FY 2024-25 Proposed
Budget
GROVERBEACH.ORG
Nick Szamet, Administrative
Services Director
Budget Outlook
GROVERBEACH.ORG
• FY 2024-25 High-Level Considerations:
• Staff is projecting a modest surplus of $60,000.
• Total citywide budget of $35.2 million with $18.4
General Fund budget.
• 600,000 General Fund CIP contribution and
$250,000 equipment reserve fund investment
• Budget maintains current services with nominal
surplus and sufficient reserves.
FY 2023-24 Accomplishments
GROVERBEACH.ORG
• Street Maintenance and Complete Streets
• More than 70% of local streets improved through the Measure K-14 Bond passed in 2014.
• Construction has commenced on the City’s largest street project, the West Grand Avenue Streetscape Project with anticipated completion in December 2024.
• Economic Development
• Construction has commenced on new hotel 950 El Camino Real. • Facilitate opportunities with property owners and landlords to recruit and retain businesses.
FY 2023-24 Accomplishments
GROVERBEACH.ORG
• Housing and Homelessness
• Construction has commenced on 402 W. Grand (37 condominiums). • Construction commencing on 401 W. Grand in June 2024 (59 condominiums).
• 53-unit affordable housing development on vacant city land working with Peoples Self-Help Housing and the Housing Authority of San Luis Obispo.
• Barka Street shelter, Cabins for Change, have come online providing sheltering for 20 unhoused individuals.
FY 2023-24 Accomplishments
GROVERBEACH.ORG
• Public Safety
• Secured a $500K grant from Congressman Carbajal for police technology.
• Worked with Arroyo Grande and County of San Luis Obispo to maintain coverage for Oceano by Five Cities Fire Authority with funding levels to maintain a third company.
FY 2024-2025 Total Expenditures
GROVERBEACH.ORG
• Total citywide expenditures $35.2
million.
• General Fund is estimated to have
$18.4 million in total expenditures.
• Capital Improvement will be nearly
$6 million.
• Enterprise funds are $6.7 Million.
• Special Revenues total nearly $4
Million.
General Fund,
$18,480,020 , 53%
Special Revenue
Fund, $4,027,311 ,
11%
Enterprise Funds,
$6,710,159 ,
19%
Capital
Improvement
Program,
$5,959,000 ,
17%
FY 2024-2025 Total Revenues
GROVERBEACH.ORG
• Total City revenues are estimated to
be $35,236,490.
• General Fund $18.4 million from
sales tax, and property tax, and
other major sources.
• It also includes revenues from
enterprise funds Water and
Wastewater user charges.
1%, Use of Money
and Property,
$430,000
42%, Tax Revenues,
$14,912,000
4%, Licenses,Fines,
$1,273,715
6%, Other Agencies,
$2,270,000
19%, Charges for
Current Services,
$6,870,951
12%, Transfers - In,
$4,355,621
15%, CIP CarryOver/Surplus,
$5,124,203
FY 2024-2025 General Fund Revenues
GROVERBEACH.ORG
Property Tax
32%
Cannabis Tax
7%
Transient
Occupancy Tax
6%
Other
1%
Charges for
Current Services
5%
Franchise Fees
5%
Sales Tax
33% Other Taxes
2%
Licenses & Permits
2%
Use of Money and
Property
2%
Transfers In
5%
• Sales tax remains the largest
source of General Fund Revenue
although it is growing slower than in
prior years.
• Property Tax remains strong at 4%
growth year-over-year.
• Transient Occupancy and Franchise
fees are both expected to grow,
while Cannabis will remain roughly
flat.
FY 2024-2025 General Fund Expenditures
GROVERBEACH.ORG
• Non-capital Expenditures remain as
planned in 2023-2025 Biennial
Budget.
• There is a $600,000 CIP
contribution and $250,000 for the
Equipment Replacement Fund.
• A small surplus of $60,000
Projected.
• New employee compensation
agreements will ultimately affect
budget
City Manager's
Office
10%
Administrative
Services
4%
Community
Development
6%
Police
38%
Public Works
8%
Capital
Improvement Plan
3%
Non-Departmental
28%
Transfers Out
1%
Surplus
0.32%
General Fund - Summary
GROVERBEACH.ORG
• Balanced budget to implement
Council Goals and address
community needs.
• Small surplus which reflects
trend of decreasing revenues
seen on national and regional
levels across governments.
• Reserves maintained with 31%
of planned operating
expenditures.
FY 20 21-22
Act u al
FY 2022-23
Act ual
FY 2023-24
Est imat ed
FY 2024-25
Budget
Beginning Reserves $ 5,344,70 0 $ 5,78 5,6 6 8 $ 5,0 53,9 6 5 $ 5,36 8 ,9 58 REVENUES:
Rev enues/Transfers In 17,8 32,0 0 0 17,74 0 ,0 0 1 19 ,4 8 0 ,6 11 18 ,4 8 0 ,0 20 EXPENDIT URES:
Operating Expenditures 15,373,9 0 0 15,432,20 4 17,26 4,6 18 $17,429 ,0 0 0 ERF/Debt Serv ice 134,20 0 154,0 0 0 16 8 ,0 0 0 $39 1,0 20 Transfers Out/Other 58 9 ,30 0 38 7,0 0 0 1,0 16 ,50 0 6 0 0 ,0 0 0 T OT AL EXPENDIT URES 16 ,0 9 7,4 0 0 15 ,9 73,20 4 18 ,4 4 9 ,118 18 ,4 20 ,0 20 ANNUAL SURPLUS (GF Reserves
used t o cover GAP) $ 1,734 ,6 0 0 $ 1,76 6 ,79 7 $ 1,0 31,4 9 3 $60,000 Wastewater Fund Repaym ent (142,0 0 0 ) (142,0 0 0 ) (142,0 0 0 ) Estim ated CIP Carry ov er (2,356 ,50 0 ) (5,124,20 3)
Ending Reserves $ 7,0 79 ,30 0 $ 5,0 53,9 6 5 $ 5,9 43,458 $ 5,28 6 ,9 58 Percent of Operating Expenditures 51% 33% 34% 31%
Recommendation
GROVERBEACH.ORG
The Council has the following alternatives to consider:
1. Review the FY 2024-25 Proposed Budget and FY 2024-29 Capital Improvement Program and provide direction to staff to finalize the FY 2024-25 budget for adoption at the June 24, 2024, City Council meeting; or
2. Provide alternative direction to staff.
Questions
GROVERBEACH.ORG