City Council / Housing Authority
March 20, 2023

CITY OF POMONA
Fiscal Year 2022-23Mid Year Summary 50% Complete

Fiscal Year 2022-23Mid Year Summary

General Fund Revenues •Property Tax – $2.6M Increase vs. Budget •Includes Property Tax, Property Tax In-Lieu of VLF, and PriorYear Supplemental. Large portion of revenue receivedDecember to June.•Sales Tax – $3M Increase vs. Budget •Three sources; a 1.0% share of local sales, the recently approved Transactions and Use Tax at .75% (Measure PG) and allocations of Public Safety Augmentation Fund (PSAF) sales tax from the County.•Utility Users Tax (UUT) – $2.8M Increase vs. Budget •Collected on water, gas, electricity & telephone services•Rate increases for electricity & increased cost of gas General Fund Revenues (cont.) •Other Taxes - $1.9M Increase vs. Budget•Other taxes include Business Licenses, Transient Occupancy Tax, Property Transfer Tax, Cannabis Tax, and Franchise Fees•Other Sources - $2.1M Decrease vs Budget•All Other Sources include Fees, Licenses, Permits and Revenue from Use and Property categories; ARP Funds Fiscal Year 2022-23 Mid Year Expenditure By Category Summary

Fiscal Year 2022-23Mid Year By Department

General Fund Appropriation and Revenue Estimate Requests+$11k Technical Specialist - Social Media - Administration+$15k Controllable Contracts – Planning (Dev Svcs)+$24k Abatement & Overtime - Code Compliance(Dev Svcs)+$585k Building and Safety Contract (Dev Svcs)+$900k for corresponding revenue adjustment+$110k Sales Tax Audit Services – Finance+$47k Payroll Support - Finance General Fund Revenue Estimate and CIP Amendment RequestsRevenue+ $2.2M Property Taxes (Secured, In-Lieu VLF , and RPPTF)+ $400k Los Angeles County Fire Paramedic Pass ThroughCIP Amendments+$500k Towne Avenue and Bonita Avenue CIP ProjectNo.68580+ $800k Emergency Shelter Annex CIP Project No.71053 General Fund Fund Balance

Staffing Changes Changes to the City’s Authorized Staffing Level:Reclassification of the Library Manager to DeputyDirector of Library Services – Library ($2.5k)Addition of a Neighborhood Services Assistant Director –Neighborhood Services – No cost this FY Non-General Fund Appropriation and Revised Revenue Requests+ $197k National Opioid Class Action Lawsuits– Grants($67k) Police Department JAG Grant – Correction forduplication+ $230k Public Works Unleaded Fuel and Natural GasImpacts Internal Services Fund – Fleet and RefuseEnterprise Fund Phillips Ranch Maintenance Assessment Update1stQuarter report $410k in reductions for Water, TreeMaintenance, and Landscape MaintenanceCity is conducting a Proposition 218 ballot measure - PublicHearing on April 3, 2023Increase to be proposed $277.81 to $511.58 or provide a majorityprotest of the increaseThe result of this ballot measure will determine either:oPhillips Ranch budget will have to sustain significant cuts tokeep revenues in line with expendituresoNew District will be formed, the Phillips Ranch Landscaping andLighting Assessment District, with a budget that will allow forincreased maintenance of the District Summary•Staff is recommending the City Council adopt the amendments proposed for the General Fund:•7 Revised Revenue and/or Appropriation changes (GF)•3 Revised Revenues and/or Appropriators Changes (NGF)•2 CIP Transfers to fund existing Projects•2 Update to the City’s Authorized Staffing level •General Fund recommendations included herein will result inimpact to the General Fund Budget with a Surplus of $1.4M•As much as a $8.5M surplus could materialize based on yearend projections (Includes the $6.8M budgeted from ARP beingremoved)•The General Fund will exceed the 22% policy requirement FY 2022-23 Mid Year Budget Conclusion
•The National economy will be closely monitored for any impactsto the City’s revenues and trends•The City’s Fiscal and Financial Polices have been revised andthese practices will be addressed in the upcoming budget tohelp the City’s long-term needs•All City Departments will continue to operate within budget &will monitor expenditures, All revenues will need to come in ontarget or above projections to end the Fiscal Year 2022-23 asprojected FY 2022-23 Mid Year Budget Conclusion
•Finance Department will continue to apprise the Mayorand City Council of any significant financial impacts. Itemsto note in the coming months:•March 27th- FY 2023- 24 Budget Preview Presentation & Resident Feedback (5:30pm)•April 5th- FY 2023-24 Budget Preview Presentation & Resident Feedback (3pm)•May 8th- FY 2023-24 Budget Study Session – Proposed Budget•June 5th– Public Hearing – Adoption of the FY 2023-24 Budget FY 2022-23 Mid Year Budget Conclusion