City of Piedmont
COUNCIL AGENDA REPORT
DATE: February 21, 2023
TO: Mayor and Council
FROM: Sara Lillevand, City Administrator
SUBJECT: Consideration of Resolution to Rescind Resolution 120-14 and ReEstablish the Budget Advisory and Financial Planning Committee with Modifications to Committee Member Terms
RECOMMENDATION
Approve the resolution to rescind Resolution 120-14 and re-establish the Budget Advisory and Financial Planning Committee with modifications to committee member terms, as follows:
1) Modify the term of the members of the Budget Advisory and Financial Planning Committee to begin on July 1st and end on June 30th to allow the members to serve through the passage of the annual budget; and
2) Modify the term length of currently serving members of the Budget Advisory and Financial Planning Committee to coincide with the changed term expiration date.
BACKGROUND
In 2012, the City Council established a temporary Budget Advisory and Financial Planning Committee (BAFP). In 2014, the City Council made the BAFP a permanent body. In the intervening time, the BAFP has proven to be a tremendous asset to the City, fulfilling its duties by providing exemplary advice and analysis to the City Council on financial matters as directed in its charge.
The start and end dates of terms of the BAFP members currently coincide with the terms of most other commissions and committees, running from April 1 to March 31st. This has proven awkward for members of the committee as new members begin their terms in the midst of the annual budget process and have to come up to speed very quickly in a short period of time.
BAFP Chair Deborah Leland has suggested that the terms of the BAPF membership be moved to coincide with the City’s fiscal year, running from July 1 to June 30th, which would allow full participation during the entire budget process and give new members more time to come up to speed.
The resolution before you modifies the start and end dates of the terms for members of the BAFP to coincide with the City’s fiscal year and extends the terms of existing BAFP members to coincide with these dates, while leaving all other aspects of the committee’s duties and establishment unchanged. This Resolution supersedes the 2014 Resolution in order to ensure that there is one unified governing document for the BAFP.
By: John O. Tulloch, Assistant City Administrator / City Clerk RESOLUTION _______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PIEDMONT RESCINDING RESOLUTION 120-14 AND RE-ESTABLISHING THE BUDGET ADVISORY AND
FINANCIAL PLANNING COMMITTEE WITH MODIFICATIONS TO COMMITTEE
MEMBER TERMS
WHEREAS, the City Council established a temporary Budget Advisory and Financial Planning Committee in 2012 and made the committee permanent in 2014; and WHEREAS, the purpose of the Budget Advisory and Financial Planning Committee is to help review and project the financial needs of the City; and WHEREAS, the Budget Advisory and Financial Planning Committee has provided advice and insights that have proven invaluable to the City’s financial planning and budgeting process; and WHEREAS, the Committee has proven its value as an on-going advisory body to the City Council in matters relating to budget and finance; and
WHEREAS, many residents of Piedmont work in varied and diverse professional fields, including the financial industry, and have a long history of willingness to share their expertise in service to the City; and
WHEREAS, the City Council now wishes to change the start and end dates of terms for the Budget Advisory and Financial Planning Committee in order to align with the fiscal calendar, and to extend the terms of currently serving members to reflect the new term expiration date; WHEREAS, the City Council wishes to rescind and supersede Resolution 120-14 with this Resolution;
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Piedmont does hereby resolve, declare, determine and order as follows:
SECTION 1. The Budget Advisory and Financial Planning Committee is hereby established as a permanent standing committee of the City of Piedmont.
SECTION 2. The Committee shall be charged with the following duties:
a) Review the financial projections prepared for the City’s Annual Budget and provide comment on whether they provide for the long term sustainable financial future of the City. This review shall take place between the preparation of the budget in April and its approval by the City Council in June of each year. b) Review and provide comment on the Mid-Year Budget Reports. c) Provide a financial review of any new program commitments and funding sources in excess of $250,000 in any fiscal year.
d) Periodically review and comment on the sufficiency of funding for long term obligations, including the Sewer Fund, Equipment Replacement Fund, Facilities Maintenance Fund and the City’s pension and retiree healthcare costs and funding.
e) Periodically examine the need for the Municipal Services Special Tax (Parcel Tax) and recommend whether this tax should be continued, and if so, at what rate.
This charge shall be accomplished not later than eighteen (18) months prior to the expiration of the tax as set forth in Chapter 20B of the City Code. f) The Committee may propose additional financial areas of study, which must be approved by the City Council prior to being taken up by the Committee. In addition, the Council may assign additional areas of study to the Committee.
SECTION 3. The Budget Advisory and Financial Planning Committee shall be comprised of seven voting members and one alternate member, each of whom shall be residents of Piedmont. The alternate member shall be entitled to attend and take part in Committee discussion, but shall not vote except in the absence of one or more Committee members.
SECTION 4. Members of the Budget Advisory and Financial Planning Committee appointed by the City Council shall be appointed to three-year terms and may serve a maximum of two consecutive terms. Any person who serves as a member of the Committee for more than eighteen (18) months of an unexpired term shall be considered to have served a full term of office. Terms shall begin on July 1st and expire on June 30th.
SECTION 5. The expiration date of the terms of Committee members serving at the time of the adoption of this resolution are extended from March 31st to June 30th of the respective year they were set to expire.
SECTION 6. The Budget Advisory and Financial Planning Committee shall annually elect one of its voting members to serve as Chair.
SECTION 7. The Committee shall comply with the Ralph M. Brown Act (Government Code §54950 et seq.) including, but not limited to notice, agenda posting, and public participation requirements.
SECTION 8. The Committee is an advisory body to the City Council and is not an independent decision-making body. All of its recommendations are subject to review and approval of the City Council.
SECTION 9. Resolution 120-14 is hereby rescinded and superseded. [END OF RESOLUTION]