Buellton City Council
October 24, 2024

CITY OF BUELLTON

CITY COUNCIL AGENDA
Regular Meeting of October 24, 2024 at 6:00 p.m.

City Council Chambers, 140 West Highway 246
Buellton, California
Council meetings will be conducted in person and the public is welcome to attend.

Written comments will not be read aloud but can be sent to the City Council via email at [email protected] (please reference agenda item number/subject matter, and include your name and address). The public can observe Council meetings via City TV Live Stream at:
http://www.cityofbuellton.com/government/cityTV.php

CALL TO ORDER
Mayor Dave King

PLEDGE OF ALLEGIANCE

ROLL CALL
Council Members, Hudson Hornick, Elysia Lewis, John Sanchez, Vice Mayor David Silva, and Mayor Dave King

REORDERING OF AGENDA
PUBLIC COMMENTS Speaker Slip to be completed and turned in to the City Clerk prior to commencement of meeting. Any person may address the Council on any subject pertaining to City business, including all items on the agenda not listed as a Public Hearing, including the Consent Agenda and Closed Session. Limited to three (3) minutes per speaker. By law, no action may be taken at this meeting on matters raised during Public Comments not included on this agenda. Public Speakers using a translator are allotted a total of six (6) minutes to speak, unless simultaneous translation equipment is used.

CONSENT CALENDAR (ACTION)
The following items are considered routine and non-controversial and are scheduled for consideration as a group. Any Council Member, the City Attorney, or the City Manager may request that an item be withdrawn from the Consent Agenda to allow for full discussion. Members of the Public may speak on Consent Agenda items during the Public Comment period.

1. Minutes of October 10, 2024 Regular City Council Meeting

2. List of Claims to be Approved and Ratified for Payment to Date for Fiscal Year 2024/2025

City Council Meeting Agenda Page 2 October 24, 2024

3. Financial Report for the First Quarter Ending September 30, 2024  (Staff Contact: Finance Director Shannel Zamora)

4. Monthly Treasurer’s Report – September 30, 2024
 (Staff Contact: Finance Director Shannel Zamora)

5. Approval of Funding Request for the Fall Festival Carnival Event  (Staff Contact: Planning Director Andrea Keefer)

PRESENTATIONS

PUBLIC HEARINGS

COUNCIL MEMBER COMMENTS/ITEMS

WRITTEN COMMUNICATIONS
Written communications are included in the agenda packets. Any Council Member, the City Manager or City Attorney may request that a written communication be read into the record.

COMMITTEE REPORTS This Agenda listing is the opportunity for Council Members to give verbal Committee Reports on any meetings recently held for which the Council Members are the City representatives thereto.

BUSINESS ITEMS (POSSIBLE ACTION)

6. Consideration of Arts and Culture Project Applications:

A. Buellton Art Banner Project
B. Afterschool Early Strings Program
 (Staff Contact: Recreation Coordinator Allison Firey)

7. Resolution No. 24-26 – “A Resolution of the City Council of the City of Buellton, California, for the Purpose of Budget Amendments from Operational Changes related to Fiscal Year 2024-25 Budget through the First Quarter Ending September 30, 2024”
 (Staff Contact: Finance Director Shannel Zamora)
CITY MANAGER’S REPORT

ADJOURNMENT
The next meeting of the City Council will be held on Thursday, November 14, 2024 at 6:00 p.m.

City Manager Review: SW
Council Agenda Item No.: 1

CITY OF BUELLTON

CITY COUNCIL MEETING MINUTES
Regular Meeting of October 10, 2024
City Council Chambers, 140 West Highway 246
Buellton, California

CALL TO ORDER
Vice Mayor Silva called the meeting to order at 6:00 p.m.

PLEDGE OF ALLEGIANCE

ROLL CALL

Present: Council Members Elysia Lewis, John Sanchez, and Vice Mayor David Silva

Absent: Council Member Hudson Hornick and Mayor Dave King Staff: City Attorney Greg Murphy, Public Works Director Rose Hess, Finance Director Shannel Zamora, Planning Director Andrea Keefer, and Staff Assistant Devon DeFazio

REORDERING OF AGENDA
None

PUBLIC COMMENTS
None

CONSENT CALENDAR

1. Minutes of September 26, 2024 Regular City Council Meeting

2. List of Claims to be Approved and Ratified for Payment to Date for Fiscal Year 2024/2025

3. Approval of Approval of Amendment No. 1 to the Joint Powers Agreement for the Central Management Area relating to Sustainable Groundwater Management Act in the Santa Ynez River Valley Groundwater Basin

4. Award of Construction Contract for the SYVCO CDBG – 140 Highway 246 TI Projects – Flooring/Carpets

City Council Meeting Minutes Page 2 October 10, 2024

5. Acceptance of the Reservoir II Roof Repair Project
MOTION:

Motion by Council Member Sanchez, seconded by Council Member Lewis, approving Consent Calendar Items 1 through 5 as listed.

VOTE:

Motion passed by a roll call vote of 3-0.

Council Member Lewis – Yes
Council Member Sanchez – Yes
Vice Mayor Silva - Yes

PRESENTATIONS

6. Proclamation Recognizing Indigenous Peoples’ Day
Vice Mayor Silva presented Chairman Kenneth Kahn with a proclamation recognizing Indigenous Peoples’ Day. Chairman Kahn expressed his gratitude for the proclamation on behalf of the Santa Ynez Band of Chumash Indians.

PUBLIC HEARINGS

None

COUNCIL MEMBER COMMENTS/ITEMS
Vice Mayor Silva expressed concern that the City’s senior mobile home parks are not protected as housing options exclusively for low-income seniors and requested that staff look into an ordinance to protect senior status.

WRITTEN COMMUNICATIONS
None

COMMITTEE REPORTS
None

BUSINESS ITEMS

7. Discussion and Possible Approval of Fall Fest Carnival on the Avenue of Flags and Consideration of Funding Request for the Event
RECOMMENDATION:

That the City Council consider approval and funding of the Fall Fest event.

STAFF REPORT:

Planning Director Keefer presented the staff report.

City Council Meeting Minutes Page 3 October 10, 2024
SPEAKERS/DISCUSSION:

Council Member Sanchez recused himself from the funding portion of this item due to a conflict of interest with En Fuego Events. City Attorney Murphy stated there would be a lack of quorum for the funding request portion of staff’s recommendation and that this issue would be re-agendized for discussion on October 24, however, authorization of the event could move forward with the two remaining Council Members.

Applicant Andres Nuños from En Fuego Events discussed the Fall Fest application and answered questions from the Council regarding the event.

The City Council discussed how shuttles will operate to and from the event.

DOCUMENTS:

Staff report with attachments as listed in the staff report.

MOTION:

Motion by Council Member Lewis, seconded by Vice Mayor Silva approving the Fall Fest event on the Avenue of Flags, scheduled for November 8-10.

VOTE:

Motion passed by a roll call vote of 2-0.

Council Member Lewis - Yes
Council Member Sanchez – Abstain
Vice Mayor Silva – Yes
CITY MANAGER’S REPORT
None

ADJOURNMENT
Vice Mayor Silva adjourned the regular meeting at 6:22 p.m. The next regular meeting of the City Council will be held on Thursday, October 24, 2024 at 6:00 p.m. ____________________________
David Silva
Vice Mayor
ATTEST:
_____________________________
Linda Reid
City Clerk

CITY OF BUELLTON
City Council Agenda Staff Report
City Manager Review: SW
Council Agenda Item No.: 2

To: The Honorable Mayor and City Council
From: Shannel Zamora, Finance Director
Meeting Date: October 24, 2024
Subject: List of Claims to be Approved and Ratified for Payment to Date for Fiscal Year 2024/2025
______________________________________________________________________________

BACKGROUND
Staff is required to submit a check register to the City Council for approval every Council meeting for the most recently completed check register (Attachment 1).

The check register for the period 09/28/2024 through 10/11/2024 has been prepared in accordance to Government Code section 37202 and Buellton Municipal Code section

3.08.070. The check register lists all vendor payments for the specified period above, along with claimant’s name, a brief description of the goods or service purchased, amount of demand, check number, check date and the account number(s) associated with each payment.

The total amount of checks and electronic fund transfers issued for the period of 09/28/2024 through 10/11/2024 was $426,561.45.

FISCAL IMPACT
Payments made to the various vendors were consistent with the approved City’s Budget for 09/28/2024 through 10/11/2024. Cash is available for the payment disbursements of the above liabilities.

RECOMMENDATION
That the City Council review and accept the check register for the period 09/28/2024 through 10/11/2024.

ATTACHMENTS
Attachment 1 – Claims

CITY OF BUELLTON
City Council Agenda Staff Report
City Manager Review: SW
Council Agenda Item No.: 3

To: The Honorable Mayor and City Council
From: Shannel Zamora, Finance Director
Meeting Date: October 24, 2024
Subject: Financial Report for the First Quarter Ending September 30, 2024 ______________________________________________________________________________

BACKGROUND
Four times each year, City staff completes a comprehensive analysis of City finances, including projected fund balances, revenues to date, departmental budgets, expenditures, and encumbrances. This financial report focuses on the First Quarter of Fiscal Year 2024- 25 and summarizes the quarter ended September 30, 2024 for the General Fund, Enterprise Funds and Capital Improvement Fund.

Attachment 1 provides an overview of the current economic outlook on the local, state and national levels; General Fund revenues, expenditures, projected fund balances; and activity in the Enterprise Funds. Though this information is not audited and does not contain all the usual periodic adjustments, accruals or disclosures, the information does provide a picture of the City’s activity and developing financial trends. Attachment 2 focuses on the status of the Capital Improvement Budget at the end of the quarter ended September 30, 2024.

FISCAL IMPACT
The Interim financial statement provides the community with an understanding of the financial activity of the City’s primary funds.

RECOMMENDATION
That the City Council receive and file the First Quarter Financial Report.

ATTACHMENTS
Attachment 1 - Quarterly Financial Report for the period ending September 30, 2024 Attachment 2 - Quarterly Capital Improvement Project Report for the period ending September 30, 2024

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 1 Overview
The purpose of this financial report is to provide
financial information for the City of Buellton.

This report focuses on the First Quarter of fiscal
year 2024-25 and covers the period July 1, 2024
through September 30, 2024. The report is
presented quarterly and concentrates on the
General Fund and Enterprise Funds. The
quarterly financial report presents the City’s
financial position, considers economic factors
and highlights trends based on the City’s budget
versus what actually occurred during the period.

A discussion of other economic factors provides
a means of comparing the local economy against
larger economic events that may affect the City
of Buellton. This quarterly financial report is a
valuable tool to the Council, staff and general
public.

U.S Economy
The U.S. economy remains in a phase of
moderate growth, with inflation gradually
coming down but still above the Federal
Reserve’s target. The labor market remains
strong, but with signs of cooling. The housing
market is feeling the effects of high interest
rates, with both buyers and sellers exercising
caution. Going forward, the trajectory of
inflation and the Federal Reserve’s monetary
policy decisions will be key factors shaping
economic conditions.

According to the Bureau of Economic Analysis
(BEA), the real domestic product (GDP)
increased at an annual rate of 3.0% in the third
quarter of 2024. Investment in business
equipment and intellectual property
contributed to growth, but the pace of
expansion has slowed compared to the robust
Post-pandemic recovery. Higher interest rates,
imposed by the Federal Reserve to control
inflation, have dampened investment in housing
and durable goods.

According to the Bureau of Labor Statistics (BLS),
the Consumer Price Index (CPI) increased by

2.4% in the 12 months ending in September
2024, with core inflation, excluding food and
energy, rising 3.3%. This suggests inflationary
pressures have eased, marking the smallest CPI
increase since February 2021. The Federal
Reserve has shifted focus from inflation to the
labor market, cutting interest rates by 0.5% to
stabilize employment. However, officials remain
cautious about inflation, especially in the
housing sector.

The labor market remained strong, though there
are early signs of softening in some sectors.

According to the Bureau of Labor Statistics (BLS),
the national unemployment rate stood at 3.7%,
slightly up from historic lows seen in 2023 but
still indicative of a tight labor market. Job
creation has slowed, particularly in industries
sensitive to interest rate hikes such as
construction and manufacturing, but sectors like
healthcare, technology, and professional
services have continued to see growth. Labor
force participation has remained stable, helping
to balance wage pressures.

