City Council/Public Finance and Economic Development Authority/Parking Authority
June 20, 2023

City of Merced
Budget 2023-24
1 FY 2023-24 Budget Overview
Total City Budget $407.5 million
$57.7
$182.5
$43.4
$123.9
General Fund
Enterprise Funds
Internal Service Funds
Other Operating Funds
2 FY 2023/24 General Fund
Estimated Beginning Balance – July 1, 2023 $11,488,571
Budgeted Revenue $55,667,921
Operating Expenses $54,100,004
Operating Transfers $1,567,917
Total Operating Expenditures $55,667,921
Revenue over/under Expense $0
Below the Line (Non-operating) $1,586,941
Future Planning $2,303,050
Prior Year Projects $440,493
Recommended Ending Balance – June 30, 2024 $7,158,087
Less Committed Funds-5% Contingency Reserve $2,783,396
Total Available Funds – June 30, 2024 $4,374,691
3 Below the Line Expenses (Non-Operating)
4 Enterprise Resource Planning (ERP) System $ 428,589 ARPA Administration $ 57,134
Community Funding $ 30,000
Parks Vehicles $ 110,000
Art Projects $ 100,000
Dash Cams Hardware & Body Cam Storage $ 77,410
South Merced Improvements $ 350,000
City Attorney Contract $ 165,766
IT Replacement Generator $ 121,567
IT Cyber Security Upgrade $ 40,162
IT Website Update $ 106,313
Trust 115-Pension $ 607,500
Affordable Housing Fund $ 364,500
Economic Development Opportunity Fund $ 243,000
General Fund Reserve – 30% set aside $1,088,050
Total $3,889,991 FY 2023/24 Measure C
Estimated Beginning Balance – July 1, 2023 $6,553,187
Budgeted Revenue $9,063,791
Operating Expenses $7,476,560
Operating Transfers $202,471
Total Operating Expenditures $7,679,031
Revenue over/under Expense $1,384,750
Prior Year Projects $1,798,240
Current Year Projects $1,210,000
Recommended Ending Balance – June 30, 2024 $4,929,707
GFOA Recommended Minimum $1,395,235
Total Available Funds – June 30, 2024 $3,534,472
5 Measure C -
6  Police
 Moved 1 Police Officer to CFD
 Ballistic & Night Vision Helmets
$49.5k
 Record Management System
Upgrade $99k
 Server Software $32k
 Other
 Ballot Measure $70k
 Fire
 Female Academy $10k
 Paint Fire Station 51 $25k
 Streets
 GPS Opticom $210k
 Phase 2 Safe Streets Project –
$1 mill
Measure Y - Police/Fire
7  Fire 20%
 Refurbish One Fire Reserve Engine
$300k
 Ambulance Purchases
$300k
 Police 20%
 Reserve Officer Program $130k
 New K-9, Equipment & Training $53k
 Parcade Office Utilities $56k
 Real Time Crime Center Room $17k
 Vests $32k
 Quick Deploy Cameras (LPR’s) $17k
 Rifles and Scopes $49k
 Laser Shot (Training Simulator) $19k
Measure Y
8 Police-20% Fire-20%
Parks & Rec-
20%
Discretionary–
40% Total
Beginning Balance
7/1/23
$141,143 $434,025 $0 $0 $575,168
Estimated Tax
Revenue
373,760 373,760 373,760 747,520 1,868,800
Estimated Other
Revenue
4,600 7,080 8,850 11,730 32,260
Estimated Transfers 759,250 (759,250) 0
Estimated Expenses 506,463 750,000 1,070,163 0 2,326,626 Ending Balance
6/30/24 $13,040 $64,865 $71,697 $0 $149,602
Parks &
Community
Services-
City Council
Direction
9 Funding over what is needed by $71,697
Add $5,000 for Voucher Program
(total $13,000)
Filling the $511,538 Shortfall
Additional General Fund
Transfer of $104,942 (GF
surplus)Totaling $1,440,542
Transfer of Measure Y-40%
Discretionary funding of
$373,293
Increase Program Revenues –
Estimated $110,000
•Requires a Public Hearing and
Resolution
Parks & Community Services
10 Parks &
Community
Services
Parks & Rec-
20% Total
Beginning Balance 7/1/23 $161,803 $0 $161,803
Cannabis Tax 0 1,133,010 1,133,010
Program Revenues 450,792 8,850 459,642
General Fund Transfer 1,440,542 0 1,440,542
