Isabella Vanderheiden / @ 4:36 p.m. / Agendizer

TONIGHT IN CITY COUNCIL: Fortuna May Lease the River Lodge to the Local High School District — Or an Aspiring Event Organizer? — to Ease the City’s Financial Woes

The Fortuna River Lodge. | Photo: City of Fortuna

###

PREVIOUSLY

###

During another round of budget talks at tonight’s meeting, the Fortuna City Council will discuss a potential agreement to lease the city’s River Lodge to the Fortuna Union High School District (FUHSD). If the agreement is approved in the coming months, the school district could begin its lease as soon as Jan. 1, 2027.

In the last year or so, Fortuna’s leadership has considered several cost-saving measures to alleviate the city’s financial woes, including selling or leasing the River Lodge. 

As “key” General Fund revenue sources continue on a downward trend, the city is bracing for a $1 million gap in the budget for fiscal year 2026-27, including a $400,000 decline in transient occupancy (TOT) revenues and a $615,000 increase in liability insurance, the staff report states. Over the last five years, the city’s General Fund has contributed more than $1 million to maintain operations at the River Lodge, which is “no longer financially sustainable for the city.”

Revenues and expenditures for the Fortuna River Lodge over the last five years. | Table: City of Fortuna

At its April 28 meeting, the city council made it clear that selling the local landmark was an absolute last resort, with Councilmember Tami Trent stating, “I don’t even want to look at that as an option.” The council instead directed staff to look into leasing the River Lodge to a local public agency, and the local school district threw its hat in the ring.

“The City and FUHSD staff have met to discuss potential terms of a River Lodge lease and have also conducted a walkthrough of the facility,” the staff report states. “The potential lease would allow the City to retain ownership of the River Lodge while partnering with the [school district] to activate the facility for public-serving uses. The structure generally shifts day-to-day operational responsibility to the tenant, helping reduce the City’s ongoing costs while maintaining long-term public benefit.”

The length of the lease has yet to be determined, though the staff report does note that a lease exceeding 15 years would require the city to issue a Surplus Land declaration

The city also received an unsolicited proposal from an aspiring event organizer, Kinetic Hospitality Group Inc. The proposal, submitted by Fortuna resident Erica Thompson, asks the city for a five-year lease to “transition the River Lodge from a City-operated facility to a privately managed hospitality and event venue,” as stated in the staff report. 

“The proposal indicates that the operator would assume responsibility for day-to-day operations and maintenance and operate the facility through private revenue sources, with the objective of eliminating the current operational subsidy from the City’s General Fund,” the report continues. “The proposal includes multiple lease structure options, including market-rate and reduced-rate models, as well as provisions for an initial improvement period and private capital investment in facility upgrades.”

However, Kinetic Group Hospitality Group Inc. doesn’t actually exist. The applicant is waiting for the city to accept the proposal before she files the paperwork to move forward with the corporate entity. The proposal is “specifically tied to the River Lodge and will not exist if this proposal is not accepted,” the staff report states.

There are pros and cons to each proposal. 

“Leasing the River Lodge to a public entity, such as the Fortuna Union High School District, may provide a higher level of institutional stability and alignment with community-serving uses, while maintaining clear public accountability,” the staff report states. “In contrast, leasing to a private operator may introduce opportunities for increased revenue generation and expanded programming, but also involves additional considerations related to financial risk, operator capacity, long-term oversight, and consistency with Council priorities for public use of the facility.”

The city council will have two options to consider at tonight’s meeting: 1) continue negotiations with the school district and other potential public-serving entities or 2) expand consideration to private entities. The second option would require additional staff time to properly vet applicants.

###

You can find more information on this item, plus other budget-related documents, in the agenda below. The Fortuna City Council will meet tonight at 6 p.m.


Fortuna City Council
June 15, 2026, 6 p.m.

1. CALL TO ORDER / FLAG SALUTE / ROLL CALL

2. ORAL COMMENTS FROM THE PUBLIC

3. PROCLAMATIONS

a. The Fortuna Depot Museum's 50th Anniversary Proclamation

DOCUMENTS:

Proclamation


4. CONSENT CALENDAR

a. City Council Minutes – June 1, 2026 (Regular Meeting)

b. Administrative Department Monthly Report

This report is about the monthly activities of different departments within the city government, including the City Attorney, City Clerk, Risk Management/Human Resources, and Information Technology. The City Clerk’s office managed agendas, public records requests, and election preparations. The Risk Management division dealt with claims and attended meetings related to risk management. Human Resources continued to recruit for various city positions. The Information Technology division worked on the city website and technical needs. The staff recommends receiving the report for information.

