OCEANSIDE — The City Council declined to provide additional funding for KOCT, the city’s public-access television station, and rejected calls for more youth program spending before approving a nearly $744 million operating budget with a general fund surplus of just $130,000.
The council approved the budget on June 3 for the fiscal year beginning July 1.
The city’s projected operating appropriations for all funds in fiscal year 2026-27, including Measure X revenue, total $623.6 million. The budget also includes $120.1 million in capital improvement projects.
Earlier this spring, the city held a budget workshop to gather public input on spending priorities. Following the workshop, staff increased projected ambulance billing revenue based on current trends and added $26,000 in ongoing funding for the city’s senior transportation program.
Staff also incorporated recent salary adjustments for elected officials and reaffirmed the city clerk’s compensation.
The spending plan includes $21.52 million in Measure X projects funded by the city’s half-cent sales tax.
Under the city’s general fund, which supports most city services and accounts for about 40% of the total operating budget, revenues are projected at $239.82 million, while expenditures are expected to reach $239.69 million, resulting in a surplus of approximately $130,000.
“I have never seen a surplus so small,” Mayor Esther Sanchez said at the June 3 council meeting.
Several speakers urged the council to provide additional funding for KOCT, the city’s public, educational and government access television station, which broadcasts local news, City Council meetings, documentaries and community events on Cox Communications channels 18 and 19.
In addition to providing 24/7 public-access programming and live coverage of city meetings, KOCT operates youth mentorship and workforce development programs.
Kent Davy, chair of the KOCT Board of Directors, said the station faces significant financial challenges heading into the next fiscal year and needs city assistance to remain viable.
“I believe this station creates the social capital that builds a vastly superior community which is the city of Oceanside, but we face headwinds – as we’ve talked about at other times – of increased costs, equipment failures and cable-cutting, and we need your support,” Davy told the council.
KOCT receives public, educational and government access funding collected by the city through franchise fees paid by cable and video service providers. As more consumers abandon traditional cable services in favor of streaming platforms, PEG revenues have declined nationwide.
In 2018, KOCT received nearly $468,000 in PEG funding. Today, that amount has fallen to approximately $270,000. KOCT collected
Last year, the city provided KOCT with a one-time emergency allocation of $175,000.
The council ultimately declined to provide additional funding for the station in the upcoming fiscal year.
A council majority also rejected Deputy Mayor Eric Joyce’s suggestion to redirect funding from other programs to increase support for city youth programs.
“We don’t have the funds,” Sanchez said, adding that the city continues to invest in and expand youth programming.
The council unanimously approved the staff-recommended operating budget and directed staff to add entrances to El Corazon Park to the city’s unfunded capital improvement project list.
