Council opened the first of at least two public hearings on the FY 2026-27 budget, levied the annual street lighting assessment, and named Brad Waller as the next Mayor Pro Tem. Councilmember Obagi participated remotely from the south of France.
Key outcomes
FY 2026-27 Budget Public Hearing — Opened and Continued
The main event: Council opened the first public hearing on the proposed FY 2026-27 budget and 2027-2031 Five-Year CIPCapital Improvement Program — the city's multi-year plan for infrastructure investments like road repaving, park improvements, and facility upgrades. Only the first year of the five-year plan is actually appropriated in each budget cycle.. The hearing focused on operations, with Finance Director Stephanie Meyer presenting. Council took public testimony and received 18 of the 46 requested Budget Response ReportsBudget Response Reports — detailed staff analyses answering specific Council questions about the proposed budget. Topics range from police staffing levels to pickleball court costs. All 46 BRRs will be delivered across the June 2, June 9, and (if needed) June 16 hearings..
The BRRs cover a wide range: police staffing and civilian vacancies, parking enforcement revenue, special event subsidies, RBPAC rental activity, the John Parsons Art Fund, Esplanade cleaning costs, firefighter PPE replacement, vehicle fleet replacement schedules, pickleball court construction at Aviation Park, homeless services spending, Harbor Tidelands Fund status, Seaside Lagoon operations, Measure FP costs, and more. The remaining 28 BRRs will be presented at the next two hearings.
The proposed General Fund budget is balanced as presented. The hearing was continued to June 9, 2026, when Council will shift focus to the CIP and additional BRRs. A potential third hearing on June 16 is reserved if needed before adoption.
Street Landscaping and Lighting Assessment — FY 2026-27
Council adopted Resolution CC-2606-035, confirming the annual assessment for the Street Landscaping and Lighting District. The assessment rate has not changed since 1991 — a typical homeowner with 40 feet of frontage pays roughly $59.20 per year. That figure hasn't moved in 35 years despite significant cost increases.
The assessment revenue doesn't come close to covering actual District costs. The General Fund will subsidize the District by $1,161,394 in FY 2026-27. The District maintains 4,856 street lights, 106 traffic signals/beacons, and nearly 22 acres of landscaping citywide. In 2006, voters rejected a Proposition 218Proposition 218 (1996) requires voter or property-owner approval before California cities can adjust fees, rates, or assessments on water, sewer, trash, and similar utility services. increase that would have closed the gap.
Brad Waller Named Mayor Pro Tem for FY 2026-27
Council adopted Resolution CC-2606-036, appointing District 1 Councilmember Brad Waller as Mayor Pro Tem for the term beginning July 1, 2026. The city follows a district rotation for the role — District 4 (Obagi) was next in line, but Councilmember Obagi deferred, pushing the rotation to District 1.
The resolution also appointed delegates and alternates to regional bodies: Behrendt stays on the League of California Cities, Castle takes SCAG and SBCCOG, Waller gets West Basin Water and Clean Power Alliance, and Kaluderovic picks up the South Bay Aerospace Alliance. Obagi continues with the Independent Cities Association. The full delegate roster is attached to the resolution.
A notable public comment from District 1 resident Patrick Healy accompanied this item, asking Council to affirm that termed-out members retain full authority and equal treatment through the end of their terms — a theme that has surfaced periodically in Redondo Beach politics.
$150K in CDBG-CV Funds for Pallet Shelter and Housing Navigator
Council adopted Resolution CC-2606-034, appropriating $150,705.93 in unspent CDBG-CVCommunity Development Block Grant CARES Act — federal COVID-era funding through HUD for community development, including homelessness and housing services. grant funds: $75,538 for Pallet Shelter operations and $75,167 for Housing Navigator Supervisor salary reimbursement. The funds must be spent by December 31, 2026.
The city's PLHA (Permanent Local Housing Allocation) funding for the Pallet Shelter is currently exhausted — the 2019-2023 allocations are spent and 2024-2025 allocations are awaiting a NOFA from the state. This CDBG-CV appropriation bridges operations through September 2026. The housing navigator salary portion offsets General Fund costs, producing a $75K savings.
Other items decided
Nine items moved through the Consent CalendarA batch of routine items voted on together in one motion. Any Council member or member of the public can pull an item for separate discussion. as a single bundled vote. The notable ones:
Consent Calendar highlights
- ·H.4 — Payroll demands totaling roughly $5.7M across direct deposit, checks, and EFT/ACH payments for the May 22 and June 1 pay periods.
- ·H.6 — Kingsdale Avenue resurfacing (Grant to 182nd) accepted as complete. Final retention of $59,103 released to Sequel Contractors after the 35-day lien period.
- ·H.7 — Council Chamber AV upgrade — amendment to the Cashel Corporation (Integrated Media Systems) agreement, increasing the not-to-exceed amount from $136K to $192,439 for encoder equipment and support.
- ·H.9 — City Attorney settlements report received and filed. Authorization covers settlements up to $25,000 each.
Closed Session
Council recessed twice to Closed Session (4:30 p.m. pre-meeting and again after open session) on three items: existing litigation (Joseph Rangel v. City of Redondo Beach, a workers' comp case), and two real-property negotiations.
The property negotiations involve active waterfront lease talks. The first is for 123 International Boardwalk — Raman Walia's Multiverse Platforms (Level Up Bowl & Bistro) — negotiating lease status, price, and terms. The second covers portions of the Marina Parking Lot and Seaside Lagoon with Allen Sanford's BeachLife Festival — negotiating price and terms for the festival's use of city property.
Minutes are not yet finalized, so any reportable actions from Closed Session are not yet in the public record.
What to watch next
Four things on the runway from this meeting:
- ·Budget hearing continues June 9 — the second public hearing will focus on the CIP and the remaining 28 Budget Response Reports. If Council still needs more time, a third hearing is reserved for June 16. Adoption could come as soon as June 9 or be pushed to the third session.
- ·BeachLife Festival lease terms — the Closed Session negotiations with Allen Sanford over Marina parking lot and Seaside Lagoon access will eventually produce a public agreement. With BeachLife's annual footprint growing, the price and terms matter.
- ·Level Up Bowl & Bistro lease — the 123 International Boardwalk lease negotiation is part of the broader waterfront tenant turnover at King Harbor. Watch for public announcements as the deal either closes or falls through.
- ·Pallet Shelter funding runway — the CDBG-CV funds bridge operations only through September 2026. The city is waiting on a state NOFA for its 2024-2025 PLHA allocations. If that funding doesn't materialize on time, expect another appropriation request this fall.