Staff Report - (Budget and Audit Committee) Adoption of the Fiscal Year (FY) 2023/24 Operating Budget and 2023-2028 Capital Improvement Plan Year (FY) 2023/24 Proposed Budget

City of Sacramento
Budget and Audit Committee Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00321 5/30/2023 Discussion Item 3.
(Budget and Audit Committee) Adoption of the Fiscal Year (FY) 2023/24 Operating Budget and 2023-2028 Capital Improvement Plan
File ID: 2023-00321
Location: Citywide
Recommendation: Pass a Motion forwarding the FY2023/24 Operating Budget and the 2023-2028 Capital Improvement Plan to Council for consideration.

Contact: Howard Chan, City Manager, (916) 808-7488, [email protected], Office of the City Manager; Leyne Milstein, Assistant City Manager/Interim Finance Director, (916) 996-4065, [email protected], Office of the City Manager; Mirthala Santizo, Budget Manager, (916) 808-5078, [email protected], Department of Finance Presenter: Howard Chan, City Manager, (916) 808-7488, [email protected], Office of the City Manager; Leyne Milstein, Assistant City Manager/Interim Finance Director, (916) 996-4065, [email protected], Office of the City Manager; Mirthala Santizo, Budget Manager, (916) 808-5078, [email protected], Department of Finance Attachments:
1-Description/Analysis
2-Resolution
3-Exhibit A - Budget Changes
4-Exhibit B - Position Changes
5-Exhibit C - FY2023/24 Approved Budget
6-Exhibit D - 2023-2028 Approved CIP
Description/Analysis
Issue Detail: The City Charter, Article IX Section II, requires the City Manager to deliver budget

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File ID: 2023-00321 5/30/2023 Discussion Item 3.
recommendations no later than 60 days prior to the start of the new fiscal year. The City Manager’s FY2023/24 Proposed Budget (Budget) was released on May 1, 2023, and is available at <http://www.cityofsacramento.org/finance/budget>
.

The Budget was presented to the Budget and Audit Committee on May 9, 2023, and Council on May 9 and May 16, 2023. The 2023-2028 Capital Improvement Plan was presented to the Council in the afternoon of May 16, 2023. The public provided comments to the Council at each of the public hearings.

Budget Adjustment Recommendations: On May 16, 2023, the Police Department presented the department’s FY2023/24 proposed budget, which included additional organizational changes to maximize staffing in field operations and the extension of contract authority to extend and increase ten grant agreements. Due to the timing of the budget release, these proposed changes are being recommended to be included in the adoption of the Budget.

As identified in the General Fund/Measure U Five-Year Forecast included in the Budget, there is a $1.1 million shortfall in homeless services programming in the budget year that is proposed to be addressed with Measure U funds as part of the FY2023/24 Approved Budget. While this funding need was already addressed in the forecast, this report includes the budgetary authority necessary to provide the funding in the budget year.

In addition, there are five position changes proposed to be included in the Budget: the addition of a Program Specialist for the Office of Climate Action funded from Measure U, an Administrative Analyst for the initiation of the Language Access Program to be funded from the Language Access Program Multi-Year Operating Project (MYOP) (I02000410), two Park Safety Rangers to be funded from the Park Safety MYOP (I19160000) and a cost neutral position add/delete in the City Treasurer’s Office.

Both MYOPs are established in the FY2022/23 companion report (File No. 2023-00705). Finally, there are several other minor changes due to timing and/or technical adjustments included with the adjustments outlined above that are summarized in the following chart (see Exhibit A for the details).

Fund Proposed Changes FTE
Revenue/
Offset Change
Expenditure
Change
General Fund Delete one position (1.0 FTE Police Officer) and corresponding offset in the Auto Theft Division of
the Police Department because the position is no
longer needed for program purposes.
(1.00) (146,729) (146,729)
General Fund Delete one position (1.0 FTE Police Officer) and corresponding offset in Central Command of the
Police Department because associated grant
funding has ended.
(1.00) (198,597) (198,597)
General Fund Delete six positions (6.0 FTE Police Officer) and corresponding revenue budget because the two
hospital contracts ended.
(6.00) (1,187,600) (1,058,427)
General Fund Delete four positions (4.0 FTE Police Officer) less the allocation of $300,000 for overtime to support
the Police Department's reorganization in creating
a new patrol district.
(4.00) (515,431) (515,431)
General Fund Delete five positions (5.0 FTE Police Officer) and $23,763 in service & supplies budget and add
three positions (1.0 FTE Police Lieutenant and 2.0
FTE Police Sergeant) and a vehicle (sedan) to
support the Police Department's reorganization in
creating a new patrol district.
(2.00) - - General Fund Delete seven positions (7.0 FTE Community
Service Officer I) and add thirty-six positions (0.50
FTE Student Trainee) to create additional entry-
level positions for college students.

11.00 - (9,780) General
Fund/Measure U
Due to timing, various labor adjustments (i.e.

Compensation and Commission board approvals,
labor system technical offset adjustments).
- - 42,466
General
Fund/Measure U Various revenue/expense offset adjustments - 15,145 - General Fund Delete a Treasury Analyst (1.00 FTE) and add a Sr. Debt Analyst (1.0 FTE) to Debt team in the
City Treasurer's Office.
- - - Measure U One-time funding to support continued
Homelessness programming in FY2023/24
(through Homeless Housing Initiatives MYOP).
- -
1,088,066
General/Measure U Funds Total (3.00) (2,033,212) (798,432) Community Center Various labor offset adjustments. - - 3,073 Delta Shores Increase revenues and expenditures budget. - 500,000 500,000 Storm Drainage Various labor offset adjustments. - - (2,803) Water Various labor offset adjustments. - - 13,491 Other Funds - 500,000 513,761 Total Change (3.00) (1,533,212) (284,671)

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File ID: 2023-00321 5/30/2023 Discussion Item 3.

Fund Proposed Changes FTE
Revenue/
Offset Change
Expenditure
Change
General Fund Delete one position (1.0 FTE Police Officer) and corresponding offset in the Auto Theft Division of
the Police Department because the position is no
longer needed for program purposes.
(1.00) (146,729) (146,729)
General Fund Delete one position (1.0 FTE Police Officer) and corresponding offset in Central Command of the
Police Department because associated grant
funding has ended.
(1.00) (198,597) (198,597)
General Fund Delete six positions (6.0 FTE Police Officer) and corresponding revenue budget because the two
hospital contracts ended.
(6.00) (1,187,600) (1,058,427)
General Fund Delete four positions (4.0 FTE Police Officer) less the allocation of $300,000 for overtime to support
the Police Department's reorganization in creating
a new patrol district.
(4.00) (515,431) (515,431)
General Fund Delete five positions (5.0 FTE Police Officer) and $23,763 in service & supplies budget and add
three positions (1.0 FTE Police Lieutenant and 2.0
FTE Police Sergeant) and a vehicle (sedan) to
support the Police Department's reorganization in
creating a new patrol district.
(2.00) - -
General Fund Delete seven positions (7.0 FTE Community
Service Officer I) and add thirty-six positions (0.50
FTE Student Trainee) to create additional entry-
level positions for college students.

11.00 - (9,780)
General
Fund/Measure U
Due to timing, various labor adjustments (i.e.

Compensation and Commission board approvals,
labor system technical offset adjustments).
- - 42,466
General
Fund/Measure U Various revenue/expense offset adjustments - 15,145 - General Fund Delete a Treasury Analyst (1.00 FTE) and add a Sr. Debt Analyst (1.0 FTE) to Debt team in the
City Treasurer's Office.
- - -
Measure U One-time funding to support continued
Homelessness programming in FY2023/24
(through Homeless Housing Initiatives MYOP).
- -
1,088,066
General/Measure U Funds Total (3.00) (2,033,212) (798,432) Community Center Various labor offset adjustments. - - 3,073 Delta Shores Increase revenues and expenditures budget. - 500,000 500,000 Storm Drainage Various labor offset adjustments. - - (2,803) Water Various labor offset adjustments. - - 13,491 Other Funds - 500,000 513,761 Total Change (3.00) (1,533,212) (284,671)

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File ID: 2023-00321 5/30/2023 Discussion Item 3.

11.00 - (9,780) General
Fund/Measure U
Due to timing, various labor adjustments (i.e.

Meeting Date Fund Proposed Changes FTE
Expenditure
Change
5/9/23 (CC) Measure U Add Program Specialist to the Office of Climate Action & Sustainability to support with the
management and implementation of citywide
climate-related initiatives.

1.00 158,311
5/9/23 (CC) General $250,000 for Language Access Program multi- year operating project (MYOP) from FY2022/23
Year-end funds. Add an Administrative Analyst to
be funded by MYOP in FY2023/24.

1.00 -
5/16/23 (CC) Measure U $1 million for Office of Violence Prevention MYOP from FY2022/23 Year-end funds.
- -
5/16/23 (CC) Measure U Reallocation of capital and multi-year operating project funds for Southside Park Pool renovations.
- -
5/16/23 (CC) Measure U $431,529 for Park Safety MYOP from FY2022/23 Year-end funds. Add two Park Safety Rangers
with equipment and vehicles to be funded by
MYOP in FY2023/24.

2.00 -
Total Change 4.00 158,311
Position and MYOP Moves: The following position and MYOP moves will be included in the FY2023/24 Approved Budget (see Exhibit B for staffing details). • Six positions (Special Projects Manager, Program Specialist, three Administrative Analyst and Administrative Technician) in the Office of Youth Development moved from the City Manager’s Office to Youth, Parks and Community Enrichment Department (YPCE). • Two positions (Projects Manager and Administrative Analyst) in the Office of Climate Action Initiatives moved from the City Manager’s Office to the Public Works Department. • One position (Program Specialist) in the Budget Division will move from the Finance Department to the Information Technology Department.

