PROPOSED FY 2022/23
CITY COUNCIL
BUDGET WORKSHOP
June 7, 2022
Overview
• Proposed FY 2022/23 Budget
• Economic Outlook
• General Fund Five-Year Forecast
• Administrative Departments’ Proposed Budgets
2 FY 2022/23 Proposed Budget
Citywide Expenditures
Funds Amount
Enterprise Funds $787.7M
General Fund 407.7
Internal Service 360.1
Special Revenues 246.9
Other Restricted 83.8
Capital Projects 74.3
Other General Purpose 27.7
Total $2.0B
Enterprise
Funds
40%
General Fund
21%
Internal
Service
18%
Special
Revenues
12%
Other
Restricted
4%
Capital
Projects
4%
Other
General
Purpose
1%
3 Economic Outlook
• Heightened uncertainty
• Little data available from pandemic economic
recoveries
• Fundamentals of economy are strong
• Housing, banks, and unemployment are all stable
• Expect continued growth, but CPI is concerning
• Russia’s invasion of Ukraine
• Consumer demand for goods
• Stagflation or recession possible in the not so
immediate future
4 Economic Outlook
• OC has recovered from pandemic
• Low unemployment
• Tourism is strong with domestic tourists making up for loss of international tourists
• Home prices up
• Momentum for new development
5 FY 2022/23 Proposed General Fund Budget
Transient
Occupancy Taxes
36%
Sales and Use
Taxes
20%
Property Taxes
18%
Business
License/Property
Transfer Tax
2%
Fees & Permits
7%
Other Revenues
12%
Transfers From
Other Funds
5%
Financial Sources by Category 6
FY 2022/23 Proposed General Fund Budget
Transient
Occupancy Taxes
36%
Sales and Use
Taxes
20%
Property Taxes
18%
Business
License/Property
Transfer Tax
2%
Fees & Permits
7%
Other Revenues
12%
Transfers From
Other Funds
5%
Financial Sources by Category
TOT
$184.4M
7 Transient Occupancy Tax
Tax rate = 15% of room sale
Locally controlled, city collects 100%
Stays of less than 30 days
8 Transient Occupancy Tax (in millions)
$138.5
$150.3 $155.7 $162.6
$123.0
$30.3
$107.9
$167.3
$184.4
$198.5
$206.7 $212.9 $219.0
$-
$50.0
$100.0
$150.0
$200.0
$250.0
FY 16
Actual
FY 17
Actual
FY 18
Actual
FY 19
Actual
FY 20
Actual
FY 21
Actual
FY 22
Budget
FY 22
Projected
FY 23
Proposed
FY 24
Projected
FY 25
Projected
FY 26
Projected
FY 27
Projected
8.5% 3.6% 4.4%
-24.4%
-75.4%
256.5%
55.1%
10.2%
7.7% 4.1% 3.0% 2.8%
9 FY 2022/23 Proposed General Fund Budget
Financial Sources by Category
Sales & Use
Tax
$103.6M
Transient
Occupancy Taxes
36%
Sales and Use
Taxes
20%
Property Taxes
18%
Business
License/Property
Transfer Tax
2%
Fees & Permits
7%
Other Revenues
12%
Transfers From
Other Funds
5%
10 Sales & Use Tax
Collected by the State
City piece is 1% of purchase price
Tax applies to sale of tangible property
State
5.00%
Local Public Safety
(Prop 172)
0.50%
Health and Welfare
0.50%
Local City or County
1.00%
OC Mass Transit
(Measure M)
0.50%
.
