MURRIETA CITY COUNCIL
Governing Body Reports:
Mayor Stone
February 6, 2024
Received After Agenda Printed
2/06/2024 - Regular Meeting
Presentation (GBR)
Governing Body Reports:
Mayor Stone
[email protected]
Cal Cities
Conference*
• Mayor’s role in leading the team:
1. The Mayor works closely with the City Manager to move council goals forward, anticipate issues on the horizon, and manage the action at council meeting
a. My goal is to have another layer of communication from the dais. Our citizens will receive updates from various departments at each council meeting. It is vital that all council members be privy when the Mayor is speaking publically on behalf of the city. Lastly, usually only the Mayor signature is on all certificates, and as Mayor, I’ve requested all councilmembers will be listed moving forward.
• 2024/2025 State budget as proposed:
1. Overall, the Governor’s proposed $291.5 billion budget a. Forecast a deficit of $38 billion in 2024/2025
b. Assumes continued steady growth dose not assume a recession – Per Cal Cities c. Proposes a draw from the State’s reserve accounts to close budget gap d. Does not include new, ongoing funding to address new housing supply and homelessness e. Climate change and housing received the largest cuts *AB1234 Reporting
Governing Body Reports:
Mayor Stone
[email protected]
Cal Cities
Conference
• Balancing the budget:
1. 13.1 Billion in Reserves
2. 8.5 billion in spending reductions
3. 5.7 billion in internal borrowing
4. 5.1 billion in delays in deferrals
• Community Services in Budget:
1. Homelessness: Maintains 3.4 billion General Funds in 2023/2024 to address homelessness.
2. Behavior Health: Largely maintains funding for critical investments made in recent years with delays to several key programs.
3. Child Care: Maintains funding for chilkd care slots and includes 2.1 billion to fund subsidized 146.000 new slots.
4. Parks & Open Space: Reduces funding for Outdoor Equity Grants by 25 million.
5. Libraries: Pulls back $131.3 Million for Local Library Infrastructure Grant Program and forgoes planned
investments of $33 million in 2024/2025, 33 million in
2025/2026 and $34 million in 2026/2027.
• Potential issues in 2024
1. New tax exemptions
2. Short term rentals
3. 2024 ballot measures
4. Sales tax rebate agreements
• Potential Issued in 2024:
1. Accountability and transparency for state
homelessness funding
2. Ongoing funding to address homelessness
3. Proposition 1
4. Sober Living homes and recovery housing
5. Overdose prevention
6. Seniors & aging
7. Community disaster preparedness
Governing Body Reports:
Mayor Stone
[email protected]
Cal Cities
Conference
• Environmental Quality in the Budget
1. 2024/2025 budget proposal makes a significant changes to the prior budget’s climate commitments.
2. Maintains 89% of ther $54 billion ($48.3 billion) dedicated over five years (which shifted in the proposal to seven years)
• 2.9 billion in reductions
• 1.9 billion in delays of expenditures to future years • 1.8 billion for climate-related programs
• Governance, Transparency and Labor in the Budget:
1. State Employees Retirement Contributions
• 6.9 billion ($3.5 billion General Fund) for the statutorily required annual state contributions to CALPERS for state pension costs in 2024/2025
2. Information Technology System Upgrades and Modernizations:
• Unemployment Insurance Trust Fund Loan Interest
• EDDNext
• Division of Workers Compensation
3. Workforce:
• California Jobs First (formally the Community Economic Resilience Fund) • Apprenticeship Innovation Fund
Governing Body Reports:
Mayor Stone
[email protected]
Cal Cities
Conference
• Housing, Community and Economic Development in the
Budget:
1. $500 million cut to the Low Income Tax Credit Program
2. $300 million cut to the Regional Early Action Planning Grants 2.0 (REAP 2.0)
3. $250 million cut to the Foreclosure Intervention Housing Preservation Program
• Public Safety:
1. Fentanyl Response: $30 million in additional investment
2. Planned Prison Closures: $9.6 million in General Fund savings
3. Cannabis Funding: Loan $100 million from Cannabis Tax Fund to the General Fund
4. Climate Change/Wildfires: $100.7 million in reversion for various climate prorams including wildfire prevention
programs
• Potential Issues in 2024:
1. By-Right Approvals of Adoptive Reuse and
Office Conversion Projects
2. Round 7 RHNA-HCD Study Pending
3. Housing Bond
4. Mitigation Fees Limits or Deferrals
5. Enforcement of State Housing Law by the
Attorney General
6. Potential Legislative Responses to
Supreme Court Rulings- Sheetz vs. County
of El Dorado
• Potential Issues in 2024:
1. Retail theft including potential change in
Proposition 47
2. Fentanyl Response
3. Cannabis Reform
4. Emergency Preparedness/response
Governing Body Reports:
Mayor Stone
[email protected]
Cal Cities
Conference
• Transportation, Communications, and Public Works in the Budget
1. Broadband: 1.5 billion to make up for an anticipated shortfall in the Broadband for infrastructure funding
2. Transportation Funding: 99% of previous investments maintained:
• Transit Intercity Rail: Delays $1 billion in grants funding • Active Transportation: Reduces $200 million
• Zero Emission Vehicles: Delays $45 million in grants
Governing Body Reports:
Mayor Stone
[email protected]
Certificates of Recognition Presented
January 18, 2024 Student of the Month
January 25, 2024 Grand Opening of Animal Friends of the Valley Low Cost Spay/Neuter Clinic
January 31, 2024 Grand Opening of Murrieta Hot Springs Resort February 2, 2024 Kim Gerrish, 20 Years of Service to Michelle’s Place Cancer Resource Center
February 3, 2024 Taste of Soul and Black Business Expo
Governing Body Reports:
Mayor Stone
[email protected]
Legislative Workgroup Subcommittee
For a list of recent letters signed in opposition and support please visit the Legislative Affairs page:
https://www.murrietaca.gov/352/Legislative-Affairs