In addition to the position moves, the following Office of Youth Development MYOPs will move to YPCE (see Exhibit A for MYOP details).

Old Project # Project Name New Project #
G02001800 #SYW_BSCC Prop. 64-2 G19080600
G02001810 NLCI's Youth Excel Initiative G19080700
I02001800 Youth Pop Up Events I19143100
I02001830 Children & Youth Services Program I19143200
I02180910 FY22 M/C Econ Dev Priorities I19143300Page 4 of 9 File ID: 2023-00321 5/30/2023 Discussion Item 3.

Old Project # Project Name New Project #
G02001800 #SYW_BSCC Prop. 64-2 G19080600
G02001810 NLCI's Youth Excel Initiative G19080700
I02001800 Youth Pop Up Events I19143100
I02001830 Children & Youth Services Program I19143200
I02180910 FY22 M/C Econ Dev Priorities I19143300
Public Works has created a MYOP (I15240100 Climate Action Initiatives) for the transfer of the Office of Climate Action Initiatives MYOP (I02002300 - Climate Action Initiatives).

Resolution Additions and Changes: Additional authority is required to allow the City Manager to conduct necessary budgetary changes to implement the FY2023/24 Approved Budget. The following outlines the additions and changes, and the authority recommended to be included in the FY2023/24 Budget Resolution (Attachment 2).

Expenditure and Revenue Authority: The City’s Manager’s Office and Utilities Department require additional authority to adjust and/or transfer funds to ensure that projects are able to be conducted in a timely manner. The following sections are recommended to be added.

Section 17.5 (F) : Transfer expenditure budgets between I06420000 and the Youth Cannabis Outreach & Education program (I06420500) MYOP to support cannabis youth education and prevention workload in the Office of Youth Development.

Section 10.14 (C)
: For projects in funds 6205, 6206, and 6211 that result from an existing Operations and Maintenance Agreement for facilities maintained by the City but are owned or co-owned with Regional San and Sacramento Area Flood Control Agency, the City Manager or designee is authorized to do the following:
(1) Establish and/or adjust revenue and expenditure budgets of up to $250,000 for any emergency repair or replacement projects; and
(2) Adjust revenue and expense budget based on actuals for project closure.

Resolution Update: Section 10.8 is out of date. The projects associated with the listed resolutions have been closed. The following section is recommended to be amended as shown below.

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or the securing of alternative funding sources may be administratively reprogrammed into other projects within the same Council District at the request of the Council District Office and with the approval of the City Manager.
(B) Savings above $50,000 may be reprogrammed upon approval by resolution of the Council.

Police Department Contract Extensions: As presented during the May 16, 2023, budget hearing the Police Department requests authority to extend and increase the not-to-exceed amounts of four grant agreements, for an aggregate total of $200,000 from Office of Violence Prevention Measure U funding and six grant agreements, for an aggregate total of $249,999 from Gang Prevention and Intervention Measure U funding. Funding associated with the contract extensions and increases are included in the Police Department’s FY2023/24 budget.

The contracts will be extended until September 30, 2023 as specified in the table below and the language that follows:

Contract Authorized Increase Total
2022-0907: Brother 2 Brother Mentoring, Inc 249,999 62,500 312,499 2022-0908: Helping Our People Eat (HOPE) 249,999 62,500 312,499 2022-0939: Self Awareness and Recovery 100,000 25,000 125,000 2022-0945: Voices of the Youth, Inc. 200,000 50,000 250,000 Subtotal $799,998 $200,000 $999,998
2021-0981-1: Brother 2 Brother Mentoring, Inc. 499,980 62,500 562,480 2021-0985-1: Impact Sac 499,998 62,500 562,498
2021-0973-1: Neighborhood Wellness Foundation 499,980 62,500 562,480 2021-0974-1: Rose Family Creative Empowerment Center 166,666 20,833 187,499 2021-0971-1: Academics 4 Athletes (A4A) 166,660 20,833 187,493 2021-0986-1: Helping Our People Eat (HOPE) 166,666 20,833 187,499 Subtotal $1,999,950 $249,999 $2,249,949
Total $2,799,948 $449,999 $3,249,947
The following section is recommended to be added.

Section 17.9: The City Manager is authorized to amend following ten Police department contracts to extend them until September 30, 2023, and increase the funding as follows: Brother 2 Brother Mentoring, Inc (2022-0907) - $62,500; Helping Our People Eat (HOPE) (2022-0908) - $62,500; Self Awareness and Recovery (2022-0939) - $25,000; Voices of the Youth, Inc. (2022-0945) - $50,000; Brother 2 Brother Mentoring, Inc. (2021-0981-1) - $62,500; Impact Sac (2021-0985-1) - $62,500; Neighborhood Wellness Foundation (2021-0973-1) - $62,500; Rose Family Creative Empowerment Center (2021-0974-1) - $20,833; Academics 4 Athletes (2021-0971-1) $20,833; and

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Center (2021-0974-1) - $20,833; Academics 4 Athletes (2021-0971-1) $20,833; and HOPE (2021-0986-1) - $20,833.

Companion Report Addition: The companion report (File No. 2023-00705) proposes that any unspent appropriations in the Youth Sports Field Permit Program MYOP (I19143000) on June 30, 2023, must be transferred to the Measure U Park Improvements (L19706000), which will be used to address the backlog of deferred maintenance for sports fields. The proposed FY2022/23 year-end transfer is recommended to be conducted each fiscal year; therefore, the following section is requested to be added.

Section 18.18
: Each fiscal year, any unspent appropriations in the Youth Sports Field Permit Program MYOP (I19143000) on June 30 must be transferred to the Measure U Park Improvements (L19706000), to be used to address the backlog of deferred maintenance for sports fields.

Financial Policies Changes: On May 2, 2023, Council approved the revisions of the Debt Management Policy and the Debt Management Policy: Supplemental Policy on Disclosure. On May 16, 2023, the Council approved the revision of the Emergency Medical Services (EMS) Revenue Recovery and Fee Waiver Policy. The revised policies will be included in the FY2023/24 Approved Budget.

Budget Hearings: Council is scheduled to adopt the FY2023/24 Budget on June 13, 2023.

Policy Considerations: The Budget includes direction received from Mayor and Council during budget hearings and maintains prior direction expressed by Council prioritizing the delivery of quality core services while investing in inclusive economic development and providing critical support to the most vulnerable members of our community. The Budget includes continued resources for Council priorities related to inclusive economic development, youth, public safety, homelessness, and essential core services. However, the City, as a matter of policy, must remain focused on efforts to right-size the organization to achieve budget sustainability (ongoing expenditures below ongoing revenues) in the short-term.

Economic Impacts: Not applicable.

Environmental Considerations:

California Environmental Quality Act (CEQA): This report concerns administrative activities and government fiscal activities that do not constitute a “project” as defined by CEQA Guidelines section 15378 and California Public Resources Code section 21080 and are not subject to the provisions of CEQA (CEQA Guidelines, §15060(c)(3)). CEQA review for any project, which utilizes funds allocated in this report, has been or will be performed in

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conjunction with planning, design, and approval of each specific project as appropriate.

Sustainability: Not applicable.

Commission/Committee Action: Sacramento City Code Section 17.912.010 requires the Planning and Design Commission to review the City’s five-year CIP for consistency with the City’s General Plan and to report its findings to the Council. The Commission met on May 25, 2023, and determined that the 2023-2028 CIP is consistent with the City’s General Plan.

On May 9, 2023, the Budget and Audit Committee received an overview of the Budget and forwarded the Budget to the full Council for consideration.

Rationale for Recommendation: The Budget is balanced and reflects Mayor and Council direction as well as adopted Council policies, goals, and planning/programming guides. There are sufficient resources to support the activities presented in the Budget.

Financial Considerations: The following forecast reflects the Budget as submitted with the adjustments listed in the Budget Change Recommendation sections and in the companion report (File No. 2023-00705).
5-Year Forecast
General (G) and Measure U (MU) Funds ($ in 000s)
FY2023/24
Projection
FY2024/25
Projection
FY2025/26
Projection
FY2026/27
Projection
FY2027/28
Projection
BEGINNING AVAILABLE FUND BALANCE 731 806 - - -
Revenues
Revenues 769,525 782,607 805,391 826,552 847,630
Other Sources 4,745 3,689 3,404 3,429 2,900
Total Revenues/Resources774,271 786,296 808,795 829,981 850,530 Expenditures
Department Operating, Debt, and MYOPs 746,151 776,180 803,599 826,376 852,078 Capital Projects 14,167 14,635 14,444 14,469 13,941
EUR Contribution 3,846 3,998 4,134 4,248 4,374
Total Expenditures/Uses764,164 794,813 822,177 845,094 870,392 Surplus/(Deficit)10,107 (8,517) (13,382) (15,113) (19,862) Other Sources/(Uses)
Reserve for Future Budget Development (FY2020/21) - 10,000 - - - Reserve for Future Budget Development (FY2021/22) - 20,500 - - - Impact Fee Waiver Program - (3,000) (3,000) (3,000) (3,000) Climate Action FTE (158) (159) (162) (165) (168)
Park Ranger FTE - (226) (230) (234) (238)
Language Access MYOP - (132) (134) (137) (140)
Office of Violence Prevention - (1,000) (1,000) (1,000) (1,000) Total Other Sources/(Uses)(158) 25,984 (4,526) (4,536) (4,546) Voter-Approved Spending
Measure L (8,787) (8,787) (8,787) (8,787) (8,787)
Total Voter-Approved Spending(8,787) (8,787) (8,787) (8,787) (8,787) Surplus/(Deficit) with Other Sources1,162 8,680 (26,695) (28,436) (33,195) Homeless Services
Schedule 9 MYOP Funding 11,368 11,414 11,460 11,507 11,555 Homeless Services Resources (HHAP) 19,833 - - - -
Whole Person Care Savings 7,162 - - - -
Current Year Savings/ARPA Scrub 2,922 - - - -
Homeless Services Programming (42,373) (47,337) (47,451) (48,637) (49,853) Total Homeless Services(1,088) (35,923) (35,991) (37,130) (38,298) Surplus/(Deficit) with Homeless Services74 (27,242) (62,685) (65,565) (71,493) ENDING AVAILABLE FUND BALANCE WITH HOMELESS SERVICES806 (26,437) (62,685) (65,565) (71,493)

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Local Business Enterprise (LBE): Not applicable.

