AGENDA
SPECIAL MEETING
OF THE ADELANTO CITY COUNCIL,
ADELANTO PUBLIC FINANCING AUTHORITY,
ADELANTO PUBLIC UTILITY AUTHORITY,
ADELANTO COMMUNITY BENEFIT CORPORATION,
AND THE SUCCESSOR AGENCY BOARD
JUNE 26, 2024
6:00 p.m.
City Council
Gabriel Reyes, Mayor
Daniel Ramos, Mayor Pro Tem
Joy Jeannette, Councilor
Angelo Meza, Councilor
Amanda Uptergrove, Councilor
City Manager
Jessie Flores
City Attorney
Todd Litfin
Meetings held:
2 nd & 4th Wednesday
Adelanto Governmental Center
City Council Chambers
11600 Air Expressway, Adelanto
NOTE: PLEASE TURN CELL PHONES OFF OR PLACE THEM ON VIBRATE DURING THE CITY COUNCIL MEETING AS A COURTESY TO OTHERS. Thank you, Administrative Staff The City Council Agenda packet may be reviewed by the public at the reception counter in City Hall. Any writings or documents pertaining to an open session item, provided to a majority of the City Council within 72 hours of a regular meeting, shall be made available for public inspection at the reception counter in City Hall at 11600 Air Expressway, Adelanto, CA 92301, during normal business hours. Members of the public can view the agenda or download any staff reports in advance by accessing the City website at www.ci.adelanto.ca.us on Thursday the week before the scheduled meeting.
The public may view the meeting or participate / comment remotely as follows:
• All of our meetings are streamed live at
https://adelanto.granicus.com/ViewPublisher.php?view_id=1 and are also available for playback after the meeting.
• Participate via zoom please log in using any of the options below:
• Teleconference
https://zoom.us/j/93146444676?pwd=YVU5anBFak1xSFZ4emNnNW9FNExiQT09 Or Telephone:
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Webinar ID: 931 4644 4676
Passcode: 7601
Submit written comments:
1 REGULAR MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us We encourage submittal of written comments supporting, opposing, or otherwise commenting on an agenda item, for distribution to the City Council prior to the meeting. Send emails to [email protected]; written correspondence may be sent to Brenda Lopez, 11600 Air Expressway Adelanto CA 92301.
Rules of Decorum
“Members of the Public are advised that all PAGERS, CELLULAR TELEPHONES and any OTHER COMMUNICATION DEVICES are to be turned off upon entering the City Council Chambers.” If you need to have a discussion with someone in the audience, kindly step out into the lobby. Under the Government Code, the City Council may regulate disruptive behavior that impedes the City Council Meeting.
Disruptive conduct may include, but is not limited to:
• Screaming or yelling during another audience member’s public comments period; • Profane language directed at individuals in the meeting room; • Throwing objects at other individuals in the meeting room; • Physical or verbal altercations with other individuals in the meeting room; and • Going beyond the allotted three-minute public comment period granted.
When a person’s or group’s conduct disrupts the meeting, the Mayor or presiding officer will request that the person or group stop the disruptive behavior, and WARN the person or group that they will be asked to leave the meeting room if the behavior continues.
If the person or group refuses to stop the disruptive behavior, the Mayor or presiding officer may order the person or group to leave the meeting room, and may request that those persons be escorted from the meeting room. Any person who, without authority of law, willfully disturbs or breaks up a City Council meeting is guilty of a misdemeanor. (Pen. Code, § 403.) It should also be noted that any person who WILLFULLY disturbs or breaks up the City Council meeting may be arrested for a misdemeanor offense. (Penal Code, § 403.)
MEMBERS OF THE PUBLIC WISHING TO ADDRESS THE CITY COUNCIL MEMBERS
ARE REQUIRED TO FILL OUT A SPEAKER REQUEST FORM AND PLACE IT IN THE TRAY ON THE PODIUM PRIOR TO MEETING. Thank you, Administrative Staff The City Council packet may be reviewed by the public at the reception counter in City Hall. Any writings or documents pertaining to an open session item, provided to a majority of the City Council Members within seventy-two (72) hours of a Regular Meeting and twenty-four (24) hours of a Special Meeting. Members of the public can view the agenda or download any staff reports in advance by accessing the City’s website at www.ci.adelanto.ca.us on the Thursday of the week before the scheduled meeting.
AMERICANS WITH DISABILITIES ACT: In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at (760) 246-2300, ext. 11123, no later than seventy-two (72) hours prior to the meeting per 28 CFR 34.102.104.
2 REGULAR MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us TIME: _____________
ROLL CALL: Councilor Jeannette ________
Councilor Meza ________
Councilor Uptergrove ________
Mayor Pro Tem Ramos ________
Mayor Reyes ________
INVOCATION:
FLAG SALUTE: ______________________
B. APPROVAL OF AGENDA
C. PRESENTATIONS
1. Presentation By Dr. Gil Keinan, Budget update.
D. PUBLIC COMMUNICATIONS
This is the time and place for members of the public to comment on any matter within the jurisdiction of the City Council. Members of the public wishing to address the City Council Members on items not on the agenda can push *9 on their telephones to raise their hands. The City Clerk will call on you in the order received. You will be asked to un-mute - to do so you must push *6. Please state your name for the record. There is a time limit of three (3) minutes.
