subsequent calendar year, the annual and compensatory leave used will come from the annual or compensatory leave the employee had earned (if any) prior to January 1st of the calendar year the employee has elected to cash-out. The employee’s use of earned, but unused annual and/or compensatory leave accumulated from previous calendar years shall not result in a reduction in the number of annual and/or compensatory hours the employee is eligible to cash-out.
7. An employee who experiences an unforeseen emergency may be permitted to make a new irrevocable election and/or to increase the amount of a previous election, subject to the same value that was permitted at the time the annual irrevocable election forms were due.
For these purposes, an “unforeseen emergency” means a financial hardship to the employee resulting from any of the following:
• Accident, illness, injury or death of the employee or an immediate family member. For this purpose, an “immediate family member” is restricted to a spouse, registered domestic partner, child/legal dependent, or parent; or • Loss or extensive damage to the employee’s property due to casualty; or • Other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the employee.
Whether an occurrence is an unforeseeable emergency shall be solely determined by the Executive Director Human Resources / Risk Management or designee.
8. Any conversion of annual leave hours to cash shall not cause the employee’s total amount of accrued annual leave in their annual leave bank to fall below a forty (40) hour minimum balance. Cash- out of accumulated time shall be at the employee’s option. Requests for cash-out are to be submitted in a manner prescribed by the City.
Section 3.03 Use of Retained Sick Leave
A. Employees may utilize any retained sick leave balance for use as paid leave for:
1. Any bona fide illness or injury;
2. Quarantine due to exposure to contagious disease;
3. Any treatment or examination including, but not limited to, medical, dental or ocular;
4. Death in the immediate family;
5. Time off to resolve issues related to the employee being a victim of domestic violence, sexual assault or stalking as defined in California Labor Code Section 230.
6. Personal Leave as defined in Section 3.05
7. Conversion to PERS Service Credit pursuant to CalPERS regulations B. A City employee is not entitled to use retained sick leave for illness or injury arising out of employment, other than employment for the City, for monetary gain or other compensation, 207
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or by reason of engaging in business or activity for monetary gain or other compensation.
C. Employees are not eligible to use retained sick leave for donations to catastrophic leave programs.
D. All determinations of retained sick leave usage will be made by the Agency Head concerned, subject to the approval of the Human Resources Director.
Section 3.04 Management Leave
Employees accrue 40 hours of management leave with the first pay period ending in January.
Effective January 1, 2024, employees shall accrue 50 hours of management leave with the firs pay period ending in January. Employees hired or promoted after that date shall receive a prorated amount of such leave. Such leave may only be utilized as time off during the calendar year. Any remaining hours will not carry over to the succeeding calendar year. Such leave will not convert to compensation upon separation from employment. Employees will not use management leave to extend retirement or separation date.
Section 3.05 Personal Leave
An employee may use up to three working days of retained sick leave per calendar year as paid personal leave, provided an emergency or other urgent and justifiable cause is presented at the time the request is made. Additional leave may be authorized by the City Manager from any leave accrued, or without pay.
Section 3.06 Bereavement Leave
A. In the event of a death in the employee's immediate family, the employee shall be granted three (3) working days of paid bereavement leave. Such bereavement leave shall not be charged against any accrued annual leave or management leave. Employees shall be granted an additional two (2) working days of unpaid bereavement leave in the event of a death in the employee's immediate family member. The employee may elect to use accrued time off including annual leave or management leave to cover the unpaid portion of their bereavement leave.
B. A total of five (5) working days of paid bereavement leave shall be granted if there is a death in the immediate family outside the State boundaries or more than 250 miles from the employee’s home. Such bereavement leave shall not be charged against the employee’s annual leave or management leave.
C. Bereavement leave shall be completed within three (3) months of the date of death of the immediate family member. The days of bereavement leave need not be consecutive.
D. Immediate family for this provision is defined as the following relationships relative to the employee: child, including biological, adopted, or foster child, stepchild, legal ward, or a child to whom the employee stands in loco parentis; biological, adoptive, or foster parent, stepparent, or legal guardian of an employee or the employee’s spouse or registered domestic partner, or a person who stood in loco parentis when the employee was a minor child; spouse; registered domestic partner; grandparent; grandchild; sibling; or any other 208
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relationship included in the definition of “family member” in California labor code section 245.5 (4)(c) or successor legislation.
Employees receive three working days of paid leave for bereavement purposes upon the death of a member of the employee’s immediate family. Immediate family for this provision is defined as the following relationships relative to the employee: child, including biological, adopted, or foster child, stepchild, legal ward, or a child to whom the employee stands in loco parentis; biological, adoptive, or foster parent, stepparent, or legal guardian of an employee or the employee’s spouse or registered domestic partner, or a person who stood in loco parentis when the employee was a minor child; spouse; registered domestic partner; grandparent; grandchild; sibling; or any other relationship included in the definition of “family member” in California labor code section 245.5 (4)(c) or successor legislation. Employees may receive an additional two working days of paid leave if the deceased family member resided outside the state boundaries or in excess of 250 miles from the employee’s home at time of death.
Section 3.06Section 3.07 Compensatory Leave
Department Head employees are not eligible to accrue compensatory time. Any employee who is promoted to the Department Head G roup will be required to convert any accrued balance of compensatory time to compensation at the rate of pay prior to the promotion.
Section 3.07Section 3.08 Family Medical Care Leaves A. Family Leave shall be granted in accordance with the California Rights Act of 1993 and the Family and Medical Leave Act of 1993, and any modified provisions and interpreted regulations for those respective statutes.
B. E mployees may utilize up to six weeks of retained sick leave for leaves of absence for care of family members that fall under the provisions of the FMLA and CFRA. This sick leave may be in addition to any other paid or unpaid leave, which may be granted under the provisions of FMLA and CFRA. This sick leave shall be used prior to the unpaid leave provisions of FMLA and CFRA. Both paid and unpaid time during an approved FMLA/CFRA leave or Pregnancy Disability Leave (PDL) of absence shall run concurrently with FMLA/CFRA leave.
C. Employees on any type of leave are required to use all eligible leave accruals, or the number of hours for full integration if integrating with disability programs, up to 80 hours per pay period. Employees are not permitted to take time off without pay if eligible leave accruals are available. Eligible leave accruals include, but are not limited to, annual leave and management leave for any purpose, and retained sick leave accruals if used for qualified medical, bereavement, or personal reasons as defined in this Article.
Section 3.09 Paid Parental Leave
Each employee shall be granted a paid parental leave of absence not to exceed forty (40) hours per calendar year upon the birth or adoption of the employee’s child or children. Any such leave must be taken within six (6) weeks before or after the estimated birth or adoption date and is subject to the department’s established time off or leave of absence approval procedures. Such paid parental leave shall not be charged against the employee's sick leave, vacation leave, annual leave, or accrued compensatory time.
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The employee may be required to furnish evidence satisfactory to the City of the birth or adoption of the employee’s child or children and/or the employee's relationship to the child or children.
Paid Parental Leave will be considered as qualifying leave under the California Family Rights Act (CFRA) and the Family Medical Leave Act (FMLA) and shall run concurrently with an entitled unpaid Family Leave (provided that the employee is deemed eligible for CFRA and/or FMLA).
Unpaid Family Leave shall be granted in accordance with CFRA and FMLA and the interpreted regulations for those respective statues.
Section 3.08Section 3.10 Catastrophic Leave
A. The City agrees to permit employees within the Department Head Group to contribute a portion of their accrued annual leave to another employee when such employee has suffered a catastrophic injury or illness. Employees may receive donations from other employees.
B. The City also agrees to permit employees to contribute a portion of their accrued annual leave to another employee when such an employee is on an approved leave of absence due to the verifiable illness or injury of the employee’s spouse, domestic partner, parent or child.
Retained sick leave may not be donated.
C. All Catastrophic Leave transfers are subject to the following conditions:
1. The Human Resources Department shall review all requests from the receiving employee to determine eligibility for catastrophic leave prior to the receiving employee or their Department requesting donations.
2. Catastrophic injury or illness as used in this provision is defined as an unforeseen or sudden unexpected illness or injury requiring immediate attention.
3. The receiving employee shall be on an approved continuous leave of absence at least 40 hours due to the catastrophic injury or illness . A statement from the employee’s or family member’s treating physician is required.
4. The employee has exhausted all accrued leave time, andtime and is therefore facing financial hardship.
5. The receiving employee must participate in any City disability benefits for which the employee is eligible (e.g. short -term disability, long- term disability, or workers’ compensation).