— LoCOBot

… or, as a Pokemon duel!

The City Clerk and the Risk Management/Human Resources divisions face off in a Pokemon duel.

City Clerk sends out a powerful move called “Agenda Blast,” sending a flurry of agendas flying towards the opponent. Risk Management/Human Resources counters with “Worker’s Comp Shield,” creating a protective barrier to block the oncoming agendas.

City Clerk then uses “Election Preparation,” summoning a team of election staff to strategize and prepare for the upcoming election. Risk Management/Human Resources retaliates with “Tort Claim Strike,” sending legal documents flying towards the Clerk’s team.

In a final move, City Clerk unleashes “Information Technology Backup,” calling upon the IT division to boost their strength and overwhelm the opponent. Risk Management/Human Resources responds with “Recruitment Rally,” summoning a wave of potential candidates to support their team.

In the end, both divisions fight valiantly, but it is the City Clerk who emerges victorious with their thorough preparation and strategic planning. The City Council observes the duel and approves the Administrative Monthly Report as an informational item.

— LoCOBot

DOCUMENTS:

Staff Report


c. Community Development Department Monthly Report

In May 2026, the Community Development Department in Fortuna processed business licenses and home occupation permits, began the General Plan Update process, and worked on parking standards for a transit stop. They also approved a climate action plan and met with the Governor’s Office for economic development programs. The Planning Commission approved permits for construction projects and reviewed the Five-Year Capital Improvement Program. The department also received grant funding for various projects. The Building Division issued 27 permits in May. The staff recommends receiving the report as an informational item.

— LoCOBot

… or, as a text thread between three teenage mean girls!

Kaylee: Ugh, did you see that report from the Community Development Department?
Madison: Yeah, it’s like they’re trying to show off how much work they’re doing.
Brianna: I know, it’s so annoying. Like we get it, you processed some business licenses, big deal.
Kaylee: And did you see all that stuff about grants and funds they applied for? Like they think they’re saving the world or something.
Madison: Seriously, like calm down Katey Schmidt, we don’t need a play-by-play of every little thing you do.
Brianna: I bet they pat themselves on the back every time they send out a report like this.
Kaylee: Probably. They probably think they’re changing the world one permit at a time.
Madison: Well, I hope they know that no one actually cares about all the work they do, right?
Brianna: Right, who even reads these reports besides the mayor and city council members?
Kaylee: Definitely not us, that’s for sure. Let them have their little moment in the sun, we’ve got better things to do.

— LoCOBot

DOCUMENTS:

Staff Report


d. Finance Department Monthly Report

This report is about the city’s finance department providing an update on sales tax revenue, year-end closing activities, and budget updates for the upcoming fiscal year. The report also includes information about Measure E funded projects and a list of items funded this month. The staff recommends receiving the report as an informational item.

— LoCOBot

… or, as a movie trailer!

In a city where every penny counts, one department is working tirelessly to keep the fiscal health in check. Join Finance Director Aaron Felmlee and City Manager Amy Nilsen as they navigate through the ups and downs of the City of Fortuna’s finances.

With sales tax revenue being the lifeline of the city, the Finance Department faces challenges and triumphs as they monitor fluctuations and trends. As the new fiscal year approaches, they must prepare for year-end closing activities and budget updates to ensure a smooth transition.

But when Measure E funding comes into play, the stakes are raised even higher. With crucial projects on the line, including additional police positions, community services, and maintenance projects, the Finance Department must ensure every dollar is accounted for.

Get ready for a gripping tale of fiscal responsibility and accountability in “Budget Battles: The Finance Department Monthly Report.” Receive the report, make tough decisions, and watch as the city’s financial future hangs in the balance. Can they make it through without breaking the bank? Find out in theaters this summer.

— LoCOBot

DOCUMENTS:

Staff ReportSummaryTreasurer's ReportNewsletter


e. Parks & Recreation Department Monthly Report

The Parks and Recreation Department Monthly Report for May 2026 includes information about maintenance tasks completed, rentals of park facilities, community service activities, and recreational programs. It also provides data on Fortuna Transit ridership and the visitor count at the Fortuna Depot Museum. The report recommends that the report be received as an informational item.

— LoCOBot

… or, as a conversation between Beavis and Butt-head!

Beavis: Uh, hey Butt-head, have you ever been to the park?

Butt-head: Yeah, like, once or twice. Why?

Beavis: I was reading this report thingy from the Parks and Recreation Department. They do a bunch of stuff to keep the parks nice.

Butt-head: Cool. I bet they have to deal with a lot of dumb stuff, like cleaning up after people who trash the place.

Beavis: Yeah, it says they have to clean up after transients in the park. That sounds pretty gross.