Members of the audience may address the City Council on non-agenda items; however, in accordance with Government Code section 54954.2, the City Council may not take action on an item not appearing on the agenda
A. CALL TO ORDER—SPECIAL MEETING
3 REGULAR MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us E. CONSENT CALENDAR
Items on the Consent Calendar are considered routine in nature and non-controversial and require no further discussion by the City Council. They may be acted on in one motion unless a member of the City Council requests a separate discussion on an item.
MOTION APPROVING THE CONSENT CALENDAR AS PRESENTED
1. Waiver of Full Reading of Ordinances. Proposed action to waive full reading (except title) of all ordinances appearing on this City Council agenda as authorized by Government Code Section 36934, unless otherwise directed by the City Council
2. Receive and file the City’s single audit report for the fiscal year ended June 30, 2021.
3. Receive and file the City’s annual Measure I and Transportation Development Act Local Transportation Fund Article 8 (“TDA-Article 8”) audit reports and financial statements for the fiscal year ended June 30, 2021.
4. Adopt Resolution 24-45 approving the Appropriations Limit (Gann Limit) for fiscal year 2024-2025.
RESOLUTION NO. 24-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO,
COUNTY OF SAN BERNARDINO, CALIFORNIA, ADOPTING THE
APPROPRIATIONS LIMIT FOR FISCAL YEAR 24-25
5. Consideration of Resolution 24-59 Approving Adoption of Continuing Resolution in Lieu of Timely FY 2024-2025 Budget Adoption and Authorization of 60 Days Extension to prepare and present the Fiscal Year 2024-2025 Budget
RESOLUTION 24-59
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO
CONTINUING EXPENDITURES AND REVENUES IN ACCORDANCE WITH THE FISCAL YEAR 2023-2024 CITY BUDGET IN LIEU OF FISCAL YEAR 2024-2025 BUDGET ADOPTION
6. Approval of Resolution 24-61Amending the Budget and Appropriating Funds for the Municipal Budget Fiscal Year 2023-2024
4 SPECIAL MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us RESOLUTION NO. 24-61
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO,
COUNTY OF SAN BERNARDINO, CALIFORNIA, AMENDING THE
BUDGET AND APPROPRIATING FUNDS FOR THE MUNICIPAL BUDGET FOR FISCAL YEAR 2023-2024
M__________________S__________________ACTION__________________ F. ADELANTO PUBLIC UTILITY AUTHORITY CONSENT CALENDAR
Items on the Consent Calendar are considered routine in nature and non-controversial, and require no further discussion by the City Council. They may be acted on in one motion unless a member of the City Council requests a separate discussion on an item.
PUBLIC COMMENT: OPEN: CLOSED:
1. Waiver of Full Reading of Ordinances. Proposed action to waive full reading (except title) of all ordinances appearing on this City Council agenda as authorized by Government Code Section 36934, unless otherwise directed by the City Council.
2. Consideration of Resolution 24-01 approving adoption of continuing resolution in lieu of timely APUA FY 2024-2025 budget for adoption and authorization of 60 days extension to prepare and present the Fiscal Year 2024-2025 budget.
APUA RESOLUTION NO. 24-01
CONSIDERATION OF RESOLUTION 24-01 APPROVING ADOPTION OF CONTINUING RESOLUTION IN LIEU OF TIMELY APUA FY 2024-2025 BUDGET FOR ADOPTION AND AUTHORIZATION OF 60 DAYS
EXTENSION TO PREPARE AND PRESENT THE FISCAL YEAR 2024-2025 BUDGET
M__________________S__________________ACTION__________________ G. NEW BUSINESS
PUBLIC COMMENT: OPEN: CLOSED:
1. RESOLUTION 24-60 APPROVING THE INVESTMENT POLICY FOR FISCAL YEAR 2024- 2025 AND DELEGATING INVESTMENT AUTHORITY TO CITY TREASURER.
RECOMMENDATION: It is recommended that the City Council adopt Resolution 24-60 approving the Investment Policy for Fiscal Year 2024-2025 and designate the City Treasurer as its Investment Officer.
5 SPECIAL MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us RESOLUTION NO. 24-60
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
COUNTY OF SAN BERNARDINO, CALIFORNIA, APPROVING
THE FISCAL YEAR 2024-2025 INVESTMENT POLICY AND
DELEGATING INVESTMENT AUTHORITY TO CITY
TREASURER
M__________________S__________________ACTION__________________ H. ITEMS REMOVED FROM THE CONSENT CALENDAR
I. ADJOURNMENT
The next Regular Meeting of the City Council will be held on June 26, 2024, 7:00 p.m.
