Clovis City Council
March 13, 2023

March 13, 2023 - 1 - 10:31 AM A G E N D A • C I T Y C O U N C I L M E E T I N G

March 13, 2023 6:00 PM Council Chamber

In compliance with the Americans with Disabilities Act, if you need special assistance to access the City Council Chamber to participate at this meeting, please contact the City Clerk or General Services Director at (559) 324 -2060 (TTY – 711). Notificatio n 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to the Council Chamber.

The Clovis City Council meetings are open to the public at the physical address listed above. There are numerous ways to participate in the City Council meetings: you are able to attend in person; you may submit written comments as described below; you may participate by calling in by phone (see “Verbal Comments” below); and you may view the meeting which is webcast and acces sed at www.cityofclovis.com/agendas.

Written Comments

 Members of the public are encouraged to submit written comments at:
www.cityofclovis.com/agendas at least two (2) hours before the meeting (4:00 p.m.). You will be prompted to provide:

 Council Meeting Date
 Item Number
 Name
 Email
 Comment

 Please submit a separate form for each item you are commenting on.

 A copy of your written comment will be provided to the City Council noting the item number.

If you wish to make a verbal comment, please see instructions below.

 Please be aware that any written comments received that do not specify a particular agenda item will be marked for the general public comment portion of the agenda.

 If a written comment is received after 4:00 p.m. on the day of the meeting, efforts will be made to provide the comment to the City Council during the meeting. However, staff cannot guarantee that written comments received after 4:00 p.m. will be provided to City Council during the meeting. All written comments received prior to the end of the meeting will be made part of the record of proceedings.

Council Chamber, 1033 Fifth Street, Clovis, CA 93612 (559) 324-2060 www.cityofclovis.com
1 March 13, 2023 - 2 - 10:31 AM Verbal Comments

 If you wish to speak to the Council on an item by telephone, you should contact the City Clerk at (559) 324-2060 no later than 4:00 p.m. the day of the meeting.

 You will be asked to provide your name, phone number, and your email. You will be emailed instructions to log into Webex to participate in the meeting. Staff recommends participants log into the Webex at 5:30 p.m. the day of the meeting to perform an audio and mic check.

 All callers will be placed on mute, and at the appropriate time for your comment your microphone will be unmuted.

 In order for everyone to be heard, please lim it your comments to 5 minutes or less, or 10 minutes per topic

Webex Participation

 Reasonable efforts will be made to allow written and verbal comment from a participant communicating with the host of the virtual meeting. To do so, a participant will need to chat with the host and request to make a written or verbal comment. The host w ill make reasonable efforts to make written and verbal comments available to the City Council. Due to the new untested format of these meetings, the City cannot guarantee that these written and verbal comments initiated via chat will occur. Participants w anting to make a verbal comment via call will need to ensure that they accessed the WebEx meeting with audio and microphone transmission capabilities.

CALL TO ORDER

FLAG SALUTE - Councilmember Bessinger

ROLL CALL

PUBLIC COMMENTS - This is an opportunity for the members of the public to address the City Council on any matter within the City Council’s jurisdiction that is not listed on the Agenda. In order for everyone to be heard, please limit your comments to 5 minutes or less, or 10 minutes per topic. Anyone wishing to be placed on the Agenda for a specific topic should contact the City Manager’s office and submit correspondence at least 10 days before the desired date of appearance.

ORDINANCES AND RESOLUTIONS - With respect to the approval of resolutions and ordinances, the reading of the title shall be deemed a motion to waive a reading of the complete resolution or ordinance and unless there is a request by a Councilmember that the resolution or ordinance be read in full, furth er reading of the resolution or ordinance shall be deemed waived by unanimous consent of the Council.

CONSENT CALENDAR - Items considered routine in nature are to be placed upon the Consent Calendar. They will all be considered and voted upon in one vote as one item unless a Councilmember requests individual consideration. A Councilmember’s vote in favor of the Consent Calendar is considered and recorded as a separate affirmative vote in favor of each action listed. Motions in favor of adoption of the C onsent Calendar are deemed to include a motion to waive the reading of any ordinance or resolution on the Consent Calendar. For adoption of ordinances, only those that have received a unanimous vote upon introduction are considered Consent items.
2 March 13, 2023 - 3 - 10:31 AM

1. Administration - Approval - Minutes from the March 6, 2023, Council Meeting.

2. General Services – Approval – Res. 23 -___, Authorizing the General Servic es Manager to Apply for and Administer the AB 836 Clean Air Centers Pilot Program Through the San Joaquin Valley Air Pollution Control District.

3. Planning and Development Services – Receive and File – Measure C Update.

4. Public Utilities – Approval – Authorize the Purchase of a Flygt Sewage Pump from Shape Incorporated for the Amount of $108,348.18.

ADMINISTRATIVE ITEMS - Administrative Items are matters on the regular City Council Agenda other than Public Hearings.

5. Receive and File - 2023 Five-Year Financial Forecast for the City of Clovis through 2027/28 and discuss options for budget preparation for 2023/24. (Continued from the March 6, 2023, meeting)

Staff: Jay Schengel, Finance Director
Recommendation: Receive and File

6. Consider Approval – Res. 23 -___, A Resolution approving the annual review and update to the Regional Housing Needs (RHN) Overlay District map of parcels and associated list reflecting those parcels that qualify for development as an RHN Overlay project.

Staff: Dave Merchen, City Planner
Recommendation: Approve

CITY MANAGER COMMENTS

COUNCIL COMMENTS

CLOSED SESSION - A “closed door” (not public) City Council meeting, allowed by State law, for consideration of pending legal matters and certain matters rela ted to personnel and real estate transactions.

7. Government Code Section 54956.9(d)(2)

CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
Significant Exposure to Litigation
Three potential cases based on claims received for the Sunnyside Avenue water main break and property flooding incident on January 3, 2022.

ADJOURNMENT

FUTURE MEETINGS

Regular City Council Meetings are held at 6:00 P.M. in the Council Chamber. The following are future meeting dates:

Mar. 20, 2023 (Mon.) (Joint Meeting with Planning Commission) Apr. 3, 2023 (Mon.)
Apr. 10, 2023 (Mon.)
Apr. 17, 2023 (Mon.)
3 PRELIMINARY - SUBJECT TO APPROVAL

CLOVIS CITY COUNCIL MEETING

March 6, 2023 6:00 P.M. Council Chamber

Meeting called to order by Mayor Ashbeck at 6:03
Flag Salute led by Councilmember Basgall

Roll Call: Present: Councilmembers Basgall, Bessinger, Mouanoutoua, Mayor Ashbeck Absent Councilmember Pearce

PRESENTATION – 6:04

6:04 – ITEM 1 - PRESENTATION OF PROCLAMATION DECLARING MARCH 11, 2023, AS ARBOR DAY.

PUBLIC COMMENTS – 6:08

CONSENT CALENDAR – 6:09

Mayor Ashbeck abstained from voting on item 6 as she is a member on the Clovis Big Dry Creek Historical Society Board.

Motion by Councilmember Mouanoutoua, seconded by Councilmember Bessinger that the items on the Consent Calendar, with the exception of item 6, be approved. Motion carried 4-0-1, with Councilmember Pearce absent.

2. Administration – Approved - Minutes from the February 21, 2023, Council Meeting.

3. Administration - Approved – Waive normal purchasing process and authorize City Manager to enter into the CALNET agreement with AT&T for Telecommunications services for the amount of $190,000 per year.

4. Finance – Received and Filed – Investment Report for the Month of October 2022.

5. Finance – Received and Filed – Treasurer’s Report for the Month of October 2022.

7. General Services – Approved - Contract with LF Staffing Service, Inc. (DBA Labor Finders) for Temporary Labor Services.

8. General Services – Approved – Selection of Passio Technologies, LLC. for an Intelligent Transportation System “ITS” (Computer -Aided Dispatch/Automatic Vehicle Location/Automatic Voice Annunciation [CAD/AVL/AVA] Passenger Infotainment, and Historical and Real -time Application Programming Interfaces [API’s]) and Authorize City Manager to Execute the Contract for $461,500.00.

9. Planning and Development Services – Approved – Res. 23 -10, Annexation of Miscellaneous Properties to the Landscape Maintenance District No. 1.

10. Public Utilities - Approved – Res. 23-11, A Resolution Initiating Proceedings for the Annual Levy of Assessments for Landscape Maintenance District No. 1.

11. Public Utilities – Approved – Award a Contract to Karbonous, Inc. for Maintenance Work Consisting of Purchasing and Replacing Granular Activated Carbon (GAC) at Well 12 and Well 27 for the amount of $240,156.20.
4 AGENDA ITEM NO. 1.

PRELIMINARY - SUBJECT TO APPROVAL

6:10 ITEM 6 GENERAL SERVICES – APPROVED – AUTHORIZE THE CITY MANAGER TO EXECUTE A 10 -YEAR EXTENSION TO THE LEASE AGREEMENT WITH CLOV IS BIG DRY CREEK HISTORICAL SOCIETY, INC., FOR PROPERTY LOCATED AT 401 POLLASKY AVENUE, CLOVIS.

Motion for approval by Councilmember Basgall, seconded by Councilmember Bessinger.

Motion carried 3-0-1-1, with Mayor Ashbeck abstaining and Councilmember Pearce absent.

COUNCIL ITEMS – 6:11

6:11 ITEM 1 9 - APPROVED – APPOINTMENTS TO T HE CITY OF CLOVIS HI STORIC PRESERVATION COMMITTEE.

Motion to approve the appointment of committee members to the City of Clovis Historic Preservation Committee and allow the committee to consult with Paul Halajian for technical assistance on an as needed basis. Motioned by Councilmember Bessinger, seconded by Councilmember Mouanoutoua. Motion carried 4-0-1, with Councilmember Pearce absent.

PUBLIC HEARINGS – 6:16

6:16 ITEM 12 - CONSIDER ITEMS ASSOCIATED WITH APPROXIMATELY 1.04 ACRES OF

LAND LOCATED ON THE NORTH SIDE OF ALLUVI AL AVENUE, BETWEEN SUNNYSIDE AND FORDHAM AVENUES. STALLION DEVELOPMEN T AND CONSTRUCTION – ARMAN ZAKARYAN, OWNER/APP LICANT; DAN ZACK, REPRESENTATIVE.

Dan Zack, Representative for the Applicant, presented additional project details and addressed Council’s questions.

Arman Zakaryan, Owner/Applicant, spoke in support of the project.

Linda Alvord, resident, spoke in opposition of the project.

Brent Nelly, resident, spoke in opposition of the project.

12A. APPROVED - RES. 23 -12, A REQUEST TO APPRO VE AN ENVIRONMENTAL

FINDING OF A MITIGATE D NEGATIVE DECLARATI ON FOR GENERAL PLAN AMENDMENT GPA2022-001 AND REZONE R2022-001.

Motion for approval by Councilmember Mouanoutoua, seconded by Councilmember Bessinger. Motion carried 4-0-1, with Councilmember Pearce absent.

5 AGENDA ITEM NO. 1.

PRELIMINARY - SUBJECT TO APPROVAL

12B. DENIED - RES. 23-XX, GPA2022-001, A REQ UEST TO AMEND THE GE NERAL

PLAN TO RE -DESIGNATE THE SUBJECT PROPERT Y FROM THE LOW DENSI TY RESIDENTIAL (2.1 -4.0 DU/AC) CLASSIFICATI ON TO THE MEDIUM HIG H (7.1 -15.0 DU/AC) CLASSIFICATION.

Motion for approval by Councilmember Mouanoutoua, no second. Motion failed.

Motion to continue this item to a future date in the next four (4) months for staff to return with a conceptual plan addressing traffic issue. Motioned by Councilmember Bessinger, no second. Motion failed.

Motion for approval to amend the General Plan to re -designate the subject property from the low density residential classification to the medium high density classification with direction for staff to not approve a site plan until a traffic plan for the roadway is presented.

Motioned by Councilmember Bessinger, seconded by Councilmember Mouanoutoua.

Motion failed 2-2, with Mayor Ashbeck and Councilmember Basgall voting no.

Motion for approval to amend the General Plan to re -designate the subject property from the low density residential classification to the medium high density classification with direction for staff to not approve a site plan until a traffic plan for the roadway is presented and without prejudice. Motioned by Councilmember Bessinger, no second. Motion failed.

Motion for denial without prejudice by Mayor Ashbeck, seconded by Councilmember Bessinger. Motion carried 3 -1-1, with Councilmember Mouanoutoua voting no and Councilmember Pearce absent.

12C. INTRODUCTION - ORD. 23 -XX, R2022 -001, A REQUE ST TO REZONE THE SUBJECT PROPERTY FROM THE R-1-7500 (SINGLE-FAMILY RESIDENTIAL, 7,500 SF) ZONE DISTRICT TO THE R-2 (MULTIFAMILY MEDIUM-HIGH DENSITY RESIDENTIAL) ZONE DISTRICT.

Consideration of this item is contingent upon the approval of item 12B (GPA2022-001). No motion made as item 12B (GPA2022-001) was denied.

8:10 ITEM 13 - APPROVED - RES. 23-13, RESOLUTION OF NECE SSITY TO DETERMINE

THAT PUBLIC INTEREST AND NECESSITY REQUI RE ACQUISITION OF PR OPERTY FOR PUBLIC PURPOSES; AND, AUTHORIZING PROCEEDINGS IN EMINENT DOMAIN

FOR TWO PROPERTIES L OCATED BETWEEN LOCAN AVENUE AND DEWOLF AVENUE. APN/OWNER: 5 53-030-05/ZEPEDA AND 565-042-14/SAMARIN. (CONTINUED FROM THE FEBRUARY 21, 2023, MEETING)

Motion for approval by Councilmember Mouanoutoua, seconded by Councilmember Bessinger. Motion carried 4-0-1, with Councilmember Pearce absent.

6 AGENDA ITEM NO. 1.

PRELIMINARY - SUBJECT TO APPROVAL

ADMINISTRATIVE ITEMS – 8:17

8:17 ITEM 14 - CONTINUED – ECONOMIC DEVELOPM ENT, HOUSING AND COMMUNICATIONS UPDATE.

It was the consensus of the City Council to continue this item to a future date.

8:17 ITEM 16 - CONTINUED - 2023 FIVE-YEAR FINANCIAL FORECAST FOR THE CITY OF CLOVIS THROUGH 2027/ 28 AND DISCUSS OPTIO NS FOR BUDGET PREPAR ATION FOR 2023/24.

It was the consensus of the City Council to continue this item to a future date.

8:18 ITEM 15 - CONSIDER – VARIOUS ITEMS RELATED TO THE RETAIL MARKET SURVEY AND LAND USE EVALUATION OF THE SHAW AVENUE CORRIDOR.

15A. RECEIVED AND FILED - RESULTS OF THE RET AIL MARKET SURVEY & LAND USE EVALUATION OF THE SHAW AVENUE CORRIDOR.

15B. APPROVED - FOR THE CITY TO ENTER INTO AN AGREEMENT WITH KOSMONT

COMPANIES TO PROVIDE A FISCAL IMPACT AND ECONOMIC BENEFIT AN ALYSIS

FOR THE REDEVELOPMEN T OF EXISTING RETAIL SPACE IN THE SHAW A VENUE CORRIDOR IN THE AMOUNT OF $25,000.

Dennis Prindiville, Trustee of property located at the Sierra Vista Mall, requested that the Council direct the consultant to provide an example of comparable cities to Clovis and to allow him to be involved in this study.

Motion for approval by Councilmember Mouanoutoua, seconded by Councilmember Basgall. Motion carried 4-0-1, with Councilmember Pearce absent.

8:57 ITEM 1 7 - APPROVED - RES. 23 -14, A REQUEST TO INITI ATE A PREZONING OF

PROPERTY WITHIN THE AREA GENERALLY BOUND BY S HEPHERD AVENUE ON

THE SOUTH, WILLOW AV ENUE ON THE WEST, TH E ENTERPRISE CANAL O N THE

NORTH AND THE PEACH AVENUE ALIGNMENT ON THE EAST AND AUTHORI ZING STAFF TO PREPARE AN ANNEXATION APPLICATION FOR THE SAME BOUN DARY.

CITY OF CLOVIS, APPLICANT.

Shawn Beaty, Clovis Hills Church representative, spoke in support of the annexation and requested for the Council to consider including the Clovis Hills Church property in this annexation.

Bill Smittcamp, spoke in support of including the Clovis Hi lls Church property in this annexation.
7 AGENDA ITEM NO. 1.

PRELIMINARY - SUBJECT TO APPROVAL

Manny Penn, developer, spoke in support of including the Clovis Hills Church property in this annexation.

Motion for approval to initiate a prezoning of property within the area generally bound by Shepherd Avenue on the south, Willow Avenue on the west, the Enterprise Canal on the north and the Peach Avenue alignment on the east; authorize staff to prepare an annexation application for the same boundary; and direct staff to plan the inclusion of the Clovis Hills Church site and the property north of the Enterprise Canal on the southeast corner of Willow and International Avenues to this annexation , conditional upon an agreement for a water supply from the Garfield Water District to provide water to the City of Clovis for the Clovis Hills Church site. Motioned by Councilmember Bessinger, seconded by Councilmember Mouanoutoua. Motion carried 4-0-1, with Councilmember Pearce absent.

