FISCAL YEAR
GENERAL 2025/26
CITY OF COTATI
FUND SESSION DATE:
APRIL 1, 2025
Study Session Overview
• Tentative Schedule
Budget Study
General Fund
Conclusion
Packet Provided Schedules
• City Council Revised Goals and Objectives
• General Fund Workbook
• General Fund Revenues and
Expenses Reports
• Allocated Contract Services Detail
• Budgetary Staffing
Tentative Schedule
Forecast Assumptions
Revenues
.. Ca.
Revenues
Based on best available information
• Continued impacts of
inflation/supply issues?
Legislative Impacts from Federal,
State & Regional Government
Estimates are prudently
conservative
Cotati's Revenue Base is Different
Cannabis Business Tax assumed slow
growth
Other Revenues Assumed primarily
No current hospitality industry or
related taxes like Transient
Occupancy Tax (TOT)
C
Forecast
Assumptions
Expenses
Finding a Balance
FY 2025/25 and 2026/27 - $0 Based Budgeting.
• 2026/27 based on actual detail/assumptions or
CPI of 2.8% increase
Service Level/Operating Expense
Contract Services
Credit Card Processing Fees $134K in
2025/26
Liabilities Management (Capital, UAL)
No ADP to CaPERS - Continue Lump
Sum Payments
Outstanding Items
• Insurance Costs (Estimates)
Transfers for Capital Projects
here cood Times Ha
FY 2025/26 AND 2026/27 ta
PROPOSED BUDGET FOR
Fund
General
What is a
General Fund?
• A general fund is the primary fund used by a
government entity.
• Used to record all resource inflows and
outflows that are not associated with special-
purpose funds.
• Activities being paid constitute the core
administrative and operational tasks of the
government entity.
• For the City of Cotati these Core Services are
• Police
• Public Works
• Recreation
• Community Development
• City Management
• Administrative Services
• City-Wide (Non-Utility) Infrastructure
Funding - Next Study Session
Minimum reserve of 25% of operating expenses, per Resolution 2009-50 Revenues Increase from 2024/25 Adopted Budget
CalPERS ADP FY 2021/22, & Minor ADP in 2023/24 + 2024/25 2024/25 - Staffing Costs Flat with 1% Increase
Other Cost Changes
General Fund Budget
Highlights
∞0
FY 2025/26 FY 2024/25
Operating Revenue Source by FY 2024/25 Proposed Increase/ Proposed Increase/ Chang Type Estimated Budget Decrease. Change Budget Decrease) 601- PROPERTY TAX 2,182,379 2,146,280 $ (36,099) - 2% $ 2,207,731 $ 61,451 3% 603- SALES TAX 5,977,000 5,867,000 $ (110,000) ( -2% 6,054,950 $ 187,950 3% 604- OTHER TAX * 818,450 873,750 $ 55,300 911,000 $ 37,250 4% 606- LICENSE & FRANCHISE 748,600 782.800 $ 34,200 5% 809,800 $ 27,000 607- RENTS 121,500 128,745 $ 7,245 6% 133,845 $ 5,100
608- REVENUE - OTHER AGENCIES 224,320 231,541 $ 7,221 238,864 $ 7,323 3% 609- OTHER REVENUE 254,835 250,310 $ (4,525) - 2% 156,040 $ (94,270) -60% 620- CHARGES FOR SVS 403,433 385,060 $ (18,373) -5% 380,939 S (4,121) 650- INVESTMENT EARNINGS: 226,500 157,000 $ (69,500) -31% 132,200 S (24,800) -19% 660- CONTRIBUTIONS 6,950 9,000 $ 2,050 29% 9,600 $ 600
670- TRANSFR IN & OTHR 523,741 393,342 $ - 25% 394,792 S 1,450 SOURCES (130,399)
Total General Fund 0.6%
$10,940,860 $11,011,083 70,223 $11,429,761 $ 204,933 2% Revenue/Sources
