Riverside Council to Review Third-Quarter Finances and Transfers July 28
Riverside City Council will review a cautious but stable General Fund outlook, revenue pressures and proposed transfers at its 3 p.m. meeting July 28.
The Riverside City Council is scheduled to review the city’s third-quarter financial update and related budget actions at its 3 p.m. meeting Tuesday, July 28, 2026.
The report covers the period from July 2025 through March 2026. It describes the General Fund outlook as cautious but stable while identifying softer revenue in some categories and higher costs tied to public safety and personnel.
Large proposed transfer would support liability fund
The most consequential proposed action is a combined $10.96 million in transfers connected to the city’s General Liability Trust Fund. The proposal includes a $9.56 million transfer from General Fund surplus reserves and another $1.4 million transfer from the General Fund.
Those transfers remain proposed until the council takes action. The financial report is a third-quarter update, not a full-year audited result, and the July 28 meeting is the scheduled decision point for the recommended appropriations and transfers.
The agenda materials indicate that the listed appropriations and transfers require at least five affirmative council votes. Final action, any amendments and the official meeting minutes should be checked separately after the meeting.
Revenue adjustments and spending requests
City staff are also asking the council to consider proposed FY 2025-26 revenue adjustments totaling $1,639,852.
Proposed FY 2025-26 supplemental appropriations and interfund transfers total $12,599,852. The package includes funding changes paired with offsetting reductions or other identified financial actions in the staff report.
These proposals concern the city’s ongoing budget management and do not, by themselves, represent an immediate across-the-board tax increase. The report outlines specific fund movements and spending adjustments for council consideration.
What is putting pressure on the General Fund
The third-quarter review identifies softer-than-expected development-fee revenue and cannabis-tax revenue as pressure points. The report does not establish that either category is in a permanent decline; it reflects performance during the reviewed period and the city’s current estimates.
On the spending side, public-safety overtime and personnel costs are rising. Those pressures can reduce flexibility in the General Fund even when the overall outlook remains stable.
The city’s adopted FY 2026-28 biennial budget provides broader context for the update, but the third-quarter report focuses on the current fiscal year and the adjustments staff are recommending now.
What Riverside residents should watch
The council’s discussion will determine whether the proposed transfers, revenue changes and supplemental appropriations move forward as presented or are amended. Residents should distinguish between the staff recommendation on the agenda and actions formally approved during the meeting.
The key questions after July 28 will be whether the council approves the proposed $10.96 million liability-fund transfer, adopts the other budget actions and makes any changes to the staff recommendations. The city’s financial review should also be kept separate from Riverside County budget decisions, which involve a different government and budget process.
Sources
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