Title
El Dorado County Air Quality Management District (AQMD) recommending the Board, acting as the Board of Directors of the El Dorado County Air Quality Management District, approve and authorize the Chair to sign a Budget Transfer amending the Air Quality Management District's Adopted FY 2026-27 Budget to increase fund balance appropriations by $489,779, balanced with a $489,779 increase in appropriations, primarily Contingency, as a result of the close of the FY 2025-26 financial records (4/5 vote required).
FUNDING: N/A
Body
DISCUSSION / BACKGROUND
The Air Quality Management District's Board of Directors conducted a Budget Hearing on the District's recommended Fiscal Year (FY) 2026-27 budget on June 9, 2026 with Legistar file 26-0843. The Board then adopted the recommended budget on June 23, 2026, with the approval of Resolution 114-2026.
On August 26, 2026, the County's Auditor-Controller finalized the FY 2025-26 financial
records, and the final year-end fund balances were calculated. Staff are recommending the Board approve a budget transfer to make adjustments to the Adopted AQMD FY 2026-27 Budget based on these actual year-end fund balances. The recommended revisions are outlined in the AQMD Fund Balance True Up Summary, and the Budget Transfer form is included for Board review and approval for inclusion in the FY 2026-27 Adopted Budget for the District. These adjustments require a 4/5 vote as these changes are being made after the District's budget was adopted by the Board on June 23, 2026.
The recommended changes increase the use of the District's fund balances for the four
AQMD sub-funds by a total of $480,058. The changes in budgeted Use of Fund Balance are:
- An increase of $126,435 in the District's Operations/Miscellaneous Grants subfund, mainly due to increased revenues in FY 2025-26 and some reduced grant/incentive expenditures. This increase will be offset by an increase in budgeted Contingency.
- An increase of $295,189 in the AB2766 Grant subfund, largely due to two grant projects that were expected to funded in FY 2025-26 but will not be completed and funded until FY 2026-27. AQMD proposes moving the budgeted grant expenditures totaling $258,558 to FY 2026-27 and the remaining $36,631 would be budgeted as an increase to Contingency.
- An increase of $13,383 in the AB923 Grant subfund, primarily due to decreased Moyer grant match expenditures in FY2025-26, this will be offset by corresponding increase in budgeted Contingency.
- An increase of $45,051 in the Carl Moyer Grant subfund, generally due to some Carl Moyer grants projected to be approved in FY 2025-26 not being eligible for funding or accepted by the grantee, this increase is offset by an increase to the budgeted Contingency.
Additionally, based on the actual fund balance at the end of FY 2025-26, AQMD is recommending to increase Use of Fund Balance and Contingency appropriations by $9,721 to the Lake Tahoe Air Basin countywide special revenue sub-fund, which is a stale account that the District is working on obtaining the backup documentation to close and distribute the remaining funds to the correct parties.
PRIOR BOARD ACTION
See above.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Chief Administrative Office has reviewed the proposed budget transfer.
FINANCIAL IMPACT
As described above.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Obtain the Chair’s signature on the budget amendment, if approved. Once signed, please forward the budget amendment to the Chief Administrative Office for processing.
CONTACT
Rania Serieh, Air Pollution Control Officer