2026 Temecula Budget Workshop

The Temecula City Council held a joint special budget workshop to review the proposed Fiscal Year 2026-27 Annual Operating Budget and the FY 2027-31 Capital Improvement Program (CIP). City Manager Aaron Adams opened with an overview of the city's strong financial position: a balanced budget across all five years, reserves fully funded at 25% of operating expenditures, and the near-complete payoff of all unfunded pension liability. The five-year CIP totals over $916 million across 94 projects, spanning circulation, parks, infrastructure, and public safety facilities. Key topics covered include: General Fund revenues and expenditures, including police and fire contract increases Temecula Community Services District budget and fiscal work plan Homelessness programs and the proposed Mission Hope partnership for bridge housing Capital projects including French Valley Parkway, Diaz Road expansion, and trail connections Community Services Grant program restructuring and CDBG funding realignment Library feasibility study discussion Council discretionary funding policy Public comments were heard from representatives of Voices for Children, Thrifting for Gifting, and local pickleball community members.