6. The total number of hours that can be donated to the receiving employee from all contributing employees combined shall not exceed 520 hours within 26 consecutive pay periods.
7. The contributing employee must have at least 96 hours of annual leave remaining after such contribution. The leave application rate shall be based on the 210
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contributing employee’s dollar value, which shall be adjusted proportionally to the receiving employee’s rate.
8. The transfers must be in whole hour increments. Donations shall be transferred in accordance with the recipient's needs. Department Head Unit employees may not donate retained sick leave.
9. Once the leave has been transferred from the donating employee to the receiving employee, the transfer is irrevocable . Transfers shall be subject to all taxes required by law.
10. Requests and transfers shall be made on a form prescribed by the Human Resources Department.
Section 3.09Section 3.11 Jury Duty
A. In the event any full-time employee is duly summoned to any court during the employee’s scheduled working hours for the purpose of performing jury service or serving as a witness, except in cases where the employee is a plaintiff, petitioner, defendant, respondent, or appellant; the employee shall be released from the employee’s regular duties with pay. Any fees for the performance of such service, excepting mileage or subsistence allowances, shall be remitted to the City.
B. Any employee called for jury duty in Rancho Cucamonga must return to work if dismissed before 3:00 pm. If the employee is called to San Bernardino, he or she must return to work if dismissed by 2:00 pm. Upon return from jury duty, the employee shall present a certificate of service to the employee’s Agency Head.
C. This section shall not apply when an employee is summoned or otherwise required to appear in court in the course of City business.
Article IV. B ENEFITS
Section 4.01 Health Insurance Contribution
The City will contribute up to a maximum of $300 per month toward health insurance premiums for active and retired employees. This amount is inclusive of the minimum statutory employer contribution under CalPERS medical (PEMHCA) for active employees who choose to enroll in the City’s medical plan.
Section 4.02 Insurance
A. City Contributions to Cafeteria Plan Benefits
The City will maintain an IRS Code Section 125 qualifying Cafeteria Plan to allow employees to pay for pre-tax medical, dental and vision benefits.
Enrollment: An Eligible Employee must enroll in the City medical insurance plan unless the employee satisfies the conditions to be eligible for the opt -out provision below. The City’s lowest cost employee- only plan satisfies the Federal Poverty Line Safe Harbor under the Patient Protection and Affordable Care Act.
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City Contribution: For eligible active employees , excluding those in the Deputy Police Chief and Chief Deputy classifications, who enroll in coverage, the City Contribution, inclusive of the Health Insurance Contribution set forth in Section 6.01(A), shall be tiered.
Employees who enroll in the City’s medical plan shall receive a Health Flex Contribution depending on the level of coverage selected by the employee as follows:
Single Coverage $765
Two-party Coverage $1,090
Family Coverage $1,380
Beginning January 1, 2018, for Eeligible active employees who enroll in coverage, the monthly City Contribution, inclusive of the Health Insurance Contribution set forth in Section 4.01(A), shall be based on the level of coverage selected by the employee, and equal to the corresponding Kaiser premium for the region in which the employee is enrolled and as reflected on the CalPERS monthly billing statement. Employees hired on or before December 31, 2017, selecting single party coverage shall receive a contribution of no less than $765 per month, or the applicable Kaiser premium for single party coverage, whichever is greater. Employees hired on or after January 1, 2018, selecting single party coverage shall receive a monthly contribution up to the Kaiser premium for single party coverage for the region in which the employee is enrolled.
For purposes of the Affordable Care Act’s employer mandate, the amount of the lowest cost plan offered to the Eligible Employees is considered a Health Flex Contribution. A Health Flex Contribution cannot be cashed out or applied to other benefits.
After enrolling in the selected coverage, an Eligible Employee may take the remainder of the City’s Contr ibution in cash. Effective, January 1, 2018, o Only those Eligible Employees hired on or before December 31, 2017 enrolled in single level coverage may take the remainder of the City’s contribution in cash as taxable compensation.
For employees in the Deputy Police Chief classification, the health insurance contributions rate shall not be less than the contribution provided for Police Captains in the Ontario Police Management Group Memorandum of Understanding.
For employees in the Chief Deputy classification, the health insurance contributions rate shall not be less than the contribution provided for Deputy Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
Cash-in-Lieu Option: An Eligible Employee will be eligible to receive cash- in-lieu of instead of enrolling in a City offered medical insurance plan only if the following conditions are satisfied.
1. The employee signs a form attesting that the employee and the employee's Tax Family have the Alternative Required Coverage for the Opt-Out Period. a. Tax Family means all individuals for whom the employee intends to claim a personal exemption deduction for the taxable year or years that begin or end in or with the City's plan year to which the opt-out applies. b. Alternative Required Coverage means minimum essential coverage through another source (other than coverage in the individual market, whether or not obtained through Covered California).
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c. Opt-Out Period means the plan year to which the opt-out arrangement applies.
2. An employee must provide the attestation every plan year at open enrollment or within 30 days after the start of the plan year for each plan year the employee would like to receive cash in lieu.
3. The cash in lieu payment cannot be made and the City will not in fact make payment if the City knows or has reason to know that the employee or a Tax Family member does not have such alternative coverage, or if the conditions in this Section are not otherwise satisfied.
4. If the above conditions are satisfied:
a. Eligible Employees who waive coverage on or after September 1, 2004 are eligible to receive $420 per month cash-in-lieu.
b. Eligible Employees who waived coverage on or before September 1, 2004 are eligible to receive $485 per month cash-in-lieu.
5. Dental Insurance: Employees who enroll in the City’s dental plan shall receive an employer contribution up to the DPO basic plan premium for employee and dependents (in addition to the City Contribution described in Section 4 .02).
Employees who do not enroll in the City dental plan will not receive employer contribution for dental premiums.
For employees in the Deputy Police Chief classification, the dental insurance contributions rate shall not be less than the contribution provided for Police Captains in the Ontario Police Management Group Memorandum of Understanding.
For employees in the Chief Deputy classification, the dental insurance contributions rate shall not be less than the contribution provided for Deputy Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
6. Vision Insurance: Employees who enroll in the City’s vision plan shall receive an employer contribution up to the basic vision plan premium for employee and dependent coverage (in addition to the City Contribution described in thi s Section 4.02). Employees who do not enroll in the City vision plan will not receive employer contribution for dental premiums.
For employees in the Deputy Police Chief classification, the health insurance contributions rate shall not be less than the contribution provided for Police Captains in the Ontario Police Management Group Memorandum of Understanding.
For employees in the Chief Deputy classification, the health insurance contributions rate shall not be less than the contribution provided for Deputy 213
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Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
B. Eligible Employee Requirements
1. Employees must be full -time (i.e. scheduled for a minimum of 40 hours per week) and be in a paid status for a minimum of 15 hours per pay period to be eligible for the benefits of Section 4.02, unless the employee is receiving disability benefits. Paid status includes hours paid for: regular work time, annual leave, management leave, bereavement leave, retained sick leave, jury duty leave, personal leave, paid military leave, disciplinary leave and paid holidays.
2. The City Manager may authorize, at their sole discretion, continuation of benefits for employees that do not have 15 hours of pay for a limited period of time. As defined under the Family Medical Leave Act of 1993 (FMLA) , the City may determine that some unit employees may fall under the criteria of a “key” employee. If not a key employee, health benefits shall be continued as required by law for leave taken pursuant to FMLA.
3. Employees who have leave balances must use all leave accruals available each pay period up to 80 hours, or up to the amount needed to reach 80 hours when combined with disability and workers’ compensation payments.
C. Disability
Article I. The City assumes the full premium cost for the employee in the City- designated short and long-term disability programs The City shall pay the premium for the City's Disability Insurance Program.
D. Life and Accidental Death & Dismemberment Insurance
Except for employees in the Deputy Police Chief and Chief Deputy classifications, eEmployees shall be covered by the City’s group term life insurance and accidental death and dismemberment (AD & D) insurance plan. The City will pay the premiums for life insurance coverage amounts of $51,00075,000 for basic life and $54 ,75,000 for accidental death and dismemberment policies (AD & D) . Effective January 1, 2018, the level of coverage for each Department Head employee will increase to $75,000 for basic life insurance and $75,000 for accidental death and dismemberment insurance (AD&D).
