Mayor Councilmembers
Lisa Motoyama Paul Fadelli
Mayor Pro Tem Gabriel Quinto
Tessa Rudnick AGENDA Carolyn Wysinger
SATURDAY, APRIL 22, 2023
CONCURRENT COMMUNITY TOWN HALL BUDGET MEETING
AND SPECIAL CITY COUNCIL MEETING (10:00 AM)
Council Chambers - 10890 San Pablo Ave, El Cerrito
Join Via Zoom:
https://us06web.zoom.us/j/86977516334?pwd=OVJOWDNQYU9OSDdwQWR6Nk1FR3RyUT09 Meeting ID: 869 7751 6334 Password: 118655 Dial in: 1-408-638-0968 Accommodations: In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at 510- 215-4305. Notification 48 hours prior to the meeting will enable the City to make reasonable accommodations. Closed Captions available via zoom.
Please note this meeting will not be the typical format for a City Council meeting.
This notice is being posted as a quorum of City Council Members are expected to attend and may participate in the discussion.
Members of the public can participate in the community town hall in person or by joining the Zoom meeting using the information listed above.
The City cannot guarantee that time will permit all questions to be addressed during the town hall, however residents can also provide input online at https://polco.us/n/res/vote/el-cerrito-ca/fy-2024-budget-survey? 10:00 AM CALL TO ORDER - CONVENE CONCURRENT COMMUNITY TOWN
HALL BUDGET MEETING AND SPECIAL CITY COUNCIL MEETING
1. COMMUNITY BUDGET TOWN HALL
Action Proposed: Hear an update on the City's budget, ask questions and share your input with City staff.
Contact: Karen Pinkos, City Manager, City Management
2. ADJOURN CONCURRENT COMMUNITY TOWN HALL BUDGET MEETING
AND SPECIAL CITY COUNCIL MEETING
The City of El Cerrito serves, leads and supports our diverse community by providing exemplary and innovative services, public places and infrastructure, ensuring public safety and creating an economically and environmentally sustainable future.
Agenda Packet Page 1 of 24
City of El Cerrito
BUDGET UPDATE
COMMUNITY TOWN HALL MEETING
APRIL 22, 2023
Agenda Packet Page 2 of 24
Today’s Program
Overview of City’s Budget (15-20 minutes)
Questions and Answers (30-45 minutes)
Feedback and Input (45-60 minutes)
Wrap Up
2 Agenda Packet Page 3 of 24
The Annual Budget
The annual budget represents the spending plan for the fiscal year (July 1 – June 30) that provides funding for all City services and programs that supports the City’s mission, vision, and values.
The budget document serves as:
Planning Document
Financial Plan
Operations Guide
Communication Device
www.el-cerrito.org/annualbudgetprocess
3 Agenda Packet Page 4 of 24
4 FY 2022-23 Adopted Budget Focus
Achieve Long-term
Financial Sustainability
General Fund Reserve
Fiscal Response Plan
Constant Monitoring of
Financial Position
Fiscal Discipline
Agenda Packet Page 5 of 24
FY 2022-23 Adopted Budget: 5
City Council Priorities –
Overview
► Implement City Council Direction with focus on
financial sustainability
► Implement workplan of “Must Do” tasks and projects
in progress
► Continue current priorities and strategic goals
► Strategically restore services and staffing
► Maintain fiscal discipline with a budget focus of
financial sustainability
Agenda Packet Page 6 of 24
FY 2022-23 Adopted Budget
Citywide Revenues
All Funds $68,917,730
Taxes, 48.2%
Licenses & Permits,
1.3% Fines and Forefeitures, 0.2%
Use of Money and Property, 0.9%
Intergovernmental
Revenues, 19%
Charges for
Services, 14.2%
Interfund Transfers,
3.5% Other Revenues,
0.4%
Agenda Packet Page 7 of 24
7 El Cerrito Property Tax Dollar Breakdown
Agenda Packet Page 8 of 24
FY 2022-23 Adopted Budget
Citywide Expenditures by Department
All Funds: $69,573,629
Capital Outlay,
20.0%
City
Management,
7.4%
Community
Development,
5.4%
Debt Service,
3.2%
Finance, 2.4%
Fire, 19.2%
Police, 18.9%
Public Works,
11.3%
Recreation,
8.7%
Transfer , 3.4%
Agenda Packet Page 9 of 24
FY 2022-23 Adopted Budget:
General Fund Expenditures
$44,865,113
Personnel
73%
Professional
Services
10%
Purchased
Property Services
5%
Other Services
7%
Supplies
2%
Property &
Capital
1%
Financing … Other Financing
Uses
1%
Agenda Packet Page 10 of 24
FY 2022-23 Adopted Budget:
General Fund Expenses by Department
City
Management,
11.1%
Finance, 3.5%
Police, 28.9%
Fire, 29.7%
Public Works, 5.1%
Community
Development, 7.1%
Recreation, 12.4%
Transfers, 1.5%
Debt Service, 0.6%
Agenda Packet Page 11 of 24
FY 2022-23 Amended Budget
General Fund Expenditures
$47,046,145
Agenda Packet Page 12 of 24
