Reedley City Council
May 14, 2024

ALL CELL PHONES AND ELECTRONIC DEVICES MUST BE

TURNED OFF IN THE COUNCIL CHAMBERS
AGENDA

REEDLEY CITY COUNCIL SPECIAL MEETING
6:00 P.M.

TUESDAY, MAY 14, 2024
Meeting Held in the Council Chambers,
845 "G" Street, Reedley, California
The Council Chambers are accessible to the physically disabled. Requests for additional accommodations for the disabled, including auxiliary aids or to request translation services, should be made 48 hours prior to the meeting by contacting the City Clerk at 637-4200 ext. 212.

Any document that is a public record and provided to a majority of the City Council regarding an open session item on the agenda will be made available for public inspection at City Hall, in the City Clerk's office, during normal business hours. In addition, such documents may be posted on the City's website.

Unless otherwise required by law to be accepted by the City at or prior to a Council meeting or hearing, no documents shall be accepted for Council review unless they are first submitted to the City Clerk by the close of business one day prior to said Council meeting/hearing at which the Council will consider the item to which the documents relate, pursuant to the adopted City Council Protocols.

The meeting will be held in person and may be observed remotely via Zoom or at:
http://www.reedley.com/livestream.php.

Public comment may be made in person or submitted in writing. Members of the public who wish to provide written comments are encouraged to submit their comments to the City Clerk at [email protected] by the close of business one day prior to the start of the meeting to ensure that the comments will be available to the City Council. Please indicate the agenda item number to which the comment pertains. Written comments that do not specify a particular agenda item will be marked for the general public comment portion of the meeting. A copy of any written comment will be provided to the City Council at the meeting. Please note that written comments received will not be read aloud during the meeting, but will be included with the meeting minutes.

Matthew Tuttle, Mayor Pro Tern
Mary Fast, Council Member

MEETING CALLED TO ORDER

ROLL CALL

WORKSHOP
Anita Betancourt, Mayor
Suzanne Byers, Council Member
Scott Friesen, Council Member

1. PROPOSED FISCAL YEAR 2024-25 BUDGET - No Action to be taken The Reedley City Budget is available on the City website: www.reedley.ca.gov BUDGET PRESENTATIONS AND DISCUSSIONS:

A. OPENING COMMENTS BY CITY MANAGER
B. BUDGET SUMMARY AND OVERALL FISCAL POSITION FOR FY 2024/25 C. ADMINISTRATION
D. ADMINISTRATIVE SERVICES
E. COMMUNITY DEVELOPMENT DEPARTMENT
F. COMMUNITY SERVICES DEPARTMENT

ADJOURNMENT
I hereby certify under penalty of perjury, under the laws of the State of California that the foregoin~ osted in accordance with the applicable legal requirements. Dated this 9th day of May 2024. ~, ~ -Ftu"""' th-ie~G~,~ee~n,,,,,..... w-oo--ta--, C-i-ty.,.,,.. c-,e-,k---

