and equipment requirements necessary to establish a Real Time Information Center (RTIC) to support data -driven policing and situational awareness. ■Implement proactive communication programs designed to strengthen public engagement, transparency, and community trust. Proposed Budget for Fiscal Year 2026-2027 148 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Recruit and retain Public Safety Dispatch Personnel ;TRUE ;TRUE ;TRUE 2 Prioritize replacement/repair of public safety vehicles and apparatus ;TRUE ;TRUE ;TRUE 3 Public Safety Communications Center – start construction and facility improvements ;TRUE ;TRUE ;TRUE 4 Complete Year 5 programs for the IT Strategic Plan, which includes funding for the CAD/RMS Public Safety System Replacement ;TRUE ;TRUE ;TRUE 5 Westside Substation – Complete temporary improvements to improve work environment for the personnel ;TRUE ;TRUE ;TRUE 6 Make improvements to the new Property and Evidence Warehouse on Airway Ave.;TRUE ;TRUE ;TRUE 7 Implement proactive communication programs for public engagement ;TRUE ;TRUE 8 Continue to upgrade and improve police facility to accommodate staffing levels and improve efficiencies ;TRUE ;TRUE ;TRUE Development location, staffing, and equipment necessary to operate a Real Time Information Center (RTIC);TRUE ;TRUE ;TRUE Continue to develop the Unmanned Aerial System (UAS) Team with staffing and equipment in order to support the possible development of a Drone as a First Responder (DFR) program which integrates with the RTIC ;TRUE ;TRUE ;TRUE Goals and Objectives The goals and objectives of the Police Department were developed in alignment with the City Council’s priorities. 149City of Costa Mesa, California polIce departMent Performance Measures/Workload Indicators: Workload Indicators CY 2023 CY 2024 CY 2025 CY 2026 Actual Actual Actual Estimated REQUESTS FOR SERVICE Telephone Calls Received by Dispatch (Emergency & Non- Emergency)183,668 169,332 163,192 157,275 Calls for Service (Require Personnel at the Scene)101,488 98,360 81,202 67,037 911 Emergency/Public Safety Calls Received 46,964 43,956 41,406 39,004 Non-Emergency Calls Responded (Require Personnel at the Scene)100,291 94,801 80,418 68,217 Animal Control – Calls for Service 3,137 3,780 3,037 3,187 Animal Control – Impounds 700 546 856 670 Property & Evidence – Total Items Booked 10,553 9,068 9,368 10,322 REQUIRED CRIME REPORTING Part 1 Crimes: Crimes Against Persons 3,632 NA N/A N/A Part 2 Crimes: Property Crimes 6,231 NA N/A N/A Group A Offenses: Crimes Against Persons, Property, and Society 1,462 7,869 7,040 7,455 Group B Offenses: All other offenses (arrests only)173 1,204 1,524 1,364 Reports Taken and Processed 18,449 16,709 17,506 18,294 Arrests (Felony and Misdemeanor)5,864 5,143 6,040 5,991 Citations Issued 8,462 9,698 11,808 9,900 Adult Bookings 4,511 3,985 4,500 4,511 Injury Traffic Collisions 760 547 523 500 CASELOAD DISTRIBUTION Assigned Hit-and-Run Cases 431 456 579 477 Assigned Robbery Cases 166 87 79 116 Assigned Burglary Cases 1,073 701 571 465 Assigned Juvenile Cases 359 496 465 396 Assigned Economic/Identity Theft Cases 474 391 336 376 COMMUNITY OUTREACH Community Outreach and Engagement Events 71 63 53 59 Note: The Police Department’s performance measures and workload indicators are presented on a calendar year basis. Note: In November 2023 we made the switch from UCR (Part 1 and 2 Crimes) to NIBRS Federal Reporting Standards (Group A & B Offenses) Performance Measures Actual Actual Actual Estimated 2023 2024 2025 2026 911 Calls Answered within 10 Seconds 99%99%99%99% Emergency Calls Dispatched within 5 minutes 96%97%97%97% Non-Emergency Calls Responded within 30 minutes 87%85%88%87% Customer Service Goal Goal 2024 2025 2026 Response time – 5 minutes or less – Emergency Calls Dispatched 90%96%94%94% Proposed Budget for Fiscal Year 2026-2027 150 City of Costa Mesa, California Budget Narrative The Fiscal Year 2026-27 budget for the Police Department is $70.9 million, an increase of $7,386,482 or 11.6 percent, compared to the adopted budget for Fiscal Year 2025-26. The attrition factor of $3.7 million was recalculated and transferred to Non-Departmental budget beginning in Fiscal Year 2026-27. The Department has reduced personnel by one Park Ranger (1 F TE). The Narcotics Forfeiture Fund has a budget of $300,000 available to support essential equipment purchases. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE BY FUNDING SOURCE General Fund - 101 $ 62,005,909 $ 66,702,742 $ 62,820,469 $ 69,922,841 Disaster Fund - 150 - 1,926 - - Supp. Law Enforcement COP Fund - 213 359,983 376,562 351,659 334,056 Narcotics Forfeiture Fund - 217 254,705 - - 300,000 Office of Traffic Safety - 220 197,735 301,306 - - Grants - Federal - 230 7 7,523 56,076 - - Grants - State - 231 1,079,488 758,592 351,485 353,198 Total Police Department $ 63,975,342 $ 6 8,197,203 $ 63,523,613 $ 70,910,095 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE DEPARTMENT BY PROGRAM ADMINISTRATION - 15100 Administration - 50001 Salaries and Benefits $ 3 ,102,783 $ 3 ,192,388 $ 3,303,168 $ 3,082,426 Maintenance and Operations 2 ,411,098 2,386,878 2,384,968 2,375,533 Fixed Assets 122,217 10 4,325 105,850 105,850 Subtotal Administration $ 5,636,097 $ 5,683,590 $ 5,793,986 $ 5,563,809 - Training - 10133 Salaries and Benefits $ 7 91,765 $ 8 41,213 $ 823,933 $ 878,178 Maintenance and Operations 2 96,811 368,415 318,580 276,580 Fixed Assets - 5,198 1,500 1,500 Subtotal Training $ 1,088,576 $ 1,214,826 $ 1,144,013 $ 1,156,258 BSCC Local Assistance Fund - 71100 783,496 Salaries and Benefits $ 85,794 $ 244,079 $ - $ - Maintenance and Operations 24,770 69,930 - - Fixed Assets 310,466 48,457 - - Subtotal BSCC Local Assistance $ 421,030 $ 362,466 $ - $ - POLICE FIELD OPERATIONS - 15300 Administration - 50001 Salaries and Benefits $ 4 5,811 $ - $ - $ - Field Area Policing - 10111 151City of Costa Mesa, California polIce departMent Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Salaries and Benefits $ 26,373,890 $ 27,962,618 $ 2 2,781,297 $ 28,503,847 Maintenance and Operations 1,160,905 961,097 1,011,549 1,032,749 Fixed Assets 182,108 388 15,400 5,400 Subtotal Field Area Policing $ 27,716,904 $ 28,924,102 $ 23,808,246 $ 29,541,996 Traffic Enforcement - 10113 Salaries and Benefits $ 4 ,461,128 $ 4,648,792 $ 3,954,676 $ 4,893,066 Maintenance and Operations 458,394 4 74,416 603,725 602,225 Fixed Assets 21,836 14 ,528 20,000 15,000 Subtotal Traffic Enforcement $ 4,941,358 $ 5,137,737 $ 4,578,401 $ 5,510,291 Contract and Special Events - 10114 Salaries and Benefits $ 621,594 $ 672,066 $ 5 70,611 $ 584,989 Subtotal Contract and Special Events $ 621,594 $ 672,066 $ 5 70,611 $ 584,989 Jail - 10137 Salaries and Benefits $ 1,564,041 $ 1,782,907 $ 1,827,395 $ 2 ,060,619 Maintenance and Operations $ 60,088 $ 74,267 $ 93,600 $ 46,350 Fixed Assets 17,563 24 1,600 1,600 Subtotal Jail $ 1,641,692 $ 1,857,198 $ 1,922,595 $ 2,108,569 Animal Control - 10139 Salaries and Benefits $ 475,647 $ 799,073 $ 8 54,176 $ 849,446 Maintenance and Operations 33,951 568,121 579,425 6 27,425 Subtotal Animal Control $ 509,597 $ 1,367,194 $ 1,433,601 $ 1,476,871 * FY 24/25 Animal Services Funds Transferred in from 15000 program 40250 AB 109 Post Release Comm. Sup. - 71019 Salaries and Benefits $ 18,727 $ 10 ,226 $ 25,000 $ 25,000 Maintenance and Operations 9 7,039 78,553 8,000 8,000 Fixed Assets - - 41,320 41,320 Subtotal AB 109 Post Release Comm. Sup.$ 115,766 $ 88,779 $ 74,320 $ 74,320 2023 STEP Grant - 71034 28,386 Salaries and Benefits $ 2 3,415 $ - $ - $ - Maintenance and Operations 4,971 - - - Subtotal 2023 Step Grant $ 28,386 $ - $ - $ - - POLICE SUPPORT SERVICES - 15400 Administration - 50001 Salaries and Benefits $ 632,646 $ 6 49,680 $ 706,321 $ 955,525 Maintenance and Operations 285,277 282,331 3 31,768 262,568 Fixed Assets 32,056 16,051 26,041 1,041 Proposed Budget for Fiscal Year 2026-2027 152 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Subtotal Administration $ 949,978 $ 948,062 $ 1,064,130 $ 1,219,134 Helicopter Patrol - 10112 Maintenance and Operations $ 264,382 $ 43,456 $ 300,000 $ 50,000 Fixed Assets - 101,780 - - Subtotal Helicopter Patrol $ 264,382 $ 145,236 $ 300,000 $ 50,000 Crime Investigation - 10120 Salaries and Benefits $ 4,888,000 $ 5 ,867,536 $ 8,042,346 $ 7,208,278 Maintenance and Operations 122,973 136,816 12 6,185 126,185 Fixed Assets 5,840 6,534 5,500 - Subtotal Crime Investigation $ 5,016,812 $ 6,010,886 $ 8,174,031 $ 7,334,463 2021 Justice Assistance Grant - 70916 Maintenance and Operations $ 5,638 $ - $ - $ - Subtotal 2019 Justice Assistance Grant $ 5,638 $ - $ - $ - Orange County Auto Theft Task Force - 71050 1,007,626 Salaries and Benefits $ 3 01,769 $ 149,814 $ 2 77,165 $ 278,878 Subtotal Orange County Auto Theft Task Force - 71050 $ 301,769 $ 149,814 $ 277,165 $ 278,878 Special Investigation Unit - 10127 Salaries and Benefits $ 1,869,152 $ 1 ,797,807 $ 1,722,814 $ 1,781,379 Maintenance and Operations 122,857 120,819 122,000 112,000 Fixed Assets 258,643 81 3,500 300,000 Subtotal Special Investigation Unit $ 2,250,653 $ 1,918,707 $ 1,848,314 $ 2,193,379 Records/Information System - 10131 Salaries and Benefits $ 2,494,847 $ 2 ,817,254 $ 2,891,819 $ 3,068,294 Maintenance and Operations 96,208 89,561 125,975 94,475 Fixed Assets 18,099 16,194 16,570 16,570 Subtotal Records/Information System $ 2,609,154 $ 2,923,009 $ 3,034,364 $ 3,179,339 POLICE SUPPORT SERVICES - 15400 (Continued) Crime Scene Investigation/Photos - 10132 Salaries and Benefits $ 8 31,242 $ 8 11,482 $ 9 13,151 $ 1,011,753 Maintenance and Operations 2 3,176 18,465 3 2,990 29,990 Fixed Assets 2,420 1,192 3,000 3,000 Subtotal Crime Scene Investigation/Photos $ 856,838 $ 831,139 $ 949,141 $ 1,044,743 Youth Crime Intervention - 10135 Salaries and Benefits $ 2,184,659 $ 2,577,072 $ 2,328,727 $ 2,450,443 Maintenance and Operations 33,264 24,700 26,850 26,850 Fixed Assets 2,170 - 1,150 1,150 Subtotal Youth Crime Intervention $ 2,220,092 $ 2,601,772 $ 2,356,727 $ 2,478,443 153City of Costa Mesa, California polIce departMent Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Property and Evidence - 10136 Salaries and Benefits $ 533,473 $ 674,890 $ 680,996 $ 733,420 Maintenance and Operations 238,455 336,022 129,974 121,523 Fixed Assets 6 ,103 - - - Subtotal Property and Evidence $ 778,031 $ 1,010,912 $ 810,970 $ 854,943 Operations - 51010 Salaries and Benefits $ 4 ,128,985 $ 4,203,029 $ 4 ,137,363 $ 4,579,936 Maintenance and Operations 264,887 208,880 2 56,744 256,815 Fixed Assets 6 ,965 4,612 3,785 2,585 Subtotal Operations $ 4,400,837 $ 4,416,521 $ 4,397,892 $ 4,839,336 Technical Support/Maintenance - 51020 Salaries and Benefits $ 3 11,698 $ 325,800 $ 331,550 $ 3 50,130 Maintenance and Operations 254,457 228,378 160,417 160,417 Fixed Assets - 7 71,075 732,000 727,000 Subtotal Technical Support/Maintenance $ 566,155 $ 1,325,253 $ 1,223,967 $ 1 ,237,547 Emergency Services - 51040 Salaries and Benefits $ 137,291 $ 105,749 $ 123,814 $ 135,257 Maintenance and Operations 4 7,180 2 6,414 4 8,515 31,530 Fixed Assets 3,988 4,610 16,000 16,000 Subtotal Emergency Services $ 188,459 $ 136,773 $ 188,329 $ 182,787 EMPG - 71300 Maintenance and Operations - 2 ,376 - - Fixed Assets $ 2 4,574 $ 6,540 $ - $ - Subtotal EMPG $ 24,574 $ 8 ,916 $ - $ - Youth Investment Grant - 71350 Maintenance and Operations 45,698 - - - Subtotal Youth Investment Grant $ 45,698 $ - $ - $ - Salaries and Benefits $ 56,060,741 $ 60,479,457 $ 56,296,322 $ 63,430,864 Maintenance and Operations 6,825,972 6,616,157 6 ,234,075 6,241,215 Fixed Assets 1,088,630 1,101,589 993,216 1,238,016 Total Police Department $ 63,975,342 $ 68,197,203 $ 63,523,613 $ 70,910,095 Proposed Budget for Fiscal Year 2026-2027 154 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Salaries and Wages $ - $ - $ (3,671,868) $ - Regular Salaries - Sworn 16,148,090 16,191,556 18,270,414 19,207,826 Regular Salaries - Non-Sworn 7,432,277 9,085,959 8 ,911,252 9,542,104 Regular Salaries - Part-Time 1,480,715 1,094,205 1,186,979 1,186,979 Overtime 3,917,658 4,686,333 1,810,612 1,932,612 Accrual Payoff - Excess Max. 4 51,807 437,328 143,828 143,828 Vacation/Comp. Time Cash Out 2 11,156 263,175 123,280 123,280 Holiday Allowance 451,045 454,971 441,074 440,658 Separation Pay-Off 138,060 200,593 72,956 72,956 Other Compensation 2,722,912 2,845,374 2,520,203 2,839,657 Cafeteria Plan 5,135,003 5,279,434 5,715,060 6 ,247,549 Medicare 500,445 539,822 438,190 558,606 Retirement 17,187,580 18,790,422 19,598,891 20,404,951 Longevity 260,034 588,519 716,425 715,659 Executive Prof Development 23,960 21,766 19,026 14 ,200 Subtotal Salaries & Benefits $ 56,060,741 $ 60,479,457 $ 56,296,322 $ 63,430,864 Maintenance and Operations Stationery and Office $ 76,857 $ 81,034 $ 86,700 $ 75,200 Multi-Media, Promos, Subscrpt. 97,550 113,341 92,550 89,550 Small Tools and Equipment 2 57,281 85,235 6 2,105 39,105 Uniforms and Clothing 252,997 291,690 176,950 175,450 Safety and Health 229,610 190,426 194,592 154,401 Maintenance and Construction 23,068 27,270 14,250 14 ,250 Electricity - Buildings & Fac. 937 1,258 1,200 1,200 Water - Domestic 780 1,237 1,000 1,000 Waste Disposal 2,060 2,505 2 ,162 2,402 Janitorial and Housekeeping 169,358 182,326 174,413 174,413 Telephone/Radio/Communications 434,526 362,378 338,945 338,945 Business Meetings 16,822 39,409 12,800 18,165 Mileage Reimbursement 92 10 300 1,300 Dues and Memberships 48,420 54,961 48,585 48,585 Professional Development 2 76,817 310,939 2 19,152 189,152 Buildings and Structures 63,088 83,826 74,413 34,663 Automotive Equipment 2 ,159 7,103 - - Office Equipment 17,441 21,902 24,581 18,581 Other Equipment 7,326 8 ,741 13,870 13,870 Consulting 788,952 729,893 660,039 863,515 Legal 1,084 2,247 15,000 5,000 Financial & Information Svcs. 6 662 - - Medical and Health Inspection 78,512 96,046 120,500 120,500 Public Safety 419,027 436,787 566,320 550,320 Principal Payments 14 4,297 152,052 - - Interest Payments 14 ,835 11,856 - - 155City of Costa Mesa, California polIce departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE DEPARTMENT BY ACCOUNT: ALL FUNDS Maintenance and Operations (Continued) External Rent 118,672 106,919 125,500 103,500 Internal Rent Central Services 2,547 4 ,467 5,303 5,303 Internal Rent Postage 16,556 14,748 8,031 8,031 Internal Rent - Maintenance 384,800 384,800 384,800 384,800 Internal Rent - Repl Cost 400,000 400,000 400,000 400,000 Internal Rent - Fuel 259,596 190,200 190,200 190,200 Internal Rent Genl Liability 275,496 275,496 275,496 275,496 Internal Rent Workers’ Comp 1,914,655 1,914,655 1,914,655 1,914,655 Internal Rent Unemployment 29,663 29,663 29,663 29,663 Other Costs 85 73 - - Subtotal Maintenance & Operations $ 6,825,972 $ 6,616,157 $ 6,234,075 $ 6,241,215 Fixed Assets Automotive Equipment 33,187 - - - Other Equipment 1,055,443 1,100,958 9 93,216 1,238,016 Subtotal Fixed Assets $ 1,088,630 $ 1,100,958 $ 993,216 $ 1,238,016 Transfers Out Transfers Out - 6 31 - - Subtotal Transfers Out - 631 - - Total Police Department $ 63,975,342 $ 68,197,203 $ 63,523,613 $ 70,910,095 Proposed Budget for Fiscal Year 2026-2027 156 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Salaries and Wages $ - $ - $ (3,671,868) $ - Regular Salaries - Sworn 15,884,388 16,013,566 17,996,262 18,956,222 Regular Salaries - Non-Sworn 7,432,086 9,084,997 8 ,911,252 9,542,104 Regular Salaries - Part-Time 1,476,483 1,089,843 1,186,979 1,186,979 Overtime 3,603,945 4 ,079,255 1,764,436 1,886,436 Accrual Payoff - Excess Max. 439,644 429,820 138,828 138,828 Vacation/Comp. Time Cash Out 205,043 263,175 123,280 123,280 Holiday Allowance 4 50,134 444,013 429,309 429,309 Separation Pay-Off 138,060 184,047 72,956 72,956 Other Compensation 2,684,966 2,820,254 2,490,036 2,815,303 Cafeteria Plan 5,085,479 5,247,989 5,664,204 6 ,189,493 Medicare 490,350 529,768 433,267 553,923 Retirement 16,978,911 18,591,663 19,375,470 20,174,836 Longevity 260,034 583,804 7 09,061 709,062 Executive Prof Development 23,960 21,766 19,026 14 ,200 Subtotal Salaries & Benefits $ 55,153,482 $ 59,383,960 $ 55,642,498 $ 62,792,930 Maintenance and Operations Stationery and Office $ 76,857 $ 81,034 $ 86,700 $ 75,200 Multi-Media, Promos, Subscrpt. 97,550 103,151 92,550 89,550 Small Tools and Equipment 207,329 68,621 6 2,105 39,105 Uniforms and Clothing 252,997 264,177 176,950 175,450 Safety and Health 153,223 171,480 194,592 154,401 Maintenance and Construction 23,068 27,270 14,250 14 ,250 Electricity - Buildings & Fac. 937 1,258 1,200 1,200 Water - Domestic 780 1,237 1,000 1,000 Waste Disposal 2,060 2,505 2 ,162 2,402 Janitorial and Housekeeping 169,358 182,326 174,413 174,413 Telephone/Radio/Communications 434,526 362,378 338,945 338,945 Business Meetings 15,398 38,122 12,800 18,165 Mileage Reimbursement 92 10 300 1,300 Dues and Memberships 48,420 54,961 48,585 48,585 Professional Development 236,983 210,144 2 19,152 189,152 Buildings and Structures 63,088 83,826 74,413 34,663 Automotive Equipment 2 ,159 3,603 - - Office Equipment 17,441 21,902 24,581 18,581 Other Equipment 7,326 8 ,741 13,870 13,870 Consulting 686,351 607,183 652,039 855,515 Legal 1,084 2,247 15,000 5,000 Financial & Information Svcs. 6 662 - - Medical and Health Inspection 78,512 96,046 120,500 120,500 Public Safety 419,027 436,787 566,320 550,320 Principal Payments 14 4,297 152,052 - - Interest Payments 14 ,835 11,856 - - External Rent 118,672 106,919 125,500 103,500 Internal Rent Central Services 2,547 4 ,467 5,303 5,303 157City of Costa Mesa, California polIce departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget POLICE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Internal Rent Postage 16,556 14,748 8,031 8,031 Maintenance and Operations (Continued) Internal Rent - Maintenance 384,800 384,800 384,800 384,800 Internal Rent - Repl Cost 400,000 400,000 400,000 400,000 Internal Rent - Fuel 259,596 190,200 190,200 190,200 Internal Rent Genl Liability 275,496 275,496 275,496 275,496 Internal Rent Workers’ Comp 1,886,963 1,872,833 1,914,655 1,914,655 Internal Rent Unemployment 29,240 29,075 29,663 29,663 Other Costs 85 73 - - Subtotal Maintenance & Operations $ 6,527,658 $ 6,272,190 $ 6,226,075 $ 6,233,215 Fixed Assets Automotive Equipment $ 33,187 $ - $ - $ - Other Equipment 291,581 1,046,592 951,896 896,696 Subtotal Fixed Assets $ 324,768 $ 1,046,592 $ 951,896 $ 896,696 Transfers Out Total Police Department $ 62,005,909 $ 66,702,742 $ 62,820,469 $ 69,922,841 Proposed Budget for Fiscal Year 2026-2027 158 City of Costa Mesa, California Fire and RescueDepartment Fire and Rescue Department Fire and Rescue Fire Administration 1.0 FTE - Fire Chief 1.0 FTE - Executive Assistant 1.0 FTE - Sr. Management Analyst 1.0 FTE- Fire Captain/Admin/Training 1.0 FTE- Fire Captain/Admin/EMS 1.0 FTE- Battalion Chief 0.5 FTE - Emergency Services Manager 0.5 FTE- Telecommunications Manager 1.25 FTE- Part-Time Community Risk Reduction 2.0 FTE - Assistant Fire Marshal 3.0 FTE - Fire Protection Specialist 1.0 FTE - Code Enforcement Officer 1.0 FTE - Administrative Assistant 1.0 FTE Part-Time Fire Operations 3.0 FTE - Battalion Chief 18.0 FTE - Fire Captain 18.0 FTE - Fire Engineer 42.0 FTE - Firefighter Community Risk Reduction 1.0 FTE - Assistant Fire Chief (Non-Sworn) Fire Marshal Fire Operations 1.0 FTE - Assistant Fire Chief (Sworn) Operations Proposed Budget for Fiscal Year 2026-2027 160 City of Costa Mesa, California The City of Costa Mesa Fire and Rescue (CMFR) budget is strategically developed in alignment with the City Council’s strategic goals and priorities. It is also integrated into the CMFR Community Driven Strategic Plan (2022- 2027), and based on the City of Costa Mesa’s priorities and objectives. The Fire and Rescue Department is a public safety function that protects life, property and the environment through its mitigation, prevention, preparedness, response, and recovery services. The Department is budgeted for 97 full-time staff members: 86 sworn positions and 11 non-sworn positions. Part-time staffing consists of 2.25 full-time equivalents to serve within the 3 divisions. The 3 divisions are Fire Administration, Fire /Rescue Operations /Emergency Medical Services, and Community Risk Reduction The Fire Operations Division provides response services and staffs 6 fire stations, 24/7. The Community Risk Reduction Division provides life and fire safety planning, inspection, preparedness, and overall community risk reduction. Both divisions are supported by the Fire Administration division. CMFR’s budget is aligned with CMFR’s Community Driven Strategic Plan (2022-2027), in direct alignment with the City Council’s Strategic Goals and Objectives. CMFR’s primary objectives will continue to be focused within the following strategic initiatives: ●Technology ●Staffing ●Infrastructure ●Training ●Communication ●Accreditation Fire Administration – 16100 Administration – 50001 The Administration Division is responsible for the delivery of all staff and support services, working towards the most effective and efficient operations of the department. Among these services, the division provides direction for strategic, operational, and emergency planning; establishes department policies and procedures; coordinates internal functions of all divisions, programs, and external functions with other City departments and community organizations; develops and manages the budget; provides oversight and coordination for department training and education; represents the department on countywide fire/rescue/emergency medical services committees; coordinates all ordering and purchasing;coordinates contracts for services; manages the departments communication and social media efforts; manages the department’s human resources; manages the department’s records and reports; performs additional functions and duties as needed by the City Manager. Fire Operations — 16200 Fire/Rescue Operations – 10210 The Operations Division manages Fire, Rescue and Emergency Medical Services and maintains constant readiness to answer calls for assistance for the citizens and visitors of the community. The Division is also tasked with rapid response to life, health, fire, rescue, and environmental emergencies, as well as the protection of property, fire cause and origin determination, and life safety inspections and education. In addition, the fire companies are involved in comprehensive building and fire protection systems inspections, including the high-rise buildings in the South Coast Metro area and South Coast Plaza. Emergency Medical Services – 10230 The Emergency Medical Services Division manages, supervises, and provides the functions required to support these services including; emergency planning, communications, training and education, equipment maintenance and repair, supplies, records, and quality control. Pre-hospital advanced life support (ALS) and basic life support (BLS) is provided by a combination of Paramedic Engine Companies, Truck Companies and Rescue Ambulances, including an innovative ambulance transportation program 161City of Costa Mesa, California fIre and rescue departMent Community Risk Reduction — 16300 Community Risk Reduction – 10220 The Community Risk Reduction Division develops and enforces local fire, life safety, property, and environmental protection standards; enforces state adopted fire and life safety codes; reviews building construction plans; conducts building construction and business inspections; investigates citizen complaints; serves on city-wide committees related to development review, group homes, homeless outreach, and marijuana businesses; provides training to department personnel in regard to fire and life safety codes; assists professional trades with technical fire code requirements and department community education efforts. Develops, provides, and coordinates community preparedness activities including, volunteer, outreach, education, training, and response programs including; Business Preparedness Academies and Community Emergency Response Team Academies; and embracing an overall strategy of community risk reduction. Proposed Budget for Fiscal Year 2026-2027 162 City of Costa Mesa, California Fiscal Year 2025-2026  Accomplishments ■Provided proactive communication internally and externally to improve service quality and community outreach. ■Initiated the next phase of Center of Public Safety Excellence (CPSE) / Commission on Fire Accreditation International (CFAI) Accreditation Project. ■Continued to move our Strategic Plan forward, inclusive of quarterly reports, in written and digital form, to be shared internally and externally. ■Completed phase 1 on construction of new Costa Mesa Fire & Rescue (CMFR) Regional Fire & Rescue Training Facility. ■Completed the Fire Apparatus Engineer Promotional Testing Process. ■Completed the Fire Captain Promotional Testing Process. ■Completed the implementation phase of Tablet Command Project. ■Initiated the ECC CAD (Joint CMPD/CMFR/ECC) project. ■Continued to play a key role with regional and statewide engagement through California’s Master Mutual Aid System, Cal OES, and our three Cal OES Engines (i.e., Type 1, 3, and 6). ■Highlighted and celebrated CMFR’s 100th Year Anniversary. ■Continued to place a high priority on our Operations and our Community Risk Reduction efforts, inclusive of the enhancement of Emergency Medical Service (EMS) and Training programs, both from an internal, quality assurance perspective and an external, community outreach perspective. ■ The CMFR team responded to 13,254 incidents. Completed successful transfer of command for Fire Chief. ■Successfully promoted throughout in the ranks of Battalion Chief, Fire Captain, Engineer and Firefighter and Fire Marshal. ■Hired new Firefighters. Fiscal Year 2026-2027 Goals ■Continue to provide proactive communication internally and externally to improve of quality service and community outreach. ■Complete our Standard of Coverage (SOC) project. ■Continue to move our Strategic Plan forward, inclusive of quarterly reports, in written and digital form, to be shared internally and externally. ■Initiate the next phase of our CPSE / CFAI Accreditation Project - Winter 2026. ■Complete construction of the new CMFR Regional Fire & Rescue Training Facility -water reclaim system and phase 2. ■Formally break ground on our Fire Station no. 2 new construction project. ■Complete the entry level Firefighter recruitment Testing Process. ■Complete the Battalion Chief Promotional Testing Process. ■Continue to place the highest priority on our people, specifically related to health, wellness, safety, professional development, succession planning, active leadership and paramedic school. ■Complete the implementation of our Tablet Command Project- phase 2 Implement bilateral communication with Tablet Command. ■Proceed to collaborate on the ECC CAD (Joint CMPD/CMFR/ECC) project. ■Continue to move the respective ECC and EOC programs forward, in partnership with CMPD and the City Manager’s Office. ■Continue to play a key role with our regional and statewide engagement through California’s Master Mutual Aid System, Cal OES, and our three Cal OES Engines (i.e., Type 1, 3, and 6). ■Expand usage of PS Trax asset management for all apparatus related checks and inventory. ■Expand usage of Starlink across apparatus, dispatch and EOC for resiliency and redundancy. ■Launch the new updated CERT program. 163City of Costa Mesa, California fIre and rescue departMent Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Provide proactive communication internally and externally to improve quality of service and community outreach. ;TRUE ;TRUE ;TRUE ;TRUE 2 Complete our Standard of Coverage (SOC) project ;TRUE ;TRUE ;TRUE ;TRUE 3 Continue to move our Strategic Plan forward, inclusive of quarterly reports, in written and digital form, to be shared internally and externally. ;TRUE ;TRUE ;TRUE ;TRUE 4 Initiate the next phase of our CPSE / CFAI Accreditation Project. ;TRUE ;TRUE ;TRUE ;TRUE 5 Complete the construction of our new CMFR Regional Fire & Rescue Training Facility. ;TRUE ;TRUE ;TRUE ;TRUE 6 Formally break ground on our Fire Station #2 new construction project. ;TRUE ;TRUE ;TRUE ;TRUE 7 Complete the Fire Apparatus Engineer Promotional Testing Process. ;TRUE ;TRUE 8 Complete the Fire Captain Promotional Testing Process. ;TRUE ;TRUE 9 Continue to place the highest priority on our people, specifically related to health, wellness, safety, professional development, succession planning, and active leadership. ;TRUE ;TRUE ;TRUE 10 Complete the implementation of our Tablet Command Project. ;TRUE ;TRUE ;TRUE ;TRUE 11 Initiate the ECC CAD (Joint CMPD/CMFR/ECC) project. ;TRUE ;TRUE ;TRUE ;TRUE 12 Continue to move the respective ECC and EOC programs forward, in partnership with CMPD and the City Manager’s Office. ;TRUE ;TRUE ;TRUE ;TRUE 13 Continue to play a key role with our regional and statewide engagement through California’s Master Mutual Aid System, Cal OES, and our three Cal OES Engines (i.e., Type 1, 3, and 6). ;TRUE ;TRUE ;TRUE ;TRUE 14 Highlight and celebrate CMFR’s 100th Year Anniversary. ;TRUE ;TRUE ;TRUE Goals and Objectives The goals and objectives of the Fire and Rescue Department were developed in alignment with the City Council’s priorities. Proposed Budget for Fiscal Year 2026-2027 164 City of Costa Mesa, California Performance Measures/Workload Indicators: WorkLoad Indicators CY 2023 CY 2024 CY 2025 Actual Actual Actual CALLS FOR SERVICE Fire Incidents 261 253 215 EMS & Rescue 10,439 10,459 10,108 Non-Emergency/Good Intent Service Calls 433 414 1,673 False and/or Unintentional Alarms 682 695 697 Incidents involving Narcan Administration 170 124 65 PATIENT TRANSPORT TOTALS Advanced life support transports (ALS)3,624 3,693 3,724 Basic life support transports (BLS)3,929 4,097 4,145 COMMUNITY RISK REDUCTION Plan Check Reviews*983 984 1,604 Fire Systems Plans --626 Architectural Plans --978 INSPECTIONS Fire Prevention System Construction Permit 447 1,075 330 Sprinklers --193 Life Safety- Building Permits 287 205 567 ANNUAL INSPECTIONS Fire Prevention Inspections 1,779 1,492 1,568 Fire permit inspection/issued 518 347 567 FIRE PREVENTION PROGRAM Total Number of Hours Worked 1,040 1,040 1,040 Re-inspection for compliance within the same year 889 1,081 1,217 COMMUNITY EDUCATION PROGRAMS Number of Participants at Hands only CPR Events 352 794 592 Number of Participants Hosted at Fire Station Tours 143 238 587 Number of Special Events Attended 15 47 60 Volunteer Hours – CERT 5,629 787 865 Note: Metrics are presented on a calendar year basis required to align with state and national incident reporting guidelines. *Plan Check Review includes all t ypes of review: development reviews, special events, block parties, pyrotechnics, annual operations, etc. 165City of Costa Mesa, California fIre and rescue departMent Performance Measures CY 2023 CY 2024 CY 2025 Actual Actual Actual CALLS FOR SERVICE (first on-scene within 7 minutes or less from dispatch) Fire 93.10%86.67%86.49% Fire - from dispatch/average Response Time 5:00 5:33 5:45 Emergency Medical Services 93.22%92.60%93.48% Emergency Medical Service - from disbatch/average Response Time 4:47 4:50 4:46 Rescue (with or without injury, including all freeway response)82.36%83.22%78.36% Rescue (with or without injury, including all freeway response) - from disbatch/average Response Time 5:24 5:27 5:40 COMMUNITY RISK REDUCTION Plan Review Completed within 14 Calendar Days 96%97%73.46 * Plan Review Resubmittal Review Completed within 7 Calendar Days 98%99%71.32 * Percentage of apartments inspected in the City 100%100%100% Percentage of high-rises (7+ stories) inspected in the City 100%100%100% Percentage of education buildings (up to grade 12) inspected in the City 100%100%100% Note: Data for Plan review was not available for 2021 and 2022. * Plan check turnaround times vary by permit type. This percentage reflects multiple permit categories. Metrics will be updated in 2026 to include permit-type breakouts. Customer Service Goal Goal 2024 2025 Response time – 7 minutes or less – All Calls for Service From Dispatch 90%90%98.82 All Emergency Calls for Service from dispatch/average Response Time 4:59 4:56 Proposed Budget for Fiscal Year 2026-2027 166 City of Costa Mesa, California Budget Narrative The Fiscal Year 2026-27 budget for the Fire and Rescue Department is $39.4 million, an increase of $0.5 million or 1.3 percent compared to the adopted budget for Fiscal Year 2025-26. The increase is primarily attributed to adjustments to salaries and benefits as a result of labor negotiations. While there are increases attributed to adjustments to salaries and benefits as result of labor negotiations, the operating budget is temporarily being reduced to maintain a balanced budget under current economic conditions. Additionally, the department requests to reclassify the vacant Emergency Medical Services Coordinator to Battalion Chief. The FTE count will remain the same. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 Total Fire and Rescue Department $ 35,159,635 $ 3 9,167,336 $ 38,903,466 $ 39,421,729 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY PROGRAM ADMINISTRATION - 16100 Fire Administration - 50001 Salaries and Benefits $ 2,716,705 $ 1,971,239 $ 2 ,198,341 $ 2 ,211,953 Maintenance and Operations 1,075,640 1,049,677 1,040,948 1,019,948 Subtotal Fire Administration $ 3,792,345 $ 3,020,916 $ 3,239,289 $ 3,231,901 Operations - 51010 Salaries and Benefits $ - $ - $ 118,401 $ 112,469 Subtotal Operations $ - $ - $ 118,401 $ 112,469 FIRE OPERATIONS - 16200 Response and Control - 10210 Salaries and Benefits $ 25,592,559 $ 3 0,157,902 $ 29,080,998 $ 29,606,386 Maintenance and Operations 1,432,084 1,520,311 1,395,200 1,333,200 Fixed Assets 20,436 20,204 22,990 22,990 Subtotal Response and Control $ 27,045,079 $ 31,698,416 $ 30,499,188 $ 30,962,576 Emergency Medical Aid - 10230 Maintenance and Operations 3,032,299 3,062,057 3,255,700 3,225,700 Fixed Assets 5 ,041 6 ,175 10,000 10,000 Subtotal Emergency Medical Aid $ 3,037,340 $ 3,068,232 $ 3,265,700 $ 3,235,700 COMMUNITY RISK REDUCTION - 16300 Fire Prevention - 10220 Salaries and Benefits $ 1,175,785 $ 1,289,700 $ 1,587,548 $ 1,769,743 Maintenance and Operations 93,289 75,698 193,340 10 9,340 Subtotal Fire Prevention $ 1,269,075 $ 1,365,398 $ 1,780,888 $ 1,879,083 TOTAL FIRE AND RESCUE DEPARTMENT Salaries and Benefits $ 29,489,641 $ 33,418,841 $ 32,985,288 $ 33,700,551 Maintenance and Operations 5 ,644,516 5 ,722,116 5,885,188 5,688,188 Fixed Assets 25,478 26,379 32,990 32,990 Total Fire and Rescue Department $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 167City of Costa Mesa, California fIre and rescue departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Regular Salaries - Sworn $ 10,153,377 $ 11,006,396 $ 11,329,338 $ 11,692,081 Regular Salaries - Non-Sworn 872,250 9 95,749 1,365,392 1,523,593 Regular Salaries - Part-Time 110,226 93,473 103,480 103,480 Overtime 3,466,007 5,330,307 2,666,125 2,666,125 Accrual Payoff - Excess Max. 91,167 90,342 32,600 32,600 Vacation/Comp. Time Cash Out 152,784 139,066 51,800 51,800 Holiday Allowance 437,824 585,824 502,869 502,869 Separation Pay-Off 13,611 72,784 41,400 41,400 Other Compensation 8 69,182 991,877 1,436,036 1,550,469 Cafeteria Plan 2,421,387 2,468,324 2,924,242 2,538,228 Medicare 2 45,213 292,706 210,366 2 47,263 Retirement 10,445,474 10,926,625 11,823,691 12,253,944 Longevity 200,585 412,438 483,099 483,099 Executive Prof Development 10,553 12,930 14 ,850 13,600 Subtotal Salaries & Benefits $ 29,489,641 $ 33,418,841 $ 32,985,288 $ 33,700,551 Maintenance and Operations Stationery and Office $ 13 ,731 $ 14 ,501 $ 12,000 $ 12,000 Multi-Media, Promos, Subscrpt. 23,727 35,099 25,000 25,000 Small Tools and Equipment 174,779 64,057 68,000 68,000 Uniforms and Clothing 142,520 279,435 186,500 146,500 Safety and Health 4 49,193 340,209 413,000 400,000 Maintenance and Construction 3 3,119 51,392 32,500 32,500 Waste Disposal - - 1,500 1,500 Janitorial and Housekeeping 8,059 8,691 13,200 13 ,200 Telephone/Radio/Communications 124,349 110,844 86,544 86,544 Business Meetings 15,761 9,949 4,100 4 ,100 Dues and Memberships 5,058 4,660 6,803 6,803 Professional Development 13 8,824 169,220 164,771 124,771 Buildings and Structures - - 2,500 2,500 Landscaping and Sprinklers - - 500 500 Office Equipment 1,113 869 2,700 2,700 Other Equipment 11,819 6 ,138 24,000 22,000 Consulting 8 7,744 6 7,213 75,000 55,000 Engineering and Architectural 40,384 31,157 142,000 62,000 Financial & Information Svcs. 194,939 204,792 240,000 240,000 Medical and Health Inspection - 392 5,000 3,000 Public Safety 2,305,111 2 ,407,532 2,472,000 2,472,000 External Rent 1,995 1,826 2 ,010 2 ,010 Proposed Budget for Fiscal Year 2026-2027 168 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY ACCOUNT: ALL FUNDS Maintenance and Operations (Continued) Internal Rent Central Services 2,871 1,725 14,958 14,958 Internal Rent Postage 1,434 797 2,744 2 ,744 Internal Rent - Maintenance 355,900 355,900 355,900 355,900 Internal Rent - Repl Cost 5 11,500 5 11,500 5 11,500 511,500 Internal Rent - Fuel 158,063 193,477 193,400 193,400 Internal Rent Genl Liability 213,400 213,400 213,400 213,400 Internal Rent Workers’ Comp 585,952 585,952 585,952 585,952 Internal Rent Unemployment 12,206 12,206 12,206 12,206 Taxes and Assessments 28,225 3 2,711 13,900 13 ,900 Other Costs 2,740 6,471 1,600 1,600 Subtotal Maintenance & Operations $ 5,644,516 $ 5,722,116 $ 5,885,188 $ 5,688,188 Fixed Assets Other Equipment 25,478 26,379 32,990 32,990 Subtotal Fixed Assets $ 25,478 $ 26,379 $ 32,990 $ 32,990 Total Fire and Rescue Department $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 *Includes Ambulance Program Contractual Services. 169City of Costa Mesa, California fIre and rescue departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Regular Salaries - Sworn $ 10,153,377 $ 11,006,396 $ 11,329,338 $ 11,692,081 Regular Salaries - Non-Sworn 872,250 9 95,749 1,365,392 1,523,593 Regular Salaries - Part-Time 110,226 93,473 103,480 103,480 Overtime 3,466,007 5,330,307 2,666,125 2,666,125 Accrual Payoff - Excess Max. 91,167 90,342 32,600 32,600 Vacation/Comp. Time Cash Out 152,784 139,066 51,800 51,800 Holiday Allowance 437,824 585,824 502,869 502,869 Separation Pay-Off 13,611 72,784 41,400 41,400 Other Compensation 8 69,182 991,877 1,436,036 1,550,469 Cafeteria Plan 2,421,387 2,468,324 2,924,242 2,538,228 Medicare 2 45,213 292,706 210,366 2 47,263 Retirement 10,445,474 10,926,625 11,823,691 12,253,944 Longevity 200,585 412,438 483,099 483,099 Executive Prof Development 10,553 12,930 14 ,850 13,600 Subtotal Salaries & Benefits $ 29,489,641 $ 33,418,841 $ 32,985,288 $ 33,700,551 Maintenance and Operations Stationery and Office $ 13 ,731 $ 14 ,501 $ 12,000 $ 12,000 Multi-Media, Promos, Subscrpt. 