POINT ARENA CITY COUNCIL
AGENDA ITEM SUMMARY
AGENDA ITEM: X C
MEETING DATE: 3/22/2022
TITLE
Fiscal Year 2021-2022 Mid-Year Budget Review
RECOMMENDED ACTION
Receive report and discuss
ANALYSIS
The mid-year budget review provides the City Council an opportunity to review the Fiscal Year 2021-2022 budget and adjust if necessary.
This year, the City’s budget is more or less on track with the Final Budget adopted by the Council in September 2021.
General Fund
Projected revenues are expected to increase approximately $144,000 – or 35% -- over the adopted budget. This increase is largely from unanticipated gains in sales tax and Transit Occupancy Tax as well as a federal American Rescue Plan Act grant of approximately $54,000. Projected expenses are on target with the adopted budget.
Parks costs have increased, largely as the result of an increased focus on maintaining the park and improving amenities. There will be additional expenses for improvements to the park such a new swingset and dog park. These costs will be covered by $175,000 in funding from the Prop 68 Park Bond.
Planning costs are on track but planning revenues have been less than expected. Your planner has worked with several potential applicants who have not yet submitted projects requiring a cost recovery deposit.
Administration costs appear to be on track.
Gas Tax Fund
The dramatic increase in expense in this fund is the result of engineering costs for the Mill Street and Center Street projects. Much of that funding will be recoverable in the reimbursement process.
Revolving Loan Fund
RLF expenses are lower than projected due to less activity.
Wastewater Operations & R&R
Revenue and expenses are on track.
Pier
Pier revenue appears to be on track. The projected subsidy from the general fund is expected to be approximately $50,000. Staff will be bringing back a proposal that more accurately reflectsthe income and expense of the Pier fund with potential modifications to the use of this fund.
Pier R&R
This fund contains two large expenses: engineering costs for the Arena Cove Rehabilitation Project and the advance purchase of pilings for the Pier Pilings Project.
These are largely reimbursable from CalOES/FEMA. Even with those expenses, the R&R fund is running above projections. This is due to deferred maintenance being performed to ensure the product and boat hoists are brought current and remain viable.
Used Oil
Expenses are running slightly higher; the City has not yet received its annual grant.
Recycling
Recycling expenses have decreased due to staffing changes. Staff will be bringing back some options for reducing or nearly eliminating staff time which will allow the annual $5000 CalRecycle grant to be used for other purposes to promote recycling. ======================
In this Fiscal Year, the City will have started and completed four major construction projects: the Arena Cove Parking Lot Rehabilitation; Pier Pilings Replacement; Mill Street Sidewalk, Roadway and Drainage Rehabilitation; and Center Street/Riverside Improvement. All told, these projects account for approximately $2 million in construction in Point Arena, the largest expenditure of public works funding since the construction of Point Arena Pier nearly 35 years.
The annual City budget is itself only approximately $1 million annually. Between all four projects, the City is expected to receive approximately 80% in reimbursed funds from CalOES/FEMA and the Local Partnership Program of the California Transportation Commission. Other funding has been provided by the Mendocino Council of Governments.
These investments will benefit Point Arena for years to come.
While staff and your accountant have attempted to isolate those projects in a separate Capital Projects fund, there are some expenses reflected in other funds that will be reclassified as reimbursement funds arrive. For example, construction management costs reflected in engineering costs are largely reimbursable.
All told, the overall budget structure is somewhat in flux due to these projects and staff expects things will be clearer and closer to normal in the 2022-2023 fiscal year.
FISCAL IMPACT
See above.