For employees in the Chief Deputy classification, t he City will pay a monthly life and accidental death and dismemberment insurance premium providing $300,000 basic life insurance or $300,000 accidental death and dismemberment insurance and not less than that of the Deputy Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
E. Retiree Health, Medicare, and Dental Contributions
For employees in the Deputy Police Chief classification, the retiree health, Medicare and dental insurance contributions shall be no less than the same contribution provided for Police Captains in the Ontario Police Management Group Memorandum of Understanding.
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For employees in the Chief Deputy classification, the health, Medicare and dental insurance contributions shall be no less than the contribution provided for Deputy Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
Section 4.03 Flexible Spending Accounts
The City will offer Flexible Spending Accounts (FSA) to all unit employees. An FSA allows an employee to make pre -tax deductions for qualifying medical, dental , vision expenses, and dependent care expenses. The plan is established and administered in accordance with Section 125 of the Internal Revenue Service code.
Section 4.04 Deferred Compensation
A. The City has established a Section 401(a) money purchase plan for employer deferred compensation contributions. Effective July 2, 2023, t The City will contribute $2253% of the employee’s base salary per month to the Section 401(a) plan up to the maximum amount established by the relevant sections of the tax codes, for all eligible employees with the exception of those in the Deputy Police Chief Deputy Chief classifications.
B. . For employees in the Deputy Police Chief classification, the deferred compensation contribution shall not be less than the contribution provided for Police Captains in the Ontario Police Management Group Memorandum of Understanding.
A.C. For employees in the Chief Deputy classification, the deferred compensation contribution shall not be less than the contribution provided for Deputy Fire Chiefs in the Ontario Fire Management Group Memorandum of Understanding.
1. B.D. Employees are eligible to voluntarily participate in a Section 457(b) deferred compensation plan as provided for in State and Federal Tax codes. Employees may contribute additional deferred compensation to the plan in accordance with plan provisions and subject to plan maximums.
Section 4.05 Employee Assistance Program
The City offers an employee assistance program for all members of this group. Confidentiality regarding employee use of this program will be maintained in full compliance with State and Federal Regulations.
Section 4.06 Tuition Reimbursement
To provide encouragement for all unit employees to continue educational development, specified employees shall be eligible for reimbursement of tuition expenses. The City shall reimburse an eligible employee for the cost of tuition for academic and continuing education courses that are determined to be job-related and subject to the following conditions:
A. Full-time employees are eligible.
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B. The determination that the course is job related shall be made by the employee’s Agency Head.
C. The course shall provide college- level or professional continuing education credit from an accredited educational institution.
D. The employee is not eligible for assistance from any other source.
E. Submission and approval of the request for reimbursement must be completed at least 30 calendar days prior to the start date of the course.
F. Tuition is the only expense that shall be reimbursable. No reimbursement shall be made for lab fees, books, travel costs, etc.
G. Classes shall not interfere with the employee’s normal work hours. Any exceptions must be approved by the employee’s Agency Head.
H. Certification of completion of the course with a passing grade must be obtained and submitted within 60 calendar days after completion of the course.
I. The maximum reimbursement amount paid to an eligible employee shall not exceed $1,000 per calendar year.
Tuition reimbursement requests shall be submitted to the employee’s Agency H ead for a determination that the course is job-related. After such determination is made, the Agency Head shall forward the request to the Human Resources Department for processing. The Human Resources Department shall be responsible for notifying the employee of the disposition of the request prior to the start date of the course. Proof of payment and proof of completion shall be submitted to the Human Resources Department. Reimbursement shall be made within 30 calendar days following the receipt of proof of payment amount and proof of completion.
Section 4.07 Auto Allowance
The City may assign a City -owned vehicle to an employee for use on City business or the City may provide a monthly allowance of up to a maximum $217 350 for an employee that is regularly required to use the employee’s private vehicle on City business. The City Manager may adjust such stipend in accordance with levels of activity and operational necessity.
If assigned, a City-owned vehicle may be used by employee for City business and for commuting to and from the e mployee’s residence. City shall incur all costs related to the provision of the vehicle, including maintenance and insurance. Employee shall be responsible for ensuring that City’s vehicle is appropriately secured when parked at the employee’s residence. Employee acknowledges that City is required to report the value of the provided vehicle as income as required by applicable Internal Revenue Service regulations and tax laws.
Section 4.08 Meal Reimbursement
An employee may request reimbursement for meals consumed after regular work hours when such employee is required by the Agency Head to attend City Council meetings and city commission meetings that are in addition to those regularly scheduled. The limit f or reimbursement shall be $12 and only actual expenses will be reimbursed. Requests will be submitted on the City’s reimbursement form through established channels and must include receipts verifying the expense.
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Section 4.09 Health and Wellness Reimbursement
Effective July 1, 2024, employees shall be reimbursed up to $1,000 each fiscal year for eligible health and wellness related expenses that are not otherwise covered by the City’s group plans incurred for themselves and their eligible dependents. Such expenses may include: health plan premiums; health plan deductibles; gym/fitness club membership fees; sports activities or fees; sports clothing (footwear, equipment, training and wearable fitness devices); outdoor/indoor equipment fees and rentals; subscriptions and fees for virtual/online home fitness classes or fitness / health related applications; medical testing (biometric testing, fitness, BMI assessment); holistic healing and acupuncture; massage therapy; lessons or personal training; state or national park passes; art supplies; musical instruments; hobby and craft supplies; learning tools (applications, software or online subscriptions), or any other health and wellness related expense as determined by the Executive Director Human Resources / Risk Management. Reimbursements shall be made at designated times twice each year pursuant to the program provisions.
Article V. RETIREMENT – END OF SERVICE
Section 5.01 CalPERS Contribution
A. Classic Member
1. A classic member is defined as an employee who meets the definition of a “classic” member for purposes of retirement pension benefits in accordance with the Public Employees Pension Reform Act of 2013. Generally, this includes employees that were hired before January 1, 2013 in the California Public Employees Retirement System (CalPERS) or a reciprocal retirement system with no break in service longer than six months. CalPERS ultimately determines who is a classic member in compliance with the law.
2. Classic CalPERS members shall be eligible for the 2.5% @ 55 Full and Modified Formula for Local Miscellaneous Members including integration with Social Security. This also includes the optional benefit of Government Code Section 20042, Highest Single Year.
3. All Cclassic members, except those in the Deputy Police Chief and Chief Deputy classifications shall pay the employee’s contribution of eight (8%) percent as a pre- tax deduction to CalPERS. Employees in the Deputy Police Chief classification shall pay the same CalPERS contributions as employees in the Ontario Police Management Group. Employees in the Chief Deputy classification shall pay the same CalPERS contributions as employees in the Ontario Fire Management Group.
3.4. B. New Member
1. A new member is defined as an employee who meets the definition of a “new” member for purposes of retirement pension benefits pursuant to the Public Employees Pension Reform Act of 2013. Generally, this includes employees that were hired into a regular position on or after January 1, 2013 or former 217
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members who have more than a six -month break in service. CalPERS ultimately determines who is a new member in compliance with the law.
1. New M embers shall be eligible for the 2% @ 62 Formula for Local Miscellaneous Members including integration with Social Security.
2. The employee contribution for new members shall be one-half the normal cost, as determined by CalPERS. As of July 2013, the required employee contribution for new members is 6.25% , exce pt for those in the Deputy Police Chief and Chief Deputy classifications . This amount will be adjusted periodically by CalPERS.
Employees in the Deputy Police Chief classification shall pay the same CalPERS contributions as employees in the Ontario Police Management Group. Employees in the Chief Deputy classification shall pay the same CalPERS contributions as employees in the Ontario Fire Management Group.
2.3. C. Optional Benefits for Classic and New Members
The City’s contract with the Public Employees’ Retirement System includes the following optional benefits for both classic and new members:
1. Section 20903 – Two Years Additional Service Credit
2. Section 20965 – Sick Leave Credit
3. Section 21024 – Military Service Credit
4. Section 21037 – Cancel Payment for Optional Service Credit upon Retirement for Disability
5. Section 21548 – Pre-Retirement Optional Settlement Death Benefit Section 5.02 Employee Severance Compensation
In recognition that employees serve at the will and pleasure of the City Manager, the City Manager may offer employment severance pay to terminating employees. The period of such severance compensation shall be determined by the City Mana ger and may be included in the terms of a contractual agreement between the employee and the City made at the time the individual is hired or promoted.
ARTICLE VI. GENERAL PROVISIONS
Section 5.03 Overpayments, Recovery and Underpayments
In situations involving overpayment to an employee by the City, the employee shall be obliged to repay by payroll deduction the amount of overpayment. The repayment shall ideally occur within the same time frame the overpayment was received by the employee or sooner at the employee’s discretion. For overpayments in excess of $100.00, the minimum repayment amount shall be $50.00 per pay period.
