City Council - Special Meeting

CALL TO ORDER

PLEDGE OF ALLEGIANCE

ROLL CALL

CLOSED SESSION REPORT

A RESOLUTION DECLARING A STATE OF FINANCIAL EMERGENCY, ESTABLISHING FINANCIAL RECOVERY AND STABILIZATION PRIORITIES, AND DIRECTING IMMEDIATE ACTIONS TO PROTECT THE CITY'S SOLVENCY AND CONTINUITY OF ESSENTIAL MUNICIPAL SERVICES

COUNCIL NEXT STEPS: Approve a declaration of financial emergency that documents financial challenges and organizational elements that have created a financial crisis for FY26-27 and important next steps necessary to protect the City's financial solvency.

RESOLUTION AUTHORIZING AN INTERFUND LOAN FROM IMPACT FEE FUNDS TO THE GENERAL AND WATER FUNDS IN THE AMOUNT OF $18 MILLION

COUNCIL NEXT STEPS: Adopt a resolution authorizing a short-term interfund loan of $18M from the City's Impact Fee Funds (Fund 304 – AB 1600 Traffic Impact Fee and Fund 205-Park Dedication Impact Fee) to the General Fund ($11M) and Water Fund ($7M), payable in full by June 30, 2027, at an interest rate of 3%-4%.

A RESOLUTION AUTHORIZING THE CITY MANAGER TO PURSUE SPECIAL STATE LEGISLATION PROVIDING THE CITY OF HOLLISTER AUTHORITY TO IMPOSE, SUBJECT TO FUTURE CITY COUNCIL ACTION AND VOTER APPROVAL, AN ADDITIONAL TRANSACTIONS AND USE TAX OF UP TO ONE PERCENT

COUNCIL NEXT STEPS: 1. Adopt a resolution authorizing the City Manager, or designee, to pursue special state legislation that would permit the City of Hollister to impose, subject to future City Council action and voter approval, an additional transactions and use tax of up to one percent (1%) notwithstanding the limitation contained in California Revenue and Taxation Code Section 7251.1; and 2. Further authorize the City Manager, or designee, to work with the City's state legislative delegation, legislative advocates, City Attorney, California Department of Tax and Fee Administration (CDTFA), and other appropriate parties to develop and advance the necessary legislation; and 3. This action would not impose a tax, increase the current sales tax rate, or place a tax measure on the ballot. It would only seek state authorization that would preserve the City's ability to consider such an option in the future.

ADJOURNMENT

VERIFICATION OF AGENDA POSTING

The agenda for the City Council of the City of Hollister special meeting of October 2, 2026 was posted on the bulletin board at City Hall on October 1, 2026 per Government Code Section 54954.2.