From the Mayor's Desk: May 8, 2026

Community feedback on the City’s budget process helps inform our decision making. I’m thankful to those who have taken the time in recent weeks to attend a meeting, explore the details of our budget, and offer suggestions. Let’s continue that momentum during the City Council Budget Study Session this Monday, May 11, beginning at 7 p.m. 

During this meeting, the City Council will review the preliminary Fiscal Year 2026-2027 budget. As previously noted, current forecasts show that City expenditures are projected to outpace revenues over time, resulting in recurring structural deficits. The City Council directed staff to create a dual budget framework to address this. The primary budget scenario features expenditure reductions that will move the City toward a more sustainable position, operating within available revenues. A second scenario assumes passage of a 1% Transactions and Use (TUT) tax. This would generate approximately $19.1 million in new annual revenue once fully implemented and allow the City to maintain current service levels while still implementing important expenditure reductions. Both paths carry adverse impacts on the services residents rely on. That is precisely why community feedback has been so valuable throughout this process.

Also during Monday’s meeting, the City Council will be presented with a report on the Resident Budget Task Force (RBTF). Over a four-week period, this 16-member group met with City staff and consultant Tripepi Smith to provide input on the City's current budget situation and potential budget balancing strategies. When the City Council directed the City Manager to establish a RBTF back in March, it presented an opportunity to engage the community on important budgeting decisions, unlike ever before. As the report shows, these members collectively brought a range of perspectives on fiscal sustainability. My City Council colleagues and I are grateful for their participation.
  
I look forward to seeing you at the City Council’s meeting on May 11. Our final budget study session will take place during the June 8 meeting. We’ll conduct a public hearing and adoption of the 2026-2027 Fiscal Year budget on June 22. You can access budget agenda materials at cerritos.gov/agendas. More information about the City’s budget process, including past and future meeting activity and updated FAQs is available at cerritos.gov/future. We’ll also continue to share details through our City News digital newsletter and on our social media channels.