The U.S. housing market faced continued
challenges due to high mortgage rates, which
hovered around 7.2% for a 30-year fixed-rate
loan in September 2024. High borrowing costs
have led to a decline in home sales and slowed
new construction activity. While home prices
have started to stabilize, they remain elevated in
many regions, keeping affordability concerns in

CITY OF BUELLTON
Quarterly Financial Report
First Quarter Ending September 30, 2024
FY 2024-25
First Quarter
October 24, 2024

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 2 focus. The combination of high prices and
interest rates has pushed many potential buyers
out of the market, leading to increased rental
demand and further straining the rental market.

State Economy
California’s economy showed moderate growth
but faced some challenges. GDP growth was
steady. California’s GDP continued to grow
moderately in the third quarter 2024,
contributing to its status as the world’s 4th
largest economy. The technology,
entertainment, and renewable energy sectors
drove growth, but higher interest rates slowed
housing investment and construction. Inflation
rose 0.2% in September, with housing as the
main driver.

According to the BLS, as of September 2024,
California’s Consumer Price Index (CPI)
increased by 0.2% from the previous month.

Over the 12-month period, the CPI rose by 2.1%,
indicating continued moderation in inflation.

While food and energy prices contributed to the
increase, the rate of inflation has stabilized
compared to the heightened levels experienced
in prior years. Core categories such as housing,
healthcare, and transportation remain key
drivers of overall price changes. Food prices
increased 2.5%. Energy prices declined 9.7%,
largely the result of a decrease in the price of
gasoline. The index for all items less food and
energy increased 3.0% over the year.

According to the Employment Development
Department (EDD), California’s unemployment
rate as of August 2024, moved to 5.3% after
three consecutive months at 5.2%. California’s
labor market added 287,100 nonfarm jobs over
the past year, growing by 1.6%, slightly
outpacing the national growth rate of 1.5%. In
August, the state saw a monthly gain of 6,800
jobs, led by Leisure & Hospitality (+6,800) and
Private Education and Health Services (+4,900).

However, the Government sector lost 2,200
jobs, driven by declines in state employment,
and the Information sector lost 5,100 jobs,
largely due to post-strike restructuring in the
Motion Picture industry.

The housing market remained challenging, with

7.2% mortgage rates slowing sales and new
construction. Home prices stayed high,
especially in urban areas, exacerbating
affordability concerns. Increased rental demand
put further pressure on the housing market,
with many potential buyers priced out. As of
September 2024, the median home price in
California was $888,740, according to California
Association of Realtors, reflecting a slight
increase from the previous month’s figure of
$886,560. This price represents a 3.4% yearover-year increase from August 2023, although the growth has slowed compared to previous
years. The housing market in the state continues
to face high demand and limited inventory,
contributing to elevated prices, despite a recent
dip in home sales.

City of Buellton Economy
The City’s General Fund ended the First Quarter
of 2024-25 with about $13.54 Million in Cash
Balance. The City’s General Fund Reserve Policy
states the reserve level must be maintained at
35 percent of budgeted operating expenditures.

The current budgeted operating expenditures is
about $9.94 million which makes the target
reserve level approximately $3.48 million. Of the
current cash balance, about $10.06 million is
available for current and future capital
improvement projects, or any other use as
stated in the City’s Reserve Policy. Current
revenue through September 30, 2024 is 8.73
percent of budget projections while current
expenditures are at 20.89 percent of budget.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 3 The City is heavily reliant on sales tax and
transient occupancy taxes (TOT) which continue
to show steady revenue. The City benefited from
post-pandemic consumer spending habits and
had experienced high sales tax revenue and TOT
revenue. Over the past year, local travel has
slowed. The City’s hotel occupancy rates have
declined slightly but are relatively stable. The
growth in sales tax is mostly due to the Auto
Transportation and Fuel and Service Station
business industry categories.

The City has two Enterprise Funds: Water and
Sewer Funds. The goal of these funds is to
finance or recover the cost of providing services
to the public through user charges. These funds
are supported by charging for water and sewer
services.

The Wastewater Fund ended the First Quarter
with a combined Fund Balance of about $3.36
Million and $1.30 Million in cash. Wastewater
operating revenue ended the First Quarter at

26.99 percent while expenses were at 20.16
percent.

The Water and Water Capital Fund ended the
First Quarter with a combined Fund Balance of
about $10.18 Million and $5.10 Million in cash.

Water Fund Operating revenues ended the First
Quarter at 31.11 percent while operating
expenses were at 23.41 percent.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 4

GENERAL FUND
General Fund Balance
Table 1 below shows that with 25 percent of the fiscal year complete, revenues are within projections at 8.73 percent while expenditures are within 20.89 percent of appropriations. “Revenue versus budget” gaps are explained in the next section.

General Fund - Fund Balance Original Budget Current Budget Actual Percent Fund Balance at Start of Year $ 13,963,884
Revenues* 11,987,307 16,512,342 $ 1,441,889 8.73%
Expenditures* (10,117,709) (16,512,342) $ (3,449,660) 20.89% Est.Fund Balance at End of Quarter - $ 11,956,113
Change in Fund Balance 1,869,598 - $ (2,007,771)
* Includes transfers for Capital Improvement Projects
Table 1: General Fund Balance
Table 2 below provides summary comparison information on revenues and expenditures through the quarter ending September 30, 2024 versus the prior year quarter ending September 30, 2023.

Q1 FY 2024-25 Q1 FY 2023-24
Increase
(Decrease) Percent
Revenues:

Taxes $ 1,137,766 $ 1,171,660 $ (33,894) -2.89%
Fees and Permits 8,145 7,640 $ 6.61% 505
Fines and Penalties 3,179 1,826 $ 74.09% 1,353
Charges for Current Services 23,185 21,585 $ 7.41% 1,600 Use of Monies and Properties 163,372 148,641 $ 14,731 9.91% Revenue from Other Agencies 102,233 96,415 $ 6.03% 5,818 Other Revenue* 4,009 4,883 $ -17.90% (874)
Total Revenue $ 1,441,889 $ 1,452,650 $ (10,761) -0.74% Expenditures:

Employee Services $ 593,134 $ 562,523 $ 30,611 5.16%
Operating and Maintenance $ 1,978,154 $ 1,974,588 $ 3,566 0.18% Transfers for Capital Outlay $ 865,131 $ 59,325 $ 805,806 93.14% Minor Capital $ 13,240 $ 4,472 8,768 66.22%
Total Expenditures $ 3,449,660 $ 2,600,908 848,752 24.60% Change in Fund Balance $ (2,007,771) $ (1,148,258) (859,513) 74.85% Table 2: Previous Year Comparison

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 5 Total revenues through the First Quarter are $10,761 (-0.74%) lower than the previous fiscal year during the same period. The revenue category with the largest dollar increase is “Use of Monies and Properties”. The increase is mainly due to higher interest rates being earned on the Money Market, Certificate of Deposits (CD) and in the Local Agency Investment Fund (LAIF). The revenue category with the largest dollar decrease is “Taxes”. The majority of the decrease is due to a slight downward trend in transient occupancy tax (TOT) and steady sales tax revenue. Compared to TOT revenue from July 2023 through August 2023, TOT from July 2024 through August 2024 is $18,259 less even though the average occupancy rate for that same time period is 74.5% the prior year compared to 81% the current year. In addition, sales tax revenue is $23,497 lower through July 2024 than the prior period through July 2023.

Total expenditures are $848,752 (24.60%) higher than the previous fiscal year’s period. The increase of $30,611 (5.16%) in Employee Services is due to the 3.94% cost-of-living adjustment received by all the City’s full-time employees effective July 1, 2024 in addition to the 5% merit increase approved for the City Manager effective July 1, 2024. Furthermore, the City also added the newly approved Administrative Assistant position that was filled in March 2024.

The Operating and Maintenance expenditure category is $53,566 higher 0.18%) compared to last year during the same period.

Capital improvement projects (CIP) expenditures currently in progress through September 30, 2024 total $1,978,154 ($805,806, or 93.14%, more than last year) and are as follows:
 Project #092-207 Santa Ynez River Trail - $30,000
 Project #092-220 Willemsen Parking Lot - $5,522.50
 Project #092-221 Willemsen House Renovation - $822,123.03  Project #092-307 McMurray Road Widening/TS - $3,022.25  Project #092-322 FY 2023-24 Road Maintenance Project - $4,462.99 The minor capital expenditure category compared to last year increased by $8,768 (66.22%) due to the purchase of a traffic speed sign.

Top Five General Fund Revenues
Top Five Revenues for the City of Buellton’s General Fund are Sales Tax, Property Tax, Transient Occupancy Tax (TOT), Motor Vehicle License Fee (MVLF) and Franchise Fees. These revenues account for about 89% of total General Fund Revenues.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 6 Top Five Revenues
Original
Budget
Current
Budget YTD Actual Percent
Sales Tax $ 3,540,543 $ 3,610,776 $ 249,972 6.92%
Transient Occupancy Tax 3,800,000 $ 3,800,000 22.19% 843,092 Property Tax 1,978,500 $ 1,977,017 4,467 0.23%
MVLF Swap 630,873 $ 630,873 0.00% -
Franchise Fees 434,500 $ 415,038 9.69% 40,236
Other Revenues* 597,891 $ 996,247 30.53% 304,122
Total Revenues $ 10,982,307 $ 11,429,951 $ 1,441,889 12.62% Use of Reserves 1,005,000 5,082,391 0.00% -
Total Funding Sources $ 11,987,307 $ 16,512,342 $ 1,441,889 8.73% Table 3
Sales Tax
At the end of the First Quarter, the City received 6.92 percent of the total projected Sales Tax revenue.

Payments are recorded when received and applied to the corresponding month of sales; usually payment is received from the State of California two months after the sales tax is collected. Revenue from sales tax has been received through July 2024. Sales tax revenue fluctuates each month in conjunction with seasonal flows. Sales tax is expected to be within budget by the end of the fiscal year.

Transient Occupancy Tax (TOT)
TOT revenue is a major component of the City’s General Fund. The City receives 12 percent of the total taxable rent collected from each hotel within the City. TOT payments for the reporting period are due on the 20th of the following month and cause revenue streams to lag one month. The City has received

22.19 percent of anticipated revenues through August 2024 TOT receipts.

Property Tax
The City’s property tax revenues are at intervals set by the Santa Barbara County Auditor-Controller, usually in December and April. Property tax is at 0.43 percent of projected revenue. The City’s ongoing share of property tax is projected to grow at a steady pace as the current housing market conditions remain stable. Growth is anticipated to be 4.88 percent from the prior year.

Property Tax in Lieu of Motor Vehicle License Fee (MVLF Swap) Payments from the Santa Barbara County Auditor-Controller are received throughout the year, usually January and June. This revenue is trending upwards based on historic receipts. MVLF fees received were within budget by the end of the fiscal year.

Franchise Fees
Franchise fees are received monthly, quarterly and annually. The majority of the City’s Franchise Fees are collected from Marborg Industries, the City’s solid waste service provider. Other franchise fees are received from Comcast, PG&E and SoCal Gas. Franchise fees ended the First Quarter at 9.69 percent of revenue projections.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 7 General Fund Expenditures
Table 4 summarizes operating costs by department. As of September 30, 2024, or 25 percent of the year expended, the General Fund ended the First Quarter at 20.89 percent expended (including CIP). Actual General Fund expenditures were approximately $3.50 Million. Almost all Budget Units ended the First Quarter within budget with the exception of the Non-Departmental, Library and Public Works - General.