Butt-head: Yeah, but they also have cool stuff, like the Adult Softball League. Maybe we should join and show off our mad skills.

Beavis: Yeah, and they have Pickleball now too. That sounds interesting.

Butt-head: Pickleball? Is that like when you throw pickles at each other? That sounds kinda stupid.

Beavis: No, Butt-head, it’s like a sport or something. We should check it out. And they have public skate sessions at the Firemens Pavilion. That sounds kinda cool.

Butt-head: Yeah, we should totally go skate there. Maybe we can impress some chicks or something.

Beavis: Yeah, and maybe we can even ride the Fortuna Transit to get there. It says they got some new riders signing up.

Butt-head: Cool, let’s do it. But first, let’s go check out that pavilion bar sheet rock repairs and re-paint. That’s gonna be, like, really exciting.

Beavis: Yeah, repairs are, like, cool and stuff. Let’s go.

— LoCOBot

DOCUMENTS:

Staff Report


f. Police Department Monthly Report

The police department report for May 2026 includes information on patrol statistics, vacancies in staff positions, recruitment updates, training attended, enforcement activities, and community engagement events. The staff recommends receiving the report as an informational item.

— LoCOBot

… or, as a sea shanty!

(Chorus)
Oh, the police department’s monthly report
We’ll receive it without any retort
With calls for service and arrests made
We’ll sail through the waves, unafraid

(Verse 1)
1,324 calls, initiated by the men
Patrol statistics, full of adrenaline
Case investigations, misdemeanors and felonies
The officers work hard, protecting our seas

(Chorus)
Oh, the police department’s monthly report
We’ll receive it without any retort
With calls for service and arrests made
We’ll sail through the waves, unafraid

(Verse 2)
Vacancies in officer positions to fill
Recruitment ongoing, seeking skilled
One leaving for Cal-Fire, a new recruit on the way
The department grows stronger, day by day

(Chorus)
Oh, the police department’s monthly report
We’ll receive it without any retort
With calls for service and arrests made
We’ll sail through the waves, unafraid

(Verse 3)
Training in arrest and control, skills honed
Enforcement and engagement, seeds sown
Arrests made for DUI, pursuits through the night
Honoring those who sacrifice, in the fight

(Chorus)
Oh, the police department’s monthly report
We’ll receive it without any retort
With calls for service and arrests made
We’ll sail through the waves, unafraid

(Outro)
So here’s to the police, protecting our shores
Keeping us safe, in their daily chores
We’ll stand by their side, through wind and weather
For they’re the guardians of our community, together!

— LoCOBot

DOCUMENTS:

Staff Report


g. Public Works Department Monthly Report

The Public Works Department has been busy in May with various projects and maintenance tasks. They worked on strategic visioning, budget development, coordinating with different agencies, and various water and sewer projects. The Utilities Division worked on water distribution and sewer collection systems, while the Water Treatment/Wastewater Division focused on wastewater treatment and water production. General Services and Streets handled maintenance tasks and special assignments around the city. The staff recommends receiving the report as an informational item.

— LoCOBot

… or, as a corrido!

En una ciudad tranquila, en junio del veintiséis,
Brian Issa, Director de Obras Públicas, presenta su informe con interés.
Trabajaron en visión estratégica y el presupuesto refinaron,
El Plan de Mejoras y Presupuesto presentaron con aprecio.

Con la Gran Agencia del Sendero de Redwood coordinaron,
Y el Plan Maestro de Agua actualizaron con dedicación.
También con GHD y Caltrans en el proyecto Kenmar colaboraron,
Y el Conectividad del Hábitat de Mill Creek aseguraron.

En el Pozo 5 con GHD el nivel de manganeso verificaron,
Y con Vero Fiber encontraron un sitio donde ubicaron.
Cumpliendo con NPDES en la planta de alcantarillado trabajaron,
Y con solidaridad en SB1383 continuaron.

A pesar de no obtener una subvención para carreteras,
El Memorial Greenway de John Campbell siguen esperando con entereza.
Transferencia de trabajo para el Ingeniero Delegado prepararon,
Y la sustitución de válvulas de agua gestionaron.

En la Esección de Utilidades, el sistema de distribución observaron,
Con 8 metros inactivos reemplazados y radios actualizados.
Sin desbordamientos de alcantarillado, el personal trabajó,
Y en limpiar líneas de alcantarillado ocuparon.

En Tratamiento de Agua y Aguas Residuales los operadores actuaron,
Con un flujo continuo y mantenimiento completo reportaron.
Con producción constante de agua potable y niveles de pozos medidos,
El personal de Mantenimiento y Calles tareas completaron con empeño.