23,727 35,099 25,000 25,000 Small Tools and Equipment 174,779 64,057 68,000 68,000 Uniforms and Clothing 142,520 279,435 186,500 146,500 Safety and Health 4 49,193 340,209 413,000 400,000 Maintenance and Construction 3 3,119 51,392 32,500 32,500 Waste Disposal - - 1,500 1,500 Janitorial and Housekeeping 8,059 8,691 13,200 13 ,200 Telephone/Radio/Communications 124,349 110,844 86,544 86,544 Business Meetings 15,761 9,949 4,100 4 ,100 Dues and Memberships 5,058 4,660 6,803 6,803 Professional Development 13 8,824 169,220 164,771 124,771 Buildings and Structures - - 2,500 2,500 Landscaping and Sprinklers - - 500 500 Office Equipment 1,113 869 2,700 2,700 Other Equipment 11,819 6 ,138 24,000 22,000 Consulting 8 7,744 6 7,213 75,000 55,000 Engineering and Architectural 40,384 31,157 142,000 62,000 Financial & Information Svcs. 194,939 204,792 240,000 240,000 Medical and Health Inspection - 392 5,000 3,000 Public Safety 2,305,111 2 ,407,532 2,472,000 2,472,000 External Rent 1,995 1,826 2 ,010 2 ,010 Proposed Budget for Fiscal Year 2026-2027 170 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget FIRE AND RESCUE DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Maintenance and Operations (Continued) Internal Rent Central Services 2,871 1,725 14,958 14,958 Internal Rent Postage 1,434 797 2,744 2 ,744 Internal Rent - Maintenance 355,900 355,900 355,900 355,900 Internal Rent - Repl Cost 5 11,500 5 11,500 5 11,500 511,500 Internal Rent - Fuel 158,063 193,477 193,400 193,400 Internal Rent Genl Liability 213,400 213,400 213,400 213,400 Internal Rent Workers’ Comp 585,952 585,952 585,952 585,952 Internal Rent Unemployment 12,206 12,206 12,206 12,206 Taxes and Assessments 28,225 3 2,711 13,900 13 ,900 Other Costs 2,740 6,471 1,600 1,600 Subtotal Maintenance & Operations $ 5,644,516 $ 5,722,116 $ 5,885,188 $ 5,688,188 Fixed Assets Other Equipment 25,478 26,379 32,990 32,990 Subtotal Fixed Assets $ 25,478 $ 26,379 $ 32,990 $ 32,990 Total Fire and Rescue Department $ 35,159,635 $ 39,167,336 $ 38,903,466 $ 39,421,729 *Includes Ambulance Program Contractual Services. 171City of Costa Mesa, California fIre and rescue departMent This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Economic & Development ServicesDepartment Economic & Development Services Department 1.0 FTE - Director of Economic & Development Services 1.0 FTE - Assistant Director 2.0 FTE - Senior Management Analyst 1.0 FTE - Executive Assistant 1.0 FTE - Administrative Assistant 1.0 FTE - Planning Manager 1.0 FTE- Econ. Dev. Administrator 1.0 FTE - Principal Planner 2.0 FTE - Senior Planner 3.0 FTE - Associate Planner 3.0 FTE - Assistant Planner 1.0 FTE - Permit Processing Specialist 1.71 FTE - Part-Time 1.0 FTE - Planning Manager 1.0 FTE - Principal Planner 1.0 FTE - Senior Planner 1.0 FTE - Assistant Planner 1.0 FTE - Grant Administrator 1.0 FTE - Management Analyst 1.0 FTE - Office Specialist II 1.0 FTE - Building Official 1.0 FTE - Chief of Inspection 1.0 FTE - Chief Plans Examiner 3.0 FTE - Plan Check Engineer 1.0 FTE - Senior Combination Inspector 2.0 FTE - Building Inspector II 2.0 FTE - Building Inspector I 1.0 FTE- Senior Permit Technician 4.0 FTE - Building Technician II 2.0 FTE - Permit Processing Specialist 0.49 FTE - Part-Time 1.0 FTE - Code Enforcement Manager 2.0 FTE - Senior Code Enforcement Officer 7.0 FTE - Code Enforcement Officer II 2.46 FTE - Part-Time Proposed Budget for Fiscal Year 2026-2027 174 City of Costa Mesa, California The Economic & Development Services Department is responsible for guiding and permitting new development and reinvestment to ensure a high-quality built environment, long range strategic planning to ensure the City’s vision for growth and development is met; and economic development to facilitate strong business growth. The Department’s services include policy development, legislative review, entitlement processing, building plan review, building permit issuance and inspection, housing services and environmental sustainability programs. The Department has 53 full-time positions and 5.34 full-time equivalents. The Department comprises five (5) divisions; each division is allocated into different programs. The five divisions are as follows: ■Administration ■Advanced Planning and Housing ■Building Safety ■Code Enforcement ■Current Planning and Economic Development Code Enforcement Administration — 18100 Community Development Administration – 50001 Directs and coordinates the Department’s administrative activities, budgeting contract management, communications efforts, and provides support to the City Manager; and serves as a liaison to the City Council, Planning Commission, Housing and Public Service Grant Committee and the Mobile Home Park Advisory Committee. Planning — 18200 Advanced Planning and Housing – 20310 The Advanced Planning and Housing Division provides comprehensive City planning services in long-range planning by maintaining the City’s General Plan and Specific Plans with needed updates, coordinating with State and regional planning agencies including the State Department of Housing and Community Development and the Southern California Association of Governments, ensuring consistency with legislative mandates, tracking and responding to socio-economic and demographic trends, and monitoring grant opportunities for advance planning projects. Additionally, this section manages the annual funding cycles of the U.S. Department of Housing and Urban Development (HUD) for federal Community Development Block Grant (CDBG), HOME and CalHOME funding and subrecipients, including reporting and compliance. The Advanced Planning section is overseeing the Fairview Developmental Center Specific Plan effort, the City’s first Climate Action and Adaptation Plan, the City’s Neighborhoods Where We All Belong (NWWAB) rezone program, Housing Element Implementation, monitoring of affordable housing and agreements, and implementing the HUD certified and City adopted Consolidated Plan (2025-2029), the Annual Action Plan and Consolidated Annual Performance and Evaluation Reports (CAPERs). Public Service Grants Programs – 20421 The Advanced Planning and Housing Division coordinates, administers and monitors public service grants allocated by the City Council and funded through the Community Development Block Grant Program (CDBG). Public service grants are awarded to n onprofit a gencies p roviding services such a s: fair h ousing s ervices; h omelessness prevention and services; youth, senior and disabled services through the City’s annual CDBG funding allocation. 175City of Costa Mesa, California econoMIc & developMent servIces departMent Single Family Housing Rehabilitation – 20422 Advanced Planning and Housing coordinates and administers the City’s Single Family Housing Rehabilitation program for eligible, low-income, Costa Mesa homeowners, by providing grants (up to $20,000) and/or deferred zero interest (0%) loans (up to $50,000). Residential property rehabilitation includes interior and exterior improvements addressing basic Zoning and Building Code violations, lead-based paint hazards, and other repairs. CDBG Administration – 20427 Advanced Planning and Housing oversees the preparation and implementation of the federally-required five-year Consolidated Plan and one-year Annual Action plans, and completes the Consolidated Annual Performance and Evaluation Report (CAPER) each year to ensure CDBG funded programs and projects comply with the goals of the plan. Additionally, Housing and Community Development (HCD) administers the City’s CDBG programs as approved by the City Council. HOME Administration – 20440 Advanced Planning and Housing coordinates and administers the City’s federally-funded HOME programs as approved by the City Council to improve and enhance housing and suitable living environments for low and moderate-income residents. Additionally, HCD oversees the programs funded with the City’s annual HOME allocation through the five-year Consolidated Plan, one-year Annual Actions Plans and the consolidated annual performance and evaluation report (CAPER). HOME Projects – 20445 Advanced Planning and Housing evaluates and presents affordable housing projects eligible for HOME grant funds for City Council approval and monitors and ensures compliance with federal regulatory reporting requirements. For each project funded, HCD confirms income qualification; coordinates affordable housing agreements and loan documentation, performs ongoing loan management and monitoring; and conducts compliance monitoring through the life of each loan. HOME-ARP Supportive Services – 20446 Advanced Planning and Housing oversees the preparation and implementation of the federally-required HOME-ARP Allocation Plan and administers the City’s Supportive Services contracts approved by the City Council, ensuring that HOME-ARP-funded programs comply with the goals of the plan. Additionally, HCD provides technical assistance and assures that nonprofit service providers maintain HUD compliance through reporting requirements. Funds expire in 2030. Proposed Budget for Fiscal Year 2026-2027 176 City of Costa Mesa, California Tenant Based Rental Assistance – 20448 Advanced Planning and Housing coordinates and administers the City’s HOME funded Tenant-Based Rental Assistance (TBRA) program. The TBRA program provides rental assistance for up to 24 months for low- income residents in the City. Security deposit or utility deposit assistance may also be provided in conjunction with rental assistance. The TBRA program is implemented in coordination with a local community-based nonprofit partner. Current Planning – 20320 The Current Planning Division is responsible for implementing the Zoning Code, the goals, policies, and objectives of the City’s General Plan, and implement applicable State laws. The Division in general supports City decision-makers including the Director of Economic & Development Services Department. City Manager, Zoning Administrator, Planning Commission, and City Council. The Division’s role is to promote quality of life in the City and maintain the public health, safety, and general welfare of its businesses and residential communities. Planning Commission – 20360 The Planning Division provides staff support to the Planning Commission, a seven-member advisory board to the City Council on land use and community development matters. The Planning Commission decides on discretionary planning applications (e.g. conditional use permits, variances, master plans, design reviews, subdivision maps, and residential developments). As an advisory body to the City Council, the Planning Commission also makes recommendations to the City Council regarding General Plan amendments, Zoning amendments, Specific Plans and other planning and land development matters. Economic Development – 20370 The Economic Development program works closely with the Costa Mesa Chamber of Commerce and Travel Costa Mesa Conference and Visitor Bureau to attract new business, support the expansion of existing enterprises, and retain key establishments that contribute significantly to the local economy. Activities include streamlining application and approval processes, marketing Costa Mesa on both regional and national levels, coordinating with regional business and economic development groups, and enhancing the overall business climate within the City. The program also assists new companies in relocating to Costa Mesa and ensures a business-friendly atmosphere and to expedited services to support business establishment and growth. Building Safety — 18300 Permit & Plan Check Services – 20410 The Building Safety Division provides local enforcement of mandatory State building standards, codes, and Costa Mesa Municipal Code provisions related to the construction, modification, use, and occupancy of private and public buildings and properties. The division provides permit issuance and plan check services for new building construction and the modification of existing structures. The division oversees the routing of plans and coordination of building permit approvals with other divisions and City departments. Furthermore, the division calculates and collects building permits and other development related fees. The Building Division created and developed ten different permit applications that are fully automated and can be issued online. The Building Division monitors and tracks the senate and assembly bills to comply with State & Federal Laws. 177City of Costa Mesa, California econoMIc & developMent servIces departMent Inspection Services – 20410 The Building Safety Division provides inspection services for new building construction and the modification of existing structures for compliance with State building standards, codes, and Costa Mesa Municipal Code provisions related to the construction, modification, use, and occupancy of private and public buildings and properties. Inspection services enforce codes that establish minimum requirements to safeguard the public health, safety and general welfare; to provide access to persons with disabilities; to promote energy conservation; and to promote a reasonable level of safety to emergency responders during emergency operations. The division conducts damage assessments and determines building safety following a major disaster such as an earthquake and investigates building construction, illegal conversions, disabled access and other building-related complaints generated by the public. Building inspectors also support the City’s Code Enforcement officers in assessing housing units for livability and safety concerns. Code Enforcement — 18400 The Code Enforcement Division works in partnership with the public to promote and maintain a safe and desirable living and working environment by applying the division’s resources to respond to City Council priorities and to complaints generated by the public. Code Enforcement – 20350 The Code Enforcement Division plays a vital role in safeguarding public health, safety, and welfare, working diligently to ensure a safe and desirable living and working environment for all residents and businesses in the community. This division is responsible for the strategic enforcement of the Costa Mesa Municipal Code, focusing on various important areas including land use regulations, building construction standards, occupancy requirements, and maintenance of private properties. Additionally, the division addresses issues related to vacant lots, ensures proper nuisance abatement, and regulates the use of signage throughout the city. Code Enforcement Officers respond to reports of sub-standard living conditions, building safety and property maintenance by inspecting properties and taking necessary action to pursue compliance in the form of property maintenance. The division works with the Building Safety inspection staff to ensure compliance with State law for property inspections. The division also performs lodging inspections in conjunction with the Orange County Health Department and various other state and local agencies. The division inspects the City’s stock of lodging establishments for compliance with the Municipal Code, State Health & Safety laws, and other concerns that lead to blighted conditions in the community. Code Enforcement Officers perform routine inspections of City-approved cannabis businesses in close coordination with the Police Department and the State of California’s Bureau of Cannabis Control to ensure such facilities maintain compliance with applicable regulations. A portion of the City is located in the CDBG geographical area. Accordingly, CDBG funds a subset of the Code Enforcement operations. Cannabis Business Permitting/Inspections – 20350 Proposed Budget for Fiscal Year 2026-2027 178 City of Costa Mesa, California The Code Enforcement Division, in coordination with the Planning Division and other City Departments, is responsible for inspecting, monitoring, and enforcing the City’s zoning regulations and operating requirements for cannabis businesses. The division performs routine inspections of City-approved cannabis businesses in close coordination with the Police Department and the State of California’s Bureau of Cannabis Control to ensure such facilities maintain compliance with applicable regulations. 179City of Costa Mesa, California econoMIc & developMent servIces departMent Fiscal Year 2025-2026 Accomplishments ■The City made significant strides toward the Neighborhoods Where We All Belong (NWAAB) rezoning efforts, including completion of Round 1 and 2 community outreach, City Council approved of rezoning of the Housing Element sites and associated zoning map and zoning code amendments. The City submitted to HCD for consideration of housing element certification. ■The City made significant strides forward towards drafting the Fairview Developmental Center Specific Plan (FDC SP). The planning efforts focused on continuing community engagement through workshops and public meetings, honing in on key land use components that will shape the land use development of site, established a project description for environmental review and that will help define policies and standards, began drafting the Specific Plan, and initiated the EIR process pursuant to California Environmental Quality Act. The project is part of the approved Housing Element Programs (Program 3B) and is anticipated to be completed by 2026. ■The City made significant strides toward the Neighborhoods Where We All Belong (NWAAB) rezoning efforts, including completion of Round 1 and 2 community outreach, City Council approved of rezoning of the Housing Element sites and associated zoning map and zoning code amendments. The City submitted to HCD for consideration of housing element certification. ■Continued to process the Climate Action and Adaptation Plan (CAAP), conducted community outreach through summer 2025 and spring 2026. Held internal and external stakeholders’ meetings, developed detailed greenhouse gas emissions inventory and climate vulnerability and risk assessment, conducted an update meeting with the City Council in February 2026 and released draft policies for public review. ■Completed a technical zoning code clean-up to provide technical updates and clarifications, including codifying several Zoning Administrator Determinations, state law updates and establishing a procedure for determining shared parking requirements to reflect current parking trends. ■Prepared and submitted to the Department of Housing and Urban Development (HUD) the City’s Consolidated Annual Performance & Evaluation Report (CAPER) and the 2025-2026 Annual Action Plan, in line with the City’s adopted five-year 2025-2029 Consolidated Plan. ■Released the City’s Community Development Block Grant (CDBG) Public Service Grants program online application. ■Awarded $1.5 million of HOME funds in a loan configuration to assist two affordable housing developments. ■Exceeded the annual goal of 10 properties with the HOME funded rehabilitation program within the first six months of the fiscal year. ■Exceeded the annual goal of assisting 10 low-income families through the HOME funded tenant based rental assistance program (TBRA) administered by Families Forward. ■Responded to over 1,200 community concerns related to sub-standard housing, building violations, and property maintenance. ■Victoria Place (220 Victoria Place) - Approved a 40-unit for-sale residential development, supporting the City’s ongoing efforts to expand ownership housing opportunities. ■Bear Street (3150 Bear Street) - Approved a 142-unit ownership residential community, including townhomes and stacked flats, replacing an underutilized site with much-needed for-sale housing. ■Accomplished Council’s goal of recruiting and retaining staff by filling the Planning Manager, Principal Planner, Grant Administrator, two Building Inspectors, Permit Processing Specialist and two Senior Code Enforcement Officers vacancies. ■Launched the Active Development Map, providing staff and the public with real-time visibility into development activity citywide; and a public-facing Parcel Viewer, expanding access to zoning, land-use, and development related parcel information. ■Developed and launched a Welcome Packet for New Businesses, improving onboarding, clarity of requirements, and awareness of available City resources. ■Certified three Green Businesses, including a national retailer, supporting City sustainability goals. ■City staff attended the 2026 Innovating Commerce Serving Communities (ICSC) Conference, supporting business attraction and site-selection outreach. ■Attracted several businesses to Costa Mesa, including facilitation of a future tenant at the former At Home site, which will help decrease General Merchandise retail leakage from the City. Proposed Budget for Fiscal Year 2026-2027 180 City of Costa Mesa, California ■The Code Enforcement Manager participated in the Orange County Code Enforcement Supervisors’ monthly meetings and a town hall to showcase the division’s community efforts. ■Code Enforcement assisted the Neighborhood Improvement staff in addressing situations involving unhoused individuals, with a focus on safety and compliance of properties. ■Code Enforcement responded and addressed 59 complaints of unpermitted residential and commercial and held administrative hearings. ■Code Enforcement staff successfully collaborated with the Costa Mesa Police Department, Community Policing and Special Investigation units to address commercial and residential property issues. ■The Building Division adopted the new 2025 California Building Construction Codes. ■Building staff participated in annual training offered by the California Building Officials Training Institute for significant changes to the Building Codes. ■Completed the implementation of SB326 and SB720 requirements for the Exterior Elevated Elements (EEE) into TESSA. ■Building staff continued to work closely with the Sanitation District, Mesa Water, and Orange County Health to streamline and enhance the permitting process. ■The inspection staff performed approximately 25,000 building inspections. Fiscal Year 2026-2027 Goals ■Complete the City’s Neighborhoods Where We All Belong (NWWAB) community visioning and re-rezoning efforts. Provide the City Council and public with regular project progress updates. ■Complete the required objective design guidelines in conjunction with the City’s community visioning and re-zoning efforts to provide for high-quality new housing opportunities and revitalization of key commercial and industrial corridors. ■Continue to work with the S tate agencies in preparing the City’s Fairview Development Center (FDC) specific plan, with the goal of City Council approval in 2026. Provide the City Council and public regular project progress updates. ■Complete the City’s Climate Action and Adaptation Plan (CAAP) and begin implementation. ■Manage a high volume of development applications, while promoting high-quality neighborhoods and businesses in Costa Mesa. Provide the public and decision-makers with informative staff reports, clear recommendations, and appropriate project informational materials. ■Continue to recruit and retain high quality staff to assist with the City’s many advanced planning efforts and current planning demands. Continue long-term resource and succession planning. Pursue additional staff training, including the use of new technologies, to enhance customer service. ■Continue coordinating and funding efforts for the approved affordable senior housing project at the City’s Senior Center site and assist Jamboree Housing in completing building permit plan check. During construction, work with the construction team to meet the project timing goals, which will ultimately provide for additional senior affordable housing resources in the City. ■Continue to facilitate, promote, and improve the City’s efforts regarding Green Businesses. ■Continue to monitor and modify the City’s online land development and business license permitting system (TESSA) to ensure that permits and licenses are obtained in a timely manner with a user-friendly public interface. Provide the City Council with an annual update of the system progress. ■Prioritize and complete General Plan and municipal code updates required to comply with State mandates for hazard planning, parking, active transportation, environmental justice, and open space. ■Assist housing developers with and promote the City’s adopted Affordable Housing Ordinance with the goal of increasing housing production and providing affordable housing opportunities in the city. ■Prepare and submit to the Department of Housing and Urban Development (HUD) the City’s 2026-2027 Annual Action Plan. ■Prepare draft guidelines for City Council review of Measure Q “First-Time Homebuyer Program”. ■Maintain timely permit and inspection services for all development applications. Continue to enhance online permitting services and plan check response times. 181City of Costa Mesa, California econoMIc & developMent servIces departMent ■Continue promoting Public Health and Safety by identifying and addresses potential hazards like unsafe structures, unsanitary living conditions. ■Improving Quality of Life by addressing nuisances to create a clean, orderly, and safe environment, fostering a sense of pride and a better living experience for all residents. ■Continue to collaborate with commercial business owners to promote and safeguard public health, safety, and welfare. This collaboration involves helping businesses meet established standards, which in turn supports their compliance efforts. By doing so, we can facilitate smooth operations and ensure these businesses operate legitimately. Proposed Budget for Fiscal Year 2026-2027 182 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Housing Commitments GOALS AND OBJECTIVES Environmental Sustainability Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Complete the City’s Neighborhoods Where We All Belong (NWWAB) community visioning and re-rezoning efforts. Provide the City Council and public with regular project progress updates. ;TRUE ;TRUE 2 Continue to work with the State agencies in preparing the City’s Fairview Development Center (FDC) specific plan, with the goal of City Council approval in 2026. Provide the City Council and public regular project progress updates. ;TRUE 3 Complete the City’s Climate Action and Adaptation Plan (CAAP) and begin implementation. ;TRUE 4 Manage a high volume of development applications, while promoting high-quality neighborhoods and businesses in Costa Mesa. Provide the public and decision-makers with informative staff reports, clear recommendations, and appropriate project informational materials. ;TRUE 5 Continue to recruit and retain high quality staff to assist with the City’s many advanced planning efforts and current planning demands. Continue long-term resource and succession planning. Pursue additional staff training, including the use of new technologies, to enhance customer service. ;TRUE 6 Continue coordinating and funding efforts for the approved affordable senior housing project at the City’s Senior Center site and assist Jamboree Housing in completing building permit plan check. During construction, work with the construction team to meet the project timing goals, which will ultimately provide for additional senior affordable housing resources in the City. ;TRUE 7 Continue to facilitate, promote and improve the City’s efforts regarding Green Businesses. ;TRUE 8 Continue to monitor and modify the City’s online land development and business license permitting system (TESSA) to ensure that permits and licenses are obtained in a timely manner with a user-friendly public interface. Provide the City Council with an annual update of the system progress. ;TRUE 9 Prioritize and complete General Plan and municipal code updates required to comply with State mandates for hazard planning, parking, active transportation, environmental justice, and open space. ;TRUE 10 Assist housing developers with and promote the City’s adopted Affordable Housing Ordinance with the goal of increasing housing production and providing affordable housing opportunities in the city. ;TRUE Goals and Objectives The goals and objectives of the Development Department were developed in alignment with the City Council’s priorities. 183City of Costa Mesa, California econoMIc & developMent servIces departMent Quality Recruitment Fiscally Sustainable Safe Community Housing Commitments GOALS AND OBJECTIVES Environmental Sustainability Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 11 Prepare and submit to the Department of Housing and Urban Development (HUD) the City’s 2026-2027 Annual Action Plan. ;TRUE 12 Prepare draft guidelines for City Council review of Measure Q “First-Time Homebuyer Program”. ;TRUE 13 Provide high quality customer service and maintain high level of customer satisfaction. ;TRUE 14 Maintain timely permit and inspection services for all development applications. Continue to enhance online permitting services and plan check response times. ;TRUE ;TRUE 15 Continue promoting Public Health and Safety by identifying and addresses potential hazards like unsafe structures, unsanitary living conditions. ;TRUE ;TRUE 16 Improving Quality of Life by addressing nuisances to create a clean, orderly, and safe environment, fostering a sense of pride and a better living experience for all residents. ;TRUE ;TRUE 17 Continue to collaborate with commercial business owners to promote and safeguard public health, safety, and welfare. This collaboration involves helping businesses meet established standards, which in turn supports their compliance efforts. By doing so, we can facilitate smooth operations and ensure these businesses operate legitimately. ;TRUE ;TRUE Proposed Budget for Fiscal Year 2026-2027 184 City of Costa Mesa, California Performance Measures/Workload Indicators: Workload Indicators FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Estimated (Adopted) FY 26-27 Estimated PLANNING DIVISION Number of customers assisted at the customer service counter*1,895 2,000 1,900 1700 Number of general calls/emails 1950 Number of land use applications reviewed 363 300 450 316 Number of building permits reviewed 1,791 2,000 2,000 2580 BUILDING DIVISION Number of customers assisted at the customer service counter*2,877 3,000 2,500 3500 Number of building permits issued 2,635 2,500 2,800 3000 Number of building site inspections performed 20,880 20,000 24,000 26000 Number of plan checks performed 1,976 2,000 1,800 2000 Number of building code violations issued 51 50 N/A NA Plan checks approved per FTE 225 to 1 220 to 1 332 to 1 650 to 1 Number of inspections conducted per inspector 4,176 to 1 4,000 to 1 4,000 to 1 5200 to 1 COMMUNITY IMPROVEMENT DIVISION Number of calls received to report code violations 786 750 800 800 Number of community concerns addressed (in person, by phone, email, 311 app)1,726 1,700 1,800 2,200 Number of administrative citations issued 186 175 185 150 Number of cases closed per Code officer 127 to 1 120 to 1 126 to 1 1 to 300 Number of actions per Code officer 6,630 to 1 6,000 to 1 6,300 to 1 6,500 to 1 HOUSING AND COMMUNITY DEVELOPMENT DIVISION Federal CDBG and HOME housing grant funds administered $1.5m $1.4m $1.4m $1.3M Number of housing rehabilitation grants/loans issued 13 10 10 14 Number of housing workshops held (English and Spanish)***19 16 16 15 *Decrease in counter activity reflects the implementation of new Totally Electronic Self-Service Application (TESSA) online permitting. ***Includes workshops related to fair housing, tenant resources, Specific Plans, Consolidated Plans, etc. Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26-27 Actual Actual Estimated Estimated PLANNING DIVISION Percentage of entitlement applications to Planning Commission (PC) within three months of the date determined complete 85%90%95%90% Percentage of entitlement applications for Zoning Administrator (ZA) review within two months of the date determined complete 78%80%85%75% BUILDING DIVISION Percentage of plan checks reviewed within 14 days 48%*65%75%75% Percentage plan review re-checks reviewed within 10 working days 60%75%85%85% COMMUNITY IMPROVEMENT DIVISION Percentage of community concerns investigated within 5 days 59%*80%85%85% Percentage of Code Enforcement cases resolved within 30 days 60%75%80%80% Percentage of Code Enforcement cases over 60 days old 19%15%15%10% *This is a conservative estimate, was not previously tracked in TESSA and subsequently the results were sporadic. Customer Service Goal Goal Average response time to customer inquiries within 24 hours 95% 185City of Costa Mesa, California econoMIc & developMent servIces departMent Budget Narrative The Fiscal Year 2026-27 budget for the Economic and Development Services Department is $12.4 million, an increase of $0.9 million or 8.2 percent, compared to the adopted budget for Fiscal Year 2025-26. Increases within the General Fund (Fund 101) are primarily attributable to salary and benefit adjustments resulting from recently negotiated labor contracts. These increases are partially offset by reductions in operating expenditures to align spending with projected revenues Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 9,082,786 $ 9,571,371 $ 9,695,735 $ 10,651,781 1st Time Homebuyers Prg(MeasQ) - 140 - - 227,472 227,472 Disaster Fund - 150 - 126 - - American Rescue Plan Fund - 204 - 411,656 - - HOME Program Fund - 205 788,958 5 51,646 640,632 7 30,814 CDBG Fund - 207 5 87,182 605,826 919,645 812,257 Grants - State - 231 161,477 38,458 - - IT Replacement Fund - 603 29,073 2,321 - - Total ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT $ 10,649,476 $ 11,181,403 $ 11,483,484 $ 12,422,324 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT BY PROGRAM ADMINISTRATION - 18100 Development Administration - 50001 Salaries and Benefits $ 1,012,954 $ 1,257,959 $ 1,584,246 $ 1,684,717 Maintenance and Operations 133,999 122,772 350,820 350,820 Fixed Assets 11,655 9,908 24,250 24,250 Subtotal Development Admin.$ 1,158,608 $ 1,390,639 $ 1,959,316 $ 2,059,787 Economic Development - 20370 Salaries and Benefits $ 266,162 $ 2 81,176 $ 232,400 $ 256,953 Maintenance and Operations 74,355 14 6,038 1,250 $ 1,250 Fixed Assets 5,319 - - - Subtotal Economic Development $ 345,836 $ 427,214 $ 233,650 $ 258,203 PLANNING - 18200 Planning - 20320 Salaries and Benefits $ 2,155,392 $ 2,320,335 $ 2,275,325 $ 2,598,349 Maintenance and Operations 330,898 249,256 280,590 269,490 Fixed Assets 21,362 429 - - Subtotal Planning $ 2,507,653 $ 2,570,021 $ 2,555,915 $ 2,867,839 Planning Commission - 20360 Maintenance and Operations 35,157 38,292 36,940 36,940 Subtotal Planning Commission $ 35,157 $ 38,292 $ 36,940 $ 36,940 Proposed Budget for Fiscal Year 2026-2027 186 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Local Action Early Plan (LEAP) - 20395 Maintenance and Operations 95,984 8,235 - - Subtotal Local Action Early Plan (LEAP)$ 95,984 $ 8,235 $ - $ - BUILDING SAFETY - 18300 Building Safety - 20410 Salaries and Benefits $ 2,944,186 $ 3,145,887 $ 3 ,177,007 $ 3,484,620 Maintenance and Operations 421,204 461,394 476,885 468,885 Fixed Assets 8,131 1,545 4,000 4,000 Subtotal Building Safety $ 3,373,522 $ 3,608,826 $ 3,657,892 $ 3,957,505 CODE ENFORCEMENT - 18400 Code Enforcement - 20350 Salaries and Benefits $ 1,799,082 $ 1,673,476 $ 1,937,218 $ 2,003,143 Maintenance and Operations 174,445 13 8,351 14 6,649 129,749 Fixed Assets 36,936 - - - Subtotal Code Enforcement $ 2,010,463 $ 1,811,828 $ 2,083,867 $ 2,132,892 HOUSING ADMINISTRATION - 11310 Public Service Programs - 20421 Salaries and Benefits $ 32,543 $ 28,686 $ - $ 30,000 Maintenance and Operations 120,808 115,714 121,575 102,147 Subtotal Public Service Programs $ 153,351 $ 144,400 $ 121,575 $ 132,147 CDBG Administration - 20427 Salaries and Benefits $ 8 8,158 $ 114,017 $ 70,373 $ 72,891 Maintenance and Operations 50,531 6 7,213 7 2,617 77,057 Fixed Assets - - - 26,250 Subtotal CDBG Administration $ 138,689 $ 181,230 $ 142,990 $ 176,198 CDBG Housing Rehab Admin. - 20455 Salaries and Benefits $ 41,255 $ 3 7,291 $ 42,433 $ - Maintenance and Operations - - 8 ,274 70,000 Subtotal CDBG Housing Rehab Admin.$ 41,255 $ 37,291 $ 50,707 $ 70,000 HOME - 11320 Single Family Housing Rehab. - 20422 Salaries and Benefits $ 14 ,759 $ 34,635 $ 3 7,838 $ 42,535 Maintenance and Operations 187,647 285,031 239,139 393,948 Subtotal Single Family Housing Rehab $ 202,406 $ 319,666 $ 276,977 $ 436,483 HOME Program - 20440 Salaries and Benefits $ 5 3,819 $ 18,015 $ 52,063 $ 11,437 Maintenance and Operations 1,557 19,136 40,454 26,295 187City of Costa Mesa, California econoMIc & developMent servIces departMent Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Subtotal HOME Program $ 55,375 $ 37,151 $ 92,517 $ 37,732 HOME Projects - 20445 Maintenance and Operations $ - $ - $ 75,262 $ 56,599 Subtotal HOME Projects $ - $ - $ 75,262 $ 56,599 HOME ARP - 20446 Salaries and Benefits $ - $ - $ 45,876 $ - Subtotal HOME Projects $ - $ - $ 45,876 $ - Tenant Based Rental Assistance - 20448 Maintenance and Operations $ 157,553 $ 190,480 $ 150,000 $ 200,000 Subtotal TBRA Projects $ 157,553 $ 190,480 $ 150,000 $ 200,000 CalHome - 20460 TOTAL ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT Salaries and Benefits $ 8 ,452,749 $ 8,915,953 $ 9,454,779 $ 10,184,644 Maintenance and Operations 2 ,113,323 2,253,568 2,000,455 2 ,183,180 Fixed Assets 83,403 11,882 28,250 54,500 TOTAL ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT $ 10,649,476 $ 11,181,403 $ 11,483,484 $ 12,422,324 Proposed Budget for Fiscal Year 2026-2027 188 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT BY ACCOUNT: ALL FUNDS Salaries and Benefits Regular Salaries - Non-Sworn $ 5 ,006,117 $ 5 ,318,139 $ 5,688,606 $ 6,266,833 Regular Salaries - Part-Time 234,313 188,390 3 02,217 206,786 Overtime 328,312 179,242 129,467 128,467 Accrual Payoff - Excess Max. 2 ,962 - 3,300 3,300 Vacation/Comp. Time Cash Out 23,542 4 4,121 12,500 12,500 Holiday Allowance 14 ,544 14,661 218 - Separation Pay-Off 74,861 53,398 2,500 2,500 Other Compensation 61,831 61,166 69,303 85,785 Cafeteria Plan 953,873 992,466 1,122,750 1,078,488 Medicare 87,555 89,621 86,410 107,983 Retirement 1,654,869 1,963,535 2,016,290 2 ,270,903 Executive Prof Development 5,706 6 ,132 14,200 14 ,200 Auto Allowance 4,265 5,080 6 ,900 6 ,900 Unemployment - - 20 - Workers’ Compensation - - 98 - Subtotal Salaries & Benefits $ 8,452,749 $ 8,915,953 $ 9,454,779 $ 10,184,644 Maintenance and Operations Stationery and Office $ 22,600 $ 17,586 $ 29,500 $ 18,500 Multi-Media, Promos, Subscrpt. 