Memorandum
Date: February 10, 2026
To: The Honorable Lake County Board of Supervisors
From: Mireya G. Turner, Community Development Director
Susan Parker, County Administrative Officer
Shannon Walker-Smith, Deputy Community Development Administrator
Casey Moreno, Deputy County Administrative Officer
Subject: 1:30 P.M. - (a) Presentation of Community Development Department Historical Revenue and Expense Analysis; and (b) Request for Board Direction Regarding Ongoing Operations and Loan Repayment Plan
Executive Summary: As the Board recalls, the Community Development Department (CDD) staff provided initial findings regarding factors that led to declining Building Division revenues, and discussed General Fund loan repayment, on December 9, 2025. The Board had additional questions which CDD and Administrative staff have collaborated to develop responses. The Board received an update on this process on January 13, 2026, with the intention of providing the Board a more thorough presentation on February 10, 2026.
CDD and Administrative Office staff will present information on the following topics:
• Year to Date updates of revenue expenses by Division;
• Analysis of Building Division Fees over the past 10 Fiscal Years;
• Analysis of historical Code Enforcement Division cost recovery (i.e., gaining further insight into informants of insufficient cost recovery);
• Analysis of historical Planning Division fees cost recovery;
• Analysis of CDD funding structures in similar Counties;
• Position Allocation Analysis, by Division;
• Draft Fee analysis for CDD, by divisions (i.e., recognizing any patterns where staff time is not fully covered by current fees);
• Mid-year budget updates, issues and next steps
• Next steps for FY 26/27 and beyond; and
• Long term strategies for long term monitoring and budget health
The Board will see an immediate cessation in all but essential expenditures, and will gain a deeper understanding in the changes from year to year on permit applications received. Additionally, Staff will show the advances made in the department regarding increased grant funding for Code Enforcement, the extended process for capturing Code Enforcement expenses through the lien process, and the potential reduction in captured expenses connected to the increase in Tax Defaulted Property sales. In the Planning Division, slides will show the actual expense of service provision by division, which is information not usually discussed when contemplating raising CDD fees during the Master Fee Schedule updates.
CDD Staff extends sincere appreciation for the effort the Administration Staff has made to meet with us regularly, especially with all their competing priorities. These discussions have been fruitful and beneficial as we continue to strive to be good stewards of public funds and the public trust.
If not budgeted, fill in the blanks below only:
Estimated Cost: ________ Amount Budgeted: ________ Additional Requested: ________ Future Annual Cost: ________
Purchasing Considerations (check all that apply): ☐ Not applicable
☐ Fully Article X. <https://library.municode.com/ca/lake_county/codes/code_of_ordinances?nodeId=COOR_CH2AD_ARTXPU_S2-38EXCOBI>- and/or Consultant Selection Policy <http://lcnet.co.lake.ca.us/Assets/Intranet/Policy/Policies+$!26+Procedures+Manual/Ch4_2021v2.pdf>-Compliant (describe process undertaken in “Executive Summary”)
☐ Section 2-38 <https://library.municode.com/ca/lake_county/codes/code_of_ordinances?nodeId=COOR_CH2AD_ARTXPU_S2-38EXCOBI> Exemption from Competitive Bidding (rationale in “Executive Summary,” attach documentation, as needed)
☐ For Technology Purchases: Vetted and Supported by the Technology Governance Committee <http://lcnet.co.lake.ca.us/Assets/Intranet/Intranet+Forms/Information+Technology/AdvPlan.pdf> (“Yes,” if checked)
☐ Other (Please describe in Executive Summary)
Consistency with Vision 2028 <http://www.lakecountyca.gov/Government/Directory/Administration/Visioning/Vision2028.htm> (check all that apply): ☐ Not applicable
☐ Well-being of Residents ☐ Public Safety ☐ Disaster Prevention, Preparedness, Recovery
☐ Economic Development ☐ Infrastructure ☐ County Workforce
☐ Community Collaboration ☐ Business Process Efficiency ☐ Clear Lake
Recommended Action: Staff recommends the Board provide Staff with their preference of options for next steps.