Presented by Antioch Business Collaborative and Working Solutions
Calling all entrepreneurs in the City of Antioch!
If you are looking to finance your small business but don’t know where to start, join Working Solutions on Zoom this Thursday, June 26 at 4 PM for a free Capital Readiness workshop! Learn how to access funding with the right mindset and documents, and what makes a business approvable for a loan. Register at bit.ly/antioch-loan-ready.
Working Solutions is pleased to partner with the City of Antioch to deliver financial and technical assistance to Antioch entrepreneurs through the Antioch Business Collaborative. See below for funding opportunities, upcoming workshops, or to get started with one-on-one pre-loan support.
If you’re ready to get started and need loan application support, find us in person at the Antioch Community Center every Tuesday from 9 AM-12 PM. Learn more at workingsolutions.org/antioch.
Almost half of cuts from Police Department staffing, overtime savings
Plus, $165.3 million 5-Year Capital Improvements budget and $2.4 million in federal community funds
By Allen D. Payton
Following all the special budget session meetings over the past several months, the Antioch City Council, during their meeting Tuesday night, June 24, 2025, is expected to approve the 2025-26 budget with over $11.5 million in spending cuts and using $5 million from the Budget Stabilization Fund. The City was facing a $24.3 million deficit for the coming fiscal year and if the budget is approved as recommended, will have a net deficit of $7.7 million which will be covered from reserves.
Almost half of the savings, $5.5 million, will be in the Police Department budget from Vacancy Savings and Overtime Reductions. UPDATE: That’s due to the current staffing vacancies of approximately 30 sworn officers and the chief informing the council that they expect to add 15 more officers in the next year. So, instead of determining the savings from the staff vacancies during a mid-year budget review and spending the one-time funds on other City budget items, the council chose to account for it in the budget up front to reduce the deficit.
In spite of the cuts, future fiscal years still show the City facing projected deficits of $10,629,642 in 2026-27 and $25,396,400 in 2028-29.
The proposed budget also includes an allocation from the Measure W 1% City sales tax of 70-15-15 or 70% for Police, 15% for Quality of Life and 15% for Youth. (See page 6 of the Budget)
According to the City staff report for item #5, “Since March, City Council and staff have been diligently scrutinizing the budget to close a starting point fiscal year 2026 deficit of $24,270,240. Initially, staff was able to shave $8,603,792 from that number, for a fiscal year 2026 deficit of $15,666,448 as presented at the March 4th budget session. Upon further collaboration with the Council, City Manager and departments as we moved through the exhaustive budget process, and through a series of further adjustments, a General Fund budget with a net deficit of $7,737,331, after a $5M infusion from the Budget Stabilization Fund.”
In addition, under item #3 the Council is expected to approve the Five-Year Capital Improvement Program budget for 2025-2030 for Community Facilities, Parks & Trails, Roadway Improvements, Traffic Signals, Wastewater & Storm Drain System and the City’s Water System. Currently, there are $163.3 million of projects in progress which includes $6,238,209 of projects that the Council added to the list.
Finally, in other budget action, under item #4 the Council will consider approving the recommendations of the City Council’s Community Development Block Grant (CDBG) Subcommittee for a total of $2,369,318 in federal funds for the coming fiscal year. Mayor Pro Tem Louie Rocha, representing District 2, and Councilwoman Tamisha Torres-Walker, representing District 1, served on the CDBG Subcommittee for this funding cycle.
The meeting begins at 7:00 PM in the Council Chambers inside City Hall at 200 H Street, in historic, downtown Rivertown. It can be viewed via livestream on the City’s website, on Comcast Local Cable Channel 24 or on AT&T U-verse Channel 99.
The Contra Costa Water District Canal Replacement Project includes 20 miles of the waterway. Photo: CCWD
Lake Shasta is source of all water, Los Vaqueros Reservoir will not be expanded, CoCoTax members learn
By Allen D. Payton
During the Contra Costa Taxpayers Association Members and Leaders monthly luncheon in May, Contra Costa Water District Board President, Ernesto Avila provided an update on the district’s current work and plans. They include repairing 20 of the 48-mile canal at a cost of $1 billion, keeping water rates as low as possible and expanding service to keep up with growth.
The district includes the Central County cities and communities of Martinez, Pleasant Hill, Concord, Clayton, Pacheco, Clyde, Port Costa and portions of Walnut Creek, and in East County, the cities and communities of Pittsburg, Antioch, Oakley, Bay Point, and portions of Brentwood.