82,019 59,607 20,989 20,989 Small Tools and Equipment 29,868 19,068 6,032 3,091 Uniforms and Clothing 13,786 5,529 11,000 8,000 Safety and Health 1,304 1,299 600 600 Maintenance and Construction 710 499 - - Waste Disposal - 1,836 - - Janitorial and Housekeeping 9,437 12,000 - - Legal Advertising/Filing Fees 16,456 25,225 23,500 21,500 Advertising and Public Info. 4 ,414 2 ,411 2,000 8,500 Telephone/Radio/Communications 21,924 23,878 16,300 16,300 Business Meetings 3,801 5,640 5,200 4,700 Mileage Reimbursement 54 250 1,350 350 Dues and Memberships 16,567 17,774 16,385 16,085 Board Member Fees 33,200 34,400 33,600 33,600 Professional Development 24,042 24,252 51,041 25,955 Office Equipment 6,420 4,250 4,100 - Consulting 449,327 394,467 3 17,329 3 19,028 Legal 3,153 - 450 - Engineering and Architectural 340,989 388,520 3 97,348 397,348 Public Safety 789 755 - - External Rent 53,209 56,896 64,698 6 4,698 Grants, Loans and Subsidies 794,890 1,002,579 824,420 1,049,864 Internal Rent Central Services 8,646 6,835 18,736 18,736 Internal Rent Postage 40,813 19,523 27,339 26,797 Internal Rent - Maintenance 36,787 37,347 36,787 36,787 189City of Costa Mesa, California econoMIc & developMent servIces departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT BY ACCOUNT: ALL FUNDS Maintenance and Operations (Continued) Internal Rent - Repl Cost 18,160 17,600 18,160 18,160 Internal Rent - Fuel 18,216 11,800 11,800 11,800 Internal Rent Genl Liability 36,183 36,183 36,183 36,183 Internal Rent Workers’ Comp 19,529 19,529 19,529 19,530 Internal Rent Unemployment 6,031 6,031 6,031 6,031 Other Costs - - 48 48 Subtotal Maintenance & Operations $ 2,113,323 $ 2,253,568 $ 2,000,455 $ 2,183,180 Fixed Assets Office Equipment 4,515 - - - Other Equipment $ 78,889 $ 11,882 $ 28,250 $ 54,500 Subtotal Fixed Assets $ 83,403 $ 11,882 $ 28,250 $ 54,500 TOTAL ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT $ 10,649,476 $ 11,181,403 $ 11,483,484 $ 12,422,324 Proposed Budget for Fiscal Year 2026-2027 190 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENTBY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Regular Salaries - Non-Sworn $ 4 ,651,546 $ 5 ,054,418 $ 5,264,229 $ 5,979,846 Regular Salaries - Part-Time 183,143 14 4,597 192,469 109,332 Overtime 2 92,214 174,463 116,467 116,467 Accrual Payoff - Excess Max. 2 ,962 - 3,300 3,300 Vacation/Comp. Time Cash Out 23,542 4 4,121 12,500 12,500 Holiday Allowance 14,393 14 ,009 - - Separation Pay-Off 74,861 53,398 2,500 2,500 Other Compensation 59,348 59,072 67,182 73,926 Cafeteria Plan 899,481 957,188 1,020,384 1,020,384 Medicare 82,585 86,012 78,551 102,843 Retirement 1,547,077 1,816,595 1,828,117 2 ,156,646 Executive Prof Development 5,706 6 ,132 14,200 14 ,200 Auto Allowance 4,265 5,080 6 ,900 6 ,900 Subtotal Salaries & Benefits $ 7,841,123 $ 8,415,086 $ 8,606,799 $ 9,598,845 Maintenance and Operations Stationery and Office $ 22,600 $ 17,586 $ 24,500 $ 18,500 Multi-Media, Promos, Subscrpt. 82,019 59,607 20,989 20,989 Small Tools and Equipment 29,868 19,068 3,091 3,091 Uniforms and Clothing 13,786 5,529 11,000 8,000 Safety and Health 1,304 1,299 600 600 Maintenance and Construction 710 499 - - Waste Disposal - 1,836 - - Janitorial and Housekeeping 9,437 12,000 - - Legal Advertising/Filing Fees 16,456 25,225 21,500 21,500 Telephone/Radio/Communications 21,924 23,878 16,300 16,300 Business Meetings 3,801 5,640 4,700 4,700 Mileage Reimbursement 54 250 1,350 350 Dues and Memberships 7,700 9,971 12,385 10,385 Board Member Fees 33,200 34,400 33,600 33,600 Professional Development 24,042 23,453 43,455 23,455 Office Equipment 6,420 4,250 4,000 - Consulting 3 11,684 3 04,969 233,222 233,222 Engineering and Architectural 340,989 388,520 3 97,348 397,348 Public Safety 789 755 - - External Rent 53,209 56,896 64,698 6 4,698 Internal Rent Central Services 8,646 6,835 18,736 18,736 Internal Rent Postage 40,791 19,523 26,797 26,797 Internal Rent - Maintenance 36,200 36,200 36,200 36,200 Internal Rent - Repl Cost 17,600 17,600 17,600 17,600 Internal Rent - Fuel 18,216 11,800 11,800 11,800 Internal Rent Genl Liability 33,221 33,221 33,221 33,221 Internal Rent Workers’ Comp 18,056 18,056 18,056 18,056 Internal Rent Unemployment 5,538 5,538 5,538 5,538 Subtotal Maintenance & Operations $ 1,158,259 $ 1,144,404 $ 1,060,686 $ 1,024,686 Fixed Assets 191City of Costa Mesa, California econoMIc & developMent servIces departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ECONOMIC & DEVELOPMENT SERVICES DEPARTMENTBY ACCOUNT: GENERAL FUND ONLY Office Equipment $ 4 ,515 $ - $ - $ - Other Equipment 78,889 11,882 28,250 28,250 Subtotal Fixed Assets $ 83,403 $ 11,882 $ 28,250 $ 28,250 TOTAL ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT $ 9,082,786 $ 9,571,371 $ 9,695,735 $ 10,651,781 Proposed Budget for Fiscal Year 2026-2027 192 City of Costa Mesa, California Public Works Department Public Works Department Public Works Department Public Works Administration 1.0 FTE - Public Works Director 1.0 FTE - Executive Assistant 2.0 FTE - Senior Management Analyst Transportation Services 1.0 FTE - Transportation Services Manager 1.0 FTE - Senior Engineer 1.0 FTE - Assistant Engineer 1.0 FTE - Associate Engineer 2.0 FTE - Engineering Technician III 1.0 FTE - Active Transportation Coordinator 1.0 FTE - Part-Time Engineering 1.0 FTE - City Engineer 1.0 FTE - Assistant City Engineer 2.0 FTE - Administrative Assistant 2.0 FTE - Senior Engineer 2.0 FTE - Assistant Engineer 6.0 FTE - Associate Engineer 3.0 FTE - Construction Inspector 3.0 FTE - Engineering Tech III 1.0 FTE - Engineering Tech II 1.0 FTE - Office Specialist II 1.50 FTE - Part-Time General Services 1.0 FTE - Deputy Public Works Director 1.0 FTE - Assistant Engineer 1.0 FTE - Associate Engineer 2.0 FTE - Superintendent 2.0 FTE - Maintenance Supervisor 1.0 FTE - Senior Management Analyst (Solid Waste Coordinator) 1.0 FTE - Senior Engineer 1.0 FTE - Lead Equipment Mechanic 2.0 FTE - Equipment Mechanic III 2.0 FTE - Equipment Mechanic II 1.0 FTE- Equipment Mechanic I 2.0 FTE - Lead Facilities Maintenance Technician 2.0 FTE - Facilities Maintenance Technician 3.0 FTE - Maintenance Worker 1.0 FTE - Office Specialist 2.0 FTE - Storekeeper 0.75 FTE - Part-Time Maintenance Services 1.0 FTE - Maintenance Services Manager 1.0 FTE - Administrative Assistant 1.0 FTE - Maintenance Superintendent 3.0 FTE - Maintenance Supervisor 7.0 FTE - Lead Maintenance Worker 6.0 FTE - Senior Maintenance Worker 1.0 FTE - Maintenance Worker 1.0 FTE - Maintenance Assistant 2.75 FTE - Part-Time Proposed Budget for Fiscal Year 2026-2027 194 City of Costa Mesa, California The Public Works Department provides services related to engineering design, construction management, transportation, street, energy and sustainability, park and city facilities maintenance, water quality, waste management and recycling, street sweeping, and fleet management. The Department has 79 full-time staff members composed of five (5) management, four (4) clerical, and 70 professional/technical staff. Part-time staffing consists of six (6) full-time equivalents. The Department is organized in five divisions as follows: ■Public Works Administration ■General Services ■Engineering ■Transportation Services ■Maintenance Services Public Works Administration - 19100 Administration – 50001 Provides the overall coordination, direction, and oversight for all Department activities, which include five divisions, overseeing 25 municipal services functions. Administrative management includes development of the Department’s operational budget; personnel management; securing and implementing grant programs; evaluation and monitoring of current and pending legislation’s impact on Department programs and operations; overseeing short and long-range capital improvement planning and development; and accomplishing the Department’s strategic goals, operational goals and objectives within general policy guidelines. General Services – The General Services Division focuses on planning, designing, implementing and maintaining City facilities; fleet infrastructure procurement and maintenance, and providing commercial, multi-family, and construction and demolition waste collection and recycling services. Recycling – 20230 Implements and monitors the City’s compliance to solid waste and recycling mandates such as the Integrated Waste Management Act 1989 AB939, AB341 Mandatory Recycling for Commercial and Multi-family sectors, AB1826 Mandatory Commercial Organics Recycling, SB 1383 California’s Short-Lived Climate Pollutant Reduction Law, and the California Green Building Standards Code (CALGreen) waste diversion requirements for construction and demolition projects. Administers the non-exclusive Waste Hauling Franchise and Contractor Self-Haul Permit. Manages the City’s participation in State grant and recycling programs including the Used Oil Recycling Grant and Beverage Container Recycling Grant. Responsible for participation in and compliance with the California Department of Resources Recycling and Recovery (CalRecycle) jurisdiction reviews and submission of the Local Jurisdiction Electronic Annual Report (EAR) to CalRecycle. Facility Maintenance – 50910 Maintains, repairs, and rehabilitates 23 City-owned buildings, over 314,606 Sq. Ft including those leased from and to outside agencies. Administers and supervises contract services required for maintaining all City facilities. Equipment Maintenance – 50920 Manages procurement of vehicles and equipment. Maintains and repairs the City’s fleet of over 350 vehicles including fire apparatus, police vehicles and motorcycles, maintenance trucks, general use vehicles, emergency back-up generators, trailers and other miscellaneous equipment. Monitors and ensures that all the City’s fuel sites, fuel storage tanks and hazardous material storage areas are compliant with all County regulations. 195City of Costa Mesa, California puBlIc Works departMent Warehouse – 50925 Orders, stocks and maintains an inventory of essential goods and materials for the City. Delivers requisitions of goods to all City facilities and departments. Receives shipments/orders. Maintains City surplus property transfers and schedule pick up of items resalable for auction, electronic e-waste, scrap metal recycles, tire disposal and processes recyclable items. Performs end-of-month reconciliations and processes. Engineering – 19200 The Engineering Division is responsible for the design and construction of the City’s Capital Improvement Program and public works infrastructure. The Division is also responsible for the procurement of real property and public rights-of-way, design and development of all parks and open space facilities, administration of water quality regulations, engineering design, construction and project management, inspection of public works improvements and facilities, consultant management, development review and processing, encroachment permitting, and utility coordination. The Engineering Division is organized into eight (8) sections. Water Quality – 20510 Implements and monitors the City’s compliance with the National Pollutant Discharge Elimination System (NPDES). Coordinates and implements the Santa Ana Regional Water Quality Board (Regional Water Board) directives for compliance with the Federal Clean Water Act and California’s Porter-Cologne Water Quality Control Act, as it relates to City draining into the Santa Ana River and the Newport Bay. Performs inspections related to commercial / industrial sites as well as construction sites. Conducts illicit discharge and illicit connection enforcement. Prepares the City’s Annual Program Effectiveness Assessment (PEA) and coordinates compliance with Newport Bay Total Maximum Daily Load (TMDL) regulations. Also administers activities related to the Municipal Separate Storm Sewer System (MS4) permit as regulated by the Regional Water Board. Street Improvements – 30112 Designs plans and specifications for the construction and maintenance of City Capital Street Improvement Projects. Administers the Pavement Management Program (PMP). Manages design consultant contracts. Reviews and approves engineering submittals, including improvement plans, material reports, utility work, engineering estimates, and Americans with Disabilities Act (ADA) accessibility. Performs construction and project management, as well as inspections during construction. Secures Federal, State, and local competitive grant funding for street improvement projects. Storm Drain Improvements – 30122 Designs and manages the construction and maintenance of the City’s Storm Drain System (approximately 64.7 miles of storm drain), as it relates to the implementation of the Storm Drain System Master Plan (SDSMP). Curb & Sidewalks – 30130 Establishes the parkway maintenance program to remove and replace damaged curbs and gutters, driveways, sidewalks, curb ramps, and cross-gutters throughout the City. Development – 30310 Conducts development review of private development submittals and permitting work in the public rights-of-way. Identifies development conditions for Planning Commission hearings and in-house development reviews. Administers Subdivision Map Act requirements. Provides staff support to the Planning Commission. Real Property – 30320 Responsible for land acquisition, vacation, easements, and abandonment of rights-of-way. Conducts acquisition negotiations and manages agreements. Responsible for preparing real property documents and administering consultant services related to the acquisition and relinquishment of real property. Reviews requests and administers street dedications and easement vacations / abandonments. Performs recordation of documents at the County Clerk-Recorder’s Office. Proposed Budget for Fiscal Year 2026-2027 196 City of Costa Mesa, California Park Development – 40112 Acquires, develops, and renovates park infrastructure. Manages the design and construction of new park projects and renovation of existing park facilities, including equipment and structures. Responsible for master planning new park and open space areas and managing compliance of Capital Improvement Projects within the Master Plan of Parks and Recreation. Secures park and open space competitive grant funding. Construction Management – 50002 Administers construction projects and construction management contracts. Manages and inspects construction activities and projects in the public rights-of-way, including inspections, for City-owned buildings and properties, and public facilities. Oversees the construction and implementation of the City’s Capital Improvement Program (CIP). Administers compliance with Federal and state labor laws, including Prevailing Wage regulations, Disadvantaged Business Participation, Equal Opportunity Employment practices, and Public Contract Laws. Transportation Services – 19300 The Transportation Services Division is responsible for the operation and maintenance of the traffic operations infrastructure including, but not limited to: traffic signals, closed circuit television cameras, Traffic Management Center (TMC), speed feedback signs, and emergency vehicle preemption system. The Transportation Services Division responsibilities include the implementation of the General Plan Circulation Element, the Active Transportation Plan, the Pedestrian Master Plan, the Local Road Safety Plan, and multi-modal transportation planning and design activities within the City. Administers programs and projects to promote safe and efficient movement of people and goods throughout the City. Manages the private contract for school crossing guards, in order to enhance the safety of elementary school students walking to and from school. The Transportation Division is organized into four sections. Traffic Planning – 30210 Responsible for the implementation of the Circulation Element of the City’s General Plan. Studies and implements short- and long-range transportation improvements in the Local Road Safety Plan and in accordance with the General Plan. Manages the City’s transportation model and residential parking permit program, including special event parking permits such as during the OC Fair. Reviews and monitors development projects. Administers the City’s Traffic Impact Fee Program. Coordinates with other agencies on transportation related activities and manages the City’s school crossing guard and bus shelter contracts. Traffic Operations – 30241 Maintains, operates, and updates traffic signals, traffic control devices, and street lights in the City. Manages the City’s overall traffic flow/movement through Intelligent Transportation S ystems (ITS) elements including signal coordination, closed circuit television cameras (CCTV), video detection for all users, and a centralized Traffic Management Center (TMC). Designs and implements multi-modal traffic operations improvements such as radar speed feedback signs, emergency vehicle preemption devices, traffic signal timing, and enhanced pedestrian crossing improvements. Active Transportation Program – 30225 Responsible for the implementation of the City’s Active Transportation Plan component of the City’s Circulation Element and the Pedestrian Master Plan. Proactively address bikeway and pedestrian concerns, bicycle/pedestrian network connectivity and infrastructure maintenance requests. Plan, design, and construct bicycle and pedestrian facility improvements, installation of new bicycle racks, and complete street solutions, where applicable. Deliver education and outreach campaigns focused on bicycle skills and safe travel behaviors. Residential Permit Parking – 30244 Administers the revised Residential Permit Parking program with updated program policies, implements integration of new parking technologies, and manages public outreach and education campaigns. Manages the evaluation of new residential permit parking requests and processing of permit requests. 197City of Costa Mesa, California puBlIc Works departMent Maintenance Services – 19500 The Maintenance Services Division is responsible for the care, maintenance, repair, and alteration of the City’s municipal facilities. This also includes the maintenance of parks and parkways, trees, traffic signs and markings, street sweeping, storm water systems, graffiti abatement and roadways. The Maintenance Services Division is structured in eight programs listed below: Maintenance Services Administration – 50001 Provides overall direction, coordination, and support to the maintenance sections operational and administrative activities and functions. Provides staff support to the Parks, Arts and Community Services Commission. Fairview Park – 20115 Administers design and construction of Capital Improvement Program (CIP) projects aimed at implementing the Fairview Park Master Plan. Coordinates construction activities and projects with the Fairview Park Administrator and regulatory agencies. Street Cleaning – 20120 Sweeps and cleans approximately 850 miles of residential, commercial and arterial roadway lanes in the City. Graffiti Abatement – 20130 Removes graffiti from the public right-of-way, public parks, City-owned facilities, and on private structures where graffiti is visible from the public right-of-way. Pressure washes city playgrounds, bus stops, sidewalks and city facilities. Street Maintenance – 30111 Maintains approximately 525 lane miles of streets, 15 miles of City alleys, and miscellaneous easements. Storm Drain Maintenance – 30121 Maintains the City’s storm drain system and 1,165 catch basins. Signs And Markings – 30243 Installs and maintains all street and traffic signage and pavement markings in the City. Park, Parkway And Median Maintenance – 40111 Maintains the City’s 31 parks, including one dog park and one skate park that are located within TeWinkle Park, two sports complexes (Jack Hammett and TeWinkle Athletic Complex), two sports fields (Luke Davis - combo baseball/softball/soccer and Balearic Soccer), approximately 14 acres of landscape medians, and 23,776 trees. Administers the City’s landscape maintenance and tree maintenance contracts. Proposed Budget for Fiscal Year 2026-2027 198 City of Costa Mesa, California Fiscal Year 2025-2026 Accomplishments Public Works Administration & General Services Division: ■Created a webpage that provides a timeline and status of all CIP-related projects semi-annually to the public, including grant funded projects with deadlines. ■Successfully executed amendment No. 1 to the franchise waste hauler agreements. ■Continued to implement SB1383 requirements including citywide organics program roll-out, procurement/ purchasing requirements, edible food program, education/ outreach, inspection & monitoring among others. Identify tools and resources to comply with the State mandate. ■Transitioned contractor Self-Haul Permits to TESSA. ■Established new contract for waste disposal services at City Facilities. ■Transitioned public right-of-way dumpster permits to TESSA. ■Distributed 520 bags of compost during the annual Earth Day event. ■Processed 938 Construction & Demolition inspections and 255 Contractor Self-Haul Permit Applications. ■Substantial completion of design for Fire Station # 2. ■Substantial completion of Fire Station # 4 Training Tower and Facility Improvement construction. ■Substantial completion of Lions Park Café construction. ■Successfully completed and remodeled a few of the buildings for the Snoopy Holiday event at City Hall. ■Treated the Balearic Community Center for termites. ■Tented the Adobe (Diego) House for termites. ■Installed new commercial toilets at the Costa Mesa Bridge Shelter. ■Replaced fire sprinkler heads at the Costa Mesa Bridge Shelter and the PD Warehouse. ■Replaced and upgraded lights and ceiling tiles in the Information Technology Computer Operations area. ■Completed window cleaning at various City facilities. ■Replaced and upgraded the roof access at the Costa Mesa Bridge Shelter. ■Building Maintenance added 2 new staff, 1 full-time and 1 part-time employees. ■Installed EV chargers for various City facilities. ■Installed downpour for the Police Department warehouse. ■Procured vehicles as authorized in the Fiscal Year 2025-2026 budget. ■Identified vehicles and equipment that are past their recommended service life and developed a plan to modernize the City’s fleet. ■Fleet Services awarded City Partner of the Year award from the Costa Mesa Fire Department. ■Mechanics attended BMW motorcycle training to support specialized fleet maintenance. ■Warehouse staff updated and standardized the supply catalog for Citywide use. ■Fuel operations for the city were successfully transitioned to the Warehouse. ■Completed design of Communications tenant improvement plans. ■Completed flooring, interior paint and tenant improvements at the Police Department. ■Finalized a comprehensive facility condition assessment for all City facilities. ■Relocated Police Department evidence and storage to 3175 Airway facility. Engineering Division: ■Annual Citywide Parkway, Street Rehabilitation, and Slurry Seal Project - Completed design and construction of several pavement rehabilitation projects to maintain high Pavement Condition Index (PCI). ■Completed citywide sidewalk improvements, including sidewalk rehabilitation at the City’s parks. ■Completed parking lot improvements and expansion at the Police Department parking lot. ■Completed retaining wall construction along South Coast Drive. 199City of Costa Mesa, California puBlIc Works departMent ■Completed Freeway Maintenance Agreements with Caltrans for the I-405 freeway widening and secured a Memorandum of Understanding (MOU) to receive nearly $2 million in funding from OCTA / Caltrans to improve affected City streets near the I-405. ■Completed construction and installation of the Greenville-Banning Channel Hydrodynamic Separator project. ■Construction completed for the City Hall basement training room and offices. ■Design completed for the Rule 20A and Rule 20B utility undergrounding project along Adams Avenue between Mesa Verde Drive and Albatross Drive / Shantar Drive. ■Design completed for Costa Mesa skate park expansion and construction to begin in 2026. ■Design completed for Shalimar Park improvements and construction to begin in 2026. ■Design completed for Ketchum-Libolt Park improvements and construction began in late 2025. ■Design completed and construction started in 2025 for the TeWinkle Park Lakes rehabilitation and improvement project. ■Completed the Drainage Fee Study for the Storm Drain System Master Plan with Council approval scheduled in 2026. Transportation Services Division: ■Started design for Fairview Road Mobility Improvements (Fair Drive to Adams Avenue). ■Completed design and began construction of Adams Avenue Bicycle Facility (Harbor Boulevard to Fairview Road). ■Completed substantial construction of Fairview Road Active Transportation Improvements (Fair Drive to Newport Boulevard). ■Completed remaining installation of Class IV cycle track on Placentia Avenue from Estancia High School to West 19th Street. ■Completed Bicycle Safety Education Program workshops, bike rodeos, and trainings. ■Delivered first year of Let’s Go Costa Mesa On-demand Ride Share Service and utilized additional grant funding to secure 4th fleet vehicle. ■Installed 14 bike racks at City facilities and in commercial corridors. ■Organized Walk to School and Bike to School events in October and May, respectively, with 14 participating schools. ■Secured grants for Fair Drive for All Project (Newport Boulevard to Harbor Boulevard) and Adams Multipurpose Project (Royal Palm Drive to Santa Ana River). ■Started the Safe Routes to School Action Plan study including 3 workshops and walk audits at all participating schools. ■Issued over 1,700 annual permits and managed over 4,600 permits for OC Fair Temporary Parking. ■Addressed nearly 200 citizen request items related to traffic and parking concerns. ■Provided traffic signal and electrical maintenance to 131 traffic signals. Maintenance Services Division : ■Provided landscape maintenance of 463 acres of City parks, fields, parkways, and medians. ■Managed approximately 24,000 City-owned trees. ■Renovated 30 acres of sports fields and turf areas. ■Completed a Citywide Tree Canopy Assessment. ■Completed a Citywide Park and Playground Assessment. ■Hosted the City’s annual Arbor Day Tree Planting Event planting 60 trees citywide.. ■Planted 270 trees. ■Completed the renovation of Brentwood Park including the replacement of the playground equipment, picnic shelter and lighting. ■Completed infield renovations at Davis Field. ■Abated graffiti within 24 hours of notification or discovery. Proposed Budget for Fiscal Year 2026-2027 200 City of Costa Mesa, California ■Responded to 6,933 calls for service related to graffiti removal. ■Repaired potholes within 24 hours of notification or discovery. ■Removed 7,324 bulky items from the City’s right-of-ways, including furniture, shopping carts, appliances and over 679 mattresses were retrieved and recycled. ■Cleaned and maintained 1,100 catch basins and drainage facilities. 201City of Costa Mesa, California puBlIc Works departMent Fiscal Year 2026-2027 Goals General Services Division: ■Follow through the implementation of SB1383 requirements including citywide organics program roll-out, procurement/ purchasing requirements, edible food program, education/outreach, inspection & monitoring among others. Identify tools and resources to comply with the State mandate. ■Establish citywide community compost program to aid in SB 1383 procurement compliance. ■Establish new solid waste service agreements for Bulky Item collection. ■Execute new County proposed Waste Infrastructure System Enterprise (WISE) agreements with franchise haulers. ■In collaboration with Finance Department, implement SB 1383 compliant Environmentally Preferable Purchasing Policy (EPP). ■Proceed with roll-out of organics and mixed recycling at additional city facilities. ■Update dumpster enclosure standards in conjunction with other internal departments. ■Secure grant funding from CalRecycle to support the City’s effort to implement SB1383 and Beverage Container Recycling. ■Complete Norma Hertzog Community Center Roof Replacement. ■Install Fire Station 3 Above Ground Fuel Storage Tank. ■Complete City Hall Chiller and Generator Replacement. ■Procure vehicles as authorized in the Fiscal Year 2026-2027 budget. ■Evaluate Fleet Services shop’s needs, improvements, and upgrades. ■Upgrade and improve AssetWorks program for fuel monitoring and billing. ■Repair the Police Department Roof and resolve the short-circuiting issue due to leaks. ■Replace the gutters and downspout at the Downtown Recreation Center. ■Upgrade the current master key system at City Hall. ■Replace the current Exhaust Fans for the Restrooms at City Hall. Engineering Division: ■Continue implementation of the Citywide Parkway, Street Rehabilitation,and Slurry Seal Improvements Project – Design and construction to maintain the City’s high PCI. ■Complete the next construction phase of the Citywide Alley improvement project. ■Move forward with the Citywide Priority Sidewalk Repair, Missing Sidewalk Links, and Parkway and Medians Improvement projects. ■Continue implementing the Community Workforce Agreement (CWA) provisions on select projects. ■Begin construction of the Newport Boulevard improvements from Bristol Street to 19th Street. ■Begin Rule 20A and 20B construction of Southern California Edison’s (SCE’s) utility undergrounding along Adams Avenue between Mesa Verde Drive to Albatross Drive / Shantar Drive. ■Begin and complete construction of the Costa Mesa Skate Park expansion project. ■Begin and complete construction improvements for the following parks: ●Shalimar Park ●Ketchum-Libolt Park ■Complete construction for the TeWinkle Park Lakes Repair and Rehabilitation Project. ■Begin construction of the Fairview Park Bluff Stabilization and Restoration project. ■Complete the design for the Fairview Park Wetlands Restoration project. ■Approve the Fee Study and implement the Storm Drain Master Plan Update. ■Continue with the review and issuance of encroachment permits. ■Continue with development reviews and issuance of conditions. ■Continue with right-of-way reviews, easements, and vacations. Proposed Budget for Fiscal Year 2026-2027 202 City of Costa Mesa, California Transportation Services Division: ■Continue operations and maintenance of signal timing improvements of multi-modal traffic signal synchronization projects along Baker Street, Placentia Avenue, Victoria Street, and West 19th Street. ■Advance design of multi-modal traffic signal synchronization project along Bristol S treet in collaboration with City of Santa Ana (project lead) and City of Newport Beach. ■Complete new traffic signal at the intersection of Fairview Road and Belfast Avenue. ■Complete construction of the Signal Modernization for Systemic Safety Improvements at 128 traffic signals citywide. ■Continue operating the Let’s Go Costa Mesa program serving mobility needs in southern portion of City. ■Initiate design of mobility and safety improvements for the Fair Drive for All Project between Harbor Boulevard and Newport Boulevard. ■Initiate design of mobility and safety improvements along Junipero Drive between Presidio Drive and Arlington Drive. ■Complete design of the Adams Avenue Active Transportation Improvements Multipurpose Trails project between the Santa Ana River to Royal Palm Drive. ■Advance construction of parking and mobility improvements on College Avenue between Victoria Street and Wilson Street. ■Advance towards construction of pedestrian and bicycle improvements at the Placentia Avenue at Center Street Intersection. ■Complete construction of Fairview Road Active Transportation Improvements between Adams Avenue to Fair Drive project. ■Complete construction of mobility and safety improvements along Adams Avenue between Harbor Boulevard and Fairview Road. ■Continue installation of bicycle racks at City facilities and in commercial corridors. ■Complete a comprehensive update of the City’s Traffic Impact Fee program in collaboration with the City’s Traffic Impact Fee Ad Hoc Committee. ■Complete Safe Routes to School (SRTS) Action Plan with Safe Streets and Roads for All (SS4A) grant funding. ■Initiate update to Local Road Safety Plan (LRSP) to maintain grant funding eligibility. ■Initiate the Pedestrian Safety Festival project funded by the USDOT Safe Roads and Streets for All (SS4A) grant. Maintenance Services Division: ■Provide landscape maintenance of 463 acres of City parks, fields, parkways, and medians. ■Manage approximately 24,000 City-owned trees; and continue to be designated as ‘Tree City USA”. ■Complete the annual trimming of 2,200 palms and 3,000 - 4,000 trees. ■Plant 200 - 300 new and replacement trees. ■Implement a tree planting and maintenance strategy based on recommendations from the completed City-wide tree canopy assessment. ■Host the City’s annual Arbor Day Tree Planting Event. ■Resurface sports courts at various parks. ■Replace fading City Street name signs (20% of the City). ■Inspect 20% of City maintained sidewalks. ■Replace damaged lighting on the Harbor Portion of the Joann Bike Trial and Cornerstone Bike Trail with new solar powered LED lighting. ■Renovate 30 acres of sports field infield and turf area. ■Abate graffiti within 24 hours of notification or discovery. ■Repair potholes within 24 hours of notification or discovery. ■Complete 70,000 feet of residential red curb painting. ■Re-stripe crosswalks at all schools. ■Continue the installation of bicycle racks at City facilities and in commercial corridors. 203City of Costa Mesa, California puBlIc Works departMent Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 1 Maintain a webpage that provides a timeline and status of all CIP-related projects to the public, including grant funded projects with deadlines.;TRUE 2 Provide proactive communication internally and to the public to improve response times for all calls, emails, and inquiries.;TRUE 3 Provide an update to the City Manager on SB 1383 compliance ;TRUE 4 Renew agreement to provide Bulky Item collection citywide ;TRUE 5 Execute County Waste Infrastructure System Enhancements agreement ;TRUE 6 Citywide Street Improvements - Strive to consistently maintain and upgrade the City’s street infrastructure in order to maintain or improve a PCI of 85.;TRUE 7 Implement the City’s Community Workforce Agreement (CWA) for select projects.;TRUE ;TRUE 8 Citywide Storm Drain System / Master Plan - Complete the Storm drain master plan, fund for future improvements, update the fee structure, and upgrade the City’s storm drain system.;TRUE 9 Maintain consultant services to meet National Pollutant Discharge Elimination System (NPDES) requirements.;TRUE 10 Priority Sidewalks - Work towards the goal of repairing all of the City’s damaged sidewalks, curbs, and gutters ;TRUE 11 Complete new missing sidewalks and complete networks for safe pedestrian travel.;TRUE 12 Citywide Alleys - Complete the repair and reconstruction of all the City’s public alleys ;TRUE 13 Complete design, bid opening, and select contractor to begin construction for the Newport Blvd. (Bristol St. to 19th St.) Rehabilitation and Active Transportation Project.;TRUE 14 Coordinate design with SCE to begin construction of Adams Avenue Utility Undergrounding.;TRUE 15 Ketchum-Libolt Park – Finish construction for park expansion.;TRUE 16 Shalimar Park – Finish construction for park expansion.;TRUE 17 TeWinkle Park– Finish construction for lake repairs and construction.;TRUE 18 Costa Mesa Skate Park – Begin and finish construction of the skate park.;TRUE 19 Begin construction of the Fairview Park Bluff Stabilization Restoration Project.;TRUE ;TRUE 20 Complete design for the Fairview Park Wetlands Restoration Project.;TRUE ;TRUE 21 Brentwood Park Improvements – Finish installation of the new playground equipment and walkways.;TRUE Goals and Objectives The goals and objectives of the Public Works Department were developed in alignment with the City Council’s priorities. Proposed Budget for Fiscal Year 2026-2027 204 City of Costa Mesa, California Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES Quality Recruitment Fiscally Sustainable Safe Community Environmental Sustainability Housing Commitments GOALS AND OBJECTIVES 22 Begin update to the City’s Local Road Safety Plan.;TRUE 23 Complete the Safe Routes to School Action Plan.;TRUE 24 Work towards vehicle miles traveled (VMT) reduction and mode shift in the City.;TRUE ;TRUE 25 Works towards a 10/15 minute walkable city.;TRUE ;TRUE 26 Complete design of the Adams Avenue Active Transportation Improvements - Multipurpose Trails project.;TRUE ;TRUE 27 Complete design of the Fairview Road (Adams Ave. to Fair Dr.) Active Transportation Improvements Project ;TRUE ;TRUE 28 Begin design of the Fair Drive for All Project (Harbor Blvd. to Newport Blvd.);TRUE ;TRUE 29 Begin design of Junipero Drive (Arlington Dr. to Presidio Dr.);TRUE ;TRUE 30 Complete design of the Adams Avenue Mobility Improvements (Santa Ana River to Royal Palm Drive).;TRUE ;TRUE 31 Complete design of the Placentia Ave./Center St. Intersection Improvements.;TRUE 32 Begin construction of the Fairview Rd./Belfast Ave. Traffic Signal.;TRUE 33 Complete construction of Adams Avenue Bicycle Facility Project (Harbor Blvd. to Fairview Rd.).;TRUE ;TRUE 34 Complete construction of Fairview Road (Fair Dr. to Newport Blvd.) Active Transportation Project.;TRUE ;TRUE 35 Begin construction of the Signal Modernization for Systemic Safety Improvements project ;TRUE 36 Implement the Facility Needs and Assessment Study for approximately 20 City-owned facilities.;TRUE 37 Begin Public Safety Emergency Communications Center tenant improvements ;TRUE ;TRUE 38 Fire Station 4 – begin exploring bond funding Phase 2 tenant improvements to living quarters ;TRUE ;TRUE 39 Fire Station 2 – Begin reconstruction efforts by exploring bond funding and begin design and permits.;TRUE ;TRUE 40 Completion of James Street rental units improvements ;TRUE 41 Norma Hertzog Community Center Roof Replacement ;TRUE 42 Fire Station 3 Above Ground Fuel Storage Tank ;TRUE 43 Coomplete City Hall Chiller Replacement ;TRUE ;TRUE 44 Complete City Hall Generator Replacement ;TRUE ;TRUE 45 Conduct ongoing communication and facility management with the Golf Course operator.;TRUE 46 Enhance the City’s Parkway Tree Planting Program to ensure a vibrant tree canopy cover throughout the City and map the City’s Urban Forest.;TRUE 47 Implement tree planting & maintenance based on recommendations from the Tree Canopy Assessment.;TRUE 48 Conduct a sidewalk and bus shelter assessment to complement the Facility and Parks needs assessments.;TRUE 49 Explore additional opportunities for replacing the City’s fleet with alternative energy and electric vehicles.;TRUE 205City of Costa Mesa, California puBlIc Works departMent Performance Measures/Workload Indicators: Workload Indicators FY 23-24 FY 24-25 FY 25-26 FY 26 -27 Actuals Actual Estimated Estimated CAPITAL IMPROVEMENT PROJECTS Number of budgeted Capital Improvement Projects 51 47 23 35 Number of completed or active Capital Improvement Projects 81 108 72 96 MAINTENANCE: BUILDING & EQUIPMENT Number of facility rehabilitation projects completed 14 12 12 4 Number of facility work requests 1,450 2,000 1442 1430 Number of pieces of equipment maintained 383 383 383 360 MAINTENANCE: PARKS & LANDSCAPE Number of trees planted 350 300 350 300 Acres of City parks and fields maintained 463 463 463 463 MAINTENANCE: STREETS Number of calls for service for graffiti 6,740 6,700 6700 6700 Numbers of bulky items removed from City right-of-way 6,000 7,500 7,000 7,000 Tons of asphalt applied annually by City forces 250 250 250 250 Number of lineal feet of red curb repainted 244,995 290,00 300,000 270,000 Number of crosswalks repainted/reapplied 25 25 30 40 Number of linear feet of lanes repainted 952,072 995,000 995,000 960,000 Number of linear feet of roadway rehabilitated 74,845 77,000 80,000 80,000 Number of traffic and street signs maintained 754*750 800 800 Number of traffic signals maintained 131 131 131 131 Number of Radar Speed Signs, Rapid Flashing/HAWK Beacons maintained 62 68 69 72 TRANSPORTATION SERVICES Number of schools participating in Walk to School / Bike to School events 13 13 13 14 Linear feet of new and improved bicycle facilities 64,000 80,000 20,000 34,000 Number of traffic control plans reviewed 641 750 750 750 Number of completed resident requests related to transportation 146 150 175 175 WASTE Tons of organic waste diversion (City & CMSD customers)11,470 12,223 14,700 15,000 Tons of debris removed and diverted from the waterways 1,600 1,600 1,600 1,600 ENGINEERING SERVICES Number of planning development reviews conducted 1,900 2,000 2,100 2,200 Number of building plan checks processed 190 200 215 250 Number of encroachments permits processed 900 950 1025 1200 *Increase due to funding being restored. Proposed Budget for Fiscal Year 2026-2027 206 City of Costa Mesa, California Performance Measures FY 23-24 FY 24-25 FY 25-26 FY 26 -27 Actual Actual Estimated Estimated Percent of budgeted building maintenance projects completed 95%95%95%95% Pavement Condition Index (PCI) for street network 85 85 85 85 Number of trees grid trimmed 992 1378 2000 2000 Percent of Citywide sidewalk conditions assessed (5 Year Plan)N/A 20%20%20% Percent of traffic control plans review on time N/A 95%*95%95% Percent of planning development reviews conducted on time N/A 95%*95%95% Percent of building plan checks processed on time N/A 95%*95%95% Percent of encroachment permits processed on time N/A 95%*95%95% *New goals not previously tracked in the Totally Electronic Self-Service Application (TESSA). Customer Service Goal Goal Average response time to customers within 48 hours 95% 207City of Costa Mesa, California puBlIc Works departMent Budget Narrative The Fiscal Year 2026-27 budget for the Public Works Department is $33.4 million, an increase of $2.2 million, or 7 percent compared to the adopted budget for Fiscal Year 2025-26. An attrition factor of $327,300 was applied in Fiscal Year 2024–25, this amount was recalculated and transferred to the Non-Departmental budget beginning in Fiscal Year 2026–27. The department’s budget also includes several notable expenditure reallocations intended to more accurately align expenditure with revenue sources. The Gas Tax Fund will provide $350,000 to support tree trimming services along medians and public right of ways. In addition, the Measure M2 Fairshare Fund (Fund 416) will offset a portion of the City’s traffic signal maintenance costs in the amount of $220,000. Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PUBLIC WORKS DEPARTMENT BY FUNDING SOURCE General Fund - 101 $ 2 3,101,963 $ 22,814,083 $ 22,553,603 $ 22,845,065 Disaster Fund - 150 - 5 3,413 - - Gas Tax Fund - 201 722,852 2,560,339 2,439,323 2,858,513 Air Quality Improvement Fund - 203 7 16 741 16,000 16,000 Drainage Fees Fund - 209 5,237 - 102,340 168,339 Grants - State - 231 106,836 7,782 - - Capital Improvements Fund - 401 58,256 2,959 50,000 1,128,352 Golf Course Improvement Fund - 413 187,575 49,870 50,000 50,000 Measure “M2” Fairshare - 416 - - - 220,000 Equipment Replacement Fund - 601 4,959,214 4,971,441 5 ,953,599 6,090,648 Total Public Works Department $ 2 9,142,649 $ 30,460,629 $ 3 1,164,865 $ 33,376,918 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PULIC WORKS DEPARTMENT BY PROGRAM ADMINISTRATION - 19100 Administration - 50001 Salaries and Benefits $ 885,384 $ 979,166 $ 1,150,692 $ 1,000,030 Maintenance and Operations 1,095,630 1,062,815 1,028,086 1,027,586 Subtotal Administration $ 1,981,014 $ 2,041,981 $ 2,178,778 $ 2,027,616 Recycling - 20230 Salaries and Benefits $ 62,015 $ 163,852 $ - $ 186,569 Maintenance and Operations $ 373,126.98 $ 3 00,713 $ 2 97,800 2 97,800 Subtotal Recycling $ 435,142 $ 464,565 $ 2 97,800 $ 484,369 Emergency Services - 51040 Maintenance and Operations 1,000 - - - Subtotal Emergency Services $ 1,000 $ - $ - $ - ENGINEERING - 19200 Administration - 50001 Salaries and Benefits $ 18,197 $ 11,097 $ - $ - Subtotal Administration $ 18,197 $ 11,097 $ - $ - Proposed Budget for Fiscal Year 2026-2027 208 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget ENGINEERING - 19200 (Continued) Water Quality - 20510 Salaries and Benefits $ 96,817 $ 9 7,168 $ 103,490 $ 113,555 Maintenance and Operations 219,042 278,112 547,400 426,800 Subtotal Water Quality $ 315,860 $ 375,280 $ 650,890 $ 540,355 Street Improvements - 30112 Salaries and Benefits $ 617,343 $ 1,048,811 $ 1,681,616 $ 1,276,154 Maintenance and Operations 19,381 24,001 2 0,100 19,400 Fixed Assets 900 600 900 900 Subtotal Street Improvements $ 637,623 $ 1,073,412 $ 1,702,616 $ 1,296,454 Storm Drain Improvements - 30122 Salaries and Benefits $ 13 2,418 $ 224,490 $ 186,310 $ 2 19,839 Maintenance and Operations 354 936 3,200 3,200 Fixed Assets 1,000 - 1,000 1,000 Subtotal Storm Drain Improvements $ 13 3,772 $ 225,426 $ 190,510 $ 224,039 Public Works - Development - 30310 Salaries and Benefits $ 545,542 $ 691,340 $ 628,081 $ 885,255 Maintenance and Operations 12,445 42,993 800 800 Subtotal Public Works - Development $ 557,987 $ 734,334 $ 628,881 $ 886,055 Public Works - Real Property - 30320 Salaries and Benefits $ - $ - $ 1,000 $ 1,000 Maintenance and Operations 483 579 700 150 Subtotal Public Works - Real Property $ 483 $ 579 $ 1,700 $ 1,150 Park Development - 40112 Salaries and Benefits $ 13 6,460 $ 154,251 $ 1,140 $ 236,727 Maintenance and Operations 188,947 5 1,374 51,700 51,015 Subtotal Park Development $ 325,407 $ 205,625 $ 52,840 $ 2 87,742 Construction Management - 50002 Salaries and Benefits $ 1,584,609 $ 1,963,609 $ 1,945,206 $ 2,613,936 Maintenance and Operations 21,007 21,070 89,000 88,035 Fixed Assets 1,000 780 1,000 1,000 Subtotal Construction Management $ 1,606,616 $ 1,985,459 $ 2,035,206 $ 2,702,971 TRANSPORTATION SERVICES - 19300 Traffic Planning - 30210 Salaries and Benefits $ 5 23,153 $ 4 63,816 $ 480,403 $ 654,064 Maintenance and Operations 80,958 53,672 61,850 61,850 Subtotal Traffic Planning $ 604,111 $ 517,487 $ 542,253 $ 715,914 209City of Costa Mesa, California puBlIc Works departMent Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget Active Transportation Improvement - 30225 Salaries and Benefits $ 4 27,905 $ 4 08,079 $ 4 63,067 $ 443,892 Maintenance and Operations 31,400 29,870 41,900 41,900 Subtotal Active Transportation Imp.$ 459,305 $ 437,949 $ 504,967 $ 485,792 Traffic Operations - 30241 Salaries and Benefits $ 365,227 $ 310,700 $ 356,878 $ 471,195 Maintenance and Operations 2,345,187 2,457,603 1,963,769 1,963,769 Subtotal Traffic Operations $ 2,710,415 $ 2,768,303 $ 2,320,647 $ 2,434,964 Residential Permit Parking - 30244 Maintenance and Operations 56,731 - 50,000 50,000 Subtotal Residential Permit Parking $ 56,731 $ - $ 50,000 $ 50,000 MAINTENANCE SERVICES - 19500 Administration - 50001 Salaries and Benefits $ 530,057 $ 721,400 $ 417,939 $ 799,682 Maintenance and Operations 18,789 4,762 5,400 5,400 Subtotal Administration $ 548,846 $ 726,162 $ 423,339 $ 805,082 Fairview Park - 20115 Salaries and Benefits $ 15,868 $ 2,789 $ - $ - Maintenance and Operations - 4,808 8,000 8,000 Subtotal Fairview Park $ 15,868 $ 7,597 $ 8,000 $ 8,000 Street Cleaning - 20120 Salaries and Benefits $ 82,406 $ 82,497 $ 4 4,950 $ 85,054 Maintenance and Operations 1,467,790 1 ,467,790 1 ,467,790 1,467,790 Subtotal Street Cleaning $ 1,550,197 $ 1,550,287 $ 1,512,740 $ 1,552,844 Graffiti Abatement - 20130 Salaries and Benefits $ 553,791 $ 503,981 $ 5 12,447 $ 550,372 Maintenance and Operations 75,771 72,903 52,400 52,400 Fixed Assets 1,640 1,140 - - Subtotal Graffiti Abatement $ 631,201 $ 578,024 $ 564,847 $ 602,772 Street Maintenance - 30111 Salaries and Benefits $ 6 01,135 $ 6 49,257 $ 471,431 $ 922,987 Maintenance and Operations 3 97,038 380,362 424,600 423,600 Subtotal Street Maintenance $ 998,174 $ 1,029,619 $ 896,031 $ 1,346,587 Storm Drain Maintenance - 30121 Salaries and Benefits $ 339,483 $ 365,380 $ 14 8,390 $ 362,149 Maintenance and Operations 3,495 1,657 1,600 1,600 Subtotal Storm Drain Maintenance $ 342,978 $ 3 67,038 $ 149,990 $ 363,749 Proposed Budget for Fiscal Year 2026-2027 210 City of Costa Mesa, California Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget MAINTENANCE SERVICES - 19500 (Continued ) Signs and Markings - 30243 Salaries and Benefits $ 538,624 $ 521,803 $ 67 7,989 $ 755,277 Maintenance and Operations 197,185 189,536 201,056 201,056 Subtotal Signs and Markings $ 735,809 $ 711,339 $ 879,045 $ 956,333 Park Maintenance - 40111 Salaries and Benefits $ 898,493 $ 632,559 $ 1,078,270 $ 875,723 Maintenance and Operations 4,942,120 5,050,581 4 ,859,100 4,859,100 Subtotal Park Maintenance $ 5,840,613 $ 5,683,140 $ 5,937,370 $ 5,734,823 Building Maintenance - 50910 Salaries and Benefits $ 1,539,341 $ 1,566,658 $ 1,480,877 $ 1,733,512 Maintenance and Operations 2,009,262 2,092,081 1,626,360 1,525,360 Fixed Assets - 1,800 5,000 5,000 Subtotal Building Maintenance $ 3,548,603 $ 3,660,539 $ 3,112,237 $ 3,263,872 MAINTENANCE SERVICES - 19500 (Continued) Equipment Maintenance - 50920 Salaries and Benefits $ 1,210,031 $ 1,198,071 $ 1,477,035 $ 1,428,283 Maintenance and Operations 3,105,782 3,728,480 3,314,918 3,321,718 Fixed Assets 719,981 199,756 1,471,000 1,464,200 Subtotal Equipment Maintenance $ 5,035,793 $ 5,126,307 $ 6,262,953 $ 6,214,201 Warehouse - 50925 Salaries and Benefits $ - $ - $ - $ 388,434 Maintenance and Operations - - - $ 2,800 Subtotal Warehouse $ - $ - $ - $ 391,234 Operations - 51010 93 Maintenance and Operations 93 - - - Subtotal Operations $ 93 $ - $ - $ - TOTAL PUBLIC WORKS DEPARTMENT Salaries and Benefits $ 11,744,853 $ 12,913,806 $ 13,565,636 $ 16,003,689 Maintenance and Operations 16,673,276 17,342,748 16,120,329 15,901,129 Fixed Assets 724,521 204,075 1,478,900 1,472,100 Total Public Works Department $ 29,142,649 $ 30,460,629 $ 31,164,865 $ 33,376,918 211City of Costa Mesa, California puBlIc Works departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PUBLIC WORKS DEPARTMENT BY ACCOUNT: ALL FUNDS SALARIES AND BENEFITS Salaries and Wages $ - $ - $ (327,300) $ - Regular Salaries - Non-Sworn 6,785,336 7,493,617 8,408,127 10 ,210,814 Regular Salaries - Part-Time 283,250 413,235 358,818 358,818 Overtime 185,015 208,530 85,200 85,200 Accrual Payoff - Excess Max. 5,391 5,532 3,200 3,200 Vacation/Comp. Time Cash Out 41,314 84,379 40,700 40,700 Holiday Allowance 30,532 30,896 15,583 14 ,402 Separation Pay-Off 95,326 6 2,134 10,800 10 ,800 Other Compensation 111,124 108,734 136,573 119,800 Cafeteria Plan 1,369,434 1,442,943 1,604,536 1,633,536 Medicare 117,510 12 9,199 13 2,014 150,485 Retirement 2,707,420 2,921,467 3,078,485 3,357,363 Executive Prof Development 6,282 6,202 12,000 11,670 Auto Allowance 6,919 6,938 6,900 6,900 Subtotal Salaries & Benefits $ 11,744,853 $ 12,913,806 $ 13,563,899 $ 16,003,689 MAINTENANCE AND OPERATIONS Stationery and Office $ 13 ,356 $ 13 ,536 $ 7,700 $ 8,200 Multi-Media, Promos, Subscrpt. 5 ,951 7,174 6,200 6,200 Small Tools and Equipment 72,505 61,486 36,100 36,100 Uniforms and Clothing 24,724 30,492 16,800 22,800 Safety and Health 4,092 2,933 3,300 3,800 Maintenance and Construction 1,086,354 853,168 654,900 654,900 Agriculture 10 1,227 63,378 97,000 97,000 Fuel 704,695 836,924 701,400 701,400 Electricity - Buildings & Fac. 739,149 759,341 484,250 484,250 Electricity - Power 330,669 309,302 255,200 255,200 Electricity - Street Lights 1,237,221 1,272,173 1,000,000 1,000,000 Gas 40,363 53,420 25,000 25,000 Water - Domestic 47,228 73,119 57,000 57,000 Water - Parks and Parkways 805,573 1,004,422 859,100 859,100 Waste Disposal 2 69,131 254,264 258,800 258,800 Janitorial and Housekeeping 255,350 275,030 345,900 345,900 Legal Advertising/Filing Fees 189,816 244,453 280,100 280,100 Telephone/Radio/Communications 9 4,138 81,590 62,500 62,500 Business Meetings 3,897 4,502 400 400 Mileage Reimbursement - 14 - - Dues and Memberships 3,591 3,943 4,880 4,880 Professional Development 28,671 2 2,949 13 ,470 7,470 Buildings and Structures 376,007 2 31,160 300,000 300,000 Landscaping and Sprinklers 3,391,365 3,495,442 3,470,000 3,470,000 Automotive Equipment 462,452 584,955 464,728 464,728 Office Equipment 4,979 1,680 1,900 2,200 Other Equipment 1,004,738 1,159,010 871,410 7 70,910 Streets, Alleys and Sidewalks 1,726,929 1,753,245 1,812,790 1,812,790 Consulting 572,956 570,902 839,269 719,269 Proposed Budget for Fiscal Year 2026-2027 212 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PUBLIC WORKS DEPARTMENT BY ACCOUNT: ALL FUNDS Engineering and Architectural 2 ,750 - 18,564 18,564 Public Safety 56,731 1,674 50,000 50,000 Sanitation 46,000 - - - Principal Payments (231,542) - 288,983 288,983 Interest Payments 55,041 78,332 88,543 88,543 External Rent 8,890 8,905 14 ,900 14,900 Depreciation 1,532,452 1,632,720 1,275,000 1,275,000 Internal Rent Central Services 4,479 3,804 4,564 4,564 Internal Rent Postage 5,212 4,056 3,432 3,432 Internal Rent - Maintenance 59,500 59,500 59,500 59,500 Internal Rent - Repl Cost 269,856 269,856 269,856 269,856 Internal Rent - Fuel 110,978 86,700 86,700 86,700 Internal Rent Genl Liability 699,861 699,861 699,861 699,861 Internal Rent Workers’ Comp 243,571 243,571 243,571 243,571 Internal Rent Unemployment 9,658 9,658 9,658 9,658 Taxes and Assessments 179,040 2 15,551 76,800 76,800 Other Costs 269 323 300 300 Emergency Protective Measure 23,403 4,229 - - Subtotal Maintenance & Operations $ 16,673,276 $ 17,342,748 $ 16,120,329 $ 15,901,129 FIXED ASSETS Automotive Equipment 676,289 137,258 1,441,000 1,441,000 Other Equipment 15,453 7,982 3 7,900 3 1,100 Loss on Disposal of Assets 32,779 58,835 - - Subtotal Fixed Assets $ 724,521 $ 204,075 $ 1,478,900 $ 1,472,100 TOTAL PUBLIC WORKS DEPARTMENT $ 29,142,649 $ 30,460,629 $ 31,163,128 $ 33,376,918 213City of Costa Mesa, California puBlIc Works departMent From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PUBLIC WORKS DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Salaries and Wages $ - $ - $ (327,300) $ - Regular Salaries - Non-Sworn $ 5,645,202 $ 6 ,138,771 $ 7,126,867 $ 7,652,073 Regular Salaries - Part-Time 280,332 412,819 314,189 314,189 Overtime 158,286 174,549 68,500 68,500 Accrual Payoff - Excess Max. 5,391 5,532 3,200 3,200 Vacation/Comp. Time Cash Out 38,285 79,080 39,700 39,700 Holiday Allowance 24,694 24,703 14 ,402 14,402 Separation Pay-Off 77,483 62,134 10 ,400 10,400 Other Compensation 103,521 97,066 118,855 109,958 Cafeteria Plan 1,130,549 1,188,941 1,365,262 1,429,236 Medicare 99,012 1 07,919 110,417 127,467 Retirement 2,291,308 2,460,841 2,625,180 2,853,238 Executive Prof Development 6,282 5,750 10,900 11,670 Auto Allowance 6 ,919 6,938 6,900 6 ,900 Subtotal Salaries & Benefits $ 9,867,265 $ 10,765,043 $ 11,487,472 $ 12,640,934 Maintenance and Operations Stationery and Office $ 12,901 $ 11,965 $ 7,200 $ 7,200 Multi-Media, Promos, Subscrpt. 4,451 2 ,075 4,400 4,400 Small Tools and Equipment 72,127 49,245 2 4,100 2 4,100 Uniforms and Clothing 19,050 23,068 12,800 12,800 Safety and Health 3,950 2 ,933 2,800 2,800 Maintenance and Construction 413,591 340,641 265,900 265,900 Agriculture 101,227 63,378 97,000 97,000 Electricity - Buildings & Fac. 739,149 759,341 484,250 484,250 Electricity - Power 330,669 309,302 255,200 255,200 Electricity - Street Lights 1,237,221 1,272,173 1,000,000 1,000,000 Gas 40,363 53,420 25,000 25,000 Water - Domestic 47,228 73,119 57,000 57,000 Water - Parks and Parkways 805,573 1,004,422 8 59,100 859,100 Waste Disposal 230,644 252,554 2 57,800 2 57,800 Janitorial and Housekeeping 254,599 274,250 344,000 344,000 Legal Advertising/Filing Fees 189,100 2 43,712 264,100 198,100 Telephone/Radio/Communications 9 4,138 81,590 62,500 62,500 Business Meetings 3,897 4,502 400 400 Mileage Reimbursement - 14 - - Dues and Memberships 3,591 3,943 4,880 4,880 Professional Development 2 0,916 17,569 12,370 6,370 Buildings and Structures 342,327 161,596 200,000 200,000 Landscaping and Sprinklers 3,391,365 3,454,286 3,350,000 3,000,000 Office Equipment 4,594 1,266 1,800 1,800 Other Equipment 9 95,215 1,158,510 862,410 542,410 Streets, Alleys and Sidewalks 1,726,929 285,455 371,610 371,610 Proposed Budget for Fiscal Year 2026-2027 214 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget PUBLIC WORKS DEPARTMENT BY ACCOUNT: GENERAL FUND ONLY Maintenance and Operations (Continued) Consulting 549,031 560,542 769,269 6 49,269 Engineering and Architectural 2,750 - 8,500 8,500 External Rent 8,890 8,905 14 ,900 14 ,900 Internal Rent Central Services 4,479 3,804 4,564 4,564 Internal Rent Postage 5,212 4,056 3,432 3,432 Internal Rent - Maintenance 59,500 59,500 59,500 59,500 Internal Rent - Repl Cost 269,856 269,856 269,856 269,856 Internal Rent - Fuel 110,978 86,700 86,700 86,700 Internal Rent Genl Liability 699,861 699,861 6 99,861 699,861 Internal Rent Workers’ Comp 243,571 243,571 243,571 243,571 Internal Rent Unemployment 9,658 9,658 9,658 9,658 Taxes and Assessments 158,009 193,791 61,800 61,800 Other Costs 14 6 147 - - Emergency Protective Measure 23,403 - - - Subtotal Maintenance & Operations $ 13,230,159 $ 12,044,721 $ 11,058,231 $ 10,196,231 Fixed Assets Other Equipment $ 4,540 $ 4,320 $ 7,900 $ 7,900 Subtotal Fixed Assets $ 4,540 $ 4,320 $ 7,900 $ 7,900 Total Public Works Department $ 23,101,963 $ 2 2,814,083 $ 22,553,603 $ 22,845,065 215City of Costa Mesa, California puBlIc Works departMent This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Non-Departmental Non- Departmental For accounting and budgeting purposes only, Non-Departmental serves as a cost center that budgets charges and appropriations that are not assigned or chargeable to a specific department or function. It is categorized as a General Government Support function. Non-Departmental — 90000 Non-Departmental – 50240 This cost center accounts for debt service requirements related to the City’s outstanding bonds. The City has only one bond: the 2017 Lease Revenue Bonds. The 2017 Lease Revenue Bonds, with an annual payment of $2.8 million, is included in Non-Departmental principal and interest payment object codes along with debt service schedules for a Fire Ladder Truck, a Fire Pumping Engine, Mobile Command Unit, Fire Ambulances and a Police armored vehicle. Also included are interfund transfers planned for the fiscal year, including the transfer to the Capital Improvement Fund and the Information Technology Replacement Fund in accordance with the Capital Asset Needs Ordinance (CAN) and the Information Technology Needs Municipal Code. Per the Municipal Code, five percent 5% of General Fund revenues are transferred to Fund 401 Capital, and one and a half 1½% percent is transferred to the Information Technology Replacement Fund 603. A contingency of $500,000 is included in the annual operating budget; which is a reduction of the normal allocation of $1.0 million. This amount allows the City Manager to retain budget flexibility for operations during the fiscal year and will be used in accordance with the City’s financial policies. Legal costs are included here to defend the City in litigation matters that are not assigned or associated with a specific department. Further, the Retiree Medical Plan defined benefit plan, which provides medical insurance benefits to employees hired before January 1, 2004. This is a closed employment benefits plan. In addition, this cost center accounts for the operating subsidy to the Housing Authority for the Homeless Shelter program and the Network for Homeless Solutions Program. The Homeless Shelter and Program budget is included in the Housing Authority Fund. Proposed Budget for Fiscal Year 2026-2027 218 City of Costa Mesa, California Budget Narrative The Fiscal Year 2026-27 Non-Departmental budget is $22.3 million, an increase of $3.1 million, or 16.0 percent compared to the adopted budget for Fiscal Year 2025-26. The principal and interest payment includes $1.1 million to the fund the financing of the Fire Station #2 reconstruction projects. The City is proposing a budget Capital Asset Needs (CAN) General Fund contribution of $6.7 million for CAN inclusive of repayment of prior year deferment and $3.1 million contributed to the IT Replacement Fund, inclusive of repayment of prior year deferment in FY 2025-26 . Expense by Fund FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget NON-DEPARTMENTAL BY FUNDING SOURCE General Fund - 101 $ 23,423,354 18,494,847 $ 19,222,213 $ 22,292,621 American Rescue Plan Fund - 204 2,060,652 2,982,504 $ - - Park Development Fees Fund - 208 - 250,000 $ - - Capital Improvements Fund - 401 384,576 - $ - - Equipment Replacement Fund - 601 220 - $ - - IT Replacement Fund - 603 19,500 - - - Total Non-Departmental $ 25,888,302 $ 21,727,351 $ 19,222,213 $ 22,292,621 Expense Category by Program FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget NON-DEPARTMENTAL BY PROGRAM NON-DEPARTMENTAL - 90000 Non-Departmental - 50240 Salaries and Benefits $ 1,960,907 $ 2 ,047,615 $ 4 ,859,345 $ 1,793,572 Maintenance and Operations 9,070,177 8 ,106,376 11,565,032 10,673,725 Fixed Assets 14,857,218 11,573,359 2,797,836 9,825,324 Subtotal Non-Departmental $ 25,888,302 $ 21,727,351 $ 19,222,213 $ 22,292,621 TOTAL NON-DEPARTMENTAL Salaries and Benefits $ 1,960,907 $ 2 ,047,615 $ 4 ,859,345 $ 1,793,572 Maintenance and Operations 9,070,177 8 ,106,376 11,565,032 10,673,725 Fixed Assets 14,857,218 11,573,359 2,797,836 9,825,324 Total Non-Departmental $ 25,888,302 $ 21,727,351 $ 19,222,213 $ 22,292,621 219City of Costa Mesa, California non- departMental From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget NON-DEPARTMENTAL BY ACCOUNT: ALL FUNDS Salaries and Benefits Salaries and Wages $ - $ - $ - $ (4,027,157) Salaries & Wages $ - $ - $ 1,977,205 $ 2,938,589 Retirement 60,000 60,000 422,140 4 22,140 City Contrib - Retiree Medical 1,900,907 1,987,615 2,460,000 2,460,000 Subtotal Salaries & Benefits $ 1,960,907 $ 2,047,615 $ 4,859,345 $ 1,793,572 Maintenance and Operations Multi-Media, Promos, Subscrpt. $ 2 09,313 $ 181,494 $ 164,000 $ 164,000 Consulting 13,264 425 1,000 1,000 Legal 826,997 205,835 1,500,000 500,000 Principal Payments 2,168,383 2,030,391 3,450,000 3,550,000 Interest Payments 921,485 854,375 1,067,905 1,067,905 Grants, Loans and Subsidies 1,304,993 1,321,993 1,264,994 1,264,994 Internal Rent - Repl Cost 3,167,403 3 ,297,183 3 ,297,183 3,297,183 Internal Rent Genl Liability - - 319,950 828,643 Contingency 457,722 214,679 500,000 - Other Costs 618 - - - Subtotal Maintenance & Operations $ 9,070,177 $ 8,106,376 $ 11,565,032 $ 10,673,725 Fixed Assets Land $ - $ 1,728,861 $ - $ - Subtotal Fixed Assets $ - $ 1,728,861 $ - $ - Transfers Out Operating Transfers Out $ 14,857,218 $ 9,844,498 $ 2 ,797,836 $ 9,825,324 Subtotal Transfers Out $ 14,857,218 $ 9,844,498 $ 2,797,836 $ 9,825,324 Total Non-Departmental $ 25,888,302 $ 21,727,351 $ 19,222,213 $ 22,292,621 Proposed Budget for Fiscal Year 2026-2027 220 City of Costa Mesa, California From Fiscal Year 2023-2024 Through Fiscal Year 2026-2027 Expense by Account FY 23-24 Actuals FY 24-25 Actuals FY 25-26 Adopted Budget FY 26-27 Proposed Budget NON-DEPARTMENTAL BY ACCOUNT: GENERAL FUND ONLY Salaries and Benefits Salaries and Wages $ - $ - $ - $ (4,027,157) Salaries & Wages - - 1,977,205 2,938,589 Retirement 60,000 60,000 422,140 422,140 City Contrib - Retiree Medical 1,900,907 1,987,615 2,460,000 2,460,000 Subtotal Salaries & Benefits $ 1,960,907 $ 2,047,615 $ 4,859,345 $ 1,793,572 Maintenance and Operations Multi-Media, Promos, Subscrpt. $ 2 09,313 $ 181,494 $ 164,000 $ 164,000 Consulting 13,264 425 1,000 1,000 Legal 826,997 205,835 1,500,000 500,000 Principal Payments 2,168,383 2,030,391 3,450,000 3,550,000 Interest Payments 9 21,485 854,375 1,067,905 1,067,905 Grants, Loans and Subsidies 1,264,993 1,264,993 1,264,994 1,264,994 Internal Rent - Repl Cost 3,167,403 3 ,297,183 3 ,297,183 3 ,297,183 Internal Rent Genl Liability - - 3 19,950 828,643 Contingency 457,722 214,679 500,000 - Other Costs 618 - - - Subtotal Maintenance & Operations $ 9,030,177 $ 8,049,376 $ 11,565,032 $ 10,673,725 Fixed Assets 0% 295772252% 0% 0% Land $ - $ 1,478,861 $ - $ - Subtotal Fixed Assets $ - $ 1,478,861 $ - $ - Transfers Out Operating Transfers Out $ 12,432,270 $ 6,918,994 $ 2 ,797,836 $ 9,825,324 Subtotal Transfers Out $ 12,432,270 $ 6,918,994 $ 2,797,836 $ 9,825,324 Total Non-Departmental $ 23,423,354 $ 18,494,847 $ 19,222,213 $ 22,292,621 221City of Costa Mesa, California non- departMental This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Capital Improvement ProgramCAPITAL IMPROVEMENT PROGRAM This Page Intentionally Left Blank City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM The Capital Improvement Program (CIP) is a summary of the major capital and public improvements to the City’s infrastructure. A capital or public improvement project is defined as expenditures on capital assets with a value greater than $30,000 that are stationary in nature, including but not limited to, publicly owned or operated streets, highways, bridges, sidewalks, curbs, gutters, alleys, storm drains, trees and landscaping, medians, parks, playgrounds, traffic signals, streetlights, fences, walls, or other infrastructure. The CIP also includes other types of capital improvements including those specific to capital facilities, which are defined as city owned or operated buildings including, but not limited to, City Hall, Civic Center, Police Department, Corporation Yard, Fire Stations, libraries, Bridge Shelter, and Community Centers. Also included within the CIP are consolidated building modification projects. Capital projects differentiate themselves from building modification projects in the dollar amount of the project. Individual building modification projects are minor maintenance improvements capped at $30,000, each respectively. In addition, capital projects have a wider scope of work and can span over multiple fiscal years. In such cases, continuing appropriations are a part of the annual budget to transparently track these multi-year capital projects. Other routine capital purchases, such as the purchase of new vehicles, computer hardware, and other equipment, are accounted for in other special funds, such as the Equipment Replacement Fund and IT Replacement Fund. These are not reflected in the CIP. The CIP is important for planning and managing the City’s growth and development as well as maintaining existing infrastructure. The CIP is a living document that continues to evolve each fiscal year through the budgeting process to reflect City Council and community goals, needs, and desires. Planning for capital improvements is an ongoing process. As the City’s infrastructure condition(s) and needs change, capital programs and priorities are adjusted. New construction may be required to accommodate an increased demand or replace aging facilities, while existing infrastructure requires periodic rehabilitation, replacement, or other improvements to protect the City’s investments. The FY 2026-27 proposed CIP budget is approximately $34 million, across all funds, of which an estimated $12 million will be secured with bond financing for the Fire Station 2 reconstruction. The CIP budget was prepared using a variety of funding sources, which includes actuals, estimated revenues, and fund balances, to maximize the utilization of available funds to maintain, improve, and develop essential City assets. These funding sources also include County, State and Federal grants, many of which are reserved for CIP. There are sufficient fund balances and estimated revenues to support the projects recommended for the FY 2026-27 CIP from the various funding sources. The table below reflects the proposed project expenditures for the CIP as well as approximately $87 million in budgeted funds estimated to carry forward from the prior fiscal year for ongoing capital projects: TOTAL CAPITAL IMPROVEMENT PROGRAM 1-Year CIP $33,950,920 Ongoing CIP (continuing appropriation) $86,484,990 Total Capital Improvement Program $120,435,910 238City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) CAPITAL IMPROVEMENT PROGRAM (CIP) OVERVIEW The CIP is organized and summarized by the following sections: BUDGET GUIDE The CIP Budget Guide provides a narrative overview of the CIP, including how the program is developed. The guide identifies funding sources and categories of projects. It also reflects various summaries of projects by category, district, and funding source. CIP ACCOMPLISHMENTS Included in this CIP section are major project-specific accomplishments from the prior fiscal year. ONGOING CAPITAL IMPROVEMENT PROJECTS The CIP section includes a list of ongoing capital projects that the City Council has authorized to re-budget and carry forward from the prior fiscal year. As the implementation of some capital projects straddle fiscal years, due to complexities of project or other issues, this list is a transparent way to reflect all open projects with their corresponding remaining balance. Adoption of the CIP also provides explicit City Council approval to reappropriate these remaining project balances. PROPOSED CAPITAL IMPROVEMENT PROJECTS BY CATEGORY AND CITY COUNCIL GOALS Best practices recommend that state and local governments establish an objective process for categorizing and prioritizing capital improvement projects. The proposed capital projects by category provides a high-level summary of the projects by voting district. The voting district reflects the actual project location; however, some projects may provide a communitywide benefit. The capital projects are also classified using the following categories (which are further defined under the Prioritization and Categorization section):  1 – Risk to Health, Safety or Environment  2 – Regulatory or Mandated Requirement  3 – Grant Funding  4 – Master Plan, General Plan  5 – Asset Condition, Annual Recurring Costs In addition, this summary includes a corresponding project status, defined below: • New project – projects with this status are not previously budgeted projects and represent new financial commitments to fund the projects as well as ongoing operation, maintenance, and rehabilitation costs. • Existing project – projects with this status are previously budgeted projects that are not completed or span multiple fiscal years and are generally phased. • Ongoing project – projects with this status are ongoing citywide projects that are budgeted every fiscal year in the CIP and relate to annual citywide improvements or maintenance. Examples of projects with this status include Citywide Street Improvements, Citywide Sidewalk Improvements, or Parkway Improvement Program. The project detail forms for these projects will not reflect prior budgets or expenditures as the remaining balances for these projects are reflected on the Ongoing Capital Improvement Projects summary. 239 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) This section also reflects how all capital projects tie back to the City Council’s established goals. Each project will meet one or more of the below priorities: [THESE ARE NOT ALL THE GOALS, AND NOT IN ORDER APPROVED BY COUNCIL]  Goal #1: Recruit and Retain High Quality Staff  Goal #2: Achieve Long-term Fiscal Sustainability  Goal #3: Strengthen the Public’s Safety and Improvement Quality of Life  Goal #4: Advance Environmental Sustainability and Climate Resiliency  Goal #5: Diversify, Stabilize and Increase Housing to Reflect Community Needs PROPOSED CAPITAL IMPROVEMENT PROJECTS MAP BY VOTING DISTRICT A map depicting the geographical location of the capital projects with an overlay reflecting the voting districts is included in this section. The voting districts reflect the actual project location; however, some projects may provide a communitywide benefit. Citywide or “ongoing” projects are not included on this map because they are not specific to any one location or voting district. PROPOSED CAPITAL IMPROVEMENT PROJECTS BY FUNDING SOURCE The summary of proposed capital projects by funding source provides a detailed list of each project and corresponding funding sources for Fiscal Year 2026-27. This summary is organized by the following project types: • Facilities – projects in this category include any facility maintenance, improvements or reconstruction. • Parks – projects in this category include any maintenance, improvements, or development at park facilities. • Streets – projects in this category include any street maintenance (i.e. slurry seal, rehabilitation, etc.), storm drain and water quality related improvements. • Transportation – projects in this category include any transportation related improvements or maintenance, including active transportation projects, traffic signal maintenance and improvements, and general neighborhood traffic improvements. CAPITAL IMPROVEMENT PROJECT DETAILS This section provides detailed information about all projects, funding levels, and funding sources. These forms are project-specific and reflect all prior, current, and future project expenditures by phase to provide a total project cost for the City Council and community. Each project-specific form also includes an estimated financial operating impact for consideration in the budget adoption process that outlines ongoing operation, maintenance, and rehabilitation costs. These estimates are prepared per project and are subject to change based on final project design and/or construction. Additionally, projects that are classified as “ongoing” do not reflect prior budgets or expenditures. As such, the remaining balances for these projects are reflected on the Ongoing Capital Improvement Projects summary. 240City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) FIVE-YEAR CAPITAL IMPROVEMENT PROGRAM The Five-Year CIP also includes a “future” column for projects that are not developed at this time or may be implemented after Fiscal Year 2030-2031. Each fiscal year of the Five-Year CIP includes a realistic cost estimate that is within range of prior year CIP total costs. However, the cost estimates for each project are presented at current value/current dollars and are not escalated for inflation. As a result, the estimates are subject to change. Additionally, although the schedule spans five years and future, funds for only the first year are appropriated within the Fiscal Year 2026-27 Budget. The schedule provides a view of upcoming fiscal year capital projects that could be adjusted based on changing City Council and community priorities or financial capabilities. The revised 5-year CIP represents an overall well-balanced, long-term plan reflecting current City Council’s strategic goals and priorities. All projects including those in “future” years remain eligible for any grant funding, should opportunities arise. CIP GOALS The CIP is developed based on the City Council and community’s overarching goals. This is specifically reflected in the Proposed Capital Improvement Projects by Category and City Council Goals section. Additionally, the program is developed in accordance with elements in the City’s General Plan as well as City Council proposed planning documents and master plans. CIP BUDGET DEVELOPMENT PROCESS As part of the annual budget process, the Public Works Department partners with the Finance Department to propose a balanced list of projects that consider the complex workloads associated with each project as well as funding sources and available resources. In collaboration with the City Manager’s Office, capital projects are reviewed and evaluated by both the Public Works Department and Finance Department to ensure that the City’s priorities, infrastructure needs, financial capacity, and impact the projects have on the City’s operating budget are addressed. Typically, several projects are identified and requested each year by departments; however, not all of the projects can be funded. An evaluation process is conducted in collaboration with each department to discuss priorities and needs. A list of recommended projects is presented to the City Manager for consideration, and the remaining requested projects that were not recommended are deferred and included in the Five-Year CIP for future consideration. Additionally, there are a number of capital projects that may be requested and are pending other funding sources, including competitive grants. Projects that may be expecting such competitive grant funding, or funded with other similar outside resources, are not budgeted in the current fiscal year until the funding is awarded, but they are referenced in the Five-Year CIP. As a result, throughout the fiscal year, the City Council will receive recommendations to authorize new capital projects and approve budget adjustments to recognize and appropriate the competitively sourced funding. Once the proposed list is prepared, staff presents the proposed projects at the City Council Study Session, Finance and Pension Advisory Committee, Parks and Community Services Commission, and the Planning Commission for consideration based on their respective purviews. Following their respective reviews and approval, the CIP budget is presented to City Council for consideration and adoption. 241 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) PRIORITIZATION & CATEGORIZATION The CIP is updated annually allowing the City to re-evaluate its priorities and needs in each subsequent year based upon the most current revenue projections and project priorities. Capital projects affecting public health and safety, and/or legal mandates receive the highest priority. The remaining projects are prioritized for final City Council consideration and adoption by City Council goals, conformance to the City’s General Plan and corresponding planning documents and approved master plans, asset conditions, and available grant funding. The categories aiding in prioritization of these projects are outlined and defined below: • 1 – Risk to Health, Safety or Environment – projects in this category provide an immediate health or safety concern. These are high priority projects. • 2 – Regulatory or Mandated Requirement – projects in this category are mandated or in accordance with government regulations. Projects in this category are required and may not be defunded or deferred. • 3 – Grant Funding – projects in this category generally have competitively sourced funding and are subject to a timeframe outlined in the grant documents. Consequently, deferring these projects may result in forfeiture of grant funding. • 4 – Master Plan, General Plan – projects in this category are in conformance with the City’s General Plan and related planning documents. They are also projects specifically identified in other approved master plans, such as park-specific master plans, Active Transportation Plan or Parks, Open Space, & Recreation Master Plan. • 5 – Asset Condition, Annual Recurring Costs – projects in this category may either be annual recurring extraordinary maintenance costs or one-time/infrequent projects that improve the condition of the City’s assets. Some projects in this category include playground resurfacing and equipment replacement, street rehabilitation or sidewalk and parkway repairs. Some projects in this category may also be categorized as 1 – Risk to Health, Safety or Environment after previously being deferred. PROJECT ESTIMATES & FUNDING SOURCES The Public Works Department develops project cost estimates based on prior experience with similar projects or preliminary designs already completed. The cost estimates for each project are presented at current value/current dollars and are not escalated for inflation. As a result, the estimates are subject to change or escalation, particularly in the outer years of the Five-Year CIP. Occasionally the scope of the project may change resulting in higher costs than the original estimate. This also includes projected operating costs or impacts of the capital projects which are estimated per project and subject to change based on final project design and/or construction. If project costs at the time of bid award are more than budgeted amounts, five options are considered: • Eliminate the project; or • Defer the project for consideration during future budget processes; or • Re-scope or change the phasing of the project to meet the existing approved budget; or • Request City Manager to transfer funding from another specified project that has savings and/or is a lower priority; or • Request City Council appropriate additional resources, as necessary, from the respective fund balances. 