Either Human Resources, or the Payroll Department shall provide written documentation showing the calculations of the overpayment to the employee. A meeting may be requested by the employee with the Payroll Department to review the documentation and to discuss the recovery schedule. The repayment schedule, biweekly repayment amount or alternative repayment 218
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method (including repayment from personal funds) will be documented in writing.
Extensions to the period for repayment of the overage or an alternative repayment method may be requested by the employee and are subject to the approval of the Executive Director of Finance Human Resources / Risk Management or their designee. Extensions will be approved only in the case of extreme hardship, and the extended period for repayment will not be longer than one and one-half times as long as the overpayment period.
If the employee leaves employment prior to repayment of overage, the City shall recover the amount owed from the employee’s final pay. If the amount owed is greater than the employee’s final pay, the City shall initiate a collections process against the employee.
In situations involving underpayment to an employee by the City, the employee shall receive the balance due within the next pay period for which the adjustment can be made, following timely submission of appropriate documentation and necessary approval of the compensation change.
Section 5.04 Direct Deposit and Electronic Pay Advice A. Employees must make and maintain arrangements for direct deposit of their net paychecks into the financial institution of their choice via electronic fund transfer. Such arrangements shall be made within one month.
B. In an extraordinary circumstances/events extraordinary circumstances/event that an employee is unable to make arrangements for electronic fund transfer, the employee shall submit a request in writing to the Human Resources Agency to be considered for an exception. Human Resources shall review the request for the Direct Deposit Special Exemption and may request supporting documentation; and the employee will be notified of the determination.
C. Any Direct Deposit Special Exemption granted may be reviewed periodically for continuation, subject to the approval of Human Resources Agency.
D. The electronic pay advice will be available for employees to view, save and print in the City’s human resources information system on the employee’s pay day.
ARTICLE VII. FINAL SIGNATURE
All provisions set forth in this Profile are hereby effective the 1st day of July 20212023.
City of Ontario
Scott Ochoa
City Manager
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Section 5.05
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APPENDIX A -- SALARY RANGE TABLE
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APPENDIX A
DEPARTMENT HEAD
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Department: Engineering
Prepared By: Tricia Espinoza
Staff Member Presenting:
Scott Murphy, Executive Director Community
Development
Approved By:
Submitted To: Council/OHA
Approved: _______________________________
Continued To: ___________________________
Denied: __________________________________
Item No: 2
SUBJECT:
A RESOLUTION APPROVING THE FISCAL YEAR 2023-24 THROUGH FISCAL YEAR 2027-28 MEASURE I FIVE-YEAR CAPITAL IMPROVEMENT EXPENDITURE PLAN AND
EXPENDITURE STRATEGY
CITY OF ONTARIO
Agenda Report
June 15, 2023
SECTION:
ADMINISTRATIVE
REPORTS/DISCUSSION/ACTION
RECOMMENDATION:
That the City Council adopt a Resolution approving the Fiscal Year 2023-24 through Fiscal Year 2027-28 Measure I Five-Year Capital Improvement Expenditure Plan and Expenditure Strategy.
THE FOLLOWING COUNCIL GOALS ARE BEING ACHIEVED:
Pursue City's Goals and Objectives by Working with Other Governmental Agencies Focus Resources in Ontario's Commercial and Residential Neighborhoods Invest in the City's Infrastructure (Water, Streets, Sewers, Parks, Storm Drains and Public Facilities)
FISCAL IMPACT:
Projects identified in this Measure I Five-Year Capital Improvement Expenditure Plan are consistent with the City’s Five-Year Capital Improvement Program being considered for adoption as a component of the Fiscal Year 2023-24 Proposed City Budget. Accordingly, appropriations for anticipated Fiscal Year 2023-24 project expenditures are included in the Citywide proposed annual budget being considered for adoption. Future years’ appropriations will be included in the respective future budgets to be considered and approved by the City Council. This action is necessary for the City to be eligible to receive Measure I Local Pass-through funding.
BACKGROUND & ANALYSIS:
In November 2004, the voters of San Bernardino County approved a thirty-year extension (2010-2040) to Measure I, a ballot measure providing for a one-half cent sales tax increase to provide funding for county-wide transportation infrastructure improvement projects and traffic management programs. The local pass-through funds are distributed on a per capita basis. In order to receive and expend the local funds, each jurisdiction is required to adopt, by resolution, a five-year capital improvement expenditure plan and expenditure strategy on an annual basis. The planned projects must be consistent with the City’s Master Plan of Streets. This year’s updated plan will provide expenditure guidance through June 30, 2028. The projects in the Five-Year Plan for Fiscal Year 2023-24 through Fiscal Year 2027-28 (attached as Exhibit A of the Resolution) are consistent with the transportation–related projects proposed in the City’s Capital 223
Improvement Program that has been submitted for City Council approval under a separate agenda report. The Fiscal Year 2023-24 cost estimate is limited to anticipated budget revenues plus available fund balance for the current year. The Fiscal Year 2023-24 through Fiscal Year 2027-28 cost estimates are provided for planning purposes only. 224
RESOLUTION NO. _______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ONTARIO,
CALIFORNIA, ADOPTING THE MEASURE I FIVE-YEAR CAPITAL
IMPROVEMENT PLAN FY 2023-24 THROUGH FY 2027-28
WHEREAS, San Bernardino County voters approved passage of Measure I in November 2004, authorizing San Bernardino County Transportation Authority to impose a one-half of one percent retail transactions and use tax applicable in the incorporated and unincorporated territory of the County of San Bernardino; and WHEREAS, revenue from the tax can only be used for transportation improvements and traffic management programs authorized in the Expenditure Plans set forth in Ordinance No. 04-1 of the Authority; and
WHEREAS, the Strategic Plan requires each local jurisdiction applying for revenue from the Local Streets Program to annually adopt and update a Five-Year Capital Improvement Plan; and
WHEREAS, California Public Utilities Code 190300 and Ordinance No. 04-1 require each local jurisdiction to maintain General Fund expenditures for transportation- related construction and maintenance activities at the required Maintenance of Effort base year level in each fiscal year of the adopted Five-Year Capital Improvement Plan, which for the City of Ontario is $4,739,408 in Fiscal Year 2023-24; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Ontario, California, that the Measure I Five-Year Capital Improvement Plan, for Fiscal Years 2023-24 through 2027-28, attached to this resolution as Exhibit A, is hereby adopted.
BE IT FURTHER RESOLVED that the City’s Expenditure Strategy, attached as Exhibit B, is hereby adopted in conformance with the Measure I program.