Department Expenditures Adopted Budget Current Budget YTD Actual % Expended 401-City Council 179,421 196,176 46,026 23.46%
402-City Manager 350,556 362,635 80,539 22.21%
403-City Clerk/Human Resources 211,478 239,528 36,004 15.03% 404-City Attorney 206,000 206,000 28,928 14.04%
410-Non-Departmental 1,354,269 1,489,174 607,426 40.79% 420-Finance 249,645 298,033 63,539 21.32%
501-Police and Fire 2,860,557 3,199,100 801,232 25.05%
510-Library 207,266 202,564 197,045 97.28%
511-Recreation 762,225 797,111 164,645 20.66%
550-Street Lights 50,000 73,500 14,640 19.92%
551-Storm Water 240,700 385,700 5,790 1.50%
552-Public Works - Parks 580,700 584,000 110,494 18.92% 556-Public Works - Landscape 187,300 187,950 35,309 18.79% 558-Public Works - General 895,996 846,009 277,668 32.82% 565-Planning (Comm Dev) 776,599 876,415 115,244 13.15%
Transfer to CIP Fund 92 1,005,000 6,568,446 865,131 13.17% Total All Departments 10,117,712 16,512,341 3,449,660 20.89% Table 4: General Fund Expenditures by Department
The Non-Departmental budgetary unit includes one-time annual payments during the First Quarter.

Those annual payments include: Property and liability insurance, Worker’s Compensation Insurance, CalPERS Unfunded Accrued Liability (UAL), support for community organizations and support for the Buellton Senior Center. Other significant expenditures in Non-Departmental include monthly payment for contract services with the Buellton Visitors Bureau. The Non-Departmental budgetary unit is expected to be within budget at year-end.

The City of Buellton contracts with the City of Goleta for library services. The annual cost of providing library services is paid as a lump-sum in July causing the Library Department to nearly meet its budget at the end of the First Quarter. The Library Department is expected to remain within budget at the end of the fiscal year. The overage in Public Works- General is due to the replacement of the roof at 202 Dairyland Road. The cost of the replacement will require a budget amendment.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 8 Major Expenditure Variances
Table 5 and Figure 1 show General Fund operating costs and minor capital expenditures summarized by type. With 25 percent of the fiscal year completed, two of the budget categories by type exceeds budget projections.

Expenditures By Type Original Budget Current Budget YTD Actual % of Total
Expenditures % Expended
Staffing 2,493,157 2,610,006 593,134 17.2% 22.73%
Contract Services 4,673,563 5,051,723 1,275,670 37.0% 25.25% Telecomm and Utilities 364,929 415,207 139,417 4.0% 33.58% Supplies and Materials 28,771 31,525 9,271 0.3% 29.41%
Repair and Maintenance 348,485 347,485 121,427 3.5% 34.94% Transfer to Other Funds 1,035,535 6,596,912 865,131 25.1% 13.11% Other Operating Costs 1,114,976 1,382,787 432,370 12.5% 31.27% Minor Capital 58,296 76,696 13,240 0.4% 17.26%
Total by Type 10,117,712 16,512,341 3,449,660 100.0% 20.89% Table 5: Expenditure Categories
Figure 1
The top three spending categories are: Contract Services, Staffing, and Transfer to Other Funds. Contract Services include services for Police, Fire Department, Legal Services, Engineering, Landscaping Services, Visitor’s Bureau and other services. Contract Services accounts for 37.0 percent of General Fund expenditures. Staffing includes salary and benefits and accounts for 17.2 percent of General Fund expenditures. The Transfers to Other Funds category represents 25.1 percent of expenditures. In this category, expenditures for capital projects are recorded. The City has expended 13.27 percent of the total General Fund capital improvement projects budget.

The overage in the Telecomm and Utilities type category is primarily attributable to the annual software costs, which are typically paid out during the early months of the fiscal year. This has resulted in higherStaffing, 17.2% Contract Services,

37.0%
Telecomm and
Utilities, 4.0%
Supplies and
Materials, 0.3%
Repair and
Maintenance, 3.5%
Transfer to Other
Funds, 25.1%
Other Operating
Costs, 12.5%
Minor Capital, 0.4%
Expeditures By Type

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 9 than-usual expenses at this point in the year. However, these costs should even out by the end of the fiscal year as they represent one-time or scheduled payments that won't recur throughout the remaining months.

For example, out of the total computer maintenance and software expenses incurred through September 2024, which amount to $42,636.84, a significant portion of $20,111.23 is attributed to the Buellton Engage website, the ERP system, and Capital Budgeting and forecasting software. These payments, while impacting the budget in the short term, are planned for in the annual budgeting process and should align with expected financial forecasts as the year progresses. Consequently, the overall budget should normalize as the remaining months will reflect lower software-related costs.

The overage in the Supplies and Materials category is primarily due to a few key expenditures that occurred earlier in the fiscal year. Specifically, the agency spent $1,945 on litter pickup bags and also restocked essential office supplies, including $1,230 on envelopes and City letterheads. These purchases, while contributing to the current overage, are necessary one-time or infrequent expenses that typically occur at the beginning of the year. As these costs were anticipated and budgeted for, we expect this overage to even out as the fiscal year progresses, with fewer material purchases required in the coming months. By the end of the fiscal year, the overall expenses in this category should align with budgeted projections.

General Fund Trend
Figure 2 illustrates the Quarterly General Fund Revenue versus Expenditure Trend. As illustrated in the figure, revenue cash flows tend to lag a couple of quarters and usually exceed expenditures by the end of the fiscal year. Over the last few years, both revenue and expenditures have been increasing at a consistent pace.

Figure 2
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
FY 20-21 Q1FY 20-21 Q2FY 20-21 Q3FY 20-21 Q4FY 21-22 Q1FY 21-22 Q2FY 21-22 Q3FY 21-22 Q4FY 22-23 Q1FY 22-23 Q2FY 22-23 Q3FY 22-23 Q4FY 23-24 Q1FY 23-24 Q2FY 23-24 Q3FY 23-24 Q4FY 24-25 Q1 Quarterly Revenue vs. Expenditures
Revenue Expenditures

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 10

ENTERPRISE FUNDS
The Enterprise Fund Balance and Statement of Net Position for the First Quarter of Fiscal Year 2024-25 are shown below.

Fund Balance Summary
Enterprise Fund Balance Wastewater
Wastewater
Capital Water Water Capital
Beginning Fund Balance $ 2,851,801 $ 404,126 $ 9,771,956 $ 228,295 Operating Revenue & Transfers 335,438 94,717 800,157 68,355 Operating Expenses & Transfers (321,994) (5,499) (648,963) (42,301) Profit(Loss) $ 13,445 $ 89,218 $ 151,194 $ 26,054
Ending Fund Balance $ 2,865,246 $ 493,344 $ 9,923,150 $ 254,349 Table 6 Note: Operating expenses exclude depreciation and include transfers for CIPs.

Table 6 illustrates the ending Fund Balance of each Enterprise Fund. The change in Fund Balance is attributed to the excess or deficit of revenue over expenses. Table 7 is the Statement of Net Position, illustrating total assets minus total liabilities for the period.

Statement of Net Position Wastewater
Wastewater
Capital
Wastewater
Funds Total Water Water Capital Water Funds Total
ASSETS
Current assets:

Cash and Investments 3,277,526 (1,970,293) 1,307,233 7,792,268 (2,683,371) 5,108,897 Receivables 162,761 - 162,761 260,504 - 260,504
Inventory - - - 133,377 - 133,377
Prepaid Items - - - 628,640 - 628,640
Total current assets 3,440,287 (1,970,293) 1,469,994 8,814,789 (2,683,371) 6,131,418 Capital assets (net of
accumulated depreciation) 1,152,611 2,463,638 3,616,248 3,594,755 2,937,721 6,532,475 Other assets 383,228 - 383,228 382,349 - 382,349
- -
Total Assets: $ 4,976,126 $ 493,344 $ 5,469,470 $ 12,791,892 $ 254,349 $ 13,046,242 -

LIABILITIES
Current Liabilities 82,482 - 82,482 121,434 - 121,434
Noncurrent Liabilities 2,013,294 - 2,013,294 2,743,483 - 2,743,483 Other Liabilities 15,104 - 15,104 3,825 3,825 - -
Total Liabilities: $ 2,110,880 $ - $ 2,110,880 $ 2,868,742 $ - $ 2,868,742 - -
NET POSITION (Assets - Liabilities) $ 2,865,246 493,344$ $ 3,358,590 $ 9,923,150 $ 254,349 $ 10,177,500 Net Position Breakdown
Net Investment in Capital Assets 1,152,611 493,344 1,645,955 3,594,755 254,349 3,849,104 Unrestricted 1,712,635 1,712,635 - 6,328,395 6,328,395 - Total Net Position $ 2,865,246 $ 493,344 $ 3,358,590 $ 9,923,150 $ 254,349 $ 10,177,500 Table 7

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 11 Wastewater and Wastewater Capital Funds
Wastewater and
Wastewater Capital Funds Wastewater
Wastewater
Capital Wastewater Total
Operating Revenues
Charge for Services 331,624 - 331,624
Interest Income 3,814 - 3,814
Connection Fees - 94,717 94,717
Other Revenues - - -
Total Operating Revenue 335,438 94,717 430,155
Operating Expenses
Employee Services 131,308 - 131,308
Operating & Maintenance 180,754 - 180,754
Depreciation* 71,525 3,750 75,275
Minor Capital 3,333 - 3,333
Total Operating Expenses 386,919 3,750 387,336
Operating Profit(Loss) (51,480) 90,967 39,487
Transfers In (Out)
Transfers from Reserves - - -
Transfers In - CIP - - -
Transfers Out - CIP** (6,600) (5,499) (12,099)
Total Revenue 335,438 94,717 430,155
Total Expenditures 393,519 9,249 402,768
Net Profit (Loss) (58,080) 85,468 27,388
*Depreciation is estimated.
** For information purposes only, capitalized at the end of the fiscal year.

Table 8
Revenue and Expenses
Table 8 summarizes Revenue and Expenditures for the Wastewater and Wastewater Capital Funds. On the Financial Statements, both funds are combined as one fund. The Wastewater Capital Fund is structured to record capital contributions and is used to record capital improvements that enhance capacity. The change in Fund Balance is due to planned operating and CIP expenditures exceeding estimated revenue from charges for wastewater service and connection fee revenue and offset by any existing Fund Balance. The Wastewater Funds ended the First Quarter with approximately $1.30 Million in cash combined (Table 7) and combined Fund Balance of approximately $3.36 Million.

Table 9 illustrates the Wastewater Fund budget to actuals. Wastewater Fund operating expenditures have exceeded operating revenues by $51,480 at the end of the First Quarter (excludes Capital Improvement expenses). In accordance with Generally Accepted Accounting Principles (GAAP), capital expenditures are not recorded as expenditures; rather, depreciation expense is recorded over each asset’s useful life. The amount spent on capital projects are capitalized and shown on the Balance Sheet at the end of the fiscal year.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 12 At 25 percent of the fiscal year, Charges for Services slightly exceeded budget projections at 27.35 percent. Interest revenue is currently under budget projections at 12.71 percent for the First Quarter of the fiscal year. This is primarily because the interest from the Local Agency Investment Fund (LAIF) through September 30, 2024, has not yet posted. Once the LAIF interest is recorded, we expect the interest revenue to align more closely with the budget projections. Overall total Wastewater operating revenues are at 26.99 percent of budget projections.

Wastewater operating expenditures are at 20.16 percent of the budget. Overall, Water Fund expense categories were within budget. The Wastewater Fund utilizes reserves to fund Capital Improvement projects (CIPs). The budgeted transfer out for CIPs for FY 2024-25 is $565,000. Table 10 illustrates the Wastewater Capital budget to actuals. The transfers out for CIP are displayed for informational purposes to illustrate cash flows, and will capitalized at the end of the fiscal year.

Wastewater Fund 005 Original
Budget
Current
Budget YTD Actuals Percent of Budget
Operating Revenues
Charge for Services 1,212,650 1,212,650 331,624 27.35%
Interest Income 25,000 30,000 3,814 12.71%
Other Revenues - - - 0.00%
Total Operating Revenue 1,237,650 1,242,650 335,438 26.99% Operating Expenses
Employee Services 561,193 574,772 131,308 22.85%
Operating & Maintenance 895,024 923,008 180,754 19.58%
Depreciation* 286,100 286,100 71,525 25.00%
Minor Capital 78,000 135,000 3,333 2.47%
Total Operating Expenses 1,820,317 1,918,880 386,919 20.16% Operating Profit(Loss) (582,667) (676,230) (51,480)
Transfers In (Out)
Transfers In- Reserves for
Operating - - 0 #DIV/0!
Transfers In - Reserves
for CIP 1,147,667 1,241,230 0 0.00%
Transfers Out - CIP** (565,000) (565,000) (6,600) 1.17% Total Revenue 2,385,317 2,483,880 335,438 13.50%
Total Expenditures (2,385,317) (2,483,880) (393,519) 15.84% Net Profit (Loss) - - (58,080)
*Depreciation is estimated. Capital Expenditures are capitalized at the end of the fiscal year. ** For information purposes only, capitalized at the end of the fiscal year.