9:38 ITEM 18 - APPROVED - RES. 23-15, A RESOLUTION OPPOS ING INITIATIVE NO. 2 1- 0042A1, THE TAXPAYER PROTECTION AND GOVERNMENT ACCOUNTABILITY ACT SPONSORED BY THE CALIFORNIA BUSINESS ROUNDTABLE.

Motion for approval by Councilmember Bessinger, seconded by Councilmember Basgall.

Motion carried 4-0-1, with Councilmember Pearce absent.

CITY MANAGER COMMENTS – 9:45

COUNCIL COMMENTS – 9:46

Mayor Ashbeck adjourned the meeting of the Council to March 13, 2023

Meeting adjourned: 9:57 p.m.

______________________________ ________________________________ Mayor City Clerk
8 AGENDA ITEM NO. 1.

TO: Mayor and City Council
FROM: General Services Department
DATE: March 13, 2023
SUBJECT: General Services – Approval – Res. 23 -___, Authorizing the General Services Manager to Apply for and Adminis ter the AB 836 Clean Air Centers Pilot Program Through the San Joaquin Valley Air Pollution Control District.

ATTACHMENTS: 1. Resolution

CONFLICT OF INTEREST
Councilmembers should consider recusal if a campaign contribution exceeding $250 has been received from the project proponent (developer, applicant, agent, and/or participants) since January 1, 2023 (Government Code 84308).

RECOMMENDATION
For the City Council to authorize the General Services Manager to apply for and administer the AB 836 Clean Air Centers Pilot Program through the San Joaquin Valley Air Pollution Control District (SJVAPCD).

EXECUTIVE SUMMARY
The Clean Air Centers Pilot Program was established by California Assembly Bill 836, which provides funding to create Wildfire Smoke Clean Air Centers for Vulnerable Populations and establish a network of publicly accessib le facilities with high-efficiency air filtration systems for valley residents who may not otherwise have access to clean air during wildfire events.

The Clovis Senior Activity Center serves residents aged 50 and better and meets the standards for a publicly accessible facility that would qualify for portable air filtration systems. Staff has researched the requirements of the SJVAPCD grant and determined that participation in the program would not cause any disruption to the daily operation of the Center. The portable systems would be put into use when air quality is impacted by wildfires or other environmental events. Once the grant is approved, the SJVAPCD would deliver appropriately sized units to the Senior Center, and the units would be placed into service when needed.

9 AGENDA ITEM NO. 2.

BACKGROUND
The San Joaquin Valley suffers from poor air quality that is sometimes considered the worst in the nation. The SJVAPCD’s mission is to improve the health and quality of life for all valley residents through effective air quality management strategies. The SJVAPCD fulfills its mission through a variety of programs, one of which is the Clea n Air Centers Pilot Program, funded through Assembly Bill 836 passed in 2019. This bill provides $5,000,000 in grant funds to upgrade ventilation systems and purchase portable air cleaners to create a network of clean air centers where vulnerable populations can find respite from wildfires and other smoke events.

The Clovis Senior Activity Center is an adult recreation center serving community members aged 50 years and better. The Center is a publicly accessible facility that welcomes participants from Clovis and all surrounding communities. The Clean Air Centers Pilot Program would furnish at no cost, portable air filtration machines that could be placed into use during episodes of poor air quality. Staff has reviewed the list of available air filter machines and have chosen models that are suitable for use in the Center. Ease of storage, quiet operation, and at least five years of covered warranty service were the priorities set by staff that were selected from the list of available units.

Staff is requesting six portable air filters systems through this grant, but the actual number could be different if the grant is approved. The SJVAPCD would provide the portable air cleaners and five (5) years’ worth of replacement filters. S taff would be responsible to safely store the units, maintain an inventory, and log use and maintenance for five years. An annual report will be submitted as required by the grant.

FISCAL IMPACT
None.

REASON FOR RECOMMENDATION
The Clean Air Centers Pilot Program requires a resolution stating the authorization for the grant and identification of a signing authority for annual reports.

ACTIONS FOLLOWING APPROVAL
Staff will submit the grant application along with resolution to the SJVAPCD.

Prepared by: Amy Hance, General Services Manager

Reviewed by: City Manager AH

10 AGENDA ITEM NO. 2.

ATTACHMENT 1

RESOLUTION 23-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CLOVIS AUTHORIZING THE

GENERAL SERVICES MANAGER TO MAKE APPLICATION FOR AND ADMINISTER THE AB 836 CLEAN AIR CENTERS PILOT PROGRAM THOUGH THE SAN JOAQUIN VALLEY

AIR POLLUTION CONTROL DISTRICT

WHEREAS, several Local, State, and Federal programs allow public, non -profit, and government service providers to apply for administration, capital, and operation assistance programs or grants; and

WHEREAS, the City of Clovis must authorize someone by resolution as the “Authorized Individual” to make application for and administer the AB 836 Clean Air Centers Pilot Program through the San Joaquin Valley Air Pollution Control District; and

NOW, THEREFORE, BE IT RESO LVED, that the City of Clovis hereby authorizes the General Services Manager to make application for, to sign required assurances, and to administer the AB 836 Clean Air Centers Pilot Program through the San Joaquin Valley Ai r Pollution Control District with respect to applications for Local, State, and Federal programs, projects, or grants, on behalf of the District.

* * * * *

The foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Clovis held on March 13, 2023, by the following vote, to wit.

AYES:

NOES:

ABSENT:

ABSTAIN:

DATED: March 13, 2023

______________________________ ______________________________ Mayor City Clerk

11 AGENDA ITEM NO. 2.

TO: Mayor and City Council
FROM: Planning and Development Services
DATE: March 13, 2023
SUBJECT: Planning and Development Services – Receive and File – Measure C Update.

ATTACHMENTS: 1. Fiscal Year 2021-22 Expenditure Reporting Forms

2. Fiscal Year 2022-23 Local Agency Budget Forms

CONFLICT OF INTEREST
Councilmembers should consider recusal if a campaign contribution exceeding $250 has been received from the project proponent (developer, applicant, agent, and/or participants) since January 1, 2023 (Government Code 84308).

RECOMMENDATION
For the City Council receive and file the end of fiscal year report on the status of the Measure C expenditure accounts for 2021-22.

EXECUTIVE SUMMARY
On an annual basis the City , as a whole, receives a little over $6 million in Measure C Local Transportation and Regional Transit Program funds for various improvements and operations related to transportation. By receiving these funds, the City is obligated to submit to the Fresno County Transportation Authority an annual expenditure report to highlight the expenses paid out of the allocations given the previous year. The 2021 -22 Expenditure Report is attached as Attachment 1. In addition, staff has also attached the planned expense reports (Local Agency Budget Forms) for this current fiscal year, 2022-23, that were submitted to the Measure C Citizen Oversight Committee in November 2022 (Attachment 2). Planning and Development Services oversees the Local Transportation funding allocated to the City , which equates to about $4 million. Measure C helps to fund the design and construction of many street improvements throughout the City each year and is also used to leverage federal grant funding.

BACKGROUND
In 1986, Fresno County voters passed Measure C which is a ½ cent sales tax measure that has provided much needed revenues throughout the county by improving transportation facilities that facilitate the efficient movement of people and goods within and through out the region. In 12 AGENDA ITEM NO. 3.

November 2006, voters approved the extension of Measure C, which continued the ½ cent sales tax for an additional 20 years, until 2027. The extension was estimated to generate $1.7 billion to further improve transportation improvements throughout Fresno County. The Measure C funds are managed by the Fresno County Transportation Authority (FCTA).

The continued flow of Measure C revenue for transportation and transportation related projects, though not nearly sufficient to fund the entirety of the City’s needs, has been an essential tool which allows the City to fund priority projects and leverage other funding sources that r equire matching funds.

The money collected by Measure C is allocated into various funds to further be distributed throughout the County. The three largest programs funded are the Regional Public Transit Program (19.66%), the Local Transportation Program (34.6%) and the Regional Transportation Program (30.4%). Planning and Development Services oversees the funds collected under both the Local and Regional Transportation programs.

The Local Transportation Program allocates funds into the following subprograms:

 Street Maintenance / Rehabilitation
 ADA Compliance
 Flexible Category
 Pedestrian
 Bicycle Facilities

The funds collected under the Local Transportation Program help to fund many routine and annual projects throughout the City such as ADA ramp improvements, the annual slurry seal project, bicycle lane restriping, and trail counter management. Occasionally, these funds are also utilized to fund special projects such as the City’s Active Transportation Plan Update. In fiscal year 2021-22, the Local Transportation Program funded:

 Armstrong Avenue Street Improvements – Alluvial Avenue to Nees Avenue (Design)  Shaw Avenue Street Improvements – Armstrong Avenue to Temperance Avenue (Design)
 Sunnyside Avenue Street Improvements – Third Steet to Fifth Street (Design)  Vehicle Detection Replacement – City Wide (Design)
 Sunnyside Avenue Street Improvements – Fifth Street to Barstow Avenue (Design)  Sierra Avenue Steet Improvements – Willow Avenue to Peach Avenue (Design)  The City’s Active Transportation Plan Update

Upcoming projects that will be utilizing the funds from the Local Transportation Program funded by Measure C that are currently underway this Fiscal Year 2022-23 include:

 Herndon Street Improvements – Fowler Avenue to Armstrong Avenue (Design)  Nees Avenue Street Improvements – Clovis Avenue to Sunnyside Avenue (Design)  Sunnyside Avenue Street Improvements – Third Street to Fifth Street (Construction)  Sunnyside Avenue Street Improvements – Fifth Street to Barstow Avenue (Construction) 13 AGENDA ITEM NO. 3.

In addition to the projects highlighted above, the City has done a diligent job conserving funds through the years in the various accounts. By reserving a portion of these funds, a “rainy day fund” has been built up to utilize in case unexpected projects or greater, longer-term needs were to arise. The large fund balance in the Flexible Account is also being considered to help offset the costs for larger projects like the Pedestrian Bridge across State Route 168, near Clovis Community Hospital.

The Measure C Regional Transportation Program has been the primary funding source for many large roadway construction projects throughout the City since 2006. The Regional Measure C projects for the City include the following:

 D-1 Willow Avenue, Shepherd Avenue to Copper Avenue
 D-2 Willow Avenue, Teague Avenue to Shepherd Avenue
 D-3 Willow Avenue, north of Alluvial Avenue
 E-1 Temperance Avenue, Enterprise Canal to Shepherd Avenue  E-2 Temperance Avenue, Bullard Avenue to Herndon Avenue  E-3 Temperance and Shepherd Avenue Intersection
 K-1 Herndon Avenue, Willow Avenue to Clovis Avenue
 K-2 Herndon Avenue, Clovis Avenue to Fowler Avenue
 K-3 Herndon Avenue, Temperance Avenue to DeWolf Avenue  L-1 Shaw Avenue, Locan Avenue to Maine Avenue
 L-2 Shaw Avenue, DeWolf Avenue to McCall Avenue

All of the projects listed above have been completed except for L -2 Shaw Avenue, DeWolf Avenue to McCall Avenue and K-3 Herndon Avenue, Temperance to DeWolf Avenue. Currently, the first phase of Shaw Avenue between Leonard Avenue and McCall A venue is under construction. The second phase of Shaw Avenue between DeWolf and Leonard Avenues has been delayed due to right of way acquisition issues but should be going out to bid later this year.

The Herndon Avenue project is in the right of way acquis ition phase and should also be going out to bid later this year.

Measure C Renewal
In November 2022, a 30 -year extension of this ½ cent sales tax was voted down . This means that the current measure will expire in 2027 and the ½ cent sales tax collection will officially sunset. If approved, th e proposed measure would have provided approximately $6.8 billion toward Fresno County transportation needs. Clovis’ share would have been about $600 million.

FCTA is exploring the next steps for the renewal of Measure C. FCTA is currently conducting post-election polling with findings estimated to be released in April. FCTA is also performing stakeholder interviews to deter mine the needs and direction of the renewal effort moving forward.

FISCAL IMPACT
The intent of this report is to provide information about how the Measure C funding is being spent throughout the City. There is no fiscal impact.

14 AGENDA ITEM NO. 3.

REASON FOR RECOMMENDATION
The report is for information only and no action is required.

ACTIONS FOLLOWING APPROVAL
Staff will continue with the planned projects on for Fiscal Year 2022-23.

Prepared by: Tatiana Partain, Management Analyst

Reviewed by: City Manager AH

15 AGENDA ITEM NO. 3.

Attachment 1
16 AGENDA ITEM NO. 3.

Local Transportation Program City of Clovis
Street Maintenance Schedule of Expenditures for FY21/22:

Total Measure
C Funding
*Prior Year
Street
Maintenance
Adjustments
Total
Project Cost
492,589.45 - 492,589.45
487,678.27 - 487,678.27
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
980,267.72 - 980,267.72
Measure C Street
Maintenance
Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
Street Maintenance 492,589.45 - - - 492,589.45 Street Maintenance 487,678.27 - - - 487,678.27 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 980,267.72 - - - 980,267.72 980,267.72$
NOTES: (Use this area to provide further clarification on your report.)

1. Preventative Maintenance
Total FY21/22 Street Maintenance Expenditures:

2. Local Street Improvements
It is the intent of Measure C to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant funds were received and the ratio of grant money and Measure funds below.

PROJECT COST BREAKDOWN BY FUNDING SOURCE

1. Staff Engineering Costs, Bidding and Advertising, Construction Contract

2. Staff Engineering Costs, Bidding and Advertising, Construction Contract Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

2. Local Street Improvements

1. Preventative Maintenance City-Wide
City-Wide
Name of Project/Program Project Limits

TOTAL PROJECT COSTS
Name of Project/Program
Listed Above
LTP Street Maint.

Compliance Report 2 of 12 2/8/2023
17 AGENDA ITEM NO. 3.
18 AGENDA ITEM NO. 3.

Local Transportation Program
ADA Compliance Schedule of Expenditures for FY21/22: City of Clovis Total Measure C
Funding
*Prior Year ADA
Adjustments
Total
Project Cost
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

Measure C ADA
Compliance
Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -$
NOTES: (Use this area to provide further clarification on your report.) Total FY21/22 ADA Compliance Expenditures:

Name of Project/Program
Listed Above
It is the intent of the Measure to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant money was used and the ration of grant money and Measure funds. Please indicate below.

PROJECT COST BREAKDOWN BY FUNDING SOURCE
Name of Project/Program Project Limits

TOTAL PROJECT COSTS
LTP- ADA Compliance Report 4 of 12 08/24/15
19 AGENDA ITEM NO. 3.
20 AGENDA ITEM NO. 3.

Local Transportation Program
Flexible Funds Schedule of Expenditures for FY21/22: City of Clovis Total Measure C
Funding
Year
Flexible
Funds
Adjustm
Total
Project Cost
22,313.50 - 22,313.50
45,925.75 - 45,925.75
43,491.25 - 43,491.25
9,490.25 - 9,490.25
94,499.75 - 94,499.75
58,689.90 - 58,689.90
- - -
- - -
- - -
- - -
- - -
274,410.40 - 274,410.40
Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

Measure C Flexible
Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
Flexible 22,313.50 - - - 22,313.50 Flexible 45,925.75 - - - 45,925.75 Flexible 43,491.25 - - - 43,491.25 Flexible 9,490.25 - - - 9,490.25 Flexible 94,499.75 - - - 94,499.75 Flexible 58,689.90 - - - 58,689.90 - - - - - - - - - - - - - - - - - - - - - - - - - 274,410.40 - - - 274,410.40 274,410.40$
NOTES: (Use this area to provide further clarification on your report.) It is the intent of the Measure to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant money was used and the ration of grant money and Measure funds below.

PROJECT COST BREAKDOWN BY FUNDING SOURCE
Name of Project/Program
Listed Above
Total FY21/22 Flexible Funds Expenditures:

SUNNYSIDE - THIRD TO FIFTH
City-Wide

5. SUNNYSIDE - FIFTH TO BARSTOW SUNNYSIDE - FIFTH TO BARSTOW

6. SIERRA - WILLOW TO PEACH SIERRA - WILLOW TO PEACH

4. VEHICLE DETECTION REPLACEMENT

2. SHAW AVE- ARMSTRONG-TEMPERANCE SHAW AVE- ARMSTRONG-TEMPERANCE

1. Staff Engineering Costs 6. Staff Engineering Costs

2. Staff Engineering Costs

TOTAL PROJECT COSTS
Name of Project/Program Project Limits

1. ARMSTRONG - ALLUVIAL TO NEES ARMSTRONG - ALLUVIAL TO NEES

3. SUNNYSIDE - THIRD TO FIFTH

1. ARMSTRONG - ALLUVIAL TO NEES

2. SHAW AVE- ARMSTRONG-TEMPERANCE

3. SUNNYSIDE - THIRD TO FIFTH

4. VEHICLE DETECTION REPLACEMENT

3. Staff Engineering Costs

4. Staff Engineering Costs

5. Staff Engineering Costs5. SUNNYSIDE - FIFTH TO BARSTOW

6. SIERRA - WILLOW TO PEACH
LTP-Flexible Report 2 of 2 2/28/2023
21 AGENDA ITEM NO. 3.
22 AGENDA ITEM NO. 3.

Local Transportation Program City of Clovis
Pedestrian/Trails Facilities Schedule of Expenditures for FY21/22:

Total Measure C
Funding
*Prior Year
Ped/Trails
Adjustments
Total
Project Cost
12,196.25 - 12,196.25 238.00 - 238.00 - - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
12,434.25 - 12,434.25 Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

Measure C
Pedestrian
Trails Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
Pedestrian Trails 12,196.25 - 12,196.25 Pedestrian Trails 238.00 - - - 238.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 12,434.25 - - - 12,434.25 12,434.25$
NOTES: (Use this area to provide further clarification on your report.) Total FY21/22 Ped./Trail Facilities Expenditures:

1. TRAIL SYSTEM SURVEY

2. TRAIL COUNTER DISPLAY

PROJECT COST BREAKDOWN BY FUNDING SOURCE
Name of Project/Program
Listed Above
It is the intent of the Measure to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant money was used and the ration of grant money and Measure funds.