Annual Comprehensive
Financial Report (ACFR)
Audit Results – “Clean” Audit
No Exceptions in Audit Opinions
No Material Weaknesses
No Disagreements with Management
No Significant Passed on Adjustments
Financial Position
General Fund Reserve Balance: $16,624,174
FY 2021-22 Surplus: $9,480,912
ARPA: $3.01 million
Represents 35% of General Fund Expenditures
12 Agenda Packet Page 13 of 24
13 Assumptions/Data:
► FY 2021-22 actual revenues and
expenditures
► FY 2022-23 approved revenues
and expenditures
► Pension estimated at $9.9 million
for FY 2023-24 compared to
budget of $8.3 million for FY
2022-23
► FY 2026-27 property tax revenues
increase by $1.2 million due to
the end of the Successor
Agency
► Personnel increases by 4.5% in FY
2023-24 then settles at a 3%
annual increase
► Healthcare costs increase by
10% in FY 2023-24 then settles at
a 5% annual increase
► All other non-personnel line items
increase 5% for FY 2024, 4% for FY
2023 and 3% ongoing
► Includes one-time revenues of
$876,621 and ongoing revenues
of $398,500
► Includes one-time expenditures
of $1,789,240 and ongoing
expenditures of $391,792
Agenda Packet Page 14 of 24
14 State Auditor Report Update
High Risk Areas:
Continual diminishing of financial reserves through overspending - Status: Partially Addressed
Corrective Action: Monitor revenues, reduce expenditures, and prioritize increasing General Fund reserves
Ineffective budget development and monitoring practices - Status: Addressed Corrective Action: Implement stricter budget policies and procedures and increased focus on departmental budgets - Completed
Lack of a formal financial recovery plan - Status: Addressed Corrective Action: Develop Fiscal Recovery Plan to achieve financial sustainability – Completed
Insufficient reductions in ongoing costs - Status: Pending Corrective Action: Monitor personnel expenditures, work with employee bargaining units, ensure appropriate compensation
Missed opportunities to increase revenue - Status: Partially Addressed Corrective Action: Review all opportunities to increase cost recovery Statewide Ranking (as of FY 2020-21): #13 – Medium Risk (Previous Year: #6 – High Risk)
www.el-cerrito.org/1565/State-Auditors-Report
Agenda Packet Page 15 of 24
Next Steps 15
City staff preparing budget for all funds and departments April 25, 2023: Financial Advisory Board meeting
May 2, 2023: City Council Budget discussion, Public Hearings for Master Fee Schedule and Assessments
May 9, 2023: City Council Special Meeting: Departmental budget presentations
May 16, 2023: Third Quarter General Fund Update
May 23, 2023: Financial Advisory Board meeting
June 6 and June 20, 2023: City Council Budget hearings Additional meetings as needed TBD
Adopt FY 2023-24 budget prior to June 30, 2023
www.el-cerrito.org/annualbudgetprocess
Agenda Packet Page 16 of 24
Questions and Answers
16 Agenda Packet Page 17 of 24
Feedback
and Input
www.polco.us/sw4ws5
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El Cerrito Strategic Plan 18
Agenda Packet Page 19 of 24
19 Services Provided by the City
Community Development Programs
•Current & Advance Planning
•Building Inspection
•Code Enforcement
•Development Plan Check
•Housing Programs
•Economic Development
Public Works Programs
•Engineering
•Facilities
•Integrated Waste Management
•Recycling
•Road Maintenance
•Landscape Maintenance
Administrative Programs
•Finance
•Human Resources
•Information Technology
•Legislative Support
•Records Administration
•Public Information
Police Programs
•Patrol
•Investigations
•Special Operations
•Traffic Enforcement
•Crime Prevention
Fire Programs
•Fire Response
•Medical Response
•Vegetation Management
•Prevention and Education
Recreation Programs
•Aquatics
•Child Care
•Enrichment Programs and Camps
•Senior Services
•Special Events
•Custodial Services
Agenda Packet Page 20 of 24
Question
#1:
WHAT WOULD
YOU LIKE THE CITY
OF EL CERRITO TO
PRIORITIZE IN THE
CITY'S BUDGET
FOR FISCAL YEAR
2023-2024?
20 Agenda Packet Page 21 of 24
Question
#2:
WHAT SERVICES
ARE NECESSARY
FOR THE CITY TO
PROVIDE AND
WHAT SERVICES
COULD THE CITY
STOP DOING?
21 Agenda Packet Page 22 of 24
Question
#3:
WHAT ARE YOUR
IDEAS FOR HOW THE
CITY CAN MAINTAIN
A HEALTHY AND
SUSTAINABLE
BUDGET, WHILE
PROVIDING THE
SERVICES THAT OUR
RESIDENTS AND
BUSINESSES DESIRE
MOST?
22 Agenda Packet Page 23 of 24
THANK YOU!
www.el-cerrito.org/annualbudgetprocess
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