Table 9
Wastewater Capital 006 Original Budget Current Budget YTD Actuals Percent Revenues
Connection Fees - - 94,717 0.00%
Interest Income - - - 0.00%
Transfers from Reserves - - - 0.00%
Transfer In from other Funds 315,000 315,000 - 0.00%
Total Revenue 315,000 315,000 94,717 30.07%
Expenses
Depreciation 15,000 15,000 - 0.00%
Transfer to CIP Projects 300,000 300,000 1.83% 5,499
Total Expenses 315,000 315,000 1.75% 5,499
Table 10

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 13 Water and Water Capital Funds
Water and Water Capital
Funds Water
Water
Capital Water Total
Operating Revenues
Charge for Services 785,388 - 785,388
Interest Income 14,749 - 14,749
Connection Fees - 68,355 -
Other Revenues 20
Total Operating Revenue 800,157 68,355 868,512
Operating Expenses
Employee Services 90,846 - 90,846
Operating & Maintenance 460,618 -
Depreciation* 50,000 18,750 68,750
Minor Capital 3,333 - 3,333
Total Operating Expenses 604,797 18,750 159,596
Operating Profit(Loss) 195,360 49,605 244,965
Transfers In (Out)
Transfers from Reserves - - -
Transfers In - CIP - - -
Transfers Out - CIP** (94,166) (42,301) (136,467)
Total Revenue 800,157 68,355 868,512
Total Expenditures 698,963 61,051 296,063
Net Profit (Loss) 101,194 108,498 7,304
*Depreciation is estiated. Capital Expenditures recorded here and depreciated annually. ** For information purposes only, capitalized at the end of the fiscal year.

Table 11
Revenue and Expenses
Table 11 summarizes Revenue and Expenditures for the Water and Water Capital Funds. On the Financial Statements, both funds are combined as one fund. The Water Capital Fund is structured to record capital contributions and is used to record capital improvements that enhance capacity. The change in Fund Balance is due to planned operating and CIP expenditures exceeding estimated revenue from charges for Water service and connection fee revenue and offset by any existing Fund Balance. The Water Funds ended the First Quarter with approximately $5.11 Million in cash combined (Table 7) and combined Fund Balance of approximately $10.18 Million.

Table 12 illustrates the Water Fund budget to actuals. Water Fund operating revenues have exceeded operating expenditures by $195,360 at the end of the First Quarter (excludes Capital Improvement expenses). In accordance with Generally Accepted Accounting Principles (GAAP), capital expenditures are not recorded as expenditures; rather, depreciation expense is recorded over each asset’s useful life.

The amount spent on capital projects are capitalized and shown on the Balance Sheet at the end of the fiscal year.

Quarterly Financial Report – FY 2024-25 First Quarter
Unaudited Financial Data First Quarter Ending September 30, 2024 14 At 25 percent of the fiscal year, Charges for Services exceed budget projections at 32.10 percent. .

Interest revenue is currently under budget projections at 11.80 percent for the First Quarter of the fiscal year. This is primarily because the interest from LAIF through September 30, 2024, has not yet posted.

Once the LAIF interest is recorded, we expect the interest revenue to align more closely with the budget projections. Overall, Water operating revenue is at 31.11 percent of budget projections.

Water operating expenditures are at 23.41 percent of the budget. Overall, Water Fund expense categories were within budget. The Water Fund utilizes reserves to fund Capital Improvement projects (CIPs). The budgeted transfer out for CIPs for FY 2024-25 is $674,123. Table 13 illustrates the Water Capital budget to actuals. The transfers out for CIP are displayed for informational purposes to illustrate cash flows, and have been capitalized.

Water Fund 020 Original
Budget
Current
Budget YTD Actuals Percent of Budget
Operating Revenues
Charge for Services 2,446,670 2,446,670 785,388 32.10%
Interest Income 51,000 125,000 14,749 11.80%
Other Revenues - - 20 0.00%
Total Operating Revenue 2,497,670 2,571,670 800,157 31.11% Operating Expenses
Employee Services 381,012 480,473 90,846 18.91%
Operating & Maintenance 1,771,471 1,830,494 460,618 25.16% Depreciation* 200,000 200,000 50,000 25.00%
Minor Capital 18,000 73,000 3,333 4.57%
Total Operating Expenses 2,370,483 2,583,967 604,797 23.41% Operating Profit(Loss) 127,187 (12,297) 195,360
Transfers In (Out)
Transfers In- Reserves for
Operating - - 0 0%
Transfers In - for CIP 207,813 686,420 - 0%
Transfers Out - CIP** (335,000) (674,123) (94,166) 14%
Total Revenue 2,705,483 3,258,090 800,157 25%
Total Expenditures (2,705,483) (3,258,090) (698,963) 21% Net Profit (Loss) - - 101,194
*Depreciation is estimated. Capital Expenditures recorded here and depreciated annually. ** For information purposes only, capitalized at the end of the fiscal year.

Table 12
Water Capital 021 Original Budget Current Budget YTD Actuals Percent Revenues
Connection Fees - - 68,355 0%
Interest Income - - - 0%
Transfers from Reserves - - - 0%
Transfer In from Fund 020 285,000 425,000 - 0%
Total Revenue 285,000 425,000 68,355 16%
Expenses
Depreciation 35,000 75,000 - 0%
Transfer to CIP Projects 250,000 350,000 42,301 12%
Total Expenses 285,000 425,000 42,301 10%
Table 13

Percent
Used
-746,607.87 51.00%
-5,703,315.23 1317.00%
-977,759.12 62.00%
-537,901.00 220.00%
-462,655.85 2278.00%
-356,181.16 4729.00%
-8,784,420.23 13.26%
40,000.00 0.00%
40,000.00 0.00%
-30,000.00 0.00%
425,000.00 0.00%
395,000.00 7.06%
75,000.00 0.00%
75,000.00 0.00%
700,000.00 0.00%
850,000.00 0.00%
40,000.00 0.00%
40,000.00 0.00%
80,000.00 0.00%
80,000.00 0.00%
69,477.50 7.36%
100,000.00 0.00%
1,200,000.00 0.00%
1,369,477.50 0.40%

092-220-74100 Construction/Improvements 0.00 1,200,000.00 0.00 Department: 220 - Willemsen Parking Lot Total: 0.00 1,375,000.00 5,522.50 Department: 220 - Willemsen Parking Lot
092-220-70005 Design and Permitting 0.00 75,000.00 5,522.50 092-220-71500 Project Management and Inspection 0.00 100,000.00 0.00 Department: 217 - River View Park Basketball Court Resurfacing 092-217-74100 Construction and Improvement 0.00 80,000.00 0.00 Department: 217 - River View Park Basketball Court Resurfacing Total: 0.00 80,000.00 0.00 Department: 214 - City Hall Generator/Electrical Replacement 092-214-74100 Construction and Improvement 0.00 40,000.00 0.00 Department: 214 - City Hall Generator/Electrical Replacement Total: 0.00 40,000.00 0.00 092-212-74100 Construction/Improvement 700,000.00 700,000.00 0.00 Department: 212 - The Avenue Median 3 Improvement Total: 850,000.00 850,000.00 0.00 Department: 212 - The Avenue Median 3 Improvement
092-212-70005 Design/Permitting 75,000.00 75,000.00 0.00 092-212-71500 Project Management/Inspection 75,000.00 75,000.00 0.00 092-207-70005 Design/Permitting 75,000.00 425,000.00 0.00 Department: 207 - Santa Ynez River Trail Total: 75,000.00 425,000.00 30,000.00 Department: 102 - Storm Drain Outfall Repairs and Re-Establishment Total: 40,000.00 40,000.00 0.00 Department: 207 - Santa Ynez River Trail
092-207-70000 Conceptual Plan and Feasibility 0.00 0.00 30,000.00 Revenue Total: 2,315,000.00 10,127,580.00 1,343,159.77
Expense
Department: 102 - Storm Drain Outfall Repairs and Re-Establishment 092-102-71500 Project Management/Inspection 40,000.00 40,000.00 0.00 092-49732 Transfer from Water Fund 300,000.00 599,123.00 136,467.15 092-49734 Transfer from ARPA Fund 0.00 675,743.00 319,561.84 092-49728 Transfer from Measure A 360,000.00 983,852.00 6,092.88 092-49729 Transfer from Sewer Fund 550,000.00 550,000.00 12,099.00 Fund: 092 - Capital Improvement Proj Fund
Revenue
092-49726 Transfer from Gas Tax Fund 100,000.00 750,416.00 3,808.13 092-49727 Transfer from General Fund 1,005,000.00 6,568,446.00 865,130.77 Capital Improvement Budget Quarterly Report
City of Buellton, CA Account Summary
For Fiscal: 2024-2025 Period Ending: 09/30/2024
Variance
Favorable
(Unfavorable)
Original
Total Budget
Current
Total Budget
Fiscal
Activity
Status: On-going.

Status: Contract executed with State.

Status: Planning intern working on concepts.

Status: Pursuing Grant funding with CalOES.

Status: Not started.

Status: Plans and Specs finalized for bidding. Council approved plans and specs on 9/12/24.

Percent
Used
35,741.00 3.66%
70,222.00 6.37%
1,171,581.97 41.05%
1,277,544.97 39.15%

0.00 0.00%

0.00 0.00%

0.00 0.00%
299,212.25 1.98%
195,000.00 0.00%
1,078,038.00 0.00%
1,572,250.25 0.38%
50,000.00 0.00%
50,000.00 0.00%
39,752.00 0.00%
100,000.00 0.00%
75,000.00 0.00%
200,000.00 0.00%
414,752.00 0.00%
68,657.50 14.18%
80,000.00 0.00%
640,000.00 0.00%
788,657.50 1.42%
Department: 223 - SYVCO CDBG
092-223-71500 Project Management and Inspection 0.00 0.00 0.00 092-223-74100 Construction/Improvements 0.00 0.00 0.00
Department: 223- SYVCO CDBG Total: 0.00 0.00 0.00
Variance
Favorable
(Unfavorable)
Original
Total Budget
Current
Total Budget
Fiscal
Activity
Department: 322 - Road Maintenance (2023-24) Total: 0.00 800,000.00 11,342.50 092-322-71500 Project Management & Inspection (2023/24) 0.00 80,000.00 0.00 092-322-74100 Construction and Improvement (2023/24) 0.00 640,000.00 0.00 Department: 309 - West Highway 246 Safety Improvements Total: 0.00 414,752.00 0.00 Department: 322 - Road Maintenance (2023-24)
092-322-70005 Design and Permitting (2023/24) 0.00 80,000.00 11,342.50

092-309-71500 Project Management and Inspection 0.00 75,000.00 0.00 092-309-74100 Construction and Improvements 0.00 200,000.00 0.00 Budget Report For Fiscal: 2024-2025 Period Ending: 09/30/2024 Department: 309 - West Highway 246 Safety Improvements
092-309-70000 Conceptual Plan and Feasibility 0.00 39,752.00 0.00 092-309-70005 Design and Permitting 0.00 100,000.00 0.00 Department: 308 - No. Ave of the Flags Park and Ride
092-308-70005 Design and Permitting 0.00 50,000.00 0.00 Department: 308 - No. Ave of the Flags Park and Ride Total: 0.00 50,000.00 0.00 092-307-74100 Construction and Improvements 0.00 1,078,038.00 0.00 Department: 307 - McMurray Road Widening/TS (13/14) Total: 0.00 1,578,294.00 6,043.75 Department: 307 - McMurray Road Widening/TS (13/14)
092-307-71200 Right of Way Acquistion 0.00 305,256.00 6,043.75 092-307-71500 Project Management and Inspections 0.00 195,000.00 0.00 092-221-74100 Construction/Improvements 0.00 1,987,568.00 815,986.03 Department: 221 - Willemsen House Renovation Total: 0.00 2,099,668.00 822,123.03 Department: 221 - Willemsen House Renovation
092-221-70005 Design and Permitting 0.00 37,100.00 1,359.00 092-221-71500 Project Management and Inspections 0.00 75,000.00 4,778.00 Status: Construction in progress.