242City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) At project completion, any unused funds are returned to the unassigned fund balance for the respective funds. The City employs a combination of approaches to fund its capital projects. The Public Works Department and Finance Department funding recommendations are based upon the most current revenue projections. For many smaller improvement projects, funds are appropriated from available cash on hand. Large-scale capital projects `grants, assessments, impact fees, and reserve balances. A list and description of capital project funding sources is provided in the Description of Funds. CONTINGENCIES & CHANGE ORDERS A contingency is included within applicable projects as specified on the project detail forms’ cost breakdown. These amounts allow for budget flexibility for unanticipated concerns or cost escalations during the project, including potential change orders. Change orders are generally the result of additions or deletions to the project, revisions to the project, and omissions or errors in the original project plans and/or specifications. This does not provide budget authority for change orders as City Council would first need to approve a budget adjustment appropriating or transferring the necessary funding. 243 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) WHAT DID WE DO DURING FISCAL YEAR 2025-26? CITYWIDE STREET IMPROVEMENTS The City completed slurry seal paving on various streets throughout the community. These improvements provide a protective layer that helps extend the lifespan of the pavement while enhancing overall drivability. New pavement markings were installed on select streets. The slurry seal project is expected to improve traffic flow and contribute to a higher quality of life for residents in the surrounding area. Streets completed were Andros Street, Chestnut Avenue, Corvo Place, Ellesmere Avenue, Elm Avenue, Jacaranda Avenue, Java Road, Lemon Street, Mindanao Drive, Myrtlewood Street, and Serang Place. Additionally, the City’s contractor completed localized street repairs on California Street near Colorado Lane, where significant pavement settlement had occurred. The repair work involved removing and replacing the underlying base material, followed by repaving the affected section to restore roadway integrity. 244City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) CITY HALL TRAINING ROOM & I NFORMATION T ECHNOLOGY OFFICES The project included a centralized space for training to be utilized by City staff, two new offices for the Information Technology Department, and reconfigured storage areas for Finance, Fire and Public Works. The classroom and office facilities were furnished with new computer network equipment and cabling, office and classroom furniture, and related finishes and fixtures. Construction included new walls and partition; mechanical heating, ventilation, and air conditioning (HVAC); electrical; lighting; low voltage and data; fire alarm; painting; and flooring/carpet improvements; along with installation of an advanced audio-visual (AV) system to support classroom-style training. 245 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) FIRE STATION NO. 4 TRAINING TOWER Fire Station No. 4 now features a state-of-the-art regional training center and tower, replacing its aging infrastructure. The facility will serve neighboring cities and agencies, strengthening regional preparedness for fire emergencies and natural disasters while fostering collaboration. It also enhances hands-on training by bridging fire dynamics knowledge with practical training props and spaces, using locally sourced and sustainable materials. The project incorporates water reclamation systems to capture and reuse water from training exercises, significantly reducing waste and supporting sustainable operations during drought conditions. Energy-efficient LED lighting, increased natural light, and solar-powered backup systems improve energy performance, while low-flow fixtures and drought-resistant landscaping promote long-term water conservation. 246City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) BRENTWOOD PARK IMPROVEMENTS Prior to construction, Brentwood Park featured a single playground structure alongside an underutilized sand volleyball court, with the original play equipment dating back to 1995. Following the recent improvements, the park has been significantly enhanced with the addition of two new playground areas, incorporating four slides and seven climbing components designed to encourage active and engaging play. These upgrades provide a more dynamic environment and better accommodate a wider range of interests and activity levels. The newly installed equipment includes two distinct play areas, one-designed for children ages 5 to 12, and a separate area that replaced the sand volleyball court designed for children ages 2 to 5. Both offer age-appropriate play features. Additional amenities include a shade structure for comfort, 13 accessible play elements, two inclusive features, swings, and an interactive activity boards. The project also added a new decomposed granite walking path on the east side of the park that connects Monte Vista Avenue with Brentwood Street. A new concrete walkway stamped with poetry was implemented based on input from the Arts Commission that connects Brentwood Street with the play area. 247 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) FAIRVIEW ROAD IMPROVEMENTS FROM FAIR DR. TO NEWPORT BLVD. The Fairview Road improvement project included class IV cycle tracks, green bicycle conflict zone striping, and high visibility pedestrian crossings. A new pedestrian hybrid beacon is included in the project south of Fair Drive to better connect students and parents in residential areas to College Park Elementary School and Wilson Park. New landscaping and irrigation were also included along with a new bicycle signal at Fairview Road/Wilson Street. 248City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) NORMA HERTZOG COMMUNITY CENTER ROOF REPLACEMENT The project involved the removal of the existing metal panels and roofing materials to allow for an inspection and repair of underlying leaks to ensure the structural integrity and long-term performance of the roof system. The new roofing system included an upgraded and more efficient drainage design, which will help prevent water accumulation and extend the overall lifespan of the structure. In addition, new underlayment and metal panels were installed, providing increased durability and improved weather resistance. These upgrades resulted in a more resilient and long-lasting roofing system that better protects the facility. 249 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM (CONTINUED) POLICE DEPARTMENT CARPET REPLACEMENT AND INDOOR PAINT The Police Department received an interior refresh in fall 2025 that included sanding, repairs, priming, and repainting all interior surfaces. Exterior and roll-up doors were also updated to coordinate with the new flooring. Interior walls were finished in Ultra-Pure White, doors in “Cool Ashes” (a light gray), door and window trim in “Cracked Pepper” (a dark gray), and mural walls in a deep blue. Flooring upgrades incorporated a range of materials suited to each space, including carpet, rubber flooring in the gym, and luxury vinyl tile. New baseboard trim was installed to complete the improvements. Existing moisture barriers were preserved, while all rubber floor bases and door thresholds were replaced. The project was completed in October 2025. 250City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) BICYCLE SAFETY EDUCATION PROGRAM The Bicycle Safety Education Program developed curriculum and materials for safety training classes for students at sixteen local schools, eight community bike safety festivals, and two League of American Bicyclists instructor training sessions. The program provided training on general bicycle safety, riding, and maintenance to students, parents, and community members with a focus on electric bicycles. The program is part of the education strategy employed by the City to encourage safe riding habits with the rapid proliferation of electric bicycles, and the ongoing implementation of the 2018 Active Transportation Plan. The City-funded program was developed with the input of a Bicycle Safety Education Task Force which began meeting in March of 2024. The program culminated in January 2026, with a final community bike safety festival hosted at Costa Mesa City Hall. 251 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 No.Proj #Project Name Budget Actuals Remaining Balance 1 200013 Fire Station #2 Reconstruction 3,150,000 682,043 2,467,957 2 200040 HVAC Replacement at Various Facilities 1,030,000 419,926 610,074 3 200062 Building Maintenance Projects 4,031,136 3,799,875 231,261 4 200077 City Hall Cast Iron Drain Repair 254,019 - 254,019 5 200097 Electric Vehicle Fleet and Infrastructure 544,368 279,964 264,404 6 200099 Finance Security & Efficiency Reconfiguration 305,000 60,841 244,159 7 200102 Fire Station 3 Fuel Tank Replacement 475,461 25,421 450,040 8 200107 Sewer Line Improvement City Facilities 260,000 2,261 257,739 9 210004 Fire Stations - Minor Projects at Various Stations 702,000 590,866 111,134 10 210012 City Hall-Paint, Carpet & Misc. Improvements 660,000 390,566 269,434 11 210013 Fire Station 4 Training Tower & Grounds Reconstruction 5,315,000 4,725,963 589,037 12 210015 Police Dept - Emergency Comm Facilities Remodel 1,230,000 190,328 1,039,672 13 210019 City Hall 5th Floor Air Handler Replacement 140,000 - 140,000 14 210021 City Hall Heater(s) Replacement 350,000 - 350,000 15 210025 NHCC- Roof Replacement 825,342 411,461 413,881 16 210026 Police Dept - Locker Rooms Remodel 400,000 - 400,000 17 210027 Police Dept - Weather Proofing 350,000 65,900 284,100 18 210028 City Hall and Communication Generators Replacement 700,000 - 700,000 19 300090 Safe Route to School Grant Project 788,090 104,189 683,901 20 300148 Citywide Bicycle Rack Improvements 250,000 74,945 175,055 21 300163 Citywide Neighborhood Traffic Improvements 862,800 761,450 101,350 22 300169 Newport Blvd Improvement - Victoria /22nd to 19th 1,178,820 128,691 1,050,129 23 300171 SB Newport Blvd Improvement (Mesa to Victoria)1,965,652 97,040 1,868,612 24 300172 Pavement Mitigation I -405 Project 2,650,980 - 2,650,980 25 300173 Newport Blvd Improvement NB (22nd to Bristol) &SB (Bristol to Mesa)2,134,145 94,186 2,039,959 26 300177 Westside Street Improvements- Wilson Street 487,000 - 487,000 27 300178 Sunflower Ave Rehabilitation Project 2,570,782 - 2,570,782 28 300179 Adams Ave Active Transportation Project 3,750,000 180,150 3,569,850 29 300181 Fairview Road Improvement Project 3,216,116 1,067,291 2,148,825 30 300182 Fairview Rd Rehab (RMRA) Project 2,780,829 - 2,780,829 TOTAL ALL FUNDS CAPITAL IMPROVEMENT PROGRAM Ongoing Capital Improvement Projects Remaining Balances as of 4/30/26 252City of Costa Mesa, California capItal IMproveMent prograM No.Proj #Project Name Budget Actuals Remaining Balance TOTAL ALL FUNDS CAPITAL IMPROVEMENT PROGRAM Ongoing Capital Improvement Projects Remaining Balances as of 4/30/26 31 300184 Traffic Signal at Fairview Rd and Belfast 600,000 37,983 562,017 32 300185 Harbor, 17th & Gisler Rehab (RMRA) Project 3,500,000 - 3,500,000 33 300186 Clean Mobility - On Demand Transit Services 1,000,000 692,507 307,493 34 300187 Fairview Road Improvement Fair to Adams 2,299,000 207,965 2,091,035 35 300188 Signal Modern Multi Modal Safety Improvements 3,936,820 280,256 3,656,564 36 300189 Harbor Boulevard Rehab RMRA 2,951,612 - 2,951,612 37 350030 Westside Restoration Project 765,000 247,586 517,414 38 350033 Citywide Tree Maintenance in Public Right-of-Way 200,000 197,884 2,116 39 370010 Mesa Del Mar Multimodal Access 111,465 11,465 100,000 40 370042 Bus Shelter Improvement 300,000 - 300,000 41 370058 Citywide Traffic Signal Improvements 64,114 62,912 1,202 42 400012 Citywide Alley Improvements 3,235,000 1,480,675 1,754,325 43 400015 Citywide Street Improvements 49,095,940 39,407,704 9,688,236 44 450010 Citywide Class II, III and IV Bicycle Projects 1,220,461 1,138,704 81,757 45 450013 Adams Ave Multi-Purpose Trail 4,788,796 363,690 4,425,106 46 450014 Adams Ave Bicycle Facility Project 3,482,547 381,088 3,101,459 47 450015 Bicycle/Pedestrian Infrastructure Improvements 950,000 107,993 842,007 48 450016 Mesa/Santa Ana Bicycle Facility Improvements 100,000 - 100,000 49 450017 MV/Peterson Pl Class II Bicycle Facility 100,000 - 100,000 50 470003 Center Street Pedestrian Infrastructure Improvements 50,000 - 50,000 51 470004 Pedestrian Safety Festival 400,000 - 400,000 52 500009 New Sidewalk / Missing Link Program 1,091,525 691,525 400,000 53 500010 Parkway Maintenance Program Citywide 1,916,243 746,800 1,169,443 54 500017 Priority Sidewalk Repair 530,000 374,725 155,275 55 550011 Citywide Storm Drain Improvements - Fairview Park Storm 353,055 14,726 338,329 56 550011 Citywide Storm Drain Improvements 2,065,842 1,581,474 484,368 57 550022 Westside Storm Drain Improvements 1,600,000 485,336 1,114,664 58 700027 TeWinkle Park - Skate Park Expansion 3,349,000 281,302 3,067,698 59 700080 Park Security Lighting Replacement 374,880 350,768 24,112 60 700106 Various Parks - Sidewalk Replacement 139,686 - 139,686 253 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 No.Proj #Project Name Budget Actuals Remaining Balance TOTAL ALL FUNDS CAPITAL IMPROVEMENT PROGRAM Ongoing Capital Improvement Projects Remaining Balances as of 4/30/26 61 700128 Park Sidewalk Accessibility Program 290,000 284,568 5,433 62 700129 Shalimar Park Improvements 250,000 21,882 228,118 63 700132 Fairview Park - Vernal Pool Restoration 407,366 355,991 51,375 64 700133 Canyon Park Inventory Management & Restoration 60,000 - 60,000 65 700134 Fairview Park Fence Sign Trail 300,000 52,475 247,525 66 700135 Fairview Park Master Plan Update 389,565 298,425 91,140 67 700137 TeWinkle Park Lakes Repairs 2,849,308 577,306 2,272,002 68 700139 Ketchum-Libolt Park Expansion 3,112,443 399,768 2,712,675 69 700141 Costa Mesa Country Club Modernization 350,000 - 350,000 70 700144 Fairview Park-Pump Station & Westlands Recirculation System 655,000 128,159 526,841 71 700145 Shalimar Park Expansion 2,000,000 272,092 1,727,908 72 700146 Various Parks - Playground Repair and Replacement 320,000 197,744 122,256 73 700147 CM Country Club Cart Path & Ground Improvements 300,000 60,346 239,654 74 700149 Fairview Park Educational Hubs and Signage 90,000 8,357 81,643 75 700150 Fairview Park Mesa Restoration/Cultural Resource Preservation CA- ORA- 58 2,000,000 429,674 1,570,326 76 700151 Fairview Park West Bluff Stabilize & Restoration 2,000,000 36,331 1,963,669 77 700154 Golf Course & Tennis Center Improvements 1,200,000 292,962 907,038 78 700155 Jack Hammett SC Relevel and Restore Fields 1 and 2 500,000 - 500,000 79 700157 TeWinkle Batting Cage Structure & Other Improv.325,000 230,188 94,812 80 800029 EOC Equipment Update 150,000 33,648 116,352 81 800031 Westside Police Sub-Station Improvements 911,125 - 911,125 82 800035 Senior Center- HVAC Replacement 725,000 - 725,000 83 800036 Senior Center Roof and Roof Cap Replacement 350,000 - 350,000 Total Ongoing Capital Improvement Projects 153,463,333$ 66,978,343 86,484,990$ 254City of Costa Mesa, California capItal IMproveMent prograM No.Project Name Category Dist. No. 1 Building Modification Projects 5 - Asset Condition, Annual Recurring Costs All 2 City Hall - Development Services Workstations 5 - Asset Condition, Annual Recurring Costs 3 3 Civic Center - Miscellaneous Repairs 5 - Asset Condition, Annual Recurring Costs 3 4 Corp Yard - Equipment Maintenance - Replace Vehicle Hoists 1 - Risk to Health, Safety or Environment 4 5 Downtown Aquatic Center Pool Gutter Grates 1 - Risk to Health, Safety or Environment 5 6 Fire Station 2 Reconstruction 5 - Asset Condition, Annual Recurring Costs 2 7 Fire Stations - Minor Projects at Various Stations 1 - Risk to Health, Safety or Environment All 8 Fire Stations - Overhead, Rolling & Apparatus Door Replacement 5 - Asset Condition, Annual Recurring Costs All 9 Police Department - Chillers Replacement 1 - Risk to Health, Safety or Environment 3 10 Police Department - Emergency Comm Facility Improvement and Roof Replacement 5 - Asset Condition, Annual Recurring Costs 3 11 Police Department - Facility Expand/Reconfigure for Real Time Information Center 3 - Grant Funding 3 12 Senior Center - Facility Improvements 1 - Risk to Health, Safety or Environment 4 13 Citywide Tree Maintenance (in Public Right-of-Way) 1 - Risk to Health, Safety or Environment All 14 Costa Mesa Skate Park Expansion 3 - Grant Funding 3 15 Fairview Park - Vernal Pools Restoration 2 - Regulatory or Mandated Requirement 5 16 Fairview Park Master Plan Implementation 4 - Master Plan, General Plan 5 17 Harper Park - Playground Replacement 1 - Risk to Health, Safety or Environment 6 18 Moon Park - Playground Replacement 1 - Risk to Health, Safety or Environment 1 19 Park Parking Lot and Playground Rehabilitation 1 - Risk to Health, Safety or Environment All 20 Park Security Lighting Replacement 1 - Risk to Health, Safety or Environment All 21 Park Sidewalk Replacement 1 - Risk to Health, Safety or Environment All 22 Shiffer Park - Playground and Park Improvements 1 - Risk to Health, Safety or Environment 2 23 Citywide Alley Improvements 1 - Risk to Health, Safety or Environment All CAPITAL IMPROVEMENT PROGRAM Capital Improvement Projects By Category and City Council Goals 255 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Quality Recruitment Fiscal Sustainability Safe Community Environmental Sustainability Housing Commitments Fiscal Year 2026-2027 ✓✓250,000$ ✓120,000$ ✓✓✓150,000$ ✓250,000$ ✓100,000$ ✓✓✓✓12,000,000$ ✓✓✓150,000$ ✓✓150,000$ ✓800,000$ ✓✓900,000$ ✓✓1,039,000$ ✓250,000$ ✓200,000$ ✓500,000$ ✓80,000$ ✓✓100,000$ ✓400,000$ ✓50,000$ ✓100,000$ ✓✓150,000$ ✓50,000$ ✓250,000$ ✓✓✓200,000$ CAPITAL IMPROVEMENT PROGRAM Capital Improvement Projects By Category and City Council Goals Proposed Fiscal Year 2026-27 256City of Costa Mesa, California capItal IMproveMent prograM No.Project Name Category Dist. No. CAPITAL IMPROVEMENT PROGRAM Capital Improvement Projects By Category and City Council Goals 24 Citywide Street Improvements 4 - Master Plan, General Plan All 25 New Sidewalk/Missing Link Program 1 - Risk to Health, Safety or Environment All 26 Newport Blvd. Improvement NB (22nd to Bristol) & SB (Bristol to Mesa)4 - Master Plan, General Plan 3, 5, 6 27 Parkway & Medians Improvement Program 1 - Risk to Health, Safety or Environment All 28 Priority Sidewalk Repair 1 - Risk to Health, Safety or Environment All 29 Adams Avenue Multipurpose Trails 3 - Grant Funding 1 30 Bicycle and Pedestrian Infrastructure Improvements 1 - Risk to Health, Safety or Environment All 31 Bristol Street Traffic Signal Synchronization Project 3 - Grant Funding 2, 3 32 Center Street Pedestrian Crossing and Circulation Improvements 1 - Risk to Health, Safety or Environment 4 33 Citywide Neighborhood Traffic Improvements 1 - Risk to Health, Safety or Environment All 34 Citywide Traffic Signal Improvements 1 - Risk to Health, Safety or Environment All 35 Clean Mobility Options Program - On-Demand Transit Services 3 - Grant Funding 4, 5, 6 36 College Avenue Parking and Circulation Improvements 1 - Risk to Health, Safety or Environment 5 37 Fair Drive Circulation Improvements 3 - Grant Funding 3 38 Harbor Blvd. Cornerstone Bike Trail 1 - Risk to Health, Safety or Environment 1 39 Local Road Safety Plan Update 1 - Risk to Health, Safety or Environment All 40 Mesa Del Mar Multimodal Access 3 - Grant Funding 3 41 Signal Modernization for Systemic Multi-Modal Safety Improvements 3 - Grant Funding All 257 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Quality Recruitment Fiscal Sustainability Safe Community Environmental Sustainability Housing Commitments Fiscal Year 2026-2027 CAPITAL IMPROVEMENT PROGRAM Capital Improvement Projects By Category and City Council Goals Proposed Fiscal Year 2026-27 ✓✓✓5,950,000$ ✓✓✓100,000$ ✓✓✓2,350,000$ ✓✓✓200,000$ ✓✓✓65,000$ ✓✓2,777,000$ ✓✓250,000$ ✓315,000$ ✓✓500,000$ ✓75,000$ ✓200,000$ ✓✓650,000$ ✓150,000$ ✓✓880,000$ ✓450,000$ ✓150,000$ ✓✓349,920$ ✓300,000$ 33,950,920$ 258City of Costa Mesa, California capItal IMproveMent prograM CAPITAL IMPROVEMENT PROGRAM (CONTINUED) Map by Voting District Note: Citywide projects that are not specifically defined and/or larger projects are not geographically displayed above as they are not specific to any one location or district. 259 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Gas Tax (HUTA) Fund Park Dev. Fees Fund Traffic Impact Fee Fund Cannabis Traffic Impact Fees Fund Gas Tax (RMRA) Fund No.201 208 214 240 251 1 Building Modification Projects 2 City Hall - Development Services Workstations 3 Civic Center - Miscellaneous Repairs 4 Corp Yard - Equipment Maintenance - Replace Vehicle Hoists 5 Downtown Aquatic Center Pool Gutter Grates 6 Fire Station 2 Reconstruction 7 Fire Stations - Minor Projects at Various Stations 8 Fire Stations - Overhead, Rolling & Apparatus Door Replacement 9 Police Department - Chillers Replacement 10 Police Department - Emergency Comm Facility Improvement and Roof Replacement 11 Police Department - Facility Expand/Reconfigure for Real Time Information Center 12 Senior Center - Facility Improvements TOTAL FACILITIES -$ -$ -$ -$ -$ Next Category 13 Citywide Tree Maintenance (in Public Right-of-Way)200,000$ 14 Costa Mesa Skate Park Expansion 15 Fairview Park - Vernal Pools Restoration 16 Fairview Park Master Plan Implementation 100,000$ 17 Harper Park - Playground Replacement 18 Moon Park - Playground Replacement 19 Park Parking Lot and Playground Rehabilitation 20 Park Security Lighting Replacement 21 Park Sidewalk Replacement 22 Shiffer Park - Playground and Park Improvements TOTAL PARKS 200,000$ 100,000$ -$ -$ -$ Next CategoryNext Category 23 Citywide Alley Improvements 200,000$ 24 Citywide Street Improvements 1,000,000$ 350,000$ 25 New Sidewalk/Missing Link Program 100,000$ 26 Newport Blvd. Improvement NB (22nd to Bristol) & SB (Bristol to Mesa)2,350,000$ 27 Parkway & Medians Improvement Program 75,000$ 28 Priority Sidewalk Repair 65,000$ TOTAL STREETS 1,440,000$ -$ -$ -$ 2,700,000$ Next Category 29 Adams Avenue Multipurpose Trails 30 Bicycle and Pedestrian Infrastructure Improvements 100,000$ 150,000$ 31 Bristol Street Traffic Signal Synchronization Project 150,000$ 32 Center Street Pedestrian Crossing and Circulation Improvements 33 Citywide Neighborhood Traffic Improvements 34 Citywide Traffic Signal Improvements 35 Clean Mobility Options Program - On-Demand Transit Services 36 College Avenue Parking and Circulation Improvements 150,000$ 37 Fair Drive Circulation Improvements 38 Harbor Blvd. Cornerstone Bike Trail 450,000$ 39 Local Road Safety Plan Update Capital Improvement Projects by Funding Source Proposed Fiscal Year 2026-27 Category/Project Title FACILITIES PARKS STREETS TRANSPORTATION CAPITAL IMPROVEMENT PROGRAM 260City of Costa Mesa, California capItal IMproveMent prograM Capital Improve. Fund Measure M2 Fairshare Fund Grant Fund Future Bond/ Financing 401 416 230/231/232 Total 250,000$ 250,000$ 120,000$ 120,000$ 150,000$ 150,000$ 250,000$ 250,000$ 100,000$ 100,000$ 12,000,000$ 12,000,000$ 150,000$ 150,000$ 150,000$ 150,000$ 800,000$ 800,000$ 900,000$ 900,000$ 1,039,000$ 1,039,000$ 250,000$ 250,000$ 2,870,000$ -$ 1,289,000$ 12,000,000$ 16,159,000$ 200,000$ 500,000$ 500,000$ 80,000$ 80,000$ 100,000$ 400,000$ 400,000$ 50,000$ 50,000$ 100,000$ 100,000$ 150,000$ 150,000$ 50,000$ 50,000$ 250,000$ 250,000$ 1,580,000$ -$ -$ -$ 1,880,000$ 200,000$ 1,500,000$ 3,100,000$ 5,950,000$ 100,000$ 2,350,000$ 75,000$ 50,000$ 200,000$ 65,000$ 1,575,000$ 3,150,000$ -$ -$ 8,865,000$ 2,777,000$ 2,777,000$ 250,000$ 165,000$ 315,000$ 500,000$ 500,000$ 75,000$ 75,000$ 200,000$ 200,000$ 650,000$ 650,000$ 150,000$ 201,000$ 679,000$ 880,000$ 450,000$ 150,000$ 150,000$ Capital Improvement Projects by Funding Source Proposed Fiscal Year 2026-27 CAPITAL IMPROVEMENT PROGRAM 261 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Gas Tax (HUTA) Fund Park Dev. Fees Fund Traffic Impact Fee Fund Cannabis Traffic Impact Fees Fund Gas Tax (RMRA) Fund No.201 208 214 240 251 Capital Improvement Projects by Funding Source Proposed Fiscal Year 2026-27 Category/Project Title CAPITAL IMPROVEMENT PROGRAM 40 Mesa Del Mar Multimodal Access 41 Signal Modernization for Systemic Multi-Modal Safety Improvements TOTAL TRANSPORTATION 150,000$ -$ 250,000$ 150,000$ 450,000$ Next Category 1,790,000$ 100,000$ 250,000$ 150,000$ 3,150,000$ Total One-Year Capital Improvement Projects TRANSPORTATION (continued) 262City of Costa Mesa, California capItal IMproveMent prograM Capital Improve. Fund Measure M2 Fairshare Fund Grant Fund Future Bond/ Financing 401 416 230/231/232 Total Capital Improvement Projects by Funding Source Proposed Fiscal Year 2026-27 CAPITAL IMPROVEMENT PROGRAM 349,920$ 349,920$ 300,000$ 300,000$ 75,000$ 1,516,000$ 4,455,920$ -$ 7,046,920$ 6,100,000$ 4,666,000$ 5,744,920$ 12,000,000$ 33,950,920$ 263 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Building Modification Projects Item No.1 Type Facilities CIP Project No.200062 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 400,000$ 400,000$ 400,000$ 400,000$ 1,200,000$ 3,050,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 400,000$ 400,000$ 400,000$ 400,000$ 1,200,000$ 3,050,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 250,000$ 400,000$ 400,000$ 400,000$ 400,000$ 1,200,000$ 3,050,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 400,000$ 400,000$ 400,000$ 400,000$ 1,200,000$ 3,050,000$ Funds Expended to Date:-$ Total Estimated Project Cost:3,050,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-200062 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs Ongoing citywide project; therefore, no prior budgeted amounts are included below. The attached summary of proposed maintenance projects are building modifications and maintenance projects in the 23 City- owned buildings and parks, including those leased to outside agencies. The City administers and supervises contract services for maintaining these facilities. Building Modification Projects consolidates many smaller projects that are minor maintenance and repair-related (i.e. painting, electrical, repair, etc.) amounting to $30,000 or less. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 264City of Costa Mesa, California capItal IMproveMent prograM Item No. 1 No.Project Location Cost Description 1 City Hall $ 29,800 Restroom Exhaust Fan Upgrade 2 Corporation Yard $ 30,000 Fleet Shop Improvements 3 Del Mesa Park $ 20,000 Restroom Building Improvements 4 Downtown Recreation Center $ 25,000 Downspouts Improvements 5 Various Parks $ 20,000 Various Park Amenities 6 Various Parks $ 30,000 Parks Dog Waste Bags 7 Various Parks $ 20,200 Replenish Playground Sand 8 Various Parks 25,000$ Restroom Painting 9 Various Parks 30,000$ Restroom Partitions & Doors 10 Various Parks 20,000$ Sport Court Resurfacing TOTAL 250,000$ Note: Citywide projects that are not specifically defined and/or larger projects are not geographically displayed above as they are not specific to any one location or district. CAPITAL IMPROVEMENT PROGRAM (CONTINUED) Building Modification Projects 265 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 City Hall - Development Services Workstations Item No.2 Type Facilities CIP Project No.202701 Department: Development Services Dept's Priority #:1 of 1 District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 16,157$ -$ -$ -$ -$ -$ 16,157$ 4,040$ -$ -$ -$ -$ -$ 4,040$ 99,803$ -$ -$ -$ -$ -$ 99,803$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120,000$ -$ -$ -$ -$ -$ 120,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 120,000$ -$ -$ -$ -$ -$ 120,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120,000$ -$ -$ -$ -$ -$ 120,000$ Funds Expended to Date:-$ Total Estimated Project Cost:120,000$ Location:City Hall - Development Services Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-202701 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs New Project Space Planning, Construction and Furniture in the Planning and Building Divisions. The current layout no longer meets operational needs, particularly for Planning and Building staff who require adequate workspace to perform their duties and serve the public. The proposed project design will efficiently accommodate the needs of the department Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 266City of Costa Mesa, California capItal IMproveMent prograM Civic Center - Miscellaneous Repairs Item No.3 Type Facilities CIP Project No.210012 Department: Public Works Dept's Priority #:(? of ?)District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ Funds Expended to Date:-$ Total Estimated Project Cost:900,000$ Location:Civic Center Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-210012 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs Existing Project Annual repair and maintenance at Civic Center building consisting of painting, carpet replacement, plumbing, and ongoing improvements. Repair and replacement of worn and damaged areas at Civic Center. Areas within Civic Center experiencing high levels of wear and tear need to be replaced, such as carpeting and painting. This also funds minor reconfiguration of office spaces to meet any new department needs. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 267 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Corp Yard - Equipment Maintenance - Replace Vehicle Hoists Item No.4 Type Facilities CIP Project No.202702 Department: Public Works Dept's Priority #:(? of ?)District No.4 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ -$ 500,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 250,000$ 250,000$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ -$ 500,000$ Funds Expended to Date:-$ Total Estimated Project Cost:500,000$ Location:Corporation Yard Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-202702 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project This request would replace out-of-service lifts in the equipment services maintenance bays. There are currently three lifts that are red tagged and not in use due to safety issues. New lifts will also improve the ability to perform maintenance and turn equipment around due to the current limits of having them out of service. Due to the age of the lifts, the vendor is having a difficult time getting parts for the lifts necessitating the need for full replacement. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 268City of Costa Mesa, California capItal IMproveMent prograM Downtown Aquatic Center Pool Gutter Grates Item No.5 Type Facilities CIP Project No.202703 Department: Parks and Comm. Svcs Dept's Priority #:10 of 17 District No.5 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ -$ 100,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ -$ 100,000$ Funds Expended to Date:-$ Total Estimated Project Cost:100,000$ Location:Downtown Aquatics Center Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-14300-40212-202703 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project Replace existing pool grates and associated drains at the Downtown Aquatics Center. Pool grates at the Downtown Aquatics Center have deteriorated, creating hazards like cracks and uneven surfaces. Replacement will improve safety, ensure code compliance, protect infrastructure, and enhance appearance. Timely action is essential to protect visitors and staff to maintain facility integrity. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 269 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Fire Station 2 Reconstruction Item No.6 Type Facilities CIP Project No.200013 Department: Fire Dept's Priority #:3 of 6 District No.2 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 12,000,000$ 3,000,000$ -$ -$ -$ -$ 15,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 12,000,000$ 3,000,000$ -$ -$ -$ -$ 15,000,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 12,000,000$ -$ -$ -$ -$ -$ 12,000,000$ -$ 3,000,000$ -$ -$ -$ -$ 3,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 12,000,000$ 3,000,000$ -$ -$ -$ -$ 15,000,000$ Funds Expended to Date:-$ Total Estimated Project Cost:15,000,000$ Location:Fire Station 2 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-TBD-19500-50910-200013 500000-401-19500-50910-200013 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs Existing Project Demolition and replacement of Fire Station 2. Fire Station 2 has served the community for several decades and has exceeded its useful life. This Fire Station is no longer effective for current operational needs due to mechanical, electrical, and plumbing deficiencies, as well as gender accommodations. Funding is requested for the construction phase of this project. Expenditure Breakdown Total Estimated Costs Funding Sources Future Bond 1 Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 270City of Costa Mesa, California capItal IMproveMent prograM Fire Stations - Minor Projects at Various Stations Item No.7 Type Facilities CIP Project No.210004 Department: Fire Dept's Priority #:1 of 6 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ Funds Expended to Date:-$ Total Estimated Project Cost:900,000$ Location:Fire Stations 1-6 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-210004 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project Minor and continuous projects at various fire stations (1-6). Aging facilities at all the of City's six fire stations require annual maintenance, upgrades and improvements. Typical upgrades include restroom fixtures, electrical, lighting, plumbing and life safety amenities. Funding is needed to ensure continued operations of all six stations. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 271 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Fire Stations - Overhead, Rolling & Apparatus Door Replacement Item No.8 Type Facilities CIP Project No.202704 Department: Public Works Dept's Priority #:District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ -$ 750,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ -$ 750,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ -$ 750,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ -$ 750,000$ Funds Expended to Date:-$ Total Estimated Project Cost:750,000$ Location:Fire Stations 1-6 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-202704 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs New Project This project includes the replacement of overhead, rolling, and apparatus doors and associated operators at multiple fire stations to improve reliability, safety, and operational readiness. Aging fire station doors are unreliable, causing maintenance issues and potential response delays. Replacement will improve reliability, safety, reduce costs, and ensure uninterrupted emergency readiness. Fully functional doors are essential for security and timely response. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 272City of Costa Mesa, California capItal IMproveMent prograM Police Department - Chillers Replacement Item No.9 Type Facilities CIP Project No.200054 Department: Public Works Dept's Priority #:District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ 800,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 800,000$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ 800,000$ Funds Expended to Date:-$ Total Estimated Project Cost:800,000$ Location:Police Department Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-200054 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project This project involves removing the two existing chillers and installing new, high-efficiency chillers that meet current performance and energy standards. The existing chillers have reached the end of the useful life and are no longer operating reliably or efficiently. Replacing the units will reduce the risk of failure, improve energy efficiency, and ensure consistent cooling performance. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 273 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Police Department - Emergency Comm Facility Improvement and Roof Replacement Item No.10 Type Facilities CIP Project No.210015 Department: Public Works Dept's Priority #:District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 900,000$ 2,000,000$ -$ -$ -$ -$ 2,900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 900,000$ 2,000,000$ -$ -$ -$ -$ 2,900,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 900,000$ 2,000,000$ -$ -$ -$ -$ 2,900,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 900,000$ 2,000,000$ -$ -$ -$ -$ 2,900,000$ Funds Expended to Date:-$ Total Estimated Project Cost:2,900,000$ Location:PD Emergency Communication Center Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-210015 CAPITAL IMPROVEMENT PROGRAM 5 - Asset Condition, Annual Recurring Costs Existing Project This project is to improve the Emergency Communications Center that requires upgrades to meet current standards. Improvements include building systems, equipment, and construction elements such as fire suppression, plumbing, HVAC, electrical and communication infrastructure, ADA-compliant bathrooms, accessibility, and overall safety and security. Due to the scope of the project, it is funded over multiple fiscal years. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 274City of Costa Mesa, California capItal IMproveMent prograM Police Department - Facility Expand/Reconfigure for Real Time Information Center Item No.11 Type Facilities CIP Project No.202705 Department: Police Dept's Priority #:(2 of 2)District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,039,000$ 400,000$ 2,000,000$ -$ -$ -$ 3,439,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,039,000$ 400,000$ 2,000,000$ -$ -$ -$ 3,439,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 1,039,000$ 400,000$ 2,000,000$ -$ -$ -$ 3,439,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,039,000$ 400,000$ 2,000,000$ -$ -$ -$ 3,439,000$ Funds Expended to Date:-$ Total Estimated Project Cost:3,439,000$ Location:Police Department Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-230-19500-50910-202705 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding New Project To expand and reconfigure the Records Bureau and Watch Commander Office to support the Real-Time Information Center (RTIC) and Drone as a First Responder program. The proposed RTIC will centralize real-time public safety data to improve crime prevention, response, and investigations. It will integrate technologies into a unified platform and require dedicated staffing, technology upgrades, and facility enhancements. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Blank Fund 12 Federal Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 275 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Senior Center - Facility Improvements Item No.12 Type Facilities CIP Project No.200037 Department: Public Works Dept's Priority #:District No.4 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ 150,000$ 150,000$ 150,000$ -$ 950,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ 150,000$ 150,000$ 150,000$ -$ 950,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ 250,000$ 150,000$ 150,000$ 150,000$ -$ 700,000$ 250,000$ -$ -$ -$ -$ -$ 250,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ 250,000$ 150,000$ 150,000$ 150,000$ -$ 950,000$ Funds Expended to Date:-$ Total Estimated Project Cost:950,000$ Location:Senior Center Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-50910-200037 500000-230-19500-50910-200037 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project Perform various tenant improvements including, but not limited to new flooring, interior and exterior paint, exterior drainage repair, roof repairs, interior equipment, plumbing improvements and any needed improvements identified by staff. The Senior Center serves as a crucial service and recreational hub for the senior citizens of Costa Mesa. There are numerous programs and services that are performed at the facility and is a high use, critical infrastructure building needing funding for improvements. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Federal Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 276City of Costa Mesa, California capItal IMproveMent prograM Citywide Tree Maintenance (in Public Right-of-Way)Item No.13 Type Parks CIP Project No.350033 Department: Public Works Dept's Priority #:(4 of 12)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,200,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19500-40111-350033 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project Tree Planting and Small Tree Care. This project would provide fuding to plant trees and provide initial care and maintenance for new trees as well as implement plantings in the Public Right-of-Way as outlined in the Tree Canopy Assessment. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 277 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Costa Mesa Skate Park Expansion Item No.14 Type Parks CIP Project No.700027 Department: Public Works Dept's Priority #:(? of ?)District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ -$ -$ 3,349,000$ -$ -$ -$ -$ -$ -$ 3,349,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 3,349,000$ 500,000$ -$ -$ -$ -$ -$ 3,849,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ -$ -$ -$ -$ -$ -$ 100,000$ 1,249,000$ 500,000$ -$ -$ -$ -$ -$ 1,749,000$ 2,000,000$ -$ -$ -$ -$ -$ -$ 2,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 3,349,000$ 500,000$ -$ -$ -$ -$ -$ 3,849,000$ Funds Expended to Date:-$ Total Estimated Project Cost:3,849,000$ Location:Costa Mesa Skate Park Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-208-19200-40112-700027 500000-401-19200-40112-700027 500000-230-19200-40112-700027 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding Existing Project The skate park will incorporate new and enhanced features, as well as expand to now include a clover pool, pump track, snake run, and street area. City Council awarded the construction contract agreement on April 7, 2026. Project will enhance and expand the current skate park and is currently funded through ARPA funds from the County of Orange, Park Development Fees Fund, and the Capital Improvement Fund. Council directive is to proceed and construct the new Costa Mesa Skate Park. Additional funds are required to finance the costs for construction management and the project contingency. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Park Development Fees Fund Capital Improvement Fund ARPA Fund from County Total Funding Sources None 278City of Costa Mesa, California capItal IMproveMent prograM Fairview Park - Vernal Pools Restoration Item No.15 Type Parks CIP Project No.700132 Department: Parks and Comm. Svcs Dept's Priority #:1 of 17 District No.5 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 167,378$ 80,000$ 80,000$ 25,000$ -$ 200,000$ -$ 552,378$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 167,378$ 80,000$ 80,000$ 25,000$ -$ 200,000$ -$ 552,378$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 80,000$ 80,000$ 25,000$ -$ 200,000$ -$ 385,000$ 167,378$ -$ -$ -$ -$ -$ -$ 167,378$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 167,378$ 80,000$ 80,000$ 25,000$ -$ 200,000$ -$ 552,378$ Funds Expended to Date:-$ Total Estimated Project Cost:552,378$ Location:Fairview Park Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-14300-20115-700132 500000-231-14300-20115-700132 CAPITAL IMPROVEMENT PROGRAM 2 - Regulatory or Mandated Requirement Existing Project Fairview Park Vernal Pools restoration, monitoring, and reporting. A long-term restoration plan for Fairview Park vernal pools and watershed was approved by the U.S. Fish and Wildlife Service. It includes a two-year weed abatement phase starting in 2020, followed by five years of restoration, monitoring, and reporting through 2028–29. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund State Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 279 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Fairview Park Master Plan Implementation Item No.16 Type Parks CIP Project No.700135 Department: Parks and Comm. Svcs Dept's Priority #:6 of 17 District No.5 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 250,000$ 250,000$ 250,000$ 500,000$ 1,500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 250,000$ 250,000$ 250,000$ 500,000$ 1,500,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ 150,000$ 250,000$ 250,000$ 250,000$ 500,000$ 1,500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 250,000$ 250,000$ 250,000$ 500,000$ 1,500,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,500,000$ Location:Fairview Park Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-208-14300-20115-700135 CAPITAL IMPROVEMENT PROGRAM 4 - Master Plan, General Plan New Project This project is to implement Fairview Master Plan elements, and as match for conservation and restoration grants that staff pursue. This project will implement enhancements and improvements at Fairview Park in accordance with the Fairview Park Master Plan. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Park Development Fees Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources TBD by FVP Administrator 280City of Costa Mesa, California capItal IMproveMent prograM Harper Park - Playground Replacement Item No.17 Type Parks CIP Project No.202706 Department: Public Works Dept's Priority #:(1 of 12)District No.6 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 400,000$ -$ -$ -$ -$ -$ 400,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 400,000$ -$ -$ -$ -$ -$ 400,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 400,000$ -$ -$ -$ -$ -$ 400,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 400,000$ -$ -$ -$ -$ -$ 400,000$ Funds Expended to Date:-$ Total Estimated Project Cost:400,000$ Location:Harper Park Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-40111-202706 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project Remove and replace playground equipment with udpated age appropriate and accesible equipment. Replace playground safety surfacing. Playground equipment installed in 1995 is worn and deteriorated, with obsolete replacement parts. Replacing it will improve safety, reduce risk of injuries and claims, and enhance the site’s appearance and surrounding neighborhood. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 281 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Moon Park - Playground Replacement Item No.18 Type Parks CIP Project No.202707 Department: Public Works Dept's Priority #:(12 of 12)District No.1 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 50,000$ -$ -$ -$ -$ -$ 50,000$ -$ 600,000$ -$ -$ -$ -$ 600,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 600,000$ -$ -$ -$ -$ 650,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 50,000$ 600,000$ -$ -$ -$ -$ 650,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 600,000$ -$ -$ -$ -$ 650,000$ Funds Expended to Date:-$ Total Estimated Project Cost:650,000$ Location:Moon Park Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-40111-202707 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project The proposed project is for initial community outreach and development of a conceptual plan. Final design and construction will be requested in future fiscal years budget to remove and replace entire playground equipment with updated age appropriate and accessible equipment, and replace playground safety surfacing. The playground equipment is worn and deteriorated. Replacement parts are obsolete and difficult to procure. This project would improve safety and minimize the chance of future injuries and potential claims against the City. The new equipment would also enhance the aesthetics of this site and its surrounding neighborhood. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 282City of Costa Mesa, California capItal IMproveMent prograM Park Parking Lot and Playground Rehabilitation Item No.19 Type Parks CIP Project No.700146 Department: Public Works Dept's Priority #:(5 of 12)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 650,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 650,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 650,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 650,000$ Funds Expended to Date:Ongoing Total Estimated Project Cost:650,000$ Location:Various City Parks Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-40111-700146 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. Implement necessary rehabilitation, repairs and replacement of playground equipment and playground surfacing. This project would replace damaged, worn out, or unsafe playground equipment. The repairs would eliminate potential hazards due to unsafe conditions on the playground structure and playground equipment. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 283 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Park Security Lighting Replacement Item No.20 Type Parks CIP Project No.700080 Department: Public Works Dept's Priority #:(11 of 12)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 500,000$ 1,050,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 500,000$ 1,050,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 500,000$ 1,050,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 500,000$ 1,050,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,050,000$ Location:Various City Parks Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19200-40112-700080 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. This project will replace the existing metal halide lighting at various parks with solar powered LED lighting. The installation of an advanced lighting system will significantly improve visibility, reduce incidents of vandalism, and generate long-term energy savings. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 284City of Costa Mesa, California capItal IMproveMent prograM Park Sidewalk Replacement Item No.21 Type Parks CIP Project No.700106 Department: Public Works Dept's Priority #:(10 of 10)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 425,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 425,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 50,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 425,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 425,000$ Funds Expended to Date:-$ Total Estimated Project Cost:425,000$ Location:Various City Parks Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-40111-700106 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. Resurface parking lots, and remove and replace sidewalk at various park locations. This project will rehabilitiate and repair deteriorating asphalt and striping in parking lots at various park sites and would replace cracked, raised, or buckled concrete in walkways, eliminating potential hazards due to unsafe walking conditions. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 285 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Shiffer Park - Playground and Park Improvements Item No.22 Type Parks CIP Project No.202708 Department: Public Works Dept's Priority #:(2 of 12)District No.2 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ -$ -$ 750,000$ 1,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ -$ -$ -$ -$ 750,000$ 1,000,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 250,000$ -$ -$ 750,000$ 1,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 250,000$ -$ -$ -$ -$ 750,000$ 1,000,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,000,000$ Location:Shiffer Park Playground Replacement Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19500-40111-202708 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project Remove and replace entire playground equipment. Remove sand and replace with rubber surfacing and wood fiber. Future park improvements that could include playground improvements, restroom improvements or the addition of other park amenities. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 286City of Costa Mesa, California capItal IMproveMent prograM Citywide Alley Improvements Item No.23 Type Streets CIP Project No.400012 Department: Public Works Dept's Priority #:1 of 7 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 500,000$ 500,000$ -$ -$ -$ 1,200,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 500,000$ 500,000$ -$ -$ -$ 1,200,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 200,000$ 500,000$ 500,000$ -$ -$ -$ 1,200,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 500,000$ 500,000$ -$ -$ -$ 1,200,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,200,000$ Location:Citywide-Various Locations Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19200-30112-400012 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project Citywide alley rehabilitation by replacing aging asphalt alleys with concrete surfacing. A comprehensive study was conducted assessing the conditions and improvements for all of the City's public alleyways. This is a multi-year project that is nearing completion. Funding is requested this fiscal year to design the remaining alleys. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 287 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Citywide Street Improvements Item No.24 Type Streets CIP Project No.400015 Department: Public Works Dept's Priority #:1 of 7 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5,950,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 30,950,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5,950,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 30,950,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 6,000,000$ 350,000$ -$ -$ -$ -$ -$ 350,000$ 1,500,000$ 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 6,500,000$ 3,100,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 18,100,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5,950,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 30,950,000$ Funds Expended to Date:-$ Total Estimated Project Cost:30,950,000$ Location:Citywide-Various Locations Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19200-30112-400015 500000-251-19200-30112-400015 500000-401-19200-30112-400015 500000-416-19200-30112-400015 CAPITAL IMPROVEMENT PROGRAM 4 - Master Plan, General Plan Ongoing citywide project; therefore, no prior budgeted amounts are included below. Rehabilitation of streets that include by one or a combination of the following methods: grind & overlay, leveling course and slurry seal, and reconstruction of structurally deficient areas. This program provides major rehabilitation to streets and is implemented in accordance with the Pavement Management System to meet the City Council goal to reach and maintain an average Citywide Pavement condition Index (PCI) of 85. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Gas Tax (RMRA) Fund Capital Improvement Fund Measure M2 Fairshare Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 288City of Costa Mesa, California capItal IMproveMent prograM New Sidewalk/Missing Link Program Item No.25 Type Streets CIP Project No.500009 Department: Public Works Dept's Priority #:3 of 7 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 600,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 600,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 600,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 600,000$ Funds Expended to Date:-$ Total Estimated Project Cost:600,000$ Location:Citywide-Various Locations Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19200-30130-500009 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. This program includes the construction of new sidewalk at locations where short segments are missing. This program allows for the construction of new sidewalk mid-block where short segments are missing to provide a continuous path of travel or for entire blocks at or near high priority areas, such as around schools, hospitals, convalescrent homes, public facilities, bus routes, and major highways. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 289 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Newport Blvd. Improvement NB (22nd to Bristol) & SB (Bristol to Mesa)Item No.26 Type Streets CIP Project No.300173 Department: Public Works Dept's Priority #:1 of 7 District No.3, 5, 6 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ -$ 2,350,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 2,350,000$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ -$ 2,350,000$ Funds Expended to Date:-$ Total Estimated Project Cost:2,350,000$ Location:Newport Boulevard Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-251-19200-71200-300173 CAPITAL IMPROVEMENT PROGRAM 4 - Master Plan, General Plan Existing Project This project consists of rehabilitating the roadway pavement, concrete parkways, and striping and marking improvements. This street improvement project will be funded with Road Maintenance and Rehabilitation Account (RMRA) funds, a program that provides funding or major rehabilitation of streets that are in need of improvement. Striping, markings, and bicycle facilities will be consistent with the City's Active Transportation Plan (ATP). Enhanced bicylce facilites and landsape are proposed alng this segment of Newport Boulveard forntage road requiring additonal funding. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (RMRA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 290City of Costa Mesa, California capItal IMproveMent prograM Parkway & Medians Improvement Program Item No.27 Type Streets CIP Project No.500010 Department: Public Works Dept's Priority #:2 of 7 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 175,000$ 175,000$ 175,000$ 175,000$ 175,000$ 1,075,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 175,000$ 175,000$ 175,000$ 175,000$ 175,000$ 1,075,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 450,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 450,000$ 50,000$ 25,000$ 25,000$ 25,000$ 25,000$ 25,000$ 175,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 200,000$ 175,000$ 175,000$ 175,000$ 175,000$ 175,000$ 1,075,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,075,000$ Location:Citywide-Various Locations Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19200-30130-500010 500000-401-19200-30130-500010 500000-416-19200-30130-500010 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. Reconstruction of damaged curb, gutter, ramps, sidewalks, and median landscape and irrigation. Permanently repair damaged areas of the right-of-way and ADA accessibility improvements and replace existing median landscape and irrigation improvements with drought-tolerant landscape that includes California native plants and state-of-the- art irrigation systems. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Capital Improvement Fund Measure M2 Fairshare Fund Total Funding Sources None 291 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Priority Sidewalk Repair Item No.28 Type Streets CIP Project No.500017 Department: Public Works Dept's Priority #:2 of 7 District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 390,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 390,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 390,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 390,000$ Funds Expended to Date:-$ Total Estimated Project Cost:390,000$ Location:Citywide-Various Locations Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19200-30130-500017 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. This project is an ongoing maintenance program to remove and replace damaged curb, gutter, and sidewalk. Additionally, ADA accessibility ramps are constructed as staff receives individual requests. These funds will be also used to perform the necessary parkway repairs where staff has been directed to remove trees by the Parks & Community Services Commission. A sidewalk maintenance program is essential to remove and replaced damaged curg, gutter, and siddewalk. This program is intended to provide funds to repair the damaged concrete improvements within the City right-of-way. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Total Funding Sources None 292City of Costa Mesa, California capItal IMproveMent prograM Adams Avenue Multipurpose Trails Item No.29 Type Transportation CIP Project No.450013 Department: Public Works Dept's Priority #:(? of ?)District No.1 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4,788,796$ 2,777,000$ 1,677,000$ -$ -$ -$ -$ 9,242,796$ -$ 868,000$ -$ -$ -$ -$ 868,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4,788,796$ 2,777,000$ 2,545,000$ -$ -$ -$ -$ 10,110,796$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 565,796$ -$ 1,245,000$ -$ -$ -$ -$ 1,810,796$ 4,223,000$ 2,777,000$ -$ -$ -$ -$ -$ 7,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4,788,796$ 2,777,000$ 2,545,000$ -$ -$ -$ -$ 10,110,796$ Funds Expended to Date:345,875$ Total Estimated Project Cost:10,110,796$ Location:Adams Avenue Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19300-30225-450013 500000-230-19300-30225-450013 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding Existing Project The Adams Avenue Active Transportation Improvements project will build Class I multi-use paths from the Santa Ana River to Royal Palm Drive. Improvements include medians, landscaping, lighting, and signal upgrades. The project enhances safety and accessibility, connecting to planned and existing bicycle facilities. The City received a competitive federal grant for construction funds of this project, reducing City funding needed. This project is in accordance with the City's General Plan and the Active Transportation Plan. The project is in the design phase. The project will improve pedestrian and bicycle mobility and access in the area. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Federal Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 293 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Bicycle and Pedestrian Infrastructure Improvements Item No.30 Type Transportation CIP Project No.450015 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 950,000$ 250,000$ 250,000$ 250,000$ 200,000$ 200,000$ 500,000$ 2,600,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 950,000$ 250,000$ 250,000$ 250,000$ 200,000$ 200,000$ 500,000$ 2,600,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 600,000$ 100,000$ 100,000$ 100,000$ 200,000$ 200,000$ 500,000$ 1,800,000$ 50,000$ -$ -$ -$ -$ -$ -$ 50,000$ 300,000$ 150,000$ 150,000$ 150,000$ -$ -$ -$ 750,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 950,000$ 250,000$ 250,000$ 250,000$ 200,000$ 200,000$ 500,000$ 2,600,000$ Funds Expended to Date:-$ Total Estimated Project Cost:2,600,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-214-19300-30225-450015 500000-416-19300-30225-450015 500000-240-19300-30225-450015 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. Citywide bicycle and pedestrian infrastructure improvements to implement the adopted Active Transportation Plan and the Pedestrian Master Plan and to address other safety and mobility needs for people walking and cycling within the community. Increase access and mobility and improve safety for bicyclists and pedestrians. The improvements address some of the many requests by local community members, advocates, and the Active Transportation Committee seeking to improve mobility and safety for vulnerable road users traveling by walking or cycling. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Traffic Impact Fee Fund Cannabis Traffic Impact Fees Fund Measure M2 Fairshare Fund Picture Total Funding Sources None 294City of Costa Mesa, California capItal IMproveMent prograM Bristol Street Traffic Signal Synchronization Project Item No.31 Type Transportation CIP Project No.370044 Department: Public Works Dept's Priority #:(? of ?)District No.2, 3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 315,000$ -$ -$ -$ -$ -$ 315,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 315,000$ -$ -$ -$ -$ -$ 315,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ -$ -$ -$ -$ -$ 150,000$ 165,000$ -$ -$ -$ -$ -$ 165,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 315,000$ -$ -$ -$ -$ -$ 315,000$ Funds Expended to Date:-$ Total Estimated Project Cost:315,000$ Location:Districts 2, 3 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-214-19300-30241-370044 500000-416-19300-30241-370044 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding New Project The Bristol Street Traffic Signal Synchronization Project upgrades signal equipment and communications, including controllers, APS push buttons, bike detection, fiber optics, and Traffic Management Center improvements. The project enhances connectivity and coordination along Bristol St. and the Anton Blvd. corridor. Costa Mesa, Santa Ana, and Newport Beach received an OCTA Project P grant for traffic signal equipment and communication upgrades along Bristol Street. Led by Santa Ana, the project supports regional signal synchronization and improved corridor traffic operations. Funding is required for City's match portion of the project. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Traffic Impact Fee Fund Measure M2 Fairshare Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 295 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Center Street Pedestrian Crossing and Circulation Improvements Item No.32 Type Transportation CIP Project No.470003 Department: Public Works Dept's Priority #:(? of ?)District No.4 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 50,000$ -$ -$ -$ -$ -$ -$ 50,000$ 500,000$ -$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 500,000$ -$ -$ -$ -$ -$ 550,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 50,000$ -$ -$ -$ -$ -$ -$ 50,000$ 500,000$ -$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50,000$ 500,000$ -$ -$ -$ -$ -$ 550,000$ Funds Expended to Date:-$ Total Estimated Project Cost:550,000$ Location:District 4 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19300-30225-470003 500000-416-19300-30225-470003 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project The project will install a Pedestrian Hybrid Beacon (HAWK) and high-visibility crosswalk at Center Street and Placentia Avenue. Improvements include a bulb-out, striping, and signal coordination. Community members have consistently requested pedestrian safety and access improvements. The project will enhance the safety and accessibility for pedestrians crossing the intersection of Center Street and Placentia Avenue and is consistent with the City's goals of enhancing safety and accessibility for all users. The community has consistently requested improvements at this intersection to address pedestrian safety. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Measure M2 Fairshare Fund Total Funding Sources None 296City of Costa Mesa, California capItal IMproveMent prograM Citywide Neighborhood Traffic Improvements Item No.33 Type Transportation CIP Project No.300163 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 75,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 575,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 75,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 575,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 75,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 575,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 75,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 575,000$ Funds Expended to Date:-$ Total Estimated Project Cost:575,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19300-30241-300163 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Ongoing citywide project; therefore, no prior budgeted amounts are included below. This project includes ongoing citywide implementation of neighborhood traffic improvements including signs, approved speed humps, flashing beacons, vehicle speed feedback signs, and other improvements to enhance the neighborhood character. The project will enhance citywide neighborhood character and improve neighborhood traffic for all modes of transportation. The traffic improvements will address the many citizen requests that are received by the Transportation Division annually related to traffic operations, concerns, safety, and quality of life. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Total Funding Sources None 297 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Citywide Traffic Signal Improvements Item No.34 Type Transportation CIP Project No.370058 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,350,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,350,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 100,000$ -$ -$ -$ -$ -$ -$ 100,000$ 50,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,250,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,350,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,350,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19300-30241-370058 500000-416-19300-30241-370058 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project Construct traffic signal improvements Citywide to upgrade traffic signal infrastructure for all modes of travel as needed. Improvements include but are not limited to new signal controllers, video detection, Accessible Pedestrian Signal (APS) push buttons, emergency vehicle preemption, pedestrian safety lighting, and battery backup systems. Traffic signal improvement upgrades are needed at several locations citywide to continue operational efficiency for all modes of travel which are not already funded by grants. Proactively addressing failing equipment will minimize traffic congestion and costly delays to the community traveling through the traffic signal network on major corridors. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Measure M2 Fairshare Fund Total Funding Sources None 298City of Costa Mesa, California capItal IMproveMent prograM Clean Mobility Options Program - On-Demand Transit Services Item No.35 Type Transportation CIP Project No.300186 Department: Public Works Dept's Priority #:(? of ?)District No.4, 5, 6 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,150,000$ 650,000$ -$ -$ -$ -$ -$ 1,800,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,150,000$ 650,000$ -$ -$ -$ -$ -$ 1,800,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 1,150,000$ 650,000$ -$ -$ -$ -$ -$ 1,800,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,150,000$ 650,000$ -$ -$ -$ -$ -$ 1,800,000$ Funds Expended to Date:-$ Total Estimated Project Cost:1,800,000$ Location:Districts 4, 5, 6 Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-232-19300-30241-300186 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding Existing Project The project funds an on-demand, all-electric transit service for disadvantaged communities west of Newport Boulevard. It serves key destinations in the southern portion of the City and operates four vehicles seven days a week for a multi-year evaluation period. The City received $1.8 million in funding for a zero-emission on-demand shuttle pilot program for Disadvantaged or Low- Income areas to provide transit connections to OCTA bus routes, grocery stores, shopping, and job centers in Costa Mesa. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Other Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 299 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 College Avenue Parking and Circulation Improvements Item No.36 Type Transportation CIP Project No.202709 Department: Public Works Dept's Priority #:(? of ?)District No.5 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ Funds Expended to Date:-$ Total Estimated Project Cost:150,000$ Location:College Avenue Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-201-19300-30210-202709 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project The project will design and construct parking and circulation improvements along College Avenue between Victoria Street and Wilson Street. Proposed improvements includes but are not limited to slurry seal, Class III bicycle routes, and signing and striping improvements. The project will serve to increase available parking along College Avenue. Due to the wide width of College Avenue, the existing lane configuration can be modified to increase the parking supply through the addition of angle parking similar to the improvements constructed along Randolph Avenue. The project will also install a Class III bicycle route consistent with the City's Active Transportation Plan. Expenditure Breakdown Total Estimated Costs Funding Sources Future Bond 1 Land acquisition Design, permits Construction Contingency Other Gas Tax (HUTA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 300City of Costa Mesa, California capItal IMproveMent prograM Fair Drive Circulation Improvements Item No.37 Type Transportation CIP Project No.202710 Department: Public Works Dept's Priority #:(? of ?)District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ 800,000$ -$ -$ -$ -$ -$ -$ -$ 80,000$ -$ -$ -$ -$ -$ 80,000$ -$ -$ -$ -$ -$ 3,000,000$ 3,000,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 880,000$ -$ -$ -$ -$ 3,000,000$ 3,880,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 201,000$ -$ -$ -$ -$ -$ 201,000$ 679,000$ -$ -$ -$ -$ -$ 679,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 880,000$ -$ -$ -$ -$ 3,000,000$ 3,880,000$ Funds Expended to Date:-$ Total Estimated Project Cost:3,880,000$ Location:Fair Drive Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-416-19300-30210-202710 500000-230-19300-30210-202710 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding New Project The project will improve safety and mobility for travelers between Harbor Boulevard and Newport Boulevard with potential improvements including roadway paving, new medians, transit stop upgrades, Cycle Tracks, signal and intersection improvements. Consistent with the City's General Plan and the Active Transportation Plan, the City received a competitive federal grant for this project to improve safety and mobility for all travelers, grow transportation options, beautify the corridor, improve air quality, and strengthen connections to major destinations. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Measure M2 Fairshare Fund Federal Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 301 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Harbor Blvd. Cornerstone Bike Trail Item No.38 Type Transportation CIP Project No.202711 Department: Public Works Dept's Priority #:(6 of 12)District No.1 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ -$ 450,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 450,000$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ -$ 450,000$ Funds Expended to Date:-$ Total Estimated Project Cost:450,000$ Location:Harbor Blvd. Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-251-19500-40111-202711 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment New Project Replace vandalized lighting on the Harbor Boulevard portion of the Joann Bike Trail and Cornerstone Bike Trail with new LED lighting. This project will replace the vandalized lighting with solar powered LED lights. The advanced lighting system will increase visibility and safety, reduce vandalism and provide energy savings. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Gas Tax (RMRA) Fund Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 302City of Costa Mesa, California capItal IMproveMent prograM Local Road Safety Plan Update Item No.39 Type Transportation CIP Project No.300176 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 150,000$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 150,000$ -$ -$ -$ -$ -$ 150,000$ Funds Expended to Date:-$ Total Estimated Project Cost:150,000$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-416-19300-30210-300176 CAPITAL IMPROVEMENT PROGRAM 1 - Risk to Health, Safety or Environment Existing Project Update the City’s 2022 Local Road Safety Plan (LRSP) to maintain grant eligibility. The update will analyze five years of crash data, set safety goals, solicit stakeholder input, and develop criteria to prioritize safety improvements. To be eligible for Highway Safety Improvement Program (HSIP) grant funding, local jurisdictions must update their LRSP every five years. The LRSP offers a proactive approach to addressing safety needs and demonstrates agency responsiveness to safety challenges. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Measure M2 Fairshare Fund Total Funding Sources None 303 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 Mesa Del Mar Multimodal Access Item No.40 Type Transportation CIP Project No.370010 Department: Public Works Dept's Priority #:(? of ?)District No.3 Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 349,920$ 450,000$ -$ -$ -$ -$ 799,920$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 349,920$ 450,000$ -$ -$ -$ -$ 799,920$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 349,920$ -$ -$ -$ -$ -$ 349,920$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 349,920$ 450,000$ -$ -$ -$ -$ 799,920$ Funds Expended to Date:-$ Total Estimated Project Cost:799,920$ Location:Mesa Del Mar Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-231-19300--370010 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding Existing Project The Junipero Drive and Arlington Drive Safety Improvement Project will add sidewalks, Cycle Tracks, signing and striping, and a raised intersection. Improvements from Presidio to Arlington Drive will enhance safety and accessibility, including connections to the Arlington Class I multi-use path. The City received a competitive state grant for construction funds of this project. This project is in accordance with the City's General Plan and the Active Transportation Plan. The project is in the design phase. The project will improve pedestrian and bicycle safety in the area. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other State Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 304City of Costa Mesa, California capItal IMproveMent prograM Signal Modernization for Systemic Multi-Modal Safety Improvements Item No.41 Type Transportation CIP Project No.300188 Department: Public Works Dept's Priority #:(? of ?)District No.All Category:Project Status: Project Description: Project Justification: 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total -$ -$ -$ -$ -$ -$ -$ 300,000$ -$ -$ -$ -$ -$ -$ 300,000$ 4,040,100$ 300,000$ -$ -$ -$ -$ -$ 4,340,100$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4,340,100$ 300,000$ -$ -$ -$ -$ -$ 4,640,100$ 2025-26 and Prior Proposed 2026-27 2027-28 2028-29 2029-30 2030-31 Future Total 434,010$ -$ -$ -$ -$ -$ -$ 434,010$ 300,000$ -$ -$ -$ -$ -$ 300,000$ 3,906,090$ -$ -$ -$ -$ -$ -$ 3,906,090$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4,340,100$ 300,000$ -$ -$ -$ -$ -$ 4,640,100$ Funds Expended to Date:-$ Total Estimated Project Cost:4,640,100$ Location:Citywide Maintenance Cost Impact Description: Annual Cost Impact:-$ Project Account (Account-Fund-Org-Program-Project): 500000-401-19300-30241-300188 500000-416-19300-30241-300188 500000-230-19300-30241-300188 CAPITAL IMPROVEMENT PROGRAM 3 - Grant Funding Existing Project This project will implement safety and operations improvements including Leading Pedestrian Intervals, countdown signals, reflective backplates, battery backup equipment, and emergency vehicle preemption. Planned improvements enhance visibility, maintain operations during outages, and support safer, more efficient travel for all users and emergency services. This is a competitive grant project awarded from the State of California's Highway Safety Improvement Program. The purpose of this grant project is to achieve significant reduction in fatalities and serious injuries for all modes of travel on public roads. Expenditure Breakdown Total Estimated Costs Funding Sources Land acquisition Design, permits Construction Contingency Other Capital Improvement Fund Measure M2 Fairshare Fund Federal Grant Insert image(s) of map, and or photos within the boundaries of this merged cell Total Funding Sources None 305 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 1 1 City Hall - HVAC Retrofit Project -$ 1 2 Citywide - Costa Mesa Green Business Program -$ 1 3 Citywide - Drought Resistant Landscape and Vegetation Replacement -$ 1 4 Citywide - Energy Efficiency Projects -$ 1 5 Fire Stations - EV Solar and Power Stations -$ 1 6 Various Facilities - Electric Vehicle Charging Stations -$ 1 TOTAL ENERGY & SUSTAINABILITY -$ 1 Next Category 1 7 3175 Airway Roof Replacement (Bridge Shelter)-$ 1 8 Balearic Center - ADA Upgrades -$ 1 9 Balearic Center - Fire Protection Sprinklers -$ 1 10 Balearic Center - Install New HVAC Unit -$ 1 11 Bridge Shelter - HVAC Automation -$ 1 12 Building Modification Projects 250,000$ 1 13 City Hall - 1st Floor Restroom and ADA Improvements -$ 1 14 City Hall - Air Handler Replacement Various Floors -$ 1 15 City Hall - All Doors Lock Replacement and Re-Key -$ 1 16 City Hall - Breezeway Roof -$ 1 17 City Hall - Chiller -$ 1 18 City Hall - Curtain and Window Improvements (1 floor per year)-$ 1 19 City Hall - Dampers -$ 1 20 City Hall - Development Services Workstations 120,000$ 1 21 City Hall - Fire Department Expansion of Two CRR offices into Three Offices -$ 1 22 City Hall - Information Technology Server Room A/C -$ 1 23 City Hall - Office Remodel Various Floors -$ 1 24 City Hall - Public Works General Services Workstations -$ 1 25 Civic Center - Miscellaneous Repairs 150,000$ 1 26 Corp Yard - Equipment Maintenance - Replace Vehicle Hoists 250,000$ 1 27 Corp Yard - Facility Perimeter Concrete Improvements -$ 1 28 Corp Yard - Fleet Extend Bay #2 on North Side of Building for Fire Apparatus -$ 1 29 Corp Yard - Solar Storage Canopy -$ 1 30 Corp Yard - Workspace Modernization -$ 1 31 Costa Mesa Country Club Grounds Improvements -$ 1 32 Costa Mesa Country Club Modernization -$ 1 33 Costa Mesa Housing James / 18th Street Property Improvements -$ 1 34 Donald Dungan Library HVAC Automation and Remote Access -$ 1 35 Donald Dungan Library Watt Stopper Lighting Control Replacement -$ 1 36 Downtown Aquatic Center Pool Gutter Grates 100,000$ 1 37 Downtown Recreation Center Flat Mineral Roof Replacement -$ 1 38 Downtown Recreation Center Lighting Upgrade -$ FACILITIES Category/Project Title ENERGY & SUSTAINABILITY All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 306City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total -$ -$ 600,000$ 600,000$ 600,000$ 1,800,000$ -$ -$ 50,000$ 50,000$ 200,000$ 300,000$ -$ 200,000$ 200,000$ 200,000$ 600,000$ 1,200,000$ -$ 100,000$ 100,000$ 100,000$ 300,000$ 600,000$ -$ -$ 150,000$ -$ -$ 150,000$ -$ -$ 150,000$ 150,000$ 150,000$ 450,000$ -$ 300,000$ 1,250,000$ 1,100,000$ 1,850,000$ 4,500,000$ -$ -$ -$ -$ 900,000$ 900,000$ -$ -$ -$ -$ 150,000$ 150,000$ -$ -$ -$ -$ 160,000$ 160,000$ -$ -$ -$ -$ 350,000$ 350,000$ -$ -$ -$ 165,000$ -$ 165,000$ 400,000$ 400,000$ 400,000$ 400,000$ 1,200,000$ 3,050,000$ -$ -$ -$ -$ 750,000$ 750,000$ -$ 150,000$ 150,000$ 150,000$ 300,000$ 750,000$ -$ -$ -$ 100,000$ -$ 100,000$ 420,000$ -$ -$ -$ -$ 420,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 550,000$ 550,000$ -$ 350,000$ -$ -$ -$ 350,000$ -$ -$ -$ -$ -$ 120,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ 200,000$ 200,000$ 200,000$ 400,000$ 1,000,000$ 150,000$ -$ -$ -$ -$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ 250,000$ -$ -$ -$ -$ 500,000$ -$ -$ -$ -$ 150,000$ 150,000$ -$ -$ -$ 150,000$ -$ 150,000$ -$ -$ -$ -$ 300,000$ 300,000$ -$ -$ -$ -$ 1,000,000$ 1,000,000$ -$ -$ -$ 300,000$ 600,000$ 900,000$ -$ -$ -$ -$ 4,800,000$ 4,800,000$ -$ -$ -$ -$ 500,000$ 500,000$ -$ -$ -$ -$ 200,000$ 200,000$ -$ -$ -$ -$ 135,000$ 135,000$ -$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ 500,000$ 500,000$ -$ -$ -$ -$ 150,000$ 150,000$ CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 307 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 Category/Project Title 1 39 Downtown Recreation Center Rooftop Heater Replacement -$ 1 40 Fire Station 2 Reconstruction 12,000,000$ 1 41 Fire Station 3 Rooftop HVAC Replacement -$ 1 42 Fire Station 4 Living Quarters Reconstruction -$ 1 43 Fire Station 4 Training Tower - Phase 2 -$ 1 44 Fire Station 6 Repair Perimeter Walls -$ 1 45 Fire Stations - Minor Projects at Various Stations 150,000$ 1 46 Fire Stations - Overhead, Rolling & Apparatus Door Replacement 150,000$ 1 47 Fire Stations 3,5, and 6 Modernization -$ 1 48 Mesa Verde Library - ADA Compliance Improvements -$ 1 49 Mesa Verde Library - HVAC Replacement -$ 1 50 Mesa Verde Library - Roof Replacement -$ 1 51 Norma Hertzog Community Center - HVAC Automation and Remote Access -$ 1 52 Norma Hertzog Community Center - Watt Stopper Lighting Control Replacement -$ 1 53 Police Department - Chillers Replacement 800,000$ 1 54 Police Department - Detective Bureau Remodel Project -$ 1 55 Police Department - Emergency Comm Facility Improvement and Roof Replacement 900,000$ 1 56 Police Department - Emergency Operations Center Equipment Update -$ 1 57 Police Department - Exhaust Fans -$ 1 58 Police Department - Exterior Repainting -$ 1 59 Police Department - Facility Expand/Reconfigure for Real Time Information Center 1,039,000$ 1 60 Police Department - Locker Room Remodel/HVAC -$ 1 61 Senior Center - Facility Improvements 250,000$ 1 62 Senior Center - Generator -$ 1 63 Senior Center - Lighting Control Replacement -$ 1 64 Senior Center - Roof Replacement -$ 1 65 Various Facilities - HVAC Replacement Program -$ 1 66 West Side Substation HVAC Replacement -$ 1 67 West Side Substation Renovation -$ 1 68 West Side Substation Roof Replacement -$ 1 TOTAL FACILITIES 16,159,000$ 1 Next Category 1 69 Balearic Community Center Playground Replacement -$ 1 70 Balearic Park Playground Replacement -$ 1 71 Bark Park Turf Renovation -$ 1 72 Butterfly Gardens -$ 1 73 Canyon Park Playground Replacement -$ 1 74 Citywide Tree Maintenance (in Public Right-of-Way)200,000$ FACILITIES (continued) PARKS All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 308City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 -$ -$ -$ -$ 200,000$ 200,000$ 3,000,000$ -$ -$ -$ -$ 15,000,000$ -$ -$ -$ -$ 360,000$ 360,000$ -$ -$ -$ -$ 8,000,000$ 8,000,000$ -$ -$ -$ -$ 2,000,000$ 2,000,000$ -$ -$ -$ 400,000$ 100,000$ 500,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 900,000$ 150,000$ 150,000$ 150,000$ 150,000$ -$ 750,000$ -$ -$ -$ -$ 6,000,000$ 6,000,000$ -$ -$ -$ -$ 550,000$ 550,000$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ -$ 480,000$ 480,000$ -$ -$ -$ -$ 150,000$ 150,000$ -$ -$ -$ -$ 100,000$ 100,000$ -$ -$ -$ -$ -$ 800,000$ -$ 200,000$ -$ -$ -$ 200,000$ 2,000,000$ -$ -$ -$ -$ 2,900,000$ -$ -$ 300,000$ -$ -$ 300,000$ -$ -$ -$ -$ 185,000$ 185,000$ -$ -$ 150,000$ -$ -$ 150,000$ 400,000$ 2,000,000$ -$ -$ -$ 3,439,000$ -$ -$ -$ -$ 400,000$ 400,000$ 250,000$ 150,000$ 150,000$ 150,000$ -$ 950,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 100,000$ 100,000$ 500,000$ -$ -$ -$ -$ 500,000$ -$ 150,000$ 150,000$ 150,000$ 1,000,000$ 1,450,000$ -$ -$ -$ -$ 300,000$ 300,000$ -$ -$ -$ -$ 4,000,000$ 4,000,000$ -$ -$ -$ -$ 500,000$ 500,000$ 7,820,000$ 4,050,000$ 1,950,000$ 2,615,000$ 39,670,000$ 72,264,000$ -$ -$ -$ -$ 300,000$ 300,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 530,000$ 530,000$ -$ 50,000$ 50,000$ 50,000$ -$ 150,000$ -$ -$ -$ -$ 400,000$ 400,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 309 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 Category/Project Title 1 75 Community Gardens -$ 1 76 Costa Mesa Skate Park Expansion 500,000$ 1 77 Costa Mesa Skate Park Parking Lot and Parking Spaces Expansion -$ 1 78 Costa Mesa Tennis Center Improvements -$ 1 79 Del Mesa Park Playground Replacement -$ 1 80 Estancia Park Covered Picnic Shelters/Pavilions -$ 1 81 Fairview Park - Fencing, Signage, and Trail Restoration -$ 1 82 Fairview Park - Educational Hubs and Signage -$ 1 83 Fairview Park - Mesa Restoration & Cultural Resource Preservation CA-ORA-58 -$ 1 84 Fairview Park - Vernal Pools Restoration 80,000$ 1 85 Fairview Park Master Plan Implementation 100,000$ 1 86 Gisler Park Playground Replacement -$ 1 87 Harper Park - Playground Replacement 400,000$ 1 88 Heller Park Playground Replacement and Restroom Improvement -$ 1 89 Lindbergh Park Playground Replacement -$ 1 90 Marina View Park Playground Replacement -$ 1 91 Mesa Verde Park Playground Replacement -$ 1 92 Moon Park - Playground Replacement 50,000$ 1 93 Neth Park Sculpture Garden -$ 1 94 Park Parking Lot and Playground Rehabilitation 100,000$ 1 95 Park Security Lighting Replacement 150,000$ 1 96 Park Sidewalk Replacement 50,000$ 1 97 Shalimar Park Expansion -$ 1 98 Shiffer Park - Playground and Park Improvements 250,000$ 1 99 Shiffer Park - Restroom Improvements -$ 1 100 Smallwood Park Playground Replacement (5-12yo)-$ 1 101 TeWinkle Park - Amphitheater -$ 1 102 TeWinkle Park - Rubberized Surfacing Replacement -$ 1 103 TeWinkle Park Athletic Complex Drainage Improvements -$ 1 104 Tree Planting and Small Tree Care -$ 1 105 Various Parks - Rainbird Irrigation Controller Replacement -$ 1 106 Victoria Corridor Park Development -$ 1 107 Vista Park Playground Replacement -$ 1 108 Wakeham Park Playground Replacement -$ 1 109 Westside Park Development -$ 1 110 Wilson Park Playground Replacement -$ 1 111 Wimbledon Park Playground Replacement -$ 1 TOTAL PARKS 1,880,000$ PARKS (continued) All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 310City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 50,000$ -$ -$ -$ 1,000,000$ 1,050,000$ -$ -$ -$ -$ -$ 500,000$ 50,000$ 250,000$ -$ -$ -$ 300,000$ -$ -$ -$ -$ 1,000,000$ 1,000,000$ -$ -$ -$ -$ 550,000$ 550,000$ -$ -$ 150,000$ -$ 75,000$ 225,000$ 350,000$ -$ 75,000$ 75,000$ 75,000$ 575,000$ -$ 75,000$ -$ -$ -$ 75,000$ -$ -$ -$ -$ 8,000,000$ 8,000,000$ 80,000$ 25,000$ -$ 200,000$ -$ 385,000$ 150,000$ 250,000$ 250,000$ 250,000$ 500,000$ 1,500,000$ -$ -$ -$ -$ 500,000$ 500,000$ -$ -$ -$ -$ -$ 400,000$ -$ 450,000$ 500,000$ -$ -$ 950,000$ -$ 450,000$ -$ -$ -$ 450,000$ -$ -$ -$ 500,000$ -$ 500,000$ -$ -$ -$ -$ 450,000$ 450,000$ 600,000$ -$ -$ -$ -$ 650,000$ -$ -$ 400,000$ -$ -$ 400,000$ 150,000$ 100,000$ 100,000$ 100,000$ 100,000$ 650,000$ 100,000$ 100,000$ 100,000$ 100,000$ 500,000$ 1,050,000$ 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ 425,000$ -$ -$ -$ -$ 4,500,000$ 4,500,000$ -$ -$ -$ -$ 750,000$ 1,000,000$ -$ -$ -$ -$ 150,000$ 150,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 1,200,000$ 1,200,000$ 150,000$ -$ -$ -$ -$ 150,000$ -$ -$ 200,000$ -$ -$ 200,000$ 150,000$ 150,000$ 150,000$ 150,000$ 150,000$ 750,000$ 50,000$ 50,000$ 50,000$ 50,000$ 350,000$ 550,000$ 200,000$ 300,000$ 300,000$ 300,000$ 300,000$ 1,400,000$ -$ -$ -$ -$ 550,000$ 550,000$ -$ -$ -$ -$ 800,000$ 800,000$ 400,000$ -$ -$ -$ 12,000,000$ 12,400,000$ -$ -$ -$ -$ 600,000$ 600,000$ -$ -$ -$ -$ 560,000$ 560,000$ 2,755,000$ 2,525,000$ 2,600,000$ 2,050,000$ 36,965,000$ 48,775,000$ All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 311 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 Category/Project Title 1 112 Arlington Dr. at Newport Blvd. - Streetscape Improvements -$ 1 113 Brentwood Avenue - Storm Drain System -$ 1 114 Cherry Lake Storm Drain System - Phase I, II & III -$ 1 115 Cherry Lake Storm Drain System - Phase IV & V -$ 1 116 Citywide Alley Improvements 200,000$ 1 117 Citywide Storm Drain Improvements -$ 1 118 Citywide Street Improvements - RMRA -$ 1 119 Citywide Street Improvements 5,950,000$ 1 120 Citywide Street Sign Replacement -$ 1 121 Fair Drive Median Improvement - Vanguard Way to Newport Blvd.-$ 1 122 Gisler Avenue - Bike Trail and Parkway Landscaping -$ 1 123 New Sidewalk/Missing Link Program 100,000$ 1 124 Newport Blvd. Improvement NB (22nd to Bristol) & SB (Bristol to Mesa)2,350,000$ 1 125 Newport Boulevard Landscape Improvements - 19th St. to Bristol St.-$ 1 126 Newport Boulevard Landscape Improvements - S/O 17th Street -$ 1 127 Parkway & Medians Improvement Program 200,000$ 1 128 Priority Sidewalk Repair 65,000$ 1 129 Water Quality Improvement Project -$ 1 130 Westside Restoration Project -$ 1 131 Westside Storm Drain Improvements -$ 1 TOTAL STREETS 8,865,000$ 1 Next Category 1 132 Adams Avenue Multipurpose Trails 2,777,000$ 1 133 Airport Channel / Delhi Channel Multi-Use Trail -$ 1 134 Baker - Coolidge Ave Traffic Signal Modifications -$ 1 135 Bicycle and Pedestrian Infrastructure Improvements 250,000$ 1 136 Bristol St. / Baker St. - Intersection Improvement (Add EBT, WBT)-$ 1 137 Bristol St. / I-405 NB - Ramps (Add WBR)-$ 1 138 Bristol St. / Paularino Ave. (Add 2nd WBL)-$ 1 139 Bristol St. / Sunflower Ave. - Intersection Improvement (Add 3rd NBL)-$ 1 140 Bristol Street (Bear St. to Santa Ana Av.) - Bicycle Facility -$ 1 141 Bristol Street Traffic Signal Synchronization Project 315,000$ 1 142 Bus Shelter Improvements -$ 1 143 Center Street Pedestrian Crossing and Circulation Improvements 500,000$ 1 144 Citywide Neighborhood Traffic Improvements 75,000$ 1 145 Citywide Traffic Signal Improvements 200,000$ 1 146 Clean Mobility Options Program - On-Demand Transit Services 650,000$ 1 147 College Avenue Parking and Circulation Improvements 150,000$ STREETS TRANSPORTATION All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 312City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 -$ -$ -$ -$ 180,000$ 180,000$ -$ -$ -$ -$ 793,040$ 793,040$ -$ -$ -$ -$ 2,721,600$ 2,721,600$ -$ -$ -$ -$ 2,009,360$ 2,009,360$ 500,000$ 500,000$ -$ -$ -$ 1,200,000$ -$ -$ -$ -$ 15,000,000$ 15,000,000$ 2,800,000$ 2,800,000$ 2,800,000$ 2,800,000$ 2,800,000$ 14,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 5,000,000$ 30,950,000$ 50,000$ 50,000$ 50,000$ 50,000$ -$ 200,000$ -$ -$ 160,000$ -$ -$ 160,000$ -$ -$ -$ -$ 500,000$ 500,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 600,000$ -$ -$ -$ -$ -$ 2,350,000$ -$ -$ -$ -$ 1,100,000$ 1,100,000$ -$ -$ -$ 25,000$ 250,000$ 275,000$ 175,000$ 175,000$ 175,000$ 175,000$ 175,000$ 1,075,000$ 65,000$ 65,000$ 65,000$ 65,000$ 65,000$ 390,000$ -$ 100,000$ 100,000$ 100,000$ 100,000$ 400,000$ 250,000$ 250,000$ 250,000$ 250,000$ 250,000$ 1,250,000$ 800,000$ 1,800,000$ 1,800,000$ 2,000,000$ 2,000,000$ 8,400,000$ 9,740,000$ 10,840,000$ 10,500,000$ 10,565,000$ 33,044,000$ 83,554,000$ 2,545,000$ -$ -$ -$ -$ 5,322,000$ -$ -$ -$ -$ 2,540,000$ 2,540,000$ -$ -$ -$ -$ 300,000$ 300,000$ 250,000$ 250,000$ 200,000$ 200,000$ 500,000$ 1,650,000$ -$ -$ -$ -$ 962,500$ 962,500$ -$ -$ -$ -$ 90,000$ 90,000$ -$ -$ -$ -$ 300,210$ 300,210$ -$ -$ -$ -$ 1,130,000$ 1,130,000$ -$ -$ -$ -$ 525,000$ 525,000$ -$ -$ -$ -$ -$ 315,000$ -$ 150,000$ 100,000$ 50,000$ -$ 300,000$ -$ -$ -$ -$ -$ 500,000$ 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 575,000$ 200,000$ 200,000$ 200,000$ 200,000$ 200,000$ 1,200,000$ -$ -$ -$ -$ -$ 650,000$ -$ -$ -$ -$ -$ 150,000$ All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 313 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 Category/Project Title 1 148 E. 17th St. / Irvine Ave. - Intersection Improvement (Add SBR, EBR)-$ 1 149 Eastside Traffic Calming (Cabrillo St., 18th St., 22nd St.)-$ 1 150 Fair Drive Circulation Improvements 880,000$ 1 151 Fairview Channel Trail - Placentia Ave (n/o park) to Placentia Ave (s/o park)-$ 1 152 Fairview Road. / Wilson St. - Improvements (Add EBT, WBT)-$ 1 153 Gisler Ave Class IV Cycle Tracks from Gibraltar Ave to Harbor Blvd -$ 1 154 Gisler Ave Multi-use Trail from Gisler Ave Class II facility to Fairview Rd -$ 1 155 Greenville-Banning Channel Phase 1 (Sunflower Ave to South Coast Drive)-$ 1 156 Greenville-Banning Channel Phase 2 (Santa Ana River Trail to South Coast Drive)-$ 1 157 Harbor Blvd. / Adams Ave. - Intersection Improvements (Add NBL, NBR)-$ 1 158 Harbor Blvd. / Gisler Ave. - Intersection Improvements (Add SBR)-$ 1 159 Harbor Blvd. / South Coast Dr. - Intersection Improvement (Add EBR)-$ 1 160 Harbor Blvd. / Sunflower Ave. - Intersection Improvement (Add EBR, WBR)-$ 1 161 Harbor Blvd. Cornerstone Bike Trail 450,000$ 1 162 Hyland Ave. / I-405 NB Ramp & South Coast Drive (Add 2nd WBT)-$ 1 163 Local Road Safety Plan Update 150,000$ 1 164 Mesa Del Mar Multimodal Access 349,920$ 1 165 Mesa Drive and Santa Ana Ave Bicycle Facility Improvement -$ 1 166 Mesa Verde Drive East/ Peterson Place Class II Bicycle Facility -$ 1 167 Newport Blvd. / 17th St. (Add NBR)-$ 1 168 Newport Blvd. Northbound/22nd St. (Add WBTR, convert NBT to NBTR)-$ 1 169 Newport Blvd. Southbound at Fair Dr. (Add 2nd SBR)-$ 1 170 Orange Coast College West Bicycle Trail -$ 1 171 Paularino Channel - Multipurpose Trail -$ 1 172 Pedestrian Safety Festival -$ 1 173 Placentia Av. / 19th St. (Add SBR)-$ 1 174 Placentia Av. / 20th St. HAWK Signal -$ 1 175 Placentia Ave Multi-Use Path from Joann Trail to Estancia High School -$ 1 176 SR-55 Frwy. N/B / Baker St. - Intersection Improvement (Add NBL, EBL)-$ 1 177 SR-55 Frwy. N/B / Paularino Ave. - Intersection Improvement (Add WBR)-$ 1 178 SR-55 Frwy. S/B / Baker St. - Intersection Improvement (Add SBR)-$ 1 179 SR-55 Frwy. S/B / Paularino Ave. - Intersection Improvement (Add SBR)-$ 1 180 Santa Ana / Delhi Channel Multi-Use Trail from Santa Ana Ave to east City boundary -$ 1 181 Signal Modernization for Systemic Multi-Modal Safety Improvements 300,000$ 1 182 Superior Av. / 17th St. (Convert WBT to WBTL, NBR)-$ 1 183 Susan Street Multi-Use Path from I-405 to South Coast Drive -$ 1 184 West 17th St. Widening - (Newport Boulevard to Placentia Avenue)-$ TRANSPORTATION (continued) All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 314City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 -$ -$ -$ -$ 800,000$ 800,000$ -$ -$ -$ -$ 2,200,000$ 2,200,000$ -$ -$ -$ -$ 3,000,000$ 3,880,000$ -$ -$ -$ -$ 1,080,000$ 1,080,000$ -$ -$ -$ -$ 1,525,000$ 1,525,000$ -$ -$ -$ -$ 200,000$ 200,000$ -$ -$ -$ -$ 400,000$ 400,000$ -$ -$ -$ -$ 870,000$ 870,000$ -$ -$ -$ -$ 3,280,000$ 3,280,000$ -$ -$ -$ -$ 6,000,000$ 6,000,000$ -$ -$ -$ -$ 4,895,000$ 4,895,000$ -$ -$ -$ -$ 2,167,200$ 2,167,200$ -$ -$ -$ -$ 920,000$ 920,000$ -$ -$ -$ -$ -$ 450,000$ -$ -$ -$ -$ 863,000$ 863,000$ -$ -$ -$ -$ -$ 150,000$ 450,000$ -$ -$ -$ -$ 799,920$ -$ -$ -$ 1,200,000$ -$ 1,200,000$ -$ -$ 400,000$ -$ -$ 400,000$ -$ -$ -$ -$ 500,000$ 500,000$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ -$ 800,000$ 800,000$ -$ -$ -$ -$ 760,000$ 760,000$ -$ -$ -$ -$ 4,500,000$ 4,500,000$ 100,000$ -$ -$ -$ -$ 100,000$ -$ -$ -$ -$ 386,000$ 386,000$ -$ 40,000$ 260,000$ -$ -$ 300,000$ -$ 200,000$ -$ -$ -$ 200,000$ -$ -$ -$ -$ 1,370,000$ 1,370,000$ -$ -$ -$ -$ 642,750$ 642,750$ -$ -$ -$ -$ 625,350$ 625,350$ -$ -$ -$ -$ 413,730$ 413,730$ -$ -$ -$ -$ 540,000$ 540,000$ -$ -$ -$ -$ -$ 300,000$ -$ -$ -$ -$ 700,000$ 700,000$ -$ -$ -$ -$ 420,000$ 420,000$ -$ -$ -$ -$ 1,200,000$ 1,200,000$ All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 315 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 FY 2026-27 Category/Project Title 1 185 Wilson Street (Fairview Rd. to Santa Ana Av.) - Bicycle Facility -$ 1 186 Wilson Street Widening - from College Ave. to Fairview Rd.-$ 1 TOTAL TRANSPORTATION 7,046,920$ 1 Next Category 33,950,920$ TRANSPORTATION (continued) Total Five-Year Capital Improvement Projects All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 316City of Costa Mesa, California capItal IMproveMent prograM FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 Future Total CAPITAL IMPROVEMENT PROGRAM Five-Year Capital Improvement Program From Proposed Fiscal Year 2026-27 Through Fiscal Year 2030-2031 -$ -$ -$ -$ 200,000$ 200,000$ -$ -$ -$ -$ 10,000,000$ 10,000,000$ 3,645,000$ 940,000$ 1,260,000$ 1,750,000$ 58,155,740$ 72,797,660$ 23,960,000$ 18,655,000$ 17,560,000$ 18,080,000$ 169,684,740$ 281,890,660$ All costs and projects for future FYs are estimates only and subject to change based on funding, health and safety, and community needs. Although the schedule spans five years and future, only FY 2026-27 is appropriated. 317 City of Costa Mesa, California Proposed Budget for Fiscal Year 2026-2027 This Page Intentionally Left Blank City of Costa Mesa, California Housing AuthorityHOUSING AUTHORITY On January 17, 2012, the City Council established the Costa Mesa Housing Authority in accordance with California Housing Authorities Law, Health, and Safety Code Section 34200, et seq. Also on that date by resolution, the City Council selected the Housing Authority to serve as the housing successor and to assume the housing assets, duties, functions and obligations of the former Costa Mesa Redevelopment Agency (Former Agency) as of February 1, 2012. These actions occurred due to the mandatory dissolution of all California redevelopment agencies under the requirements of Division 24, Parts 1.8 and 1.85 of the California Health and Safety Code (Dissolution Law). The Dissolution Law sets forth the processes and obligations of all successor agencies. These entities are separate from the city (or county) that formed the former agency and charged with winding down the affairs of former redevelopment agencies. Further, the Dissolution Law sets forth the functions, obligations and requirements of housing successors. Section 34176.1 of the California Health and Safety Code establishes certain limitations on expenditures by housing successors. Thus, each fiscal year the Housing Authority’s funding is limited in two categories: (1) administrative costs, and (2) homelessness prevention and rapid rehousing. The Behavioral Health Bridge Housing (BHBH) Program was created by Assembly Bill 179 (AB179), which allocated $1.5 billion to the Department of Health Care Services (DHCS) for allocation to counties to support planning, implementation, and infrastructure costs for the CARE Act. The City was awarded BHBH funds in FY 2024-25 by the County to assist homeless individuals who are experiencing serious behavioral health conditions by providing temporary housing and support services. Covenant Monitoring and Administration - 11500 Rental Rehabilitation — 20425 Offers deferred loans to owner of multi-family properties to make improvements and repair code violations. Loans were originated in the 1990s and deferred unless the owner sells transfers or defaults on the property. Housing Authority Administration — 20600 Provides administration support such as conducting required board meetings, maintaining financial records and preparing annual reports, etc. Costa Mesa Family Village — 20620 Costa Mesa Family Village is a three-parcel, 72-unit multi-family rental project, to which the Housing Authority holds the ground lease. The 55-year ground lease expires in year 2038. Annual lease payment is the greater of 8 percent of gross receipts or $108,000. First Time Homebuyer Program — 20625 Offers deferred loans to first time homebuyers for home purchase in the City. Loans were extended prior to year 2009 under various terms. Habitat For Humanity — 20630 The Housing Authority holds interest to the land used for the development of five single-family homes by Habitat for Humanity in  2004. The Housing Authority maintains enforceable covenants on the properties. No loan repayment is required unless the owner defaults. Single Family Rehabilitation Program — 20640 Offers deferred loans to homeowners to make home improvements and fix code violations. The loans were extended in year 2009 and deferred until the property is sold or refinanced. St. John Manor — 20650 St. Johns Manor is a 36-unit senior rental project. The Housing Authority’s loan to this project was paid off in Fiscal Year 2018-19. 320City of Costa Mesa, California housIng authorIty Costa Mesa Village — 20655 Costa Mesa Village is a 96-unit single room occupancy (SRO) project jointly funded by the Costa Mesa Housing Authority, Orange County Housing Authority and the developer. The Housing Authority’s loan to this project was paid off in Fiscal Year 2014-15. Housing Development And Preservation Of Affordable Housing - 11500 James/West 18th Street Property — 20635 The James/West 18th Property is four affordable housing projects with 30 rental units, owned and operated by the Housing Authority. The Authority acquired the projects through a foreclosure process in Fiscal Year 2015-16. Homeless Outreach And Bridge Shelter Operation - 14300 Homeless Outreach — 20605 Homeless Outreach’s primary activities are community outreach and working with various organizations and governmental agencies to identify housing solutions for Costa Mesas homeless population. The General Fund will provide funding for program expenses in excess of the Low and Moderate Income Housing Asset Funds (LMIHAFs) $250,000 allowance for this category. Bridge Shelter Operation — 20606 Another new component to the Housing Authority is the operation of the City’s permanent bridge shelter program, which is located at 3175 Airway Avenue. This program provides transitional housing and support services for up to 100 homeless adults. Behavioral Health Bridge Housing Program- 20670 The primary focus of the BHBH Program is to assist individuals experiencing homelessness who have serious behavioral health conditions that prevent them from accessing resources and securing permanent housing. Beginning in Fiscal Year 2023-24 a Memorandum of Understanding between the Orange County Health Care Agency (OCHCA) and the City of Costa Mesa was entered to establish BHBH services. Proposed Budget for Fiscal Year 2026-2027 321 City of Costa Mesa, California Budget Narrative The Fiscal Year 2026-27 budget for the Housing Authority is approximately $4.5 million, a decrease of $299,260, or 6 percent, compared to the adopted budget for Fiscal Year 2025-26. The decrease of $299,260 is primarily due to lower costs for shelter services. FY 23-24 Actuals FY 24-25 Adopted Budget FY 25-26 Adopted Budget FY 26-27 Proposed Budget REVENUES BY FUNDING SOURCE Behavioral Health Services $ 972,051 $ 972,051 Costa Mesa Family Village Ground Lease $ 2 31,776 $ 200,000 200,000 200,000 James/W. 18th Street Property 248,386 250,000 250,000 300,000 Investment Income 9 0,317 23,400 - - Loan Repayments 115,500 200,000 390,000 390,000 RDA Loan Repayment from DOF (Annual ROPS) - 381,141 - - State SB 2 Grant - 324,000 - - General Fund Contribution 1,264,993 1,264,993 1,264,993 1,264,993 Other Governmental Agencies 1,266,243 1,000,000 1,359,219 446,205 Donations 1,532 - - - Use of Fund Balance - 1,549,646 834,559 2 ,108,106 Transfers in from (State Grants) 2,662,644 454,308 750,000 - Total Housing Authority Revenues $ 5,881,391 $ 5,647,488 $ 6,020,822 $ 5,681,355 FY 23-24 Actuals FY 24-25 Adopted Budget FY 25-26 Adopted Budget FY 26-27 Proposed Budget EXPENSE CATEGORY BY PROGRAM COVENANT MONITORING AND ADMINISTRATION - 11500 Housing Authority Administration - 20600 Salaries and Benefits $ 62,021 $ 114,319 $ 111,697 $ 70,697 Maintenance and Operations 9,381 31,303 60,000 60,000 Subtotal Housing Authority Administration $ 71,403 $ 145,622 $ 171,697 $ 130,697 Costa Mesa Family Village - 20620 Maintenance and Operations - - 5,000 - Subtotal Costa Mesa Family Village $ - $ - $ 5,000 $ - First Time Homebuyer Program - 20625 Maintenance and Operations - - 11,000 - Subtotal First Time Homebuyer Program $ - $ - $ 11,000 $ - Habitat for Humanity - 20630 Maintenance and Operations - - 7,000 7,000 Fixed Assets 50,854 56,505 - - Subtotal Habitat for Humanity $ 50,854 $ 56,505 $ 7,000 $ 7,000 Single Family Rehabilitation Program - 20640 Maintenance and Operations - - 20,000 - Subtotal Single Family Rehabilitation Prog.$ - $ - $ 20,000 $ - 322City of Costa Mesa, California housIng authorIty FY 23-24 Actuals FY 24-25 Adopted Budget FY 25-26 Adopted Budget FY 26-27 Proposed Budget COVENANT MONITORING AND ADMINISTRATION - 11500 (Continued) St. John Manor - 20650 Maintenance and Operations - - 5,000 - Subtotal St. John Manor $ - $ - $ 5,000 $ - Costa Mesa Village - 20655 Maintenance and Operations - - 3,100 - Subtotal Costa Mesa Village $ - $ - $ 3,100 $ - Subtotal Covenant Monitoring and Admin.$ 122,257 $ 202,127 $ 222,797 $ 137,697 HOUSING DEVELOPMENT AND PRESERVATION OF AFFORDABLE HOUSING - 11500 James/West 18th Street Property - 20635 Salaries and Benefits $ 4 0,107 $ 50,035 $ 65,226 $ 60,072 Maintenance and Operations 262,122 189,594 202,500 202,500 Fixed Assets - - 27,600 2 7,600 Subtotal James/West 18th Street Property $ 302,229 $ 239,629 $ 295,326 $ 2 90,172 HOMELESS OUTREACH AND BRIDGE SHELTER OPERATION - 11310|11500|14300|11100 CDBG-CV - 20435 Salaries and Benefits $ 1,136 $ 2 ,109 $ - $ - Maintenance and Operations 170,027 21,860 - - Subtotal Homeless Outreach $ 171,163 $ 23,968 $ - $ - Tenant Based Rental Assistance - 20448 Salaries and Benefits $ - $ 255,389 $ 2 08,314 $ 2 21,076 Maintenance and Operations - 375,765 - - Subtotal Homeless Outreach $ - $ 6 31,153 $ 2 08,314 $ 221,076 Homeless Outreach - 20605 * Salaries and Benefits $ 1,145,954 $ 1,355,216 $ 1,535,537 $ 1,664,516 Maintenance and Operations 63,659 281,803 108,243 10 8,243 Subtotal Homeless Outreach $ 1,209,613 $ 1,637,019 $ 1,643,780 $ 1,772,759 Bridge Shelter Operation - 20606 10,570,601 Maintenance and Operations 3,246,644 2,333,618 2,678,553 2,278,553 Fixed Assets 33,233 - - - Subtotal Bridget Shelter Operation $ 3,279,877 $ 2,333,618 $ 2,678,553 $ 2,278,553 Behavioral Health Services - 20670 2,873,480 Salaries and Benefits $ - $ 166,888 $ 284,050 $ 293,097 Maintenance and Operations - 471,904 688,001 688,001 Fixed Assets - 281,539 - - Subtotal Behavioral Health Services $ - $ 920,330 $ 972,051 $ 981,098 Proposed Budget for Fiscal Year 2026-2027 323 City of Costa Mesa, California FY 23-24 Actuals FY 24-25 Adopted Budget FY 25-26 Adopted Budget FY 26-27 Proposed Budget TOTAL HOUSING AUTHORITY Salaries and Benefits $ 1,249,219 $ 1,943,955 $ 2,204,824 $ 2,309,458 Maintenance and Operations 3,751,833 3,705,847 3,788,397 3,344,297 Fixed Assets 84,087 338,043 27,600 2 7,600 Total Housing Authority $ 5,085,139 $ 5,987,845 $ 6,020,821 $ 5,681,355 324City of Costa Mesa, California housIng authorIty AppendixAPPENDIX Governmental Funds Governmental funds are used to account for most, if not all, of a government’s tax-supported activities. The general fund, special revenue funds, debt service funds, and capital projects funds are considered governmental funds. General Fund – 101 The General Fund is the general operating fund of the City. All general tax revenues and other receipts that are not allocated by law or contractual agreement to some other fund are accounted for in this fund. The Sales and Use Tax revenue from Proposition 172 are reflected in the General Fund summaries. Special Revenue Funds Special Revenue Funds are used to account for proceeds of specific sources (other than for major capital projects) that are legally restricted to expenditure for specified purposes. Culture Arts Master Plan Fund – 130: Established to account for the receipt and disbursement directly related to efforts in coordinating, managing, and funding associated with Measure Q, 0.5% of the proceeds of the 7% tax set forth in sub-sections (c) and (d) shall be directed toward the implementation of the Culture and Arts Master Plan. First Time Homebuyer Program Fund – 140: Established to account for the receipt and disbursement directly related to efforts in coordinating, managing, and funding associated with Measure Q, 0.5% of the proceeds of the 7% tax set forth shall be directed toward the implementation of a first time homebuyer program for current residents of the City, former residents who were raised in the City, and/or whoever graduated from the Newport Mesa Unified School District. Disaster Relief Fund – 150: Established to account for appropriations directly related to efforts in coordinating, managing, and funding eligible response and recovery efforts associated with domestic major disasters and emergencies. This fund was triggered in February 2020, when the City first experienced COVID related events. When the COVID emergency declaration was enacted, this fund was expanded to track COVID related and OC protests expenditures by department. Gas Tax Fund – 201: Established to account for the receipt and disbursement of funds used for construction and maintenance of the road infrastructure in the City. Financing is provided by the City’s share of State gasoline taxes. Air Quality Improvement Fund (AQMD) – 203: Established to account for the City’s share of funds received under Health & Safety Code Section 44223 (AB 2766) to finance air pollution reduction programs consistent with the California Clean Air Act of 1988. American Rescue Plan (ARP) – 204: The American Rescue Plan is the first piece of legislation that allows for federal funding to backfill the loss of revenues and reinstate reductions taken due to the pandemic. The ARP allotted $26.5 million to the City of Costa Mesa, where the first half was disbursed in June 2021 and the other half was disbursed in June 2022. Home Program Fund – 205: Established to account for the receipt and disbursement of funds received under the Federal Home Investment Partnership Program of the Housing and Urban Development Department (HUD). These revenues must be expended for acquisition, rehabilitation, and new construction of rental housing. Proposed Budget for Fiscal Year 2026-2027 327 City of Costa Mesa, California Community Development Block Grant Fund (CDBG) – 207: This fund accounts for revenues received from HUD. These revenues must be expended to accomplish one of the following objectives: elimination of slum or blight, benefit low and moderate income persons, or to meet certain urgent community development needs. Supplemental Law Enforcement Services Fund (SLESF) – 213: Established to account for the receipt and disbursement of funds received under the state citizen’s option for the public safety (COPS) program allocated pursuant to government code section 30061 enacted by AB 3229, chapter 134 of the 1996 statutes. These COPS/SLESF funds are allocated based on population and can only be spent for “front line municipal police services” as per government code section 30061(C)(2). Rental Rehabilitation Program Fund – 216: Established to account for revenues received from HUD under section 17 of the U.S. Housing Act of 1937. These revenues must be expended to provide assistance to primarily rehabilitate privately-owned residential rental property. Narcotics Forfeiture Fund – 217: Established to account for the receipt and disbursement of narcotic forfeitures received from the county, state, and federal pursuant to section 11470 of state health and safety code and federal statute 21 U.S.C section 881. Office Of Traffic Safety Fund – 220: Established to account for the receipt and disbursement of state money received from the office of traffic safety. Funds are restricted for projects utilized to enhance traffic safety and reduce drunk driving in the city. Housing Trust Fund – 226: The Housing Trust Fund was created to set aside funding for the development of affordable housing. City Council has emphasized the importance of developing affordable housing for residents of Costa Mesa and this Fund will assist in creating a pathway to achieving the long-term goal of housing affability for different income levels. Opioid Settlement Fund – 227: Settlement agreements with prescription opioid manufacturers and pharmaceutical distributors that provide funds for the abatement of the opioid epidemic in California. Behavioral Health Fund – 229: The City received an award for the Behavioral Health Bridge Housing ( BHBH) from the Orange County Health Care Agency (OCHCA) to provide emergency shelter and behavioral health services at the Costa Mesa Bridge Shelter. The program implements a wide range of behavioral health care services, which include housing navigation, workforce development, case management, and housing retention. Federal Grants Fund – 230: Established to account for the receipt and disbursement of federal money granted to carry out a public purpose of support or stimulation authorized by federal law. Funds are restricted for federally-funded projects utilized within the city. All projects are to abide by the uniform guidance set by the office of management and budget. State Grants Fund – 231: Established to account for the receipt and disbursement of state money granted. Funds are restricted for projects funded by the state of California and are to abide by all state requisites. State Grants Fund – 232: Established to account for the receipt and disbursement of money granted by various govermantal entities. 