FROM:
Finance
SUBJECT:
Title
Proposed Operating Budget for the Fire Protection District for Fiscal Years 2025/26 and 2026/27
End
RECOMMENDATION:
Recommendation
1. Adopt Resolution No. FFD 2025- 001, of the Fontana Fire Protection District adopting the District’s Annual Operating Budget for Fiscal Years 2025/2026 and 2026/2027.
2. Adopt Resolution No. FFD 2025- 002, of the Fontana Fire Protection District establishing an appropriations limit of $206,256,720, pursuant to Article XIII (B) of the California Constitution for Fiscal Year 2025/2026.
3. Authorize the carryforward of available one-time funding and capital improvement project budgets at 2024-25 fiscal yearend to the following fiscal year.
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COUNCIL GOALS:
• Operate in a businesslike manner by ensuring that the public debate is based on accurate information.
• Operate in a businesslike manner by correcting problems immediately.
• Practice sound fiscal management by producing timely and accurate financial information.
• Practice sound fiscal management by living within our means while investing in the future.
• Practice sound fiscal management by fully funding liabilities and reserves.
• Practice sound fiscal management by developing long-term funding and debt management plans.
DISCUSSION:
The Proposed Operating Budget for the Fire Protection District includes estimated revenues and transfers of $84,658,990 in Fiscal Year 2025/26 and $89,290,710 in Fiscal Year 2026/27 and expenditures and transfers of $75,910,770 in Fiscal Year 2025/26 and $77,508,670 in Fiscal Year 2026/27. Notable budget items include:
• Fire Services Contract - Included in both Fiscal Year 2025/26 and Fiscal Year 2026/27, are contract costs in the amount $45,758,840 and $48,504,370 respectively for fire protection and emergency medical services to be provided by the San Bernardino County Fire Protection District.
• Contributions to the City - Included in both Fiscal Year 2025/26 and Fiscal Year 2026/27, are contributions to the City in the amount of $20.9 million and $21.4 million respectively for current year lease expenses, cost allocation for central services, and debt service.
• Operating Transfers - Included in Fiscal Year 2025/26 and Fiscal Year 2026/27 budget operating transfers in/out from the operating fund to the to the Fire Capital fund in the amount of $3.0 million to fund the Fire Capital Reserve.
The Operating Budget, as proposed, seeks to maintain a stable financial environment for the Fontana Fire Protection District and the conservative decisions made in this budget process continue to emphasize the Fire District Goals and Objectives.
The Fire District is required to annually adjust the appropriations limit pursuant to the procedures contained within Article XIII (B) of the California Constitution. To comply with the California Constitution, the District has determined that the new limit is $206,256,720, adjusted for population growth and using the growth factor in the California Per Capita Income.
To view the Proposed Operating Budget for Fiscal Years 2025/26 and 2026/27 in its whole entirety please visit <https://www.fontanaca.gov/263/Budget>
FISCAL IMPACT:
The fiscal impact associated with the approval of this item is the establishment of the operating budgets for Fiscal Years 2025/26 and 2026/27. The total appropriations and sources for Fiscal Year 2025/26 are $75.9 million and $84.7 million respectively, and for Fiscal Year 2026/27 $77.5 million and $89.3 million respectively. The net fund balance impacts for Fiscal Years 2025/26 and 2026/27 are an increase of $8.7 million and $11.8 million respectively.
MOTION:
Approve staff recommendation.