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RESOLUTION NO 2023-XXXX
Adopt
ed by the Sacramento City Council
June XX
, 2023
Appr
oving the Fiscal Year 2023/24 Operating and
Capital Improvement Program Budgets

BACKGRO
UND
A. Article IX, section 111, of the City Charter requires the City Manager to present a balanced budget to the Mayor and City Council no less than 60 days before the beginning of each fiscal year.

B. The City of Sacramento, through the leadership and direction of the Mayor and City Council, has maintained a sustainable budget philosophy. Given this concept of fiscal sustainability, the City Council adopted the following core budget policies and budget guidelines on February 14, 2017 (Resolution No. 2017-0078):

Core Budget Policies

1. City Council must adopt a balanced budget.

2. Funding decisions should be consistent with Council-adopted policies.

3. The Economic Uncertainty Reserve shall be maintained at a minimum of 10% of budgeted General Fund revenues. Resources must be added to maintain this level through the budget and midyear processes, as necessary.

Budget Guidelines

1. Maintain a fiscally sustainable, balanced budget.

2. The Mayor and Council’s priorities, based on community input, should drive the budget creation.

3. Continue a community-based budget process where city residents are engaged and educated on budget processes and provide feedback on budget priorities.

4. Look for ways to grow the reserve beyond its current goal.

5. All budget actions must be considered in a five-year context, with new revenues not counted or spent until realized. One-time resources should be used for one- time needs, not ongoing expenses.

6. Do not make spending decisions in isolation. Avoid spending money on one-off projects or without looking at the big picture. Understand long-term consequences and opportunity costs.

7. Keep City Council informed on the fiscal condition of the City and conduct continuous evaluations for efficiencies and effectiveness.

8. The City must consistently look for opportunities to proactively grow revenues instead of simply being reactive.

9. Make every effort to identify private financing or federal and state grant opportunities before using City resources. Pursue new and enhance existing revenue sources.

10. Before new expenditures are made, identify return on investments and impacts, fiscal and social benefits.

11. Address unfunded long-term liabilities.

12. Remain a full-service City.

C. On June 11, 2019, the City’s Economic Uncertainty Reserve (EUR) Policy was amended to include Measure U resources in determining the amount to be set aside in reserves (Resolution No. 2019-0248) as directed by the City Council on February 5, 2019 (Resolution No. 2019-0047).

D. The FY2022/23 Proposed Budget (which includes the Operating Budget and the Capital Improvement Program [CIP] Budget) are consistent wit h City Charter requirements and the City Council’s adopted Core Budget Policies and Budget Guidelines.

E. The Mayor and Council conducted budget discussions during May and June 2022 to discuss and consider the City’s FY2022/23 Budget.

BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:

Section 1. Preliminary Matters.

1.1. The Budget changes attached as Exhibit A and the Summary of FTE attached as Exhibit B are hereby approved.

1.2. The FY2023/24 Operating and CIP Budgets (collectively the Approved Budget), as defined in section 3. 2 below, and attached as Exhibit C and D are hereby approved.

1.3. The 2023-2028 CIP, which provides a comprehensive five-year plan for the City’s capital project expenditures and attached as Exhibit D , is h ereby approved.

1.4. Sections 2 through 20 below, which define the authority and responsibilities of the City Manager in implementing the Approved Budget, are hereby approved.

1.5. The City Manager is authorized to incorporate final decisions of the Council, and to refine and add content, as may be needed to meet Government Finance Officers Association and California Society of Municipal Finance Officers budgeting-award requirements into the Proposed Operating and CIP Budgets to create the FY2023/24 Approved Budget.

1.6. The attached Exhibits A through D are part of this resolution.

1.7. The City’s Debt service must be limited to 6% of total General and Measure U (G/MU) Fund revenues, excluding Department revenues.

1.8. The City Treasurer shall conduct a financial stress test on the combined G/MU Funds before the issuance of any bonds.

1.9. Available resources in the Innovation and Growth Fund (Fund 2031) shall be transferred to the General Fund as needed to offset projected deficits shown in the G/MU Fund five-year forecast included in the Approved Budget. (A) Expand the usage of the Innovation and Growth Funds consistent with either ScaleUp Sacramento: An Inclusive Economic Action Agenda (Motion No. 2021-0022) or sections one through five of the Inclusive Economic Development Investment Funding Guidelines (Motion No. 2019-0307).

Section 2. Scope.

This resolution defines the authority and responsibilities of the City Manager in implementing the Approved Budget and supersedes Resolution No. 2022-0198.

Section 3. Definitions.

3.1. “Account” is the primary accounting field in the budget used to describe the nature of the financial transaction (overtime, professional services, debt, etc.).

3.2. “Approved Budget” means the Approved Operating Budget (Operating Budget) and the Approved Capital Budget (CIP Budget), which are attached as Exhibits C and D and reflects the FY2022/23 Proposed Operating and CIP Budgets, as amended by the Council to incorporate the approved Budget Changes attached as Exhibit A, and a summary of position changes as displayed in Exhibit B.

3.3. “City Manager” means the City Manager or, if so designated, the Director of Finance.

3.4. “Department” means Mayor and City Council; City Manager; City Attorney; City Auditor; City Clerk; City Treasurer; Community Development; Community Response; Convention and Cultural Services; Finance; Fire; Human Resources; Information Technology; Police; Public Works; Utilities; Youth, Parks, and Community Enrichment; and Citywide and Community Support.

3.5. “Full Time Equivalent” and “FTE” mean the decimal equivalent of a position, e.g., one full -time position is 1.00 FTE and one quarter -time position is 0.25 FTE.

Section 4. Approved Budget Appropriations, FTEs, and Adjustments.

4.1. The City Manager is authorized to make any expenditure and resource adjustments to the Operating Budget based on final Council action to adopt the Operating Budget.

4.2. The City Manager is authorized to establish the appropriations and FTE as shown in Schedules 1A, 1B, 1C, 1D, and 1E and the fund summaries, including transfers, as shown in Schedules 2A, 2B, and 2C, as displayed in Exhibit C.

4.3. The City Manager is authorized to modify FTE classifications by Department as necessary to implement the reclassifications and studies authorized by Schedule 8, as displayed in Exhibit C.

4.4. The City Manager is authorized to revise any appropriation made in the Approved or Amended Budget where the revision is of a technical nature and is consistent with the Council’s intent.

4.5. The City Manager may authorize the use of the Old Sacramento Public Market Fund (Fund 2601) for the development, repair, and maintenance of the north and south public markets.

4.6. The City Manager is authorized to make annual loan payments to the Risk Fund from the Community Center Fund subject to the availability of funds. As of June 30, 2022, the balance of the Risk Fund loan to the Community Center Fund totaled approximately $5.0 million.

4.7. Following budget adoption, the City Manager is authorized to do the following:
(A) Transfer appropriations from the operating budget and establish or adjust revenue and expenditure budgets for externally funded programs (EFPs), multi-year operating projects (MYOPs), and operating grants as shown in Schedule 9 displayed in Exhibit C.
(B) Adjust any appropriation made in the Approved Budget to reflect changes from amounts budgeted for updated labor (for example, changes in retirement rates, payroll taxes, health benefits), fleet (including accident recovery costs), utilities in Citywide Support , 311 Call Center (reimbursements based on call data), cost plan, and risk -management changes, from available fund balance or reserves for the respective funds. (C) Adjust budgets to reflect all required debt service and related payments, including adjustments to rate stabilization reserves, pursuant to City debt agreements.
(D) Revise and establish indirect cost rates to be applied to hourly salary rates in order to achieve full cost recovery of services; and adjust the Operating Budget to reflect the indirect cost rate plan for FY2023/24.

Section 5. Economic Uncertainty Reserve Policies and Transfers from Contingency and Reserve Funds.

5.1. The Council-adopted EUR Policy as amended on February 5, 2019 (Resolution No. 2019-0248) establishes a minimum reserve level equal to 10% of annual G/MU Fund revenues and a target reserve level equal to two months of regular ongoing General Fund expenditures, including transfers (17% of G/MU Fund expenditures). Resources to fund this reserve will be identified on an ongoing basis and can include positive year -end results or other one-time resources available to the G/MU Fund.