Local Transportation/
Road Maintenance 0.25%
11 Sales & Use Tax (in millions)
$77.5 $80.7 $82.0 $85.1
$77.1 $77.0
$83.1
$97.1
$103.6 $107.6
$112.7 $117.3 $121.6
$-
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
FY 16
Actual
FY 17
Actual
FY 18
Actual
FY 19
Actual
FY 20
Actual
FY 21
Actual
FY 22
Budget
FY 22
Projected
FY 23
Proposed
FY 24
Projected
FY 25
Projected
FY 26
Projected
FY 27
Projected
4.1% 1.6% 3.8%
-9.4% -0.1%
8.0%
16.8%
6.6%
3.9% 4.7%
4.1% 3.6%
12 Transient
Occupancy Taxes
36%
Sales and Use
Taxes
20%
Property Taxes
18%
Business
License/Property
Transfer Tax
2%
Fees & Permits
7% Other Revenues
12%
Transfers From
Other Funds
5%
Financial Sources by Category
Property
Tax
$92.7M
FY 2022/23 Proposed General Fund Budget
13 Property Tax
Basic Levy = 1%
County Collects
Basic Levy Shared Among Tax Entities
City Share is approximately 20%
School
Districts
46%
City
Government
20%
County
Government
13%
Special
Districts
11%
Redevelopment Property
Tax Trust Fund (RPTTF)
10%
14 Property Tax (in millions)
$67.7 $70.4 $73.7 $77.5
$82.4 $86.3 $89.4 $89.6 $92.7 $95.5 $98.3 $100.7 $102.7 $-
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
FY 16
Actual
FY 17
Actual
FY 18
Actual
FY 19
Actual
FY 20
Actual
FY 21
Actual
FY 22
Budget
FY 22
Projected
FY 23
Proposed
FY 24
Projected
FY 25
Projected
FY 26
Projected
FY 27
Projected
4.0% 4.7% 5.2%
6.3%
4.7% 3.6% 0.2% 3.6% 2.9% 3.0% 2.5% 2.0%
15 Administering
Efficient
Government
5.7%
Supporting
Activities
3.3%
Ensuring Quality
of Life
12.9%
Providing the
Necessities
6.2%
Keeping Us Safe
52.3%
Transfers to Debt
Service
18.8%
Transfers to Economic
Development
0.5%
Transfers to Other
Funds
0.3%
General Fund
Department % of Expenditures
Keeping Us Safe
Police 42.2%
Fire & Rescue 22.8%
Ensuring Quality of Life
Community Services 9.7%
Planning & Building 6.4%
Providing the Necessities
Public Works 7.2%
Public Utilities 0.5%
Administering Efficient Government
City Council 0.4%
City Administration 3.7%
City Attorney 2.5%
City Clerk 0.6%
Supporting Activities
Finance 3.2%
Human Resources 0.8%
Total 100.0%
Uses Expenditures
16 Proposed General Fund Five-Year Forecast
FY 2021/22
Projected
FY 2022/23
Proposed
FY 2023/24
Projected
FY 2024/25
Projected
FY 2025/26
Projected
FY 2026/27
Projected
Operating Sources
Revenues
Transient Occupancy Taxes $167.3 $184.4 $198.5 $206.7 $212.9 $219.0 Sales and Use Taxes 97.1 103.6 107.6 112.7 117.3 121.6
Property Taxes 89.6 92.7 95.5 98.3 100.7 102.7
Other Revenues 83.8 78.6 76.9 76.9 78.0 79.1
Total Revenues 437.8 459.2 478.5 494.6 509.0 522.4
Transfers In 28.2 26.2 24.5 25.3 25.0 25.3
Total Operating Sources 466.0 485.4 503.1 519.9 533.9 547.8 Operating Uses
Expenditures
Salaries and Other Benefits (201.8) (215.8) (220.6) (223.8) (226.1) (228.5) Pensions (62.4) (74.6) (76.1) (79.3) (81.1) (82.8)
Total Labor (264.2) (290.4) (296.7) (303.1) (307.2) (311.3) Other Operating Costs (106.4) (108.8) (110.5) (115.5) (119.6) (123.9) Total Expenditures (370.6) (399.1) (407.2) (418.6) (426.8) (435.2) Transfers Out (117.5) (101.3) (110.5) (115.0) (118.5) (121.8) Total Operating Uses (488.1) (500.4) (517.8) (533.6) (545.3) (557.0) Operating Sources Over/(Under) Operating Uses $(22.1) $(15.0) $(14.7) $(13.7) $(11.4) $(9.3) 17 Proposed General Fund Five-Year Forecast