1. Staff Engineering Costs

2. Staff Engineering Costs
Name of Project/Program

2. TRAIL COUNTER DISPLAY City-Wide

1. TRAIL SYSTEM SURVEY City-Wide

TOTAL PROJECT COSTS
Project Limits
LTP-Pedestrian/Trail Report 8 of 12 2/8/2023
23 AGENDA ITEM NO. 3.
24 AGENDA ITEM NO. 3.

Local Transportation Program City of Clovis
Bicycle Facilities Schedule of Expenditures for FY18/19:

Total Measure C
Funding
*Prior Year
Bicycle
Adjustments
Total
Project Cost
111,624.92 - 111,624.92 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 111,624.92 - 111,624.92 Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

Measure C Bicycle
Facilities Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
Bicycle Facilities 111,624.92 - - - 111,624.92 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 111,624.92 - - - 111,624.92 111,624.92$
NOTES: (Use this area to provide further clarification on your report.)

TOTAL PROJECT COSTS
Name of Project/Program Project Limits
City-Wide1. BICYCLE TRANS MASTER PLN UPDATE

PROJECT COST BREAKDOWN BY FUNDING SOURCE
It is the intent of the Measure to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant money was used and the ration of grant money and Measure funds. Please indicate below.

1. Staff Engineering Costs, Consultant Contract
Name of Project/Program
Listed Above

1. BICYCLE TRANS MASTER PLN UPDATE
Total FY21/22 Bicycle Facilities Expenditures:

LTP- Bicycle Report 2 of 3 06/01/11
25 AGENDA ITEM NO. 3.

Date
Accepted
TO: Fresno County Transportation Authority By FCTA
FROM: (Name of Agency)
Address:

Contact Name: Phone: 559-324-2769 FAX: 559-324-2858
Email Address:

Regional Public Transit Program
Clovis Transit Sub Program Reporting for FY21/22: Total Clovis Transit Revenue Allocations to Date: 20,174,768.21$ Clovis Transit Beginning Fund Balance: 0.00 This amount should match your prior year Ending Balance reported to Authority.

Prior Year Adjustments: 0.00 This amount reflects adjustments made to this program after your prior year reports were filed. Indicate supporting details below.

They should match this amount.

Clovis Transit Adjusted Beginning Fund Balance: 0.00 This amount adds for you and will reflect your adjusted Beginning Balance after prior year adjustment.

Clovis Transit Revenues: 2,132,680.34 This amount should match the revenue allocations reported to you by the Authority and your Financial Reports.

Clovis Transit Interest Revenue: 0.00 This amount represents interest revenue allocated to the sub program by the Agency for the fiscal year, as required.

Total Clovis Transit Available Fund Balance: 2,132,680.34$ This amount adds for you and represents available fund balance to the sub program before expenditures by the Agency for the fiscal year.

Total Clovis Transit Expenditures: 2,132,680.34 This amount represents your expenditures for the fiscal year for this sub program and should match the expenditures on page 2 (You must detail expenditures below:) of this report and your Financial Reports.

Net Change (+/-) 0.00 Net Change calculates for you (i.e. Revenue minus Expenditure) FY21/22 Clovis Transit Ending Balance: -$ This amount will be your Beginning Balance on next fiscal year's report. (Ending Balance reflect reserve balances.)
Completed By: Title: Date:

MEASURE C EXTENSION REGIONAL PUBLIC TRANSIT PROGRAM

PASS THROUGH REVENUES FOR CLOVIS TRANSIT SUB PROGRAM
FY2021-22 REPORTING REQUIREMENTS
(Completed form must be submitted to FCTA no later than November 15th or future funds will be stopped until compliance is met.

Complete one form for each Sub Program and detail the expenditures in the Schedule of Projects on the 2nd page.) City of Clovis
1033 Fifth Street
Amy Hance
[email protected]
Approximately 1.97% of the Measure C Extension Regional Public Transit Program is provided to Clovis Transit to fund Primary and Secondary Transit Programs. The goal of the Primary Program is to improve the level of public transit services within Clovis and to continue to seek ways to coordinate and/or consolidate services in order to achieve a seamless transit system to the pubic.

Eligible projects to the Primary Program would be to improve frequencies to every 15 minutes on the busiest routes of the public transportation sytem in Clovis; enhance the delivery of paratransit to the disabled community consistent with federal and state law; install and integrate a regional automated farebox sysem to enhance transit coordination and seamless passenger travel between transit systems; complete fleet conversion to low emissions buses; expand service areas to all riders as Clovis's Sphere of Influence changes and reduced general public transit fares to Seniors 65 years of age and older.

The goal of the Secondary Program are improvements that will be funded after Primary Programs are completed provided that funding is available. Eligible projects would be to extend weekend service hours; enhance the delivery of paratransit serviecs to the senior community; pursue other alternative mass public transportation options such as bus rapid transit, automated people movers, light rail, etc. etc.; deploy other operational and infrastructure improvements such as "real time" bus arrival and departure information displays to provide better srevices to transit users and provide a Taxi Scrip Program for seniors 70 years or older.

Amy Hance General Services Manager 1/26/2023
This Reporting Form was prepared under the direction of the Public Works Director, Engineer, Transit Administrator or Other Authorized Official of the agency listed above. By filing this form you are certifying that expenditures listed on this form are v
RPT- Clovis Transit Report 11 of 12 2/8/2023
26 AGENDA ITEM NO. 3.

Regional Public Transit Program City of Clovis
Clovis Transit Schedule of Expenditures for FY18/19:

Total Measure C
Funding
*Prior Year
Transit
Adjustments
Total
Project Cost
2,132,680.34 - 2,132,680.34 - - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
2,132,680.34 - 2,132,680.34 Notes: (* Provide a sampling of the types of expenditures for the projects listed above and if you have a prior year adjustment you need to explain it in the area provided below.) Expenditures listed above will be audited for compliance.

Public Transit
Program Funding Amount
Other Measure C
Funding Amount
List Other
Funding Source Amount
List Other
Funding Source Amount
Total
Project
Expenditures
Measure C 2,132,680.34 - LTF/STA/Grants 4,498,176.71 - 6,630,857.05 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 2,132,680.34 - 4,498,176.71 - 6,630,857.05 2,132,680.34$
NOTES: (Use this area to provide further clarification on your report.)

TOTAL PROJECT COSTS
Name of Project/Program Project Limits
Transit Services & Operations
Funds expended for direct public transit operations including fuel, labor, maintenance, and other costs not including capital projects and Transit Services provided by Fresno Area Express.

It is the intent of the Measure to leverage funds wherever possible. If you are using Measure C funds to leverage other state or federal grants please indicate what grant money was used and the ration of grant money and Measure funds. Use the notes section to be as detailed as possible.

PROJECT COST BREAKDOWN BY FUNDING SOURCE
Name of Project/Program
Listed Above
Transit Services & Operations
Total FY21/22 Clovis Transit Expenditures:

RPT- Clovis Transit Report 12 of 12 2/8/2023
27 AGENDA ITEM NO. 3.

MEASURE C CITIZEN OVERSIGHT COMMITTEE
Fiscal Year 2022-2023 LOCAL AGENCY BUDGET FORM
This Form is used to report your planned budget for Measure C Pass-Through Funding. Please complete each page and e -mail entire form to Fresno COG staff member Jake Martinez at [email protected] City of Clovis
Date first completed or revised:

The anticipated Fiscal Year 2022-2023 revenue allocation for Street Maintenance sub-program: $1,759,765 Select the type of expenditure (check one for each project) Expenditure Amount Totals Street Maintenance Rehabilitation
A. Street Maintenance Reconstruction (check one, then give detailed, itemized description in section L)Street Maintenance Storm Damage Repair Street Maintenance Rehabilitation
B. Street Maintenance Reconstruction
Street Maintenance Storm Damage Repair
Street Maintenance Rehabilitation
C. Street Maintenance Reconstruction
Street Maintenance Storm Damage Repair
D. Total 2022-2023 Street Maintenance Planned Expenditures (Items A, B & C):

E. Fiscal Year 2022-2023 Street Maintenance Funds to be kept in reserve: * * Please indicate why 2022-2023 funds are being reserved:

F. Total of expenditures in lines D & E above: Total on Line F must match the 2022-2023 revenue allocation in blue at the top right hand area of this page.

G. Total of all cumulative Street Maintenance funds held in reserve accounts through June 30, 2022:

H. Will you be using 2022-2023 Street Maintenance funds in conjunction with other Fiscal Year 2022-2023 Local Agency Pass Through Funds? Yes No I. If you marked yes above, select what other type of Local Pass-Through funds will be used for the expenditures listed in A, B and C above: (check all that apply) Flexible
ADA
Bikeways
Trails
J. Are you using Matching Funds that are NOT from Measure C? If yes, indicate what type of funds: Yes No
K. Will you use previous fiscal year reserve funds during this fiscal year? 1 Yes es No
(check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
L. Give detailed, itemized descriptions of projects or items listed above in section A, B or C. You may attach additional pages of description or documentation if needed:

Completed by: (print)
Date last completed or revised: Date approved by COC: (staff use only) Attachment 2
10/20/2022
Tatiana Partain
11/15/2022
1370000
0 0
389765
1494924.86
1759765
1370000
Slurry Seals and Pavement Rejuvenation - $520,000 (Street Maintenance Fund) Local Street Improvements - Cape Seal Program - $850,000 (Street Maintenance Fund) For the design and construction of future street maintenance projects 28 AGENDA ITEM NO. 3.

MEASURE C CITIZEN OVERSIGHT COMMITTEE
Fiscal Year 2022-2023 LOCAL AGENCY BUDGET FORM
This Form is used to report your planned budget for all Fiscal Year 2022-2023 Measure C Pass-Through Funding.

Please complete all Forms and e-mail to Fresno COG at [email protected] City of Clovis
The anticipated Fiscal Year 2022-2023 revenue allocation for ADA Compliance sub-program: $61,592 Select the type of expenditure (give detailed, itemized descriptions at bottom) Expenditure Amount Totals ADA Curb Cuts and Ramps
A. Signage/Striping
Other program related & support facilities
ADA Curb Cuts and Ramps
B. Signage/Striping
Other program related & support facilities
ADA Curb Cuts and Ramps
C. Signage/Striping
Other program related & support facilities
D. Total 2022-2023 ADA Compliance Planned Expenditures (Items A, B & C):

E. Fiscal Year 2022-2023 ADA Compliance Funds to be kept in reserve: * * Please indicate why 2022-2023 funds are being reserved:

F. Total of expenditures in lines D & E above: Total on Line F must match the 2022-2023 revenue allocation in blue at the top right hand area of this page.

G. Total of all cumulative ADA Compliance funds held in reserve accounts through June 30, 2022:

H. Will you be using 2022-2023ADA Compliance funds in conjunction with other Fiscal Year 2022-2023 Local Agency Pass Through Funds? Yes No I. If you marked yes above, select what other type of Local Pass-Through funds will be used for the expenditures listed in A, B and C above: (check all that apply) Flexible
ADA
Bikeways
Trails
J. Are you using Matching Funds that are NOT from Measure C? If yes, indicate what type of funds: Yes No
K. Will you use previous fiscal year reserve funds during this fiscal year? Yes es No L. Give detailed, itemized descriptions of projects or items listed above in section A, B or C. You may attach (check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
2 additional pages of description or documentation if needed:
61592
0 0
0 57067.10
✔
61592
61592
City-Wide ADA Ramp Improvements -$325,000 (ADA Fund - $118,659 / Flexible Fund - $206,341) 29 AGENDA ITEM NO. 3.

MEASURE C CITIZEN OVERSIGHT COMMITTEE
Fiscal Year 2022-2023 LOCAL AGENCY BUDGET FORM
This Form is used to report your planned budget for all Fiscal Year 2022-2023 Measure C Pass-Through Funding.

Please complete all Forms and e-mail to Fresno COG at [email protected] City of Clovis
The anticipated Fiscal Year 2022-2023 revenue allocation for Flexible sub-program: $1,698,173 Write it the type of expenditure (give detailed, itemized descriptions at bottom) Expenditure Amount Totals A. Type of expenditure:

B. Type of expenditure:

C. Type of expenditure:

D. Total 2022-2023 Flexible Funding Planned Expenditures (Items A, B & C):

F. Total of expenditures in lines D & E above: Total on Line F must match the 2022-2023 revenue allocation in blue at the top right hand area of this page.

G. Total of all cumulative Flexible funds held in reserve accounts through June 30, 2022:

H. Will you be using 2022-2023 Flexible Funding in conjunction with other Fiscal Year 2022-2023 Local Agency Pass Through Funds (Street Maintenance, ADA, etc.) Yes No Street Maintenance
ADA
Bikeways
Trails
J. Are you using Matching Funds that are NOT from Measure C? If yes, indicate what type of funds: Yes No
3 E. Fiscal Year 2022-2023 Flexible Funding to be kept in reserve: * * Please indicate why 2022-2023 funds are being reserved:

I. If you marked yes above, select what other type of Local Pass-Through funds will be used for the expenditures listed in A, B and C above: (check all that apply) K. Will you use previous fiscal year reserve funds during this fiscal year? Yes es No L. Give detailed, itemized descriptions of projects or items listed above in section A, B or C. You may attach additional pages of description or documentation if needed:
0 206341
1491832
1698173
0 1698173
7118788.04
✔
Street Maintenance
ADA Ramp Improvements
Street Improvements
City-Wide ADA Ramp Improvements -$325,000 (Flexible Fund - $206,341 / ADA Fund - $118,659) Herndon, Fowler to Armstrong (Design) - $70,000 (Flexible Fund) Nees, Clovis to Sunnyside (Design) - $70,000 (Flexible Fund) Sunnyside, Fifth to Barstow (Construction) - $1,300,000 (Flexible Fund) Sunnyside, Third to Fifth (Construction) - $570,000 (Flexible Fund) 30 AGENDA ITEM NO. 3.

MEASURE C CITIZEN OVERSIGHT COMMITTEE
Fiscal Year 2022-2023 LOCAL AGENCY BUDGET FORM
This Form is used to report your planned budget for all Fiscal Year 2022-2023 Measure C Pass-Through Funding. Please complete all Forms and e-mail to Fresno COG at [email protected] City of Clovis
The anticipated Fiscal Year 2022-2023 revenue allocation for Pedestrian Urban Trails sub-program: $414,117 Select the type of expenditure (give detailed, itemized descriptions at bottom) Expenditure Amount Totals Rehab existing pedestrian trail
A. Construct new pedestrian trail
Signage/Striping
Master plan preparation & updates
Other program related & support facilities
Rehab existing pedestrian trail
B. Construct new pedestrian trail
Signage/Striping
Master plan preparation & updates
Other program related & support facilities
Rehab existing pedestrian trail
C. Construct new pedestrian trail
Signage/Striping
Master plan preparation & updates
Other program related & support facilities
D. Total 2022-2023 Pedestrian Urban Trail Planned Expenditures (Items A, B & C):

E. Fiscal Year 2022-2023 Pedestrian Urban Trail Funds To Be Kept In Reserve: * * Please indicate why 2022-2023 funds are being reserved:

F. Total of expenditures in lines D & E above: Total on Line F must match the 2022-2023 revenue allocation in blue at the top right hand area of this page.

G. Total of all cumulative Pedestrian Urban Trail funds held in reserve accounts through June 30, 2022:

Yes No
Street Maintenance
Flexible
ADA
Bikeways
Yes No
4 (check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
H. Will you be using 2022-2023 Pedestrian Urban Trail funds in conjunction with other Fiscal Year 2022-2023 Local Agency Pass Through Funds (ADA, Flexible, etc.) J. Are you using Matching Funds that are NOT from Measure C? If yes, indicate what type of funds:

I. If you marked yes above, select what other type of Local Pass-Through funds will be used for the expenditures listed in A, B and C above: (check all that apply) K. Will you use previous fiscal year reserve funds during this fiscal year? Yes No L. Give detailed, itemized descriptions of projects or items listed above in section A, B or C. You may attach additional pages of description or documentation if needed:
110000
20000
0 130000
284117
414117
1455415.29
Trail Pavement Maintenance - $110,000 (Pedestrian Trail Fund) Pedestrian Bicycle Trail System Survey - $20,000 (Pedestrian Trail Fund) Saving for future trail projects
31 AGENDA ITEM NO. 3.