5.2. The G/MU Fund EUR is maintained to bridge the gap between projected revenue and expenditures during periods of significant revenue declines, expenditure growth, or both. Consistent with Governmental Acc ounting Standards Board Statement No. 54 (Fund Balance Reporting and Governmental Fund Type Definitions), the Council-adopted parameters for using the EUR are as follows:
(A) The City Manager may recommend a release from the EUR when the gap between projected revenue and expenditures is greater than $1 million in the proposed budget.
(B) Any release from the EUR requires the Council’s approval. (C) These parameters may only be changed by resolution of the Council.

5.3. The City Manager is authorized to make appr opriation changes (increases or decreases) less than $250,000 by fund from available fund balance.

Appropriation changes, whether increases or decreases, including $250,000 or more require Council approval, except for payments to employees for vacation and sick leave payouts. Payments to employees for vacation and sick leave payout may be approved by the City Manager.

5.4. The City Manager is authorized to make appropriation changes (increases or decreases) less than $250,000 to any Department or project from Administrative Contingency established in the General Fund. Appropriation changes (increases and decreases) more than and including $250,000 to the Department or project require Council approval.

5.5. Transfers must not be made from an available fund balance or A dministrative Contingency if the transfer will result in a negative balance.

5.6. The City Manager is authorized to release the General Fund (Fund 1001) and Measure U (2401) commitments of fund balance (up to $30.5 million) for future budget development as needed to submit a balanced budget.

5.7. Use of committed fund balance reserves, except as authorized in section 5.6, requires the Council’s approval by resolution.

Section 6. Appropriation Increases and Decreases.

6.1. All appropriation changes (increases or decreases) $250,000 or more to the Approved Budget require Council approval by resolution.

6.2. The City Manager is authorized, upon completion of the audited financial statements for FY2022/23, to adjust FY2023/24 fund c ontingencies by the amount of net changes in available fund balance. The available fund balance in the G/MU Fund must be included and explained in the report to the Council accompanying the Annual Comprehensive Financial Report (ACFR).

6.3. Residual balances from unexpended debt proceeds will revert to the appropriate fund and used for the lawful purposes as specified in the conditions of the debt issuance. The City Manager is authorized to establish appropriations and account for the expenditure of these unexpended proceeds.

Section 7. Appropriation Transfers.

7.1. Operating appropriation transfers within the same Department and the same fund, including the Department’s established fleet MYOP, require the City Manager’s approval.

7.2. Appropriation transfers between two or more Departments, less than $250,000, must be approved by the City Manager. Such transfers more than and including $250,000 requires Council approval by resolution.

Section 8. Staffing Changes.

8.1. Any increase or decrease in FTE by department or by fund as authorized in the Operating Budget, by subsequent approval of the Council, or by the City Manager in accordance with this resolution, is subject to approval by the Council except for renewals or expansion of fully offset grants or EFPs as specified in section 8.2.

8.2. The City Manager is authorized to adjust staffing levels for renewals, expansions, or reductions to fully offset Council -approved operating grants or EFPs. Grant/EFP positions must be terminated upon completion or cancellation of the grant/EFP unless specifically continued by a Council resolution that includes a source of replacement funding. Any existing positions approved on the assumption that the City would receive a grant or other reimbursements must have continued funding verified before filling the position.

8.3. Any reassignment of authorized FTE and employee-services funding associated with the FTE, within a Department and within the same fund, may be made at the discretion of the Department director with the approval of the City Manager as long as there is no net change to authorized FTE and funding levels.

8.4. The City Manager is authorized to modify any authorized FTE classification as necessary to reflect current incumbent status based on the established flexibly staffed classifications included in Council-approved labor contracts.

8.5. All new job classifications or classification changes (as identified in Exhibit C, Schedule 8) are subject to classification review and approval by the Director of Human Resources.

8.6. The City Manager is authorized to adjust staffing levels in the Police and Fire Training Academies based on projected vacancies.

8.7. The Director of Human Resources is authorized to establish non-budgeted positions (NBPs) for the following:
(A) Mayor and Council Offices, to be funded from their existing operations budgets.
(B) Departments as needed to reflect current staffing needs. Departments must have sufficient labor savings to cover the cost of NBPs, and none of the NBPs may be used for more than one year. Departments will seek budget authority to convert NBPs to authorized FTE positions or the NBPs will be eliminated during the budget process.

Section 9. Revenue Budget.

9.1. The FY2022/24 revenue budget is summarized in Exhibit C, Schedule 6.

9.2. Any increase or decrease greater than (and including) $250,000 by fund in estimated revenue by Department to the Approved Budget requires the Council’s approval.

9.3. The City Manager is authorized to implement biennial Consumer Price Index increases if the increases are warranted based on the adopted F ees and Charges Policy.

9.4. Proceeds from the sale of General Fund and Redevelopment Agency Successor Agency surplus land, unless otherwise specified, will be budgeted in the Innovation and Growth Fund (Fund 2031).

9.5. Unbudgeted one-time general revenue received in a fiscal year, which is not required to balance the budget as part of the midyear review or fiscal year -end close, will be added to the G/MU Fund EUR.

Section 10. Capital Improvements.

10.1. Capital projects and/or appropriations will be used for the following:
(A) Repairs, maintenance, improvements, or acquisitions with a total cost of at least $20,000 and a useful life that exceeds one fiscal year; and (B) Community/Neighborhood projects as approved in separate resolutions by the Council.

10.2. Council approv al is required for the establishment or cancellation (without completion) of a CIP, except as provided below:
(A) The City Manager is authorized to approve and establish one or more capital projects for internal City operations related to improvements and minor construction of existing City-owned or occupied buildings if the total cost to deliver each project is less than $250,000. Projects will be managed in the City Facility Improvement (C15100000) project. (B) Capital projects may be subdivided into separate sub-projects as needed to administer, manage, and deliver the original scope of the project, without further Council action.
(C) Projects established for agreements the City Manager executes in accordance with Sacramento City Code chapter 18.18. The City Manager is authorized to make all necessary budgetary adjustments when the City accepts improvements constructed under these agreements.

10.3. Capital appropriations must be used solely for the originally approved project or projects except as provided in this section.

10.4. Completed and inactive projects will be closed annually, except for projects that have existing litigation or payment disputes. An inactive project is one where transaction activity is less than $1,000 over the prior three years. Closures are the responsibility of the designated project manager. The managing department and the City Manager are each authorized to process the necessary documentation to close inactive projects.

10.5. Each fiscal year, all multi -year CIP projects in existence on June 30 w ill be continued except as provided otherwise in section 10.4. The FY2022/23 CIP Budget is summarized on Schedules 2 and 4 as displayed in Exhibit C and on Schedule 4 as displayed in Exhibit D.

10.6. Each fiscal year, unobligated appropriations for all inactive projects, as defined in section 10.4, will expire on June 30 following the third full year of the last appropriation to the project. Projects requiring continuing appropriations will require Council action through programming within the CIP or through a separate appropriation to the project authorized by resolution of the Council.

10.7. Each fiscal year, on June 30, the balance of each CIP project must be zero or have a positive balance by fund. Projects with spending in excess of available budget from all funding sources (i.e., with negative balance) will be treated as follows:
(A) If the CIP balance exceeds budget by less than $250,000, the CIP must first be corrected within each fund, and then any remaining negative balance must be corrected by a transfer from the CIP manager’s Operating Budget (all transfers less than $250,000 must be made as provided for in section 6.1).
(B) If expenditures exceed the budget by more than and including $250,000, a corrective plan of action must be submitted to the Council for approval by resolution.

10.8. C
ommunity/Neighborhood projects and appropriations established with one- time funding sources under Resolution No. 2000-682 (11/21/00), 2001-765 (11/20/01), 2003-412 (6/17/03), 2004-551 (6/29/04), 2006-367 (5/23/06), and associated staff reports, are is governed by the following procedures:
(A) S avings of up to and including $50,000 due to lower-than-expected costs or the securing of alternative funding sources may be administratively reprogrammed into other projects within the same Council District at the request of the Council District Office and with the approval of the City Manager.
(B) Savings above $50,000 may be reprogrammed upon approval by resolution of the Council.

10.9. Except as provided in section 10.8, the City Manager is authorized to transfer appropriations less than $250,000 as follows:
(A) General, Measure U, and Capital Bond Funds:
(1) From a project that has not been completed, if a revised project estimate confirms that upon completion there will be project savings. (B) All other funds from Project A to Project B if:
(1) Project A is complete and has savings; or
(2) Project A has not been completed and a revised project estimate confirms that there will be project savings upon completion.

10.10. Upon completion and closure of a capital project, the City Manager is authorized to transfer any remaining project balance as follows:
(A) To the available fund balance of the respective fund, the Capital Projects Base Reserve in the Utilities CIP or, in the case of the General Fund, Administrative Contingency; or in the case of capital grants, to amend the revenue and expenditure budgets to actual revenues received and expenditures incurred.
(B) As provided for in section 10.9.

10.11. Except for projects covered by section 10.10, the City Manager is authorized to increase or decrease project budget appropriations by less than $250,000 for each project. Appropriation changes more than and including $250,000 in total for any project must be approved by resolution of the Council. The City Manager’s administrative authority to adjust budgets for capital projects will be reset after budgetary actions are authorized by the Council. If the appropriation is from available fund balance, it is subject to the provisions in section 5.

10.12. Measure A Sales Tax (Fund 2001) revenue and expenditure budgets can be loaded into the City’s financial system before approval by the Sacramento Transportation Authority Board (STA Board). Work on CIP projects in this fund is done before receiving funding. Project funding and appropriations must be as follows:
(A) The City Manager is authorized to enter the revenue and expenditure budgets as reflected in the Approved Budget (revenues) and CIP Budget (expenditures).
(B) The City Manager is authorized to enter revenue and expenditure budgets before STA Board approval.
(C) STA Board approval is required for all Measure A reallocations. When the Council acts on recommended Measure A reallocations before STA Board action, Council approval will be contingent on STA Board approval.