Document Highlights
Continued Refinement to Improve Accessibility & Understandability  Transparency is Better Governance
 15 fewer pages (or a 3% reduction in budget speak)
 Incorporate feedback from peer reviewers
 Using charts & graphs to tell the story
 PDF number and Page number now match
 Glossary includes abbreviations and acronyms
Government Finance Officer Association National Distinguished Budget Award (9th Year Running)
California Society of Municipal Finance Officers Excellence Budget Award (7th Year Running)
Acknowledgements
Overall Themes
 Prudent use of one-time resources to focus on facility repairs, equipment replacement and capital projects
 Leverage outside resources where available
 Performance Measures
 Full deployment of available funding for road rehabilitation  CalPERS Pension Contributions
 Retention of Qualified Staff
 Importance of building operating reserves when possible  Inflation Impacts
City Fund Overview
 Section 19, page 357
 50+ Active Operating & Capital Funds
 Specific or restricted use, tracking, transparency
o Number of Funds principle
o Close out of Fund 060 Dental ISF to Fund 068 HR ISF
 Overview of City Departments and their associated
funding sources
 Types of Funds:
 Unrestricted (General Fund)  Fiduciary Trust
 Enterprise  Special Revenue
 RDA Successor Agency  Capital
 Internal Service Funds
Proposed Budget Highlights
 Budget Balanced in accordance with Reedley’s Balanced Budget Policy
 All obligations fully funded, debt, anticipated labor agmts etc.  1 New Position Requested: Electrician I
 Add $70k to the Reserve + $275k anticipated interest earnings  Significant CalPERS increase primarily due to investment losses  $6.3M in planned Capital Projects ($1.2M in General Fund)  Sales tax performance
 Inflationary Increases Addressed
 Interest earnings provided budgetary relief ~ $1.5M+
 No Reduction in Services or Programs
Proposed Budget Highlights
Central San Joaquin Valley Risk Management Authority
 $2,689,520 total coverage cost, 35% increase ($695,885)  Workers’ Compensation rates up 17%
 Liability coverage increasing 23%
 Property coverage is increasing 88%
 Continuing overall ‘hardening’ of the insurance market - ongoing number and severity of natural disasters
 Premium of $858,355 insures property valuations of $167.6M  Auto Physical Damage increasing 19%
 Premium of $107,603 insures 107 vehicles with a combined replacement value of $11M
Proposed Budget Highlights
Total Proposed Budget for All Active Funds = $50,759,336  $21,108,473 Personnel & Benefit Costs
 $23,362,329 Maintenance & Operations
 $6,288,534 Capital Expenditures
 2024-25 General Fund = $20,165,113
 $12,879,965 Personnel & Benefit Costs
 $6,095,354 Maintenance & Operations
 $1,189,794 Capital Expenditures
 Current Year Amended Budget = $24,396,162
 2024-25 Public Safety Sales Tax Proposed Budget = $2,416,851  $1,393,116 Personnel & Benefit Costs
 $ 418,635 Maintenance & Operations
 $ 605,100 Capital Expenditures

