FY 2022 Mid-Year Budget Review & Proposed ARPA Expenditure Plan FY 2022 Mid-Year Budget Review
GENERAL FUND – 10101
REVENUES
Sales Tax
Property Tax
Business License
Room Tax
Franchise Fees
Other Taxes and Fees
Charges for Current Services
All Other Revenue
Total Annual Operating Revenue
Total Available Funding
These revenue sources represent greater than 79% of
the City’s Total Annual Operating Revenue.
1. These revenue sources are the best indicators of
the level of economic activity in our community.
2. Increased Business Tax revenue means increased
business revenue from increased sales of goods
and services by local businesses.
3. Increased Sales Tax revenue means residents are
spending more money in the economy for goods
and services.
4. Increased Room Tax means more people are
visiting the City for work, family, or leisure.
The higher the level of economic activity, the greater
the revenue generated for the City.
2 GENERAL FUND – 10101 FY 2019
Actuals
FY 2020
Actuals
FY 2021
Actuals
PRIOR YEAR CARRYOVER 18,228,000 24,806,000 25,432,600
REVENUES
Sales Tax 100,831,000 95,060,000 119,640,200
Property Tax 137,207,000 141,332,000 151,479,300
Business License 20,030,000 19,805,000 19,332,300
Room Tax 14,113,000 12,152,000 11,980,700
Franchise Fees 14,216,000 14,931,000 16,710,100
Other Taxes and Fees 5,642,000 5,672,000 5,294,800
Charges for Current Services 37,348,000 38,671,000 37,961,800 All Other Revenue 28,262,000 23,817,000 27,166,600
Total Annual Operating Revenue 357,649,000 351,440,000 389,565,900 Total Available Funding 375,877,000 376,246,000 414,998,500 FY 2022 Mid-Year Budget Review – Revenues
3 GENERAL FUND – 10101 FY 2019
Actuals
FY 2020
Actuals
FY 2021
Actuals
FY 2022
Adopted
FY 2022
Estimate as
of 02/07/22
PRIOR YEAR CARRYOVER 18,228,000 24,806,000 25,432,600 26,596,600 45,524,100
REVENUES
Sales Tax 100,831,000 95,060,000 119,640,200 112,891,500 138,503,600 Property Tax 137,207,000 141,332,000 151,479,300 160,000,200 154,307,300 Business License 20,030,000 19,805,000 19,332,300 21,996,700 22,301,000 Room Tax 14,113,000 12,152,000 11,980,700 13,994,400 13,994,400 Franchise Fees 14,216,000 14,931,000 16,710,100 15,646,200 15,646,200 Other Taxes and Fees 5,642,000 5,672,000 5,294,800 5,081,500 5,081,500 Charges for Current Services 37,348,000 38,671,000 37,961,800 40,036,900 41,156,700 All Other Revenue 28,262,000 23,817,000 27,166,600 30,027,700 24,936,800 Total Annual Operating Revenue 357,649,000 351,440,000 389,565,900 399,675,100 415,927,500 Total Available Funding 375,877,000 376,246,000 414,998,500 426,271,700 461,451,600 FY 2022 Mid-Year Budget Review – Revenues
4 FY 2022 Mid-Year Budget Review – Expenses
GENERAL FUND - 10101 FY 2019 Actuals
FY 2020
Actuals
FY 2021
Actuals
FY 2022
Adopted
FY 2022
Estimate as
of 02/07/22
Total Available Funding 375,877,000 376,246,000 414,998,500 426,271,700 461,451,600 Total Annual Operating Expenses (317,325,000) (339,615,000) (422,667,500) (395,331,400) (401,246,600) Total Annual Operating Transfers (33,043,000) (11,300,000) (7,669,000) (30,749,600) (27,951,800) Annual Net Ending Balance 24,806,000 25,331,000 45,423,800 190,700 32,253,200 5 FY 2022 Mid-Year Budget Review – Expenses
GENERAL FUND - 10101 FY 2019 Actuals
FY 2020
Actuals
FY 2021
Actuals
FY 2022
Adopted
FY 2022
Estimate as
of (02/07/22)
Annual Net Ending Balance 24,806,000 25,331,000 45,423,800 190,700 32,253,200 FY 21-FY22 Approved Commitments: Parks/PW Unspent Capital Balances (3,326,500) FY 22 Net Ending Balance (Budget Surplus) 28,926,700
Unbudgeted: Fuel Increases (448,200)
PD Safety Equipment (1,050,000)
PW Equipment (3,132,600)
Animal Center (1,600,000)
Infill/Affordable Housing Incentives (5,000,000)
Street Repair/Replacement (10,000,000)
Fleet Fund Deficit (1,500,000)
Improved PBID Maintenance (300,000)
Real Estate Purchases (10,500,000)
Van Ness & Weldon Park (500,000)
Water Tower Improvements (200,000)
Amtrak ADA Engineering (100,000)
ARPA Revenue Replacement 10,000,000
Total of Unbudgeted Items: (24,330,800)
FY22 Free Ending Balance 4,595,9006
FY 2022 Proposed ARPA Expenditure Plan
ARPA Community
Survey Feedback
COVID-19 Committee Review
ARPA Survey Results
Context for todays update
• Questions – Three mandatory questions asked pertinent to study.