MEASURE C CITIZEN OVERSIGHT COMMITTEE
Fiscal Year 2022-2023 LOCAL AGENCY BUDGET FORM
This Form is used to report your planned budget for all Fiscal Year 2022-2023 Measure C Pass-Through Funding.

Please complete all Forms and e-mail to Fresno COG at [email protected] City of Clovis
The anticipated Fiscal Year 2022-2023 revenue allocation for Bicycle sub-program: $105,557 Select the type of exp enditure (give detailed, itemized descriptions at bottom) Expenditure Amount Totals Class II Bicycle Facilities
A. Signage/Striping
Master plan preparation & updates
Other program related & support facilities
Class II Bicycle Facilities
B. Signage/Striping
Master plan preparation & updates
Other program related & support facilities
Class II Bicycle Facilities
C. Signage/Striping
Master plan preparation & updates
Other program related & support facilities
D. Total 2022-2023 Bicycle Planned Expenditures (Items A, B & C):

E. Fiscal Year 2022-2023 Bicycle Funds To Be Kept In Reserve: * * Please indicate why 2022-2023 funds are being reserved:

F. Total of expenditures in lines D & E above: Total on Line F must match the 2022-2023 revenue allocation in blue at the top right hand area of this page.

G. Total of all cumulative Bicycle funds held in reserve accounts through June 30, 2022:

H. Will you be using 2022-2023 Bicycle funds in conjunction with other Fiscal Year 2021-2022 Local Agency Pass Through Funds (Flexible, ADA, etc.) Yes No I. If yes, select what other type of Local Pass-Through funds will be used: (check all that apply)
Street Maintenance
Flexible
ADA
Trails
Yes No
5 (check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
(check one, then give detailed,
itemized description in section L)
J. Are you using Matching Funds that are NOT from Measure C? If yes, indicate what type of funds:

K. Will you use previous fiscal year reserve funds during this fiscal year? L. Give detailed, itemized descriptions of projects or items listed above in section A, B or C. You may attach Yes No
additional pages of description or documentation if needed:
105557
0 0
105557
0 105557
81649.25
Re-striping bike lanes throughout City - $105,557(Bicycle Funds) Master Plan - ATP - $50,000 (Bicycle Funds)
32 AGENDA ITEM NO. 3.

TO: Mayor and City Council
FROM: Public Utilities
DATE: March 13, 2023
SUBJECT: Public Utilities – Approval – Authorize the Purchase of a Flygt Sewage Pump from Shape Incorporated for the Amount of $108,348.18.

ATTACHMENTS: None

CONFLICT OF INTEREST
Councilmembers should consider recusal if a campaign contribution exceeding $250 has been received from the project proponent (developer, applicant, agent, and/or participants) since January 1, 2023 (Government Code 84308).

RECOMMENDATION
For the City Council to authorize the purchase of one (1) replacement sewage pump for Pump Station B , located at 3291 Fowler Avenue , from Shape Incorporat ed in the amount of $108,348.18.

EXECUTIVE SUMMARY
Included in the 2022-2023 Wastewater Budget are funds to purchase equipment for routine maintenance of existing City facilities , as defined in section 2.9.02(c) of the Clovis Municipal Code. The purchase of a replacement pump for Pump Station B was included in the current budget. Staff requested quotes from three pump suppliers and received two quotes meeting the specifications for a direct replacement pump. Shape Incorporated provided the lowest quote, in the amount of $108,348.18 including tax, and City staff will install the new pump.

BACKGROUND
Pump Station B was constructed in 2008. The Pump Station is a critical part of the City’s wastewater collection system and of particular importance to supplying the Sewage Treatment Water Reuse Facility (ST-WRF) with wastewater. The wastewater treated at the ST-WRF is utilized throughout the City’s recycled water system for landscape irrigation. Pump Station B is a redundant pump facility with two (2) submersible centrifugal Flygt pumps. The pumps operate in alternating duty cycles to maintain flow to Pump Station E and ultimately to the ST-WRF. The existing Flygt pumps are original to the construction of Pump Station B but have been repaired and overhauled over the past 15 years. Costs to repair the pumps, and pump replacement part 33 AGENDA ITEM NO. 4.
lead times , have increased through the years. Considering the age of the pumps and their importance in the wastewater collection system, Public Utilities staff budgeted to purchase one (1) pump for replacement at the next overhaul cycle.

FISCAL IMPACT
Sufficient funds were included in the W astewater Enterprise budget for the 2022-2023 Fiscal Year to purchase a replacement sewage pump.

REASON FOR RECOMMENDATION
Shape, Inc. is the authorized supplier for Flygt Pumps in the region. The Flygt pumps have provided excellent reliability, durability, and performance. City wastewater maintenance staff is experienced with Flygt pumps and there is local vendor support for the product.

ACTIONS FOLLOWING APPROVAL
A purchase order will be sent to the City manager for approval.

Prepared by: Paul Armendariz, Assistant Public Utilities Director

Reviewed by: City Manager AH

34 AGENDA ITEM NO. 4.

TO: Mayor and City Council
FROM: Finance Department
DATE: March 13, 2023
SUBJECT: Receive and File - 2023 Five-Year Financial Forecast for the City of Clovis through 202 7/28 and discuss options for budget preparation for 2023/24. (Continued from the March 6, 2023, meeting)
Staff: Jay Schengel, Finance Director
Recommendation: Receive and File
ATTACHMENTS: 1. Five-Year Financial Forecast through 2027/28

CONFLICT OF INTEREST
Councilmembers should consider recusal if a campaign contribution exceeding $250 has been received from the project proponent (developer, applicant, agent, and/or participants) since January 1, 2023 (Government Code 84308).

RECOMMENDATION
That the City Council receives, provides comment, and files the Five-Year Financial Forecast.

EXECUTIVE SUMMARY
The Five-Year Financial Forecast is a management tool that is updated and prepared each year to provide the City Council and City management with information on trends for the City’s long-term financial condition. The forecast represents a continuing effort to analyze the City’s fiscal condition based upon a reasonable set of economic and operational assumptions. It is a very important management tool for identifying fiscal trends and issues which must be addressed early to assure continued financial success. This report will serve as an opportunity to review the information and provides guidance on delivering the City’s core services in a sustainable manner.

BACKGROUND
The Five-Year Financial Forecast is a tool intended to be utilized in identifying financial issues confronting the City. The Five -Year Financial Forecast represents a continuing effort to analyze the City’s long -term fiscal condition based upon a reasonable set of economic and operational assumptions. As such, any change in any one of the assumptions can impact the forecasted projections.
35 AGENDA ITEM NO. 5.

The document is presented in several sections that include Introduction, Executive Summary, Analysis of Funds, Narratives and Exhibits.

The report presents exhibits that are the financial forecast spreadsheets and assumptions.

This provides a quick review of the revenues, expenditures, and fund balances for operations of the General Fund as well as operations of the Public Utility Enterprise Funds, Planning and Development Services and T ransit. Throughout the document , selected tables and graphs have been paired with narrative descriptions to help illustrate forecasted City revenue collections and expenditures.

Based on current growth figures, the City of Clovis is expected to reach 135,000 in population over the next five years. The City pays very close attention to growth in our analysis of the General Fund to estimate revenues and expen ditures for the day -to-day operations and servicing of the City’s population including police, fire, parks, recreation, senior services, and street maintenance.

General Fund Status / Summary

The General Fund forecast that is presented is structurally bal anced and provides as much growth in critical services as possible. However, there are three distinct challenges in this forecast for the next five years. Discretionary revenue is projected to grow at a slower rate , California Public Employees’ Retirement System (PERS) costs will rise significantly, and the City continues to grow which increases the demand for General Fund services, most notably public safety. Included in the public safety growth are an additional 5 police officers in 2023/24 and an additional 3 officers for the following four forecasted years. Additionally, transfers to the General Government Facilities Fund are needed for various capital projects throughout the forecast period.

Developing accurate revenue estimates during a constantly evolving economy has proven to be challenging. Rising interest rates, inflation at a forty year high, along with production and supply chain disruptions have compounded the uncertainty. Many influences at the local, state, and federal level have significantly impacted revenue sources both on an ongoing and one - time basis. Based on current estimates, revenues are currently projected to be approximately $1.7 million above expenditures. Because the 202 2/23 budget was prepared on a fairly conservative basis, most departmental budgets are experiencing better than originally estimated outcomes such as revenues exceeding budgeted estimates while expenditures are less than budgeted estimates.

General Fund revenues are projected to exceed the current working budget by $2.8 million for the current fiscal year. This is due to increases in several revenue sources. State reimbursements for wildfires are coming in with an additional $0.7 million over working budget and Transient Occupancy Taxes has an additional $0.8 million estimated due to the increase of the hotel tax rate from 10% to 12% effective on January 1, 2023, and includes the anticipated opening of the Marriott Residence Inn in March 2023. Property taxes are projected to be $1.1 million above budget and s ales tax is projected to show a moderate increase of 1.4% in 2022/23 after robust growth in the prior two fiscal years. Card room fees are experiencing a 36 AGENDA ITEM NO. 5.
reduction from the prior year. Franchise fees are projected to be slightly above budget although fees are declining for cable as more residents are opting into satellite and streaming services for home entertainment which are services not subject to Franchise Fees . All additional grant revenues projected are offset with corresponding additional expenditure increases in salaries, benefits, and overtime.

To attain the City’s goal of having the emergency reserve funded at 25% of expenditures, the emergency reserve is being maintained at 23% of expenditures during this forecast period.

FISCAL IMPACT
The forecast provides an opportunity to review the historical trends for actual results and consider current economic factors for future decisions. It provides guidance for the City to maintain fiscally sustainable operations into the future.

REASON FOR RECOMMENDATION
The financial forecast provides an assessment of the impacts of past budgetary policy and possible future outcomes based on current bu dget strategies. Enhancing services while maintaining financial sustainability are shown to be critical to the City’s future success. The forecast is a tool to be used for prudent management of the City’s resources.

ACTIONS FOLLOWING APPROVAL
The staff will receive comments from the Council to assist with the preparation of the 2023/24 Annual Budget.

Prepared by: Jay Schengel, Finance Director

Reviewed by: City Manager JH

37 AGENDA ITEM NO. 5.

Five-Year
Financial Forecast
Through Fiscal Year 2027/28
Prepared March 2023
City of Clovis
Attachment 1 38
AGENDA ITEM NO. 5.
39 AGENDA ITEM NO. 5.

CITY OF CLOVIS
Five-Year Financial Forecast
Through Fiscal Year 2027/28
PREPARED BY:

John Holt, City Manager
Andrew Haussler, Assistant City Manager
Jay Schengel, Finance Director
Gina Daniels, Assistant Finance Director
Jeff Blanks, Deputy Finance Director
Susan Evans, Accounting Supervisor
Jose Reynoso, Senior Accountant
Jose Cortez, Accountant
Ran Chan, Accountant
40 AGENDA ITEM NO. 5.

CITY OF CLOVIS

FIVE-YEAR FINANCIAL FORECAST

TABLE OF CONTENTS

I. INTRODUCTION

A. Introduction, Executive Summa ry & Analysis of Funds ............. 1-4

II. GENERAL FUND

A. Summa ry ................................................................................... 5-8

B. Financial Summa ry Spreadsheet ................................................. 9

C. Revenue Sp readsheets ......................................................... 10-11

D. Expenditure Sp readsheets .................................................... 12-13

III. ENTERPRISE, INTERNAL SERVICE & DEBT SERVICE FUNDS

A. Water Ente rprise.................................................................... 15-17

B. Sewer Ente rprise ................................................................... 19-21

C. Community Sanitati on Enterprise .......................................... 23-25

D. Transit Ente rprise .................................................................. 27-29

E. Planning and Development Services Enterprise ................... 31-33

F. Internal Service & Debt Service ................................................. 34 41 AGENDA ITEM NO. 5.

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INTRODUCTION

The Five-Year Financial Forecast through 2027/28 represents a continuing effort to analyze the City’s long-term fiscal condition based upon a reasonable set of economic and operational assumptions. It is an import ant management tool used by both the City Council and senior management to identify fiscal trends and issues which must be addressed to assure continued financial stability. The set of forecasts contained in this report is not a prediction of what will occur. The forecast is a snapshot in time and an approximate view of what could occur in the future if all the assumptions are realized.

As with any forecast or prediction, the assumptions and proj ections for the nearer years carry more certainty and confidence than for the years further into the future.

The economic disruption of the past few years has made forecasting even more challenging as financial markets, cost of goods, and the economy overall has grown increasingly volatile, along with various stimulus and assistance programs that have been implemented by the state and federal governments. It is important that the City continue to closely monitor economic conditions locally , statewide, and nationally and policies at state and national levels that will impact the City’s financial health.

EXECUTIVE SUMMARY

The Five-Year Financial Forecast is a shift from previous years in the General Fund. In previous years the ability of the City to cover operational expenses and cover capital needs was extremely challenging as sales and property taxes made up 65% of the total General Fund revenues on average. The City received one-time funds from the federal and state governments in response to the COVID-19 pandemic in 2020/21 and 2021/22 totaling over $20.2 million. This explains so me of the significant fluctuations that have occurred in revenues and expenditures in thes e years. The City also received the Staffing for Adequate Fire and Emergency Re sponse (SAFER) grant funding to hire additional fire fighters in May 2021 for Fire Station 6 and will rece ive approximately $4 million over a three-year period. Station 6 opened in Augus t 2022, and funding from the SAFER grant will run through December 2023. From that point forward, the General Fund will incur the additional cost of the nine new firefighters – approximately $1.5 million annually.

The General Fund forecast that is presented is structurally balanced and provides as much growth in critical services as possible. This is feasible due to the one-time economic stimulus funds the City rece ived that allowed for funding to be transferred to capital projects and fleet replacement that discretionary revenues would have had to contribute to. It should be noted that this forecast also includes a continued level of transfers to the General Government Facilities Fund for much needed capital projects throughout the forecast period, and ongoing transfers to the emergency reserve are being maintained to sustain a level of 23% of expenditures in pursuit of the goal of reaching the target of 25%.

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The Water Enterprise Fund forecast maintains stable reserves with annual 3% rate increases that have been adopted and are include d in each year of the forecast. The forecast also includes continued contributi ons to the reserves for drought contingency and for the Sustainable Groundwater Management Act (SGMA) though 2027/28. In 2020/21, there was a $5 million down payment as requir ed by the Firm Water Supply Agreement with the Fresno Irrigation District (FID). The remaining balance of $30 million is anticipated to be paid by development impact fees in future years. The forecast includes an interfund loan of $7.5 million in 2021/22 from the Trichloropropane (TCP) reserves to General Services to fund the construction of Fire Station 6, and annual loan repayments for ten years beginning in 2022/23. This loan wil l not affect the City’s ability to treat for TCP during the term of the loan.

The Sewer Enterprise Fund forecast maintain s stable reserves throughout the forecast period. Beginning in 2022/23, a 3% rate increase is included in each year of the forecast period to keep up with rising operating, maint enance, and capital costs, and to maintain a sufficient fund balance for future bonding capacity. An interfund loan is shown beginning in 2023/24 of the fo recast because it is projec ted that the collection of development impact fees for Sewer Major Facili ties will be insufficient to cover the debt service payments. However, there are sufficient funds in the bond charge fund balance collected in prior years to continue the fu ll $7.30 per month rebate to customers until 2026/27. The ability to continue to rebate funds back to ratepayers will be monitored closely throughout the forecast period.

The Community Sanitation Fund maintains stable reserves in this forecast. A 4% annual increase, or portion thereof, was approved by City Council in November 2004 to be implemented as necessary. A decrease of 1.5% was implemented for refuse charges in 2022/23 and increases of 4% are projected ther eafter for the remainder of the forecast period. To keep pace with the recycling and green waste contract increases, the approved 4% annual increase is projected for these operations. In 2021/22, Council approved a $0.50 rate increase for street sweep ing charges resulting in a new rate of $2.75 per month beginning July 1, 2022.

The Transit Fund reflects enough revenues throughout the forecast period to support its operational and capital needs because of incr eased revenues from the Transportation Development Act, which includes Local Tr ansportation Funds (LTF) and State Transit Assistance (STA) funds allocated to Trans it based on population, taxable sales, and transit performance. With funding for Transit constantly in flux, and the Measure C sales tax due to expire after 2027, the types and leve ls of funding will be closely monitored to make any necessary adjustments to current service levels should the need arise. Project- specific funding, including SB1 and various cap-and-trade grants, are used for capital expenses for enhancement of rider amenities . Beginning with the 2017/18 fiscal year, the Transit Fund was required to defer revenue that it had received but not yet spent. Any working capital that is required to be defe rred can be seen on the Transit Fund forecast on the line labeled “Deferred Revenue.” The c onstruction of a new transit center is anticipated to be completed in the fall of 2023.

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The Planning and Development Services Ente rprise Fund forecast maintains adequate and constant reserves. The reserv es are included in case of a slow-down and prudent funding is maintained throughout the forecast period. There have been several years of relatively high numbers of residential units per year; however, starting in 2021/22, those numbers have declined from the most recent five-year average of 1,080 units. As a result, the current fiscal year and the following fiscal year will draw from the fund’s working capital but will increase working capital in the projection years beginning in 2024/25. The fund maintains a healthy working capital balance throughout the forecast period.