10.13. Projects funded by New Measure A Project Construction Sales Tax are included within the CIP Budget for planning purposes. Work on CIP projects funded by New Measure A Project Construction Sales Tax (Fund 2023) is done before receiving funding, and project funding and authorization for these projects must be as follows:
(A) Fund 2023 revenue and expenditure budgets will not be loaded into the City’s financial system until STA Board approval and Council appropriation through separate Council action.

10.14. Projects funded by the following reimbursable (grant) funds are included within the Operating and CIP Budgets for planning purposes: Funds 3702, 3703, 3704, 6205, 6206, 6207, and 6211. Work on CIPs funded by these sources is done before receiving funding, and project funding and authorization for these projects must be as follows:
(A) Funds 2700, 3702, 3703, 3704, 6205, 6206, 6207, and 6211. Revenue and expenditure budgets will not be loaded into the City’s financial system until agreements (Program Supplements/E -76s, Individual Project Agreements, Cooperative Agreements, etc.) have been executed by the City and the funding authority.
(B) Funds 3703 and 3704. The City is eligible to receive federal or state funding, or both, for certain transportation projects through the California Department of Transportation (Caltrans). Master Agreements, P rogram Supplemental Agreements, Fund Exchange Agreements, and Fund Transfer Agreements must be executed by Caltrans before such funds can be claimed. The City Manager is authorized to execute on the City’s behalf all Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements, and Fund Transfer Agreements, and any amendments thereto.

The City Manager is authorized to transfer matching funds as specified in the approved CIP from the state and federal Grant Match (T15007200) CIP, and to enter the revenue and expenditure budgets as reflected in the grant agreement, only if the amount differs by less than $250,000 from what was reflected in the Approved CIP Budget that authorized the project funding. Project agreements that differ by more than and including $250,000 from the anticipated budget require the Council’s approval by resolution.
(C) For projects in funds 6205, 6206, and 6211 that result from an existing Operations and Maintenance Agreement for facilities maintained by the City but are owned or co-owned with Regional San and Sacramento Area Flood Control Agency, the City Manager or designee is authorized to do the following:
(1) Establish and/or adjust revenue and expenditure budgets of up to $250,000 for any emergency repair or replacement projects; and (2) Adjust revenue and expense budget based on actuals for project closure.

10.15. The 2023-2028 CIP Budget (Schedule 4, Exhibits C and D) includes projects that are directly supported by user and developer fees and utility rebates. The City M anager is authorized to adjust department revenue budgets and CIP expenditure budgets for projects as identified in the General Government section of the CIP that are directly supported by fees and rebates based on the actual fees and rebates collected, less any operating costs associated with delivering the service.

10.16. The City Manager is authorized to adjust revenue and expenditure budgets to reflect actual revenues received and expenditures incurred in compliance with the original grant award and any amendments. If the grant is not renewed or is changed by more than and including $250,000, the managing department must return to the Council for corrective action.

Section 11. Operating Grants.

11.1. Council approval is required for the establishment or cancellation (without completion) of an operating grant except as follows:
(A) Where the operating grant is less than $250,000 and does not require any of the following:
(1) any increase or decrease, by department or by fund, in FTE as authorized in the Approved Budget or by any subsequent approval by the Council or the City Manager in accordance with this resolution;
(2) matching funds from City resources; or
(3) any ongoing service or funding by the City.
(B) The City Manager is authorized to establish operating grants and authorize spending and allocation of resources more than and including $250,000 in advance of formal agreements in response to governmental requests for public-safety assistance related to homelessness, disasters and national-security risks. The department responding to these events shall report to the Council within 60 days after receiving formal program documents from the requesting governmental agency or agencies to obtain approval to enter into agreements and accept reimbursements. (C) Operating grants may be subdivided into separate sub-projects as needed to administer, manage, and deliver the original scope of the project, without further Council action.

11.2. The City Manager is authorized to adjust FTE and associated service and supplies budget, in accordance with section 8.2, for renewals or expansions of fully offset grants previously approved by the Council.

11.3. If a grantor requires Council action as a condition of funding the grant, the establishment of the grant requires Council approval regardless of the grant amount.

11.4. Each fiscal year, all multi-year operating grant budgets in existence on June 30 will be continued in the next fiscal year.

11.5. The City Manager is authorized to adjust revenue and expenditure budgets for renewals, up to the amount previously approved by the Council, and augmentations less than $250,000 of fully offset grants.

11.6. The City Manager is authorized to establish revenue and expenditure budgets for federal or state grant -funded youth programs and parks -and-recreation programs based on the prior year award before receipt of signed agreements.

Project funding and appropriations must be adjusted based on the final grant agreement. If the grant is not renewed or is changed by more than and including $250,000, the managing department must return to the Council for corrective action.

11.7. Each fiscal year, on June 30, the balance of each grant budget must be zero or have a positive balance by fund. Grants in excess of the budget f rom all funding sources (total budget has a negative balance) will be treated as follows:
(A) If the Grant balance exceeds budget by less than $250,000, the Grant must first be corrected within each fund, and then any remaining negative balance must be corrected by a transfer from the Grant manager’s Operating Budget (all transfers of less than $250,000 must be made as provided for in section 6.1).
(B) If the project balance exceeds budget by more than and including $250,000, a corrective plan of action mus t be submitted to the Council for approval by resolution.

11.8. The City Manager is authorized to adjust grant and operating expenditure budgets to account for Council-approved grant match and retention obligations.

11.9. The City Manager is authorized to adjust revenue and expenditure operating grant budgets to reflect actual revenues received and expenditures incurred upon closure of a project in compliance with the original grant award and any amendments.

11.10. Award and Distribution of City Grants.
(A) Council approval is required: (1) to award grants to an individual, non- profit, business, or community-based organization that applies for a City grant more than and including $250,000; and (2) to execute contracts with the grantees for the services to be provided.
(B) Consistent with Council direction, the City Manager is authorized: (1) to award grants to an individual, non-profit, business, or community- based organization that applies for a City grant in amounts less than $250,000; and (2) to execute contracts with the grantees for the services to be provided.
(C) The award and distribution of grants must comply with any Citywide Grant Distribution Policy.
(D) Before grant funds are distributed, the City and the grantee must execute a City contract that outlines the public benefit, timelines, and reporting requirements.
(E) For grant contracts of any amount, the City Manager is authorized to execute amendments consistent with the authority granted to the City Manager in section 3.56.290 of the City Code and related policies. (F) The annual budget must list all grants awarded the previous calendar year.

Section 12. Externally Funded Programs (EFP).

12.1. Council approval is required for the establishment or cancellation (without completion) of an EFP, except as follows:
(A) Where the EFP is less than $250,000 and does not require any of the following:
(1) any increase or decrease, by department or by fund, in FTE as authorized in the Approved Budget or by any subsequent approval by the C ouncil or by the City Manager in accordance with this resolution;
(2) matching funds from City resources; or
(3) any ongoing service or funding by the City.
(B) EFPs may be subdivided into separate sub-projects as needed to administer, manage, and deliver the original scope of the project, without further Council action.

12.2. Each fiscal year, all multi -year EFP budgets in existence on June 30 will be continued in the next fiscal year.

12.3. The City Manager is authorized to adjust revenue and expenditure budgets for EFP renewals, up to the amount previously approved by Council, and augmentations less than $250,000.

12.4. Each fiscal year, on June 30, the balance of each EFP budget must be zero or have a positive balance by fund. EFPs in excess of the budget from all funding sources (total budget has a negative balance) will be treated as follows:
(A) If the EFP balance exceeds budget by less than $250,000, the EFP must first be corrected within each fund, and t hen any remaining negative balance must be corrected by a transfer from the EFP manager’s Operating Budget (all transfers of less than $250,000 must be made as provided for in section 6.1).
(B) If the project balance exceeds budget by more than and including $250,000, a corrective plan of action shall be submitted to the Council for approval by resolution.

12.5. EFPs with existing contracts approved by the Council, funding ongoing operations and studies, can be adjusted annually (revenues and expenditures) based on the actual revenues received.

Section 13. Multi-Year Operating Projects (MYOP).

13.1. A MYOP is used for the following:
(A) Economic Development Assistance and Development Programs (e.g., inclusionary housing).
(B) Planning, audit, and other consultant studies that will take more than one fiscal year to complete.
(C) Department fleet (vehicle or equipment) acquisition charges from the Fleet Management internal service fund.
(D) Other projects and activities that are multi -year in nature and are not capital improvement projects.

13.2. Council approval is required for the establishment or cancellation (without completion) of a MYOP, except as provided in section 13.7.

13.3. MYOPs may be subdivided into separate sub-projects as needed to administer, manage, and deliver the original scope of the project without further Council action.

13.4. Each fiscal year unobligated appropriations in existence on June 30 for existing MYOPs will be continued in the next fiscal year except as noted in sections

13.10, 13.11, and 18.11.

13.5. MYOPs must be used solely for the originally approved program or study.

Completed or inactive MYOPs will be closed annually. An inactive project is one where transaction activity is less than $1,000 over the prior three years.

Closures are the responsibility of the designated project manager. The managing department and the City Manager each have the authority to process the necessary documentation to close inactive projects.

