Preview: 5/5/26 City council meeting
Meeting Summary
City Council is dealing with two core issues this meeting: a legally risky housing decision and an ongoing budget crisis, while handling routine operations and long-term planning. The council will decide whether to approve a state-protected housing project that was previously denied, and continue a major independent financial review that could escalate into a forensic investigation.
Alongside that, the agenda includes lower-stakes items like exploring a potential LAX transit connection, studying energy-saving infrastructure upgrades, and adopting required long-term water planning documents. The rest consists of standard city business; contracts, infrastructure maintenance, and minor ordinance updates.
View the full agenda and staff attachments here: Fullerton City Council Agenda
Consent calendar (Items 1-9)
The consent calendar are typically routine items that are passed in bulk by the City Council. Any item can be pulled from the consent calendar by a single City Councilmember for a separate vote and/or discussion
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The minutes of the prior City Council meeting. This documents the events that took place in writing
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This reorganizes and updates Fullerton’s existing laws into a clearer, consolidated municipal code without making major policy changes. It’s basically a cleanup and restructuring of current rules.
This was approved last meeting, but since it is an ordinance, must be voted on twice
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This adds rules to restrict or prohibit the unlawful sale and distribution of kratom products in Fullerton for public safety reasons. It creates a new section in the municipal code specifically addressing kratom.
This was approved last meeting, but since it is an ordinance, must be voted on twice
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The city is reporting it has about $191M in investments earning ~4.19% and is updating its investment rules to better align with state law and reduce risk. The changes mainly improve oversight, diversification, and flexibility in how funds are managed.
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The city is responding to a Grand Jury recommendation to explore a direct bus (like FlyAway) from Fullerton Park & Ride to LAX and will study whether it’s feasible. No money is committed yet, just starting collaboration and analysis.
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The city is hiring Grant Thornton Advisors LLC to continue an independent review of its finances, including budget optimization and possibly a deeper forensic investigation if issues are found. This authorizes the City Manager to approve the forensic audit if there are significant findings
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The city is considering hiring Veregy Pacific LLC to analyze buildings and infrastructure for energy-saving upgrades that could potentially pay for themselves over time. This is just a study phase; no projects are approved yet.
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Fullerton and La Habra are partnering to repair and upgrade a shared stretch of road, with costs split based on jurisdiction. Fullerton will lead the project, which includes pavement, sidewalks, and accessibility improvements.
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The city is extending its contract with Sweeping Corporation of America for one more year to avoid service disruptions while transitioning to a new sweeping schedule and preparing a new long-term contract.
Public Hearings (items 12 & 13)
A public hearing is a formal part of a council meeting where the public is specifically invited to speak on a particular item before the council makes a decision (or receives a report). Everything said in a public hearing becomes part of the official record and can be used in legal challenges against the decision of the City Council
12. Appeal of Planning Commission Denial Of Development at Harbor x Hermosa
What This Is: This is a developer (City Ventures) appealing the Planning Commission’s denial of a 32-unit townhouse project (with 5 affordable units), asking City Council to override that denial. This is not a normal housing vote, as this qualifies as a Builder’s Remedy project.
Deeper Dive: The state requires that every city adopt a plan to provide housing. These plans are called Housing Elements. If the plan is insufficient or is not implemented, the state can decertify the housing plan. This opens the city up to Builder’s Remedy projects, which allows developers to override local zoning and development laws, and takes away much of City Council’s discretion.
In 2022, Fullerton’s Housing Element was decertified, which allowed this project to be filed under Builder’s Remedy.
City Council may only deny this project if there is a documented health or safety risk that is:
Caused by the development
Not easily mitigated
As it stands now, there are no findings by staff that would support denial. If City Council denies this project anyway, they will be forced to litigate in court where the developer will likely win. This would come at a cost to the city and the tax payer.
13. Urban Water Management & Shortage Contingency Plans
What This Is: This is a required update where the city lays out its long-term water supply, demand forecasts, and drought response strategy through 2050.
Deeper Dive: The plan shows Fullerton expects stable water supply and slightly decreasing demand over time, with a mix of ~63% groundwater and ~37% imported water, and includes a structured 6-stage drought response system with escalating conservation mandates (up to 60% reductions in extreme shortages).
Regular Business
14. State of the City 2026
What This Is: The city is reviewing last year’s State of the City event and deciding how to run it in 2026, with staff recommending the same model using sponsorships and ticket sales instead of taxpayer funds.
Deeper Dive: Staff claims that the State of the City made a profit of $29k last year through donations and ticket sales. This however does not account for staff time nor funds outside of the city’s general fund. More concerning however, is the list of donors:
Jones & Mayer: $2500
This company is contracted to the city for legal services
Happy Jewelers: $2500
This company’s CEO is a major campaign contributor to Mayor Fred Jung
Kimley-Horn: $2500
This company competes for contracts that the city awards
Orange County Power Authority: $5000
This organization is a community choice aggregation. Fred Jung has sat on its board since 2021
Republic Services: $5000
This company is our current trash hauler and is currently competing for a new contract
Fullerton College: $2500
This is a local community college that frequently has to work with the city on projects
CSUF: $2500
This is a local university that frequently works with the city on projects
West Coast Arborists: $2500
This is a company that frequently works for Fullerton
Boeing: $2500
This company is currently involved in a planned air-taxi service at the airport
The way how the city is generating revenue for this event exposes them to potential conflicts of interests. Nearly every entity that has donated has a vested interest in city projects or the mayor’s campaigns.
