Cerritos City Council to Receive Resident Budget Task Force Report, Hold Budget Study Session

The Cerritos City Council will hear a report on the findings of the Resident Budget Task Force (RBTF) and hold a budget study session during its regular meeting on Monday, May 11. The meeting begins at 7 p.m. in the City Council Chamber.

The City Council previously authorized the City Manager to establish the RBTF to provide community input on the City's current budget climate and potential budget balancing strategies. The 16-member task force met on four separate occasions between late March and late April. The full report of proceedings, which was reviewed and affirmed by the RBTF, details key topics of discussion, group feedback, and recommendations. It was prepared by Tripepi Smith, a California-based public engagement firm, which facilitated the RBTF meetings. 

The report, now available cerritos.gov/agendas, reflects a range of perspectives on fiscal sustainability by the RBTF. During approximately 11 combined hours of meetings, Task Force members weighed the impact that expenditure reductions, more efficient practices, and new revenue options would have on residents and City operations. 

Following review of the report, the City Council will engage in its latest Budget Study Session. In accordance with City Council direction, City staff prepared a dual budget for consideration for Fiscal Year 2026-2027. Under this framework, the City Council may have the option of adopting a primary and contingent budget scenario. The first scenario assumes no new revenue and includes significant expenditure and service reductions to maintain fiscal sustainability. The second scenario models voter approval of a 1% Transactions and Use Tax (TUT) measure on the November 2026 ballot, which would generate approximately $19 million in new annual revenue and allow the City to maintain most service levels.

The Budget Study Session and Resident Budget Task Force report are among ongoing efforts to engage community members on the City’s current budget climate. Recently presented forecasts show that, if there are no service and expenditure reductions and/or new revenue sources, City expenditures will continue to outpace revenues over the foreseeable future. A potential 1% TUT was among several alternative revenue sources considered by the City Council on March 9. Among the options evaluated, a 1% TUT would generate substantially greater ongoing revenue than the others. The City has also conducted two Community Budget Workshops to share information with the public.