TIME OUT:
M__________________S__________________ACTION____________________
I, BRENDA LOPEZ, CITY CLERK OF THE CITY OF ADELANTO, OR MY DESIGNEE,
HEREBY CERTIFY THAT A TRUE, ACCURATE COPY OF THE FOREGOING AGENDA WAS POSTED ON June 25, 2024 AT LEAST TWENTY-FOUR (24) HOURS PRIOR TO THE MEETING PER GOVERNMENT CODE 54954.2 IN THE GOVERNMENTAL CENTER’S DISPLAY CASE, 11600 AIR EXPRESSWAY, THE ADELANTO POST OFFICE, AND ADELANTO LIBRARY IN ADELANTO, CALIFORNIA.
Brenda Lopez, City Clerk, CMC
J. DECLARATION OF POSTING
6 SPECIAL MEETING
JUNE 26, 2024
11600 Air Expressway • Adelanto, CA 92301 • (760) 246-2300 • www.ci.adelanto.ca.us
YOUR CITY GOVERNMENT
CHARTER CITY: Ratified by the electors of the City at an election on November 3, 1992. “A Charter City can do what the Charter permits it to do, so long as there is not direct violation of the State Constitution.”
CITY COUNCIL: The City Council is the legislative and policy-making body of the City. The City Council is composed of one elected Mayor and four Council Members, elected at large (to represent the entire City), to serve four (4) year, staggered terms.
CITY MANAGER: The City Manager is the chief executive officer responsible for the day-to-day administration of City affairs.
CITY COUNCIL MEETING: The regular meeting of your City Council is a vital part of the democratic process in the conduct of the City’s affairs. These meetings are open to the public and conducted by your elected representatives who are responsible, as a body, for the operation of Adelanto’s City government. The City Council appreciates your interest and urges citizen participation in government matters.
LEGISLATIVE TERMS
ORDINANCES: Ordinances are the means by which the City enacts its local laws. Unless an urgent situation exists, ordinances will first be presented at a City Council meeting as a “first reading.” At a subsequent City Council meeting, there will be a “second reading” and vote for or against adoption. Ordinances go into effect after a waiting period of thirty (30) days, in most cases, during which time the summary of the ordinance is published in a local newspaper approved for this purpose.
RESOLUTIONS: Resolutions and minute orders are the means by which the City Council formally adopts policies and/or approves specific actions. These go into effect upon adoption 7 Adelanto City Hall ~ 11600 Air Expressway, Adelanto, CA 92301 ~ (760) 246-2300 ~ Fax (442) 249-1121
SPECIAL MEETING
OF THE ADELANTO CITY COUNCIL
ADELANTO PUBLIC FINANCING AUTHORITY,
ADELANTO PUBLIC UTILITY AUTHORITY,
ADELANTO COMMUNITY BENEFIT CORPORATION,
AND THE SUCCESSOR AGENCY BOARD
JUNE 26, 2024
All of our meetings are streamed live at https://adelanto.granicus.com/ViewPublisher.php?view_id=1 and are also available for playback after the meeting.
Participate via zoom please log in using any of the options below:
Teleconference https://us06web.zoom.us/j/93146444676?pwd=YVU5anBFak1xSFZ4emNnNW9FNExiQT09
TIME TELECONFERENCE
To Participate and and Call in for public
comments:
Special Session – 6:00 p.m. Please call 1-669-900-6833 along with conference code 931 4644 4676
Passcode: 7601
Dated: June 25, 2024 Brenda Lopez, City Clerk, CMC
8 CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Jacob Weatherbie, CPA, MSA, Finance Consultant (RAMS) SUBJECT: RECEIVE AND FILE THE CITY’S SINGLE AUDIT AND INDEPENDENT AUDITORS’ REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2021 (FINAL REPORT)
STAFF RECOMMENDATION:
It is recommended that the City Council receive and file the City’s single audit report for the fiscal year ended June 30, 2021.
BACKGROUND:
The audit of the City’s Single Audit and Independent Auditors’ Report for Fiscal Year 2020/2021 (FY20/21) has been completed by the independent auditor, The Pun Group, Accountants & Advisors. The financial statements are intended to reflect the City’s compliance with grant requirements. A government agency is only required to have a single audit performed if there was federal grant funding used in excess of $750,000. The City does not meet this requirement every year, thus it is not an annual audit. In FY20/21, there were two major programs with over $750,000 spent.
The first major program was the County of San Bernardino’s (the “County”) CDBG – Entitlement Grants Cluster under CDFA listing number 14.218 with a total of $861,311. Of these funds $761,555 were used towards the Aster Road CDBG Paving Project and $99,756 were used for a Utility Assistance Program for the City’s residents to assist in paying utility bills for residents who became delinquent due to the COVID-19 pandemic.