Internal Service Funds are projected to be self-balancing throughout the forecast period.

Each of the Internal Service Funds is co ntinually monitored, and more cost-effective programs are implemented wherever possible to reduce costs to all other City operations.

Debt Service Funds will be fully funded to make all debt paym ents and meet all legal obligations.

ANALYSIS OF FUNDS
The purpose of this forecast is to prov ide the City Council and senior management with an early identification of financial trends. With early detec tion, financial trends identified as possible problems can be dealt with in a reasonable manner rather than waiting for a crisis to occur.

The City’s Annual Budget represents a total financing plan for all City operations and must be analyzed by its component par ts to make any meaningful adjustments. Unlike a private holding company, the City cannot remove cash from any one enterprise operation to help support general tax funded operations. Although there is certainly some financial interdependence between the funds, such as inte rnal service fund charges to allocate common costs, each fund represented in the budget must stand alone.

When analyzing City operations, it is appropri ate to look at the budget, department by department. However, when reviewing long range fina ncial policies, it is best to look at the fund structure rather than the department structure. The major fund groups reviewed in this forecast are the operating funds of the City including:

General Fund - This fund includes the functions of general government, including elected officials, administration and finance, public safety, and some field maintenance activities, such as parks and street maintenance.

Enterprise Funds - These funds include operations for water, sewer, solid waste, street cleaning, transit, and planning and development services. 3 46
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Internal Service Funds - These funds include property and liability insurance, employee benefits, fleet maintenance, and general services.

Debt Service Funds - These funds include all debt servic e activity for which the City is responsible.

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GENERAL FUND

Current Year – 2022/23

The 2022/23 Annual Budget was developed to grow the City’s operations to match growth and provide targeted investments in the City to improve the qualit y of life for its residents.

Compared to the past few years, this is a welcome return from those restrained budgets due to the economic uncertainty of the pandemic. While economic uncertainty still exists and the General Fund is still constrained, the City is in a solid fiscal position. This budget further solidifies the City’s financial position in improv ing reserves, setting aside funds for future needs, and reduces the potential need for debt financ ing while restoring critical services and making significant investments in our City.

Developing accurate revenue estimates during a constantly evolving economy has proven to be challenging. Rising interest rates, inflati on at a forty year high, along with production and supply chain disruptions have compounded the uncertainty. Many influences at the local, state, and federal level have significantly impact ed revenue sources both on an ongoing and one- time basis. Based on current estimates, revenues are currently projected to be approximately $1.7 million above expenditures. Because t he 2022/23 budget was prepared on a fairly conservative basis, most departmental budgets are experiencing better than originally estimated outcomes such as revenues exceedi ng budgeted estimates wh ile expenditures are less than budgeted estimates.

General Fund revenues are projected to exceed t he current working budget by $2.8 million for the current fiscal year. This is due to incr eases in several revenue sources. State reimbursements for wildfires are coming in with an additional $0.7 million over working budget and Transient Occupancy Taxes has an additional $0.8 million estimated due to the increase of the hotel tax rate from 10% to 12% effective on January 1, 2023 and includes the anticipated opening of the Marri ott Residence Inn in March 2023. Property Taxes are projected to be $1.1 million above budget. Card room fees are experiencing a reduction from the prior year. Franchise Fees are project ed to be slightly above budget although fees are declining for cable as more residents are opting into satellite and streaming services for home entertainment which are services not subject to Franchise Fees. All addi tional grant revenues projected are offset with corr esponding additional expenditure increases in salaries, benefits, and overtime.

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Forecast – 2023/24 through 2027/28
Three distinct challenges are in the General Fund forec ast for the next five years.

Discretionary revenue is project ed to grow at a slower rate, California Public Employees’ Retirement System ( PERS) costs will rise signi ficantly, and the City continues to grow which increases the demand for General Fund services, most notably publ ic safety. Included in the public safety growth are an additional 5 police officers in 2023/24 and an additional 3 officers for the following four projected years. To attain the City’s goal of hav ing the emergency reserve funded at 25% of expenditures, this reserve is being maintained at 23% during this forecast period. As expenditures plus transfers exceed revenues, the General Fund balance is projected to diminis h from $3 million in 2023/24 to $1 million in 2027/28.

Revenues
Property taxes and sales taxes are the two largest sources of discretionary revenue making up 82% of the total discretionary revenues on av erage; franchise fees , business licenses, and transient occupancy taxes make up the bulk of t he remainder. P roperty tax growth is lar gely driven by growth in the City. When residential, co mmercial or industrial growth occurs, there is a corresponding inc rease in the demand for servic es. However, the inc rease in property tax revenues to support the additional demand for serv ices will not be received by the City until potentially two years after the gr owth occurs. In addition, the pr operty tax rate cannot exceed 2% growth annually due to Proposition 13 statutory limitations. Property tax growth during the forecast period is projected to inc rease at a rate corresponding to 800 single and multi-family residential units, which is approximately the 15-year residential unit average. The forec ast does not project a housing downturn because those are difficult to anticipate. However, if one was to occur, this would result in property tax growth being lower than forecasted.

Sales tax growth has changed due to a change in how people spend their money and due to the shift to online purchases which was exacerbated by the pandemic. In broad terms, consumers are spending a much higher percentage of their disposable inc ome on services rather than goods. Since only goods are subject to sales tax, the revenue from sales tax is not keeping up with population growth and inflation. Additionally, consum ers are purchasing an ever-increasing portion of their goods from online sources rather than local sources. Sales tax is not collected on some online purchases, and sale s tax from other online purchases are paid to the locality of distribution rather than locality of delivery. Furthermore, the online sales tax that is nominally paid to the locality of delivery is actually paid to the County of delivery and is then distributed to the cities in proportion to their sales tax revenues from brick-and-mortar vendors.

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une 2018, the U.S. S upreme Court’s decision in South Dakota vs. Wayfair Inc . overruled the long-standing physical pr esence r ule that prevented states from taxing remote sales.

Effective April 1, 2019, Californi a established that all retailers , whether loc ated inside or outside California, are required to collect and re mit taxes on all sales made for delivery in any district that imposes such tax if the retailer has more than $500,000 in annual taxable sales.

As a result of California’s AB 147-The Marketplace Facilitator Act’s response to the “Wayfair” decision, the county pools have experienced vigorous gains creating a new baseline for pools allocations. Consumers have adapted to buying online at a record pace. Although rec ent 6 51
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acceleration to online buying should continue growing the pools, current gains have subsided to levels moderately better than pre-Wayfair historical levels.

Sales Tax is projected to show a moderate increas e of 1.4% in 2022/23 after robust growth in the prior two fiscal years. Sales tax is expected to be flattening or experiencing modest growth due to inflationary pressures on households shifti ng household dollars away from discretionary spending as a larger portion of income goes to essentials such as food, transportation and housing costs. For the remaining projected years, Sales Tax is expected to experience normalized growth at 3-4% annually with population growth at 800 residential units per year.

Growth in Franchise Taxes has slowed in rec ent years as more households move away from traditional hard-wired phone and cable TV service towards cellular and satellite services which are not taxed. All other discretionary revenues are forecast to increase at average growth plus inflation at a three-year average Consumer Price Index.

PERS
PERS costs are projected to rise significantly during the foreca st period due to the recent decline of the market resulting in a decline of investment returns for the PERS investment portfolio. PERS has not yet released new rates show ing the result of this downturn, so to be prudent, the 2023/24 rates were used throughout the pr ojected years of the forecast. At this point the full impact of the investment fluc tuations has not been determined, however, we anticipate the new rates to be at least equal to the 2023/24 rates, if not slightly higher. The
following chart shows the expected General Fund PERS costs, both as a percentage of salary and in dollars, for the forecast period.

As can be seen in the chart, annual General F und PERS costs are projected to rise by $3 million between the current year and the end of the forecast period. 7 52
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Growing D
emands
The City continues to grow, and in recent years it has grown faster than the long-term average.

The growt
h drives some revenue growth, but it also drives a growing demand for services.

Police and Fire comprise the largest expenditures in the General Fund (87% of the City’s discretionary revenues go to Police and Fire) and are most impacted by this growing demand.

Staff will continue to evaluate different ways of delivering services using technology, social media, and best practices to narrow the gap between increased demand for services and the City’s ability to provide without lowering service levels. Failure to grow these departments, as well as other General Fund departments at a rate corresponding to the growth of the City may result in a reduction in the level of service that is provided to the citizens of Clovis.

Approach to the Forecast
The forecast represents staff’s best estimate of the City’s finances for the next five years and will be the basis on which the budget is dev
eloped. The foreca st must be structurally sound
and sustainable, so projected revenues, expenditu res and transfers must be balanced. Some of the components of these revenues, expenditures and transfers are more easily controllable than others. Major increases to revenues, ei ther through tax increas es or extraordinary commercial growth, would be challenging to achi eve or even completely unfeasible, so they were not considered in the dev elopment of the forecast. Expenditures and transfers were adjusted as necessary to best achieve the Cit y’s goals and comply with the City’s policies within the available revenue.

The impact of the PERS costs is significant; t hose costs will rise from 12.5% of the General Fund budget a few years ago to 15% by 2027/28. Essentially, that means the level of service plus the transfers to the rese rve that can be provided in 2027/28 will be only 97.5% of what could have been provided without this rise in PERS costs.

Service levels are already stretched thin, so th is forecast emphasizes growing those services, specifically public safety, as much as revenues allow. Transfers to the General Government Facilities Fund throughout the foreca st are for capital projects that were included in the five- year community investment program in the 2022/23 budget for 2023/24 through 2027/28.

Transfers to the emergency reserve are being main tained at 23% of expenditures in pursuit of the goal of 25%. The forecast includes five addi tional police officers in 2023/24 and three additional officers for each of the remaining four forecast years. 8 53
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CITY OF CLOVIS

General Fund Financial Forecast - Summary
(dollars in thousands)
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Beginning Available Fund Balance 4,430 4,110 1,280 8,430 3,960 2,700 1,490 1,700 1,630 Reappropriation/Encumbrances (190) 290 (790) (1,270)

REVENUES
Discretionary 57,710 66,100 73,630 76,590 80,180 83,320 86,280 89,310 92,430 Non-Discretionary 17,550 30,440 30,170 22,590 22,080 21,790 22,500 23,250 24,010 Total Revenues 75,260 96,540 103,800 99,180 102,260 105,110 108,780 112,560 116,440

EXPENDITURES
Public Safety 54,420 58,590 63,300 73,310 74,100 77,100 80,030 83,090 86,300 Public Utilities 10,050 10,600 11,000 12,490 12,900 13,410 13,830 14,270 14,730 General Government 8,360 8,630 9,660 11,670 11,850 12,420 12,690 13,270 13,620 Total Expenditures 72,830 77,820 83,960 97,470 98,850 102,930 106,550 110,630 114,650 Resources Above/(Below) Operating Expenditures 2,430 18,720 19,840 1,710 3,410 2,180 2,230 1,930 1,790

ADDITIONAL ITEMS
Transfers In from Successor Agency 450 0 0 000000
Transfers Out to General Government Facilities Fund 0 (11,950) (5,540) (2,020) (2,670) (1,790) (1,020) (1,000) (1,000) Transfers Out to PDS/Projects (300) (300) (310) (300) ( 300) (300) (300) (300) (300) Transfers Out to Fleet Fund (2,660) (6,040) (3,010) (990) 00000 Total Additional Items (2,510) (18,290) (8,860) (3,310) (2,970) (2,090) (1,320) (1,300) (1,300) Net Increase/(Decrease) to Fund Balance (80) 430 10,980 (1,600) 440 90 910 630 490

OTHER ITEMS
(Use of)/Addition to Emergency Reserve 50 3,550 3,040 1,600 1,700 1,300 700 700 1,000 Total Other Items 50 3,550 3,040 1,600 1,700 1,300 700 700 1,000 Ending Available Fund Balance 4,110 1,280 8,430 3,960 2,700 1,490 1,700 1,630 1,120 Emergency Reserve-(Dollars) 12,810 16,360 19,400 21,000 22,700 24,000 24,700 25,400 26,400 Emergency Reserve as a % of Expenditures 17.60% 21.00% 23.10% 21.50% 23.00% 23.30% 23.20% 23.00% 23.00%

PROJECTEDESTIMATEDACTUALS
General Fund Summary 2/8/2023 9:05 AM
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CITY OF CLOVIS
General Fund - Financial Forecast (dollars in thousands)

REVENUES ESTIMATED
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Residential Units (SF + MF) 1,112 1,238 859 850 800 800 800 800 800 Discretionary
Property Taxes
15,880 16,960 18,230 19,250 20,140 20,740 21,540 22,340 23,160 Property Tax In Lieu-VLF 10,420 11,160 11,900 12,910 13,450 14,000 14,570 15,170 15,790 Sales Tax 22,070 27,180 30,640 31,070 32,000 33,280 34,280 35,300 36,360 Franchise Fee 2,460 2,600 2,770 2,950 3,130 3,280 3,410 3,540 3,670 Business License 3,490 3,710 4,000 4,190 4,490 4,760 5,000 5,250 5,510 Other Taxes 2,970 4,100 5,780 6,030 6,770 7,040 7,250 7,470 7,690 Interest 180 120 40 60 60 70 80 90 100
Other Revenues-(Disc.) 240 270 270 130 140 150 150 150 150 Total Discretionary 57,710 66,100 73,630 76,590 80,180 83,320 86,280 89,310 92,430 Non-Discretionary
Community Facility Fee 2,080 2,110 2,170 2,690 2,980 3,260 3,520 3,800 4,090 Sales Tax-(Public Safety) 320 350 470 510 500 520 540 560 580 Other Lic & Permits 90 40 60 100 100 100 100 100 100
Fines & Forfeitures 190 150 190 190 200 200 200 200 200 Building Rentals 40 0 50 50 50 50 50 50 50
State Subvention-Gas Tax 1,260 1,340 1,580 1,730 1,850 1,880 1,910 1,940 1,970 Grants 1,070 3,410 3,900 3,150 1,630 700 700 700 700
From Other Agencies 920 840 620 750 790 820 840 870 900 Current Services 1,620 1,380 1,640 1,710 1,810 1,880 1,940 2,000 2,060 Landscape Maintenance Charges 3,840 4,000 4,270 4,690 4,940 5,140 5,290 5,450 5,610 Other Revenues-(Non-Disc.) 270 10,770 8,780 370 390 410 420 430 440 Impact/Rental Fees 1,700 1,760 1,830 1,870 1,960 2,040 2,100 2,160 2,220 Admin Charges 4,150 4,290 4,610 4,780 4,880 4,790 4,890 4,990 5,090 Total Non-Discretionary
17,550 30,440 30,170 22,590 22,080 21,790 22,500 23,250 24,010 Total Revenues 75,260 96,540 103,800 99,180 102,260 105,110 108,780 112,560 116,440

ACTUALS PROJECTED
General Fund 2/9/2023 5:01 PM
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Revenue Assumptions (dollars in dollars)
PROPERTY TAXES: ANNUAL INCREASE INCREASE IN ASSESSED VALUE

2.00% $288,000,000 18.67% of 1%
Increase in AV above is based on 800 residential units Nonresidential Units based on % of Residential Units is 23% PROPERTY TAX IN LIEU-VLF: INCREASE BY ASSESSED VALUE GROWTH 4.20% (Based on 850 units) COMMUNITY FACILITY FEE: 2/3 OF NEW RES UNITS PER YR. 540 ANNUAL FEE: $272 INCREASE BY: 5.17% SALES TAX: 3 YEAR CPI SALES TAX RATE POPULATION GROWTH PER CAPITA PER YEAR

5.17% 1.00% 2,200 PER YEAR $261
COUNTY SHARE: 5.00% OF GROSS SALES TAX (Based on 800 units) 2023/24
SALES TAX GROWTH %: PROJECTED 3.0%
FRANCHISE TAX: 3 YEAR NEW RES UNITS FEE PARTICIPATION % P G & E CPI PER YEAR OF GROSS 50.00% Comcast/AT&T $250 Per Unit per Mo

5.17% 800 1.00% $90 Per Unit per Month
Note: 5 year average for residential units is 1080, 10 year average is 940, 15 year average is 790 units BUSINESS LICENSE: INCREASE BY 3 YR CPI 5.17% PLUS 2.00% FOR NEW BUSINESSES OTHER TAXES: Includes Transient Occupancy Tax, Cardroom Fees, and Real Property Transfer Tax THREE YR CPI 5.17% PLUS NEW HOTELS AND INCREASE IN TOT RATE TO 12% EFFECTIVE JAN. 1, 2023 FINES AND FORFEITURES: PARKING AND VEHICLE $177,000 BASED ON THREE YEAR AVERAGE INTEREST RATE: 2.00% ON PRIOR YEAR'S BALANCE
BUILDING RENTALS: INCREASE ANNUALLY BY: 2.00%
STATE SUBVENTIONS: GAS TAX POPULATION GROWTH
PER CAPITA $12.80 2,200
PER YEAR (Based on 800 units)
Gas Tax Per Capita based on last year actuals
GRANTS: $700,000THREE YEAR AVERAGE OF ONGOING GRANTS
CURRENT SERVICES: INCREASE BY THREE YEAR CPI AVERAGE 5.17% OTHER REVENUES: INCREASE BY THREE YEAR CPI AVERAGE 5.17% IMPACT/RENTAL FEES: BASED ON ADD'L ROUTES PROJECTED IN THE ENTERPRISE FUND AND INCREASE BY 3 YEAR CPI AVERAGE ADMIN CHARGES: INCREASE 2.00% PER YEAR
CITY TAX RATE (Before reductions)
General Fund 2/8/2023 9:08 AM
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AGENDA ITEM NO. 5.