Status: Construction in progress.

Status: Procurement proceeding, but construction activities has not started due to need for new TCE.

Status: Not started.

Status: In conceptual plan/feasibility with consultant.

Status: In design.

Percent
Used
75,000.00 0.00%
75,000.00 0.00%
350,000.00 0.00%
500,000.00 0.00%
50,000.00 0.00%
50,000.00 0.00%
107,699.00 28.20%
107,699.00 28.20%
100,000.00 0.00%
100,000.00 0.00%
50,000.00 0.00%
50,000.00 0.00%
100,000.00 0.00%
100,000.00 0.00%
82,241.30 6.94%
378,896.71 51.82%
461,138.01 47.29%

092-613-74100 Construction/Improvements 0.00 786,493.00 407,596.29 Department: 613 - Res No2 Reroof Total: 0.00 874,866.00 413,727.99 Department: 610 - Water Distribution System Improvements Total: 100,000.00 100,000.00 0.00 Department: 613 - Res No2 Reroof
092-613-71500 Project Management and Inspections 0.00 88,373.00 6,131.70 Department: 609 - Supplemental Well/WTP Feasibility Total: 50,000.00 50,000.00 0.00 Department: 610 - Water Distribution System Improvements 092-610-74100 Construction and Improvements 100,000.00 100,000.00 0.00 Department: 605 - WTP Backwash Reclamation Improvement Project Total: 0.00 100,000.00 0.00 Department: 609 - Supplemental Well/WTP Feasibility
092-609-70000 Conceptual Plan and Feasibility 50,000.00 50,000.00 0.00 Department: 603 - WTP Facilities Improvement (13/14) Total: 150,000.00 150,000.00 42,301.00 Department: 605 - WTP Backwash Reclamation Improvement Project 092-605-74100 Construction and Improvements 0.00 100,000.00 0.00 Department: 401 - River View Park Misc. Improvements Total: 0.00 50,000.00 0.00 Department: 603 - WTP Facilities Improvement (13/14)
092-603-74100 Construction and Improvements 150,000.00 150,000.00 42,301.00 Department: 323 - Road Maintenance (2024-25) Total: 500,000.00 500,000.00 0.00 Department: 401 - River View Park Misc. Improvements
092-401-74100 Construction and Improvements 0.00 50,000.00 0.00 092-323-71500 Project Management and Inspection (2024/25) 75,000.00 75,000.00 0.00 092-323-74100 Construction and Improvements (2024/25) 350,000.00 350,000.00 0.00 Department: 323 - Road Maintenance (2024-25)
092-323-70005 Design and Permitting (2024/25) 75,000.00 75,000.00 0.00 Budget Report For Fiscal: 2024-2025 Period Ending: 09/30/2024 Variance
Favorable
(Unfavorable)
Original
Total Budget
Current
Total Budget
Fiscal
Activity
Status: Not started.

Status: On-going.

Status: On-going.

Status: On-going.

Status: On-going.

Status: Project completed. NOC to Council on 10/10/24.

Status: Not started.

Percent
Used
50,000.00 0.00%
193,400.00 3.30%
243,400.00 2.64%
294,501.00 1.83%
294,501.00 1.83%
8,784,420.23 13.26%

0.00 0.00%
FY 24/25 YTD FY 24/25 YTD 9/30/2024
Expenditures CIP Funding
Est. Ending Fund
Balance
$ 2,584,529.33 $ 865,130.77 $ 13,390,751.65
315,393.63 $ 6,600.00 $ 2,865,245.72
- 5,499.00 $ 493,344.38
554,796.53 94,166.15 $ 9,923,150.06
- 42,301.00 $ 254,349.46
11,060.83 3,808.13 $ 780,204.73
- 6,092.88 $ 836,069.45
- 319,561.84 $ 34,318.46
Totals: $ 3,465,780.32 $ 1,343,159.77 $ 28,577,433.91
Fund Balance Analysis - Capital Improvement Project Funding Sources FY 2024-25

$ 3,152,998.50
6/30/2024
$ 15,398,522.95
$ 2,851,801.14
$ 404,126.38
$ 9,771,955.84
$ 228,295.46
$ 738,859.92
$ 806,358.38
$ 33,455.43
$ 30,233,375.50
Est. Beginning
Fund Balance
Fund
001 - General Fund
005 - Wastewater
006 - Wastewater Capital
020 - Water
021 - Water Capital
025 - Gas Tax
FY 24/25 YTD
Revenue
$ 1,441,888.80
$ 335,438.21
$ 94,717.00
$ 800,156.90
$ 68,355.00
$ 56,213.77
$ 35,803.95
$ 320,424.87
031- Measure A
032- ARPA
Budget Report For Fiscal: 2024-2025 Period Ending: 09/30/2024 Variance
Favorable
(Unfavorable)
Original
Total Budget
Current
Total Budget
Fiscal
Activity
Department: 706 - WWTP Facilities Improvement Total: 300,000.00 300,000.00 5,499.00 Expense Total: 2,315,000.00 10,127,580.00 1,343,159.77
Fund: 092 - Capital Improvement Proj Fund Surplus (Deficit): 0.00 0.00 0.00 Department: 704 - Sewer Line Replacement Total: 250,000.00 250,000.00 6,600.00 Department: 706 - WWTP Facilities Improvement
092-706-74100 Construction and Improvements 300,000.00 300,000.00 5,499.00 Department: 704 - Sewer Line Replacement
092-704-71500 Project Management and Inspections 50,000.00 50,000.00 0.00 092-704-74100 Construction and Improvements 200,000.00 200,000.00 6,600.00 Status: On-going.

Status: On-going.

CITY OF BUELLTON
City Council Agenda Staff Report

City Manager Review: SW
Council Agenda Item No.: 4

To: The Honorable Mayor and City Council

From: Shannel Zamora, Finance Director

Meeting Date: October 24, 2024

Subject: Monthly Treasurer’s Report – September 30, 2024 ______________________________________________________________________________

BACKGROUND

California Government Code Section 53646(b)(3) provides mandatory investment reporting requirements for California public agencies. The attached Treasurer’s Report complies with the State’s reporting requirement.

On June 13, 2024, Council adopted the current Investment Policy per Resolution 24-18 which states the City Finance Director, as the investment officer, must submit monthly reports to City Council to demonstrate that sufficient cash flow liquidity is available to meet the succeeding month’s estimated expenditures.

This Treasurer’s Report is for September 30, 2024. Treasurer’s Reports are presented on a monthly basis.

FISCAL IMPACT

There is no fiscal impact; this report is intended to show the City Council the financial performance of the City’s investment portfolio of idle funds.

RECOMMENDATION
That the City Council receives and files the Treasurer’s Report for the month ending September 30, 2024.

ATTACHMENTS
Attachment 1 – Monthly Treasurer’s Report – September 30, 2024

[Type text]
A
City of Buellton
Monthly Treasurer’s Report
For the month ending in September 30, 2024
October 24, 2024
This report presents the City’s cash activity and investment portfolio as of September 30, 2024. The report includes:
1) Cash and investments at September 30, 2024 compared to the prior month;

2) A reconciliation of cash and investments to City ledger balances; 3) All investments managed by the City on its own behalf; 4) Beginning of year fund balance, revenues, expenditures and ending fund balance for each fund at September 30, 2024
The following schedule is a summary of the City’s cash and investments based on recorded value as of September 30, 2024 compared with the prior month.

August 31, 2024 September 30, 2024 $ Change
Cash - Pooled $ 5,309,898.96 $ 4,740,509.85 $ (569,389.11) Investments held by the City 17,819,590.01 17,863,620.04 $ 44,030.03 TOTAL CASH AND INVESTMENTS $ 23,129,488.97 $ 22,604,129.89 $ (525,359.08) Summary of activity for the Month and Future Liquidity: The majority of the difference in the recorded value for cash and investments held by the City from last month is mainly due to the costs associated with the Willemsen House renovation, and August 2024 and September 2024 sheriff services offset with revenue from August 2024 transient occupancy tax (TOT) and July 2024 sales tax.

The value of investments also changed due to interest earnings on money market fund and Certificate of Deposits (CDs). The portfolio is sufficiently liquid to meet expected expenditures for the coming six months.

City of Buellton

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The following schedule is a reconciliation of Cash and Investments to City ledger:
13,565,405.02
3,279,319.79
(1,970,293.18)
7,798,924.06
(2,683,371.14)
11,649.11
43,480.47
767,317.02
436,003.31
33,048.03
803,597.80
(17,455.69)
506,505.29
-
-
30,000.00
-
22,604,129.89
4,728,229.50
5,587,736.09
12,280.35
3,020,355.64
9,255,528.31
22,604,129.89
999-21000 Wages Payable - -
22,604,129.89
22,604,129.89
22,604,129.89
Per Statements: 9/30/2024
Mechanics General Checking 5,179,970.87
Mechanics Money Market 5,587,736.09
Mechanics FSA 12,280.35
Local Agengcy Investment Fund (LAIF) 9,255,528.31
Multi-Bank Securities Bank 3,020,355.64
Total Cash Per Statement: 23,055,871.26
Claim on Cash vs Total (451,741.37)
Outstanding Items: (451,741.37)
Difference: (0.00)
Bank Reconciliation - September 2024
City of Buellton, CA
For the Period Ending 9/30/2024
9/1/2024

BALANCE

CURRENT

ACTIVITY
9/30/2024
BALANCE ACCOUNT # ACCOUNT NAME
006-10000 Claim on Pooled Cash (1,970,293.18) -
020-10000 Claim On Pooled Cash 7,622,115.38 176,808.68

CLAIM ON CASH
001-10000 Claim On Pooled Cash 13,703,366.05 (137,961.03) 005-10000 Claim On Pooled Cash 3,255,912.82 23,406.97
024-10000 Claim On Pooled Cash 43,437.82 42.65
025-10000 Claim On Pooled Cash 747,916.82 19,400.20
021-10000 Claim on Pooled Cash (2,683,371.14) -
023-10000 Claim On Pooled Cash 11,637.68 11.43
031-10000 Claim On Pooled Cash 759,928.39 43,669.41
032-10001 Claim On Pooled Cash (17,604.59) 148.90
027-10000 Claim On Pooled Cash 436,332.01 (328.70)
029-10000 Claim On Pooled Cash 9,029.81 24,018.22
091-10000 Claim On Pooled Cash - -
092-10000 Claim On Pooled Cash 691,230.63 (661,230.63)
075-10000 Claim On Pooled Cash 519,850.47 (13,345.18)
090-10000 Claim On Pooled Cash - -
TOTAL CLAIM ON CASH 23,129,488.97 (525,359.08)

CASH IN BANK
Cash in Bank
999-10001 Pooled Cash - General Checking 5,298,652.72 (570,423.22) 999-10004 Pooled Cash - Brokerage 2,998,541.95 21,813.69 999-10005 Pooled Cash - LAIF 9,255,528.31 -
999-10002 Pooled Cash - Money Market 5,565,519.75 22,216.34 999-10003 Pooled Cash - FSA 11,246.24 1,034.11

DUE TO OTHER FUNDS
999-27000 Due To Other Funds 23,129,488.97 (525,359.08) TOTAL DUE TO OTHER FUNDS 23,129,488.97 (525,359.08)
TOTAL: Cash in Bank 23,129,488.97 (525,359.08)
-
TOTAL: Cash in Bank 23,129,488.97 (525,359.08)

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City of Buellton
Investment Summary
September 30, 2024
Currently, short-term excess cash is primarily invested in the Local Agency Investment Fund (LAIF) administered by the State Treasurer. This is a high quality investment available in terms of safety, liquidity, and yield. Due to fluctuations in the marketplace, the City may have some investments with a current market value that is greater or less than the recorded value. This difference has no effect on investment yield as the City intends to hold the securities to maturity. However, generally accepted accounting principles require that market gains and losses be reported as interest earnings or losses at year-end.