CCWD Board President Ernesto Avila provides an update during the CoCo Taxpayers Association luncheon on May 23, 2025. Photo: Allen D. Payton
Half of the district’s water is provided to treated water customers and the other half to raw water customers, Avila stated and then spoke about ensuring adequate “water supply during disasters such as fire and earthquake emergencies.”
“When PG&E outages occur all of our tanks go full,” he shared. “Water only stays sweet for six to seven days to meet the water quality requirements of the state.”
“Lake Shasta is where we get all of our water from through the Central Valley Project,” he continued. “It’s currently 94% full.”
The district owns Los Vaqueros Reservoir for storage, which is currently 93% full. But “we can’t just draw water whenever we want,” Avila stated. “All of our intakes are screened to protect fish.”
“We are out of our drought,” Avila added. However, “during the drought there were no constraints on water supply for development and growth.”
Source: CCWD
Canal Replacement Program
There have been “landslides on the west side of the canal and repairs can cost millions,” he stated and spoke of the district’s “Canal Replacement Program” which will cost “$1 billion”.
“Nobody likes to raise rates,” Avila continued. “We’ve replaced four miles, so far and have 16 miles to go. It will be a pipeline”
Asked what happens to the pipe during an earthquake he said, “If it’s an older pipe, it will probably crack. We’re looking at a very ductile pipe that can move easily.”
Avila then spoke about providing enough water to meet the demands of residential growth including “redevelopment of the Concord Naval Weapons station” where “15,000 homes” are projected to be built.
“Ten percent of the district’s water is provided through recycling,” he stated. “We want to bump that up to fifteen percent.”
Budget & Water Costs to Users
“Energy costs have been the greatest increases from 2020 to 2024, medical coverage is second greatest,” he shared. Those are followed by “pension and OPEB (other post employee benefit) liabilities.”
“The average customer spends about $3.00 per day for water,” Avila stated. “The cost is 1.3 cents per gallon per day.”
He compared that to EBMUD rates which are at 2.0 cents per gallon.
Contra Costa Water District Production Costs. Source: CCWD
According to the slide show from his presentation, costs to the district for water production include the following:
INVESTMENTS IN INFRASTRUCTURE – Pipeline Renewal, Canal Replacement, Water Treatment Plant Upgrades;
PURCHASED WATER
WATER SUPPLY AND RESOURCE PROTECTION – Water Supply Planning, Watershed Management, Recreation;
SYSTEM OPERATIONS & MAINTENANCE – Water Treatment, Water Delivery, Leak Inspection and Repair;
ADMINISTRATION – Human Resources, Safety, Accounting and Payroll;
CUSTOMER CARE – Customer Service, Billing, Water Efficiency Support, and Public Affairs; and
COMMUNITY EDUCATION AND WORKFORCE DEVELOPMENT K-12 Water Education and Field Trips, and Internships.
The district has an AAA Bond Rating which keeps interest costs on bonds down, Avila shared.
He was then asked about “money going to DEI programs. I this something you should be doing anymore?” Avila responded, “there are three employees dedicated to it. There are 317 employees which is 30-40% of the budget We have one person in Human Resources dedicated to it. We have a $200 million per year budget. Not even one percent is dedicated to it.”
“It’s about trying to enhance the culture for our employees to work together better,” he added. “We review it every six months. Our Master Plan is on the website.”
Asked about “EPA clean water requirements getting tougher each year” Avila spoke about “unfunded mandates we have to comply with. We work with various associations and collaborate on a national level as regulations are mostly at the federal level.”
“Our biggest concern is the issue of diminishing return on conservation,” he explained. “During the drought, people in our area reduced use by 25 percent while Southern California only reduced 2-3 percent.”
According to the chart in Avila’s presentation total water use has actually decreased over the past 17 years even though the population has significantly increased.
Source: CCWD
No Los Vaqueros Capacity Increase Due to Too Much Cost and Regulation, Offline for Too Long
Asked about increasing capacity at Los Vaqueros, Avila said, “The district spent $10 million on raising the…reservoir, for a cost/benefit analysis funded by the state. It was over subscribed with more customer demand than supply, 250,000 versus 120,000 acre feet.”
“But with so many constraints on pumping water into the reservoir, demand dropped to 50,000 acre feet then to zero,” he continued. “The cost increase with inflation went from $800 million to $1.6 billion, mainly from more material and labor cost increases, plus, engineering costs.”