General Fund Health
$ 6,679,537 Actual Carryover From 2022-23
$ 18,664,141 Add: Total Projected 2023-24 Revenue
($ 23,015,890) Less: Total Projected 2023-24 Expenditures $ 2,327,788 Est. Fund Balance June 30, 2024
$17,878,372 Total Projected 2024-25 Revenue
($20,165,113) Less: Total Proposed 2024-25 Expenses
$ 41,047 Est. Fund Balance June 30, 2025
One-time Capital Projects = $1,189,794
General Fund Reserve Status
Reserve Policy = 90 Days Operating Expenditures
$3,188,069 Ending Fund 002 Balance 6/30/2023
+ 225,000 FY 2023-24 Budgeted contribution
+ 250,000 Mid Year contribution (January 2024)
+ 350,500 Estimated Interest Earnings
$4,013,069 Estimated Fund 002 Balance 6/30/2024
+ 70,000 Contribution for 2024-25
+ 275,000 Estimated Interest Earnings
$4,358,069 Estimated Fund 002 Balance 6/30/2025
$4,015,589 90-Day Policy based on June 30, 2023 = 108% of Target* $4,743,830 Projected minimum target based upon FY 2024-25 $1,946,356 Estimated Fund 006 Capital Set Aside Balance 6/30/2025** Property Tax
 Secured Property Tax
o FYE Estimate 2% above budget, gain of $28,385
o Next year assumes 2% growth
o 2024-25 Estimated Revenue $1,476,607
 Property Tax in Lieu of Vehicle License Fee
o FYE Estimate 6.5% above budget, gain of $170,000
o Next year assumes 2% growth which increases annually in proportion with overall assessed valuation
o 2024-25 Estimated Revenue is $2,819,935
Sales Tax
Bradley Burns Sales Tax – General Fund
 FYE Estimate 7% below budget, $164,814 deficit
 Next year assumes 2% growth
 2024-25 Estimated Revenue $2,222,762
Measure B Add On – General Fund
 FYE Estimate 9% below budget, $250,099 deficit
 Next year assumes 1% growth
 2024-25 Estimated Revenue $2,586,793
Measure G Add On Public Safety (Restricted Use) – Fund 003  FYE Estimate 7% below budget, $134,566 deficit
 Next year assumes 2% growth
 2024-25 Estimated Revenue $1,716,466
Franchise Fees
 Franchise Agreements
Pacific Gas & Electric
Gas Company
Comcast Cable
Mid Valley Disposal
o FYE Estimate at budget, no gain or deficit
o Next year assumes 2% growth for PG&E & Gas, 0% growth for Cable and 4.2% growth for Mid Valley Disposal
o 2024-25 Estimated Revenue $1,314,139
Community Facilities District
 Established November 2005 applying to all new development  Property Tax Roll Assessments – Restricted Use
 Partial offset for Police, Fire and Parks Maintenance costs within CFD boundary
 4
rd largest revenue in General Fund after Property and Sales Taxes, and Franchise Fees
 CPI Increase of 3.67% for 2024-25 Tax Year
o No CPI Increases to rates 2018-2023 (5 years), 5.6% for 2023-24  FYE Estimates 4% below budget, deficit of $51,279
 Next year assumes 8% growth, mix of CPI adjustment and new development
 2024-25 Estimated Revenue $1,318,994
Debt Discussion
 No new debt is proposed
 All capital purchases planned with available fund balances  All existing Debt Service Obligations are Fully Funded o Section 22 / page 388
Capital Improvement Program
 Valuable tool for Council, Staff and Community
 Next year 54 projects, $6,288,534, page 25
 Criteria Used & Process to Identify Projects, page 204  Summary of CIP by Category, page 224
 Summary of CIP by Funding Source, page 234
o General Fund Capital, $1,189,794 uses Measure B Sales Tax Add On  Unfunded projects, page 278
o Important planning exercise, develops over time
o Grant opportunities and one-time resources
o Currently $79.8M over 5 year planning horizon

Staff Positions
 New Positions
o Electrician I (Fund 060 ISF Funded)
o Will provide available resources for critical repairs of complicated systems for water wells,
wastewater equipment, sewer lift stations, storm
drain pumps and traffic signals
Personnel & Benefits
MOU with the RPOA ends June 30, 2024
 5.0% COLA July 1, 2023
 2.0% Stipend January 2024
 TBD July 1, 2024
MOU with the GSU ends June 30, 2024
 4.0% COLA July 1, 2023
 TBD July 1, 2024
Unrepresented Employees
 3.0% COLA July 1, 2024 (Proposed)
Personnel & Benefits
Retiree Medical Benefit (Other Post Employment Benefits)  Established by Council Resolution
 Fully Funds estimated OPEB medical premiums, $333,683  Now included with Fund 068 Human Resources ISF
Continued Pre-Funding to the CalPERS California Employers’ Retiree Benefit Trust (CERBT)
 Pre-funding is 25% of budgeted premiums
 FY 2024-25 = $83,420 Contribution
 Represents 10th Year of Pre-Funding
 Plan is 7% Funded as of March 2024
 $734,907 in CERBT as of March 31, 2024 Account Summary Personnel & Benefits
Part-Time Hourly Increases
Inflation and labor force availability
Impacts Community Services Programs
Adjustments to part-time pay ranges
8% Medical Premium Increase Assumed
Plans will be put out to the marketplace late Summer
2024 and taken before the Council in the Fall
Last year, City faced with 11.28% and worked solutions to a 1.11% increase
Pension Contributions
 Next year Unfunded Accrued Liability (UAL) payment is $1,565,079 o 11.7% or $163,371 more than this year
o Part of CalPERS Employer Rate payroll operation
o Classic UAL will eventually be an M & O expenditure
 Additional Discretionary Payment
o Pension & Other Post-Employment Benefits Policy Adopted by Council Resolution
o 25% of UAL = $391,270
o Similar pre-funding strategy as Retiree medical
o ADP Payment is applied proportionately to all CalPERS plans based upon UAL amounts
o Expense is now part of the payroll process and included in the CalPERS employer rate methodology

