City Council Chambers
29844 Haun Road
Menifee, CA 92586
Bill Zimmerman, Mayor
Bob Karwin, District 1
Ricky Estrada, District 2
Lesa Sobek, District 3
Dean Deines, District 4
SPECIAL AGENDA
Menifee City Council
Special Meeting Agenda
Wednesday, April 5, 2023
3:00 PM Special Meeting
Armando G. Villa, City Manager
Jeffrey T. Melching, City Attorney
Kay Vinson, Acting Clerk
SPECIAL MEETING (3:00 PM)
1. CALL TO ORDER
2. ROLL CALL
3. PLEDGE OF ALLEGIANCE
4. MULTIYEAR BUDGET PLANNING AND FORECAST MODEL
4.1 MultiYear Budget Planning and Forecast Model
RECOMMENDED ACTION
1. Receive and file summary report on City’s MultiYear Budget Planning and the 10Year Financial Forecast Model.
5. CAPITAL IMPROVEMENT PROGRAM BUDGET WORKSHOP
5.1 Capital Improvement Program Workshop For Fiscal Years 20232024 and 20242025 RECOMMENDED ACTION
1. Review the Capital Improvement Program (CIP) Presentation and provide feedback and input to staff.
6. ADJOURN
Decorum Policy Notes
Public participation is anticipated and encouraged at meetings. Please turn your cell phones off or refrain from talking in the audience or outbursts that may be disruptive. Mutual respect is requested.
Staff Reports
Materials related to an item on this agenda, including those submitted to the City Council after distribution of the agenda packet, are available for public inspection at City Hall located at 29844 Haun Road or by contacting the City Clerk Department at (951) 6726777 during normal business hours.
Compliance with the Americans with Disabilities Act
If you need special assistance to participate in this meeting, you should contact the City Clerk Department at (951) 6726777. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting.
Menifee Mayor and City Council
April 5, 2023
Page
1 of 5
City Council Chambers
29844 Haun Road
Menifee, CA 92586
Bill Zimmerman, Mayor
Bob Karwin, District 1
Ricky Estrada, District 2
Lesa Sobek, District 3
Dean Deines, District 4
SPECIAL AGENDA
Menifee City Council
Special Meeting Agenda
Wednesday, April 5, 2023
3:00 PM Special Meeting
Armando G. Villa, City Manager
Jeffrey T. Melching, City Attorney
Kay Vinson, Acting Clerk
SPECIAL MEETING (3:00 PM)
1. CALL TO ORDER
2. ROLL CALL
3. PLEDGE OF ALLEGIANCE
4. MULTIYEAR BUDGET PLANNING AND FORECAST MODEL
4.1 MultiYear Budget Planning and Forecast Model
RECOMMENDED ACTION
1. Receive and file summary report on City’s MultiYear Budget Planning and the 10Year Financial Forecast Model.
5. CAPITAL IMPROVEMENT PROGRAM BUDGET WORKSHOP
5.1 Capital Improvement Program Workshop For Fiscal Years 20232024 and 20242025 RECOMMENDED ACTION
1. Review the Capital Improvement Program (CIP) Presentation and provide feedback and input to staff.
6. ADJOURN
Decorum Policy Notes
Public participation is anticipated and encouraged at meetings. Please turn your cell phones off or refrain from talking in the audience or outbursts that may be disruptive. Mutual respect is requested.
Staff Reports
Materials related to an item on this agenda, including those submitted to the City Council after distribution of the agenda packet, are available for public inspection at City Hall located at 29844 Haun Road or by contacting the City Clerk Department at (951) 6726777 during normal business hours.
Compliance with the Americans with Disabilities Act
If you need special assistance to participate in this meeting, you should contact the City Clerk Department at (951) 6726777. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting.
Menifee Mayor and City Council
April 5, 2023
Page
2 of 5
CITY OF MENIFEE
SUBJECT: Multi-Year Budget Planning and Forecast Model
MEETING DATE: April 5, 2023
TO: Mayor and City Council
PREPARED BY: Rochelle Clayton, Assistant City Manager
REVIEWED BY: Rochelle Clayton, Assistant City Manager
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
Receive and file summary report on City’s Multi-Year Budget Planning and the 10-Year Financial Forecast Model.
