2023-24 Mid-Year Budget
1 City Council
February 20, 2024
Mid-Year Budget Overview
2 GENERAL FUND REVENUE AND
EXPENSE UPDATE
PENSION/OPEB RESERVE PAYMENT
PER CITY POLICY
WORK FORCE CHANGE REQUESTS
General Fund Proposed Revenue
Budget
Ongoing One-Time Total
Adopted FY 2023-24 Revenue Budget 128,833,457$
Business License Tax 200,000$
Property Tax 1,815,000
Property Transfer Tax (2,200,000)
Sales Tax City Portion (200,000)
Transaction/Use Tax (Meas F) (200,000)
Solid Waste Franchise 197,000
Successor ROPS Residual Taxes 434,000
Transfer In - AMP Reimbursable 39,000
Utility User Tax 370,000
Transfer-in State Earmark for CARE Team 1,800,000
Increase Recreation Fee Projection 283,000
Subtotal Proposed Revenue Adjustments 2,938,000$ (400,000)$ 2,538,000$ Proposed Mid-Year Revenue Budget 131,371,457$
3 Proposed FY 2023-24 General Fund
Revised Operating Budget
Item Department Description Ongoing One-Time Total
FY 2023-24 General Fund Adjusted Expense Budget 130,843,136 Operating Adjustments
B1 City Attorney Increase Transfer-out to Golf Fund - Legal Expenses - 250,000 B2 City Attorney Add Deputy City Attorney II - Prosecution Unit ($210,000 annual cost) - - B3 City Clerk Add Overtime - Technical Correction 13,500 - B4 Council Add Special Pay & Benefits for City Council - Technical Correction 90,000 - B5 Finance Decrease Transfer-out to Aquatic Center Debt Service Fund - Technical Correction (36,600) - B6 Finance Transfer Authorized Position from Fire Department to Finance (Payroll) - - B7 Finance Upgrade Position - Admin Tech III to Sr Mgmt Analyst 11,000 - B8 Fire Transfer Budget to Public Provider Ground Emergency Transport (PPGEMT) Fund (85,276) B9 HR Increase Professional Services due to Labor Negotiations - 50,000 B11 Police Police - Concealed Carry Weapons (CCW) Project 30,000 - B12 Police Increase Professional Services - In-Car Dash Cameras - Technical Correction 66,240 - -
-
B14 Public Works Increase Cost Allocation - Facility Maintenance Technical Correction 286,520 - B15 Public Works Increase Part-Time Pay - Sewer, Streetlights, Traffic Signals 10,000 - B16 Rec & Park Increase Part-Time Pay & Overtime 162,000 - B17 Rec & Park Increase Professional Services & Supplies - Technical Correction 157,000 - B18 Rec & Park Increase Part-Time Pay & Other Services for Extended Pool Operations - 120,000 704,384 1,020,000 1,724,384
Subtotal Operating Expenditures 132,567,520
Reduce and reallocate salary savings. Reduce APD salary savings $900,000/Increase Misc salary savings -$(300,000)
B10
B14 Non-Dept & Police 600,000
Subtotal of Operating Adjustments
4 Proposed Mid-Year General Fund Capital
Expenditures
5 Item Department Description Ongoing One-Time Total
Proposed FY 2023-24 Mid-Year Capital Transfers
B19 Public Works Fleet Garage 50,000
B20 Public Works Uninterupted Power Source Replacement Police Admin Building 50,000 B21 Public Works Bus Shelter Replacement 25,000
B19 Rec & Park Littlejohn Recreation Center - 52,000 B20 Rec & Park Encinal Boat Ramp Project Closeout - 33,254 B21 Rec & Park Playground Replacement - 60,000 - 270,254 270,254 Subtotal of Capital Transfers General Fund Proposed Expenditure
Budget
6 * On June 20, 2023, City Council adopted the FY 2023-25 Biennial Budget which included use of residual fund balance to fund significant capital expenditures including $15m for construction of the Aquatic Center.
Ongoing One-Time Total
Adopted FY 2023-24 Revenue Budget 128,833,457$
Proposed Revenue Adjustments 2,938,000$ (400,000)$ 2,538,000$ Proposed Mid-Year Revenue Budget 131,371,457$
Budgeted Use of Fund Balance
Budgeted Use of Residual Fund Balance 23,772,830$ 23,772,830$ Net Amendments & Adjustments 2,009,679$ 2,009,679$ Budgeted FY 2022-23 Carryforward 4,304,076$ 4,304,076$ Subtotal all General Fund Funding Sources 161,458,042$
Ongoing One-Time Total
Adjusted FY 2023-24 Expense Budget 130,843,136$
Budgted FY 2022-23 Carryforward 4,304,076$ 4,304,076$ Budgeted Transfers to Capital Budget* 23,772,830$
Subtotal all Budgeted Expenditures 158,920,042$
Proposed Operating Adjustments 704,384$ 1,020,000$ 1,724,384$ Proposed Capital Budget Adjustments 270,254$ 270,254$ Proposed Mid-Year Expense Budget 160,914,680$
Total Surplus/(Deficit) 543,362$
General Fund
Residual Fund
Balance
7 FY 2024 Beginning Assigned and
Unassigned Fund Balance (in millions) 105.59$
FY 2023-24 Budgeted Revenues 131.37$
FY 2023-24 Budgeted Expenditures (132.84)$
Subtotal 104.12$
Add: Carry-forwards
FY 2022-23 Carryover 4.30$
Less: Fund Assignments
Outstanding Encumbrances (10.92)$
Economic Uncertainty (10.10)$
Reserve Policy (24.39)$
FY 2023-24 Projected Use of Fund Balance (23.76)$
FY 2024-25 Projected Use of Fund Balance (6.07)$
Projected Ending Unassigned Fund Balance 33.18$
Reserve Policy- Total 20% of General Fund planned
expenditures.
Additionally, the City has an Economic Uncertainty Policy which is 5% of planned General Fund Expenditures plus an additional $4 million temporary set-aside for FYs 2023-25.
Workforce
Changes –
All
Departments
8 Department FY 2023 -24 Mid -Year
Proposal
FY 2023- 24
Budget
Adjustment
Funding
Source(s) Notes
City Attorney
(Prosecution)
Add Deputy City
Attorney II –
Prosecution Unit
(Upgrade existing
part-time position)
$0.00 General
Fund;
Rent
Stabilizati
on;
General
Liability;
Worker’s
Compens
ation
Ongoing: No
additional budget
needed in current
year. Future
appropriations will be
offset by part-time
salary savings
Finance (Payroll) / Fire Transfer Payroll
Position from Fire to
Finance
Net $0 General
Fund
Ongoing
Finance (Payroll) Upgrade Admin Tech
III to Senior
Management Analyst
$11,000 General
Fund
Ongoing: Cost
$11,000 through
remainder of fiscal
year
Planning Building &
Transportation
Add Senior
Management Analyst
$188,000 Measure
BB
Ongoing: No
additional budget
needed in current
year
TOTAL $199,000
Workforce Summary
9 Pension/OPEB Reserve Policy
The City commits half of the increase in the General Fund unassigned residual fund balance from the end of the prior fiscal year to advance pay-down of pension/OPEB obligations
The General Fund unassigned residual fund balance did not increase from June 2022 to June 2023 due to one-time
projected use of fund balance in FY 2023-24 and FY 2024-25 No advance pay-down is recommended according to the
funding formula, although Council could direct staff to return with options for a discretionary contribution
Workforce Summary
10 Questions?