Finally, Avila shared, “Los Vaqueros Reservoir would have had to be offline for six to seven years. It just wasn’t viable. They knew that, going in. The issue was negotiating supply from EBMUD and others” who “couldn’t guarantee any water.”
He also spoke about future supply including the proposed offstream Sites Reservoir project west of Colusa in the Sacramento Valley.
“In California, for every one million acre-feet of storage, there is eight to nine acre-feet of surface storage,” Avila stated.
Finally, in response to a question, he said, “Water from a canal behind a house is not grandfathered in if the home is sold.”
The next CoCoTax Members and Board Luncheon will be held on Friday June 27, 2025, at 11:45 AM at Denny’s Restaurant, 1313 Willow Pass Road in Concord, and will feature Oakland Mayor recall leader Seneca Scott as the speaker. Advance registration is available on the CoCoTax website where you can pay online, or bring cash or check on Friday and pay at the door: $25 for members, $30 for guests. www.cocotax.org/event-6189658/Registration
About CoCoTax
Founded in 1937, CoCoTax leads the way in providing fiscal oversight of local government. We actively resist unwarranted taxes and fees, discriminatory regulations, ill-advised public expenditures and government secrecy, inefficiency and waste. For more information and membership visit www.cocotax.org.
About CCWD
The Contra Costa Water District delivers safe, clean water to approximately 520,000 people in central and eastern Contra Costa County in Northern California. Formed in 1936 to provide water for irrigation and industry, we are now one of the largest urban water districts in California and a leader in drinking-water treatment technology and source water protection. For more information visit www.ccwater.com.
Will fund conversion of Comfort Inn to rehabilitation project
City commitment required for state funded operating subsidy
By Allen D. Payton
The Antioch City Council will hold another special meeting on Thursday, May 22, 2025. This one will be for discussing a financial commitment for the state’s Homekey+ Program to serve the city’s homeless residents. The matter is time sensitive as the State begins its Award Announcements this month. The meeting begins at 6:30 p.m.
NOFA means Notice of Funds Availability. Source: CA Dept of Housing and Community Development
According to the City staff report for the one-item agenda, “It is recommended that the City Council adopt a resolution approving the submission of an application with California Supportive Housing for the Homekey+ Program and designate City Manager to execute commitments for city capital match up to $750,000 and operating subsidy up to $1,200,000 annually for 5 years with two five year extensions contingent on the property meeting the required Homekey+ guidelines and affordable housing regulatory agreement and authorizing the City Manager or designee to execute the Agreement in a form approved by the City Attorney.”
Will Fund Conversion of Comfort Inn to Rehabilitation Project
“The City Staff is proposing a co-application with the Developer that seeks funding to acquire 2436 Mahogany Way (currently the Comfort Inn) in Antioch and undertake the rehabilitation necessary for the motel rooms to serve as permanent housing for homeless families/individuals with prior behavioral health issues.
“The CSH Mahagony Housing Project will be a rehabilitation project which will turn the current hotel into 60-85 affordable units and one two-bedroom manager unit. Each apartment will have a kitchenette, living room, bathroom, and bedroom. Non-residential conversion of the interior will include a community lounge, property management offices, resident supportive services and case management offices. One existing laundry room and the electrical room will maintain those functions, while rooms will be converted to resident services/case management and property management offices. It is also planned to keep the existing security fences, gates, and trash enclosure. Additional fencing will be added to property.
“Project Developer: California Supportive Housing (CSH) is the Project Developer. CSH is a mission-oriented 501 (c)(3) nonprofit California corporation dedicated to bringing affordable housing to people in need, including homeless, seniors, youth, people with disabilities, and families. The CSH team has over 35 years of experience in affordable housing development and is currently working on a HomeKey project in Oakland which is the conversion and renovation of a motel into 104 permanent supportive housing units for the homeless.”
About Homekey+ Program
According to the California Department of Housing and Community Development (HCD), the state’s Homekey+ Program is funded by Proposition 1, which was “passed by California voters in March 2024…to reduce homelessness and protect our most vulnerable populations through important changes to the Mental Health Services Act and providing up to $6.4 billion in bond funding to develop and expand behavioral health treatment, residential care settings, and Permanent Supportive Housing.”