DISCUSSION
As part of the City’s efforts to enhance and expand overall financial management operations, the City has concentrated efforts into incorporating multi-year financial planning. Multi-year planning provides the City Council, City staff, and public with greater certainty on planned staffing, programs and services, and the necessary revenues needed to accommodate these.
In December 2020, staff prepared a 5-year plan for the police department which incorporated a staffing plan over five years in order to project the 5-Year Police Financial Model, which served as an effective planning tool in the first years of municipal police operations. To expand on long- term financial planning, in the fall of 2022 the City engaged Urban Futures to prepare a base 10- Year Financial Model, which can be tailored and actively managed by staff in the regular financial management activities of the City.
In development of the City’s 10-Year Financial Model, working with Urban Futures, the model incorporated known and anticipated factors that may have a significant impact on future revenues and expenditures. The overall foundation of the model incorporates historical city revenues and expenditures as well as general and relevant economic trends and outlooks, and applicable econometrics/data.
The 10-Year Financial Model serves as a planning tool, which further enables the City to plan a 2-Year Budget. There are many advantages to adopting a 2-year budget, including long-term project planning which can better align with Council’s Strategic Goals set in the 2023-2028 Strategic Plan recently adopted. It can also allow for better internal project development and staff Item Title: 4.1
Multi-Year Budget Planning and Forecast Model
Item Page Number: 1
Menifee Mayor and City Council
April 5, 2023
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City of Menifee Staff Report
Multi-Year Budget Planning and Forecast Model
April 5, 2023
1 5
0 3
scheduling, such as with the upcoming financial accounting system conversion, where the heaviest workload on Finance staff will occur during the (typical) budget season of 2024. With the adoption of a 2-Year Budget covering fiscal years 2023-24 and 2024-25, the only budget action that may be needed during this timeframe next year will be a mid-cycle budget adjustment, which is a fraction of the workload compared to a full budget preparation.
As with an annual budget, where staff analyzes the actual performance compared to the adopted budget during a given year in order to request approval of a mid-year adjustment, the same process will occur during each fiscal year of a 2-year budget. Likewise, as the end of the first fiscal year approaches and needs of the City may change along the way, a mid-cycle adjustment could be requested.
A 2-year budget process is typically as follows:
▪2-Year Budget Adoption for FY2023-24 & FY2024-25 in May 2023 (4 months of labor- intensive budget planning)
▪FY 2023-24 Mid-Year Adjustment in February 2024 (6 weeks of analysis and planning) ▪FY 2024-25 Mid-Cycle Adjustment in May 2024 (6 weeks of analysis and planning) ▪FY 2024-25 Mid-Year Adjustment in February 2025 (6 weeks of analysis and planning) A 2-year budget is a planning tool which allows for long-term financial and project planning. Going forward staff will continue to proactively use the 10-Year Financial Model in development of budgets and long-term financial planning.
STRATEGIC PLAN OBJECTIVE
Regular City Business
FISCAL IMPACT
There is no fiscal impact associated with the recommended action.
ATTACHMENTS
None.
Item Title: 4.1
Multi-Year Budget Planning and Forecast Model
Item Page Number: 2
Menifee Mayor and City Council
April 5, 2023
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CITY OF MENIFEE
SUBJECT: Capital Improvement Program Workshop For Fiscal Years 2023-2024 and 2024-2025
MEETING DATE: April 5, 2023
TO: Mayor and City Council
PREPARED BY: Margarita Cornejo, Deputy Finance Director REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
Review the Capital Improvement Program (CIP) Presentation and provide feedback and input to staff.
DISCUSSION
Staff will present an overview of the proposed plan for Fiscal Years 2023-2024 and 2024-2025 Capital Improvements Projects and is seeking feedback and input from City Council and the public on the proposed plan.
STRATEGIC PLAN OBJECTIVE
Connectivity and Mobility
FISCAL IMPACT
None.
ATTACHMENTS
None.
Item Title: 5.1
Capital Improvement Program Workshop For Fiscal Years 2023-2024 and 2024-2025 Item Page Number: 1
Menifee Mayor and City Council
April 5, 2023
Page
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