En una noche de junio, el Consejo Municipal se reunió,
Para recibir con respeto el informe que Brian Issa presentó.
Concluyendo con la recomendación de recibir el informe como información,
Así la ciudad avanza con dedicación y determinación.

En una ciudad tranquila, en junio del veintiséis,
La Obras Públicas sigue su labor, con orgullo y con fe.

— LoCOBot

DOCUMENTS:

Staff Report


h. Report of Disbursements

This report shows the money that was spent by the city of Fortuna on various items and services in June 2026. The total amount spent was $217,140.84 and $181,053.92 on different dates. The report recommends that the City Council receive this information in a consent agenda vote. The report includes details of each payment made, including vendors, description of items, and amounts spent. It also provides an account summary and a project account summary for reference.

— LoCOBot

… or, as a bildungsroman!

Title: Forging Fortuna

Chapter 1: The City Council Meeting

As the clock struck seven, the City Council members gathered in the chambers of Fortuna City Hall for their monthly meeting. Amy Nilsen, the City Manager, presented the report of disbursements for the month of June. The numbers flashed on the screen, showing the payments made for various services and supplies. The Mayor and Council members listened attentively, nodding in approval as each expense was explained.

Among the list of disbursements, one name stood out - Mark De La O. He had received a deposit refund for the Monday Club, a local organization that held events and fundraisers for the community. Mark had always been a familiar face in Fortuna, known for his dedication to the city and its residents.

Chapter 2: The Journey of Mark

Mark De La O had grown up in Fortuna, a small town nestled in the redwoods of Northern California. From a young age, he had been involved in community activities, volunteering at the local soup kitchen and helping out at the annual town fair. As he grew older, Mark became more involved in civic affairs, attending City Council meetings and speaking out on issues that affected the town.

When he received the deposit refund from the Monday Club, Mark saw it as a sign. It was time for him to take the next step in his journey - to run for City Council. He knew that he could make a difference in Fortuna, that he could help shape the future of the town he loved.

Chapter 3: The Campaign

With the support of his friends and neighbors, Mark launched his campaign for City Council. He went door-to-door, talking to residents about their concerns and sharing his vision for Fortuna. His passion and dedication shone through, and soon he gained a following of supporters who believed in his ability to lead.

The weeks flew by, filled with campaign events and debates. Mark worked tirelessly, pushing himself to connect with as many voters as possible. And when election day arrived, the streets of Fortuna were alive with excitement.

Chapter 4: Victory

As the results came in, the room at City Hall was filled with anticipation. The votes were counted, and the winner of the City Council seat was announced - Mark De La O. The room erupted in cheers and applause as Mark stood up, a smile of gratitude on his face.

He had done it. He had forged his path in Fortuna, from a young volunteer to a City Council member. And as he took his seat at the Council table, ready to serve his community, Mark knew that his journey was far from over. For Fortuna was his home, and he was dedicated to making it the best it could be.

— LoCOBot

DOCUMENTS:

Staff Report


i. Critters Without Litters – Bingo Permit Application

Critters Without Litters wants to have a bingo fundraiser event at Fortuna Monday Club. They have followed all the rules and requirements to get a permit for the event. The police will make sure everything is done legally. The event is scheduled for July 25, 2026. The city council needs to approve the permit. There will be no fee for this event.

— LoCOBot

… or, as Schoolhouse Rock!

(Verse 1)
In the city of Fortuna, there’s a group called Critters Without Litters,
They’re seeking a permit to run Bingo games and raise some funds.
Kari Crockett submitted the application, it’s all in order and neat,
Interim Police Chief Eberhardt gave it a review, it’s a complete treat.

(Chorus)
Critters Without Litters, they’re doing it right,
With their Bingo games at the Monday Club, they’ll make the night bright.
The games will be open to all, within the city limits they’ll stay,
From noon to midnight, they’ll play the day away.

(Verse 2)
The prizes won’t exceed $250, that’s the maximum cap,
The chief of police will keep an eye, making sure there’s no mishap.
No fees for this application, but others must follow the lead,
With Council approval, they’ll get the chance to succeed.

(Chorus)
Critters Without Litters, they’re doing it right,
With their Bingo games at the Monday Club, they’ll make the night bright.
The games will be open to all, within the city limits they’ll stay,
From noon to midnight, they’ll play the day away.

(Bridge)
The permit will last for three years, with restrictions in place,
To ensure compliance with the code, they’ll keep up the pace.
Critters Without Litters, they’re ready to go,
Raising funds for their cause, putting on a show.

(Chorus)
Critters Without Litters, they’re doing it right,
With their Bingo games at the Monday Club, they’ll make the night bright.
The games will be open to all, within the city limits they’ll stay,
From noon to midnight, they’ll play the day away.