The City Clerk of the City of Ontario shall certify as to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED at a special meeting of the City Council of the City of Ontario, held on this 15th day of June 2023. _____________________________________
PAUL S. LEON, MAYOR
225
ATTEST:
________________________________
SHEILA MAUTZ, CITY CLERK
APPROVED AS TO LEGAL FORM:
_______________________________
BEST BEST & KREIGER LLP
CITY ATTORNEY
226
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF ONTARIO )
I, SHEILA MAUTZ, City Clerk of the City of Ontario, DO HEREBY CERTIFY that foregoing Resolution No. 2023- was duly passed and adopted by the City Council of the City of Ontario at their special meeting held June 15, 2023 by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
The foregoing is the original of Resolution No. 2023- duly passed and adopted by the Ontario City Council at their special meeting held June 15, 2023. ____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
227
Resolution Number:
Resolution Approval Date:
Contact Person/Title:
Phone:
Email:
6/30/23 Carryover Balance $3,013,795.00
FY2023/24 Est. Revenue FY2024/25 Est. Revenue FY2025/26 Est. Revenue FY2026/27 Est. Revenue FY2027/28 Est. Revenue Total Est. Rev. $4,739,408 $4,851,398 $4,993,054 $5,138,825 $5,288,828 $25,011,513 Projects:
Traffic Counts No No 0.0% 0.0% $50,000 $10,000 $10,000 $10,000 $10,000 $10,000 $50,000 Street Maintenance Slurry Seal and Cape Seal Pavement
Rehabilitation No No 0.0% 0.0% $3,250,000 $650,000 $650,000 $650,000 $650,000 $650,000 $3,250,000 Bon View Avenue Pavement Rehabilitation (West Side, Chino to Edison) No No 0.0% 0.0% $350,000 $350,000 $0 $0 $0 $0 $350,000 Chino Avenue Pavement Rehabilitation (South Side, Euclid to Campus) No No 0.0% 0.0% $250,000 $250,000 $0 $0 $0 $0 $250,000 Chino Avenue Pavement Rehabilitation (Ontario Ave to
Cucamonga Creek Channel) No No 0.0% 0.0% $100,000 $100,000 $0 $0 $0 $0 $100,000 Dupont Avenue Pavement Rehabilitation (Greystone to End) No No 0.0% 0.0% $150,000 $150,000 $0 $0 $0 $0 $150,000 Fourth Street Pavement Rehabilitation (Sultana to Cucamonga) No No 0.0% 0.0% $600,000 $600,000 $0 $0 $0 $0 $600,000 Greystone Drive Pavement Rehabilitation (Doubleday to Milliken) No No 0.0% 0.0% $550,000 $550,000 $0 $0 $0 $0 $550,000 Inland Empire Blvd Pavement Rehabilitation (1,000' E. of Mercedes Ln to Milliken) Yes No 0.0% 0.0% $1,000,000 $1,000,000 $0 $0 $0 $0 $1,000,000 Philadelphia Street Pavement Rehabilitation (Rochester to Vintage) No No 0.0% 0.0% $2,000,000 $2,000,000 $0 $0 $0 $0 $2,000,000 Vintage Avenue Pavement Rehabilitation (Francis to Philadelphia) No No 0.0% 0.0% $550,000 $550,000 $0 $0 $0 $0 $550,000 Vintage Avenue Pavement Rehabilitation (Santa Ana to Jurupa) No No 0.0% 0.0% $350,000 $350,000 $0 $0 $0 $0 $350,000 Baker Pavement Rehabilitation (Sixth Street to Fourth Street) No No 0.0% 0.0% $500,000 $0 $500,000 $0 $0 $0 $500,000 Fourth Street Pavement Rehabilitation (Benson to Mountain) No No 0.0% 0.0% $600,000 $0 $600,000 $0 $0 $0 $600,000 Fifth Street Pavement Rehabilitation (El Dorado to Baker) No No 0.0% 0.0% $300,000 $0 $300,000 $0 $0 $0 $300,000 Hellman Avenue Pavement Rehabilitation (Mission to Francis) No No 0.0% 0.0% $350,000 $0 $350,000 $0 $0 $0 $350,000 Philadelphia Street Pavement Rehabilitation (Haven to Mission) No No 0.0% 0.0% $615,000 $0 $615,000 $0 $0 $0 $615,000 Proforma Avenue Pavement Rehabilitation (Mission to Francis) No No 0.0% 0.0% $300,000 $0 $300,000 $0 $0 $0 $300,000 San Antonio Pavement Rehabilitation (Holt Blvd to Sixth Street) No No 0.0% 0.0% $700,000 $0 $700,000 $0 $0 $0 $700,000 Sixth Street Pavement Rehabilitation (Mountain to Euclid) No No 0.0% 0.0% $800,000 $0 $800,000 $0 $0 $0 $800,000 Francis Street Pavement Rehabilitation (Benson to Mountain) No No 0.0% 0.0% $500,000 $0 $0 $500,000 $0 $0 $500,000 Francis Street Pavement Rehabilitation (Milliken to Rochester) No No 0.0% 0.0% $500,000 $0 $0 $500,000 $0 $0 $500,000 Grove Avenue Pavement Rehabilitation (Riverside to Chino) No No 0.0% 0.0% $300,000 $0 $0 $300,000 $0 $0 $300,000 Mountain Avenue Pavement Rehabilitation (Mission to SR60) No No 0.0% 0.0% $1,400,000 $0 $0 $1,400,000 $0 $0 $1,400,000 Vineyard Avenue Pavement Rehabilitation ( I-10 to Holt Blvd) No No 0.0% 0.0% $450,000 $0 $0 $450,000 $0 $0 $450,000 Wineville Pavement Rehabilitation (Francis to Philadelphia) No No 0.0% 0.0% $325,000 $0 $0 $325,000 $0 $0 $325,000 Fourth Street Pavement Rehabilitation(Wineville to Etiwanda) No No 0.0% 0.0% $600,000 $0 $0 $0 $600,000 $0 $600,000 Grove Avenue Pavement Rehabilitation (Mission to Holt) No No 0.0% 0.0% $725,000 $0 $0 $0 $725,000 $0 $725,000 Milliken Avenue West Side Pavement Rehabilitation (SR60 to Riverside) No No 0.0% 0.0% $400,000 $0 $0 $0 $400,000 $0 $400,000 Jurisdiction:
15-Jun-23
Tricia Espinoza, Assistant City Eng.
909-395-2188
Measure I Local Pass-through Program
FIVE YEAR CAPITAL IMPROVEMENT PLAN
Fiscal Years 2023/2024 thru 2027/2028
[email protected]
Ontario
Current
Estimate
Current
Estimate TotalCurrent
Estimate
Current
Estimate
Current
Estimate
Is Project in
City's
Non-motorized
Transportation
Plan?
(Yes/No)
Does Project
have an ATP
Component?
(Yes/No)
Is the Project on the City's
Nexus Study List?
(Public/DIF Share %)
Estimated Total
Project Cost
228
Resolution Number:
Resolution Approval Date:
Contact Person/Title:
Phone:
Email:
Jurisdiction:
15-Jun-23
Tricia Espinoza, Assistant City Eng.
909-395-2188
Measure I Local Pass-through Program
FIVE YEAR CAPITAL IMPROVEMENT PLAN
Fiscal Years 2023/2024 thru 2027/2028
[email protected]
Ontario
Riverside Drive Pavement Rehabilitation (Fern to Cucamonga) No No 0.0% 0.0% $900,000 $0 $0 $0 $900,000 $0 $900,000 Riverside Drive Pavement Rehabilitation (Vineyard to Channel) No No 0.0% 0.0% $750,000 $0 $0 $0 $750,000 $0 $750,000 Riverside Drive Pavement Rehabilitation (Mill Creek to Hamner) No No 0.0% 0.0% $400,000 $0 $0 $0 $400,000 $0 $400,000 Vineyard Avenue Pavement Rehabilitation (Mission to Philadelphia) No No 0.0% 0.0% $875,000 $0 $0 $0 $875,000 $0 $875,000 Bon View Avenue Pavement Rehabilitation (Riverside to Chino) No No 0.0% 0.0% $350,000 $0 $0 $0 $0 $350,000 $350,000 Archibald Avenue Pavement Rehabilitation East Side (Riverside to Schaefer) No No 0.0% 0.0% $1,000,000 $0 $0 $0 $0 $1,000,000 $1,000,000 Cedar Street Pavement Rehabilitation (Proforma to Turner) No No 0.0% 0.0% $600,000 $0 $0 $0 $0 $600,000 $600,000 Palmetto Avenue Pavement Rehabilitation (Mission to Ralston) No No 0% 0% $250,000 $0 $0 $0 $0 $250,000 $250,000 Proforma Avenue Pavement Rehabilitation (Philadelphia to End) No No 0% 0% $200,000 $0 $0 $0 $0 $200,000 $200,000.00 $6,560,000 $4,825,000 $4,135,000 $5,310,000 $3,060,000 $23,890,000 Total Programming is currently 85% Total Estimated Programming: $23,890,000 Projects Total:
(Must not exceed 150% of Carryover Balance +
Total Estimated Revenue)
229
EXHIBIT B
CITY OF ONTARIO
FY 2023-24 THROUGH FY 2027-28 MEASURE I PLAN
EXPENDITURE STRATEGY
The City of Ontario’s Expenditure Strategy is to upgrade the City’s roadway system by programming the annual Measure I revenue towards improvements ranging from maintenance work, overlay work, and major street recons truction. Project s chosen will be selected from current pavement management studies, areas of traffic flow issues, and the Five-Year Capital Improvement Plan. Projects may include safety related items such a s upgrading traffic signal s, updat ing striping, and ADA ramps as needed.
Roadways to be improved can range from residential to arterial. Funding is to be used in an effe ctive and responsible manner to ensure the best benefit to the residents of the City of Ontario.
230
Department: Financial Services
Prepared By: Maria Garcia
Staff Member Presenting:
Armen Harkalyan, Executive Director of Finance
Approved By:
Submitted To: Council/OHA
Approved: _______________________________
Continued To: ___________________________
Denied: __________________________________
Item No: 3
SUBJECT:
REVIEW AND ADOPTION OF THE CITY'S FISCAL YEAR 2023-24 BUDGET AND
APPROVAL OF BUDGET-RELATED ACTIONS
CITY OF ONTARIO
Agenda Report
June 15, 2023
SECTION:
ADMINISTRATIVE
REPORTS/DISCUSSION/ACTION
RECOMMENDATION:
That the City Council and Housing Authority Board:
A
.