The second major program was the COVID-19 Coronavirus Relief Fund, which is the grant provided by the County and the State of California (the “State”) to disburse funding from the CARES Act passed by the United States Congress on March 25, 2020. The City received a total of $880,672 (50% from the County and 50% from the State) through this grant. The County’s portion of the funds were spent on Police and Fire services and the purchase of City vehicles. The State’s portion of the funds were spent on safety materials for the City to continue working through the COVID-19 pandemic, the purchase of a City vehicle, and a City-sponsored food resiliency program that prepared and distributed food for the citizens of the City.
The City received an unmodified opinion, meaning the Schedule of Expenditures of Federal Awards (the “SEFA”) is fairly stated in all material respects in relation to the basic financial statements of the City. 9 Receive and File City Audit Reports
FISCAL IMPACT:
There is no fiscal impact at this time.
ATTACHMENTS:
1. Fiscal Year 2020/2021 Single Audit and Independent Auditors’ Report (Final Report)
2. Fiscal Year 2020/2021 Schedule of Findings and Questioned Costs (Final Report) 10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Jacob Weatherbie, CPA, MSA, Finance Consultant (RAMS) SUBJECT: RECEIVE AND FILE THE CITY’S ANNUAL MEASURE I AND TDAARTICLE 8 FINANCIAL REPORTS AND FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED JUNE 30, 2021 (FINAL REPORT)
STAFF RECOMMENDATION:
It is recommended that the City Council receive and file the City’s annual Measure I and Transportation Development Act Local Transportation Fund Article 8 (“TDA-Article 8”) audit reports and financial statements for the fiscal year ended June 30, 2021.
BACKGROUND:
The audit of the City’s Measure I and TDA-Article 8 financial statements for Fiscal Year 2020/2021 (FY20/21) has been completed by the independent auditor, Conrad, LLP. The financial statements are intended to reflect the financial position and changes in financial position of the City’s Measure I and TDA-Article 8 funds, which are briefly summarized below.
The City’s Measure I 1990-2010 Funds had total revenues of $1,3658 and total expenses of $93 resulting in net revenue of $1,265 and creating a final fund balance of $360,121. The City’s Measure I 2010-2040 Funds had total revenues of $797,598 and total expenses of $20,387 resulting in net revenue of $777,211 and creating a final fund balance of $1,882,406.
The City’s TDA-Article 8 Fund had total revenues of $5,844 and total expenditures of $362 resulting in net revenues of $5,482 and creating a final fund balance of $1,394,712 The fund balances for all prior mentioned funds are restricted. This means the available funding within each fund can only be utilized for specific projects, as outlined within the scope and guidance within San Bernardino County’s Measure I bill and Transportation Development Act Article 8, Section 99400(a), respectively.
39 Receive and File City Audit Reports
FISCAL IMPACT:
With the issuance of the 2021 audit reports, San Bernardino County Transit Authority (“SBCTA”) is planning to release $438,728.61 in funding to the City for the September 2021 through December 2021 allocations. Additional funding will be released as audits are completed. The audits are on a temporary waiting period as SBCTA is finding new auditors to perform the audits.
ATTACHMENTS:
1. Fiscal Year 2020/2021 Measure I and TDA Article-8 Management Comment Letter (Final Report)
2. Fiscal Year 2020/2021 Measure I Funds Annual Financial Report (Final Report)
3. Fiscal Year 2020/2021 Measure I Schedule of Findings and Responses (Final Report)
4. Fiscal Year 2020/2021 TDA-Article 8 Annual Financial Report (Final Report)
5. Fiscal Year 2020/2021 TDA-Article 8 Schedule of Findings and Responses (Final Report) 40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 55
56 57
58 59
60 61
62 63
64 65
66 67
68 69
70 71
72 73
74 75
76 77
78 79
80 81
82 83
84 85
86 87
88 CITY COUNCIL AGENDA
REPORT
| A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Jacob Weatherbie, CPA, MSA, Finance Consultant (RAMS) SUBJECT: ADOPT RESOLUTION 24-45 APPROVING THE APPROPRIATIONS LIMIT (GANN LIMIT) FOR FISCAL YEAR 2024-2025.
STAFF RECOMMENDATION:
It is recommended that the City Council adopt Resolution 24-45 approving the Appropriations Limit (Gann Limit) for fiscal year 2024-2025.
BACKGROUND:
On November 6, 1979, California voters approved Proposition 4, commonly known as the Gann Initiative, establishing Article XIIIB of the California State Constitution. This proposition mandated an appropriation (spending) limit on the amount of tax proceeds that the State and most local government jurisdictions may appropriate within a fiscal year. Charges for services, fees, grants, loans, donations, and other non-tax proceeds are excluded from the spending limitation.
The Initiative was later modified by two propositions: Proposition 98 in 1988 and Proposition 111 in 1990. Proposition 98 established the return of tax revenues exceeding appropriation limit levels to the State or citizens through a process of refunds, rebates, or other means. Proposition 111 allowed more flexibility in the appropriation calculation factors. Significant changes imposed by Proposition 111 include the following:
• The provision of a choice in methodologies for determining the annual inflation factor between 1) growth in California per capita income or 2) growth in nonresidential assessed valuation due to new construction within the City.