(Outro)
So let’s give a hand to Critters Without Litters, they’re doing great,
With their Bingo Permit Application, they’ll have a fun-filled fate.
Support their cause, join in the fun,
Critters Without Litters, they’ve already won!

— LoCOBot

DOCUMENTS:

Staff ReportBingo ApplicationFortuna Municipal Code


j. 2026 Annual Water Supply and Demand Assessment

The City of Fortuna is required to submit an assessment of their water supply and demand for the upcoming year. Staff has looked at rainfall, groundwater levels, and projected demand to determine that even in a very dry year, the city’s water supply will exceed demand. The council is recommended to review the assessment as an informational item.

— LoCOBot

… or, as a heartbreaking country/western song!

Verse 1:
In a small town called Fortuna, where the water runs deep
The Chief Plant Operator’s heart is heavy, he can barely sleep
He knows the struggle of keeping the water supply in check
But the fear of running dry is a burden on his neck

Chorus:
Oh the water runs deep, but the demand never sleeps
In a world where droughts run rampant, it’s a constant fight to keep
The City of Fortuna standing tall, through the dry and the wet
But the Chief Plant Operator knows, it’s a battle they’ll never forget

Verse 2:
With every drop that falls from the sky to the ground
The City of Fortuna prays for rain to stick around
They watch the ground water levels rise and fall
Hoping and praying they won’t lose it all

Chorus:
Oh the water runs deep, but the demand never sleeps
In a world where droughts run rampant, it’s a constant fight to keep
The City of Fortuna standing tall, through the dry and the wet
But the Chief Plant Operator knows, it’s a battle they’ll never forget

Bridge:
Through the tears and the pain, he fights to stay strong
But the weight of the water supply assessment is heavy and long
He knows the City depends on him, to keep the water flowing
But the fear of failure is a burden that keeps on growing

Chorus:
Oh the water runs deep, but the demand never sleeps
In a world where droughts run rampant, it’s a constant fight to keep
The City of Fortuna standing tall, through the dry and the wet
But the Chief Plant Operator knows, it’s a battle they’ll never forget

Outro:
As the sun sets on Fortuna, and the stars light up the sky
The Chief Plant Operator looks out with a heavy sigh
He knows the fight will continue, for water is life’s greatest gift
But the burden of the assessment weighs heavy, like a never-ending rift.

— LoCOBot

DOCUMENTS:

Staff ReportAttachment


k. Approval of a Contract with Mercer-Fraser Company for a Minor Street Paving Maintenance and Repair Project; Resolution 2026-24

The Public Works Director is recommending that the Mayor and Council Members approve a contract with Mercer-Fraser Company for minor street paving maintenance and repair. The contract is not to exceed $750,000 for one year. The City did not go through a formal bidding process because they believe negotiating the contract serves the city best. Mercer-Fraser Company was chosen as the most cost-effective and qualified option. The work will consist of removing and replacing hot-mix asphalt at various locations in the City. The funding for the contract comes from different City funds, totaling $1,025,000. The Council is recommended to adopt Resolution 2026-24 to approve the contract.

— LoCOBot

… or, as a romance story!

Title: Paved with Love

In the small town of Fortuna, where the streets were lined with charm and the community was tight-knit, Public Works Director Brian Issa found himself facing an unexpected dilemma. As he presented the proposal for a Minor Street Paving Maintenance and Repair Project to the City Council, he couldn’t help but be distracted by the arrival of the representative from Mercer-Fraser Company.

Evelyn Mercer was unlike any other contractor Brian had encountered before. With her fiery passion for asphalt and determination to do the best job possible, she quickly caught his attention. As they worked closely together to finalize the details of the contract, Brian found himself drawn to Evelyn in a way he had never experienced before.

Despite the professional nature of their relationship, sparks began to fly between them as they spent long days discussing paving solutions and admiring each other’s work ethic. It wasn’t long before Brian realized that his feelings for Evelyn were more than just professional admiration – he was falling for her, hard.

As they embarked on the project together, navigating the challenges of road maintenance and unexpected delays, Brian and Evelyn’s connection deepened. Their shared passion for their work brought them closer together, and soon they found themselves unable to deny the growing attraction between them.

But with the pressures of the project and the watchful eyes of the City Council, Brian and Evelyn must decide whether to follow their hearts or prioritize their professional responsibilities. Will they take a chance on love, paving a path to a future together, or will they choose to stick to the contract and walk away from what could be the greatest love of their lives?

In a town where the streets were filled with opportunity and the promise of new beginnings, Brian and Evelyn must each find the courage to trust in the power of love and seize the chance for a happily ever after that was waiting for them, just beneath the surface of the freshly paved roads of Fortuna.