“Approximately $2 billion of the Proposition 1 bond funds will be administered by the…HCD, in collaboration with the California Department of Veterans Affairs (CalVet) as the Homekey+ program (HK+), expanding upon the successful Homekey model. The remaining $4.4 billion of the Proposition 1 funding will be administered by the California Department of Health Care Services (DHCS) to award competitive grants to construct, acquire, and rehabilitate real estate assets or invest in needed infrastructure to expand the behavioral health continuum of treatment and service resources.”
Efforts are underway to house the historic First Congregational Church bell in a tower on the Museum grounds. (Right – Example of tower and bricks for foundation). Photos: Antioch Historical Society
“Ring it loud! Ring it proud! Be part of Antioch’s history!”
During Society’s 50th and Museum’s 25th Anniversaries
By Allen D. Payton
The Antioch Historical Society is at it again with another project for the grounds of the Museum. This time they’re raising funds to restore and locate a display of the historic First Congregational Church bell, one of the oldest artifacts in the city.
The effort is being led by Past Board President Dwayne Eubanks and Tom Menasco, a co-founder of the Sports Legends wing and leader of the successful fundraising effort for the Red Caboose display.
Menasco is serving as the marketing and fundraising manager, Director Stan Davis and Ron Bass are serving as construction managers, Eubanks shared.
According to the Historical Society, the bell “was heard more than 150 years ago by early church members, including Antioch’s founders Rev. W.W. Smith and Captain George W. Kimball. It was heard by the church sexton, Thomas Gaines, the first known Black settler in Antioch.”
When reached for comment, Eubanks said, “The church bell is very significant to Antioch as it goes back to the time when the city was incorporated and was heard by people including the first Constable and Mayor, Roswell Hard, William Wiggins Smith, Thomas Gaines, and Adelia Kimball, the community’s first teacher.”
“We’re building a custom bell housing. We paid a company that specializes in designing bell towers back in 2022. But we had to put the plans on the shelf for a few years due to COVID.”
Church bell and tower Fundraising Goal and progress and Elevations. Source: Antioch Historical Society
Antioch resident Joseph Zamora, a member of the First Congregation Church, donated the bell.
“It was in his backyard under a tarp. It’s 700 lbs.,” Eubanks stated.
“We’re hoping the bell will help unite old Antioch and new Antioch. To me, personally, it’s a symbol of unity,” he added.
They’ll build the tower, display the bell, “and it’s going to ring,” Eubanks exclaimed.
Asked how much the Society is raising for the project, he said, “The construction estimate was around $96,000 and we’ve raised $48,000. Part of that came out of our budget. That includes profit and labor. But we’re taking that out as we may get in-kind services and materials that will cut that balance down.”
“The City gave us a civic enhancement grant and waived the construction permit fee,” he shared.
“We’re hoping to put this bell and tower in this year as it’s the 50th Anniversary of the Historical Society and 25th Anniversary of the museum in the former Antioch High School and fire department building,” Eubanks mentioned.
“Ring it loud! Ring it proud! Be part of Antioch’s history!Leave a legacy for your children and grandchildren to see, ring, and enjoy. Let’s hear it ring again! Become a sponsor today and your name will be permanently inscribed on the exhibit,” the Society shared on their Facebook page.
To donate online, visit their website at: https://antiochhistoricalmuseum.org/donations/ or see the flyer below. The Museum is located at 1500 W. 4th Street and is open Wednesdays and Saturdays from 1:00 to 4:00 p.m. For more information call (925) 757-1326.
Fire fuels reduction efforts in the East Bay parks. Photos: EBRPD
$8.3 million in grants; $2.6 million in district matching funds
By Dave Mason, Public Information Supervisor, Public Affairs, East Bay Regional Park District
The East Bay Regional Park District is set to spend $10.9 million over the next three years to reduce fire fuels at Anthony Chabot, Tilden, and Wildcat Canyon Regional Parks, Claremont Canyon Regional Preserve, and Carquinez Strait Regional Shoreline. The funding will help reduce wildfire risks by removing dead and dying trees and hazardous vegetation on over 600 acres. Dead trees burn hotter and faster and can cast embers long distances, igniting new fires.
These efforts are in addition to ongoing fuels reduction work districtwide, including large-scale projects at Anthony Chabot Regional Park (544 acres) and Tilden Regional Park (39 acres), a 16-person year-round fuels reduction crew, and annual goat, sheep, and cattle grazing. In 2024, the Park District’s fuels reduction crew removed hazardous fire fuels on 104 acres in 11 parks. Additionally, more than 86,800 acres of parkland are grazed annually by cattle, sheep, or goats.