Concerns
 Local Control, Jurisdictional Land Use Authority
 Staff recruitment and retention
o Law enforcement
o Specialized knowledge (i.e. water, wastewater, land use)  Persistent Inflation
o City dollars don’t go as far
 CalPERS investment losses
 Measure “C” Renewal
o Current Pavement Condition Index = 47-49
 Strategic Capital Planning
o Many City facilities were built decades ago and reaching capacity limits
City Budget Delivers…
 Maintains essential services to the community
 Meets all financial policies
 Continues to position the City to weather a downturn
 Addresses critical deferred maintenance items, emphasis on public health and safety
 Deploys all available funding to streets maintenance projects  Bolsters staffing in critical areas
 Council & Staff committed to accountability and transparency Next Steps…
May 14, 2024
 Budget Rollout
 Administration
 Administrative Services
 Community Development
 Community Services
May 28, 2024 6:00PM
 Public Works
 Engineering
 Fire
 Police
June 11, 2024 7:00PM
 Tentative: Budget
Adoption
Dinner @ 5:30pm May 28th
Administrative Services
Department
2024 -25 Budget Presentation
ASD Re s pons ibilit ie s
Utility Billing & Collections
Business License
Human Resources & Payroll
RDA Successor Agency
Master Fee Schedule
Finance Reporting &
Operations
Risk Management
Budget Management
Investment Management
Community Facilities District
Information Services
Contracts & Purchasing
Grant Oversight
Debt Management
Administrative
Services
Recognit ion
“Unmodified” Audit Report for the
Fiscal Year Ended June 30, 2023
National Distinguished Budget
Presentation Award GFOA
California Budget Excellence Award
CSMFO
Ob je c t ive n° 1
Finance, Accounting &
Budgeting
• Completed the annual review and update of fees in the Citywide Master Fee Schedule
• Submitted $72,476 in additional claims as provided for under State Law SB 90 • Managed the City’s investments in compliance with the City’s Investment Policy • Created 100+ video -based department procedures
• Finalized the City Purchasing Policy
Ris k Managment
• Citywide Safety Committee & Injury & Illness Prevention Program (IIPP) • Reviewed all incidents of workplace injuries and unsafe work practices • Reviewed City construction contracts for compliance with insurance & bond requirements •Administered liability and property claims against the City • Recovered damages from private parties – 2023 Calendar Year below Claim Status Number of
Claims Recovery Amount
Recovered 11 $ 167,809 (93.0%)
Sent to Collections 2 $ 625 (0.3%)
Pending Recovery 4 $ 12,000 (6.7%)
Human Resources, Payroll & Benefits
• Conducted 43 recruitments, hired 96 people
• Maintained deferred compensation matching plan for all eligible full -time employees • Faced an overall 11.28% increase in medical premiums for the 2024 plan year • Completed annual comprehensive review of personnel policies for legal compliance • Modified several collective bargaining agreements to reflect mid -contract benefit revisions • Closely managed outstanding workers’ compensation claims to a successful resolution, balancing the needs of injured employees with the fiscal considerations of the City • Completed annexation #21 for new property
• Set annual CFD rates for the 2024-25 tax year
• Published the annual Developer Impact Fee report as required by AB 1600 Community Facilities District & DIF
• Transitioned City from Outlook Exchange to Outlook Office 365 • Completed City Wide Installation and set up of File Center, a paperless office software • Continued to systematically replace end of life computer workstations and file servers • Completed construction of public safety communications tower behind C.F. Mueller Park • Working with PD to complete the upgrade and replacement of Citywide camera system network
Information Technology
ASD Performance Measures
2024-25 Budget Specifics
• All City Debt Obligations are Fully Funded
• Appropriations are in place for compliance with City’s Other Post -Employment Benefits (OPEB) Policy
• CalPERS Employer Rates now reflect normal contributions, UAL payment AND the ADP Payment as stated in the City’s OPEB Policy
• ISF Fund 065 Dental to be closed and migrated to ISF Fund 068 HR • No major operational changes or other budget requests 2024-25 ASD Appropriations
 Debt Service and Capital items are City Wide Benefits – ASD is identified for management purposes only  M & O includes Transfers Out of Citywide benefit – ASD is identified for management purposes only • Transfers out for 2024-25 reduce M & O total by $2,051,792 • Detail of Interfund Transfers can be found on page 381  M & O includes Fund 068 HR Internal Service Fund which is a Citywide benefit • Fund 068 M & O for 2024-25 is $1,233, 982 and includes expenditures for retiree medical premiums, annual CERBT contribution, City Wide payroll costs, City Wide employee benefit programs, etc.  ASD areas of responsibility for Finance, Account, Budget, Audits, Risk Management, Information Technology, Utility Services (Water, Sewer, & Solid Waste) have M & O appropriations of $851,886 2024-25 Goals
Maintain
• National and State level budget excellence awards
Continue
• Work on written & video-based procedures for all department functions • Cross-training staff in departmental functions
• Providing assistance with admin & reporting for operating and capital grants Complete
• Biennial actuarial valuation of the City’s Retiree Healthcare Plan • Annual review and update of the Citywide Policies & Procedures Manual • SB 553 Workplace Violence Prevention Training
Unmet Needs & Challenges
Document institutional knowledge,
policies, and procedures
Complexity of the public-sector
finance and human resources
environment
Ever increasing reporting
requirements
Limited staff workspace to meet the
needs of growing population