FY 2021/22
Projected
FY 2022/23
Proposed
FY 2023/24
Projected
FY 2024/25
Projected
FY 2025/26
Projected
FY 2026/27
Projected
Total Operating Sources $466.0 $485.4 $503.1 $519.9 $533.9 $547.8 Total Operating Uses (488.1) (500.4) (517.8) (533.6) (545.3) (557.0) Operating Sources Over/(Under) Operating Uses $(22.1) $(15.0) $(14.7) $(13.7) $(11.4) $(9.3) One-Time/Limited Time Projects
Federal Stimulus 53.3 - - - - -
Homeless Shelters (9.8) (8.4) (8.7) (8.9) (0.2) (0.2)
Deficit Bond Proceeds - 23.4 25.2 29.9 17.4 -
Deficit Borrowing Repayment - - (1.8) (7.3) (7.3) (7.3) Total Change in Reserves 21.4 0.0 0.0 0.0 (1.5) (16.7)
Beginning Reserves 48.0 69.4 69.4 69.4 69.4 67.9
Ending Reserves 69.4 $69.4 $69.4 $69.4 $67.9 $51.2
Reserves as a % of Ongoing General Fund
Expenditures
19% 17% 17% 17% 16% 12%
18 Administrative Departments
• Provide leadership to carry out Council policies, impart the legal defense and support vital record-keeping functions of the City.
• Evaluate internal controls and provide independent appraisals to maximize revenues and prevent internal risk.
• Protect the City’s assets through the acquisition, accounting and investment of resources.
• Support City operations through the hiring and development of quality staff.
City Council City Administration City Attorney City Clerk Finance Human Resources
GENERAL GOVERNMENT SUPPORTING ACTIVITIES
19 FY 2022/23 Proposed Budget
All Funds General Fund
City Council
City
Administration
City Attorney
City Clerk
Finance
Human
Resources
City Council City
Administration
City Attorney
City Clerk
Finance Human
Resources
20 FY 2022/23 Proposed Budget
Department All Funds
Expenditures
% of
All Funds
General Fund
Expenditures
% of
General Fund
City Council $1.4 0.1% $1.4 0.4%
City Administration 15.1 0.8% 15.1 3.7%
City Attorney 10.1 0.5% 10.0 2.5%
City Clerk 2.3 0.1% 2.3 0.6%
Finance 95.0 4.8% 13.2 3.2%
Human Resources 288.0 14.5% 3.3 0.8%
Total $411.9M 20.8% $45.3M 11.2%
(in millions)
21 QUESTIONS?
22 PROPOSED FISCAL YEAR 2022/23
POLICE DEPARTMENT
Anaheim.net/MyCityBudget
23 Core Services
Crime Prevention
Traffic Services
Youth Services
Community Policing
Emergency and
Non-Emergency Response
24 FY 2022/23 Proposed Budget
All Funds General Fund
Police
$193.5M
10% Police
$172.1M
42%
25 Operating Budget by
Expenditure Class
Operating Budget by
Division
Labor
84%
Other
Operating
16%
Debt
Service
<1%
Capital
Outlay
<1%
Amount
Chief of Police/Administration $28.8
Operations 61.0
Operations Support 36.7
Investigations 35.0
Support Services 27.6
Total $189.1M
(in millions)
FY 2022/23 Proposed Operating Budget
26 617 FTE
Full Time Staff
63.6 FTE
Part Time Staff
Authorized Personnel
27 Highlights – Personnel
Senior Crime
Prevention Specialist
Senior Criminal
Research Specialist
Police Records
Supervisor
Police Dispatcher II
Police Service
Representative (PSR)