Percent of
Portfolio Yield
Maturity
Term
(months) Maturity Date Par Value Market Value
Local Agency Investment Fund - LAIF 52.99% 4.55% n/a n/a $ 9,255,528.31 $ 9,255,528.31 Morgan Stanley Bank 0.57% 1.90% 60 1/23/2025 100,000.00 99,109.00 Security Identifier: 61760A6K0
State Bk India 1.15% 1.60% 60 4/29/2025 200,000.00 196,794.00 Security Identifier: 856285TF8
Sallie Mae Bank 0.69% 0.80% 60 7/1/2025 120,000.00 116,941.20 Security Identifier: 7954506Q3
Spokane Teachers Credit Union 1.03% 0.80% 60 4/15/2027 180,000.00 184,136.40 Security Identifier: 849061AG1
Third Fed Savings 1.40% 3.50% 60 6/28/2027 245,000.00 243,017.95 Security Identifier: 88413QDL9
Morgan Stanley Bank 0.60% 3.75% 60 6/28/2027 104,000.00 103,828.40 Security Identifier: 61773TFC2
Capital One Bank 1.40% 3.75% 60 9/30/2027 244,000.00 247,428.20 Security Identifier: 14042RURO
Hickam Federal Credit Union 0.57% 3.75% 48 1/31/2028 100,000.00 101,526.00 Security Identifier: 42869GAB2
Global Federal Credit Union 1.43% 4.60% 60 4/17/2028 249,000.00 256,776.27 Security Identifier: 37892MAC8
Optum Bk Draper Utah CTF Dep 0.92% 4.45% 60 12/22/2028 160,000.00 165,396.80 Security Identifier: 68405VBV0
First Foundation Bank 0.92% 4.60% 60 5/10/2029 160,000.00 104,114.00 Security Identifier: 68405VBV0
Leaders Credit Union 0.57% 4.00% 60 8/30/2029 100,000.00 101,619.00 Security Identifier: 52171MAN5
United States Treasury Bill 6.01% 5.11% 6 12/5/2024 1,049,000.00 1,065,225.42 Security Identifier: 912797LF2
Multi-Securities Bank - Cash in Holding 34,443.00
Money Market (Held with Mechanics Bank) 29.77% 4.80% n/a 5,200,000.00 5,587,736.09 Total City Investments 100.00% $ 17,466,528.31 $ 17,863,620.04 Average Yield:3.46% Average Maturity (months): 54.92
Certificates of Deposits (Held with Multi-Securities Bank) U.S. Treasury Securities (Held with Multi-Securities Bank)

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The following is a fund balance schedule showing beginning fund balance at July 1, 2024 plus revenues minus expenditures for the period, resulting in ending fund balance at September 30, 2024. Fund balance includes total assets and liabilities of the City.

As required by Government Code Section 53646 (b) (3), the chief financial officer for the City declares that there is sufficient funds to meet all obligations for the next six months.

Shannel Zamora
Shannel Zamora
Finance Director
Total Expenses September 30,
2024 Balance
1,441,888.80 3,449,660.10 13,390,751.65
335,438.21 321,993.63 2,865,245.72
006 - Wastewater Capital 94,717.00 5,499.00 493,344.38
020 - Water Fund 800,156.90 648,962.68 9,923,150.06
021 - Water Capital 68,355.00 42,301.00 254,349.46
115.61 - 503,124.08
5,443.43 - 43,427.60
56,213.77 14,868.96 780,204.73
027 - Local Transportation Fund 2,572.05 4,999.98 435,493.06 029 - Transportation Planning 48.23 423.33 (102,771.85) 031 - Measure A 35,803.95 6,092.88 836,069.45
032 - American Relief Act Fund 320,424.87 319,561.84 34,318.46 075 - Trust & Agency Fund 1,481.14 - 26,478.20
090 - Long-Term Debt - - (2,944,392.98)
091 - General Fixed Assets - - 27,720,824.52
1,343,159.77
6,157,523.17 54,259,616.54
27,720,824.52
092 - Capital Improvement Proj Fund - 1,343,159.77 -
55,911,320.98 4,505,818.73
437,920.99
(102,396.75)
806,358.38
33,455.43
24,997.06
(2,944,392.98)
228,295.46
023 - Housing Fees 503,008.47
024 - Traffic Mitigation Fund 37,984.17
025 - Gas Tax Fund 738,859.92
001 - General Fund 15,398,522.95
005 - Sewer Fund 2,851,801.14
404,126.38
9,771,955.84
Fund Balance Report
City of Buellton, CA 9/30/2024
Fund July 1, 2024
Balance
Total Revenues

CITY OF BUELLTON
City Council Agenda Staff Report

City Manager Review: SW
Council Agenda Item No.: 5
To: The Honorable Mayor and City Council
From: Andrea Keefer, Planning Director
Meeting Date: October 24, 2024
Subject: Approval of Funding Request for the Fall Festival Carnival Event ______________________________________________________________________________

BACKGROUND
On October 10, 2024, the City Council approved the Fall Festival Carnival event, which will occur on the Avenue of Flags between Friday, November 8th and Sunday, November 10th. Event set up and tear down will occur between Thursday, November 7th and Monday, November 11th.

The applicant also requested a financial contribution from the City in the amount of $10,000 to aid in covering the cost of traffic control equipment for the event. Due to a lack of a quorum at the October 10th City Council meeting, Council was unable to vote to decide on the funding request at that time. Therefore, the request is being brought back before the City Council to make a decision on the funding request at this time.

The applicant has indicated that their request reflects the total cost of traffic control equipment for the event. The requested funding would be on a reimbursement basis; requiring the event applicant to provide the City with invoices in order to be reimbursed for the cost of the traffic control signs. City Council should consider authorizing the funding for the event.

FISCAL IMPACTS
The total fiscal impact to the City would be $10,000. A budget amendment in the amount of $10,000 would be required in order to provide funding for the event.

RECOMMENDATION
That the City Council approve the funding request of the applicant in the amount of $10,000.

CITY OF BUELLTON
City Council Agenda Staff Report
City Manager Review: SW
Council Agenda Item No.: 6
To: The Honorable Mayor and City Council
From: Allison Firey, Recreation Coordinator
Meeting date: October 24, 2024
Subject: Consideration of Arts and Culture Project Applications:

A. Buellton Art Banner Project
B. Afterschool Early Strings Training Program
______________________________________________________________________________

BACKGROUND
A. Buellton Art Banner Project
The purpose of the Buellton.Art Project is for Buellton residents to create artwork for the city streets, completing 14 design sets in total. In 2023-2024, Buellton.Art used art elements from over 80 community artists ages 5-80. In addition to the banner work, there are four other outreach components to this project. The first is a social media digital art piece that is sent out by the City and the Chamber featuring a different artist’s work each month. The second is a water bill insert featuring the artwork for two months and sent in the water bill every other month when there is not a Buellton Buzz. The third is a press release to local media sent each month featuring one design and crediting contributing artists. The last is that Buellton.Art will send emails to each artist selected letting them know that their artwork will be featured that month and provideing them the artwork in case they want to post it on their own social media pages as well. Possible themes for this year include “Up in the Air” and “Secret Garden and Magical Creatures”.

Buellton.Art has received funding from the Arts & Culture Committee in both 2023 and 2024 for this project. The Committee has decided to recommend an amount of $23,335 to the City Council in support of Option A. The full proposal is attached to this report as Attachment 1.

B. Afterschool Early Strings Program
Santa Barbara Strings is a non-profit organization providing comprehensive training for musicians ages 4-19 in three progressive levels of string orchestras, traditional music, and chamber ensembles. Open to all students, Santa Barbara Strings aims to inspire life-long understanding and appreciation of classical music of all eras. There is no other program in Santa Barbara County devoted to training the string instruments both in large ensembles and in the form of chamber music. Additionally, there are no longer string programs in the public elementary schools and early exposure to these instruments is crucial for qualitative learning,

Arts & Culture Projects Page 2 October 24, 2024
even more so than with woodwind and brass instruments. While some larger organizations like the San Luis Obispo Symphony offer youth music programs, their unique structure and sole focus on youth strings education allows Santa Barbara Strings to offer a high quality, meaningful, and long-lasting experience that students will carry with them for the rest of their lives.

Founded in 2009 by Artistic Director Mary Beth Woodruff, Santa Barbara Strings is a music education program focused on the string instruments that make up the core of the symphony orchestra. The Afterschool Early Strings Training Program is a 16-week comprehensive introduction to the elements and logistics of playing a string instrument. The intention is to awaken student’s passion for string music and get them ready to participate in orchestral groups in the future. Students will choose their string instrument (choice of violin or cello) and receive hour-long weekly group lessons after school at the Buellton Rec Center. At the end of the program, the students will perform a free community recital at the Willemsen Barn or at the Rec Center Gym.

The requested funds will pay for an instructor to provide weekly group lessons and rehearsals, instrument rental, maintenance, and insurance, staff time for organization, preparation of repertoire, and communication with families, music licensing, copies, recital prgrams, advertising and rehearsal room rental space. This funding would provide program scholarships for six students who must register by Dec. 6, 2024 (program needs a minimum of 5 participants to proceed). Each additional student would cost $800 up to a maximum of 15 students should the Council decide to fund more students.

The Arts & Culture Committee discussed the proposal at length and is recommending that the Council fund $11,000 toward this project (6 scholarships plus $200 toward administration costs). The full proposal is attached to this report as Attachement 2.

FISCAL IMPACT
The grant request for the Buellton.Art Banner Art Program is $23,335 and the request for the Afterschool Early Strings Program is $15-$18,000. The FY 2024/2025 budget has $132,468 remaining.

RECOMMENDATION
That the City Council consider approval of $23,335 to fund the Buellton.Art Banner Project and $11,000 to fund 5 students plus some administration costs for the Afterschool Early Strings Program.

ATTACHMENTS
Attachment 1 - Buellton.Art Banner Proposal
Attachment 2 - Afterschool Early Strings Program

CITY OF BUELLTON
City Council Agenda Staff Report
City Manager Review: SW
Council Agenda Item No.: 7

To: The Honorable Mayor and City Council
From: Shannel Zamora, Finance Director
Meeting Date: October 24, 2024
Subject: Resolution No. 24-26 – “A Resolution of the City Council of the City of Buellton, California, for the Purpose of Budget Amendments from Operational Changes Related to Fiscal Year 2024-25 Budget through the First Quarter Ending September 30, 2024”
______________________________________________________________________________

BACKGROUND
The Fiscal Year(FY) 2024-25 budget was originally adopted on June 8, 2023 as part of the Biennial Operating and Capital Budget for Fiscal Years 2023-24 and 2024-25. As part of the Mid-Cycle budget process, the FY 2024-25 budget was amended and adopted on June 13, 2024. Since that time, additional changes have occurred that require amendments to the budget, including updated use of reserves, new grant funding, and unforeseen expenditures.

Throughout the City’s budget process, staff periodically presents to the City Council for consideration various operational and personnel adjustments in conjunction with the quarterly financial report. Amendments during the fiscal year are accomplished at quarterly intervals while staff outlines current economic conditions.

Staff is presenting the following additional operational recommendations for incorporation into the 2024-25 budget. The proposed amendments address several key areas of the budget that require immediate attention while some proposed amendments have been previously authorized by City Council . The explanation of the proposed amendments will be provided in the report, and the details of budget line item change are detailed in Exhibit A.

General Fund Proposed Budget Amendments
The Increase in revenue projections is $446,844, and increase in appropriations is $446,844 001-402 City Manager Department
The City Manager Department has experienced an increase in personnel costs due to the 5% merit increase granted to the City Manager as directed in the Fourth Amendment to the City Manager Employment Agreement which was approved by City Council on June 27, 2024. This salary adjustment, effective July 1, 2024, has led to

Report for Resolution No. 24-26 Page 2 October 24, 2024

higher salary expenses as well as increased costs for benefits, including contributions to CalPERS and the Deferred Compensation Program (DCP).