Seven additional optional demographic questions asked.
• Q1: Aligned question on general preference for funding use. Options based on ARPA interim rule definitions
• Q2: Aligned question with specific preference of local use by category. • Q3: Question asked as free-form open response.
• Survey tool – SurveyMonkey
• Survey translations – English, Spanish, Hmong, Punjabi • Survey Range – Launched December 2nd 2021 through January 30th 2022 • Total Responses – 1000 (less those who stated they did not live in Fresno).
Total qualified respondents in this study = 868
• Survey distribution - City of Fresno media channels, community organizations and major media outlets.
• Analysis – Is based on scientific ‘Top-Two box’ survey methodology9 Overview Question 1
Q1 - Please provide us your general
preferences for City investment of ARPA
funding by ranking the following categories.
(1 = Most Preferred, 5 = Least Preferred)
Key Takeaway
In terms of general preference,
survey respondents desire for ARPA
spending to be used in “Response
to public health emergency
including public health, public
safety (police and fire), and
housing insecurity.”
(67% marked this as either a ‘1’ or
‘2’ spending priority).
10 Overview Question 2
Q2 - Please provide us your specific
preferences for City investment of ARPA
funding by ranking the following categories.
(1 = Most Preferred, 6 = Least Preferred):
Key Takeaway
In terms of specific preferences, survey
respondents desire for ARPA spending
to be used for “Homelessness:
Services to address homelessness,
such as buying motels to create
more shelter beds, building
supportive housing and using
innovative new approaches to create
much more affordable housing in
Fresno.” (46% marked this as either a
‘1’ or ‘2’ spending priority)
11 Overview Question 2
Q2 - Please provide us your specific
preferences for City investment of ARPA
funding by ranking the following categories.
(1 = Most Preferred, 6 = Least Preferred):
Key Takeaway
The previous spending priority is tied
with a preferred use of funds for “Public
Safety: Expanding 911 Dispatch
Center to reduce 911 hold times.
Provide new vehicles, equipment
and technology to our police officers
and firefighters to keep the public
safe.” (46% marked this as either a ‘1’
or ‘2’ spending priority)
12 Continued…
Q2 - Please provide us your specific
preferences for City investment of ARPA
funding by ranking the following categories.
(1 = Most Preferred, 6 = Least Preferred):
Key Takeaway
Ranking 3rd was public preference for
“Infrastructure: Invest more funding to
repair streets, curbs, gutters, provide
safe routes to school and other
infrastructure needs in the older parts of
Fresno.”
(45% marked this as either a ‘1’ or ‘2’
spending priority)
13 Overview – Question 3
We asked respondents to “Please provide any other feedback or input you would like to share.” 552 individuals responded. By way of a data mining common thread language surfaced:
1. Neighborhood Infrastructure Comments: Street, Road, Sidewalk, Water, Sewer, Lights, Infrastructure, Trees, Potholes, Paving = 198 references
2. Housing/Homeless Comments: Homeless, Housing, Mental Health, Shelter = 219 references
3. Public Safety Comments: Police, Officers, Firefighters, Crime, Criminals, Public Safety =199 references
4. Small Business Assistance: Business, Jobs = 60 references
5. Park Comments: Parks, Playgrounds = 38 references
6. Beautification Comments: Trash, Litter, Cleanup, Dump, Debris =26 references 14 Demographics: COVID Impact, Race and District
15 Demographics: age and income
16 Public Works Department
Project Planning and Delivery – Ongoing Efforts
1. Street Maintenance Division (City forces) - 130 FTE, $31 million budget a. Pothole, patching, crack seal, paint & signs, street sweeping & general maintenance
b. Single paving crew, capacity of $5-6 million annually c. Six concrete repair crews for strike team, ADA, seven-week program and SB1 neighborhood concrete repair - $5.4 million annually
2. Landscape Maintenance Division - 105 FTE, $24 million budget a. Maintenance of median islands, street trees, parks, trails, buffers, CFD/LLMD b. Capacity of $800-900k annually in special projects and CFD enhancements 17 Public Works Department
Project Planning and Delivery – Ongoing Efforts
1. Engineering & Facilities – Project Management
a. Managing 184 capital improvement projects in design ($346 million) b. 35 Project Managers and Engineering Design Staff
c. 11 Currently vacant positions
d. Challenges – strong economy, private sector opportunities, higher salaries with some public agencies
2. Construction Management
a. A team of 46 construction inspectors, contract compliance staff, surveyors and office administrative staff
b. Currently managing 90 City construction contracts ($190 million)18 Public Works and PARCS Departments
Deferred Maintenance Needs
1. PARCS Department
a. 2018 Parks Master Plan – $112 million in deferred maintenance from a partial assessment completed in 2016.
b. Did not include irrigation system replacement or parking lots in need of complete repaving. Total needs exceed $200 million.
c. Parks Master Plan Update currently in process.