28 Highlights - Recruitment
DEPARTMENT GOAL OF
HIRING 40 POLICE OFFICER
POSITIONS IN 2022
29 Highlights
Youth Services Training
30 Highlights
Technology
Community
Engagement
31 QUESTIONS?
Anaheim.net/MyCityBudget
32 Anaheim.net/MyCityBudget
PROPOSED FISCAL YEAR 2022/23
FIRE & RESCUE
DEPARTMENT
33 • Add text and photos here
Emergency
Medical Services
Community
Risk Reduction
Emergency Management
& Preparedness
Fire Suppression
Core Services
34 FY 2022/23 Proposed Budget
All Funds General Fund
Fire &
Rescue
$115.0M
6%
Fire & Rescue
$92.9M
23%
35 Operating Budget by
Expenditure Class
Operating Budget by
Division
Labor
79%
Other
Operating
19%
Debt
Service
1%
Capital
Outlay
1%
Amount
Fire Administration $3.5
Fire & Rescue Operations 79.5
Support Services 5.5
Fire Prevention & Community Risk
Reduction
5.1 Emergency Management & Preparedness 0.9
Total $94.5M
(in millions)
FY 2022/23 Proposed Operating Budget
36 331 FTE
Full Time Staff
13.25 FTE
Part Time Staff
Personnel
37 Highlights
38 Highlights
39 Highlights
40 • Add text and photos here
Highlights
41 • Add text and photos here
Highlights
42 Highlights
43 • Add text and photos here
Highlights
44 Highlights
45 Highlights
46 Public Safety
Academy
Fire Cadets
Fire Explorers
Ambulance Operators
Highlights
47 2022 Recruit Academy
Highlights
48 QUESTIONS?
Anaheim.net/MyCityBudget
49 PROPOSED FISCAL YEAR 2022/23
COMMUNITY SERVICES
DEPARTMENT
Anaheim.net/MyCityBudget
50 Core Services
Library | Parks & Capital | Recreation | Human & Neighborhood Services | Golf 51 FY 2022/23 Proposed Budget
All Funds General Fund
Community
Services
$65.1M
3%
Community
Services
$39.6M
10%
52 Operating Budget by
Expenditure Class
Operating Budget by
Division
Labor
43%Other
Operating
56%
Debt
Service
<1%
Capital
Outlay
1%
Amount
Community Services Administration $1.0
Library Services 12.7
Parks 12.3
Recreation Services 9.7
Human & Neighborhood Services 6.5
Golf Operations 11.3
Total $53.5M
(in millions)
FY 2022/23 Proposed Operating Budget
53 93 FTE
Full Time Staff
177.35 FTE
Part Time Staff
Personnel
54 Libraries - Awards
Power of Libraries
Library of the Year 55
Libraries
STEAM Van takes art & science to go
Served over 3.65 million patrons
Programming attendance of 103,000
56 Parks & Capital
57 Parks & Capital – New Amenities
58 Recreation Services
59 Recreation Services
Facilitated swimming lessons to
over 2,500 participants
519,123 public
contacts with the
Park Rangers
Scheduled field space to over 58 Sports Organizations
60 Recreation Services After School Programs
Provided S.T.A.R.S. activities to over 20,000 youth
Provided Fun on Wheels activities to over
6,000 youth
61 Recreation Services Programming & Events
62 Human Services
Provided over
235,000
meals to
families and
seniors
63 Human Services Youth Development Programs
Facilitated
activities
for 850
youth
64 Neighborhood Services
Provided over 11,000
contacts with
community
stakeholders and 58
Neighborhood Clean
Up Campaigns
65 Golf Courses
66 Golf Course Improvements
Before
After
67 Golf Course Special Events
68 QUESTIONS?
Anaheim.net/MyCityBudget
69