CITY OF CLOVIS
General Fund - Financial Forecast (dollars in thousands)

EXPENDITURES ESTIMATED
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

PUBLIC SAFETY
Salaries
Police-CPOA 9,820 9,890 9,820 13,510 14,110 14,840 15,610 16,410 17,250 Fire 5,750 6,040 6,810 7,600 7,550 7,780 8,010 8,250 8,500 Public Safety-Management 3,080 3,380 3,860 3,990 4,010 4,130 4,250 4,380 4,510 Dispatchers
Police-Non CPOA 3,780 3,790 3,890 4,560 4,510 4,650 4,790 4,930 5,080 Fire-Non Firefighters 200 220 300 320 310 320 330 340 350 Overtime
Overtime-Police 2,730 2,880 3,090 2,810 2,810 2,810 2,810 2,810 2,810 Overtime-Fire 1,470 2,880 2,800 1,850 300 300 300 300 300 Extra Help 730 760 820 940 900 900 900 900 900
Benefits
Health 3,380 3,510 3,640 3,840 4,220 4,600 5,010 5,460 5,940 Retirement 8,070 9,140 10,510 12,810 13,320 13,870 14,430 15,010 15,630 Other 2,810 3,290 3,650 4,440 5,090 5,240 5,400 5,560 5,730 SMS 11,940 12,250 13,490 15,810 16,630 17,300 17,820 18,350 18,900 Capital Outlay 660 560 620 830 340 360 370 390 400
Total Public Safety 54,420 58,590 63,300 73,310 74,100 77,100 80,030 83,090 86,300

PUBLIC UTILITIES
Salaries 2,230 2,350 2,400 2,990 2,950 3,040 3,130 3,220 3,320 Overtime 110 120 130 130 140 150 150 150 150
Extra Help 20 10 30 40 40 40 40 40 40
Benefits
Health 500 540 530 570 620 670 720 780 840
Retirement 390 450 510 580 610 630 640 660 680
Other 370 360 320 290 300 310 320 330 340
SMS 6,400 6,740 7,020 7,820 8,220 8,550 8,810 9,070 9,340 Capital Outlay 30 30 60 70 20 20 20 20 20
Total Public Utilities 10,050 10,600 11,000 12,490 12,900 13,410 13,830 14,270 14,730

GENERAL GOVERNMENT
Salaries 3,430 3,540 3,730 4,150 4,150 4,270 4,400 4,530 4,670 Overtime 10 10 50 20 20 20 20 20 20
Extra Help 370 170 440 560 540 540 540 540 540
Benefits
Health 650 650 660 710 770 830 900 970 1,050
Retirement 670 710 830 910 950 980 1,000 1,030 1,060
Other 230 250 270 300 310 330 360 410 480
SMS 2,980 3,290 3,680 4,970 5,100 5,440 5,460 5,760 5,790 Capital Outlay 20 10 0 50 10 10 10 10 10
Total General Government 8,360 8,630 9,660 11,670 11,850 12,420 12,690 13,270 13,620 Total Expenditures 72,830 77,820 83,960 97,470 98,850 102,930 106,550 110,630 114,650

ACTUALS PROJECTED
General Fund 2/8/2023 9:08 AM
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AGENDA ITEM NO. 5.

Expenditure Assumptions (dollars in thousands)
SALARIES: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 POLICE-CPOA 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00% SALARY BASE $13,510 $13,600 $14,530 $15,290 $16,080 $16,900 Additional Officers-Salary $0 $510 $310 $320 $330 $350
Number of Additional Officers 3 5 3 3 3 3
Additional Non-Sworn Positions 0 0 0 0 0 0
Total Sworn Officer Positions 112 117 120 123 126 129
FIRE 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
SALARY BASE $7,600 $7,550 $7,780 $8,010 $8,250 $8,500
Additional Firefighter-Salary $0 $0 $0 $0 $0 $0
Number of Addl Firefighters 0 0 0 0 0 0
Total Sworn Positions 67 67 67 67 67 67
PUBLIC UTILITIES 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00% SALARY BASE $2,990 $2,950 $3,040 $3,130 $3,220 $3,320
Additional Salaries-Park/Street $0 $0 $0 $0 $0 $0
Addl Park/Street employees 0 0 0 0 0 0
GENERAL GOVT 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00% MANAGEMENT 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00% OVERTIME: INCREASE BY CPI 5.17% 4.00% 3.00% 3.00% 3.00% EXTRA HELP: FLAT FOR NEXT FIVE YEARS
HEALTH: INCREASE PER YEAR 8.0%
RETIREMENT: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 POLICE-SAFETY 56.10% 56.40% 56.40% 56.40% 56.40% 56.40% DISPATCHERS 28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
FIRE 56.10% 56.40% 56.40% 56.40% 56.40% 56.40%
PUBLIC UTILITIES 28.60% 28.70% 28.70% 28.70% 28.70% 28.70% GENERAL GOVERNMENT 28.60% 28.70% 28.70% 28.70% 28.70% 28.70% MANAGEMENT 28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS EE COST SHARING -MISC -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% PERS EE COST SHARING -SAFETY -8.00% -8.00%
WORKERS COMP: Police-CPOA 16.00% 16.00%
(included in other benefits) Fire 3.73% 4.00%
Mgmt & Admin 1.74% 2.00%
Public Utility 5.72% 6.00%
-8.00%

16.00%

4.00%

2.00%

6.00%
-8.00%

16.00%

4.00%

2.00%

6.00%
-8.00%

16.00%

4.00%

2.00%

6.00%
-8.00%

16.00%

4.00%

2.00%

6.00%
OTHER BENEFITS: Previous year's amount increased by contracted and estimated salary increases. Includes 2% of non-safety salaries for deferred comp, 1% of total salaries for sick leave incentive, 1.45% for medicare and 1% for other benefits.

OTHER SMS: INCREASE BY CPI 5.17% 4.00% 3.00% 3.00% 3.00% CAPITAL OUTLAY: INCREASE BY CPI 5.17% 4.00% 3.00% 3.00% 3.00% 50% FOUR YEAR AVERAGE-PUBLIC SAFETY $330
50% FOUR YEAR AVERAGE-PUBLIC UTILITIES $20 + ADDITIONAL EQUIP FOR NEW EMPLOYEES 50% FOUR YEAR AVERAGE-GEN GOVT $10
CONTINGENCY RESERVE: Maintain not less than 15% with a goal to reach 25% of total expenditures. See the Summary Sheet for reserve amounts. (PERS ESTIMATE)
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ENTERPRISE FUNDS

The purpose of the forecast for the Enterprise Funds is to provide the City Council and the City Manager with an early identificati on of financial trends along with the future financial costs of legislative and regulatory require ments, and the ability to res pond appropriately. Enterprise Funds, by definition, are supported by rates set to recover the full cost of services, including capital outlays and debt service. The rate setting process requires advance planning, preparation of rate studies, a public hearing process, and a final decision to implement new rates if approved. This process can take up to six months to complete. For this reason, the forecast is a critical management tool for the City.

Further detail regarding each Enterprise Fund is discussed in the following pages. Annually, staff re-evaluates all enterprise operations to determine if any adjustments to rates are needed. At this time, water, sewer, and community sanitation enterprise operations have increases approved sufficient to carry the operat ions through the forecast period, barring any unforeseen or catastrophic event. Once these rate increases meet their objectives, staff will begin to evaluate implementing smaller, more measured increases on an annual basis to avoid large one-time increases.

Water Enterprise

The Water Enterprise Fund is projected to have a working capital balance of approximately $18.6 million at June 30, 2023. The City Council approved adjusted water rates in the Water Enterprise Fund beginning in June 2016 to comp ly with state legal r equirements regarding a tiered water rate structure. The rate adjustment was revenue neutral. Council also approved a 3% annual increase that can be implemented when necessary to fund the increased cost to treat and distribute potable wate r, for capital improvements, and to provide debt service coverage for the 2013 Surface Water Treatment Plant bonds. A 3% rate increase to water rates is included in each of the five years of the projected forecast. The forecast also includes continued contributions to the reserves for the Sustainable Groundwater Management Act (SGMA) and for drought contingency through 2027/28. In 2020/21, ther e was a $5 million down payment as required by the Firm Water Supply Agreement with th e Fresno Irrigation District (FID). The remaining balance of $30 m illion is anticipated to be paid by development impact fees in future years. In 2016/17, the Wa ter Enterprise Fund received a legal settlement for Trichloropropane (TCP) treatment. The Water Ente rprise Fund is required to treat potable water for any TCP present, and a reserve for TCP treatment has been established for the treatment costs. The forecast includes an interfund loan of $7.5 million in 2021/22 from the TCP reserves to General Services to fund construction of Fire Station 6, and annual repayment of the loan beginning in 2022/23 for ten years. This l oan will not affect the City’s ability to treat for TCP during the term of the loan. Included in 2023/24 is a $1.7 million transfer from the Parks Develo pment Fund to reimburse the Water Enterprise Fund for its share of a property purchase for a future basin and park site. The capital outlay includes an expenditure of $2.5 million per year for five years to fund an Advanced Metering Infrastructure (AMI) project.
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AGENDA ITEM NO. 5.

Actual Actual Actual Estimated Projected Projected Projected Projected Projected 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BEGINNING WORKING CAPITAL 26,770 27,100 22,510 22,060 18,660 18,980 18,500 17,760 17,270

REVENUES
WATER CHARGES 17,820 18,580 19,190 23,410 24,240 25,100 25,980 26,890 27,830 DBCP-LEGAL SETTLEMENTS 260 240 130 170 180 190 200 210 220 TOTAL REVENUES 18,080 18,820 19,320 23,580 24,420 25,290 26,180 27,100 28,050

EXPENDITURES
SALARIES 2,870 3,100 3,190 3,790 4,050 4,260 4,390 4,520 4,750 EXTRA HELP 0 10 0 30 30 30 30 30 30
OVERTIME 120 120 130 140 140 140 140 140 140

BENEFITS
RETIREMENT 520 620 680 780 820 860 890 920 960
HEALTH 560 570 570 640 690 750 810 870 940
OTHER 480 510 390 360 490 510 530 540 570
SERVICES, MATERIALS & SUPPLIES 8,310 14,180 11,900 13,160 12,440 13,070 13,730 14,420 15,150 MEMBRANE REPLACEMENT 280 300 450 0 0 1,00 0000
TCP TREATMENT 0 100 100 150 1,100 150 150 150 150
CAPITAL OUTLAY 1,290 1,420 910 5,590 4,650 4,650 4,650 4,650 4,650 TOTAL EXPENDITURES 14,430 20,930 18,320 24,640 24,410 25,420 25,320 26,240 27,340

OTHER REVENUE AND EXPENSE
INTEREST/RENTAL/GRANTS 1,130 620 1,250 360 360 750 750 750 750 1,130 620 1,250 360 360 750 750 750 750
TRANSFERS-OUT (CAPITAL) (3,550) (1,000) (1,000) (500) (1,000) (500) (500) (250) (250) WATER BANKING LOAN TO DEV FUND 1 ,25000000000
PARK DEV PAYBACK - BASIN/PARK 0000 1 ,7000000
INTERFUND LOAN TO GENERAL SERVICES 0 0 (7,500) 770 770 770 770 770 770 CONTRIBUTION-SURFACE WTP (750) (750) (750) (750) (750) (750) (750) (750) (750) MEMBRANE REPLACEMENT RESERVE 0 300 450 (100) (100) 1,000 (250) (250) (250) RESERVE FOR DROUGHT CONTINGENCY (500) (500) (500) (500) (500) (500) (500) (500) (500) RESERVE FOR SGMA (1,000) (1,250) (1,000) (1,000) (500) (500) (500) (500) (500) RESERVE FOR TCP TREATMENT 100 100 7,600 (620) 330 (620) (620) (620) (620) ENDING WORKING CAPITAL 27,100 22,510 22,060 18,660 18,980 18,500 17,760 17,270 16,630 RESERVE FOR MEMBRANE REPLACEMENT 1,730 1,430 980 1,080 1,180 180 430 680 930 RESERVE FOR DROUGHT CONTINGENCY 5,500 6,000 6,500 7,000 7,500 8,000 8,500 9,000 9,500 RESERVE FOR SGMA 1,750 3,000 4,000 5,000 5,500 6,000 6,500 7,000 7,500 RESERVE FOR TCP TREATMENT 15,350 15,250 7,650 8,270 7,940 8,560 9,180 9,800 10,420

CITY OF CLOVIS
Water Enterprise - Financial Forecast (dollars in thousands) Water 2/9/2023 1:19 PM
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AGENDA ITEM NO. 5.

Bi-monthly Meter Charges: Residential - $25.36 Commercial - $20.41 Residential Usage Rates: $1.04 per 1,000 gallons for 0 to 23,000 gallons, $1.73 per 1,000 gallons for 23,000 - 40,000 gallons, $2.12 per 1,000 gallons above 40,000 gallons. Dwelling unit charge $12.68 per month ($25.36 bi-monthly).

Commercial Usage Rates: $1.04 per 1,000 gallons 0 to 23,000 gallons, $1.41 per 1,000 gallons over 23,000 gallons. Monthly charge from $10.21 (1") to $1,034.43 (10").

Current Charges: INCREASED EACH YEAR BY THE AVERAGE INCREASE OF THE PREVIOUS THREE YEARS 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28
Rate Increase: 7/1 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Rate Increase: 3% Based on Council approved annual rate increase unless not necessary.

Interest: 2.00% OF PREVIOUS YEAR'S WORKING CAPITAL OR A MINIMUM OF $10,000 Salaries: CPWEA 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Salary Base $3,790 $3,990 $4,210 $4,390 $4,520 $4,660
Additional Employee $85 $100 $50 $90
Extra Help: FLAT FOR NEXT FIVE YEARS
Overtime: FLAT FOR NEXT FIVE YEARS
Retirement: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 8.00%
Other Benefits: 6.00% FOR CPWEA 2.00% FOR ADMIN

1.45% OF SALARIES
-WORKERS COMP
-MEDICARE
-DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY CPI FOR FUTURE YEARS 5.17%
(Increase energy cost by 50% for the Surface Water Treatment Plant operation beginning in 2004/05) Rental of the New Corp Yard-beginning 2002/03 $320 per year Capital Outlay: FOUR YEAR AVERAGE INCREASED BY CPI FOR FUTURE YEARS 5.17% Transfers Out: FOR CAPITAL CONTRIBUTIONS FOR DISTRIBUTION SYSTEM IMPROVEMENTS FOR LAND ACQUISITION DESIGN AND CONSTRUCTION OF RECHARGE FACILITIES-100% Reserves: WELLHEAD TREATMENT CONTINGENCY ESTABLISHED FOR CLEANUP OF DBCP CONTAMINATION

MEMBRANE REPLACEMENT RESERVE ESTABLISHED FOR NEW MEMBRANE COSTS

DROUGHT CONTINGENCY ESTABLISHED FOR WATER PURCHASE DURING POSSIBLE DROUGHT

TCP TREATMENT RESERVE FOR TREATMENT CAPITAL AND O&M

SUSTAINABLE GROUNDWATER MANAGEMENT ACT RESERVE
(PERS ESTIMATE)
Water Enterprise- Revenue Assumptions (dollars in dollars) Water Enterprise - Expense Assumptions (dollars in thousands) Water 2/9/2023 1:19 PM
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Sewer Enterprise
The Sewer Enterprise Fund is projected to hav e a working capit al balance of approximately
$24.7 million at June 30, 2023. The City Council approved a series of rate increases for the Sewer Enterprise Fund beginning August 1, 2010. Rate increases are driven by the rising cost of treatment and capital improv ements at the Regional Treatment facility as well as the increase in the costs to operate new pump stations, the Sewer Treatment Water Reuse Facility (ST-WRF), and to meet bond covenants normally borne by development fees which are projected to be insufficient to meet the City’s ob ligations in a portion of the forecast period. A 3% rate increase is included in each year of the forecast period to keep up with rising operating, maintenance and capital costs, and to maintain a suff icient fund balance for future bonding capacity. An interfund loan is shown beg inning in 2023/24 of the forecast because it is projected that the collecti on of development impact fees for Sewer Major Facilities will be insufficient to cover the debt service payments. However, there are sufficient funds in the bond charge fund balance collected in prior years to continue the full $7.30 per month rebate to customers until 2026/27. The ability to continue to rebate funds back to ratepayers will be monitored closely throughout the forecast period.
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AGENDA ITEM NO. 5.

