Fresno City Council Meeting - February 26, 2026: Appeals, Housing Bonds, and Mid-Year Budget Review
Fresno City Council Meeting – February 26, 2026
The Fresno City Council held a regular meeting on Thursday, February 26, 2026, starting at 9:00 AM with roll call at 9:15 AM. The meeting included ceremonial proclamations, councilmember and mayor reports, a special meeting for a development agreement, two scheduled hearings, a consent calendar, contested consent items, and a mid-year budget presentation. Key actions included denial of an appeal for a truck repair shop with site‑plan modifications, approval of up to $80 million in tax‑exempt bonds for a mixed‑income housing project, adoption of resolutions supporting multiple housing developments, and a resolution to lower school‑zone speed limits to 20 mph. The city also approved a $1.96 million supplemental appropriation for fire department overtime and a second drill school, while the mid‑year budget review revealed an estimated $23.3 million deficit for fiscal year 2027.
Consent Calendar
- ID 26-218 – Minutes for February 19, 2026 approved.
- ID 26-237 – Ordinance 2026-3 adopted (campaign contribution limits and filing methods).
- ID 26-236 – Bill B-3 introduced (sidewalk vending time limits).
- ID 26-190 – Second amendment to exclusive negotiating agreement with Fresno Chaffee Zoo Corporation (through May 1, 2026).
- ID 26-245 – Resolution 2026-28 adopted (41st AAR appropriating $1,500,000 contingent on Measure P funds returned by Fresno Arts Council).
- ID 26-197 – Item tabled to March 26, 2026 (runway reconstruction project at Fresno Yosemite International Airport).
- ID 26-161 – Second amendment to consultant agreement with Provost & Pritchard (wellhead treatment improvements, revised total $259,786).
- ID 26-160 – Pave More Now Bid Package B-1 contract awarded to Agee Construction ($8,329,396).
- ID 26-168 – HAWK project contract awarded to Power Design Electric ($585,107.01).
- ID 26-170 – HAWK and traffic signal improvements contract awarded to Avison Construction ($1,559,200).
- ID 26-165 – Blackstone Smart Mobility Project contracts awarded (product purchase $578,794.87 to AI Construction; construction $5,008,997 to Avison Construction).
- ID 26-244 – Fourth amendment to consultant agreement with Kleinfelder (no additional cost, term extended to August 28, 2026).
- ID 26-181 – Park at South Stadium Project: Two resolutions adopted (Resolution 2026-24 for $8,000,000 from Revolving Loan Fund; Resolution 2026-25 for $3,727,000 in city funds, revised from $3,000,000, with staff report date corrected to May 15, 2026).
- ID 26-193 – First amendment to consultant agreement with GHD for environmental cleanup at 1457 H Street (term extended to October 7, 2027).
- ID 26-195 – Resolution 2026-26 adopted (repealing Resolution 2025-68, authorizing Homekey+ application with Parkway Prime, LLC).
- ID 26-202 – Resolution 2026-30 adopted (accept $11,269 OHV grant); Resolution 2026-31 adopted (40th AAR appropriating $11,269).
- ID 26-194 – Sixth amendment to consultant agreement with Carollo Engineers (no additional cost, extended to December 31, 2027).
- ID 26-176 – Resolution 2026-32 adopted (authorizing submission of Measure C TOD grant application up to $1,400,000).
- ID 26-234 – Moved to contested consent (school zone speed limit), later approved.
Public Comments & Testimony
- Truck Repair Shop Appeal (ID 26-47): Nick S., project manager, spoke in favor of the project, noting four years of work, reduced project size, and compliance with zoning. No opposition speakers.
- TEFRA Hearing (ID 26-243): Two speakers raised concerns: one speaker argued that the project was not truly student housing and that community meetings were lacking; another speaker criticized the percentage of affordable units (32 units at 50–80% AMI) and questioned the developer's ties to the mayor. They also urged more time for public review.
- Special Meeting (ID 26-272 – Park at South Stadium DDA): Multiple speakers addressed the council. Dez Martinez objected to the revolving loan fund being used for projects she considered not affordable, alleged a conflict of interest regarding the city manager's prior consulting work for the developer, and called for more community input. Esther Hensley stated that Southwest Fresno residents feel excluded from planning and funding decisions. Oversized speakers later commented on the special meeting item.
- Unscheduled Communication: Charlie Roberts of Clovis Lions Club expressed frustration about unrepaired sidewalks in his neighborhood (Shields and Palm area), reporting that a 90-year-old neighbor broke her hip and had to move to a convalescent home due to hazardous lifted sidewalks. Jerry Veliz requested the city replace his bike after a rack failure. Esther Hensley again noted Southwest Fresno's exclusion from pre-funding discussions.
Discussion Items
- Truck Repair Shop Appeal (ID 26-47): Planning Manager Siegrist presented. The appeal, filed by Councilmember Arias, was originally due to a legal opinion conflict that was resolved. Councilmember Arias proposed increasing on‑site truck parking from 9 to 12 spaces and passenger vehicle parking from 6 to 12 to avoid future code enforcement issues due to daily fluctuations. Deputy City Attorney Heather Thomas confirmed the modification was permissible. The council denied the appeal and approved the development permit with the modifications. Motion carried 7‑0.
- TEFRA Hearing (ID 26-243): Controller Danisi explained the hearing is for public input on up to $80 million in tax‑exempt bonds issued by the California Public Finance Authority for a student‑housing facility (later clarified as mixed‑income housing) on Fulton Street. Councilmember Richardson moved to approve the resolution subject to removing all references to “student housing,” as the project is actually mixed‑income. The mayor and staff noted that the legal documents already reflect the correct terminology. Councilmember Arias made the motion, seconded by Perea. The resolution (later numbered 2026-27) was adopted 6‑1 (Richardson opposed).