Adopt Resolutions establishing the appropriations limit of the City of Ontario for Fiscal Year 2023-24 and approve the operating budgets, including the capital improvement program, of the City of Ontario and Ontario
Housing Authority for Fiscal year 2023-24;
B
.
Approve the annual budget of the Ontario Convention Center for Fiscal Year 2023-24; C
.
Adopt a Resolution to approve the City of Ontario Fiscal Year 2023-24 Proposed Citywide Fee Schedule
i
n order to establish and amend certain service and development-related fees for City services;
D
.
Approve the updated Travel and Expense Reimbursement Policy; and
E
.
Approve the updated Purchasing Policies and Procedures Manual THE FOLLOWING COUNCIL GOALS ARE BEING ACHIEVED:
Operate in a Businesslike Manner
FISCAL IMPACT:
The Proposed Operating Budget for Fiscal Year 2023-24 is $969.8 million for the City of Ontario. This amount includes $427.9 million in the General Fund and $541.9 million in the other fund types that includes Special Revenues, Capital Projects, Enterprise, and Internal Services.
The Fiscal Year 2023-24 Proposed Operating Budget for the Ontario Housing Authority is $9.7 million. The total overall proposed budget, including the Ontario Housing Authority budget for Fiscal Year 2023-24 is $979.5 million. In addition, the Fiscal Year 2023-24 Proposed Operating Budget includes a total count of 1,517 authorized full-time equivalent (FTE) positions.
BACKGROUND & ANALYSIS:
The Fiscal Year 2023-24 Proposed Operating Budget reflects the Financial Services Agency's continued efforts to provide timely, accurate, and understandable financial information to assist the City Council with decision making and achieving City core goals.
Fiscal Year 2021- 22 Year-End Budget Update Recommendations
Recommendations in the year-end update
are routine in nature and mainly comprised of
231
previously
approved City Council actions, adjustments in the revenue budget to reflect estimates based on
current trends, and additional appropriations for new or ongoing programs/projects. As part of the estimated FY 2022-23 positive results, staff recommends a $9.0 million transfer from the General Fund for Economic Development activities fund to continue to provide assistance for future development opportunity in the City. For the
General Fund, these actions will bring the General
Fund estimated available ending fund balance to $
58.9 million, bringing the General Fund
stabilization reserve level to 18 percent, in compliance with the 18 percent recommended update to
the City's budget policy guidelines for the General
Fund Stabilization Reserve level as adopted by
City Council in Fiscal Year 2022-23.
Fiscal Year 2023-24 Proposed Operating Budget Recommendations
Personnel and Organizational Changes
The Fiscal Year 2023-24 Proposed Operating Budget includes a total count of 1,517 authorized full- time equivalent (FTE) positions. This is an increase of 243 FTE's compared to Fiscal Year 2022-23 Adopted. Increases Citywide include 27 FTE's for Community Development, 24 FTE's for Community Life & Culture, 5 FTE's for Financial Services, 4 FTE's for Human Resources/Risk Management, 16 FTE's for Information Technology, 5 FTE's for Management Services, 7 FTE's for Ontario Fire Department, 8 FTE's for OMUC, 28 FTE's for Ontario Police Department, and 26 FTE's for Public Works (Total 140 FTE's). The increase is due to Citywide new programs and to address Citywide infrastructure needs. Additionally, organizational changes effective July 1, 2023 include move of Housing Authority from Community Development to Community Life & Culture in order to augment the Continuum of Care program.
General Fund
The Fiscal Year 2023-24 Proposed Operating Budget continues to focus on City Council's Strategic Goals. The operationally balanced budget utilizes responsibly the $45.6 million one-time funding from the American Rescue Plan Act (ARPA), of which $22.8 million was allocated for FY 2020-21, $3.4 million for Fiscal Year 2021-22, $9.5 million for FY 2022-23, $9.9 million for FY 2023-24, and the remaining $2.1 million to be used in the following fiscal year through December 2024. Thus, the entire $45.6 million has been obligated per the ARPA guidelines.
The City's Proposed Fiscal Year 2023-24 General Fund Revenues are projected at $438.6 million including Transfers-in. This is an increase of $139.4 million or 46.6 percent compared to Fiscal Year 2022-23 Adopted Budget primarily due to Measure Q that
allocates additional local funding for
infrastructure improvement projects as well as enhance City services and programs by changing the sales tax rate from 7.75% to 8.75%. Measure Q
was voter approved in November 2022 and
became effective April 1, 2023. The City's Proposed Fiscal Year 2023-24 General Fund Expenditures including Transfers-out are $427.9 million, which is an increase of approximately $126.0 million or
41.8 percent compared to Fiscal Year 2022-23 Adopted Budget. This increase is due to transfer increases for CIP's funded mainly by Measure Q.
The City's projected General Fund ending Fund Balance at June 30, 2024 is $76.8 million and set General Fund appropriations at the 20 percent reserve level. Staff recommends increasing the reserve level from 18 percent to 20 percent as part of the City's budget policy guideline for General 232
Fund Reserve levels.
Special Revenue Funds
The Proposed Fiscal Year 2023-24 Special Revenue Funds Budget includes estimated revenues of $58.9 million. This is a decrease of $2.1 million or 3.4 percent compared to the Fiscal Year 2022-23 Adopted Budget. The Proposed Special Revenue Funds Expenditure Budget for Fiscal Year 2023-24 is $64.7 million; an increase of $21.6 million or 50.1 percent from the Fiscal Year 2022-23 Adopted Budget primarily due to the inclusion of administrative expenses related to the services provided by the City to the Community Facilities Districts (CFD).
Capital Project Funds
The Proposed Capital Project Funds Revenue for the Fiscal Year 2023-24 is $100.1 million. This is $16.3 million, or 19.4 percent increase compared to Fiscal Year 2022-23 Adopted Budget, which primarily consists of Development Impact Fees (DIF) that are paid by developers, and which must be expended for projects identified in the City's Master Facilities Plan. Included also in the Capital Project revenue is the Affordability in- lieu fees of approximately $5.0 million paid by developers as part of the City's commitment to constructing affordable housing, and $47.6 million transfer-in from General Fund for Capital Projects. The Proposed Capital Project Funds Expenditure Budget for Fiscal Year 2023-24 is $148.7 million which is $128.8 million, or 648.0 percent increase compared to Fiscal Year 2022-23 Adopted Budget. The significant increase to expenditures is mainly attributable to 116.9 million for projects that will address Citywide infrastructure needs including $49.5 million for Civic Center Expansion, $16.4 million for Parks and Parks Facilities Improvements, $19.7 million for Storm Drains, $18.6 million for Continuum of Care, $12.0 million for the Regional Sports Complex, and $1.5 million Street improvements.
Enterprise Funds
The Proposed Enterprise Funds Revenue Budget for Fiscal Year 2023-24 is $168.5 million, mainly comprised of charges for water, sewer, and integrated waste services. This is an increase of $7.1 million or 4.4 percent compared to the Fiscal Year 2022-23 Adopted Budget. Fiscal Year 2023-24 Proposed Expenditure Budget for Enterprise Funds is $195.6 million, which includes the costs for the administration and operations of the enterprise services and capital funding for water and sewer projects. This is an increase of $11.7 million or 6.4 percent compared to Fiscal Year 2022-23 Adopted Budget. The increase to expenditures is mainly attributable to $6.1 million for Water Main Improvements and $1.0 million for Pure Ontario Water (POW) - Advanced Water Purification Facility (Total CIP of $98 million).
Internal Service Funds
Services and goods provided by one department to other departments, on a cost-reimbursement basis, is accounted for in the Internal Service Funds. These goods and services include Equipment Services, Unemployment/Disability, Information Technology, Workers' Compensation, General Liability, Facilities & Parks Maintenance, Pension Benefits, and Other Post-Employment Benefits.
The Proposed Internal Service Funds Revenue Budget for Fiscal Year 2023-24 is $138.2 million, which is an increase of $42.4 million or 44.2 percent compared to the Fiscal Year 2022-23 Adopted Budget. The Proposed Fiscal Year 2023-24 Expenditure Budget for all Internal Services funds is $133.0 million, which is an increase of $22.0 million or 19.8 percent compared to Fiscal Year 2022- 23 Adopted Budget. This increase is mainly attributable to the City's goal of becoming strategically 233
balanced rather than operational balanced, and fully funding the City's internal service funds. In prior budget years the internal service funds were not being fully funded and, as a result, are now underfunded.
