FY25 BUDGET BALANCING
OPTIONS
May 14, 2024
HISTORY OF THE CITY’S OPERATION
2 WHAT WE’VE
DONE SO FAR
3 FY25 BUDGET STUDY SESSION #1 – GENERAL FUND
4 General Fund
FY 25 Projection
($1,920,869)Estimated Beginning Undesignated Fund Balance at 7/1/2024 $144,006,541Revenues
-Transfers In
$144,006,541Total Revenues
$161,236,003Expenditures
-Transfers Out
$161,236,003Total Expenditures
($19,150,331)Estimated Ending Fund Balance at 6/30/2025 $2,327,327Catastrophic Reserve Designation
($21,477,658)Estimated Undesignated Fund Balance at 6/30/2025
PROPOSED
ADDITIONAL
REVENUES
TOTAL: $8.8
MILLION
Credit Card Fees
$150,000
BL - Back Tax &
Penalties $51,000 100% Fee Recovery
$500,000
Paid Parking
$950,000
Parking Citation
$1,000,000
Increase
STR to 250
permits
$500,000
1-time sale of Taft
Library $2,700,000
1-time CR&R
$3,000,000
PROPOSED BUDGET REDUCTIONS - $12.9 MILLION
6 Membership 85,700
Special
Events
329,943
Programs 404,032
Contract reduction
595,318
Maintenance
& Operation
1,099,319
Personnel 10,453,128
(97 FTEs)
PROPOSED
BUDGET
REDUCTION
AVAILABLE
NOW
$6 MILLION
Membership 85,700 Special Events
238,131 Programs 262,600
Contract reduction
595,318
Maintenance
& Operation
1,099,319
Personnel 3,765,661
(41 FTEs)
COMMITTEE & COMMISSION MEETINGS
8 # of
Meeting
per Year
Average
Length
(in hour)
Materials
per mtg.
Facility
Cost
per mtg.
IT Support
per mtg.
Annual
Costs
Parks Commission 6 2 $0 $300 $250 $3,300
Traffic Commission 6 2 $0 $300 $250 $3,300
Santiago Creek Commission 4 2 $0 $300 $250 $2,200
Design Review Committee 24 2 $55 $300 $250 $14,520
TOTAL 40 8 $55 $1,200 $1,000 $23,320
PROPOSED REDUCTIONS
9 Personnel
• 97 FTEs
• 20 Police, 18
Firefighters, and 59
non-safety
• 41 FTEs available now
• 7 Police, 2
Firefighters, and 32
non-safety/non-
sworn positions
• Overtime in Police
Department
Operational
• Janitorial services at
City facilities
• Tree trimming services
• Landscaping services
• Plaza sidewalk steam
cleaning
• Membership to League
of California, SCAG,
OCCOG, and ACCOC
• Delay in issuance of
permits
• Creek cleanup
PROPOSED
REDUCTIONS
(CON’T.)
Public Safety
• HEART Program
• School crossing guards
• Bike Team
• Trainings
• Nightly patrol at the park
• Code enforcement
services
• Emergency and medical
services (Fire)
Quality of Life
• Aquatic program
•3 rd of July
• Movies in the park
• Concerts in the park
• Veteran’s Day parade
• Tree lighting ceremony
• Holidays decorations
• Orange Elderly Services
• Miss Orange support
• CERT Program
• Library community
programs and resources
• Graffiti response
FY25 PROPOSED
PRELIMINARY BUDGET – GENERAL FUND
11 *Does not include transfers to Internal Service Fund and Capital Project Fund.
TotalRecurring1-timeFiscal Year 2025
$144,006,541$144,006,541$0Proposed Revenues (1st budget study session) 5,851,0003,151,0002,700,000 Additional Revenues
3,000,00003,000,000 Transfers In (CR&R)
152,857,541147,157,5415,700,000Total Preliminary Revenues 161,236,003161,236,0030Proposed Expenditures (1st budget study session) (6,070,049)(6,070,049)0 Proposed Reductions
000 Transfers Out
155,165,954155,165,9540Total Preliminary Expenditures
($2,308,413)($8,008,413)$5,700,000Proposed Preliminary Operating Surplus/(Deficit)
PRELIMINARY
DESIGNATED
RESERVE
*Previous designated reserve deficit was $18.5 million, a decrease of $6 million.
FY 25 Projected
Fund Balance
Minimum
Reserve Level
Defined
MinimumFund
$25,757,548$25,757,54816.6% of GF
ExpenditureGeneral Fund Catastrophic Reserve (100)
($2,308,413)-NoneUnreserved Fund Balance (100)
$1,406,306-NoneBuilding Records Management Fee Fund (110) $1,210,581$2,980,000Based on 5-
year CIPCapital Projects Fund (500)
$1,381,564$3,081,775Avg. 3 year
prior actualsEquipment Replacement (720)
$2,767,394-NoneEmployee Accrued Liability/Pension Stabilization (760)
$3,829,663$2,457,655Avg. 3-year
prior actualsComputer Replacement (790)
$34,044,643Total Fund Balance
$34,044,643$46,549,78630% of GF
ExpenditureMinimum Designated Reserve Policy
($12,505,143)Surplus/(Deficit)
FY24 DESIGNATED/UNDESIGNATED RESERVES
13 Total Fund BalanceUndesignated
Reserve
Designated
ReserveFund
$25,361,974$1,762,023$23,599,951General Fund (100)
1,476,3101,476,3100Building Records Management Fee Fund (110) 10,417,4747,437,4742,980,000Capital Projects Fund (500) (3,305,739)(3,305,739)Equipment Maintenance (710)
1,458,964(1,622,811)3,081,775Equipment Replacement (720) 192,083192,0830Major Building Improvements (725)
(6,760,112)(6,760,112)0Worker's Compensation (730)
1,636,4531,636,4530Liability (740)
619,866619,8660Dental (752)
7,051,6797,051,6790Employee Accrued Liability/Pension
Stabilization (760)
678,147678,1470Information System (780)
7,372,8204,915,1652,457,655Computer Replacement (790)
$46,199,919$14,080,537$32,119,381Total
$42,650,515Minimum Designated Reserve Policy (30%)
$3,549,404($10,531,133)Suplus/(Deficit)
QUESTIONS
14