- Uptown Apartments (ID 26-182, Contested Consent): Councilmember Richardson requested clarification on the revolving loan fund. Assistant Director Phil Skei explained the NOFA process, terms (up to $8 million, 5‑year loan, 4.81% interest, balloon payment), and that funds are state dollars secured by the mayor. After explanation, Councilmember Richardson moved approval; seconded by Arias. Resolution 2026-29 adopted 6‑0 (Karbassi absent).
- School Zone Speed Limit (ID 26-234, Contested Consent): Vice President Esparza introduced the resolution to establish a 20 mph prima facie speed limit in school zones, citing state law AB 382 and safety data (pedestrian struck at 20 mph has 46% chance of moderate injury vs. 62% at 25 mph, and risk of death triples at 25 mph). Public Works Director Mosier confirmed no studies are needed, only sign swaps. Councilmembers supported, with Arias suggesting an educational campaign and coordinated implementation with school opening. Motion to approve carried 7‑0.
- Mid-Year Budget (ID 26-233): Assistant Director Chinevere presented. Revenues exceed budget by ~$5.4 million, but costs (especially fire overtime and drill school) and structural issues yield a net ending balance of $7.99 million after adjustments. The FY27 base budget projects a $23.3 million gap. Councilmembers questioned fire overtime (budget $8.4 million, actual ~$9–11M, 50 vacancies), police overtime (budget ~$3.3–5M, no additional request), and the impact of state card‑room legislation (expected loss of ~$500,000 annually). The mayor noted ARPA funds are exhausted and attrition may need to increase. The attached resolution appropriating $1,960,800 for fire expenditures was adopted 5‑0 (Arias and Maxwell absent).
- Special Meeting – Park at South Stadium DDA (ID 26-272): Mayor Dyer presented the amended and restated disposition and development agreement for the 174‑unit mixed‑income project at 815‑835 Fulton Street. The city will contribute up to $8 million from the revolving loan fund and $3,727,000 in city funds (including $727,000 land purchase). Councilmember Arias noted the project is shovel‑ready and will be a catalyst for downtown housing. Two votes taken: first with full council (including mayor) passed 8‑0; second council‑only vote passed 7‑0.
Key Outcomes
- Appeal Denied & Permit Modified: The appeal of the truck repair shop (P23-03606) was denied; the development permit was approved with truck parking increased to 12 spaces and passenger parking to 12 spaces (vote 7‑0).
- TEFRA Bond Resolution Adopted: Approval of up to $80 million in tax‑exempt bonds for Ascent 613 (student/mixed‑income housing) at 815‑835 Fulton Street (vote 6‑1).
- Special Meeting DDA Approved: The amended and restated disposition and development agreement for the Park at South Stadium project was approved (8‑0 full council; 7‑0 council only).
- Uptown Apartments Revolving Loan: $8 million loan approved for Uptown Apartments at 1510 Van Ness Avenue (vote 6‑0).
- School Zone Speed Limit: Resolution adopted establishing 20 mph prima facie speed limit in school zones, subject to mayoral veto (vote 7‑0).
- Mid-Year Budget Actions: The 36th Amendment to the AAR was adopted, increasing appropriations by $1,960,800 for fire department expenditures (vote 5‑0, with two absences). The mid‑year budget review confirmed an estimated $23.3 million general fund deficit for fiscal year 2027.
- Consent Calendar Approvals: Numerous routine items approved, including resolutions for housing projects, consultant amendments, grant applications, and infrastructure contracts. The airport runway reconstruction item was tabled to March 26, 2026.
- Closed Session: The council discussed labor negotiations and multiple anticipated litigation cases; no reportable actions (meeting adjourned at 4:43 PM).
Meeting Transcript
Good morning, everyone. You all for being patient. I'm gonna call this council meeting to order for February twenty-sixth, twenty twenty-six. City clerk, would you please call the roll? Yes, thank you. Good morning. Councilmember Perea. Present. Council President Carbasi. Here. Councilmember Arias. Councilmember Maxwell. Present. Councilmember Vang. Present. Councilmember Richardson. Here. Council Vice President Esparza. Present. Seven members being present, we have a quorum. Thank you so much. We're going to have the invocation followed by the Pledge of Allegiance. The pledge will be led by Councilmember Richardson. City Clerk, would you please announce who our special guest is from St. Rest? Yes, thank you. Today the invocation will be given by Pastor Bernard Jefferson, the youth pastor from St. Rest Baptist Church. Like we do in court, I'll rise. Thank you for allowing us to gather together here this morning in unity and purpose. We are grateful for every person in attendance. For our mayor, our city council members, our civic leaders, our staff, community partners. God, we thank you for those who rose this morning with a desire to serve and to make a difference in the lives of others, Lord. We lift the city of Fresno up to you. We thank you for the its diversity. We thank you for its resilience. God, we thank you for the history and its promise. God, we ask that you will grant wisdom to our leaders as they make decisions with integrity. Give them discipline to do what is right. Give them courage to stand for justice, compassion for every resident that they represent. God allow us to understand the weight of the opportunity that sits in front of us, Heavenly Father God. Bless our neighbors and our neighborhoods, Heavenly Father God. Wrap your arms around this city in times of challenge. God, this great city, this great people. God entrust the God, you entrusted these leaders, Heavenly Father God. So God bless them. Bless their minds, Heavenly Father God. In Jesus' name, Amen. City Clerk, are there any changes or items removed from the agenda, including the special agenda? Yes, there are.
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