Actual Actual Actual Estimated Projected Projected Projected Projected Projected 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BEGINNING WORKING CAPITAL 20,830 24, 820 26,260 26,720 24,670 22,010 20,190 18,510 18,400

REVENUES
SEWER CHARGES 13,470 13,540 13,780 14,780 15,350 16,030 16,730 17,460 18,210 PRETREATMENT CHARGES 50 50 50 50 50 50 50 50 50
TOTAL REVENUES 13,520 13,590 13,830 14,830 15,400 16,080 16,780 17,510 18,260

EXPENDITURES
SALARIES 950 1,030 1,090 1,390 1,380 1,570 1,710 1,760 1,810 EXTRA HELP 0 0 0 10 10 10 10 10 10
OVERTIME 10 10 20 20 20 20 20 20 20

BENEFITS
RETIREMENT 170 200 230 270 270 320 350 360 370
HEALTH 150 180 190 230 250 270 290 310 330
OTHER 160 160 120 130 120 190 210 210 220
SERVICES, MATERIALS & SUPPLIES 4,000 4,400 5,090 5,790 6,060 6,360 6,670 7,000 7,350 FRESNO TREATMENT PLANT 3,060 2,900 3,180 3,800 4,000 4,210 4,430 4,660 4,900 CLOVIS TRMT/REUSE PLANT (ST-WRF) 2,300 2,300 2,460 2,630 2,790 2,960 3,140 3,330 3,540 DEBT SERVICE 1,220 1 ,220 1 ,220 1 ,240 1 ,2500000
CAPITAL 170 70 110 650 390 220 230 240 260
CAPITAL-FRESNO PLANT IMPROVEMENTS 320 690 460 3,000 2,500 750 350 500 500 TOTAL EXPENDITURES 12,510 13,160 14,170 19,160 19,040 16,880 17,410 18,400 19,310

OTHER REVENUE AND EXPENSE
INTEREST 860 580 500 400 730 660 630 610 610
GRANTS/MISC/SALE OF ASSETS/REFUNDS 390 430 350 180 50 50 50 50 50 BOND COVERAGE CHARGES/(REBATE) 1,850000 00 0 1 ,850 1,850 3,100 1,010 850 580 780 710 680 2,510 2,510
TRANSFERS IN-DEBT SERVICE 430 4 30 4 30 4 30 4 300000
TRANSFERS OUT-CAPITAL (250) (200) 0 0 00000
FROM DEVELOPER-PLANT CAPITAL IMPROV 400 270 270 270 270 270 270 270 270 INTERFUND (LOANS)/REPAYMENT (200) 0 0 0 (1,500) (1,500) (1,500) (1,500) (1,500) (INC)/USE OF FRESNO PLANT CAP RESERVE (500) (500) (750) 1,000 1,000 (500) (500) (500) (500) ENDING WORKING CAPITAL 24,820 26,260 26,720 24,670 22,010 20,190 18,510 18,400 18,130 RESERVE FOR FRESNO PLANT CAPITAL 1,500 2,000 2,750 1,750 750 1,250 1,750 2,250 2,750 RESERVE FOR RATE STABILIZATION 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000

CITY OF CLOVIS
Sewer Enterprise - Financial Forecast (dollars in thousands) Water 2/9/2023 1:22 PM
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AGENDA ITEM NO. 5.

Current Charges: Population New Units Additional Residential: 2022/23 Per Unit Bond Charge Per Pretreatment Per Increase Per Year Commercial Per Month Unit Per Month Unit Per Month 2,200 800 $42,000 $22.77 $7.30 $0.06
Rate Rebate: ($7.30) Beginning FY 20/21
Rate Increase:* 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Percentage 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Revised Monthly Rate $22.77 $23.45 $24.16 $24.88 $25.63 $26.40 Interest: 2.00% OF PREVIOUS YEAR'S WORKING CAPITAL
* Rate Increase: Note: The Council can approve up to a 3% annual rate increase if deemed necessary.

Salaries: (CPWEA) 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
SALARY BASE $1,390 $1,520 $1,570 $1,620 $1,760 $1,810
Additional employee $85 $90
Extra Help: FLAT FOR NEXT FIVE YEARS
Overtime: FLAT FOR NEXT FIVE YEARS
Retirement: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 8.00%
Other Benefits:

2.00% FOR ADMIN
-RETIREMENT 28.60% OF EXTRA HELP
-WORKERS COMP 6.00% FOR CPWEA
-MEDICARE 1.45% OF SALARIES
- DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY AVERAGE CPI FOR PREVIOUS 3 YEARS 5.17% Rental of the New Corp Yard-Beginning in 2002/03 $320
Clovis Treatment/Reuse Plant Operations-Beginning 1/1/2009 $1,000 Regional Treatment Plant: Annual payment for original plant buy-in plus O&M costs.

Adjusted for average 3 year CPI and per capita amount 5.17% Debt Service: Fresno/Clovis Regional WWTP Renovation
96/97 - 2023 $1,250
Capital Outlay: FUTURE YEARS @ $200
- ADJUSTED BY 3 YEAR AVERAGE CPI 5.17%
Cap-Plant Improvements: Based on estimates from the City of Fresno for sewer main and plant refurbishments Transfers In-Debt Service: In from Major Facilities-34.57% of debt service for 1993 WWTP Renovation $427 Transfers Out: Out for on-going capital improvements-per Five Year CIP Interfund Loans: Temporary cash loans to conform with various bond covenants (PERS ESTIMATE)
Sewer Enterprise -Revenue Assumptions (dollars in dollars) Sewer Enterprise -Expense Assumptions (dollars in thousands) Water 2/9/2023 1:22 PM
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Community Sanitation Enterprise
The Community Sanitation Enterprise Fund is proj ected to finish the current fiscal year with a working capital balance of approximately $9.9 million at June 30, 2023. A 4% annual increase, or portion thereof, was approved by Council in November 2004 to be implemented as necessary. In 2022/23, the Council implemented a re fuse rate decrease of 1.5%. An increase of 4% is recommended in 2023/ 24 and increases of 4% are projected thereafter for the remainder of the forecast period. To keep pace with the recycling and green waste contract increases, the appr oved 4% annual incr ease is projected for these oper ations. In 2021/22, Council approved a $0.50 rate increas e for street sweeping charges in the City of Clov is Municipal Code resulting in a new rate of $2.75 per month beginning July 1, 2022. An increase to the street sweeping charges of 4% is recommended in 2023/24. The forecast reflects an increase in closur e and post closure costs identified in the revised Joint Technical Document (JTD) dated March 2017 pr epared in agr eement with the Calif ornia Department of Resources Recycling and Rec overy (CalRecycle) and the California Regional Water Quality Control Board (RWQCB).
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AGENDA ITEM NO. 5.

Actual Actual Actual Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BEGINNING WORKING CAPITAL 13,860 12, 420 13,520 13,390 9,860 7,590 7,750 7,980 8,370

REVENUES
REFUSE CHARGES 15,390 16,510 17,770 17,620 18,490 19,400 20,350 21,340 22,380 RECYCLING CHARGES 1,780 1,880 2,110 2,220 2,320 2,430 2,550 2,670 2,800 GREEN WASTE CHARGES 2,220 2,380 2,540 2,630 2,770 2,910 3,060 3,210 3,370 STREET SWEEPING CHARGES 1,210 1,250 1,280 1,530 1,550 1,630 1,710 1,790 1,880 TOTAL REVENUES 20,600 22,020 23,700 24,000 25,130 26,370 27,670 29,010 30,430

EXPENDITURES
SALARIES 3,380 3,660 3,900 4,570 4,630 4,770 4,990 5,130 5,280 EXTRA HELP 40 90 70 140 140 140 140 140 140
OVERTIME 380 370 400 430 430 430 430 430 430

BENEFITS
RETIREMENT 630 740 840 940 940 970 1,010 1,040 1,070
HEALTH 710 780 790 860 930 1,000 1,080 1,170 1,260
OTHER 610 660 610 480 570 590 610 630 650
SERVICES, MATERIALS & SUPPLIES 8, 670 8,630 10,350 11,000 11,360 11,950 12,570 13,220 13,900 RECYCLING 1,540 1,640 1,640 1,790 1,880 1,940 2,000 2,060 2,120 GREEN WASTE PROGRAM 1,860 1,920 2,010 2,070 2,180 2,260 2,340 2,420 2,500 STREET SWEEPING 1,700 1,580 1,770 1,780 1,840 1,940 2,040 2,150 2,260 LANDFILL CLOSURE 240 340 380 290 310 330 350 370 390
CAPITAL 1,890 800 1,390 1,960 1,630 500 500 500 500
LANDFILL IMPROVEMENTS 900 60 30 1,690 1,360 200 200 200 200 TOTAL EXPENDITURES 22,550 21,270 24,180 28,000 28,200 27,020 28,260 29,460 30,700

OTHER REVENUE AND EXPENSE
INTEREST 320 150 170 60 320 280 290 310 320
GRANTS/MISC/SALE OF ASSETS 40 50 30 260 330 330 330 330 330 360 200 200 320 650 610 620 640 650
TRANSFERS 150 150 150 150 150 200 200 200 200
ENDING WORKING CAPITAL 12,420 13,520 13,390 9,860 7,590 7,750 7,980 8,370 8,950 RESERVE FOR CLOSURE 4,280 4,620 5,000 5,290 5,600 5,930 6,280 6,650 7,040 RESERVE FOR LIABILITY INS 1,000 1, 000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 Note: Maintain minimum ending working capital at 15% of expenditures or the bond covenant requirements.

CITY OF CLOVIS
Community Sanitation - Financial Forecast (dollars in thousands) Refuse and Street Cleaning 2/9/2023 1:12 PM
24 71
AGENDA ITEM NO. 5.

Cu
rrent Charges: New Units 22/23 Avg Unit Recycling Green Waste Street Cleaning Per Year Per Month Per Month Per Month Per Month
800 $25.42 $4.43 $6.50 $2.75
Additional Commercial Annual Revenue ----------------------------> $35,000 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28
Rate Increase/(Decrease): 7/1 (1.5%) 4.0% 4.0% 4.0% 4.0% 4.0% Adjusted Monthly Rate: $25.42 $26.44 $27.49 $28.59 $29.74 $30.93 Rate Increase: Based on Council approved 4% annual rate increase unless not necessary.

Green Waste/Recycling: Based on current year charges, increased by new unit growth and projected rate increases of 4% per year.

Street Cleaning: Based on charge of $2.75 effective July 1, 2022, increased by new unit growth and projected rate increases of 4% per year.

Interest: 2.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Salaries: (CPWEA) 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Salary Base: $4,570 $4,510 $4,770 $4,910 $5,130 $5,280
Additional Personnel: Res/Comm $120 $75
Extra Help: $140 for Operations per year
Overtime: FLAT FOR FUTURE YEARS
Retirement: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 8.00%
Other Benefits: -
WORKERS COMP 6.00% FOR CPWEA 2.00% FOR ADMIN
-
MEDICARE 1.45% OF SALARIES
-
DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY AVERAGE CPI FOR PREVIOUS 3 YEARS 5.17% Rental of the Corp Yard beginning 2002/03 $320 per year Capital Outlay: Flat for future years $500
Adjusted by 3 year average CPI 5.17%
Transfers: In-For Toters $200 /year
Reserve For Closure: FROM 98/99, INCREASE BY 3 YEAR AVERAGE CPI 5.17% (PERS ESTIMATE)
Community Sanitation - Revenue Assumptions (dollars in dollars) Community Sanitation - Expense Assumptions (dollars in thousands) Refuse and Street Cleaning 2/9/2023 1:12 PM
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AGENDA ITEM NO. 5.

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26 73
AGENDA ITEM NO. 5.

Transit Enterprise
The Transit Fund shows no net position in the near-term as a result of the revenue reco gnition
policy changing for State and Local Transportation Funds (LTF). The State and Local Transportation Funds are required to be deferred until the funds are spent. Recently deferred revenues have been used to cover construction costs of a transit center, with an estimated completion date in the fall of 2023. However, continuing from 2021/22, deferred revenue is projected to increase and to be spent on future operating and capital needs. With funding for Transit constantly in flux due State and local revenues and budgeting, the types and levels of funding will be closely monitored to make any necessary adjustments to current service levels should the need arise.
27 74
AGENDA ITEM NO. 5.

Actual Actual Actual Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BEGINNING WORKING CAPITAL 60 (150) 320 62 0000 0 0

REVENUES
MEASURE C FUNDS 1,520 1,820 2,130 2,170 2,280 2,390 2,510 2,640 2,770 LOCAL TRANSPORTATION FUNDS (LTF) 4,320 4,250 5,050 4,970 5,720 5,130 5,350 5,500 5,740 STATE TRANSIT ASSISTANCE (STA) 200 2,870 1,020 1,490 580 960 1,010 1,060 1,110 OTHER (Fares, Advertising, Trolley Rents) 190 0 50 50 50 50 50 50 50 TOTAL REVENUES 6,230 8,940 8,250 8,680 8,630 8,530 8,920 9,250 9,670

EXPENDITURES
SALARIES 1,440 1,540 1,690 2,050 1,960 2,020 2,080 2,140 2,200 EXTRA HELP 970 940 1,050 1,390 1,460 1,530 1,610 1,690 1,770 OVERTIME 50 40 80 110 110 120 130 140 150

BENEFITS
RETIREMENT 270 310 360 400 400 410 420 430 450
HEALTH 320 330 330 340 360 390 420 450 490
OTHER 510 530 550 550 540 590 610 640 660
SERVICES, MATERIALS & SUPPLIES 2,470 2,390 2,900 3,060 3,300 3,470 3,650 3,760 3,950 CAPITAL-OTHER 410 220 160 450 0 0 0 0 0
CAPITAL-BUSES 0 0 110 1,390 500 0 0 0 0
TOTAL EXPENDITURES 6,440 6,300 7,230 9,740 8,630 8,530 8,920 9,250 9,670

OTHER REVENUE AND EXPENSE
INTEREST/GRANTS/MISC 50 490 180 440 0 0 0 0 0
50 490 180 440 0 0 0 0 0
TRANSFERS (TRANSIT STATION) (50) (2,660) (900) 0000 0 0 ENDING WORKING CAPITAL (150) 320 62 00000 0 0
DEFERRED REVENUE 5,200 4,050 5,740 6,080 6,930 9,220 11,390 13,800 16,380

CITY OF CLOVIS
Transit - Financial Forecast (dollars in thousands)
Transit 2/8/2023 9:25 AM
28 75
AGENDA ITEM NO. 5.

Transit Revenue: Measure C revenue is projected to grow by its historical average increase 5.00% LTF revenue is projected to grow by its historical average increase 5.00% Other revenue is projected to grow by the 3 year average CPI 5.17% Interest: 2.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Deferred Revenue: REVENUE RECEIVED AND NOT SPENT
Salaries: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Salary Base: $1,900 $1,960 $2,020 $2,080 $2,140 $2,200
Additional Personnel:

Extra Help: INCREASE PER YEAR FOR ADDITIONAL DEMAND IN ROUNDUP TRANSIT SERVICES 5.00% Overtime: INCREASE BY PREVIOUS THREE YEAR CPI 5.17%
Retirement: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 8.00%
Other Benefits: 5.72% OF SALARIES 1.74% FOR ADMIN

1.45% OF SALARIES and EXTRA HELP
-WORKERS COMP
-MEDICARE
-DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY AVERAGE PREVIOUS 3 YEAR CPI 5.17% Capital Outlay: BASED ON BEST ESTIMATES FOR BUSES AND OTHER ADJUSTED BY 3 YEAR AVERAGE CPI 5.17%
(PERS ESTIMATE)
State Transit Assistance, for fiscal years 2019/20 through 2022/23, a transit agency may expend funds apportioned on any operating or capital costs to maintain transit service levels.

Transit- Revenue Assumptions
Transit- Expense Assumptions
Transit 2/8/2023 9:25 AM
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AGENDA ITEM NO. 5.

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30 77
AGENDA ITEM NO. 5.

Planning and Development Services Enterprise
The Planning and Developm ent Services (PDS) Department transitioned into an Enterprise Fund in 2012/13.

This allows for services to be adjusted as demand fluctuates. The 2023/24 forecast estimates 800 residential units to be constr ucted; this is consiste nt with our historical average of 800 units per y ear. Commercial activity is expected to be trending higher than our historical average. The Building Division revenue fluctuates based on construction valuation of the different projects; dwelling unit numbers are just one indicator. The PDS Department is projected to finish 2022/23 with a working capi tal balance of approximatel y $9.9 million. In addition, if needed, PDS can shift staff resources from its Development Review Unit to its Community Investment Program, should development activity dr amatically slow down. The forecast reflects that the PDS Department will continue to ma intain a prudent reserve that allows for immediate adjustments, should they become necessary. 31 78
AGENDA ITEM NO. 5.

