Legislation Details

File #: 2026-4758    Version: 1 Name:
Type: Non-Consent Status: Final
File created: 1/5/2026 In control: ADMINISTRATION COMMITTEE
On agenda: 6/10/2026 Final action:
Title: PROPOSED FISCAL YEAR 2026-27 AND FISCAL YEAR 2027-28 BUDGET
Sponsors: Wally Ritchie
Attachments: 1. Agenda Report, 2. Budget - Draft FY 2026-27 and FY 2027-28, 3. Budget Summary FY 2026-27 and 2027-28, 4. Presentation
Related files: 2025-4348, 2026-4879
FROM: Robert Thompson, General Manager
Originator: Wally Ritchie, Director of Finance

SUBJECT:

title
PROPOSED FISCAL YEAR 2026-27 AND FISCAL YEAR 2027-28 BUDGET
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GENERAL MANAGER'S RECOMMENDATION

recommendation
RECOMMENDATION: Recommend to the Board of Directors to:

Approve the proposed Operating, Capital, Debt Service, and Self-Insurance Budgets for FY 2026-27 and FY 2027-28 as follows:


FY 2026-27
FY 2027-28
Net Operating
$ 279,712,720
$ 291,268,126
Self-Insurance - Workers' Comp.
$ 1,568,000
$ 1,697,500
Self-Insurance - Property & Gen. Liability
$ 4,991,970
$ 5,460,167
Net Capital Improvement Program
$ 291,475,441
$ 313,540,607
Capital Equipment
$ 19,445,729
$ 14,322,073
Debt/COP Service
$ 60,972,861
$ 65,127,111
Reduction of Long-Term Liabilities
$ 15,000,000
$ 15,000,000
Total
$ 673,166,721
$ 706,415,584

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BACKGROUND

The FY 2026-27 and FY 2027-28 Proposed Budget is included for the Committee's consideration. The Budget has been presented to the Operations Committee at the regular June meeting in order to allow each Standing Committee an opportunity to review the proposal prior to the June Board meeting. Although each Committee has had an opportunity to review the proposal, it remains the responsibility of the Administration Committee to recommend approval. The Administration Committee is requested to recommend that the Board of Directors approve this budget at the June 24, 2026 Board of Directors meeting.

RELEVANT STANDARDS

* Ensure the public's money is wisely spent
* Produce appropriate financial reporting - Operating and CIP budgets every two years, with annual update

PROBLEM

The Orange County Sanitation District (OC San) cannot maintain and monitor its financial condition, operations, and future capital improvements without examination and transparency into its resources, revenues, reserves, and outlays, and cannot continue...

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