• The provision of a choice in methodologies for determining the annual population growth factor between 1) City population growth or 2) County population growth. 89 • Regulations allowing the exclusion of “qualified capital outlay” expenditures from the calculation of the Limit.
• Provision of a process for avoiding tax refunds if a city falls sufficiently below the Limit in the next fiscal year. The revised language provides two years, beyond the second year, to refund any remaining excess during which jurisdictions can seek to obtain a successful override vote.
For City calculation purposes, the larger population growth factor should always be selected. In the calculation for fiscal year 2024-2025, the City’s population growth factor was -.80% and the County’s was .42%, thus the County’s population growth factor was selected for use in the calculation.
FISCAL IMPACT:
No direct fiscal impacts. The rising Appropriations Limit increases the maximum amount of tax dollars the City can receive.
ATTACHMENTS:
1. Resolution 24-45
90 RESOLUTION NO. 24-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO, COUNTY OF
SAN BERNARDINO, CALIFORNIA, ADOPTING THE APPROPRIATIONS LIMIT FOR FISCAL YEAR 24-25
WHEREAS, Government Code Section 7910 requires the City Council to establish its appropriations limit as applied to “proceeds from taxes”, as defined in the that section, pursuant to Article XIII B of the State Constitution;
WHEREAS, the City elects to use the percentage change in California per capita personal income from the preceding year and the percentage change in population within the county in which the city is located as factors for the calculation of the appropriations limit pursuant to Proposition 111, voted into law on June 5, 1990.; and
WHEREAS, The City calculates the Appropriations Limit by (1) the greater of the percentage growth of Per Capita Income as given by the Department of Finance or increase of nonresidential construction within the City, multiplied by (2) the greater of the percentage growth of the City or the County population increase.; and
WHEREAS, The City does calculate the Appropriations limit based on the greater of Per Capita Income as given by the Department of Finance or non-residential construction with in the City, in order to appropriate sufficient taxes to provide services to the residents of Adelanto.; and WHEREAS, the appropriations limit is calculated to be $25,957,131 after applying the appropriate parameters.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ADELANTO DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. That the City Council approves the calculation of the appropriations limit on the “proceeds from taxes” to use the greater of population increase or new nonresidential construction for the County of San Bernardino for Fiscal Year 2024-
25. Section 2. That the City Council reviews and approves the appropriations limit calculation, Exhibit A, on the “proceeds from taxes” in the amount of $25,957,131 for the City of Adelanto for Fiscal Year 2024-25. 91 RESOLUTION NO. 24-45
Exhibit A
PASSED, APPROVED AND ADOPTED this 26th day of June, 2024. ______________________________
Gabriel Reyes, Mayor
_______________________________
Brenda Lopez, City Clerk
2024-2025
Per capita personal income change 3.62%
Population change: 0.42%
County population growth
CPI change converted to a ratio 1.0362
Population change converted to a ratio 1.0042
Calculation of growth factor 1.0406
2023 - 2024 limit $ 24,944,389
2024 - 2025 Limit
($24,944,389 x 1.0406) $ 25,957,131
92 RESOLUTION NO. 24-45
I, Brenda Lopez, City Clerk of the City of Adelanto, California, do hereby certify that the foregoing Resolution No. 24-45 was duly and regularly adopted at a regular meeting of the City Council of the City of Adelanto on this 26th day of June, 2024 be the following vote to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
IN WITNESS THEREOF, I hereunto set my hand and affix the official seal of the City of Adelanto on the 26th day of June, 2024.
______________________________
Brenda Lopez, City Clerk
93 CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
SUBJECT: CONSIDERATION OF RESOLUTION 24-59 APPROVING ADOPTION OF CONTINUING RESOLUTION IN LIEU OF TIMELY FY 2024-2025 BUDGET ADOPTION AND AUTHORIZATION OF 60 DAYS EXTENSION TO PREPARE AND PRESENT THE FISCAL YEAR 2024-2025 BUDGET
STAFF RECOMMENDATION:
It is recommended that the City Councils approval of a resolution to continue expenditures and revenues in accordance with the fiscal year 2023-2024 City budget in lieu of fiscal year 2024-2025 budget adoption (continuing resolution), and authorization of 60 days extension to prepare and present the fiscal year 2024-2025 budget.
SUMMARY:
The City is in the process of preparing the fiscal year 2024-2025 proposed City-wide budget. But due to staff turnover and other extenuating circumstances the proposed budget cannot be timely completed and presented to City Council by June 30, 2024.
If the City Council does not adopt a budget by June 30, for the ensuing fiscal year, the City Council may adopt a continuing resolution to ensure that the City meets payroll and contractual obligations and continues to provide services.
Hence, staff recommends that the City Council adopt a continuing resolution, and grant staff 60 days extension to properly ready and present the fiscal year 2024-2025 budget.