* Includes cannabis business tax
General Fund
Operating In-Flows (Revenues)
Comparative Revenues - Est. 2024/25 to Proposed Budget 2025/26 10 670- TRANSFR IN & OTHR SOURCES
660- CONTRIBUTIONS
650- INVESTMENT EARNINGS:
620- CHARGES FOR SVS
609- OTHER REVENUE
608- REVENUE - OTHER AGENCIES
607- RENTS
606- LICENSE & FRANCHISE
604- OTHER TAX
603- SALES TAX
601 - PROPERTY TAX 1
$- $1 $2 $3 $ 4 $5 $6 $7
Millions
• EST. ACTUAL BUDGET • 2025-2026 PROP
COMPARATIVE IN-FLOWS
IN-FLOWS
FOR BUDGET YEAR 2025/26
601- PROPERT $ 2,146,280
670- TRANSFR 620-
IN & OTHR CHARGES
SOURCES, $ FOR SVS, $
393,342 385,060
604- OTHER TAX, $ 873,750
650- INVESTMENT
609- OTHER REVENUE, $ EARNINGS:. $
250.310 157,000
606- LICENSE & FRANCHISE, $
608- REVENUE - OTHER 607- RENTS. $
603- SALES TAX, $5,867,000 782,800 AGENCIES, $ 231,541| 128,745
IN-FLOWS
12 FOR BUDGET YEAR 2026/27
Major
In-Flows
Highlights
Property Tax Projected Revenue includes:
Sales Tax Projected Revenue:
Other General Fund
In-Flows Highlights
Other Tax
Licenses, Permits & Franchises
Other General Fund
In-Flows Highlights
Other Agencies
Charges for Services
Other Revenues
-
Out-Flow Highlights
CALPERS • 2024-25 - Additional Discretionary Payment of $326K processed ($273K For General Fund), plus Lump Sum
• ALLOCATED CONTRACT SERVICES
CONTRACT SERVICES • SHARED INDIRECT COSTS SUCH AS AUDIT FEES, JANITORIAL COSTS, UTILITIES, ETC.
EVALUATION • BASED ON FULL FTE
• ESTIMATE FOR IT SERVICES
INSURANCE INCREASES • USING ESTIMATES RECEIVED
• MARKET UNCERTAINTY - FIRES IN S. CALIFORNIA
ALL DEPARTMENTS ARE • ESTIMATES ARE BASED ON EXISTING STAFFING BUDGETED AT FULL • INCLUDES ONLY NEGOTIATED MOU CHANGES • TWO MOU CURRENTLY BEING NEGOTIATED
STAFFING
17 2024-2025 2025-2026 2026-2027
Adopted 2024-2025 Incr / Proposed Incr / Proposed Incr / Expense by Category Budget Est. Actual (Decr) Budget (Decr)2 Budget (Decr)3 700 - SALARY AND BENEFITS Total * 5,819,950 5,441,173 (378,777) -7% 6,355,450 535,500 8% 6,606,890 251,440 4% 707 - PAYOUTS Total 117,170 56,960 (60,210) -51% 100,894 (16,276) -16% 83,890 (17,004) -17% 800 - MATERIAL & SUPPLY Total 73,416 79,616 6,200 8% 81,621 8,205 11% 83,272 1,651 2% 801 - CONTRACT SERVICES Total * 1,688,126 1,760,844 72,718 4% 1,678,273 (9,853) - 1% 1,629,844 (48,429) -3% 802 - LEGAL Total 202,893 207,425 4,532 2% 226,424 23,531 12% 199,540 (26,884) -12% 803 - UTILITIES Total * 435,700 444,040 8,340 2% 476,500 40,800 9% 511,510 35,010 7% 804 - OTHER INSURANCE 695,045 758,477 63,432 9% 797,675 102,630 15% 867,029 69,354 9% 805 - REPAIR & MAINTENANCE Total * 206,200 240,790 34,590 17% 309,230 103,030 50% 243,207 (66,023) -21% 806 - OTHER EXPENSES Total *
807 - FISCAL FEES Total
808 - DEBT SERVICE Total
809 - CAPITAL OUTLAY Total
811 - MISCELLANEOUS EXPENSE Total
Grand Total
GENERAL FUND
OPERATING OUT-FLOWS (EXPENDITURES)
BY CATEGORY
18 Expense by Department 2024-2025 2024-2025 EST Incr /(Decr) 2025-2026 PROP Incr /(Decr) 2026-2027 PROP Incr /(Decr)
EXPENSES
Department: 10 - CITY COUNCIL 183,606 $ 179,067 $ (4,539) Department: 11 - CITY MANAGER 935,990 923,727 -12,263