— LoCOBot

DOCUMENTS:

Staff ReportAttachmentResolution 2026-24


l. Approval of a Contract with GR Sundberg, Inc. for Minor Street Striping Maintenance and Repair Project; Resolution 2026-25

The Public Works Director recommends approving a contract with GR Sundberg, Inc. for minor street striping maintenance and repair. The contract is for up to $60,000 for one year. The city did not need to go through a formal bidding process because the nature of the project required a contractor who could respond quickly and effectively. The city received three proposals and determined that GR Sundberg, Inc. was the most qualified. The cost of the contract will come from the city’s annual budget for paving projects. The recommendation is to adopt Resolution 2026-25.

— LoCOBot

… or, as a Rodney Dangerfield joke!

“I tell ya, I don’t get no respect. I just found out they’re spending $60,000 on minor street striping maintenance and repair. When I asked if they could use that money to fix my jokes instead, they said no because my material is beyond repair!”

— LoCOBot

DOCUMENTS:

Staff ReportAttachmentResolution 2026-25


m. Approval of a Contract with GR Sundberg Inc. for a Minor Concrete Maintenance and Repair Project; Resolution 2026-26

The Public Works Director recommends that the City Council approve a contract with GR Sundberg Inc. for minor concrete maintenance and repair work. The contract is not to exceed $100,000 for one year and was selected through an informal proposal process. The City budget includes funds for this project. The staff recommends adopting Resolution 2026-26 for this project.

— LoCOBot

… or, as a nursery rhyme!

With Resolution 2026-26 in hand,
The Mayor and Council took a stand.
A contract for concrete repair and maintenance,
To keep the city’s streets in compliance.

GR Sundberg Inc. was the chosen one,
Their bid for the work was second to none.
For curbs, gutters, and sidewalks they’ll be there,
Keeping everything in repair.

No need for formal bidding, you see,
For this project, it was meant to be.
Just an on-call basis for this crew,
To quickly respond to what they must do.

So let’s all applaud this contract’s success,
Keeping our infrastructure at its best.
With the approval of Resolution 2026-26,
Our city’s streets will continue to fix.

— LoCOBot

DOCUMENTS:

Staff ReportAttachmentResolution 2026-26


5. CITY COUNCIL BUSINESS

a. Adoption of Fiscal Year 26-27 Annual Operating Budget, Resolution 2026-19

The city of Fortuna is proposing a budget for the fiscal year 2026-27 that focuses on managing limited resources to maintain essential services. The budget includes adjustments to address increasing costs and stagnant revenues. The total budget is $50,973,705 with $9,441,279 in General Fund expenditures. The city council will hold a public hearing to consider and adopt the budget through Resolution 2026-19. The budget prioritizes long-term fiscal stability and providing reliable public services while navigating financial challenges.

— LoCOBot

… or, as a Funkadelic song!

(Verse 1)
Hey there Mayor, and Council Members too
We got a funky agenda just for you
It’s all about the budget for the coming year
Gonna make some tough decisions, but have no fear

(Chorus)
We gotta adopt the budget, gotta keep it tight
Balancing the books, making sure it’s right
Gotta watch our spending, watch our fees
Gotta make sure we’re meeting all our city’s needs

(Verse 2)
We’re feeling the strain of financial blues
But we’re gonna do what we gotta do
Stagnant revenues, rising costs
Gotta make some cuts, gotta count the costs

(Chorus)
We gotta adopt the budget, gotta keep it tight
Balancing the books, making sure it’s right
Gotta watch our spending, watch our fees
Gotta make sure we’re meeting all our city’s needs

(Bridge)
Public workshops, transparency
Gotta make sure we’re serving the community
Enterprise funds, self-supporting
Gotta keep our services up and soaring

(Chorus)
We gotta adopt the budget, gotta keep it tight
Balancing the books, making sure it’s right
Gotta watch our spending, watch our fees
Gotta make sure we’re meeting all our city’s needs

(Outro)
So let’s make a motion, let’s get it done
Adopt the budget, we’ll be number one
With Resolution 2026-19 in hand
We’ll keep this city running, we’ll make a stand!

— LoCOBot

DOCUMENTS:

Staff ReportResolution 2026-19FY 2026-27 Budget


b. Public Hearing for the Adoption of Rates and Fees for City Services, Resolution 2026-18

The Finance Director of a city is recommending that the City Council review and adopt proposed rates and fees for various city services for the upcoming fiscal year. The proposed changes are due to rising operating expenses and wage increases. The purpose of the public hearing is to adopt these fees for transparency and clarity. The changes include adjustments to fees for administrative, building, community development, parks, recreation, police, transit, and water & wastewater services. The City Council will need to review the proposed fee schedule and adopt Resolution 2026-18. These fee changes will have a direct impact on city revenues and will be incorporated into the city’s budget for the upcoming fiscal year.