“The grant funding enhances our ability to protect the public and safeguard our natural landscapes,” said Park District Interim Fire Chief Khari Helae. “Securing the funding is a testament to the Park District’s efforts—from planning to permitting—to manage the detailed grant application process and its proven ability to carry out large-scale fuels reduction projects in support of the community.”
2025 Grant Funding Allocations Map. Source: EBRPD
The $10.9 million for fuels reduction projects includes $8.3 million in grants, with $6.1 million coming from the Federal Emergency Management Agency (FEMA), $2.1 million from the California State Coastal Conservancy, and $100,000 from the U.S. Forest Service. FEMA funding was obtained in partnership with U.S. Sen. Alex Padilla, who secured $1.5 million in the 2023 budget, and U.S. Rep. Eric Swalwell, who secured $1.4 million in the 2024 budget.
An additional $2.6 million comes from required Park District matching funds, which include general funds and voter-approved local revenue measures like Measure FF. These local revenue measures enhance the Park District’s ability to qualify for and secure grant funding by providing required matching contributions.
Fire fuels reduction source of funds. EBRPD
“These projects are vital to reducing wildfire risks in the East Bay,” said Park District General Manager Sabrina Landreth. “We thank FEMA, Sen. Alex Padilla, Rep. Eric Swalwell, the California State Coastal Conservancy, the U.S. Forest Service, and Park District voters for their support and for prioritizing wildfire mitigation in the East Bay.”
For large scale vegetation management projects, the Park District utilizes a climate-friendly carbonizer to dispose of vegetation. The carbonizer burns organic matter at 1,300 degrees Fahrenheit with little oxygen, which produces very low emissions—especially compared to conventional disposal methods such as open pile burning or transporting debris long distances in diesel trucks. The resulting biochar is being used throughout the Park District to enhance soil health, improve water retention, and increase crop productivity, including at the District’s Ardenwood Historic Farm in Fremont.
Photo: EBRPD
The Park District Board of Directors will consider authorizing $1,883,261 in matching funds from Measure FF at their upcoming Board Meeting on Tuesday, May 20, 2025. Measure FF was passed in 2018 by voters in the communities of Alameda, Albany, Berkeley, El Cerrito, El Sobrante, Emeryville, Kensington, Oakland, Piedmont, Richmond, and San Pablo to provide funding to reduce fire risks, improve public access, and restore natural habitat. The Board of Directors previously authorized $500,016 in matching funds in March 2023.
The East Bay Regional Park District is the largest regional park system in the nation, comprising 73 parks, 55 miles of shoreline, and over 1,330 miles of trails for hiking, biking, horseback riding, and environmental education. The Park District receives an estimated 30 million visits annually throughout Alameda and Contra Costa counties in the San Francisco Bay Area.
$10 to $15 million in spending reductions proposed to eliminate deficits; largest amount in police department budget mostly due to savings from vacant positions
Public Works Dept budget cuts would reduce landscape maintenance and watering, vandalism repairs, close restrooms at some parks
City Manager requesting switch back to one-year budgets
By Allen D. Payton
The Antioch City Council will hold another special meeting for a Budget Study Session for Fiscal Years 2025-27 on Tuesday, May 20, 2025, beginning at 5:30 P.M.
According to the City staff report, the “Council has requested that several budget models be provided for consideration and discussion. The City Manager is requesting City Council to consider the five models provided and direct staff which elements to incorporate into a final draft for Council to evaluate for adoption.
The City Manager and Finance Director are recommending that the City Council adopt a one-year budget that would amend FY25 and adopt FY26. This will allow staff to pursue thoughtful and vetted long term alternatives to revenues, programs and services to better build a sustainable budget. If this is amenable, the proposed FY27 budget will be a baseline to begin further evaluation. Another one-year budget would then be adopted in June 2026, with a goal to adopt a two-year budget in 2027 for the 2027-29 fiscal years.
MODEL 1: This is the baseline model initially presented to City Council that incorporated $8.7M in reductions in FY26 and $9.5M in FY27. Further refinements were made, resulting in $10.4M in total reductions in FY26 and $11.2M in FY27.
Over half of the reductions will be in the police department budget with most from vacancy savings.