2. Public Works Department
a. Pavement Management workshop (February 17, 2022) - $505 million b. Tree-damaged curbs, gutters & sidewalks - $200 million c. Missing sidewalks - $475 million
d. Vandalism to streetlight system > $1 million
19 Public Works Department
FY 2022 Council Budget Motions Estimates to Date
20 Department
Council
District 1
Council
District 2
Council
District 3
Council
District 4
Council
District 5
Council
District 6
Council
District 7
Multi
District Grand Total
Citywide 6,000,000 6,000,000
DPW/PARCS 31,135,257 4,773,000 50,929,873 1,564,400 94,550,969 2,113,625 1,885,000 5,000,000 191,952,124 Economic
Development 1,500,000 1,500,000
Fire 8,600,000 25,000,000 33,600,000
Planning &
Development 31,000,000 31,000,000
Grand Total 39,735,257 4,773,000 50,929,873 1,564,400 94,550,969 2,113,625 1,885,000 68,500,000 264,052,124 Public Works Department
ARPA Recommendations
$25 million ARPA Investment Neighborhood Infrastructure
1. ARPA Final Rule Published January 6, 2022
2. Eligible uses now include parks & green spaces that can demonstrate impacts from the Covid-19 pandemic (over
$1M requires approval from Treasury), recreational
facilities, sidewalks, pedestrian safety features like
crosswalks, streetlights, and neighborhood cleanups.
3. Street paving projects are an ineligible expense unless incidental to an allowable expense (i.e. water, sewer,
broadband projects)
21 Public Works Department
ARPA Recommendations
$25 million ARPA Investment Neighborhood Infrastructure
1. The Administration recommends 7-10 projects be selected
2. Project selected based Council priorities, with consideration for deferred maintenance priorities
3. Due to lack of room at the MSC for more vehicles and equipment, and lack of sufficient staffing - additional project workload needs to be outsourced.
4. Public Works shall issue RFQ for engineering design firms
5. Project Delivery Schedule
a. Environmental approval and design work – Spring 2022 to Spring 2023 b. Acquire Right-of-Way for ADA Compliance – by Summer 2023 c. Bid, award & begin construction – by Spring 2024
d. Complete all construction & close out – by December 2024 22 Public Works and PARCS Departments
Project Planning and Delivery Process
Project Selection – Needs Identification
1. Council District requests
2. Constituents (FresGO, calls, emails, neighborhood meetings)
3. Staff recommendations
4. Formal studies and guiding documents
a. General Plan
b. Parks Master Plan
c. Active Transportation Plan (ATP) – trails, sidewalks, bike lanes d. Citywide update of Pavement Condition Index (PCI)
e. Electronic Asset Management system
f. ADA Facilities and Right-of-Way Transition Plans
g. Traffic and pedestrian counts, accident reports, warrant studies23 ARPA Investment Recommendations
24 FY22 ARPA INVESTMENT AMOUNT
Total Available Funding (1st Tranche) 85,404,015
Council Approved Allocations (28,210,500)
Remaining Unallocated Funds 57,193,515
Recommended Allocations
Public Sector Revenue Replacement (10,000,000)
39th AAR Abatement Team (420,000)
FPOA Agreement (51st AAR) (3,308,200)
IAFF "Me Too" (52nd AAR) (369,600)
Approved Labor Agreements (1,213,500)
Fire Overtime (1,163,600)
FPOA Retro (1,300,000)
911 Call Center (2,000,000)
Peach Property Phase I (8,500,000)
Van Ness & Weldon Park (999,900)
Real Estate Purchases (2,599,800)
Personal Protective Equipment (PPE) (100,000)
Small Business Assistance/Façade (4,500,000)
Neighborhood Infrastructure (25,000,000)
Community Partnerships (10,000,000)
H Street Warehouse (5,000,000)
Landlord Incentives/Rent Stabilization Grants (1,000,000) Lighting repairs at Downtown Brewery District (500,000) Total Recommended Allocations (77,974,600)
Remaining Balance after Recommended Allocations (20,781,085)
QUESTIONS