Meeting Summary
Present: Kiriakou, 1-Reyes-Martín, 3-Smith, Perotte
This summary was AI-generated to save you time. It may miss or misstate details, so verify against the official recording and the transcript.
At a glance
2026 Development Impact Fee Program Update
- Staff recommended continuing the public hearing to July 21, 2026.
- No public comment was received regarding the continuance request.
- The council voted to approve the motion to continue the item.
Short-Term Vacation Rental Ordinance Amendments
- Council Member Kiriakou requested to pull Item A3 for comment on housing preservation nuances.
- Five speakers advocated for modifications including legacy categories and exemptions from the 120-night cap.
- The City Manager noted an investigation into a business license issue raised by an HOA representative.
- The item remained on the consent calendar and was approved alongside other items.
Mental Health Awareness and Public Works Proclamations
- The Mayor designated May 2026 as Mental Health Awareness Month with county representatives present.
- Mayor Pro Tem Smith designated the week of May 17–23, 2026, as Public Works Week.
- Council members inquired about event logistics and outreach details for the Public Works celebration.
Staffing Vacancies Report (AB 2561)
- Staff presented data showing a 6% overall vacancy rate as of March 31, 2026.
- The report detailed current recruitment efforts and internal promotion activities.
- The public hearing was closed and the report was received and filed without a motion.
Fiscal Year 2026-27 Budget Mid-Cycle Workshop
- Staff presented a preliminary budget update projecting a $2.5 million revenue increase and $8.2 million expenditure increase.
- A formal Facility Capital Reserve Policy was proposed with a 3% annual funding target of $2.675 million.
- Council members discussed deferred maintenance strategies and the impact of economic factors on tax revenue.
Pending Personnel Changes and Budget Adjustments
- Staff proposed two new positions and two reclassifications totaling approximately $184,000 in costs.
- Council members questioned the long-term net-neutrality of the Public Works inspector position.
- The council directed staff to return with a comparative analysis of new positions against existing vacancies.
Lake Los Carneros Footbridge Study
- Council members expressed support for allocating seed money to fund a preliminary study.
- The funding is intended to secure community buy-in for the eventual project completion.
Future Budget Challenges and Strategies
- Staff outlined risks including economic uncertainty, state budget revisions, and litigation costs.
- Proposed balancing strategies included updating cost allocation plans and pursuing grants.
- Specific contract costs for the Sheriff's Department and Animal Services were reviewed.
Closed Session
- Staff reported that no reportable action occurred regarding three previously scheduled closed session items.
Full summary
Meeting Call to Order and Administrative Matters
- The meeting was called to order on May 19, 2026. Following the Pledge of Allegiance, a roll call confirmed the presence of all council members and the Mayor. A translator was introduced for Spanish interpretation. Staff reported that no reportable action occurred regarding three previously scheduled closed session items.
Public Forum
- The public forum was opened for comments on matters not on the agenda. Five speakers addressed the council. Four speakers advocated for the adoption of a rent stabilization ordinance and enhanced tenant protections, citing high housing costs, resident displacement, and the need for community stability. One speaker requested information on nominating a city employee for recognition and expressed interest in expanding the Santa Barbara Tenants Union to Goleta. The public forum was subsequently closed.
Item C2: Continuance of Public Hearing on 2026 Development Impact Fee Program Update
- Staff recommended continuing the public hearing regarding the 2026 Development Impact Fee Program update to July 21, 2026. No public comment was received regarding the continuance. A motion was made to continue the item to the specified date and was seconded. The motion passed via roll call vote.
City Manager's Report
- The City Manager provided updates on several initiatives, including the graduation of two employees from the Supervisor Academy, participation in Bike-to-Work Day, and increased ridership on the new train service between Goleta, Ventura, and Carpinteria. Upcoming events announced included Public Works Week activities and the grand opening of a splash pad at Johnny D. Wallace Neighborhood Park. Details were presented regarding community activation events for hosting Team Austria during the World Cup, including banners, a training session, a scavenger hunt, and watch parties. Council members requested additional signage for the training session.
Consent Calendar (Items A1–A8)
- The consent calendar included the approval of meeting minutes, a financial review, short-term vacation rental ordinance amendments (Item A3), professional services agreements, and capital improvement program grants. Council Member Kiriakou requested to pull Item A3 for comment regarding short-term rental nuances and housing preservation. Five speakers addressed the council on Item A3, requesting various modifications including a legacy category for existing operators, HOA compliance certification, a grandfather clause, and exemptions from the 120-night cap for current permit holders. The City Manager noted that the business license issue raised by an HOA representative would be investigated. The item was not pulled from the consent calendar. A motion was made to approve all consent calendar items (A1 through A8) and was seconded. The motion passed via roll call vote.
Proclamations
- Item B1: Mental Health Awareness Month: The Mayor read a proclamation designating May 2026 as Mental Health Awareness Month in Goleta. Representatives from the Santa Barbara County Department of Behavioral Wellness and the Behavioral Wellness Commission accepted the proclamation and discussed countywide initiatives.