CITY OF CLOVI
S
Planning & Development Services - Financial Forecast (dollars in thousands) RESIDENTIAL UNITS PER YEAR 1,112 1,238 859 850 800 800 800 800 800 Actual Actual Actual Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BEGINNING WORKING CAPITAL 7,660 9,090 10,080 9,890 9,900 9,700 9,700 9,700 9,710

REVENUES
BUILDING PERMITS 3,830 4,020 3,390 4,570 4,510 4,740 4,990 5,250 5,520 PLANNING FEES 1,800 1,870 1,310 2,230 1,930 1,980 1,910 1,970 2,040 GENERAL PLAN CONSULTANT 260 250 180 680 1,440 1,930 2,130 1,030 830 ENGINEERING FEES 3,160 2,580 2,700 2,320 2,490 2,620 2,760 2,900 3,050 CAPITAL IMPROVEMENT CHARGES 2,650 2,500 2,690 3,800 4,110 4,320 4,540 4,770 5,020 TOTAL REVENUES 11,700 11,220 10,270 13,600 14,480 15,590 16,330 15,920 16,460

EXPENDITURES
SALARIES 5,040 5,080 5,060 6,120 6,580 6,780 6,980 7,190 7,410 EXTRA HELP 350 190 70 140 190 190 190 190 190
OVERTIME 140 70 80 100 90 90 90 90 90

BENEFITS
RETIREMENT 900 970 1,050 1,150 1,230 1,410 1,460 1,500 1,540 HEALTH 850 780 790 790 870 940 1,020 1,100 1,190
OTHER 490 460 420 460 470 490 520 550 580
SERVICES, MATERIALS & SUPPLIES 2,600 2,940 3,460 4,690 3,980 4,190 4,410 4,640 4,880 GENERAL PLAN CONSULTANT 260 250 180 680 1,440 1,930 2,130 1,030 830 CAPITAL 10 20 40 290 380 10 10 10 10
TOTAL EXPENDITURES 10,640 10,760 11,150 14,420 15,230 16,030 16,810 16,300 16,720

ADDITIONAL ITEMS
INTEREST 270 150 180 60 60 190 190 190 190
OTHER REVENUES/GRANTS 70 310 200 470 190 200 200 200 200 TRANSFERS FROM GENERAL FUND 300 300 310 300 300 300 300 300 300 640 760 690 830 550 690 690 690 690
1,700 1,220 (190) 10 (200) 250 210 310 430
270 230 0 0 0 250 210 300 80
9,090 10,080 9,890 9,900 9,700 9,700 9,700 9,710 10,060 2,270 2,500 2,500 2,500 2,500 2,750 2,960 3,260 3,340

TOTAL ADDITIONAL ITEMS

NET INC/(DEC) TO WORKING CAPITAL

OTHER ITEMS
(USE OF)/ADDITION TO EMERGENCY RESERVE

ENDING WORKING CAPITAL
Emergency Reserve - (Dollars)
Emergency Reserve as a % of Expenditures 21.3% 23.2% 22.4% 17.3% 16.4% 17.2% 17.6% 20.0% 20.0% Planning Development Services 2/8/2023 9:27 AM
32 79
AGENDA ITEM NO. 5.

Planning & Development Services - Revenue Assumptions (dollars in dollars ) 2021/22 (Act.) 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Residential Units Per Year: 859 850 800 800 800 800 800 Non-Residential %: 13% 23% 25% 25% 25% 25% 25%
Averages based on two years actuals and estimate to close Average Permit Fees Per Unit: Building Planning Engineering $3,600 $1,600 $2,300
3 Year Average CPI: 5.17%
2021/22 (Ac
t.) 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28
Planning Program Fee (Staff): $670,000 $1,190,000 $1,200,000 $1,230,000 $1,260,000 $1,290,000 $1,320,000 Plan. Prgm. Fee (Consultant): $180,000 $680,000 $1,440,000 $1,930,000 $2,130,000 $1,030,000 $830,000 Other Planning Fees: $640,000 $1,040,000 $730,000 $750,000 $650,000 $680,000 $720,000 Total FY $1,490,000 $2,910,000 $3,370,000 $3,910,000 $4,040,000 $3,000,000 $2,870,000 Capital Improvement Charges: BASED ON HOURLY RATE CHANGES (AS NEEDED) Interest: 2.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Other Revenues: 5.17%
Grants:

INCREASE BY AVG CPI FOR PREVIOUS 3 YEARS

BASED ON AWARDED GRANTS
Planning & Development Services - Expense Assumptions (dollars in thousands) Salaries: (CPTA) 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 7/1 5.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Salary Base: $6,390 $6,580 $6,780 $6,980 $7,190 $7,410
Additional Personnel:

Extra Help: $140 $190 $190 $190 $190 $190
Overtime: WILL REMAIN FLAT THROUGHOUT PROJECTION YEARS
Retirement: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28

28.60% 28.70% 28.70% 28.70% 28.70% 28.70%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 8.00%
Other Benefits: INCREASE BY AVERAGE CPI FOR PREVIOUS 3 YEARS 5.17% Other SMS: INCREASE BY AVERAGE CPI FOR PREVIOUS 3 YEARS 5.17% General Plan Consultant: 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 General Plan Update $175 $1,000 $1,000 $750 $0 $0
Misc. Services (Legal, Housing, Design, Engr) $225 $225 $230 $230 $230 $230 Specific Plan/Master Plan Prep/Updates $70 $0 $450 $850 $300 $0 Utility Plans & Engineering Studies $100 $100 $100 $100 $100 $100 Planning Studies Guidelines $110 $115 $150 $200 $400 $500 Total FY $680 $1,440 $1,930 $2,130 $1,030 $830
Capital Outlay: BASED ON CAPITAL NEEDS PROJECTED FOR DEPARTMENT Transfers: GENERAL FUND DISCRETIONARY FUNDING $300 PER YEAR (PERS ESTIMATE)
Planning Development Services 2/8/2023 9:27 AM
33 80
AGENDA ITEM NO. 5.

INTERNAL SERVICE FUNDS
The Internal Service Fund group is projected to be self-balanc ing throughout the Five-Year Forecast. Since the Internal Service Fund gr oup is funded by charges to the operating funds, issues that will affect the Internal Service F unds are dealt with in conjunction with analysis of
the impact on the operating funds. Each of the funds within the Internal Service Fund group is continually reviewed to determine where more cost-effective programs and services can be utilized, and expenditure reductions have been made in recent years to reduce the impact of cost sharing on all other City operations.

DEBT SERVICE FUNDS
The Debt Service Fund group, out of necessity and legal obligation, will be fully funded in order
to make the required debt payments.
34 81
AGENDA ITEM NO. 5.

TO: Mayor and City Council
FROM: Planning and Development Services
DATE: March 13, 2023
SUBJECT: Consider Approval – Res. 23-___, A Resolution approving the annual review and update to the Regional Housing Needs (RHN) Overlay District map of parcels and associated list reflecting those parcels that qualify for development as an RHN Overlay project.

Staff: Dave Merchen, City Planner
Recommendation: Approve
ATTACHMENTS: 1. Resolution 2 3-__, A Resolution approving the annual review and update to the RHN Overlay District map

CONFLICT OF INTEREST
Councilmembers should consider recusal if a campaign contribution exceeding $250 has been received from the project proponent (developer, applicant, agent, and/or participants) since January 1, 2023, (Government Code 84308).

RHN Overlay District Site 37 is located less than 500’ from property Mayor Ashbeck owns.

Mayor Ashbeck recused herself from the map approval in 2021, when this site was approved to be added to the list of available sites. Site 37 has been removed from the list of available sites by the Planning and Development Services Director because the site is under development as a single-family subdivision. Therefore, this item is no longer a conflict for Mayor Ashbeck.

RECOMMENDATION
Staff recommends that the Council adopt a resolution approving the annual review and update to the RHN Overlay District.

EXECUTIVE SUMMARY
In November of 2018, the City Council adopted Ordinance Amendment 2018-03 establishing the RHN (Regional Housing Needs) Overlay District to address requirements from State Department of Housing and Community Development (“HCD”) regarding the City’s Regional Housing Needs Allocation (“RHNA”). In November of 2020, the RHN Overlay District ordinance was amended to clarify that the RHN Overlay map and list of sites will be reviewed and updated annually. The 82 AGENDA ITEM NO. 6.

Planning and Development Service Director may also remove sites at any time if it is determined they longer qualify. Prior to the annual update , three properties were removed from the list of qualifying parcels because they have been developed or are in the process of being developed with non -RHN Overlay proj ects. Two sites are being developed as single-family residential subdivisions and one is being developed as a multi -family project. No properties are proposed to be added to the RHN Overlay Map and list of sites.

BACKGROUND

Creation and Adoption of the RHN Overlay District

In 2018, the City implemented two new programs to address the shortfall of land to accommodate at least 4,209 affordable units in its housing inventory identified in the Fourth Cycle of the City’s RHNA. These programs were designed to facilitate the development of high- density housing as required by HCD. The first program created the opportunity for residential units to be constructed on viable properties within the P -F Zone District, while the second program established the RHN Overlay District. The RHN Overlay District is a citywide zone that allows multi-family housing to be developed as a permitted use at a density between 35 and 43 dwelling units per acre on eligible properties. Eligible parcels must be shown on a map adopted by the Council. The map, together with a list of parcels, needs to be reviewed and updated annually to reflect the parcels that may be developed as RHN Overlay projects.

Properties Eligible for the RHN Overlay

The RHN Overlay applies to all residentially zoned properties citywide. Parcels between one (1) and ten (10) acres in size will qualify as RHN Overlay -eligible sites if they satisfy the requirements for a usable site, as described below. Parcels larger than ten (10) acres can qualify if they can be divided into usable sites of no more than ten (10) acres. Eligible parcels must be free of constraints which would preclude them from developing within the allowable density range and in conformance with the applicable development standards. The language in the Development Code includes evaluation of the following criteria:

 Physical characteristics of the parcel, such as size, shape, dimensions, topography, and environmentally sensitive features.

 Rules, regulations, policies, or other relevant guidance from the California Department of Housing and Community Development.

 Current or past use or development, entitlement or permit approvals, and applications for entitlements or permits.

 Encumbrances or other commitments appurtenant to or enforceable against the parcel or recorded against the property.

83 AGENDA ITEM NO. 6.
 Any legal mandates, restrictions, prohibitions, or commitments applicable to the parcel that requires a finding, determination, action, process, proceeding, or otherwise by the City, notwithstanding the purpose of the RHN Overlay District.

Modifications to the RHN Overlay Map and List of Sites

Prior to the completion of the annual review, staff identified three properties that needed to be removed from the RHN Overlay Map and list of sites because the propert ies have been or are in the process of being developed with alternative uses. Sites 6 and 37 are being developed with single family residential subdivisions and Site 35 is in the process of being developed as a market-rate multi-family residential complex. Because these sites no longer quality, the Director removed them from the list, as follows:

Site # Acreage General Plan Zoning RHN Units Action
Site 6 4.86 MDR & LDR R-1 170 Removed
Site 35 5.2 HDR R-3 182 Removed
Site 37 3.9 LDR R-1 137 Removed

Staff has not identified any new sites that should be added to the RHN Overlay District, and no requests have been received from property owners. The updated map of sites is included as Figure 1 on the following page.

Status of the 4th Cycle Carryover Inventory

Discussions with HCD staff in 2021, clarified that the 4th Cycle Carryover Inventory is not subject to the detailed monitoring and “no net loss” requirements that apply to the current housing element cycle (5th Cycle). Nevertheless, staff continues to monitor the capacity of the programs created to address the 4 th Cycle Carryover requirement. The combined capacity of the RHN Overlay and P-F Housing program is approximately 5128 dwelling units, which is well above the 4th Cycle Carryover requirement.

Community Meeting

In accordance wit h the requirements of the RHN Overlay District ordinance, a n informational meeting was scheduled on March 1, 202 3, to provide information to the public on the annual review and update, including potential changes to the map and list of sites. There were no attendees at the noticed public meeting and no other comments have been received.

California Environmental Quality Act (CEQA)

The City has determined that the annual review and update is exempt from the California Environmental Quality Act (“CEQA”) pu rsuant to CEQA Guidelines Section 15061(b)(3), the “common sense exemption,” which provides that CEQA applies only to projects that have the potential for causing a significant effect on the environment. The annual review and update will not result in the approval of any activities that are not already permitted under the Municipal Code, or otherwise exempt under CEQA Guidelines. Further, the addition of sites to the RHN 84 AGENDA ITEM NO. 6.

Overlay map and list is exempt from CEQA pursuant to Government Code section 65584(g) and CEQA Guidelines Section 15283 as RHN determinations.

Figure 1: Regional Housing Needs Overlay District Sites Map

85 AGENDA ITEM NO. 6.

FISCAL IMPACT
No fiscal impacts have been identified with respect to the annual review and update.

REASON FOR RECOMMENDATION
The RHN Overlay District is a critical tool for the City to assist in meeting its RHNA obligations.

The Municipal Code requires that an annual review and update of the RHN Overlay District map and list occur in conjunction with the City Council’s consideration of the Housing Element Annual Progress Report. Sites may be added to or removed from the RHN Overlay map and list in conjunction with the review and update. Sites 6, 35 and 37 have been removed by the Planning and Developed Services Director because they no longer qualify. No other changes to the map or list of sites have been identified.

ACTIONS FOLLOWING APPROVAL
None.

Prepared by: Dave Merchen, City Planner

Reviewed by: City Manager JH
86 AGENDA ITEM NO. 6.

Attachment 1

RESOLUTION 23-___

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CLOVIS APPROVING THE

ANNUAL REVIEW AND UPDATE OF THE RHN (REGIONAL HOUSING NEEDS) OVERLAY

DISTRICT MAP OF PARCELS AND ASSOCIATED LIST REFLECTING THOSE PARCELS

THAT QUALIFY FOR DEVELOPMENT AS RHN OVERLAY PROJECTS

WHEREAS, on November 5, 2018, the City Council adopted Ordinance Amendment 2018-26 (“OA 2018-26”) to add Section 9.18.050, the RHN (Regional Housing Needs) Overlay District, to the Clovis Municipal Code to address the State Department of Housing and Community Development (“HCD”) Regional Housing Needs Allocation (“RHNA”) obligation; and

WHEREAS, on November 2, 2020, the City Council adopted revisions and clarifications to the RHN Overlay District ordinance, including language stating that the RHN Overlay map and list of sites will be reviewed and updated annually; and

WHEREAS, Section 9.18.050.C of the Municipal Code authorizes the Director of Planning and Development Services (Director) to remove parcels from the map and list as may be required; and

WHEREAS, prior to the conduct of the annual review and update of the RHN Overlay map and list the Director removed three sites because those sites no longer met the qualifications for inclusion; and

WHEREAS, the City Council reviewed and considered an update to the RHN Overlay map and list at a duly noticed regular meeting held on March 13, 2023; and

WHEREAS, in accordance with the requirements of the RHN Overlay District ordinance, Section 9.18.050 of the Clovis Municipal Code, a noticed community meeting was held on March 1, 2023 to provide information to the public on the annual review and update of the RHN Overlay District map and list; and

WHEREAS, the updated RHN Overlay District map and list, reflecting the sites previously removed by the Director, are attached hereto as Attachments A and B, respectively, and are hereby incorporated by this reference; and

WHEREAS, the City Council has reviewed and considered the staff report and all written materials submitted in connection with the request , and heard, reviewed, and considered the comments from staff and the public at the community meeting and the regular City Council meeting (“Administrative Record”); and

WHEREAS, the City Council has considered the Administrative Record and finds that the annual review and update is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15061(b)(3), Government Code section 65584(g), and CEQA Guidelines Section 15283.

87 AGENDA ITEM NO. 6.

NOW, THEREFORE, BASED UPON THE ENTIRE RECORD OF THE PROCEEDINGS, THE CITY COUNCIL RESOLVES AND FINDS AS FOLLOWS:

1. The annual review and update is exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3), the “common sense exemption,” which provides that CEQA applies only to projects that have the potential for causing a significant effect on the environment.

The annual review and update will not result in the approval of any activities that are not already permitted under the Clovis Municipal Code, or otherwise exempt under CEQA Guidelines. In addition to the “common sense exemption,” the addition of sites to RHN Overlay District map and list is exempt from CEQA pursuant to Government Code section 65584(g) and CEQA Guidelines Section 15283 as RHN determinations.

2. The annual review and update to the RHN Overlay District map and list of sites, attached hereto as Attachments A and B respectively, is hereby approved.

* * * * * *

The foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Clovis held on March 13, 2023, by the following vote, to wit.

AYES:

NOES:

ABSENT:

ABSTAIN:

DATED: March 13, 2023

______________________________ ______________________________ Mayor City Clerk

88 AGENDA ITEM NO. 6.

ATTACHMENT A

MAP OF PARCELS QUALIFYING FOR DEVELOPMENT AS RHN OVERLAY SITES 3-13-23 89 AGENDA ITEM NO. 6.

ATTACHMENT B
LIST OF PARCELS QUALIFYING FOR DEVELOPMENT AS RHN OVERLAY SITES 3-13-23

Site APN Acreage
1 Removed 0
2 56005119 4.33
3 56005124 2.24
4 56201047T 3.06
5 56223012 2.17
6 Removed 0
7 5580201405 2.39
8 Removed 0
9 55908025 4.79
10 55908017 2.36
11 55908013 2
12 56303206 2.5
13 56314234 1.71
14 Removed 0
15  49134043 2.38
16 55002018 8.99
17 Removed 0
18 55026018 3.85
19 55026019S 2.1
20 55502061 8.28
21 55405354 2.28
22 5710101408 9.05
23 5710101447 7.85
24 30902102 4.86
25 Removed 0
26 31079524 6.93
27 Removed 0
28 Removed 0
29 55222081 2.2
30 Removed 0
31 49906074 1.25
32 43060101 1.83
33 41003113 4.8
34 55503222 10
35 Removed 0
36 55503127 5.3
37 Removed 0
38 55503224 9.5
90 AGENDA ITEM NO. 6.