Proposed Amendment: Increase City Manager appropriations by $14,018. 001-403 City Clerk/Human Resource Department
A budget amendment is being requested to cover the cost of an employee pursuing higher education and enrolling in a Human Resource Management Program, which will support the City’s succession planning efforts and strengthen future leadership development.

Proposed Amendment: Increase City/Clerk Human Resource appropriations by $3,755. 001-410 Non-Departmental Department
The City’s IT consultant requested a monthly subscription to an Anti-Ransom Software on all City computers and servers. With the rising threat of ransomware attacks, which can disrupt operations, encrypt vital data, and lead to significant financial losses, it is critical to strengthen our cybersecurity defenses. The proposed anti-ransomware software will ensure continuous protection and operational stability. The monthly subscription cost is approximately $9 per device, with an estimated total of $225 per month for the City’s 25 devices. The requested budget amendment is for the period starting October 2024 through June 2025.The total budget increase due to the subscription is $2,025.

As part of the consent calendar for this meeting, a funding request in the amount of $10,000 for traffic control at the Buellton Fall Festival event was recommended for En Fuego Events. Their request reflects the total cost of traffic control equipment for the event. The requested funding would be on a reimbursement basis; requiring the event applicant to provide the City with invoices in order to be reimbursed for the cost of the traffic control signs.

On December 14, 2023, City Council previously authorized a budget amendment to include the Santa Ynez Valley Community Outreach (SYVCO) CDB-140 Highwa246 Tenant Improvement Project as part of the FY 2023/24 Capital Improvement budget for the amount of $184,885. The project was not completed the fiscal year and will roll over into FY 2024/25. Expenditures related to the project will be reimbursed with a CDBG grant for $184,885 and will result in a no net cost to the City.

Proposed Amendment: Increase Non-Departmental appropriations by $169,910. 001-510 Leisure Services – Library
A new budget line item is requested to fund the POD and storage file boxes needed for the temporary storage of library books, computers, furniture, and other materials until they can be moved to the new location at 202 Dairyland Road. This will ensure that all items are securely stored during the transition. The amount requested is $2,500.

Proposed Amendment: Increase Library appropriations by $2,500.

Report for Resolution No. 24-26 Page 3 October 24, 2024

001-511 Recreation
A new budget line item is requested for Arts and Culture Outreach, totaling $3,000.

This includes $500 for ad space in the SYVHS Theatre Program to promote Arts and Culture initiatives, and $2,500 for a booth, pop-up tent, and arts and craft materials for community events. The Arts and Culture Committee recommended this expenditure during its October 11th meeting. Additionally, budgeting $1,000 annually for future years is recommended to cover ongoing supplies and materials needed to promote outreach efforts.

Proposed Amendment: Increase to Recreation appropriations by $3,000. 001-558 Public Works – General
On August 8, 2024, City Council approved the Office of Traffic Safety (OTS) Grant Agreement and consulting service agreements with MOVE Santa Barbara. The scope of the work is not to exceed $66,661. The proposed amendment adds the Santa Ynez Valley Bicycle and Pedestrian Outreach Program to the City’s Public Works budget with a budget allocation of $66,661. The City has been awarded a $66,661 grant from OTS to fund the program and will result in a no net cost to the City.

A proposed budget increase of $60,000 to maintenance and repair is being requested to address both current and future needs. Approximately $20,000 of the proposed increase is required for the replacement of the roof at 202 Dairyland Road. An additional $40,000 is requested to cover anticipated future expenditures. The current budget is already $21,000 over, necessitating this adjustment to ensure sufficient funding the remaining of the fiscal year.

Proposed Amendment: Increase to Public Works – General appropriations by $126,661.
001-565 Community Development –Planning
The proposed budget amendment follows, City Council’s authorization at its September 26, 2024 meeting, contract with Civic Solutions for consultant services to prepare the General Plan Update. The total contract amount is $499,508, with work expected to extend over the next several fiscal years. The City estimates that $175,000 will be expended during FY 2024/25 to support the initial phases of this project. $75,000 is currently budgeted for this update, therefore $100,000 is being proposed as an amendment.

Proposed Amendment: Increase to Planning appropriations by $100,000.

General Fund Revenue – Recognition of Grant Awards
The City has been awarded a $66,661 grant from OTS for bicycle and pedestrian education and outreach. Additionally, the City has been granted $184,885 in CDBG monies for the funding of the SYVCO CDBG- 140 Highway 246 Tenant Improvement Project.

Report for Resolution No. 24-26 Page 4 October 24, 2024

Proposed Amendment – Increase to Cost Reimbursement revenue projections by $251,546.

General Fund Revenue - Use of Reserves
After accounting for the proposed budget amendments, the General Fund will allocate $195,298 from the General Fund Reserve to cover these unforeseen expenditures in the general government operations.

Proposed Amendment – Increase to Transfer from Reserves by $195,298.

Capital Improvement Project (CIP) Budget Proposed Amendments

1. CIP 092-223 SYCO CDBG Tenant Improvement Project
The proposed budget amendment rolls over CIP Project 092-223 from the prior fiscal year in the amount of $184,885. Funding for the project will come from CDBG grants through reimbursement.

Proposed Budget Amendment: Increase appropriations for project by $184,855 and increase funding source from General Fund by $184,855.

FISCAL IMPACTS
The proposed operational changes are intended to maximize operational efficiencies and enhance service delivery. The proposed amendments to the General Fund increases appropriation in the amount of $446,884.Grant monies will be used to offset a portion of the increase in General Fund expenditures, and $195,298 will used from reserves.

The proposed Capital Improvement Budget increases appropriations by $184,885. The appropriation is offset by a $184,885 transfer-in from the General Fund which will be reimbursed by grant monies.

RECOMMENDATION
That the City Council consider adoption of Resolution No. 24-26 - “A Resolution of the City Council of the City of Buellton, California, for the Purpose of Budget Amendments from Operational Changes related to Fiscal Year 2024-25 Budget through the First Quarter Ending September 30, 2024”

ATTACHMENTS
Resolution No. 24-26 (Exhibit A)

RESOLUTION NO. 24-26

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

BUELLTON, CALIFORNIA, FOR THE PURPOSE OF BUDGET

AMENDMENTS FROM OPERATIONAL CHANGNS RELATED
TO FISCAL YEAR 2024-25 BUDGET THROUGH THE FIRST
QUARTER ENDING SEPTEMBER 30, 2024
WHEREAS, the City Council adopted the Biennial Fiscal Year 2023-24 and 2024-25 Budget on June 8,2023; and
WHEREAS, it was necessary to make amendments to the Biennial Fiscal Year 2024-25 Budget as part of the Mid-Cycle Review on June 13, 2024; and WHEREAS, it is necessary to make further amendments to Biennial Fiscal Year 2024-25 as part of the First Quarter Budget Review.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Buellton as follows:

That proposed budget amendments on the attached Exhibit A for the Fiscal Year 2024-25 are approved.

The proposed operational changes are intended to maximize operational efficiencies and enhance service delivery. The proposed amendments to the General Fund increases appropriation in the amount of $446,884.Grant monies will be used to offset a portion of the increase in General Fund expenditures, and $195,298 will used from reserves.

The proposed Capital Improvement Budget increases appropriations by $184,885. The appropriation is offset by a $184,885 transfer-in from the General Fund which will be reimbursed by grant monies.

PASSED, APPROVED and ADOPTED this 24th day of October, 2024 ____________________________
Dave King
Mayor
ATTEST:
_____________________________
Linda Reid
City Clerk

Exhibit A
City of Buellton
Fiscal Year 2024-25 Budget Amendments - First Quarter
Fund Revenue Expenditures
Surplus
(Deficit)
001- General $ 16,959,185 $ 16,959,185 $ -
005- Wastewater $ 2,483,880 $ 2,483,880 $ -
006- Wastewater Capital $ 315,000 $ 315,000 $ -
020- Water $ 3,258,090 $ 3,258,090 $ -
021- Water Capital $ 425,000 $ 425,000 $ -
023- Housing $ 1,300 $ 3,000 $ (1,700)
024 - Traffic Mitigation $ 875 $ - $ 875
025- Gas Tax $ 872,416 $ 872,416 $ -
027- Local
Transportation $ 72,000 $ 72,000 $ -
029- Transportation
Planning $ 45,300 $ 45,000 $ 300
031- Measure A $ 1,013,852 $ 1,013,852 $ -
032 - ARPA Funding $ 675,743 $ 675,743 $ -
092 - Capital Project $ 10,312,465 $ 10,312,465 $ -
Total $ 36,435,106 $ 36,435,631 $ (525)
Fund
Beginning Fund
Balance
Operating
Revenue Operating Expenditures Transfers In Transfers Out Use of Reserve Ending Balance 001- General $ 15,398,523 $ 11,681,497 $ 10,205,854 $ - $ 6,753,331 $ 5,277,689 $ 10,120,835 005- Wastewater $ 2,851,801 $ 1,242,650 $ 1,918,880 $ 1,241,230 $ 565,000 $ - $ 2,851,801 006- Wastewater Capital $ 404,126 $ - $ 15,000 $ - $ 300,000 $ 315,000 $ 89,126 020- Water $ 9,771,956 $ 2,571,670 $ 2,583,968 $ - $ 674,123 $ 686,420 $ 9,085,535 021- Water Capital $ 228,295 $ - $ 75,000 $ 425,000 $ 350,000 $ - $ 228,295 023- Housing $ 503,008 $ 1,300 $ 3,000 $ - $ - $ - $ 501,308 024 - Traffic Mitigation $ 37,984 $ 875 $ - $ - $ - $ 38,859 025- Gas Tax $ 738,860 $ 357,223 $ 122,000 $ - $ 750,416 $ 515,193 $ 223,667 027- Local Transportation $ 437,921 $ 13,534 $ 22,000 $ 58,466 $ 50,000 $ - $ 437,921 029- Transportation
Planning $ (102,397) $ 45,300 $ 45,000 $ - $ - $ - $ (102,097) 031- Measure A $ 806,358 $ 455,450 $ 30,000 $ - $ 983,852 $ 558,402 $ 247,956 032 - ARPA Funding $ 33,455 $ - $ - $ - $ 675,743 $ 675,743 $ 33,455 Total $ 31,109,892 $ 16,369,499 $ 15,020,702 $ 1,724,696 $ 11,102,465 $ 8,028,447 $ 23,080,920

BUDGET AT A GLANCE
(WITH PROPOSED BUDGET AMENDMENTS)
Budget Overview

FUND BALANCE ANALYSIS
Previous Related Resolutions:

Resolution No. 23- 14
"A Resolution of the City Council of the City of Buellton, California, Adopting the Biennial Fiscal Year 2023-24 and 2024-25 Budget"
Resolution No. 24-19
"A Resolution of the City Council of the City of Buellton, California, For the Purpose of Mid-Cycle Amendments
Related to Fiscal Year 2024-25"
Resolution No. 24-26
"A Resolution of the City Council of the City of Buellton, California, for the Purpose of Budget Amendments from Operational Changes Related to Fiscal Year 2024-25 Budget through the First Quarter Ending September 30, 2024" Budget Amendment Summary:

The proposed operational changes are intended to maximize operational efficiencies and enhance service delivery. The proposedamendments to the General Fund increases appropriation in the amount of $446,884.Grant monies will be used to offset a portion of the increase in General Fund expenditures, and $195,298 will used from reserves.

The proposed Capital Improvement Budget increases appropriations by $184,885. The appropriation is offset by a $184,885 transfer-in from the General Fund which will be reimbursed by grant monies.

