Citizens Oversight Committee Agenda
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Memo to: |
Citizens Oversight Committee |
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From: |
Matthew Boring, Interim Finance Director |
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Date: |
October 1, 2025 |
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Subject: |
Financial Update |
Recommendation:
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Receive and file a financial status report on the Measure Q Sales Tax.
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Background:
Measure Q, a ¾ cent sales tax, was approved by Manteca voters in November 2024. The sales tax went into effect on April 1, 2025. To date, the city has received remittances from the California Department of Tax and Fee Administration (CDTFA) for sales tax submitted from April to June 2025. The total revenue collected for this period is $3,686,703, including $3,671,664 in Measure Q Sales Tax and $15,039 in interest revenue. Expenditures recorded for this period are CDTFA admin expenses of $3,201. The FY’25 figures are preliminary and are subject to change as the city completes the annual audit process.
The FY ’26 Measure Q budget includes $12,000,000 in revenue and $10,202,000 for expenditures. A breakdown of the major expenditure categories is:
• Street/Road Maintenance
• Gas Tax (Fund 420) offset - $2,500,000
• Other street projects - $2,000,000
• Police Needs
• Fleet replacements - $1,600,000
• Equipment - $452,000
• Fire Needs
• Two type 1 fire engines - $2,650,000
• Equipment (SCBA masks) - $1,000,000
To date, no revenues have been recorded in FY’26. CDTFA remits payments to the city in arrears; the payments received in July and August were accrued to FY’25. The payment for July, which will be received in September, has not been recorded yet.
FY ’26 expenditures (including encumbrances) total $8,502,661, with $1,699,339 available. Notably, the Council authorized the purchase of SCBA masks for the Fire Department (identified in the $1,000,000 equipment appropriation above) for $999,191 at the September 16, 2025, meeting. The balance between appropriation and expenditure can be utilized for other purchases or will revert to the fund balance if unused at the end of the fiscal year.
Staff anticipate that sufficient revenue will be collected in FY’26 to meet the budgeted expenditures.
Fiscal Impact:
There is no fiscal impact with this item.