Other Budget-Related Actions
State law mandates that certain City appropriations be subject to an annual spending limit (GANN Limit). The City's appropriation limit was first established in 1978 and has been adjusted annually by certain growth factors, such as the consumer price index, California per capita income, and population change in the City or County. Based on these factors, the City's appropriation limit for Fiscal Year 2023-24 is $382,922,891. The appropriations included in the proposed budget for Fiscal Year 2023-24 that are subject to the spending limit total of $329,450,382 and fall within the State guidelines.
Included with the proposed operating budget for approval is the City's Travel and Expense Reimbursement Policy. This is an update to the existing policy that was approved by City Council on May 26, 2022. Included in this new policy are minor updates to the mileage reimbursement requirements, and the maximum lodging rate increasing to $460 for FY 2023-24. Additionally, the policy provides further clarification of when a spend authorization is required for City business travel. This updated Travel and Expense Reimbursement Policy will be effective July 1, 2023, and is in compliance with Government Code sections
§
53232.2 and
§
53232.3.
Included with the proposed operating budget for approval is the City's Purchasing Policies and Procedures Manuals. This is an update to the existing policy that was approved by City Council on June 21, 2021. Included in this updated policy are: revised City Managers signing authority from $100,000 to $150,000 (approved by City Council on February 7, 2023). Clarification on Purchase Order Exceptions; increased purchasing threshold from $5,000 to $10,000; and u pdated
authorization for delegation of signing authority approved on March 22, 2023, for Community Life & Culture Executive Director, Public Works Executive Director, Utilities General Manager, and Human Resources/Risk Management Executive Director. Additionally, “City Manager or designee” was noted wherever the authorization is established
. This updated Purchasing Policy will be effective July 1, 2023.
Additionally, as an attachment to this report is the Agencies' Strategic Objectives (ASOs). ASOs are high priority strategic objectives that communicate our Agencies' commitment to the City's mission, vision and values and are a means to achieve the overarching goals set forth by City Council. ASOs are outcome driven, thus ASO attainment ultimately improves and enhances City services, processes, programs and facilities.
Pursuant to the Management Agreement, SMG's annual operating budget of the Ontario Convention Center is subject to approval by the City Council and is proposed for Fiscal Year 2023-24 at $9,174,971. The annual funding support for Fiscal Year 2023-24 is projected at $ 1,579,213.
Additionally, the Toyota Arena budget has been added as part of this years proposed budget and is estimated to generate $15.6 million in revenues with offsetting expenditures of $9.8 million with projected net income of $5.8 million. City's estimated share of the revenue is estimated at $4.1 million.
234
Pursuant to California Government Code §51287 and §66014(a), et. seq., the City is authorized to establish and collect service fees based upon the City’s estimated reasonable costs to provide the related services. The Citywide Fee Schedule is intended as a comprehensive, one-stop, user-friendly guide to City fees and contains fee descriptions, the current fee for each service, and any changes to the current fees. The FY 2023-24 Proposed Citywide Fee Schedule contains a total of 712 fees, fines, and charges and includes no new fees or increases, two (2) deletions, and nine (9) decreases, eight (8) of which are temporary reductions to Electrical, Building, and Mechanical permits reduced with Resolution No. 2023-032 approved by City Council on May 3, 2023. If approved, the proposed fee amendments will take effect July 1, 2023.
The approval of the budget Resolutions will provide the policy direction from the Mayor and Council for the City of Ontario, and the Executive Board for the Ontario Housing Authority to commit resources necessary to provide services within the City. The Proposed Operating Budget for Fiscal Year 2023-24 is operationally balanced and does not commit to spending more than a conservative estimate of resources. It reflects the City Council's continued commitment to foster steady, managed growth and to provide the highest level of service to the community within the City's fiscal constraints. As the City recovers from the last three years of economic disruption from the COVID pandemic, other challenges still exist: the continued war in Ukraine; rising consumer goods prices, fuel costs, and interest rates; and the impending recession due to accelerated inflation levels not seen since the early 1980's. Even with the anticipated additional resources, the City will need to continue to practice fiscal discipline and establish proactive measures to safely navigate the current and upcoming fiscal challenges, as well as deliver an unparalleled level of service and commitment to our community.
235
RESOLUTION NO. ________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ONTARIO,
CALIFORNIA, ESTABLISHING AN APPROPRIATIONS LIMIT FOR THE CITY OF ONTARIO FOR FISCAL YEAR 2023-24.
WHEREAS, Section 1.5 of Article XIIIB of the Constitution of the State of California imposes upon units of State and Local Government the obligation to limit each fiscal year’s appropriations of the proceeds of taxes to the amount of such appropriations in Fiscal Year 1986-87 as adjusted for changes in cost of living and population; and WHEREAS, Section 7910 of the Government Code of the State of California directs the governing body of each local jurisdiction to establish its appropriation limit by resolution each year; and
WHEREAS, said section of the Government Code allows the governing body to choose between various factors to be used in the calculation of said appropriation limit; and
WHEREAS, the Executive Director of Finance of the City of Ontario has determined the City’s appropriations limit for Fiscal Year 2023-24 in accordance with the said provisions of the Constitution and laws of the State of California and the documentation used in said determination has been available to the public since June 1, 2023, in the office of the Executive Director of Finance.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ontario, as follows: (1) calculation of said limit for the City shall be determined by using the California Per Capita Income and the population growth of the County of San Bernardino, both as determined by the California Department of Finance; and (2) based upon the factors, the appropriations limit of the City of Ontario for the Fiscal Year 2023-24 is hereby found and determined to be $382,922,891.
The City Clerk of the City of Ontario shall certify as to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED this 15th day of June 2023. _____________________________________
PAUL S. LEON, MAYOR
236
ATTEST:
________________________________
SHEILA MAUTZ, CITY CLERK
APPROVED AS TO LEGAL FORM:
_______________________________
BEST, BEST & KREIGER, LLP
CITY ATTORNEY
237
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF ONTARIO )
I, SHEILA MAUTZ, City Clerk of the City of Ontario, DO HEREBY CERTIFY that foregoing Resolution No. 2023- was duly passed and adopted by the City Council of the City of Ontario at a special meeting held June 15, 2023 by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
The foregoing is the original of Resolution No. 2023- duly passed and adopted by the Ontario City Council at a special meeting held June 15, 2023. _____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
238
RESOLUTION NO. ______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ONTARIO,
CALIFORNIA, ADOPTING THE OPERATING BUDGET OF SAID CITY
FOR THE FISCAL YEAR 2023-24.
WHEREAS, the General Fund group is comprised of the General Fund and General Fund Trust; and
WHEREAS, the Special Revenue Funds group is comprised of the following funds:
Community Development Block Grant, HOME Grants, Housing Grants, Measure I, Measure I Valley Major Project, Grants Fund, DOJ Asset Seizure, State Asset Seizure, Treasury Asset Seizure, Fire Mutual Aid, Cable Access Fund, Broadband / Fiber, Opioid Settlement, Gas Tax, Road Maintenance & Rehabilitation Account (SB 1), Air Quality Management District, Economic Development Activities Fund, Special Assessment Administration, Parkway Maintenance, Storm Drain District, Street Light Maintenance, Storm Drain Maintenance, Park Impact/Quimby, Old Model Colony CFDs, Ontario Ranch Services CFDs; and
WHEREAS, the Capital Project Funds group is comprised of the following funds:
Capital Projects, Ground Access, Affordability In-Lieu, Aquatics Impact, General Facility Impact, Integrated Waste Impact, Law Enforcement Impact, Library Impact, Public Meeting Impact, Species Habitat Impact, Old Model Colony-Fire Impact, Old Model Colony-Local Adjacent Sewer, Old Model Colony-Local Adjacent Streets, Old Model Colony-Regional Streets, Old Model Colony-Local Adjacent Streets, Old Model Colony- Local Adjacent Storm Drain, Old Model Colony-Local Adjacent Water, Old Model Colony- Regional Sewer, Old Model Colony-Regional Storm Drains, Old Model Colony-Regional Streets, Old Model Colony-Regional Water, Ontario Ranch-Fire Impact, Ontario Ranch- Local Adjacent Fiber, Ontario Ranch-Local Adjacent Sewer, Ontario Ranch-Local Adjacent Streets, Ontario Ranch-Local Adjacent Storm Drain, Ontario Ranch-Local Adjacent Water, Ontario Ranch-Regional Fiber, Ontario Ranch-Regional Sewer, Ontario Ranch-Regional Storm Drains, Ontario Ranch-Regional Streets, Ontario Ranch-Regional Water; and
WHEREAS, the Enterprise Funds group is comprised of the following funds: Water Operating, Water Capital, Sewer Operating, Sewer Capital, Integrated Waste and Integrated Waste Facilities; and
WHEREAS, the Internal Service Funds group is comprised of the following funds:
Equipment Services, Information Technology, Facilities & Parks Maintenance, Workers Compensation, General Liability, Disability/Unemployment Insurance, Pension Benefit Fund, and Other Post Employment Benefits; and
NOW THEREFORE, be it resolved, that the City’s Operating Budget for the Fiscal Year 2023-24, submitted by the City Manager to the City Council, is herewith adopted for the City of Ontario for the Fiscal Year 2023-24.
