Stephanie, the city's finance presenter, walked commissioners through Q1 comparisons for FY25–26 against prior years and explained that, overall, the city's main tax categories (property tax, sales tax) were tracking close to prior-year results. She highlighted that property transfer tax receipts and selected categories were slightly higher and that a small number of revenue postings were delayed, which depressed charges-for-service in the quarter.

On expenditures, Stephanie said general fund spending was essentially in line with prior years on a percentage basis; differences in capital, enterprise, and special revenue funds reflect timing and one-time projects. She singled out the CalPERS lump-sum pension payment—reported as $4.2 million this year—as the primary non-recurring expense that staff covered by using the reserve that had been set aside for such payments.

Commissioners asked for more visibility into how projects and appropriations grow from initial estimates to final cost. Stephanie showed the CIP spreadsheet with links to council agenda items, contracts, change orders and notices of completion and said every appropriation was approved by the city council. Commissioners asked follow-up questions about personnel vacancy assumptions, healthcare cost trends, and benchmarking police and fire spending to peer cities; staff agreed to look into benchmark comparisons and continue monitoring revenues and postings.

The commission voted to accept and file the quarterly report.