THANK YOU

CITY OF REEDLEY
Proposed
Fiscal Year 2024-25
Budget Presentation
Community Development Department
Prepared for the Reedley City Council
May 14, 2024
The Community Development Department is
charged with implementing the 2030 General Plan. It
is responsible for planning, housing, building safety
services, economic development, and helping to
make Reedley a destination, not just a stop.

Additionally, the Department is geared toward the
development of strong neighborhoods
complimented and supported by a full range of retail
and commercial amenities.

Lastly, the goal is to work with residents, business
owners, and the development community to achieve
the vision of the 2030 General Plan, compliance of
the municipal code, and compatibility of the built
environment.

Planning
 Planning Commission
 Long-Range Planning
 Project Entitlement Processing
 Environmental Review
 Economic Development Support
 3 full-time staff
Building
• Plan Check
• Permitting
• Building Inspection
• Sub-Standard Housing
• 2 full-time staff
1 – Staff Assistant; supporting both divisions
 Implemented the General Plan for years 2023 through 2024  Completed the annual Housing Element Progress Report
 Completed substantial progress of the update to the zoning code and subdivision ordinance  Completed significant progress on the 6th cycle of the Multi-Jurisdictional Housing Element Update (first in Fresno County!)
 Completed the environmental analysis and entitlement applications concerning a large, much-anticipated annexation that will produce retail and commercial opportunity
 Substantially completed progress on the creation of a GIS toolbox  Completed the mural project at the Reedley Museum building that includes wayfinding signage for public parking  Continued facilitation of commercial development of a recently annexed 58-acre tract of land along West Manning Avenue
 Substantially processed a 42-acre annexation resulting in needed future light industrial development on Huntsman Avenue
 Participated in “Coffee with the City” events coordinated by the Greater Reedley Chamber of Commerce  Stabilized staffing within the Department after the lingering effects of the pandemic that resulted in the Great Resignation
Continued with monthly Reedley Street Eats
events at Pioneer Park
 Implemented a twenty-four month
entitlement permit extension program
Quarterly “Coffee with the City”
presentations to the business community
Partnership with CVICC and Chamber of
Commerce
 Investigated building and housing complaints
 Worked with Code Enforcement to address significant code violations  Continued coordination with other departments on building code-related matters
 Completed inspections in a timely manner
 Processed planned reviews (average 3 business days earlier) Denny’s Guardian Village Starbucks KCUSD Student
Support Center
Century Communities Circle K
Dinuba/Buttonwillow
DMV Willow Grove