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NOW, THEREFORE, be it also resolved, that the 2023-24 Operating Budget Appropriations are as follows:
General Fund $427,927,807
Special Revenue Funds 64,676,567
Capital Project Funds 148,678,119
Enterprise Funds 195,561,495
Internal Service Funds _132,985,079
Total Operating Budget $969,829,067
The City Clerk of the City of Ontario shall certify as to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED this 15th day of June 2023. _____________________________________
PAUL S. LEON, MAYOR
ATTEST:
________________________________
SHEILA MAUTZ, CITY CLERK
APPROVED AS TO LEGAL FORM:
_______________________________
BEST, BEST & KREIGER, LLP
CITY ATTORNEY
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STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF ONTARIO )
I, SHEILA MAUTZ, City Clerk of the City of Ontario, DO HEREBY CERTIFY that foregoing Resolution No. 2023- was duly passed and adopted by the City Council of the City of Ontario at a special meeting held June 15, 2023 by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
The foregoing is the original of Resolution No. 2023- duly passed and adopted by the Ontario City Council at a special meeting held June 15, 2023. _____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
241
RESOLUTION NO. OHA-________
A RESOLUTION OF THE ONTARIO HOUSING AUTHORITY OF THE
CITY OF ONTARIO, CALIFORNIA, ADOPTING A BUDGET FOR SAID AUTHORITY FOR THE FISCAL YEAR 2023-24
WHEREAS, Ontario Housing Authority is comprised of the Housing Authority Fund and the Housing Asset Fund with a total appropriation of $9,676,976 for departmental activities, shall be as set forth in the budget summaries; and WHEREAS, the Authority hereby determines, in accordance with Section 33334.3(d) of the California Redevelopment Law, that the planning and administrative expenses provided in the Budget to be made from the Low and Moderate Income Housing Fund are necessary for the production, improvement, or preservation of low-and- moderate income housing.
NOW, THEREFORE, be it resolved, determined, and ordered by the Housing Authority of the City of Ontario that the Housing Authority’s Operating Budget for the Fiscal Year 2023-24, submitted by the Executive Director to the Housing Authority, is herewith adopted for the Housing Authority of the City of Ontario for the Fiscal Year 2023-24.
NOW, THEREFORE, be it also resolved, that the 2023-24 Operating Budget Appropriation is $9,676,976.
The Secretary of the Ontario Housing Authority shall certify as to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED this 15th day of June 2023. _____________________________________
PAUL S. LEON, CHAIRMAN
ATTEST:
______________________________________
SHEILA MAUTZ, AUTHORITY SECRETARY
242
APPROVED AS TO FORM:
_______________________________________
AUTHORITY COUNSEL
243
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF ONTARIO )
I, SHEILA MAUTZ, Secretary of the Ontario Housing Authority, DO HEREBY CERTIFY that the foregoing Resolution No. OHA- was duly passed and adopted by the Board Members of the Ontario Housing Authority at a special meeting held June 15, 2023, by the following roll call vote, to wit:
AYES: BOARD MEMBERS:
NOES: BOARD MEMBERS:
ABSENT: BOARD MEMBERS:
______________________________________
SHEILA MAUTZ, AUTHORITY SECRETARY
(SEAL)
The foregoing is the original of Resolution No. OHA- duly passed and adopted by the Ontario Housing Authority at a special meeting held June 15, 2023. _____________________________________
SHEILA MAUTZ, AUTHORITY SECRETARY
(SEAL)
244
RESOLUTION NO. ________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ONTARIO,
CALIFORNIA, ADOPTING A CITYWIDE FEE SCHEDULE ESTABLISHING
AND AMENDING CERTAIN SERVICE AND DEVELOPMENT-RELATED
FEES FOR CITY SERVICES, AND REPEALING PREVIOUS ACTIONS IN CONFLICT HEREWITH.
WHEREAS, pursuant to the provisions of the California Constitution, the laws of the State of California, and City ordinances, the City of Ontario is authorized to adopt and implement fees and charges for certain municipal services, provided the same do not exceed the estimated reasonable cost of providing such services; and WHEREAS, the City Council of the City of Ontario (the "City Council") previously adopted Resolution No. 2004-065 approving an updated and modified schedule of fees for Building, Planning, Engineering and Fire Prevention services; Resolution No. 2005-115 to establish fees for processing Mills Act applications; Resolution No. 2008-046 to establish the Systematic Inspection Program Fee; Resolution No. 2012-010 to establish an administrative fee for towing; Resolution No. 2012-073 to establish and amend fees to reimburse the City for the Abatement of Nuisance Conditions; Resolution No. 2020-009 to adopt a citywide fee schedule establishing and amending certain service and development related fees; Resolution No. 2020-083 amending the citywide fee schedule by establishing and modifying certain service and development related fees; Resolution No. 2021-019 rescinding the annual alarm permit renewal fee; Resolution No. 2021-062 amending the citywide fee schedule by establishing and modifying certain service and development related fees; Resolution No. 2022-044 amending the citywide fee schedule by establishing and modifying certain service and development related fees; Resolution No. 2023-032 to approve a temporary reduction in certain building permit fees; and
WHEREAS, City staff has conducted a comprehensive review of the current services and fees administered by the City’s Development, Fire, Police, and Housing & Neighborhood Preservation agencies to determine if the current fee amounts are reflective of the costs to provide such services and are consistent with best practices and statutory requirements; and
WHEREAS, the City Council wishes to update and modify previously established fee amounts and fee categories as proposed by City staff to facilitate the recovery of the City’s actual costs of providing such services; and
WHEREAS, the updated and modified fees categories and amounts proposed for adoption have been incorporated into a document titled “City of Ontario FY 2023-24 Proposed Citywide Fee Schedule” for ease or reference.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ONTARIO DOES HEREBY RESOLVE AS FOLLOWS:
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SECTION 1. The City of Ontario FY 2023-24 Proposed Citywide Fee Schedule is hereby adopted by reference.
SECTION 2. All fee adjustments shall take effect on July 1, 2023.
SECTION 3. The fee categories and fee amounts contained in the City of Ontario FY 2023-24 Proposed Citywide Fee Schedule shall supersede any and all other fees previously set by resolution.
SECTION 4. Other previous City Council actions are hereby repealed to the extent that they are inconsistent herewith.
SECTION 5. The remaining provisions of Resolution Nos. 2004-065, 2005-115, 2008-046, 2011-064, 2012-010, 2012-073, 2020-009, 2020-083, 2021-019, 2021-062, 2022-044, 2023-032, and all other previous resolutions amended by this Resolution shall not be affected and shall remain in effect to the extent not inconsistent herewith.
PASSED, APPROVED, AND ADOPTED this 15th day of June 2023. _____________________________________
PAUL S. LEON, MAYOR
ATTEST:
________________________________
CITY CLERK
APPROVED AS TO LEGAL FORM:
________________________________
BEST BEST & KREIGER LLP
CITY ATTORNEY
246
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF ONTARIO )
I, SHEILA MAUTZ, City Clerk of the City of Ontario, DO HEREBY CERTIFY that foregoing Resolution No. 2023- was duly passed and adopted by the City Council of the City of Ontario at a special meeting held June 15, 2023 by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
The foregoing is the original of Resolution No. 2023- duly passed and adopted by the Ontario City Council at a special meeting held June 15, 2023. _____________________________________
SHEILA MAUTZ, CITY CLERK
(SEAL)
247