Goleta feels good about its financial future.

The Goleta City Council approved mid-cycle budget revisions on Tuesday that add operating costs for the new splash pad and train depot while maintaining service levels.

“It does feel really great to be in this position and have a budget presented to us that is structurally balanced,” Councilwoman Luz Reyes-Martín said.

The spending approved on Tuesday has some minor adjustments from the two-year budget adopted in 2025, according to Luke Rioux, the city’s finance director.

Among the new expenses outlined in the budget, two big projects — the Jonny D. Wallis Neighborhood Park splash pad and the Goleta Train Station — are adding operational costs.

The train depot, which is expected to open this summer, will cost $426,000 next year, according to Rioux.

The construction of the new station at 27 S. La Patera Lane began in 2024. The project was funded through an $18.6 million Transit and Intercity Rail Capital Program grant given to the Santa Barbara County Association of Governments.

“I encourage us as we start and enter this new fiscal year to think about that space, not just as a place where you catch the train, not just as a place that’ll be a transit hub to catch the bus; it could be an event space,” Councilman James Kyriaco said. 

He said the space opens up a new opportunity to partner with local businesses and community organizations. 

Meanwhile, the park splash pad, which opened in late May, is estimated to add operational costs of about $200,000, according to the city staff report.

Kyriaco said he was proud that the budget was able to keep up with the splash pad’s needs.

City Eyes Sheriff’s Office Contract

In their budget discussion, council members also inquired about the city’s future partnership with the Santa Barbara County Sheriff’s Office for law enforcement services.

That follows recent news that Solvang and Buellton might drop the Sheriff’s Office and instead contract with the Lompoc Police Department.

“We’ll start in earnest later this year to start those discussions,” said Jaime Valdez, assistant city manager.

Goleta usually partners with the two Santa Ynez Valley cities when negotiating contract renewals, according to Kyriaco.

The city’s sheriff’s contract runs through June 30, 2027. It will cost $13.2 million for the fiscal year that starts July 1, according to the city staff report, and had a yearly increase around $750,000.

City Manager Robert Nisbet said he has spoken with the city managers for Solvang and Buellton and will be having regular monthly meetings. 

“There’s a lot to such a transition, and they have some work to do to evaluate it and have those conversations,” Nisbet said. “So we are going to take a wait-and-see approach from our point of view and how it affects any interaction we have to start conversations to renew the contract we have.”

The cities are dissatisfied with the Sheriff’s Office traffic enforcement, lack of transparency, unreliable event coverage and other factors, Noozhawk reported.

“I think it puts us in a maybe little bit better position as we go and have those conversations with the sheriff (about renewing the contract),” Nisbet said. “It’s certainly, I think sending a message to them, Solvang was clear on that.”

New Staffing Approved

The Goleta City Council also approved two full-time staff positions in the housing and engineering programs totaling $118,680. Rioux said it leaves the city with a “tight margin.”

He also warned that adding any new programs or services would require budget cuts or a new revenue source for funding. 

A few community members spoke in support of adding the positions during Tuesday’s meeting.

Additionally, the city reported a $17 million contingency reserve, which is an amount Kyriaco described as being “set aside for rainy days.” 

“At a time when other municipalities are forced to take extreme budget actions, we have had no such need,” Councilman Stuart Kasdin wrote in a comment.  

The council will discuss capital improvement spending in the summer or fall this year.