13.6. The Police and Fire Departments are authorized to use Measure U MYOPs savings from vacancies for background investigations, recruit academies, and overtime associated with restored programs and operations.

13.7. The City Manager is authorized to establish and adjust budgets for private development activ ities (Funds 2016 and 2018) managed in MYOPs that are fully offset by development fees.

13.8. Each fiscal year, on June 30, the balance of each MYOP must be zero or have a positive balance by fund. Projects in excess of the budget from all funding sources (total budget has a negative balance) will be treated as follows:
(A) If the MYOP balance exceeds budget by less than $250,000, the MYOP must first be corrected within each fund, and then any remaining negative balance must be corrected by a transfer from the MYOP manager’s Operating Budget (all transfers of less than $250,000 must be made as provided for in section 6.1).
(B) If the MYOP balance exceeds budget by more than and including $250,000, a corrective plan of action must be submitted to the Council for approval by resolution.

13.9. The City Manager is authorized to increase or decrease MYOP budget appropriations by less than $250,000 for each project. Transfers that exceed and including $250,000 in total for any MYOP require Council approval by resolution.

13.10. The City Manager is authorized to review MYOPs on an annual basis and return excess funds to the fund balance or contingency of the respective fund (e.g., Fleet, Measure U, Utility Rate Assistance).

13.11. The Utility Box Artwork (I17000800) MYOP General Fund budget can be amended up to $450,000 ($50,000 for each Councilmember and the Mayor) based on requests and resources provided from the operations budgets of the elected official initiating the request.

13.12. MYOPs with existing contracts approved by the Council funding ongoing operations and studies, can be adjusted annually (revenues and expenditures) based on the actual revenues received.

Section 14. In-Lieu Property Taxes and In-Lieu Franchise Fee.

An in-lieu property tax and in-lieu franchise fee are hereby imposed on the Community Center (Fund 6010) and Parking (Fund 6004) Funds in the amounts provided in Schedule 3 as displayed in Exhibit C. The Council finds that the in-lieu property tax as detailed in Schedule 3 represents the property -tax revenue that would be received by the General Fund if the real and personal proper ty owned by these enterprises were taxable under private ownership. The in-lieu franchise fee as detailed in Schedule 3 represents the franchise fees that the City would receive from private entities as a rental or a toll for the use of city streets and rights-of-way.

Section 15. Appropriation Limits.

The appropriation limit and the appropriations subject to the limit are hereby amended in accordance with article XIIIB of the California Constitution for FY2023/24 , as detailed in Schedule 5 as displayed in Exhibit C.

Section 16. Midyear Report.

16.1. The City Manager shall present a Midyear Budget Report including a revised estimate of the financial condition of all funds, estimated revenues and expenditures, and recommendations for eliminating any projected fund deficits to the Council.

16.2. The Council will act on any projected fund deficits as part of the midyear review.

Section 17. Adjustments for Revenue Offset Programs and Services.

17.1. The City Manager is authorized to adjust revenue and expenditure budgets in special revenue funds based on actual revenues collected to provide appropriation authority for operating costs associated with delivering the service.

17.2. The City Manager is authorized to make the following adjustments to Department Operating Budgets or fund balance:
(A) Adjust Fire Department revenue and expenditure budgets based on actual revenues received for Department strike-team services provided throughout California.
(B) Adjust operating department revenue and expenditure budgets based on actuals revenues received for providing reimbursable services to the Golden 1 Center as outlined in the City’s agreement to provide services. (C) Adjust the revenue budget for the Sacramento Police Department’s Secondary Employment Program to reflect actual revenues received and adjust the expenditure budget by a like amount for providing reimbursable services as outlined in the City’s Secondary Employment Agreement.
(D) Adjust the revenue and expenditure budgets for facility maintenance and repair services provided to outside agencies and entities (15004521 - 338020) and for private property concrete maintenance and sidewalk repairs (15001641-343010) to reflect actual revenues received for these services.
(E) Increase the revenue (Account 391320) and fleet -replacement expenditure (Account 474210) budgets in the Fleet Fund (Fund 6501) based on departmental fleet purchasing changes (additional or early replacement) approved by the Council during the fiscal year and upon completion of audited financial statements to allow the continued purchasing of prior-year-funded replacement vehicles.
(F) Transfer excess parking meter revenue from the General Fund (Fund 1001) to cover eligible costs that are incurred in the Parking Fund (Fund 6004) if the full costs of the current fiscal year operations for parking meters has been recovered and the department has positive net year - end results.
(G) The Rental Housing Inspection Program Fees are established to recover the costs of the program. If the full cost of the current-year operations for that program have been recovered, then excess revenues for the program will be committed to fund a reserve equal to one year’s revenue budget for the program.

If these operations do not achieve the budgeted revenues or if program costs exceed the program budget, then resources must be transferred from the commitment of fund balance for the Rental Housing Inspection Program to cover the shortfall.
(H) Adjust the revenue budget for the Community Development Department’s Housing Trust and Housing Impact administrative fees to reflect actual revenues received and increase the expenditure budget by a like amount in the General Plan Update (I22000000) MYOP. (I) Increase the revenue and expenditure budgets in the Garcia Bend Park (L19703600) CIP based on the actual revenues received from increased boat launch ramp fees at Garcia Bend Park, provided that the Department has positive net revenues after all Parking Services Division costs related to the Garcia Bend launch ramp are paid.
(J) Adjust the Police Department revenue and expenditure budgets based on actual revenues received for mutual aid provided to other jurisdictions.

(K) Establish Department of Utilit ies revenue and expenditure budgets for any projects that result from an existing operations and maintenance agreements for facilities maintained by the City, but owned or co-owned with an outside agency for less than $250,000 in the Water Grant Reimbursement Fund (Fund 6205), the Wastewater Grant
Reimbursement Fund (Fund 6206), and the Storm Drainage Grant Fund (Fund 6211) for an agency’s share and to adjust revenue and expense budget based on actuals for project closure.

17.3. The City Manager is authorized to make the following adjustments between Department operating budgets and CIPs or MYOPs:
(A) Adjust the revenue budget for the City Attorney’s Office and the expenditure budget in the Justice for Neighbors (JFN) (I03000100) MYOP based on the actual fees, penalties, and other revenues collected from third parties for Public Nuisance, Social Nuisance, and JFN actions brought by the City Attorney.
(B) Adjust the Community Development Department operating budget for spay/neuter and unaltered pet -licensing revenue accounts (Account 341380 [Program Code 13006] and 351020) and increase the Animal Care Low Income Spay/Neuter Program (I13000600) MYOP expenditure budget in the General Fund (Fund 1001) to reflect 50% of the penalty fees and 50% of unaltered pet-licensing fees collected in accordance with Sacramento City Code section 9.44.215.D.
(C) Adjust the revenue budget for the Convention and Cultural Services Department franchise fee to reflect actual revenues received and increase the expenditure budget by a like amount in the Old Sacramento Service Courts & Support Facilities (M17700000) CIP.
(D) Adjust the Convention and Cultural Services revenue budget for Memorial Auditorium Facility Fee revenues and the Memorial Auditorium Improvements (M17101000) CIP expenditure budget based on actual fees collected, less any operating costs associated with delivering this service.
(E) Adjust the Convention and Cultural Services revenue budget for SAFE Credit Union Performing Arts Center Facility Fee revenues and the Performing Arts Center Improvements (M17101800) CIP expenditure budget based on the actual fees collected, less any operating costs associated with delivering this service.
(F) Adjust the Public Works Department revenue budget to reflect actual revenues received and the Sacramento Valley Station Operations and Management (I15001000) MYOP expenditure budget by a like amount. (G) Increase the Public Works Department revenue and expenditure budgets for launch-ramp activities to reflect actual revenues received and transfer any resulting year-end savings for these activities to the Harbor Dredging (M17500000) CIP if the Department has positive net year-end results. (H) Adjust the Public Works Department revenue budget and the expenditure budget in the Shared-Rideable Implementation (K15195100) CIP based on the actual revenues received from the Shared-Rid eable permit fees, except for the portion of the fee assessed to offset parking-meter - revenue loss.
(I) Adjust the Public Works Department revenue budget (15001021) and the expenditure budget in the Tree Planting and Replacement (R15188500) CIP based on ac tual revenues received in the Tree Planting and Replacement Fund (Fund 2035).
(J) Adjust the Youth, Parks, and Community Enrichment Department revenue budget for recreation-program fees and increase the expenditure budget in the Recreation Facility Improvement (L19800200) CIP if the full cost of the current fiscal -year operations for this CIP have been recovered and the Department has positive net year-end results. (K) Adjust appropriations made in the Approved Budget for fleet replacements from amounts budgeted for updated fleet -replacement costs less than $250,000 by department and by fund and transfer expenditure budgets from department operating budgets to the Fleet Acquisitions (I06000999) MYOP if the department is projecting expenditure savings in excess of the transfer.
(L) Increase the transfer from the Community Center Fund (Fund 6010) to the G/MU Fund (Fund 1001/2401) to offset the annual budget provided for in Schedule 9 for the Powerhouse Science Center (E18000400) EFP as authorized by Council thr ough December 2048, if Transient Occupancy Tax revenues exceed budget by an amount up to $600,000 at year -end and if the Community Center Fund has positive year -end available fund balance.
(M) Increase the Youth, Parks, and Community Enrichment Department revenue budget for the all -weather sport field facility fees received and increase the expenditure budget in the Granite All Weather Field (L19806000) CIP, provided that the Department has positive net year - end G/MU Fund (Fund 1001/2401) results.
(N) Adjust the Transportation CIP budget to meet the City’s SB 1 Maintenance of Effort (MOE) requirements.
(O) Adjust Community Development Department’s revenue budget for the Housing Trust and Housing Impact administrative fees to reflect actual revenues received and increase the expenditure budget by a like amount in the General Plan Update (I22000000) MYOP.