Department: 12 - ADMINISTRATIVE SERVICES 531,160 534,865 3,705 Department: 17 - COMMUNITY DEVELOPMENT 901,168 953,539 52,371 Department: 18-22 - PUB WORKS-COMBINED 1,738,486 1,786,526 48,040 Department: 23 - POLICE 5,152,304 4,689,255 -463,049
Department: 24 - RECREATION 502,432 514,661 12,229
Department: 25 - CODE COMPLANCE 41,000 41,200
Total Operating Expenses 5 9,986,146 5 9,622,840 5 363306)
GENERAL FUND
OPERATING OUT-FLOWS (EXPENDITURES)
BY DEPARTMENT
19 Department:
25 - CODE Depotmentient: Department:
Department: COMPLIANCE,
24 - 10 -GILYCITY 12 -
61,000
RECREATION, COYWANA GER, ADMINISTRATIV
512,325 174,26฿,592 E SERVICES
549,694
Department: DEPARTMENTAL
17-
COMMUNITY
DEVELOPMENT OUT-FLOWS
910,823
FOR PROPOSED
BUDGET YEAR
2025/26
Department:
Department: 18-22 - PUB
23 - POLICE, WORKS-
5,390,703
COMBINED
1,934,294
20 Department:
Department: DepartDepartment: 11 - CITY
24- 25 - CODD - CITY MANAGER,
RECREATION, COMPLIANOUNCIL, $ 973,989 Department:
546,893 62,540 199,904
ADMINISTRATERt:
E SERVICES,
578 GiMUNITY DEPARTMENTAL
DEVELOPMENT
902,224 OUT-FLOWS
FOR PROPOSED
BUDGET YEAR
2026/27
Department: Department:
23 - POLICE, 18-22 - PUB
5,620,551 WORKS-
COMBINED,
1,848,005
21 Sum of PY Budgeted Sum of Budgeted Sum of Budgeted
Type of Contract Contract Amounts Contract Amount FY Contract Amount 2024-25 2025/26 26/27
General 135,545 147,180 141,225
Insurance 941,750 1,033,332 1,123,100
Allocated Legal 181,000 192,000 197,900
Professional Services 121,922 121,600 142,900
Tech & Data 408,978 418,657 420,564
Contract Grand Total 1,789,195 1,912,769 2,025,689
Services
Descriptions of Contract Service Classifications:
1) Professional Services - includes services provided by certified professionals for business purposes (example auditors, actuary, etc.) 2) Legal and General Counsel Contracts - legal services Technology are management, website hing, phone, recorater management
Insurance Contracts
Proiect Consultants - Specialty consultants for proiects General Contract Services - tree services, ianitorial, landscaping and categorize by the PW Departments
Expenditure Highlights 22
Departments Detail
City Council includes the following changes:
City Manager includes the following changes:
Expenditure Highlights 23
Departments Detail
Admin. Services includes the following changes:
Community Development change is primarily due to:
Public Works includes the following changes:
Expenditure Highlights 24
Departments Detail
Police Services includes the following changes:
Recreation includes the following changes:
Code Compliance
25 Conclusion
A balanced budget
maintaining prudent fund
balance levels
Operating reserve
We will continue to closely requirements continue to
monitor the operating be exceeded for General
revenues to ensure Fund
sufficient fund balance and
cash flows for continued
operations
City staff are committed to
City staff will continue to exercise prudence and
update the Council on any integrity in the
significant budgetary management of public
changes prior to budget funds and provide
adoption. transparency and
accountability in its use.
26 i• cotati