328City of Costa Mesa, California appendIx Cannabis Traffic Impact Fees Fund – 240: Established to account for the receipt and disbursement of Cannabis funds for off-site transportation improvements City-wide. Financing is provided by fees charged to Cannabis businesses. Senior Transportation Program – 241: Established to account for funding and expenditures related to the Senior Transportation Program. These programs are designed to provide access to seniors for medical and personal visits. Funding sources may include, but are not limited to: Enhanced Mobility for Senior and Individuals with Disabilities grant; Orange County Transit Authority Measure M2 grant; and Hoag Hospital grant. RMRA Gas Tax Fund – 251: Established to account for the receipt and disbursement of state money received from the road maintenance and rehabilitation account. Funds are restricted for projects utilized to address deferred maintenance on the local street and road system. Debt Service Funds Debt service funds are used to account for accumulation of resources for, and the payment of, general long-term debt including principal and interest. Financing Authority Debt Service Fund – 380: To accumulate money for the payment of the 2017 lease revenue bonds. The 2017 lease revenue bonds refunded the 2007 public financing authority certificates of participation and provided partial funding for the Lion’s Park project. Public Financing Authority Debt Service Fund – 390: To accumulate money for payment of the 2006 revenue refunding bonds. The 2006 revenue refunding bonds refunded the 1991 local agency revenue bonds that provided money for the purchase of the Costa Mesa community facilities. Capital Projects Funds 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 and trust funds). Park Development Fees Fund – 208: Established to account for the development of new park sites and playground facilities. Financing is provided by fees charged to residential and commercial developers. Drainage Fees Fund – 209: Established to account for the construction and maintenance of the, city’s drainage system. Financing is provided by fees charged to residential and commercial developers. Traffic Impact Fees Fund – 214: Established to account for the receipt and disbursement of funds for off-site transportation improvements citywide. Financing is provided by fees charged to residential and commercial developers. Capital Improvement Fund – 401: Established to account for capital expenditures financed by the City’s General Fund and any grant not accounted for in a special revenue fund. This includes: Proposed Budget for Fiscal Year 2026-2027 329 City of Costa Mesa, California 1) capital projects: with a value greater than $30,000 including, publicly owned or operated streets, highways, bridges, sidewalks, curbs, gutters, alleys, storm drains, storm water pump stations, trees, landscaping, medians, parks, playgrounds, traffic signals, streetlights, fences, and walls; and 2) capital facilities: city owned or operated buildings including, city hall, civic center, police department, old corp yard, new corp yard, fire stations, libraries, and community centers. The city approved 5.0% of General Fund revenues to be transferred to fund capital assets, as required by the Capital Asset Needs (CAN) ordinance. On May 19, 2020, the council approved to waive the CAN ordinance required contribution amount to capital projects. The reduction was a necessary measure to assist in closing the FY 2020-21 fiscal impact resulting from COVID-19. Vehicle Parking Districts Fund – 409/410: Established under the vehicle parking district law of 1943 to provide vehicle facilities in the downtown area. Financing is provided through specific property tax levies. Golf Course Improvement Fund – 413: Established to account for the Costa Mesa country club capital expenditures. The city receives 2.5% of the monthly gross receipts of green and tournament fees to finance capital improvements. Measure “M2” Regional Fund – 415: Established to account for the expenditure of measure M2 funds allocated based on “competitive” basis in accordance with the November 2006 voter-approved one-half percent sales tax for local transportation. Measure “M2” Fairshare Fund – 416: Established to account for the expenditure of measure M2 funds allocated based on “fairshare” basis in accordance with the November 2006 voter-approved one-half percent sales tax for local transportation improvements. Jack Hammett SC Capital Improvement Fund – 417: Established to account for the receipt and disbursement of funds related to the on-going maintenance of Jack Hammett Sports Complex. Funding is provided by the facility’s rental income. Lions Park Project 2017 Bond Fund – 418: Established to account for the receipt and disbursement of bond funds for construction of a new library and renovation of the existing library into the neighborhood community center. Project funding is partially provided by bond proceeds with the remaining balance provided by the capital improvements fund, park development fees fund, and gas tax fund. Park Land Acquisition- 420: Established to provide funds for future purchase of park acquisition, design and construction. Proprietary Funds Internal Service Funds Internal Service Funds are used to report any activity that provides goods or services to other funds, departments, or agencies of the primary government and its component units, or to other governments, on a cost-reimbursement basis. Equipment Replacement Fund – 601: Established to account for all fleet equipment, fuel and repair of City-owned vehicles used by City departments. 330City of Costa Mesa, California appendIx Self-Insurance Fund – 602: Established to account for the receipt and disbursement of funds used to pay workers’ compensation, general liability, and unemployment claims filed against the City. Information Technology Replacement Fund – 603: Established to provide funds for future replacement and upgrades to the City’s computer equipment, systems, and supporting infrastructure. On March 18, 2020, the City Council adopted Ordinance No. 2020-06 amending Chapter V (Finance) of Title 2 (Administration) of the Costa Mesa Municipal Code to revise Article 8 (Capital Asset Needs) and add Article 9 (Information Technology Needs) reallocating 1.5% of General Fund revenues from capital improvements to information technology improvements. In March 2020, City Council adopted a five year Information Technology Strategic Plan that is technologically strategic, operationally responsive, and fiscally responsible. Proposed Budget for Fiscal Year 2026-2027 331 City of Costa Mesa, California Glossary of Budget Terms ACCRUAL BASIS OF ACCOUNTING: Revenues are recognized when both measurable and available; expenditures are recorded when services have been substantially performed or goods have been received and the liabilities incurred. ADOPTED BUDGET: The official budget as approved by the City Council at the start of each fiscal year. AD VALOREM TAX: (which means according to its value) A state or local government tax based on the value of real property as determined by the county tax assessor. AGENCY FUND: Used to account for assets held by the City in a fiduciary capacity for individuals, government entities, and others. Such funds are operated by carrying out the specifications of trust indentures, statutes, ordinances, or other governing regulations. AMENDED BUDGET: The adopted budget as amended by the City Council through the course of a fiscal year. APPROPRIATIONS: A  legal a uthorization g ranted b y a l egislative b ody t o make e xpenditures a nd t o incur o bligations for specific purposes. An appropriation is usually limited in amount and to the time when it may be expended. ARBITRAGE: The interest rate differential that exists when proceeds from a tax-free municipal bond carries a lower yield and is invested in taxable securities with a yield that is higher. The 1986 Tax Reform Act made this practice by municipalities illegal to solely use as a borrowing tactic, except under certain safe-harbor conditions. ASSESSED VALUATION: A municipality’s property tax base stated in dollars based on real estate and/or other taxable business property for taxation purposes. AUDIT: Prepared by an independent certified public accountant (CPA) to form an opinion regarding the legitimacy of transactions and internal controls. An audit is an examination and evaluation of the City’s records and procedures to ensure compliance with specified rules, regulations, and best practices. AUTHORITY OR AGENCY: A state or local unit of government created to perform a single activity or a limited group of functions and authorized by the state legislature to issue bonded debt. AUTHORIZING ORDINANCE: A law that, when enacted, allows the unit of government to sell a specific bond issue or finance a specific project. BALANCED BUDGET: A budget in which planned expenditures do not exceed planned revenues available. BEHAVIORAL HEALTH: State program providing short- term housing and services for people with mental health needs. BOND: A  security w hereby a n issuer b orrows m oney f rom a n investor a nd a grees a nd p romises, b y written c ontract, to pay a fixed principal sum on a specified date (maturity date) and at a specified rate of interest. BOND PREMIUM: The amount at which a bond or note is bought or sold above its par value or face value without including accrued interest. BUDGET: A plan of financial operation comprised of estimated expenditures for a given period (usually a single fiscal year) and the proposed means of financing the expenditures (through revenues). BUDGET MESSAGE: A written discussion of the budget presented by the City Manager to the City Council. CAPITAL BUDGET: A budget which focuses on capital projects to implement the Capital Improvement Program. CAPITAL IMPROVEMENT PROGRAM: A plan for capital improvements to be implemented each year over a number of years to meet capital needs arising from the assessment of long-term needs. It sets forth the estimated cost for each project and specifies the resources required to finance the projected expenditures. CAPITAL IMPROVEMENT PROJECT: The budget unit to group activities and costs necessary to implement a specific capital improvement and/or acquisition. A project can include the construction, acquisition, expansion, replacement, or rehabilitation of a physical facility or improvement. Projects often include planning and design, land acquisition, and project management costs related to such facilities and improvements. CAPITAL PROJECTS FUNDS: Used to account for financial resources for the acquisition or construction of major capital facilities other than those financed by proprietary and trust funds. 332City of Costa Mesa, California appendIx CERTIFICATES OF PARTICIPATION (COP): A form of lease revenue bond that permits the investor to participate in a stream of lease payments, installment payments, or loan payments relating to the acquisition or construction of specific equipment, land, or facilities. COP has become a popular financing device in California since the passage of Proposition 13. COP are not viewed legally as debt because payment is tied to an annual appropriation by the government body. As a result, COP are seen by investors as providing weaker security and often carry ratings that are a notch or two below an agency’s general obligation rating. COMMUNITY FACILITIES DISTRICT 91-1: Established to account for a special tax received under the Mello-Roos Community Facilities Act of 1982. Bonds were issued to provide for improvements within the district and the special tax revenue is restricted for payment of principal and interest to the bondholder. CONTRACTED SERVICES: Services rendered in support of City operations and activities by external parties. These may be based upon either formal contracts or ad hoc charges. COUPON RATE: The specified annual interest rate payable to the bond or note holder as printed on the bond. This term is still used even though there are no coupon bonds anymore. DEBT LIMIT: T he maximum statutory or constitutional amount of debt that the general obligation b ond issuer can either issue or have outstanding at any time. DEBT SERVICE FUNDS: Account for the accumulation of resources set aside to meet current and future debt service requirements (payments) on general long-term debt. DELINQUENT TAXES: Property Taxes that have been levied but remain unpaid on  and after the due date. In California, the due dates are December 10 and April 10. Special taxes and assessments are often due on these dates as well. DEPARTMENT: A  major organizational g roup of the C ity w ith o verall m anagement & r esponsibility for an operation or a group of related operations within a functional area. DEPRECIATION: A noncash expense that reduces the value of an asset as a result of wear and tear, age, or obsolescence. DISCOUNT: The amount by which market value of a bond is less than par or face value. DIVISION: An organizational subgroup of a department. ENCUMBRANCE: The commitment of appropriated funds to purchase goods, which have not yet been received, or services that have yet to be rendered. ENTERPRISE FUND: A fund established to account for operations that are financed and operated in a manner similar to private enterprise. Examples of enterprise funds are water and sewer services. EXPENDITURES: Decreases in net position. An Expense represents the consumption of a cost during a period regardless of the timing or related payment. EXPENSES: Decreases in  net total assets. Expenses represent the total cost of  operations during  a  period regardless of the timing of related expenditures. FEASIBILITY STUDY: A financial study provided by the issuer of a revenue bond that estimates service needs, construction schedules, and most importantly, future project revenues and expenses used to determine the financial feasibility and creditworthiness of the project to be financed. FISCAL AGENT: T he bank, designated by the issuer, to pay interest and principal to the bondholder. A lso known as the Paying Agent. FISCAL YEAR: A 12-month period to which the annual operating budget applies and at the end of which an entity determines its financial position, the results of its operations, and adopts a budget for the coming year. The City of Costa Mesa’s fiscal year is from July 1 to June 30. FIXED ASSETS: Equipment costing $5,000 or more per unit, including tax and shipping, with a useful life longer than one year, and not qualifying as a capital improvement project. Which includes automotive equipment, office equipment, office furniture, acquisitions, landscaping improvements, etc. FULL FAITH AND CREDIT: The pledge of the full faith, credit, and taxing power without limitation as to rate or amount. A phrase used primarily in conjunction with General Obligation bonds to convey the pledge of utilizing all taxing powers and resources, if necessary, to pay the bond holders. Proposed Budget for Fiscal Year 2026-2027 333 City of Costa Mesa, California FULL-TIME EQUIVALENT (FTE): The conversion of part-time employee hours to an equivalent of a full-time position. For example: one person working 20 hours a week for a year would be 0.5 FTE. FUND: An independent fiscal and accounting entity with a self-balancing set of accounts, recording resources, related liabilities, obligations, reserves, and equities segregated for the purpose of carrying out specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. FUND BALANCE: The equity (assets minus liabilities) of governmental fund and fiduciary fund types. GENERAL OBLIGATION (GO) BOND: A bond secured by a pledge of the issuer’s taxing powers (limited or unlimited). More commonly the general obligation bonds of local governments are paid from ad valorem property taxes and other general revenues. Considered the most secure of all municipal debt. Limited in California by Proposition 13 to debt authorized by a two-thirds vote in the case of local governments or a simple majority for State issuance. GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP): Uniform minimum standards and guidelines for financial accounting and reporting. They govern the form and content of the basic financial statements of an entity. GAAP encompasses the conventions, rules, and procedures necessary to define accepted accounting practices at a particular time. They include not only broad guidelines of general application, but also detailed practices and procedures. GAAP provides a standard by which to measure financial presentations. GOVERNMENTAL FUNDS: Ty pically a re u sed t o account f or t ax-supported (governmental) a ctivities. T hese i nclude the General Fund, Special Revenue Funds, Capital Projects Funds, and Debt Service Funds. HOMEOWNERS’ SUBVENTION: Owner-occupied properties are eligible for an annual exemption of $7,000 of the assessed value of the property. This State exemption is reimbursed to the City through this subvention. HOUSING AUTHORITY: Manages city housing programs and funds. INTERFUND TRANSFERS: Defined as “flows of assets” (such as goods or services) without equivalent flows of assets in return and without requirement for repayment. INTERGOVERNMENTAL REVENUE: Revenue collected by one government and distributed (usually through some predetermined formula) to another level of government(s). INTERNAL SERVICE FUNDS: Account for the goods or services provided by one fund and/or department to another fund and/or department on a cost reimbursement basis. INVESTMENT GRADE: A rating issued by the three major bond rating agencies, Moody’s, Standard & Poors, and Fitch, rated BBB, Baa, or better. Many fiduciaries, trustees, and some mutual fund managers can only invest in securities with an investment grade rating. ISSUER: A state or local unit of government that borrows money through the sale of bonds and/or notes. JOINT POWERS AUTHORITY (JPA): The formation of  two or  more public entities with common powers to consolidate their forces and resources to acquire assets and/or provide services to the public. Their bonding authority and taxing ability is the same as their powers as separate units. LETTER OF  CREDIT: A form of  supplement or, in  some cases, direct security for  a  municipal bond under which  a  commercial bank or  private corporation guarantees payment on  the bond under certain specified conditions. LIEN: A claim on revenues, assessments, or taxes made for a specific issue of bonds. MARKS-ROOS BOND: The State Legislature enacted the Marks-Roos (named after its legislative sponsors) Local Bond Pooling Act of 1985 to facilitate the financing of local government facilities by bond bank pools funded by bond proceeds. The pool, formed under a Joint Powers Authority, can buy any type of legally issued debt instrument within or outside its geographic area. The idea was to save money through economies of scale by selling one large bond issue to finance several small projects. MELLO-ROOS BOND: The Mello-Roos (named for its legislative sponsors) Community Facilities District Act of 1982 established another method whereby almost every municipal subdivision of the state may form a special, separate district to finance a long list of public facilities by the sale of bonds and finance certain public works on a pay-as-you-go basis. These Community Facilities Districts are formed by bond issues authorized by a two- thirds vote of the property owners in the district. Typically, the only voters in a district are one or more real estate developers who own or have an option on all of the land in the district. Bonds are sold to finance facilities that can include schools, parks, libraries, public utilities, and other forms of infrastructure. The Districts may provide public 334City of Costa Mesa, California appendIx works that include police and fire protection, recreation programs, area maintenance, library services, flood, and storm drainage. Bonded debt service and/or public works are paid for by special taxes levied on the real property within the district. As the developer subdivides and sells off the land, the new property owner assumes the tax burden. (Tax delinquencies can lead to fines and penalties which can ultimately lead to foreclosure and sale. The ultimate security for Mello-Roos bonds is the value of the real property being taxed, consequently, a provision in the law requires the appraised value of the land be three times the bonded debt.) MODIFIED ACCRUAL BASIS: The accrual basis of accounting where revenues are recognized when they become both “measurable” and “available” to finance expenditures of the current period. All governmental funds are accounted for using the modified accrual basis of accounting. NET BUDGET: The legally adopted budget less interfund transactions. The amounts in the budget representing transfers and interfund reimbursements that are subtracted from the legally adopted budget amount. OBJECTIVE: A simply stated, readily measurable statement of aim or expected accomplishment within the fiscal year. A good statement of objective should specify a standard of performance for a given program or stated goal. OBJECT CODE: The classification of expenditures in terms of what is bought and paid for grouped into categories. OFFICIAL STATEMENT (OS): A document (prospectus) circulated for an issuer prior to a bond sale containing salient facts regarding the proposed financing. There are two OS, the first known as the preliminary, or red herring because some of the type on its cover is printed in red and is supposed to be available to the investor before the sale. The final OS must be sent to the purchaser before delivery of the bonds. OPERATING BUDGET: A budget which focuses on everyday operating activities and programs. Usually includes personnel, maintenance, operations, and capital equipment. OVERLAPPING DEBT: The proportionate share of the general obligation bonds of local governments located wholly or in part within the limits of the reporting unit of government, that must be borne by property owners within the unit. PAR VALUE: The face value or principal amount of a bond, usually $5,000, due to the holder at maturity. It has no relation to the market value. PERSONNEL EXPENSES: Compensation paid to or on behalf of City employees for salaries and wages, overtime, and benefits. PREMIUM: The amount, if any, by which the price exceeds the principal amount (par value) of a bond. Its current yield will be less than its coupon rate. PRINCIPAL: The face value of a bond, exclusive of interest. PROFESSIONAL SERVICES: Includes the cost of outside professional and specialized services purchased by the City, such as consultants for special studies, outside attorneys, architectural and engineering, etc. PROPRIETARY FUND: Funds used to account for City activities that are similar to businesses found in the private sector. These funds are considered self-supporting in that the services rendered by them are generally financed through user charges on a cost reimbursement basis. There are two types of proprietary funds: Enterprise Funds and Internal Service Funds. PROGRAM BUDGET: A budget organized by a grouping of related activities, projects, and services which are similar in purpose. The expenditure focus of a program budget is related to the nature of work and services performed. PROPERTY TAX: A tax levied on  real estate and personal property. The basic rate in  Orange County is  1% of assessed value, of which Costa Mesa receives approximately 15 cents for every dollar collected. PROPERTY TRANSFER TAX: An assessment on real property transfers at the current rate of $.55 per $500 in market value, and is collected at the time of the transfer with the County receiving half the collected amount. Also known as the Documentary Transfer Tax. PROPOSED BUDGET: The budget as formulated and proposed by the City Manager. It is submitted to the City Council for review and approval. Proposed Budget for Fiscal Year 2026-2027 335 City of Costa Mesa, California RATINGS: Various alphabetical and numerical designations used by institutional investors, underwriters, and commercial rating companies to indicate bond and note creditworthiness. Standard & Poors and Fitch Investors Service Inc. use the same system, starting with their highest rating of AAA, A A, A , BBB, BB, B, CCC, CC, C, and D for default. Moody’s Investors Service uses Aaa, Aa, A, Baa, Ba, B, Caa, Ca, C, and D. Each of the services use + or or +1 to indicate half steps in between. The top four grades are considered Investment Grade Ratings. REFUNDING BOND: The issuance of a new bond for the purpose of retiring an already outstanding bond issue. RETAINED EARNINGS: An equity account reflecting the accumulated earnings of Proprietary Fund types. For budgeting purposes, the working capital definition of fund balance is used. REVENUE: Money that the City receives as income such as tax payments, fees from specific services, receipts from other governments, fines, forfeitures, grants, shared revenues, and interest income. REVENUE BOND: A municipal bond whose debt service is payable solely from the revenues received from operating the facilities acquired or constructed with the proceeds of the bonds. SELF-INSURANCE: The retention of liabilities, arising out of the ownership of property or from some other cause, instead of transferring that risk to an independent third party through the purchase of an insurance policy. The City currently provides self-insurance for workers’ compensation, general liability and unemployment, and purchases outside insurance for excess coverage in these areas. SPECIAL REVENUE FUNDS: Account for the revenue derived from specific taxes or other earmarked revenue sources (other than expendable trusts or for major capital projects) that are restricted by law or administrative action to expenditures for specified purposes. SUPPLEMENTAL ROLL PROPERTY TAXES: Assessed on property that changes ownership during the year and is based on the difference between the new and old assessed values. TAX BASE: The total resource of the community that is legally available for taxation. TAXES: Compulsory charges levied by a government for the purpose of financing services performed for the common benefit. This term does not include specific charges made against particular persons or property for current or permanent benefits, such as special assessments. Neither does the term include charges for services rendered only to those paying such charges as, for example, user charges. TRUSTEE: A bank designated as the custodian of funds and official representative of bondholders. Appointed to ensure compliance with trust indenture. UNDERWRITER: Acquired bonds through negotiated sale or via competitive bidding for a financial institution (either an investment or commercial bank) to purchase a new issue of municipal securities for resale. USER CHARGES: Payments made by  users or  customers of  publicly provided services that benefit specific individuals. These services exhibit “public good” characteristics. Examples of user charges are fees paid for recreational activities, building fees, police fees, etc. 336City of Costa Mesa, California appendIx Acronyms A/V: Audio/Video AB: Assembly Bill ABLE: AirBorne Law Enforcement AC: Air Conditioning ACT: Activity Club for Teens ACFR: Annual Comprehensive Financial Report ADA: Americans with Disabilities Act ADT: Average Daily Traffic AHRP: Arterial Highway Rehabilitation Program ALS: Advanced Life Support APA: American Planning Association AQMD: Air Quality Management District ARPA: American Rescue Plan Act AVL: Automatic Vehicle Location AYSO: American Youth Soccer Organization BAN: Bank Anticipation Note BCC: Balearic Community Center BIA: Business Improvement Area BLS: Basic Life Support BHBH: Behavioral Health Bridge Housing BMP: Best Management Practices CAD: Computer Automated Dispatch CAL OSHA: California Occupational Safety and Health Administration CalPERS: California Public Employees Retirement System CalTrans: California Department of Transportation CAN: Capital Asset Needs CARES: Coronavirus Aid, Relief, and Economic Security Act CCTV: Closed-Circuit Television CD: Community Design CDBG: Community Development Block Grant CEO: Chief Executive Officer CEQA: California Environmental Quality Act CERT: Community Emergency Response Team CIP: Capital Improvement Program CIR: Circulation Impact Report CMFR: Costa Mesa Fire and Rescue CMP: Congestion Management Program CMRA: Costa Mesa Redevelopment Agency CMSD: Costa Mesa Sanitary District CMTV: Costa Mesa’s Municipal Access Channel CNG: Compressed Natural Gas CO: Carbon Monoxide COP: Certificates of Participation COPPS: Community-Oriented Policing and Problem Solving COPS: Citizen’s Option for Public Safety CPI: Consumer Price Index CPR: Cardiopulmonary Resuscitation CSI: Crime Scene Investigation CSMFO: California Society of Municipal Finance Officers CSS: Community Services Specialist CUP: Conditional Use Permit DAC: Downtown Aquatic Center DARE: Drug Awareness Resistance Education DLT: Digital Linear Tape DOJ: Department of Justice DRC: Downtown Recreation Center DUI: Driving Under the Influence EAP: Employee Assistance Program EDD: Employment Development Department EIR: Environmental Impact Report EMPG: Emergency Performance Management Grant EMS: Emergency Medical Service EOC: Emergency Operations Center ERAF: Educational Revenue Augmentation Fund ERF: Equipment Replacement Fund ERP: Enterprise Resource Planning FEMA: Federal Emergency Management Agency FHWA: Federal Highway Administration FiPAC : Finance and Pension Advisory Committee FTE: Full-Time Equivalent FY: Fiscal Year GAAP: Generally Accepted Accounting Practices GASB: Governmental Accounting Standards Board GFOA: Government Finance Officers’ Association Proposed Budget for Fiscal Year 2026-2027 337 City of Costa Mesa, California GIS: Geographic Information System GMA: Growth Management Area GO: General Obligation HCD: Housing and Community Development HEPA: High-Efficiency Particulate Air (Filter) HUD: Housing and Urban Development HUTA: Highway Users Tax Account HVAC: Heating, Ventilation, Air Conditioning I-405: Interstate 405, also known as the San Diego Freeway ICE: Immigration & Customs Enforcement ICU: Intersection Capacity Utilization IIP: Intersection Improvement Project IIPP: Injury and Illness Prevention Program IPEMA: International Playground Equipment Association IT: Information Technology JIC: Joint Information Center JPA: Joint Powers Authority JUA: Joint Use Agreement LIDAR: Light Detection and Ranging LLEBG: Local Law Enforcement Block Grant LOS: Level of Service LRMS: Law Records Management System LTD: Long-Term Disability LTO: Linear Tape Open M&O: Maintenance & Operation MADD: Mothers Against Drinking and Driving MDC: Mobile Data Computer MIC: Mobile Intensive Care MIS: Management Information Services MOU: Memorandum of Understanding MPAH: Master Plan of Arterial Highways MTP: Medical Transportation Program NACSLB: National Advisory Council on State and Local Budgeting NCC: Neighborhood Community Center NEC: National Electric Code NFN: Neighbors for Neighbors NHCC: Norma Hertzog Community Center NIMS: National Incident Management System NMUSD: Newport-Mesa Unified School District NPDES: National Pollutant Discharge Elimination System NPI: National Purchasing Institute OCFCD: Orange County Flood Control District OCFEC: Orange County Fair & Exposition Center OCTA: Orange County Transportation Authority, OC Treasurer’s Association OPEB: Other Post Employment Benefits OS: Official Statement OTS: Office of Traffic Safety PC: Personal Computer, Penal Code PD: Police Department PDAOC: Planning Director’s Association of Orange County PEG: Public, Education & Government PERS: Public Employees Retirement System POST: Peace Officer Standard Training PPE: Personal Protective Equipment PUC: Public Utility Commission RAID: Reduce/Remove Aggressive & Impaired Drivers RAN: Revenue Anticipation Note RMRA: Road Maintenance and Rehabilitation Account RMS: Records Management System ROCKS: Recreation on Campus for Kids ROR: Rate of Return ROW: Right-of-Way RRIP: Residential Remodel Incentive Program SAAV: Service Authority for Abandoned Vehicles SB: Senate Bill SBOE: State Board of Equalization SCBA: Self-Contained Breathing Apparatus SEC: Security and Exchange Commission SED: Special Enforcement Detail SEMS: Standardized Emergency Management Systems SIP: Signal Improvement Program SLESF: Supplemental Law Enforcement Services Fund SMP: Senior Mobility Program SOBECA: South Bristol Entertainment and Cultural Arts 338City of Costa Mesa, California appendIx SR-55: State Route 55, also known as the Costa Mesa Freeway SR-73: State Route 73, also known as the Corona del Mar Freeway SRO: School Resource Officer SUV: Sports Utility Vehicle SWAT: Special Weapons and Tactics (Team) TAN: Tax Anticipation Note TARGET: Tri-Agency Gang Enforcement Team TEA: Transportation Enhancement Activities TMC: Turning Movement Count TOT: Transient Occupancy Tax TPA: Third Party Administrator TRAN: Tax and Revenue Anticipation Note UASI: Urban Area Security Initiative UBC: Uniform Building Code UCM: Utility Cost Management UMC: Uniform Mechanical Code UPC: Uniform Plumbing Code UPS: Uninterrupted Power System UST: Underground Storage Tank VLF: Vehicle License Fee WMD: Weapons of Mass Destruction WROC: Westside Revitalization Oversight Committee Proposed Budget for Fiscal Year 2026-2027 339 City of Costa Mesa, California Computation of Legal Debt Margin Fiscal Year Ended June 30, 2025 TAXABLE ASSESSED VALUE $ 2 75,447,557,700 General Goverment DEBT LIMIT:3.75 Percent Of Assessed Value $ 10,329,283,414 Amount Of Debt Applicable To Debt Limit: Total Bonded Debt $ - LESS:Assets In Debt Service Fund (Net)$ - TOTAL AMOUNT OF DEBT APPLICABLE TO DEBT LIMIT $ - LEGAL DEBT MARGIN $ 10,329,283,414 340City of Costa Mesa, California appendIx Assessed Valuation Value Last 10 Fiscal Years Assessed Val- uation Value Fiscal Year Taxable Assessed Value Increase (Decrease) Percent Increase (Decrease) 2016 -17 16,532,734,533 8 21,010,625 5.23% 2017-18 17,470,054,913 937,320,380 5.67% 2018 -19 18,504,516,800 1,034,461,887 5.92% 2019 -20 19,900,173,601 1,395,656,801 7.54% 2020-21 2 1,112,546,355 1,212,372,754 6.09% 2021-22 22,119,624,749 1,007,078,394 4.77% 2022-23 22,739,694,600 620,069,851 2.80% 2023-24 24,367,144,155 1,627,449,555 7.16% 2024-25 2 6,015,815,692 1,648,671,537 6.77% 2025 -26 27,544,755,770 1,528,940,078 5.88% Sources: HDL Coren & Cone and County of Orange Assessor Combined Tax Rolls Proposed Budget for Fiscal Year 2026-2027 341 City of Costa Mesa, California Current Debt Obligations 2017 Lease Revenue Bonds On October 4, 2017, the Costa Mesa Financing Authority issued a $29,735,000 Lease Revenue Bond to fund (i) certain capital improvements in the City, (ii) refund all of the outstanding City of Costa Mesa 2007 Certificates of Participation (Police Facility Expansion Project), and (iii) pay the costs of issuing the Series 2017 Bonds. The debt service payments are funded by General Fund revenues. Pierce Arrow XT Tiller Lease Purchase Agreement In February 2021, the Fire & Rescue Department requisitioned a new fire Fire Ladder Truck PierceArrow Chassis, 4-Door Full Tilt Aluminum Cab, Formed Aluminum Body, Single Axle, 107’ Tractor Drawn, Mid-Mounted Telescoping Ladder (#500) for $1,472,402, and will be paid over a 9-year term through June 30, 2031. Mobile Command & Triple Pumper Lease Purchase Agreement In November 2021, the Costa Mesa Police Department was authorized to purchase a Mobile Command Vehicle (MCV) to support the ability of the Department to safely manage emergency incidents. The Mobile Command Vehicle total $2,049,652, and will be paid over a 10-year term through a Master Lease Agreement reflecting an estimated two percent rate through June 30, 2032. In June 2021, the Costa Mesa Fire & Rescue Department was authorized to purchase a new Pierce 1500 GPM Triple Combination Pumper Truck. The request replaced a 2003 American LaFrance Pumper apparatus due to high mileage, heavy wear and tear on all powertrain suspension, steering and pump Police Armored Vehicle In July 2022, the Costa Mesa Police Department was authorized to finance an Armored Vehicle for Police Field Operations. An armored rescue vehicle can significantly decrease the threat to officers when deployed appropriately in situations such as active shooters, officer/citizen down rescues, armed barricaded suspects, and other major incidents where an act of violence or threat of violence is imminent. The vehicle and outfitting total $441,834, and will be paid over a 5 year term through June 3, 2028. Fire Ambulances In September 2022, the Fire & Rescue Department requisitioned to finance four (4) ambulances to replace four (4) 2013 Horton Model 623. The ambulances provide support to the City’s Fire and Rescue Department, and residents of the City of Costa Mesa. The rescue ambulances not only respond to medical emergencies and traffic accidents but are also known as “all risk,” meaning they respond to all types of incidents, including structure fires, specialized rescues, and hazardous materials spills. The four (4) Fire ambulances will total $933,225, and will be paid over a 5 year term through June 30, 2028 Pierce1500 GPM Triple Combination Pumper Truck & Public Works Equipment Lease Purchase Agreement In June 2023, the Fire & Rescue Department requisitioned a new Pierce 1500 GPM Triple Combination Pumper Truck. The request will replace existing 2003 American LaFrance Pumper apparatus due to high mileage, heavy wear and tear on all powertrain suspension, steering and pump. The Public Works Department requested a water truck, stake bed, sign truck, sign truck, stencil truck and asphalt roller truck to be replaced to increase the efficiencies during road maintenance and construction and replace the aging fleet. The total lease amount of $2,275,000, will be paid over a 7-year term through July 28, 2031. 342City of Costa Mesa, California appendIx Schedule of Debt Service Requirements to Maturity The annual requirements to amortize bonds payable by the City as of June 30, 2026, are as follows (excluding loans payable and advances from other funds for which minimum annual payments have not been established): Pierce Mobile Pierce 1500 Financing Arrow XT Command & GPM Triple Year Authority 2017 Tiller Lease Triple Pumper Police Combination Ending Lease Revenue Purchase Lease Purchase Armored & Public Works June 30  Bonds Agreement Agreement Ambulance Vehicle Equipment Total 2027 2,789,550 162,497 228,360 186,645 88,367 377,526 3,832,944 2028 1,069,800 162,497 228,360 186,645 88,367 377,526 2 ,113,194 2029 1,070,550 162,497 228,360 377,526 1,838,932 2030 1,069,800 162,497 228,360 377,526 1,838,182 2031 1,072,425 162,497 228,360 1,463,282 2032 1,068,425 228,360 1,296,785 2033 1,067,800 1,067,800 2034 1,065,425 1,065,425 2035 1,066,175 1,066,175 2036 1,073,375 1,073,375 2037 1,072,106 1,072,106 2038 1,075,044 1,075,044 2039 1,070,356 1,070,356 2040 1,069,806 1,069,806 2041 1,068,281 1,068,281 2042 1,070,700 1,070,700 2043 1,067,063 1,067,063 Total principal and interest 19,906,682 8 12,486 1,370,161 373,290 176,735 1,510,103 2 4,149,452 Less interest payments (5,354,013) (59,645) (121,428) (38,717) (17,102) (201,840) (5,792,745) Outstanding principal $ 14,552,669 $ 752,841 $ 1,248,733 $ 334,573 $ 15 9 , 6 3 2 $ 1,308,263 $ 18,356,707 Proposed Budget for Fiscal Year 2026-2027 343 City of Costa Mesa, California