MODEL 2 includes additional Expenditure Budget Adjustments of $1,339,138 for total reductions of $11,769,027 in FY2026 and $1,366,910 in FY2027 for total reductions of $12,648,455.
The Public Works Department budget cuts would result in “Reducing landscape expenditures by this much will result in the following implications: playground repairs will not occur; preventative tree maintenance will not occur; will need to shut off water to landscape in some areas; sign repairs will not occur; vandalism and accident repairs will not be made; will need to close bathrooms at some parks; dead or missing plants will not be replaced causing landscape to look barren; irrigation controllers will not be repaired or replaced; soundwall repairs will not be made.”
MODEL 3 includes additional “net” reductions of $941,482 in FY26 and $612,850 in FY27 beyond measures in Models 1 and 2 as the reduction in funding for the AQCRT (Angelo Quinto Community Response Team) offsets the cost of adding 4 positions. The General Fund meets the 20% minimum unassigned fund balance level in, FY26; however, the minimum fund balance should be at least $19,297,944 in FY27 to meet a 20% unassigned reserve, meaning that is it deficient by $8,479,375.
MODEL 4 builds on Model 3 and incorporates a 5% furlough (5% pay reduction/reduced work hours) for employees, excluding APOA and APSMA bargaining unit employees, and assumes all elected officials take a 5% stipend reduction as well as a full fiscal year implementation. A 5% equivalent pay reduction for APOA and APSMA positions would be $1,306,530 in FY26 and $1,350,062 in FY27 that Council should negotiate for not only further reducing the deficit, but parity as well, if a furlough is implemented.
$5M in Budget Stabilization Funds are utilized in FY26 and FY27. The 20% minimum fund balance is met and exceeded each fiscal year. The Budget Stabilization fund balance is projected to be $32,941,944 at the end of FY26 and $26,641,944 at the end of FY27 if $5M per year, if funds are used to offset the deficit.
MODEL 5 builds on Model 4 and incorporates a total of a 10% furlough (10% pay reduction/reduced work hours) for employees, excluding APOA and APSMA bargaining unit employees, and assumes all elected officials take a 10% stipend reduction as well as a full fiscal year implementation. A 10% equivalent pay reduction for APOA and APSMA positions would be $2,613,060 in FY26 and $2,700,124 in FY27 that Council should negotiate not only for further reducing the deficit, but parity as well, if a furlough is implemented.
$5M in Budget Stabilization funds are utilized in each of the next two fiscal years. The Budget Stabilization fund balance is projected to be $32,941,944 at the end of FY26 and $26,641,944 at the end of FY27 if $5M per year if funds are used to offset the deficit.
Meeting Details
The meeting will be held in the Nick Rodriguez Center at 213 ‘F’ Street in Antioch’s historic, downtown Rivertown. Public comments are not included on the agenda.
Antioch District 3 Councilman Don Freitas questions City Manager Bessie Scott and Finance Director Dawn Merchant as his fellow council members listen, during the council meeting on Tuesday, March 11, 2025. Video screenshot
$6.7 million more than last June’s projections, total could be $51 to $58 million; will reduce the City’s reserves to less than 3%
Freitas questions use of ARPA funds, Crisis Response Team stats, deficits
By Allen D. Payton
According to the staff report for the Antioch Council’s study sessions on the budget for Fiscal Years 2025-27, provided over the past three weeks, the City’s near-future finances appear bleak. The report reads, “The total deficit over the next two years is $32,883,691, and if the deficit reduction measures City staff has proposed are added back to the draft budget, the cumulative deficit would increase to $51,158,875.” It will reduce the City’s reserves from 36.52% to just 2.94%.
The projected budget deficit for the current fiscal year, 2024-25, which ends on June 30th will be $5,358,842; $15,666,448 for 2025-26 and $17,583,418 for FY 2026-27. Those are increases from last June’s budget update to the city council. At that time, according to the General Fund Projections for 2023-2028 presented to the city council on June 11, 2024, the General Fund was projected to run the following deficits: $12,995,259 in FY 2025-26 and $13,561,074 in FY 2026-27. That’s an increase in the two-year deficit of $6,693,533. Last year’s budget projections also showed a $14,855,649 deficit in FY 2027-28. (See related article)
Budget Summary showing deficits through Fiscal Year 2026-27 highlighted in yellow. Source: City of Antioch
However, Finance Director Dawn Merchant explained that the projected deficit for this fiscal year is only $405,014, as the majority of the $5.358 million was rolled over from the previous fiscal year. (See below)
Freitas Wants Details on Success of Homeless Hotel, Crisis Response Team
District 3 Councilman Don Freitas questioned staff about the report on homeless services including the Opportunity Village motel on E. 18th Street, as well as the Crisis Response Team statistics and what feedback staff is looking for from the council.