October 24, 2024
Exhibit A FY 2024-25 First Quarter
Budget Amendments
City of Buellton Fiscal Year 2024-25 Revenue Budget Amendments Schedule of Revenues
Fund
Original
Budget
Current Budget
Adopted 6-13-
2024
Proposed
Amendments
Amended
Budget % Change % of Budget
001- General 11,987,307 16,512,342 446,844 16,959,186 2.71% 64.92% Operating 10,982,307 11,429,951 251,546 11,681,497 2.20% Use of Reserves 1,005,000 5,082,391 195,298 5,277,689 3.84% 005- Wastewater 2,385,317 2,483,880 2,483,880 0.00% 9.51% Operating 1,237,650 1,242,650 1,242,650 0.00%
Use of Reserves - - - #DIV/0!
Transfers In 1,147,667 1,241,230 1,241,230 0.00% -
006- Wastewater Capital 315,000 315,000 315,000 0.00% 1.21% Operating - - - #DIV/0!
Use of Reserves 315,000 315,000 315,000 0.00%
020- Water 2,705,483 3,258,090 3,258,090 0.00% 12.47%
Operating 2,497,670 2,571,670 2,571,670 0.00%
Use of Reserves 207,813 686,420 686,420 0.00%
-
021- Water Capital 285,000 425,000 425,000 0.00% 1.63%
Operating - - - #DIV/0!
Use of Reserves -
Transfers In 285,000 425,000 425,000 0.00% -
023- Housing 5,800 1,300 1,300 0.00% 0.00%
Operating 5,800 1,300 1,300 0.00% -
024 - Traffic Mitigation 400 875 875 0.00% 0.00%
Operating 400 875 875 0.00% -
025- Gas Tax 358,239 872,416 872,416 0.00% 3.34%
Operating 358,239 357,223 357,223 0.00%
Use of Reserves - 515,193 515,193 0.00% -
027- Local Transportation 137,000 72,000 72,000 0.00% 0.28% Operating 9,465 13,534 13,534 0.00%
Transfers In 127,535 58,466 58,466 0.00%
029- Transportation Planning 45,306 45,300 45,300 0.00% 0.17% Operating 45,306 45,300 45,300
-
031- Measure A 462,937 1,013,852 1,013,852 0.00% 3.88% x Operating 462,937 455,450 455,450
Use of Reserves - 558,402 558,402
-
032 - ARPA Funding - 675,743 675,743 0.00% 2.59%
Operating - - -
Use of Reserves - 675,743 675,743
Total 18,687,789 25,675,798 446,844 26,122,642 1.74% 100.00% By Fund Type
General Fund 11,987,307 16,512,342 446,844 16,959,186 2.71% 64.92% Enterprise Fund 5,690,800 6,481,970 - 6,481,970 0.00% 24.81% Special Revenue Funds 1,009,682 2,681,486 - 2,681,486 0.00% 10.26% Total: 18,687,789 25,675,798 446,844 26,122,642 1.74% 100.00% GL Account Account Name Before
Adjustment Adjustment After Adjustment
001-44035 Cost Reimbursement $ - $ (66,661.00) $ (66,661.00) 001-44035 Cost Reimbursement $ - $ (184,885.00) $ (184,885.00) 092-49727 Transfer from General
Fund
$ (6,568,446.00) $ (195,298.00) $ (6,763,744.00)
$ (446,844.00)
Type
OTS Grant Awarded for Bike and Ped Safety Operating
CDBG Grant for CIP$092-223 rollover
Use of Reserves to cover increases in
expenditures
Operating
Use of Reserves
Description

October 24, 2024
Exhibit A FY 2024-25 First Quarter
Budget Amendments
City of Buellton Fiscal Year 2024-25 Expenditure Budget Amendments Schedule of Expenditure
Fund Original Budget
Current Budget
Adopted 6-13-2024
Proposed
Amendments
Amended
Budget % Change % of Budget
001- General $ 10,117,712 $ 16,512,341 $ 446,844 $ 16,959,185 2.71% 64.92% Employee Services 2,713,197 2,825,276 14,018 2,839,294 0.50% Operating & Maintenance 6,341,219 7,041,923 247,941 7,289,864 3.52% Minor Capital 58,296 76,696 - 76,696 0.00%
Transfer to CIP 1,005,000 6,568,446 184,885 6,753,331 2.81% -
005- Wastewater 2,385,317 2,483,880 2,483,880 0.00% 9.51% Employee Services 561,193 574,772 574,772 0.00%
Operating & Maintenance 1,181,124 1,209,108 1,209,108 0.00% Minor Capital 78,000 135,000 135,000 0.00%
Transfer to CIP 565,000 565,000 565,000 0.00% -
006- Wastewater Capital 315,000 315,000 315,000 0.00% 1.21% Operating 15,000 15,000 15,000 0.00%
Transfer to CIP 300,000 300,000 300,000 0.00%
020- Water 2,705,483 3,258,091 3,258,091 0.00% 12.47%
Employee Services 381,012 480,473 480,473 0.00%
Operating & Maintenance 1,971,471 2,030,495 2,030,495 0.00% Minor Capital 18,000 73,000 73,000 0.00%
Transfer to CIP 335,000 674,123 674,123 0.00%
021- Water Capital 285,000 425,000 425,000 0.00% 1.63%
Operating 35,000 75,000 75,000 0.00%
Transfer to CIP 250,000 350,000 350,000 0.00% -
023- Housing 3,000 3,000 3,000 0.00% 0.01%
Operating 3,000 3,000 3,000 0.00% -
025- Gas Tax 222,000 872,416 872,416 0.00% 3.34%
Operating 122,000 122,000 122,000 0.00%
Transfer to CIP 100,000 750,416 750,416 0.00% -
027- Local Transportation 137,000 72,000 72,000 0.00% 0.28% Operating 87,000 22,000 22,000 0.00%
Transfer to CIP - - - #DIV/0!
Transfer to Reserves 50,000 50,000 50,000 0.00%
-
029- Transportation Planning 45,000 45,000 45,000 0.00% 0.17% Operating 45,000 45,000 45,000
-
031- Measure A 457,000 1,013,852 1,013,852 0.00% 3.88%
Operating 97,000 30,000 30,000
Transfer to CIP 360,000 983,852 983,852
-
032 - ARPA Funding - 675,743 675,743 0.00% 2.59%
Transfer to CIP - 675,743 675,743
Total $ 16,672,512 $ 25,676,323 $ 446,844 $ 26,123,167 1.74% 100.00% By Fund Type
General Fund $ 10,117,712 $ 16,512,341 $ 446,844 $ 16,959,185 2.71% 64.92% Enterprise Fund 5,690,800 6,481,971 - 6,481,971 0.00% 24.81% Special Revenue Funds 864,000 2,682,011 - 2,682,011 0.00% 10.27% Total: $ 16,672,512 $ 25,676,323 $ 446,844 $ 26,123,167 1.74% 100.00% GL Account Account Name Before Adjustment Adjustment After Adjustment 001-402-50000 Salaries $ 244,306.00 $ 10,994.00 $ 255,300.00 001-402-50200 PERS Retirement $ 47,977.00 $ 2,363.00 $ 50,340.00 Employee Services 001-402-50410 Employer Paid DCP $ 14,443.00 $ 661.00 $ 15,104.00 Employee Services 001-510-60900 Miscellaneous $ - $ 2,500.00 $ 2,500.00
001-558-60800 Contract Services $ 126,280.00 $ 66,661.00 $ 192,941.00 001-403-60710 Travel & Training $ 3,200.00 $ 3,755.00 $ 6,955.00 001-565-60855 Comprehensive General Plan
Update
$ 75,000.00 $ 100,000.00 $ 175,000.00
001-410-77000 Transfer Out for Capital
Outlay
$ 6,528,446.00 $ 184,885.00 $ 6,713,331.00
001-410-60210 Computer Maintenance
&Software
$ 55,202.00 $ 2,025.00 $ 57,227.00
001-558-60250 Maintenance / Repair $ 70,000.00 $ 60,000.00 $ 130,000.00 001-511-67142 Arts and Culture Outreach $ - $ 3,000.00 $ 3,000.00 001-410-69600 Undesignated Misc Support $ 4,000.00 $ 10,000.00 $ 14,000.00 $ 446,844.00
Operating
Operating
Operating
Description
New budget line item: Arts and Culture
Outreach Traffic Control funding for Fall Fest
Type
Employee Services
Operating
Operating
Operating
Operating
Transfer to CIP
Operating
CM Salary and benefit adjustment
CM Salary and benefit adjustment
CM Salary and benefit adjustment
New Budget Line Item:POD Rental and storage
file boxes for library move
MOVE SB implementation & Procurement of
Sign Board
Tuition for Human Resource Management
Program
Civic Solution Contract FY 24/25 portion
Rollover CIP#092-223 CDBG
Subscription for Anti-Ransome Software
$20k for roof repair and additional R&M

October 24, 2024
Exhibit A FY 2024-25 First Quarter
Budget Amendments
City of Buellton Fiscal Year 2024-25 Capital Improvement Budget Amendments Project Number PROJECT DESCRIPTION
FY 2024-25 Original
Budget
FY 2024-25 Current
Budget Adopted 6-
13-24
FY 2024-25
Additions/
(Deletions)
FY 2024-25
Proposed
Amended Total % Change
092-102
102- Storm Drain Outfall Repairs & Re-Establishment
40,000 40,000 - 40,000

0.00%
092-207 207- Santa Ynez River Trail 75,000 425,000 - 425,000 0.00% 092-212 212- The Avenue Improvements - Median 3 850,000 850,000 - 850,000 0.00% 092-214 214- City Hall Emergency Generator - 40,000 - 40,000 0.00% 092-217 217- River View Park Basketball Court Resurfacing - 80,000 - 80,000 0.00% 092-220 220- Willemsen Parking Lot - 1,375,000 - 1,375,000 0.00% 092-221 221- Willemsen House Renovation - 2,099,668 - 2,099,668 0.00% 092-223 223- SYV Community Outreach CBDG Grant - - 184,885 184,885 0.00% 092-307 307- McMurray Road Widening/TS - 1,578,294 - 1,578,294 0.00% 092-308 308- North Avenue of Flags Park and Ride - 50,000 - 50,000 0.00% 092-309 309- West Highway 246 Safety Improvements - 414,752 - 414,752 0.00% 092-322 322- Road Maintenance Project (2023-24) - 800,000 - 800,000 0.00% 092-323 323- Road Maintenance Project (2024-2025) 500,000 500,000 - 500,000 0.00% 092-401 401- River View Park Miscellaneous Improvement - 50,000 - 50,000 0.00% 092-603 603- Water Treatment Plant Facilities Improvement 150,000 150,000 - 150,000 0.00% 092-605 605- Water Treatment Plant Backwash Reclamation - 100,000 - 100,000 0.00% 092-609
609- Supplemental Well/Storage/Water Treatment Plant Feasibility 50,000 50,000 - 50,000

0.00%
092-610 610- Water Distribution System Improvement 100,000 100,000 - 100,000 0.00% 092-613 613- Reservoir No. 2 Roof Replacement - 874,866 - 874,866 0.00% 092-704 704- Sewer Line Replacement 250,000 250,000 - 250,000 0.00% 092-706 706- Wastewater Treatment Plant Facilities Improvement 300,000 300,000 300,000 0.00% 2,315,000 10,127,580 184,885 10,312,465 #NAME?
Fund Account Description FY 2024-25
Original Budget
FY 2024-25
Current Budget
Adopted 6-13-24
FY 2024-25
Additions/
(Deletions)
FY 2024-25
Proposed
Amended Total
% Change
001 092-49727 Transfer from General Fund 1,005,000 6,568,446 184,885 6,753,331 2.81% 005 092-49729 Transfer from Sewer Fund 550,000 550,000 550,000 0.00% 020 092-49732 Transfer from Water Fund 300,000 599,123 599,123 0.00% 025 092-49726 Transfer from Gas Tax Fund 100,000 750,416 750,416 0.00% 031 092-49728 Transfer from Measure A 360,000 983,852 983,852 0.00% 032 092-49734 Transfer from American Relief Plan Act - 675,743 675,743 0.00% Total Funding Sources: 2,315,000 10,127,580 184,885 10,312,465 2.81% GL Account Account Name Before
Adjustment Adjustment After Adjustment
092-223-71500 Project Management and Inspections $ - $ 10,000.00 $ 10,000.00 092-223-74100 Construction and Improvements $ - $ 174,885.00 $ 174,885.00 092-49727 Transfer from General Fund $ (6,568,446.00) $ (184,885.00) $ (6,753,331.00) $ -
092-223
Funding from CDBG Grant 092-223
Description Project #
Rollover CDBG CIP#092-223 092-223
Rollover CDBG CIP#092-223
Funding Sources