ATTACHMENTS
• FY 2021-2022 Mid-Year Budget Review Summary
• FY 2021-2022 Mid-Year Budget
CITY MANAGER SIGNATURE
_________________________________
Paul Andersen, City Manager
21‐22
Final
Budget
Actuals
through
12/31/21 %
6/30/22
Estimated
Actuals
$ Change
from
Adopted
% Change
from
Adopted
General Fund
General Revenues 414,800 279,592 67% 559,184 144,384 35% Planning Revenues 40,000 10,915 27% 21,830 (18,170) ‐45% COPS Funding 157,000 95,929 61% 158,729 1,729 1% Recycling Grant 5,000 ‐ 0% 5,000 ‐ 0% BLM Reimbursements 4,000 4,924 123% 4,924 924 23% Administration Costs 319,376 169,185 53% 338,370 18,994 6% Legislative Costs 24,059 6,224 26% 12,448 (11,611) ‐48% Planning Costs 50,200 24,028 48% 48,056 (2,144) ‐4% Public Safety Costs 106,388 57,524 54% 115,048 8,660 8% Recycling Costs 8,100 1,766 22% 3,532 (4,568) ‐56% Maintenance Costs 22,531 10,160 45% 20,320 (2,211) ‐10% Parks Costs 36,837 27,954 76% 55,908 19,071 52% Gas Tax Fund
Revenues 85,983 50,862 59% 101,724 15,741 18% Expenses 50,860 80,175 158% 160,350 109,490 215% Note: $43883 Reimbursable
Revolving Loan Fund
Revenues 16,000 6,079 38% 12,158 (3,842) ‐24% Expenses 26,463 29,095 110% 58,190 31,727 120% WWTP
Sewer Fees ‐ Operations 219,000 114,835 52% 229,670 10,670 5% Sewer Fees ‐ Capital 54,000 54,001 100% 108,002 54,002 100% Connection Fees 8,800 n/a ‐ (8,800) n/a Operations Costs 176,548 78,066 44% 156,132 (20,416) ‐12% Capital Costs 29,760 27,151 91% 54,302 24,542 82% Pier
Fees & Services 43,400 20,552 47% 41,104 (2,296) ‐5% Storm Damage Grants ‐ 8,657 17,314 17,314 Operating Costs 83,789 58,178 69% 116,356 32,567 39% Storm Damage Mitigation ‐ ‐ ‐ Repair & Replacement Costs 41,374 166,099 401% 210,000 168,626 408% Note: $96229 Reimbursable
Used Oil
Revenues 5,000 0% 5,000 ‐ 0% Expenses 5,433 3,594 66% 7,188 1,755 32% City of Point Arena
P&L - Governmental (exc. Fixed Assets)
July through December 2021
Admin Legislative Maintenance Parks Planning Recycling Safety Streets (GF) (GF) (GF) (GF) (GF) (GF) (GF) (GF) Total GF
Ordinary Income/Expense
Income
4100 ꞏ Property Taxes
4101 ꞏ Property Tax, Secured, Current 50,356.03 0.00 0.00 0.00 0.00 0.00 0.00 0.00 50,356.03 Total 4100 ꞏ Property Taxes 50,356.03 0.00 0.00 0.00 0.00 0.00 0.00 0.00 50,356.03 4108 ꞏ Sales Tax - General 34,792.16 0.00 0.00 0.00 0.00 0.00 0.00 0.00 34,792.16 4109 ꞏ Sales Tax - Streets 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.004111 ꞏ Transient Occupancy Tax 96,368.38 0.00 0.00 0.00 0.00 0.00 0.00 0.00 96,368.38 4116 ꞏ Cannabis Excise Tax - Rec 7,649.81 0.00 0.00 0.00 0.00 0.00 0.00 0.00 7,649.81 4117 ꞏ TOT Measure AC 19,273.68 0.00 0.00 0.00 0.00 0.00 0.00 0.00 19,273.68 4125 ꞏ BLM Reimbursements 0.00 0.00 4,923.66 0.00 0.00 0.00 0.00 0.00 4,923.66 4200 ꞏ Gas Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.004250 ꞏ RMRA SB1 Funds 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.004300 ꞏ Grant Revenues 4340 ꞏ COP's AB1913 Allocation 0.00 0.00 0.00 0.00 0.00 0.00 95,928.95 0.00 95,928.95 4300 ꞏ Grant Revenues - Other 53,705.