17.4. The City Manager is authorized to make the following adjustments to CIPs and MYOPs:
(A) Adjust the revenue and expenditure budgets in the Old Sacramento Garbage Service Courts (M17700000), Old Sacramento District Improvements (M17700100), and the Joe’s Crab Shack & Rio City Café Repairs and Maintenance (B18119000) CIPs based on actual rent proceeds available after payment of all fees to the State of California and funding of annual required maintenance costs.
(B) Adjust revenue and expenditure budgets in the Energy Reinvestment Program (C13001900) CIP to reflect actual energy rebates and incentives received.

17.5. The City Manager is authorized to implem ent the following fiscal transactions as needed to properly manage and account for the City’s c annabis revenues and expenditures:
(A) Adjust the Citywide revenue budgets for all Business Operations Taxes relative to Cannabis activities based on actual revenues received and increase the expenditure budget in the Cannabis Policy and Enforcement (I06420000) MYOP as necessary to cover costs.
(B) Adjust the revenue budget for the City Manager’s Office of Cannabis Management operations (02001101) to reflect actual revenues received and increase or decrease the expenditure budget in the operating budget by a like amount. At year -end excess resources must be transferred to I06420000 to offset the cost of enforcement. If there are inadequate revenues available, resources must be transferred from I06420000 to cover the actual operating costs incurred in 02001101.
(C) Establish or increase the revenue budget(s) for fines and administrative penalties collected in accordance with Sacramento City Code section

8.132, relating to the cultivation of cannabis, in the department were collected and increase the expenditure budget in I06420000 to support enforcement activities based on actual revenues received. (D) Adjust the revenue budget for Housing and Dangerous Building fines, fees, and penalties collected by the Community Development Department and the expenditure budget in I06420000 at year-end based on actual revenues received.
(E) Transfer expenditure budgets between I06420000 and the Cannabis Opportunity, Reinvestment and Equity (CORE) (I02420000) MYOP to support CORE program operations.
(F) Transfer expenditure budgets between I06420000 and the Youth Cannabis Outreach & Education program (I06420500) MYOP to support prevention workload in the Office of Youth Development.

17.6. The City Manager is authorized to implement the following fiscal transactions as needed to properly manage and account for the City’s efforts toward reducing homelessness:
(A) Adjust revenue and expenditure budgets in the Whole Person Care (I02000900) MYOP related to intergovernmental transfers received to support program activities through the performance period up to the amount of the annual program -year budget approved by the California Department of Health Care Services.

At year-end, the revenue and expenditure budgets in I02000900 will be adjusted to match actuals.
(B) Adjust the revenue and expenditure budgets to reflect actual contributions received from external partners in the Homeless Housing Initiatives (I02000200) MYOP to support homeless-services programs. (C) Each fiscal year, unobligated G/MU Fund (Fund 1001/2401) appropriations in existence in the Office of Homeless Services (23001031) on June 30 must be transferr ed to the Homeless Housing Initiatives (I02000200) MYOP if the Department has positive net year - end results.
(D) Adjust interdepartmental transfers related to the Whole Person Care (I02000900) MYOP as needed for the duration of that program. (E) Each fiscal year, unobligated G/MU Fund (Fund 1001/2401) appropriations in existence in the Office of Community Outreach (23001021) on June 30 must be transferred to the Community Response (I23000100) MYOP if the Department has positive net year-end results.

(F) Each fiscal year, unobligated G/MU Fund (Fund 1001/2401) appropriations in existence in the Office of Violence Prevention (11001491) on June 30 must be transferred to the Gang Prevention and Intervention (I11003000) MYOP if the Department has positive net year- end results.

17.7. The City Manager is authorized to implement any necessary financial transactions for the administration of revolving loan fund programs authorized by the Council.

17.8. The City Manager is authorized to use Emergency Medical Services Revenue Recovery funds ( Intergovernmental Transfer - Ground Emergency Medical Transport and Public Provider – Ground Emergency Medical Transport) to cover overages from the Single Role program and related equipment and vehicles as necessary.

17.9. The City Manager is authorized to amend the following ten Police department contracts to extend them until September 30, 2023, and increase the funding as follows: Brother 2 Brother Mentoring, Inc (2022-0907) - $62,500; Helping Our People Eat (HOPE) (2022-0908) - $62,500; Self Awareness and Recovery (2022-0939) - $25,000; Voices of the Youth, Inc. (2022-0945) - $50,000; Brother 2 Brother Mentoring, Inc. (2021-0981-1) - $62,500; Impact Sac (2021- 0985-1) - $62,500; Neighborhood Wellness Foundation (2021-0973-1) - $62,500; Rose Family Creative Empowerment Center (2021-0974-1) - $20,833; Academics 4 Athletes (2021-0971-1) $20,833; and HOPE (2021- 0986-1) - $20,833.

Section 18. Year-End Process and Carryover Authority.

18.1. Each fiscal year, all purchase-order commitments outstanding on June 30, and associated appropriations, are hereby continued.

18.2. If there is not a budgetary surplus in the G/MU Fund (Fund 1001/2401) at year- end, the City Manager shall suspend the G/MU Fund transfers and carryovers authorized in this section.

18.3. Each fiscal year, unobligated appropriations in existence on June 30 for the Council operations budget will be carried over to the next fiscal year.

18.4. Each fiscal year, unobligated General Fund appropriations in existence in the Arts Stabilization budget (80001065) on June 30 must be transferred to the Cultural and Economic Vitality (I17001000) MYOP if the department has positive net year-end General Fund results.

18.5. Each fiscal year, revenues in excess of budget in Building Inspection, Building Plan Check, Customer Service/Permit Counter, and Planning Operations areas of the Community Development Department must be transferred to the Development Stabilization Contingency Reserve (DSCR), consistent with the adopted DSCR policy, if the Department has positive net year-end results.

If these operations do not achieve the budgeted revenues or if program costs exceed the program budget, then resources mus t be transferred from the DSCR to these areas of the Community Development Department to cover the shortfall.

18.6. Each fiscal year, unobligated General Fund appropriations in existence in the Human Resources Department on June 30 must be transferred to the Training and Outreach (I08000300) MYOP if the Department has positive net year-end General Fund results.

18.7. Each fiscal year, unobligated net appropriations in existence on June 30 in the Information Technology (IT) Department operations General Fund budget and the citywide IT budget in Citywide and Community Support must be transferred to the IT Critical Infrastructure (A07000700) CIP to create a funding mechanism for future citywide technology initiatives, which the City Manager will review annually.

18.8. Each fiscal year, unobligated appropriations in the City’s California Public Employees’ Retirement System budget account(s) (413170/413172) that are not required to balance the budget must be transferred to the City’s other post- employment benefit trust.

18.9. Each fiscal year, if the START Fund (Fund 2501) has a deficit, unobligated G/MU Fund (Fund 1001/2401) appropriations in existence in the Youth, Parks, and Community Enrichment Department on June 30 must be transferred to Fund 2501 to cover any deficit associated with the general - and auto-liability insurance premiums if the Department has positive net year-end General Fund results.

18.10. Each fiscal year, the Fleet Acquisitions (I06000999) MYOP will be reviewed, and excess funds will be returned to the fund of origin.

18.11. Each fiscal year, unobligated appropriations in the fiscal year operating Measure U MYOPs at the close of the fiscal year must be returned to Measure U available fund balance (Fund 2401).

18.12. Each fiscal year, unobligated net appropriations in existence on June 30 in the Public Works Department (15005861) must be transferred to the Commercial Waste Compliance (I15220000) MYOP.

18.13. Each fiscal year, any unspent Measure U Fund (Fund 2401) appropriations in the Youth, Parks, and Community Enrichment Department on June 30 must be transferred to the Measure U Park Improvements (L19706000), Citywide Pool Assess/Repair (L19706500), or Recreation Facility Improvements (L19800200) CIPs until the backlog of deferred maintenance, for existing projects within the programs, are completed.

18.14. The City Manager is authorized to make all necessary budgetary adjustments to account for the interfund Loan from the Risk Fund (Fund 6502) to the General Fund (Fund 1001) related to the agreement with the City and the Natomas Basin Conservancy Loan.

18.15. Each fiscal year, adjust transfers from the Water Fund (Fund 6005) available fund balance to the Drinking Water State Revolving Fund (Fund 6312) to pay for interest expense and negative interest earnings incurred since the inception of the loan.

18.16. Each fiscal year, transfer up to $500,000 of available operating grant resources to the Public Safety Capital Improvement Program (F11101000) for specialty vehicle and equipment purchases.

18.17. Each fiscal year, any unspent Measure U Fund (Fund 2401) appropriations in the Diversity, Outreach and Recruitment (DOR) program on June 30 must be transferred to the Fire – Diversity, Outreach and Recruitment Program (I12000200) MYOP as long as any Fire Department year-end deficits can be covered with available year-end G/MU Fund (Fund 1001/2401) budgetary surplus.

18.18 Each fiscal year, any unspent appropriations in the Youth Sports Field Permit Program MYOP (I19143000) on June 30 must be transferred to the Measure U Park Improvements (L19706000), to be used to address the backlog of deferred maintenance for sports fields.

Section 19. Year-End Reporting.