DISCUSSION:
The City of Adelanto, much like other similarly situated cities in the state, has been slowed by significant staff shortages and turnover in critical departments. This largely contributes to the delay in preparing the City’s year-end close processes including the proposed budget. The budget preparation process is underway, however, staff are electing to take the time to ensure that Council is presented a complete and quality budget plan rather than one that is rushed just to meet the June 30, deadline. 94 The deadline of June 30 comes into play based on a state law requirement to file the budget or a listing of expenditures or revenues within sixty days after the beginning of the fiscal year. However, sixty days after the beginning of its fiscal year, every local agency is required to file with the County Auditor a copy of its annual budget. "If a local agency ... does not have a formal budget, it shall file a listing of its anticipated revenues, together with its expenditures and expenses for the fiscal year in progress." The California Local Finance Almanac notes that such listing of revenues and expenditures "amounts to much the same thing as a budget."
A continuing resolution is an act of the City Council that allows the prior fiscal year's appropriations to remain in effect until a budget for the new fiscal year is adopted. Since the expenditure of funds requires legislative authorization through an appropriation, and since an appropriation is for a specific and limited period of time (e.g., fiscal year), the failure of a City Council to adopt a budget prior to the beginning of the fiscal year means that there is no legal authorization to spend money in the new fiscal year.
Therefore, if the City Council fails either to adopt a budget or to adopt a continuing resolution (to carry forward the prior fiscal year's appropriations), there can be no expenditure of City funds because there is no legal authorization (appropriation) to spend those funds.
FINANCIAL IMPACT:
Adoption of the continuing appropriation will enable the City to continue its operations and services and meet its financial obligations uninterrupted.
ALTERNATIVES:
As an alternative, Council may choose to not approve the continuing resolution. The impact will be that the City operations are halted, as there would be no expenditure of City funds because there would no legal authorization (appropriation) to spend those funds. The City would not be able to pay staff salaries or other obligations.
ATTACHMENTS:
1. City Resolution 24-59
95 RESOLUTION 24-59
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO CONTINUING EXPENDITURES AND REVENUES IN ACCORDANCE WITH THE FISCAL YEAR 2023- 2024 CITY BUDGET IN LIEU OF FISCAL YEAR 2024-2025 BUDGET ADOPTION WHEREAS, the City Council duly passed the Fiscal Year 2023-2024 budget; and WHEREAS, adoption by the City Council of the Fiscal Year 2024-2025 operations budget and capital improvement budget will be delayed; and
WHEREAS, the City Council deems it appropriate to continue the operation of the City services until the passage of Fiscal Year 2024-2025 Budget.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ADELANTO DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The foregoing recitals are true and correct and incorporated herein by reference.
SECTION 2. The City Council does hereby continue the Fiscal year 2023-2024 annual budget in full force and effect until the City Council adoption of the Fiscal Year 2024-2025 budget on or before August 30, 2024.
SECTION 3. Upon adoption of a resolution adopting the 2024-2025 Budget, this resolution shall have no further force and effect.
****
96 Resolution 24-59
I, Brenda Lopez, City Clerk of the City of Adelanto, California, do hereby certify that the foregoing Resolution 24-59 was duly and regularly adopted at a regular meeting of the City Council of the City of Adelanto on this 26th day of June, 2024 be the following vote to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
IN WITNESS THEREOF, I hereunto set my hand and affix the official seal of the City of Adelanto on the 26th day of June, 2024.
______________________________
Brenda Lopez, City Clerk
97 CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
BY: Dr. Gil Keinan, City Treasurer
SUBJECT: FISCAL YEAR 2023/2024 BUDGET AMENDMENT REPORT
STAFF RECOMMENDATION:
It is recommended that the City Council: (1) receive and file this report and all its attachment; (2) adopt Resolution No. 24-61 approving the recommendations and associated budget adjustments contained in Attachment A.
BACKGROUND/DISCUSSION:
Thank you for this opportunity to present the Fiscal Year 2023/2024 (FY23/24) Year-End Budget Report for your consideration during the June 26th, 2024 meeting of the City Council. The budget report summarizes the City’s estimated financial condition as of June 30, 2024.
FISCAL IMPACT:
Due to increases in Fire and Sheriff contracts, expenditures are expected to increase by approximately $2.9 million in comparison to the prior fiscal year. 98 RESOLUTION NO. 24-61
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ADELANTO, COUNTY OF
SAN BERNARDINO, CALIFORNIA, AMENDING THE BUDGET AND APPROPRIATING FUNDS FOR THE MUNICIPAL BUDGET FOR FISCAL YEAR 2023-2024 WHEREAS, the City currently has an approved Fiscal Year 2023-2024 budget; and WHEREAS, the City Council approves amendments to the budgets throughout the fiscal year and such prior amendments are reflected within the current amended budget and further ratified as part of the adoption of the budget amendments; and WHEREAS, the City Manager has submitted to the City Council proposed amendments to the budget for Fiscal Year 2023-2024 and these proposed amounts are needed to continue the operations of the City; and
WHEREAS, the listing of the proposed budget adjustments needed for the City’s Special Funds and General Fund operations to continue is attached hereto as Exhibit A.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ADELANTO DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The City Council of the City of Adelanto finds that the above recitals are true and correct and the Exhibits attached hereto and referred to herein, are hereby acknowledged to be true and accurate, and are incorporated herein by this reference.