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 53,705.00 Total 4300 ꞏ Grant Revenues 53,705.00 0.00 0.00 0.00 0.00 0.00 95,928.95 0.00 149,633.954420 ꞏ Business License Fee 387.75 0.00 0.00 0.00 0.00 0.00 0.00 0.00 387.75 4440 ꞏ Planning Fees/Permits 0.00 0.00 0.00 0.00 10,915.00 0.00 0.00 0.00 10,915.00 4510 ꞏ Interest Income 325.33 0.00 0.00 0.00 0.00 0.00 0.00 0.00 325.33 4590 ꞏ Principal Collected 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 4990 ꞏ Miscellaneous Sales & Services 895.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00 895.20 Total Income 263,753.34 0.00 4,923.66 0.00 10,915.00 0.00 95,928.95 0.00 375,520.95 Gross Profit 263,753.34 0.00 4,923.66 0.00 10,915.00 0.00 95,928.95 0.00 375,520.95 Expense
6100 ꞏ Salaries & Wages
6110 ꞏ Salaries & Wages, Regular 71,584.68 18.26 3,583.28 10,832.05 351.21 1,252.69 687.15 0.00 88,309.32 6120 ꞏ Overtime Wages 159.91 0.00 0.61 5.91 0.00 58.25 0.00 0.00 224.686140 ꞏ Vacation Pay 1,675.57 0.00 0.00 52.70 54.36 29.48 37.87 0.00 1,849.98 6150 ꞏ Sick Pay 1,918.91 0.00 0.00 3.16 30.54 15.40 14.05 0.00 1,982.06 6160 ꞏ Holiday Pay 2,009.54 0.00 200.15 626.30 35.43 59.75 12.83 0.00 2,944.00 6190 ꞏ Other Pay 993.79 1,950.00 0.00 0.00 0.00 7.98 0.00 0.00 2,951.77 Total 6100 ꞏ Salaries & Wages 78,342.40 1,968.26 3,784.04 11,520.12 471.54 1,423.55 751.90 0.00 98,261.816200 ꞏ Payroll Taxes & Benefits 6210 ꞏ FICA/Medicare - Employer 6,005.10 150.61 287.77 892.90 36.07 106.33 57.52 0.00 7,536.30 6220 ꞏ Unemployment Insurance 0.00 0.31 28.96 33.86 0.00 1.23 0.00 0.00 64.366240 ꞏ Health Benefits 6241 ꞏ Health Insurance - Employer 12,802.18 0.00 2,476.08 2,841.37 0.00 234.83 0.00 0.00 18,354.46 6242 ꞏ HSA - Employer 2,933.33 0.00 0.00 825.00 0.00 0.00 0.00 0.00 3,758.33
Admin Legislative Maintenance Parks Planning Recycling Safety Streets (GF) (GF) (GF) (GF) (GF) (GF) (GF) (GF) Total GF
Total 6240 ꞏ Health Benefits 15,735.51 0.00 2,476.08 3,666.37 0.00 234.83 0.00 0.00 22,112.79 6250 ꞏ SIMPLE IRA - Employer 1,596.46 0.00 0.00 0.00 14.15 0.00 22.55 0.00 1,633.16 Total 6200 ꞏ Payroll Taxes & Benefits 23,337.07 150.92 2,792.81 4,593.13 50.22 342.39 80.07 0.00 31,346.616300 ꞏ General Administration Costs 6310 ꞏ Advertising/Noticing 0.00 360.00 0.00 0.00 684.00 0.00 0.00 630.00 1,674.00 6330 ꞏ Dues & Memberships 3,653.91 0.00 0.00 0.00 0.00 0.00 0.00 0.00 3,653.91 6340 ꞏ Liability Insurance 28,022.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 28,022.006347 ꞏ Property Insurance 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.006350 ꞏ Licenses/Permits/Fees 455.28 0.00 0.00 0.00 0.00 0.00 0.00 0.00 455.286360 ꞏ Office Supplies 173.79 0.00 0.00 0.00 0.00 0.00 0.00 0.00 173.796365 ꞏ Postage 587.75 0.00 0.00 0.00 15.36 0.00 0.00 0.00 603.116370 ꞏ Printing 379.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 379.006390 ꞏ Training/Travel 2,356.58 168.20 42.00 89.60 0.00 0.00 0.00 0.00 2,656.38 Total 6300 ꞏ General Administration Costs 35,628.31 528.20 42.00 89.60 699.36 0.00 0.00 630.00 37,617.47 6400 ꞏ Professional Services
6410 ꞏ Professional - Accounting 6,840.62 0.00 0.00 0.00 0.00 0.00 0.00 0.00 6,840.62 6420 ꞏ Professional - Audit 5,225.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 5,225.00 6430 ꞏ Professional - Consultant 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.006440 ꞏ Professional - Engineer 0.00 0.00 0.00 0.00 22,591.25 0.00 0.00 0.00 22,591.256460 ꞏ City Attorney 1,195.84 3,576.68 0.00 0.00 166.50 0.00 0.00 0.00 4,939.02 Total 6400 ꞏ Professional Services 13,261.46 3,576.68 0.00 0.00 22,757.75 0.00 0.00 0.00 39,595.89 6500 ꞏ Program Supplies & Services
