DATE:
June 7, 2022
TO:
Mayor and Council Members
Chair and Board Members, Hesperia Housing Authority
Chair and Board Members, Hesperia Fire Protection District Chair and Board Members, Hesperia Water District
FROM:
Nils Bentsen, City Manager
BY:
Casey Brooksher, Director of Administrative Services
SUBJECT:
Fiscal Year (FY) 2022-23 Operating Budget Adoption
RECOMMENDED ACTION
It is recommended that the City Council/Board’s adopt the following Resolutions approving the FY 2022-23 Operating Budget for the City of Hesperia, Hesperia Housing Authority, Hesperia Fire Protection District, and Hesperia Water District:
City of Hesperia Resolution No. 2022-40 adopting the Fiscal Year 2022-23 Budget City of Hesperia Resolution No. 2022-41 adopting the GANN Appropriations Limit Hesperia Housing Authority Resolution HHA 2022-02 adopting the Fiscal Year 2022-23 Budget Hesperia Fire Protection District Resolution HFPD 2022-02 adopting the Fiscal Year 2022-23 Budget Hesperia Fire Protection District Resolution HFPD 2022-03 adopting the GANN Appropriations Limit Hesperia Water District Resolution HWD 2022-06 adopting the Fiscal Year 2022-23 Budget Joint Resolution No. 2022-42, HHA 2022-03, HFPD 2022-04, and HWD 2022-07 re-adopting the Financial Policies
BACKGROUND
In compliance with the City Council’s policy direction, staff has prepared the FY 2022-23 Operating Budget for the City of Hesperia, the Hesperia Housing Authority, Hesperia Fire Protection District, and the Hesperia Water District Board’s consideration and action. The information contained in this staff report follows two workshops regarding the City’s FY 2022-23 Operating Budget which began in May 2022.
ISSUES/ANALYSIS
The City Council/Board’s expenditure plan and related resources to fund the Fiscal Year (FY) 2022-23 Operating Budget have been presented and staff is available to answer questions that the legislative bodies may have. Included with this staff report and attached resolutions is the FY 2022-23 combined operating budget of $79,502,455. The Capital Improvement Program (CIP) budget of $54,103,094 will also be presented for City Council consideration on June 21, 2022. With both items combined, the FY 2022-23 Budget is proposed to be $133,605,549.
Staff requests authority to make technical corrections, minor edits, etc. to the FY 2022-23 Proposed Budget document to be incorporated into the final FY 2022-23 Budget as approved by the City Council.
Financial Policies
Resolutions are included to re-adopt the annual Financial Policies for the City. These policies, which follow current practices, will serve as guidelines for the financial management of the City; particularly in the area of budgeting, accounting for capital improvements, revenue, management of budgeted reserves, transfers of available budget within a fund, fiscal management, capital assets exceeding $5,000, and long-term debt management.
Gann Limit
Proposition 4, approved by the California voters in 1979, requires cities and special districts to calculate and establish an appropriation limit each year. The limit is based on the actual appropriation in the fiscal year 1978-79 or year of incorporation, and increases with population growth and inflation. The FY 2022-23 Gann Limit for the City is $112,333,641 while the Fire District is $26,194,261.
FISCAL IMPACT
See Fiscal Year 2022-23 Proposed Budget.
ALTERNATIVE
Provide alternate direction to staff.
ATTACHMENTS
Resolution No. 2022-40
Resolution No. 2022-41
Resolution HHA 2022-02
Resolution HFPD 2022-02
Resolution HFPD 2022-03
Resolution HWD 2022-06
Joint Resolution No. 2022-42, HHA 2022-02, HFPD 2022-04, and HWD 2022-07 (Financial Policies) Exhibit A Financial Policies clean and track changes
Page PAGE \* Arabic \* MERGEFORMAT 2 of NUMPAGES \* Arabic \* MERGEFORMAT 2 Staff Report to the Mayor and City Council/Board Members Fiscal Year 2022-23 Operating Budget Adoption
June 7, 2022
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STAFF REPORT