SECTION 2. The proposed amendments to the Operating and Capital Budgets, attached hereto as Exhibit A to this Resolution and as on file in the Office of the City Clerk, and as may have been amended by the City Council, are hereby approved and adopted as the annual Operating and Capital Budgets of the City for Fiscal Year 2023-2024.
SECTION 3. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions. 99 Resolution No. 24-61
PASSED, APPROVED AND ADOPTED this 26th day of June, 2024. ______________________________
Gabriel Reyes, Mayor
_______________________________
Brenda Lopez, City Clerk
100
Resolution No. 24-61
I, Brenda Lopez, City Clerk of the City of Adelanto, California, do hereby certify that the foregoing Resolution No. 24-61 was duly and regularly adopted at a special meeting of the City Council of the City of Adelanto on this 26th day of June, 2024 be the following vote to wit:
AYES:
NOES: None
ABSENT: None
ABSTAIN: None
:
IN WITNESS THEREOF, I hereunto set my hand and affix the official seal of the City of Adelanto on the 26
th day of June, 2024.
______________________________
Brenda Lopez, City Clerk
101
Exhibit A
Amended Proposed Proposed
Budget Increases Budget
$181,422.00 $ - $181,422.00
523,058.00 120,000.00 643,058.00
157,562.00 - 157,562.00
464,184.00 215,000.00 679,184.00
850,000.00 - 850,000.00
136,280.00 - 136,280.00
661,750.00 - 661,750.00
1,775,803.00 - 1,775,803.00
568,214.00 - 568,214.00
200,320.00 - 200,320.00
499,247.00 - 499,247.00
198,824.00 - 198,824.00
34,000.00 34,000.00
7,689,279.00 1,290,752.00 8,980,031.00
6,263,801.00 1,637,991.00 7,901,792.00
301,934.00 - 301,934.00
335,374.00 - 335,374.00
590,983.00 - 590,983.00
628,000.00 - 628,000.00
614,750.00 - 614,750.00
5,900.00 - 5,900.00
2,500.00 - 2,500.00
$ 22,683,185.00 $ 3,263,743.00 $ 25,946,928.00
1011 - Administation - Kosmont Professional Services Agreement - Financial Advisory and Revenue Strategy - $120,000. 1013 - Finance - Rogers, Anderson, Malody & Scott, LLP - Accounting Services Agreement - $160,000. 1013 - Finance - Susan Olmstead-Bowen - Accounting Services Agreement - $55,000. 1030 - Police - Fiscal year 2024-2025 July and August San Bernardino County Sheriff Payments 1033 - Fire - Fiscal year 2023-2024 San Bernardino County Fire Fixed Costs Payments - $480,000. 1033 - Fire - Fiscal year 2024-2025 San Bernardino County Fire Fixed Costs Payment for Quarter 1 - $120,000. 1033 - Fire - Fiscal year 2024-2025 San Bernardino County Fire July and August monthly payments per contract - $1,037,991.
General Fund Budget Summary
Date Range 07/01/23 - 06/30/24
Exhibit A
Department 1011 - Administration Totals
Department 1010 - City Council Totals
Department 1015 - Human Resources Totals
Department 1014 - City Attorney Totals
Department 1013 - Finance Totals
Department 1012 - City Clerk Totals
Department 1017 - Non-Department Totals
Department 1016 - Information Technology Totals
Department 1022 - Parks & Grounds Totals
Department 1021 - Facility Maintenance Totals
Department 1020 - Streets Totals
Department 1030 - Police Totals
Department 1024 - Vehicle Maintenance Totals
Department 1023 - LLMD Totals
Department 1034 - Code Enforcement Totals
Department 1033 - Fire Totals
Fund 100 - General Fund Totals
General Fund Expenditures by Department
Department 1053 - Community Center #2 Totals
Department 1051 - Senior Center Totals
Department 1042 - Engineering Totals
Department 1041 - Building & Safety Totals
Department 1040 - Planning & Economic Development
Department 1035 - Animal Control Totals
102
CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, City Manager
SUBJECT: CONSIDERATION OF RESOLUTION 24-01 APPROVING ADOPTION OF CONTINUING RESOLUTION IN LIEU OF TIMELY APUA FY 2024-2025 BUDGET FOR ADOPTION AND AUTHORIZATION OF 60 DAYS EXTENSION TO PREPARE AND PRESENT THE FISCAL YEAR 2024-2025 BUDGET
STAFF RECOMMENDATION:
It is recommended that the Adelanto Public Utility Authority (APUA) Board adopt a resolution to continue expenditures and revenues in accordance with the fiscal year 2023-2024 APUA budget in lieu of fiscal year 2024-2025 budget adoption (continuing resolution), and authorization of 60 days extension to prepare and present the fiscal year 2024-2025 budget.