6510 ꞏ Disposal 0.00 0.00 0.00 0.00 0.00 0.00 0.00 63.00 63.00 6521 ꞏ Rent - Equipment 2,554.24 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2,554.24 6522 ꞏ Rent - Spaces 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.006530 ꞏ Outside Services 3,263.08 0.00 0.00 3,948.81 49.00 0.00 7,524.00 0.00 14,784.89 6542 ꞏ Repairs/Maint - Equipment 0.00 0.00 1,453.87 505.11 0.00 0.00 0.00 1,493.10 3,452.086544 ꞏ Repairs/Maint - Infrastructure 0.00 0.00 0.00 570.96 0.00 0.00 0.00 0.00 570.966551 ꞏ Supplies - Safety 440.36 0.00 259.85 2,234.10 0.00 0.00 0.00 727.35 3,661.666552 ꞏ Supplies & Tools 2,391.18 0.00 1,728.84 1,784.21 0.00 0.00 0.00 572.73 6,476.966560 ꞏ Telephone 1,738.35 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1,738.35 6561 ꞏ Utilities 5,263.61 0.00 98.54 2,101.10 0.00 0.00 0.00 3,132.46 10,595.71 6565 ꞏ Internet Fees 2,692.86 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2,692.86 6572 ꞏ Vehicle - Fuel 0.00 0.00 0.00 607.04 0.00 0.00 0.00 94.30 701.346580 ꞏ COPS 0.00 0.00 0.00 0.00 0.00 0.00 49,999.98 0.00 49,999.98 Total 6500 ꞏ Program Supplies & Services 18,343.68 0.00 3,541.10 11,751.33 49.00 0.00 57,523.98 6,082.94 97,292.03 6900 ꞏ Other Expenses
6910 ꞏ Miscellaneous Expense 272.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00 272.20 Total 6900 ꞏ Other Expenses 272.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00 272.20 Total Expense 169,185.12 6,224.06 10,159.95 27,954.18 24,027.87 1,765.94 58,355.95 6,712.94 304,386.01 Net Ordinary Income 94,568.22 -6,224.06 -5,236.29 -27,954.18 -13,112.87 -1,765.94 37,573.00 -6,712.94 71,134.94 Net Income 94,568.22 -6,224.06 -5,236.29 -27,954.18 -13,112.87 -1,765.94 37,573.00 -6,712.94 71,134.94
City of Point Arena 10:43 AM
P&L Enterprise 03/18/2022
July through December 2021 Accrual Basis
WWR PRF
(CP) (CP) Total CP PR WW TOTAL
Ordinary Income/Expense
Income
4300 ꞏ Grant Revenues
4360 ꞏ State Water Grants 19,421.00 0.00 19,421.00 0.00 0.00 19,421.004300 ꞏ Grant Revenues - Other 0.00 8,657.00 8,657.00 0.00 0.00 8,657.00 Total 4300 ꞏ Grant Revenues 19,421.00 8,657.00 28,078.00 0.00 0.00 28,078.004510 ꞏ Interest Income 0.00 0.00 0.00 0.00 67.15 67.154610 ꞏ Boat Storage 0.00 0.00 0.00 1,554.50 0.00 1,554.504620 ꞏ Fish Poundage 0.00 0.00 0.00 8,632.17 0.00 8,632.174640 ꞏ Launch Fees 0.00 0.00 0.00 9,875.63 0.00 9,875.634710 ꞏ Sewer Service Fees 0.00 0.00 0.00 0.00 115,767.70 115,767.704715 ꞏ Sewer Fees R&R Allocation 34,579.50 0.00 34,579.50 0.00 0.00 34,579.504990 ꞏ Miscellaneous Sales & Services 0.00 0.00 0.00 489.20 0.00 489.20 Total Income 54,000.50 8,657.00 62,657.50 20,551.50 115,834.85 199,043.85 Gross Profit 54,000.50 8,657.00 62,657.50 20,551.50 115,834.85 199,043.85 Expense
6100 ꞏ Salaries & Wages
6110 ꞏ Salaries & Wages, Regular 13,912.62 20,582.21 34,494.83 23,408.91 25,198.40 83,102.146120 ꞏ Overtime Wages 139.79 536.14 675.93 882.60 372.67 1,931.206140 ꞏ Vacation Pay 55.24 1,049.95 1,105.19 7,031.29 1,428.07 9,564.556150 ꞏ Sick Pay 491.64 178.35 669.99 2,682.83 2,840.65 6,193.476160 ꞏ Holiday Pay 722.82 760.25 1,483.07 1,300.66 1,064.03 3,847.766170 ꞏ On-Call Pay 0.00 0.00 0.00 0.00 5,460.00 5,460.00 6190 ꞏ Other Pay 0.00 80.62 80.62 336.80 61.43 478.85