— LoCOBot

… or, as a science-fiction story!

In the year 2026, the city of Fortuna had implemented a new system for calculating fees for various city services. This system was designed to adapt to the rising costs of operating expenses and to ensure that the city could continue to provide high-quality services to its residents. However, what the city officials did not realize was that the new fee structure would have unintended consequences that would change the course of the city’s future.

As the new fee schedule was adopted and put into practice, strange things began happening in Fortuna. Residents reported sightings of mysterious figures lurking in the shadows, and strange symbols appeared on the walls of buildings overnight. At first, these occurrences were dismissed as mere coincidences or pranks, but as more and more strange events unfolded, it became clear that something sinister was at play.

The city’s police department was overwhelmed with reports of strange occurrences, and the city’s transit system started experiencing unexplained delays and disruptions. The water and wastewater systems began to malfunction, causing widespread panic among the residents. It seemed that the new fee schedule had somehow disrupted the delicate balance of the city’s infrastructure, unleashing chaos and uncertainty upon Fortuna.

As the city descended into chaos, a group of scientists and engineers came together to investigate the source of the disturbances. They delved deep into the data and discovered that the new fee structure had inadvertently tapped into a powerful energy source that was beyond human understanding. The fluctuations in the city’s fees had created a rift in the fabric of reality, allowing strange and otherworldly forces to seep into Fortuna.

To save the city from impending doom, the scientists and engineers devised a plan to reverse the effects of the new fee schedule and restore balance to Fortuna. They worked tirelessly, using their expertise and knowledge to close the rift and banish the otherworldly forces back to where they came from. It was a race against time, but with their determination and ingenuity, they were able to undo the damage caused by the new fee structure and restore peace and order to the city.

Once the rift was closed and the disturbances ceased, the city of Fortuna was left to rebuild and recover from the chaos that had overtaken it. The scientists and engineers were hailed as heroes, their efforts saving the city from destruction. The new fee schedule was abandoned, and the city returned to its old ways, with a renewed sense of unity and resilience.

And so, the residents of Fortuna learned a valuable lesson about the power of their actions and the importance of careful consideration when implementing changes. The events of that fateful year would go down in history as a cautionary tale, a reminder of the consequences that could arise from tampering with forces beyond one’s control.

— LoCOBot

DOCUMENTS:

Staff ReportFY2026-27 Fee ScheduleResolution 2026-18


c. Introduction and First Reading of Ordinance 2026-786, Amending Chapter 6.04.050 of the Fortuna Municipal Code to Revise Enforcement and Penalty Provisions for Animal Control Violations

The Police Department is proposing a change to the city’s animal control laws to allow for correctable citations for certain violations. This means that pet owners would have the opportunity to fix the issue before going to court. The goal is to reduce court appearances for minor violations and encourage voluntary compliance. The change is expected to improve efficiency and not have any fiscal impact. The City Council is being asked to introduce and conduct a first reading of the proposed ordinance.

— LoCOBot

… or, as a conversation between two very stoned people named Starfish and Noodles!

Starfish: *giggling* Hey Noodles, have you ever read this staff report thing?

Noodles: *big smile* No, man. But it sounds like they’re talking about, like, animal control violations and stuff.

Starfish: *giggles* Yeah, man. They’re talking about, like, citations for not licensing your dog and stuff.

Noodles: *laughs* That’s hilarious, man. Imagine getting a ticket for not having a license for your dog.

Starfish: *laughs* I know, right? Like, what if your dog gets pulled over by a cop?

Noodles: *laughs* Yeah, and the cop is like, “Excuse me, sir, do you know why I pulled you over?” And the dog is just like, “woof woof woof.”

Starfish: *laughs* And then the cop is like, “Step out of the car, sir. I need to see your license and registration.” *laughs*

Noodles: *laughs* Oh man, that would be too funny. We should go rescue all the dogs from getting tickets, man.

Starfish: *giggles* Yeah, we’ll be like the animal control superheroes. Saving all the dogs from the evil ticket-givers.

Noodles: *laughs* Yeah, man. We’ll be like Batman and Robin, but for dog licenses.

Starfish: *giggles* I think we’re way too stoned for this conversation, man.

Noodles: *laughs* Yeah, probably. But it’s still funny as hell. Let’s go save some dogs, man.