SUMMARY:
The City is in the process of preparing the fiscal year 2024-2025 proposed APUA budget. But due to staff turnover and other extenuating circumstances the proposed budget cannot be timely completed and presented to the APUA Board by June 30, 2024.
If the APUA Board does not adopt a budget by June 30, for the ensuing fiscal year, the Board may adopt a continuing resolution to ensure that the Authority meets payroll and contractual obligations and continues to provide services.
Hence, staff recommends that the APUA Board adopt a continuing resolution, and grant staff 60 days extension to properly ready and present the fiscal year 2024-2025 budget.
ATTACHMENTS:
1. City Resolution 24-01
103
RESOLUTION 24-01
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ADELANTO PUBLIC UTILITY
AUTHORITY (APUA) CONTINUING EXPENSES AND REVENUES IN ACCORDANCE WITH THE FISCAL YEAR 2023-2024 APUA BUDGET IN LIEU OF FISCAL YEAR 2024- 2025 BUDGET ADOPTION
WHEREAS, the APUA Board duly passed the Fiscal Year 2023-2024 budget; and WHEREAS, adoption by the APUA Fiscal Year 2024-2025 budget will be delayed; and WHEREAS, the APUA Board deems it appropriate to continue the operation of the APUA services until the passage of Fiscal Year 2024-2025 Budget.
NOW, THEREFORE, THE ADELANTO PUBLIC UTILITY AUTHORITY
BOARD OF DIRECTORS DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The foregoing recitals are true and correct and incorporated herein by reference.
SECTION 2. The APUA Board does hereby continue the Fiscal year 2023-2024 annual budget in full force and effect until the APUA Board adoption of the Fiscal Year 2024-2025 budget on or before August 30, 2024.
SECTION 3. Upon adoption of a resolution adopting the 2024-2025 Budget, this resolution shall have no further force and effect.
****
104
Resolution 24-01
I, Brenda Lopez, APUA Secretary, do hereby certify that the foregoing Resolution 24-01 was duly and regularly adopted at a regular meeting of the APUA Board on this 26th day of June, 2024 be the following vote to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
IN WITNESS THEREOF, I hereunto set my hand and affix the official seal of the City of Adelanto on the 26th day of June, 2024.
______________________________
Brenda Lopez, CMC, Secretary
105
CITY COUNCIL AGENDA REPORT
A D E L A N T O G O V E R N M E N T A L C E N T E R | 1 1 6 0 0 A I R E X P R E S S W A Y | A D E L A N T O , C A L I F O R N I A 9 2 3 0 1
DATE: June 26, 2024
TO: Honorable Mayor and City Council Members
FROM: Jessie Flores, Interim City Manager
BY: Jacob Weatherbie, CPA, MSA, Finance Consultant (RAMS) SUBJECT: ADOPT RESOLUTION 24-60 APPROVING THE INVESTMENT POLICY FOR FISCAL YEAR 2024-2025 AND DELEGATING INVESTMENT AUTHORITY TO CITY TREASURER.
STAFF RECOMMENDATION:
It is recommended that the City Council adopt Resolution 24-59 approving the Investment Policy for Fiscal Year 2024-2025 and designate the City Treasurer as its Investment Officer.
BACKGROUND:
On January 1, 1996, the State of California enacted laws that outline standards for investment activities of local public agencies. Common themes in these laws focused on a sound investment policy, oversight of investment activities, safety in managing public funds, and quarterly reporting on the investment portfolio. Pursuant to California Government Code Section 53646, the City Treasurer may annually submit a statement of investment policy to the City Council for the Council’s consideration and adoption.
Auditors and best practices recommend an annual adoption of such policy.
In summary, the Investment Policy accomplishes the following:
• Defines the City’s investment objectives and guidelines, as well as their conformance with California laws;
• Delineates the State of California approved investment vehicles that are recommended as suitable for the City of Adelanto;
• Outlines investment-reporting requirements; and
• Names the Adelanto City Treasurer as the City’s Investment Officer and delegates investing to that official.
The City of Adelanto’s Investment Policy for Fiscal Year 2024-2025 (Attachment #2) has been prepared in compliance with the State of California requirements and guidelines. Staff has reviewed the respective California Government Code Sections that govern investments and determined that the City’s Investment Policy for Fiscal Year 2024-2025 complies. Detailed descriptions of the various recommended allowable investment instruments are included in the policy. 106
FISCAL IMPACT:
No direct fiscal impacts. The investment policy allows the City to make safe, dynamic investments to increase unrestricted City revenue.
ATTACHMENTS:
1. Resolution 24-60
2. Investment Policy (Fiscal Year 2024-2025)
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110
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112
113
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115
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118
119
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