Total 6100 ꞏ Salaries & Wages 15,322.11 23,187.52 38,509.63 35,643.09 36,425.25 110,577.976200 ꞏ Payroll Taxes & Benefits 6210 ꞏ FICA/Medicare - Employer 1,171.88 1,748.58 2,920.46 2,458.75 2,788.76 8,167.976220 ꞏ Unemployment Insurance 16.64 128.51 145.15 154.02 23.83 323.006240 ꞏ Health Benefits 6241 ꞏ Health Insurance - Employer 1,239.48 0.00 1,239.48 3,959.96 3,861.76 9,061.206242 ꞏ HSA - Employer 0.00 0.00 0.00 1,100.00 0.00 1,100.00
WWR PRF
(CP) (CP) Total CP PR WW TOTAL
Total 6240 ꞏ Health Benefits 1,239.48 0.00 1,239.48 5,059.96 3,861.76 10,161.206250 ꞏ SIMPLE IRA - Employer 30.39 294.42 324.81 0.00 0.00 324.81 Total 6200 ꞏ Payroll Taxes & Benefits 2,458.39 2,171.51 4,629.90 7,672.73 6,674.35 18,976.986300 ꞏ General Administration Costs 6310 ꞏ Advertising/Noticing 0.00 420.00 420.00 317.00 0.00 737.00 6360 ꞏ Office Supplies 0.00 0.00 0.00 0.00 211.30 211.306390 ꞏ Training/Travel 0.00 0.00 0.00 175.28 89.60 264.88 Total 6300 ꞏ General Administration Costs 0.00 420.00 420.00 492.28 300.90 1,213.186400 ꞏ Professional Services 6440 ꞏ Professional - Engineer 8,801.25 73,139.10 81,940.35 0.00 573.75 82,514.10 6450 ꞏ Professional - Legal 0.00 0.00 0.00 5,032.50 0.00 5,032.506460 ꞏ City Attorney 0.00 370.00 370.00 65.65 0.00 435.65 Total 6400 ꞏ Professional Services 8,801.25 73,509.10 82,310.35 5,098.15 573.75 87,982.256500 ꞏ Program Supplies & Services 6521 ꞏ Rent - Equipment 0.00 0.00 0.00 469.34 0.00 469.34 6530 ꞏ Outside Services 557.00 0.00 557.00 502.93 885.00 1,944.936541 ꞏ Repairs/Maint - Building 0.00 325.92 325.92 0.00 0.00 325.926542 ꞏ Repairs/Maint - Equipment 0.00 2,152.89 2,152.89 474.39 0.00 2,627.286544 ꞏ Repairs/Maint - Infrastructure 0.00 23,090.50 23,090.50 0.00 0.00 23,090.506551 ꞏ Supplies - Safety 0.00 1,148.12 1,148.12 1,060.84 849.55 3,058.516552 ꞏ Supplies & Tools 12.95 1,210.90 1,223.85 1,723.00 934.58 3,881.436560 ꞏ Telephone 0.00 0.00 0.00 235.15 349.24 584.39 6561 ꞏ Utilities 0.00 0.00 0.00 4,039.55 12,007.21 16,046.766565 ꞏ Internet Fees 0.00 100.00 100.00 0.00 0.00 100.006572 ꞏ Vehicle - Fuel 0.00 59.43 59.43 739.93 1,687.83 2,487.19 Total 6500 ꞏ Program Supplies & Services 569.95 28,087.76 28,657.71 9,245.13 16,713.41 54,616.256600 ꞏ Enterprise Supplies & Services 6610 ꞏ Chlorine 0.00 0.00 0.00 0.00 10,221.93 10,221.93 6630 ꞏ Lab/Testing 0.00 0.00 0.00 0.00 5,000.00 5,000.00 Total 6600 ꞏ Enterprise Supplies & Services 0.00 0.00 0.00 0.00 15,221.93 15,221.936900 ꞏ Other Expenses 6910 ꞏ Miscellaneous Expense 0.00 0.00 0.00 27.14 0.00 27.14 6950 ꞏ Finance Charges 0.00 0.00 0.00 0.00 2,155.98 2,155.98 Total 6900 ꞏ Other Expenses 0.00 0.00 0.00 27.14 2,155.98 2,183.12
WWR PRF
(CP) (CP) Total CP PR WW TOTAL
7000 ꞏ Capital Expenses
7400 ꞏ Infrastructure 0.00 38,723.00 38,723.00 0.00 0.00 38,723.00 Total 7000 ꞏ Capital Expenses 0.00 38,723.00 38,723.00 0.00 0.00 38,723.00 Total Expense 27,151.70 166,098.89 193,250.59 58,178.52 78,065.57 329,494.68 Net Ordinary Income 26,848.80 -157,441.89 -130,593.09 -37,627.02 37,769.28 -130,450.83 Net Income 26,848.80 -157,441.89 -130,593.09 -37,627.02 37,769.28 -130,450.83