During the Oct. 11th budget study session he asked, “What specifically are you looking for feedback from the council on these items?”
“Because, frankly, I’m still waiting for the data, you know, to come forward,” he continued. “So, I’m not quite sure what it is that you’re asking council.”
“I’m not asking the council anything,” City Manager Bessie Scott responded. “I think you all wanted these budget study sessions as we get ready to prepare our next biennial budget. I want to first start off by saying thank you to our (Finance) Director (Dawn Merchant) and her team. They’re able to do a lot for our community with very little.”
“I want to make sure that the data elements that you would like us to bring forward outside of these presentations are here,” she continued. “So, any specific data or presentations that you have, please feel free to ask us. I think that as we go forward the questions are actually for you to set budget and policy.”
Freitas then directed his questions to Public Safety and Community Resources Department Director Tasha Johnson.
“Earlier you said data shows that you’ve been successful. This as regards to ARPA funding. How is it measured as successful? What were the criteria? Particularly, the Opportunity Village. They’re not the only one. Cal VIPS, the Rubicon Program.”
“When I looked at the Angelo Quinto (Crisis Response Team) and I saw the 8,363 dispatches were made, it seems like an extraordinary number,” the councilman continued. “So, for me the question is out of that, how do you count a dispatch? Are there repeats? Are they all new? I have no idea what that number really, truly means. As well as the 3,149 welfare checks. Again, are these repeats? Are they singular? We need to be able to break down and try to measure,”
“I’m assuming with any program that the City has funded in the past, it was articulated what the goals, objectives and what success was,” Freitas stated. “I’d like to see when the program was discussed and approved by the past city council, what were those and did we meet them? If we were deficient then why were we deficient and are we addressing them moving forward?”
General Fund Budget DeficitsCould Total $55-$58 million
Freitas then asked about the General Fund and projected budget deficits saying, “The other issue that I would have. All of these programs are deserving. But we have a terrible challenge in front of us and before I say what I think the number is, Ms. Merchant, I want to be clear in my mind. Now, this is in regards to…some of the funding and I noticed that in the report for General Fund expenditure reductions, this is for…Fiscal Year ‘26 and ‘27 that you have already talked to a lot of these departments and you’ve already cut the number in Fiscal Year ‘26 to $8.6 million and FY ‘27 to $9.4 million. I rounded up.”
“Mmm, hmm,” Merchant responded.
“But you also indicate that we have a deficit at the end of this year of $5.4 million,” the councilman continued. “And it’s anticipated next year to be $15.7 million, and we have a deficit in Fiscal Year ‘27 of $17.6 million. So, if I add the 8.6, the 9.4, the 5.4, the 15.7, the 17.6 we come up with a deficit, basically of $58 million. Is that right, wrong?”
Merchant responded, “I just would like to clarify as I did mention before for Fiscal Year 2024-25, that $5.358, that really isn’t a true deficit spending because encumbrances and purchase orders were rolled over, were not spent in Fiscal Year ’24. So, it was re-budgeted although the money was received in the prior fiscal year. It was re-budgeted into Fiscal Year ’25, essentially inflating the expenditure number. That’s why you’ll see the Budget Stabilization transfer is only $405,014 which you account for the money being rolled over from the prior year. The deficit remaining is only the $405,000 versus the $5.3.”
“But otherwise, yes,” she continued. “If you cumulatively add up the 15.6, the 17.8 and you account for what we’ve already backed out of the 8.6 and the 9.3, yeah.”
“So, roughly, still that leaves about 55 or 58 million?” Freitas asked.
“Yeah,” Merchant responded.
“As we move into years ’26 and ’27, those are true deficits,” the councilman stated. “So, they have no encumbrances, correct?”
“That is correct,” the Finance Director said.
Mayor Ron Bernal thanked the staff for “Building into the presentations, answers to my questions. So, 99% of my questions were answered.”
He then asked about the Crisis Response Team, that it “had been scaled up from what it had originally started as to where it is, today. I would like to know what it was before it was scaled up and what that cost is, and what the coverage of that program was, so we can see the two of them.”