— LoCOBot

DOCUMENTS:

Staff ReportOrdinance 2026-786


d. Review and Approval of the 2026 Urban Water Management Plan and Water Shortage Contingency Plan, Resolution 2026-27

The Public Works Director has prepared a plan for managing the city’s water supply, which includes evaluating supply reliability, demand projections, conservation measures, and drought preparedness. The plan shows that the city has a reliable groundwater supply that exceeds projected demand. The City Council is being asked to review and approve the plan to ensure continued eligibility for state funding.

— LoCOBot

… or, as a job interview!

Interviewer: Thank you for coming in today. Can you please tell us about your experience and qualifications related to water management?

Candidate: Of course. I have a Bachelor’s degree in Civil Engineering with a focus on water resource management. I have worked for the past five years at a water utility company where I was responsible for analyzing water usage data, implementing conservation measures, and developing drought contingency plans. I also have experience working with groundwater wells and water loss reduction strategies.

Interviewer: That sounds like valuable experience. How do you ensure compliance with state regulations and conservation targets?

Candidate: In my previous role, I closely monitored water usage data to ensure that we were meeting state conservation targets. I also conducted regular assessments of our system to identify areas where we could reduce water loss and improve overall efficiency. Additionally, I worked closely with our customers to promote water conservation practices and educate them on the importance of using water wisely.

Interviewer: The city of Fortuna relies heavily on groundwater wells for its water supply. How would you ensure the long-term reliability of these wells?

Candidate: I would conduct regular maintenance and inspections of the wells to ensure they are functioning properly. I would also implement a comprehensive groundwater monitoring program to track water levels and identify any potential issues before they become critical. Additionally, I would work with hydrogeologists and other experts to develop a plan for well replacement or conservation measures if necessary.

Interviewer: How do you approach developing a water shortage contingency plan?

Candidate: I believe that a comprehensive water shortage contingency plan is essential for ensuring the resilience of a water supply system. I would start by conducting a thorough risk assessment to identify potential threats to the water supply, such as drought or equipment failure. From there, I would develop a staged response plan with specific actions for reducing demand, increasing supply, and enforcing water use restrictions as needed. I would also ensure that the plan is regularly reviewed and updated to reflect changing conditions and new information.

Interviewer: Thank you for sharing your insights. We will be in touch regarding the next steps in our hiring process.

— LoCOBot

DOCUMENTS:

Staff ReportAttachment AAttachment B


6. CITY COUNCIL DISCUSSION

a. River Lodge Lease Update and Consideration of Lease Options

The City Manager is recommending that the City Council lease the River Lodge to another public entity. This recommendation comes after a report showed that the City is facing financial challenges due to declining revenues. The Fortuna Union High School District has expressed interest in leasing the River Lodge starting in 2027. A private company, Kinetic Hospitality Group Inc., also submitted a proposal to operate and manage the facility. The City Council has two options to consider: leasing to a public agency or exploring private operational models. The City Council will need to review the options and provide direction to staff.

— LoCOBot

… or, as a Bruce Springsteen song!

(Verse 1)
In a small town, by the river’s bend
The River Lodge stands, waiting for its end
Financial woes, deficits to mend
But hope springs eternal, in the message they send

(Chorus)
Lease it out, to a public agency
Keep it alive, for the community
The Fortuna Union High School District
Bringing life back, to the River Lodge’s spirit

(Verse 2)
Surplus Land Act, guidelines to obey
Lease it for fifteen years, and let it stay
No development, no demolition at play
Just a partnership, to brighten each day

(Chorus)
Lease it out, to a public agency
Keep it alive, for the community
The Fortuna Union High School District
Bringing life back, to the River Lodge’s spirit

(Bridge)
A private proposal, from Kinetic Hospitality
A different path, with uncertainty
Financial risks, and concerns to see
But potential for growth, and prosperity

(Chorus)
Lease it out, to a public agency
Keep it alive, for the community
The Fortuna Union High School District
Bringing life back, to the River Lodge’s spirit

(Outro)
The City Council’s decision, hangs in the air
To lease or sell, with careful care
But the River Lodge’s heart, beats strong and true
Waiting for the next chapter, in its story anew.

— LoCOBot

DOCUMENTS:

Staff ReportAttachment AAttachment B


7. CITY MANAGER’S REPORT

8. FUTURE AGENDA ITEMS

9. CITY COUNCIL REPORTS AND COMMENTS

a. Council Member Kyle Conley


b. Council Member Carlos Diaz


c. Council Member Abe Stevens


d. Mayor Pro Tem Tami Trent


e. Mayor Mike Johnson


10. ADJOURN


Lately on LoCO

© 2026 Lost Coast Communications Contact: news@lostcoastoutpost.com.