- Item B2: Public Works Week: Mayor Pro Tem Smith read a proclamation designating the week of May 17–23, 2026, as Public Works Week. The Public Works Director accepted the proclamation and provided details on upcoming events. Council members asked questions regarding event logistics and outreach.
Item C1: Status of Current Staffing Vacancies (AB 2561)
- A public hearing was opened to report on staffing vacancies in compliance with Assembly Bill 2561. Staff presented data as of March 31, 2026, indicating a 6% overall vacancy rate, along with details on recruitment efforts and internal promotions. No questions were asked by the council or the public. The public hearing was closed, and the report was received and filed. No motion was required.
Item D1: Fiscal Year 2026-27 Budget Mid-Cycle Workshop
- City Finance Director Luc Rio presented the preliminary mid-cycle budget update for Fiscal Years 2026-27, describing it as a "right-sizing" and true-up of the original budget. The presentation included updates on the financial outlook, fund balance, and deferred maintenance strategies. Key figures included a projected General Fund revenue increase of approximately $2.5 million and a proposed expenditure increase of approximately $8.2 million, totaling $61 million. Major cost drivers included salary and benefit true-ups, one-time Capital Improvement Program funding, the Goleta Train Station, and insurance adjustments. The General Fund contingency reserve is projected to meet the policy target of 33% of operating expenditures. Staff outlined a three-tiered approach for potential economic downturns.
- General Services Director Matt Ford presented a proposal for a formal Facility Capital Reserve Policy. Based on a facility condition assessment and adjusted replacement value of approximately $89 million, a 3% annual reserve target results in a recommended annual funding level of $2.675 million. The recommendation includes a contingency that the reserve balance never drop below $1 million.
- Council members discussed the importance of addressing deferred maintenance and the need for a formal reserve policy. Concerns were raised regarding long-term funding strategies for community partner facilities and the impact of rising gas prices and airfares on Transient Occupancy Tax revenue. Staff indicated that quarterly financial reviews would be the appropriate mechanism to discuss cost reductions if revenue impacts materialize.
- Staff presented pending personnel changes not yet included in the preliminary budget numbers, totaling approximately $184,000. These included two new position requests (an engineering inspector in Public Works and a housing analyst in Planning) and two reclassifications (Emergency Services Coordinator to Manager, and Housing Analyst to Senior Analyst), along with benefit updates and personnel rule updates. Assistant City Manager Jaime Valdez explained that the Public Works position is intended to bring construction management in-house to save on consulting costs, while the Planning position addresses workload demands.
- No formal motions were moved, seconded, or voted upon during this workshop segment. The presentation was informational, and the Council requested further financial details regarding the net-neutral personnel proposal before providing direction. The final budget recommendations, including the pending personnel items, are scheduled to be presented at the public hearing on June 16, 2026.
Mid-Cycle Budget Update and Personnel Recommendations (Continued Discussion)
- Discussion focused on the staff recommendations for two new positions and two reclassifications, estimated to cost approximately $180,000 in ongoing general fund expenses. Staff presented the Public Works inspector position as net-neutral, arguing that the cost would be offset by reduced consultant fees. Council members questioned the long-term net-neutrality of this position and the funding source. Regarding the Housing Implementation Analyst, staff explained the position was intended to rebalance workload from the Advanced Planning division. Council members expressed concern about adding ongoing costs amidst economic uncertainty and requested a comparative analysis of these new positions against existing vacant positions.
- Council members discussed the city's pavement funding, noting a significant gap between the current annual allocation and the amount required to maintain a target Pavement Condition Index. Staff indicated that without increased funding, the index could decline over time. Council members discussed potential future revenue enhancements but noted no immediate support for such measures in the current cycle.
- No formal motion was made to approve the personnel changes or the work plan during this segment. The Council provided direction for staff to return at the June 19 meeting with additional information, including a detailed list of vacant positions and options for phasing in the new positions. Staff confirmed that the final budget document can be adjusted after the June 19 approval based on the Council's final decision.
Lake Los Carneros Footbridge Study
- Council members discussed a proposed study for the Lake Los Carneros footbridge. Support was expressed for allocating seed money for the study to help secure community buy-in for the eventual completion of the project.
Future Budget Challenges and Strategies
- Staff outlined future budget challenges, including economic uncertainty, potential impacts from state budget revisions, federal policy changes, and litigation risks. Specific contract costs for the Sheriff's Department and Animal Services were discussed. Strategies for balancing the budget included updating cost allocation plans, conducting user fee studies, pursuing grants, and continuing deferred maintenance strategies.
Council Comments and Standing Committee Reports
- Council members provided updates on recent activities, including community events, ribbon-cuttings, and attendance at various board meetings and fundraisers. No motions were moved, seconded, or voted upon during this segment.
Adjournment
- Following remarks regarding a community space and its programming opportunities, and a check for additional comments, the meeting was adjourned.