Revenue
$2,015,500
Expenses Revenue
$1,171,281 $2,015,500
Provide continued level of
support for the Arts in Public
Places Program
Continue implementation
and improvement of permit
software program that will
expedite review of
residential solar energy
systems
Begin the update to the
2030 Reedley General
Plan Update
Update the Official
Zoning Map and the
General Plan Planned
Land Use Map

Community Services
Department
PROPOSED 2024-25 BUDGET
CSD staffing
levels;
11 full time
6 part time
130 seasonal
100 Volunteers
Department Overview
The Community Services Department encompasses a variety of divisions and responsibilities with the primary goal of serving the entire community from children to seniors.

Community Services
Commission
Department Divisions
Community
Services
Airport
Commission
Airport
Facilities
Building
Maintenance
Park Planning
Special Events
Facility and Park
Rentals
Administration Recreation
Adult Sports
Expanded
Learning
Programs
Aquatics
Enrichments
Preschool
Seniors
Youth Sports
Department Performance Measures
Performance
Measures
Actual
2022
Actual
2023
Target
2024
Increase the number of Social Media
Followers by 5%
6042 6,959 7,307
Increase the number of Recreation
Program Participation by 5%
7592 14,231 14,943
Increase the Park and Facility
Rentals by 5%
534 400 420
01 Camacho Park
Rehabilitation Grant
02 Community Pickleball
Program
03 New Cheer Program
Recreation and Senior Division
Accomplishments
04 $10,000 Grant for Senior
05 $18,000 Grant for Pickleball staff
Recreation and Senior Divisions
 Partnership with Little League
 Increase in participation for Tiny Tot Sport
Programs
 Field Trip opportunities for Seniors
 Program change from Preschool to Early
Enrichment Program
01 4 HVAC units replaced
02 Community Center Floor
Project
03 PD Ballistic Windows
Project
Maintenance Division Accomplishments
04 Maintenance Shop
Improvements 05
Refurbished Opera House
Chairs and Front Doors
Building Maintenance
Capital Project Requests for 2024-25
 Remodel four restrooms at Community
Center
 Complete LED lighting and ceiling tile
replacement in the Police Department
 Remodel snack bar at Camacho Park for
compliance
 Roof evaluations for Community Center, Fire
Station and Opera House
 Replace grease trap at Opera House
 Small rehab project at the Police
Department jail
ELP School Year
High School Interns
ELP Summer Programs
Student Support Services
Expanded Learning Program (ELP)
FY 2024-25
$2,507,676
Reedley Municipal Airport
FY24
FY25
Design work for Above Ground Fuel Tanks $110,000
The environment work is complete. Scope of work is under review by FAA.

Airport Layout Plan (ALP) Update $375,000
Construction-Above Ground Fuel Tanks $500,000
ALP is outdated and must stay current
to request grants from the FAA.
2024-25 Proposed Operating
Budget
Expenditures $377,866
Revenue $321,067
General Fund
Expenditures Expanded Learning
$2,507,676
CSD Administration
$339,494
Aquatics
$151,592
Seasonal Parks
$20,563
Senior Citizens
$134,211
Maintenance
$962,464
Youth Sports
$97,809
Enrichments
$143,440
Early Enrichments
$39,867
Adult Sports
$38,282
Opera House
$64,128
General Fund
Revenues
Expanded Learning Contracts
$2,449,326
Program Fees
$220,890
Rentals
$20,000
Opera House
$12,600
Thank you!