The Redondo Beach Budget & Finance Commission voted to send a formal letter to the mayor and City Council asking that the Finance Department provide quarterly budget updates directly to the council, saying that earlier and more regular reporting would improve transparency and give councilmembers time to respond before one-time reserves are tapped.
Commissioner Jesse, who led the discussion and drafted a letter to the mayor earlier in the year, said the commission should go on record opposing the city's recent move to cover a budget shortfall by drawing from pension reserves. "Dipping into pension reserves to make up a shortfall is irresponsible," Jesse said, arguing it sets a harmful precedent and cited a large shortfall discussed at the council's June meeting. He asked that the commission's letter outline recommended quarterly reporting content and that the commission read the letter during a council public-comment period for visibility.
Stephanie, the Finance staff member presenting the quarterly report, told commissioners the one-time $4.2 million CalPERS lump-sum payment was a driving factor in the reserve use and that the reserve had been designated by council for such lump-sum payments. She said staff had confirmed that revenue projections were generally on track but that timing and one-time items were constraining near-term cashflow.
Chair Allen moved the proposal, the commission seconded it and agreed the letter would ask for quarterly reports to include key line-item trends, comparisons to prior years and forecasts that would help council identify emerging shortfalls earlier. The motion passed on a voice vote with no recorded opposition. Commissioners agreed one or two commissioners would help draft the letter with staff for distribution back to the commission for comment before it is sent.
The commission distinguished the action (sending a letter and reading it at council) from formal authority over council decisions: several commissioners reiterated that the council makes final budget decisions but said improved direct reporting would enable better oversight and earlier intervention.