Prop 64 Grant 336,043 0 336,043
CFD Revenues 175,556 0 175,556
Total Revenues 2,564,736 1,141,860 3,706,596
Total Expenses 2,564,736 1,070,163 3,634,899
Ending Balance 6/30/24 $0 $71,697 $71,697
Measure Y – Parks & Recreation
 Discretionary-40%
 Tree Trimming
 Bike Path Maintenance
 Available funding to Parks and
Community Services Programs
11 General Fund Staffing/Admin
 Police
 Added 1 Police Lieutenant
 Deleted 1 Police Captain
 Added 1 Community Services
Officer
 Deleted 1 Police Records Clerk
 Outside City Attorney
 Positions and Contract Attorney
$1M
12 Administration
 Info Technology
 Replacement Generator
$300k
 Cyber Security
Enhancements $180k
 Website Update $225k
 ERP Allocation $1M
13 Downtown/Economic
Dev/Airport
 Property Based Improvement District
(PBID)
 ARPA
 Bob Hart Square Expansion $800k
 Streetscaping $200k
 Main St one-way redesign $750k
 South Merced Industrial Park Study
 Small Business Grant
 Remove 1 Economic Development
Manager
 Remove 1 Airport Manager
 Add 1 Business & Aviation Manager
14 Development
Services/Housing
 Remove Engineering Project Manager
for Senior Engineer
 Remove Planning Manager and
Associate Planner for Deputy
Development Services Director
 Additional $1M for General Plan
Update
 First Time Homebuyers Program $2.5M
 67 unit Affordable Housing Project
$1.3M
 95 unit motel conversion $24M
 21 unit container housing $4.2M.
 ARPA Allocation $7.5M
15 Public Works/Beautification
 Staffing
 Added 1 Maintenance Worker-
Streets
 Remove 1 Tree Trimmer for
Maintenance Worker-Trees
 Added 1 Custodian-Facilities
16 Public Works/Beautification
 Wastewater /Water
 Wastewater Rate Study
 Water Rate Study
 Water Rate Increase (July
2023)
 Council Directed no increase
 Resolution 6/20/23
17 Public Works/Beautification
 Streets
 Over $2.3M new Measure V and SB1
Project Funding
 Collins Dr Rehab
 M St/Buena Vista intersection Design
 Fiber Slurry various arterials
 Public Art $100k
 Murals on CalTrans Facilities $350k
 South Merced Improvements $350k
18 Summary of Proposals
19 Organization Name Project Description Requested
Amount
Recommended
Amount
League of United African
American Citizens (LUAAC) anti-bullying / fentanyl awareness $35,000.00 $0.00 Merced Youth Soccer Association
(MYSA)
help high school students prepare for
college/career $25,650.00 $10.000.00
Merced Lao Family Community
Hmong traditional music & cultural
instruction $15,000.00 $10,000.00
Calvary Assembly Isaiah Project $5,200.00 $5,000.00
Robert Rojas Foundation opiate education & training $119,481.60 $0.00 Merced County Nut Festival 2023 Merced County Nut Festival $7,000.00 $5,000.00 Total $207,331.60 $30,000.00
Financial Policies
 Economic Development Opportunity Fund
 20% of the 45% excess savings
 No other changes
 Affordable Housing Fund
 30% of the 45% excess savings
 Approving City Council directed and City Attorney reviewed policy 20 Errata List
21 Description Net Amount
ARPA Administration $57,134
Increase GF Operating Transfer to Parks & Community Services $104,942 Revise set-aside funding for Financial Policies $0
Revise Reserve set-aside $31,483
Increase Parks & Community Services Program Fee $110,000 Increase Transfer from Measure Y Discretionary to 20% Parks & Recreation $373,293 Shift Parks & Community Services Expenses to Measure Y $296,678 Revise STP funding $198,231
ARPA Program Adjustments $1,664,866
Shift funding between projects in Measure V $0
Next Steps
22 Re-open the Public Hearing
Take Public Comment
Adopt a Motion Approving
the FY 2023/24 Budget