DATE:
May 2, 2023
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:
Rachel Molina, Assistant City Manager
Casey Brooksher, Director of Administrative Services
SUBJECT:
FY 2023-24 Budget Workshop #1 – Operating Budget
RECOMMENDED ACTION
It is recommended that the City Council/Board receive and file this staff report, which provides information about the current status of the City of Hesperia’s proposed operating budget for FY 2023-24, and adopt Joint Resolution No. 2023-28, HHA 2023-03, HFPD 2023-01, and HWD 2023-05 amending the Financial Policies.
BACKGROUND
In compliance with the City Council’s policy direction, staff annually develops an expenditure budget. While the budget gives the City the legal authority to secure goods and services, it is also a communication tool that provides information to the citizens about the City’s programs and projects. To ensure that the budget is developed to meet the City Council’s direction, a series of budget workshops have been developed. This first workshop will highlight the proposed operating budget. During the first City Council meeting in June, the proposed annual operating budget will be presented.
ISSUES/ANALYSIS
As mentioned, this first budget workshop will provide a brief overview of the City’s and Water District’s operating budget. The operating budget includes planned ongoing revenues and expenditures for the upcoming fiscal year, as well as revisions to the FY 2022-23 Budget. It should be noted, that the goal for developing the FY 2023-24 Budget was to minimize the use of reserves and enhance cash reserves. This goal will be highlighted during the presentation.
Financial Policies
Resolutions are included to amend 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.
For FY 2022-23 a revision is recommended for the Council’s consideration and is shown in the policy as the sixth bullet under Section I Budgeting Policy.
FISCAL IMPACT
There are no financial impacts at this time, as this is a workshop to discuss the proposed FY 2023-24 operating budget.
ALTERNATIVE(S)
Provide alternative direction to staff.
ATTACHMENT(S)
Joint Resolution No. 2023-28, HHA No. 2023-03, HFPD 2023-01, and HWD 2023-05 Exhibit A Financial Policies clean and track changes
Page PAGE 2 of NUMPAGES 2
Staff Report to the Mayor and City Council/Board Members Budget Workshop #1 – Operating Budget
May 2, 2023
City of Hesperia
STAFF REPORT