The SAM Board voted to accept the quarterly financial report for the first quarter of fiscal year 2025–26, but the vote followed extended discussion about budget presentation, carryover projects, and how large capital needs will be tracked and funded.

Staff explained the common first-quarter overages are driven by annual bills (insurance, service contracts) often paid early in the fiscal year; staff said those timing differences typically flatten over subsequent quarters. "In the first quarter you tend to see a spike because annual payments are made early," staff said while reviewing Q1 metrics.

Directors pressed for clearer reporting. Director Marsh asked for infrastructure spending to be broken out by project in future quarterly packages so the board can see what was spent this year versus amounts carried over from prior budgets. "It would be really good to...break out the infrastructure by project and show what we've spent in the first quarter," Marsh said, urging a Q2 update with project-level numbers.

The conversation broadened into the authority's capital planning for the Montero Force Main, a multi-million-dollar project with a court-ordered completion timeline discussed by members. Some directors warned that approving near-term projects without clear carryover accounting effectively increases next year’s capital commitments. Staff said they will include a monthly project-spend breakdown in Q2 and confirmed that certain projects will carry into the next fiscal year because of scheduling and contractor availability.

After discussion, a motion to accept the Q1 report was made and carried by voice vote. Board members directed staff and the finance committee to provide more granular project reporting going forward to improve transparency and budgeting for large capital items such as the Montero Force Main.