LAKEPORT >> At a special meeting, the Lakeport City Council examined an operating and capital expenditures budget for the fiscal year 2025-26 in order to adopt to an associated resolution on Monday.
Finance director Danielle Dizon noted that total revenues citywide were $31.9 million. Almost 50% of that, $15.9 million is coming from grants from state and federal agencies. “We have $1.2 million for emergency repair storm damage at Forbes Creek and Hartley culvert. Meanwhile, expenditures are $37.2 million, with the largest part being the affordable housing development at $12.4 million. Personnel costs, at $7.2 million, operations costs are $6.8 million, debt service cost at $2.5 million and a Capital Improvement Plan budget at $8.3 million.”
City Manager Kevin Ingram noted, “As you know, there is not a lot of money to play with in this budget. But it does keep operations moving forward,” he said. “It does balance and gets a few things moving on some of the council’s priority.” Ingram went on to allude to the $5 million gap between revenue and expenditures but noted some of Lakeport’s Redwood Division sister cities are in much the same situation. “They are also experiencing this sort of budget piece so, we are not alone,” Ingram said. He recognized the reality Lakeport faces and the next couple of years could be harsh, as Finance Director Dizon laid it out, these things are beyond the city’s control, like utility costs and no fault of any of staff, just the situation the city is in.
Responding to a question from the Record-Bee, Dizon replied, “Thank you for your inquiry regarding the variance between total projected revenues ($31.9 million) and total budgeted expenditures ($37.2 million) for FY 2025–2026,” she said, “While this may suggest a deficit at face value, the discrepancy is attributable to the timing of revenue recognition for several capital projects. These projects are funded through grants and bond proceeds that were received and recognized in prior fiscal years. As the associated expenditures are scheduled for the current fiscal year, the shortfall is offset by fund balance carryforward. This mechanism reflects the use of previously accrued resources to finance current-year obligations, rather than a structural imbalance in the budget. Fund Balance figures can be found on page 48 of the budget document. The column titled “Estimated beginning FB” is reflective of the fund balance amount available as financing sources to support the budgeted financing uses.”
Ingram then brought up the proposal from City Council Member Stacey Mattina’s proposal to update the city’s Mission and Community Vision Statements. Ingram asked if council wanted to proceed with the changes at the special meeting or if it would make more sense to add it as an agenda item at the next regular meeting. He added, they could devote more time to the change of the statement texts if they waited, and then just approve the budget.
After Parlet asked for a reading, Mattina then read aloud her changes.
Mission Statement: Lakeport is a beautiful and welcoming community. We are dedicated to preserving it’s smalltown charm; while assuring it remains a place to raise a family, enjoy retirement, explore outdoors, and live a healthy, fulfilling life.
Community Vision Statement: Lakeport’s unique character and community values are the foundation of our future. These treasured qualities will be preserved and enhanced through effective, responsive and forward thinking and delivery of municipal services.
Parlet called this version excellent, yet felt there was perhaps something missing. He suggested he could move on a vote implement Mattina’s enhancements, then revisit it as an agenda item at the next meeting. But Costa advised caution. “If it’s a Mission Statement about Lakeport, maybe the people of Lakeport would like to discuss what they think about it.” she said.
Council Member Brandon Disney noted they could do a workshop about the changes and get community input off the better version than what it currently reads which the council were not a big fan of. Still Costa was not convinced. She said she hoped the community would look at the new budget and also read the statement revisions. “But don’t change it until we let people know were talking about a possible change and give them an opportunity and offer some options.”
Costa added that although the budget and the statements were discussed at the same special meeting, the statements lived separately from the budget. Mackenzie Anderson, assistant city counselor noted there was adequate notice to revise this section prior to the special meeting and was part of the budget process and made publicly available. “But it is your own judgement whether you want to do it now or postpone until a future meeting,” she said. “I do not see a legal issue.”
A motion was made to approve both the budget as well as approve the enhanced statements recommended by Mattina with the thought of bringing back the item for community input to possibly improve the statements, which passed unanimously. City Council meetings are held on the first and third Tuesday of each month. Regular Council meetings begin at 6 p.m. in the City Council Chamber, 225 Park Street. The public is invited to attend all Council meetings. Minutes of previous meetings, agendas and other materials may be found online at https://www.cityoflakeport.com/city_council/index.php