19.1. Each fiscal year, after any adjustments specifically provided for in other sections of this resolution, all appropriations in the Operating Budget that remain unspent and unencumbered (unobligated) on June 30 will revert to the available fund balances of the respective funds. Any budgetary surplus in the G/MU Fund (Fund 1001/2401), determined as part of the fiscal year-end close process, will be reported in the ACFR as Assigned for Next Year’s Budget, Unassigned, or as specifically directed below or in a subsequent resolution.

19.2. All unrealized investment gains determined as part of the fiscal year-end close process will be reported in the ACFR as Assigned for Unrealized Investment Gains, as those gains are not available for appropriation.

Section 20. Miscellaneous Controls and Considerations.

20.1. Expenditures by fund at the department level must not exceed the Operating Budget as amended by any subsequent approval by the Council or the City Manager in accordance with this resolution.

20.2. Subject to the City Manager’s approval, projected fund deficiencies in any department must be corrected as follows in accordance with the sections of this resolution governing transfers and appropriations by reducing expenditures in the department (e.g., restricting purchase orders, freezing vacant positions) or by an appropriation transfer from Administrative Contingency or available fund balance, or both, subject to the provisions of section 5.

20.3. The C ity Manager is authorized to eliminate funds as required for proper accounting and fiscal management when the purpose of a fund has expired, and its fund balance has been expended.

20.4. In all staff reports that come before the Council, net budgetary impacts on all funds, including indirect impacts, must be stated clearly and concisely so that the Council has a full understanding of the financial consideration and impacts of its decisions.

20.5. The City Manager shall begin using an equity lens in the review of all budgetary recommendations to Council including the annual budget, midyear budget and staff reports as soon as practical after development of a shared definition of equity in coordination with the community, development of associated outcomes and measures and Council’s creation and adoption of an Equity Resolution.

Exhibit A
Budget Changes

Operating Budget Adjustments
Department Fund Name (Number)
Revenue/
Offset
Adjustment
($ in 000s)
Expenditure
Adjustment
($ in 000s) Description
Police Department General
(1001)
(146,729) (146,729) Delete one position (1.0 FTE Police Officer) and corresponding offset in the Auto Theft
Division of the Police Department because
the position is no longer needed for program
purposes.

Police Department General
(1001)
(198,597) (198,597) Delete one position (1.0 FTE Police Officer) and corresponding offset in Central
Command of the Police Department because
associated grant funding has ended.

Police Department General
(1001)
(1,187,600) (1,058,427) Delete six positions (6.0 FTE Police Officer) and corresponding revenue budget because
the two hospital contracts ended.

Police Department General
(1001)
(515,431) (515,431) Delete four positions (4.0 FTE Police Officer) less the allocation of $300,000 for overtime to
support the Police Department's
reorganization in creating a new patrol
district.

Police Department General
(1001)
- - Delete five positions (5.0 FTE Police Officer) and $23,763 in service & supplies budget
and add three positions (1.0 FTE Police
Lieutenant and 2.0 FTE Police Sergeant) and
a vehicle (sedan) to support the Police
Department's reorganization in creating a
new patrol district.

Police Department General
(1001)
- (9,780)Delete seven positions (7.0 FTE Community Service Officer I) and add thirty-six positions
(0.50 FTE Student Trainee) to create
additional entry-level positions for college
students.

Mayor/Council, City
Manager, Finance, Human
Resources, Information
Technology, Police, and
Public Works
General
(1001)
- 43,268 Due to timing, various labor adjustments (i.e.

Compensation and Commission board
approvals, labor system technical offset
adjustments).

Community Development
and Youth, Parks and
Community Enrichment
Measure U (2401) - (802) Due to timing, various labor adjustments (i.e. labor system technical adjustments).

City Treasurer's Office General
(1001)
- - Delete a Treasury Analyst (1.00 FTE) and add a Sr. Debt Analyst (1.0 FTE) to Debt
team in the City Treasurer's Office.

Public Works Measure U (2401) - 158,311 Add Program Specialist to the Office of Climate Action & Sustainability to support
with the management and implementation of
citywide climate-related initiatives.

Total (2,048,357)$ (1,728,187)$
Convention and Cultural
Services
Community Center
(6010)
- 3,073 Various labor offset adjustments.

Non-appropriated Delta Shores (3217) 500,000 500,000 Increase revenues and expenditures budget.

Utilities Storm Drainage (6011) - (2,803)Various labor offset adjustments.

Utilities Water (6005) - 13,491 Various labor offset adjustments.

Subtotal: 500,000$ 513,761$
Net Operating Changes: (1,548,357)$ (1,214,426)$

Multi-year Operating Project Appropriations
Project Name (Number)
Fund Name
(Number)
Expenditure
Adjustment Description
Homeless Housing Initiatives
(I02000200)
Measure U (2401) 1,088,066 One-time funding to support continued Homelessness programming in FY2023/24.

Language Access Program
(I02000410)
General (1001) - $250,000 for Language Access Program multi-year operating project (MYOP) from FY2022/23 Year-end funds. Add an Administrative Analyst to be funded by MYOP in FY2023/24.

Office of Violence Prevention
(OVP) Disruption, Response,
Intervention & Prevention
(I11003200)
Measure U (2401) - $1 million for Office of Violence Prevention MYOP from FY2022/23 Year-end funds.

Park Safety MYOP (I19160000) Measure U (2401) - $431,529 for Park Safety MYOP from FY2022/23 Year-end funds.

Add two Park Safety Rangers with equipment and vehicles to be funded by MYOP in FY2023/24.

Climate Action Initiatives
(I15240100)
General (1001) 1,988,346 New MYOP project number in FY2023/24.

Climate Action Initiatives
(I02002300)
General (1001) (1,988,346) Move funds from existing MYOP. #SYW_BSCC Prop. 64-2
(G19080600)
Operating Grants
(2702)
999,555 New MYOP project number in FY2023/24.
#SYW_BSCC Prop. 64-2
(G02001800)
Operating Grants
(2702)
(999,555) Move funds from existing MYOP.

NLCI's Youth Excel Initiative
(G19080700)
Operating Grants
(2702)
150,000 New MYOP project number in FY2023/24.

NLCI's Youth Excel Initiative
(G02001810)
Operating Grants
(2702)
(150,000) Move funds from existing MYOP.

Youth Pop Up Events
(I19143100)
General (1001) 2,721,000 New MYOP project number in FY2023/24.

Youth Pop Up Events
(I02001800)
General (1001) (2,721,000) Move funds from existing MYOP.

Youth Pop Up Events
(I19143100)
ARPA Reinvestment
(1003)
1,300,000 New MYOP project number in FY2023/24.

Youth Pop Up Events
(I02001800)
ARPA Reinvestment
(1003)
(1,300,000) Move funds from existing MYOP.

Youth Pop Up Events
(I19143100)
Measure U (2401) 1,300,000 New MYOP project number in FY2023/24.

Youth Pop Up Events
(I02001800)
Measure U (2401) (1,300,000) Move funds from existing MYOP.

Children & Youth Services
Program (I19143200)
ARPA Reinvestment
(1003)
720,000 New MYOP project number in FY2023/24.

Children & Youth Services
Program ((I02001830)
ARPA Reinvestment
(1003)
(720,000) Move funds from existing MYOP.

Children & Youth Services
Program (I19143200)
Measure U (2401) 7,112,046 New MYOP project number in FY2023/24.

Children & Youth Services
Program ((I02001830)
Measure U (2401) (7,112,046) Move funds from existing MYOP.

Children & Youth Services
Program (I19143200)
ARPA Reinvestment
(1003)
720,000 New MYOP project number in FY2023/24.

Children & Youth Services
Program ((I02001830)
ARPA Reinvestment
(1003)
(720,000) Move funds from existing MYOP.

FY22 M/C Econ Dev Priorities
(I19143300)
Measure U (2401) 300,000 New MYOP project number in FY2023/24.

FY22 M/C Econ Dev Priorities
(I02180910)
Measure U (2401) (300,000) Move funds from existing MYOP.

FY22 M/C Econ Dev Priorities
(I02180910)
Measure U (2401) (50,000)Reallocation of MYOP funds for Southside Park Pool renovations.

Net Project Changes: $1,038,066

Capital Improvement Project Appropriations
Project Name (Number)
Fund Name
(Number)
Expenditure
Adjustment Description
Citywide Pool
Assessment/Repair Program
(L19706500)
Measure U (2401) 450,000 Reallocation of capital funds ($400K from Measure U Park Improvements - L19706000) and MYOP funds ($50K from FY22 Mayor/Council Economic Development Priorities - I02180910) for Southside Park Pool renovations.

Measure U Park Improvements
(L19706000)
Measure U (2401) (400,000) Reallocation of capital funds for Southside Park Pool renovations.

Net Project Changes: $50,000
Exhibit B
Citywide Staffing Summary (By Department)

Department
FY2022/23
Amended
FY2023/24
Proposed
FY2023/24
Changes
FY2023/24
Approved
Mayor/Council 40.00 40.00 40.00 City Auditor 10.00 10.00 10.00 City Attorney 62.00 62.00 62.00 City Clerk 24.00 24.00 24.00
City Manager 70.00 73.00 (7.00) 66.00 City Treasurer 14.00 14.00 14.00 Community Development 315.00 319.00 319.00 Community Response 38.00 37.00 37.00 Convention and Cultural Services 123.00 119.00 119.00 Finance 93.90 95.90 (1.00) 94.90 Fire 729.50 760.50 760.50
Human Resources 83.00 83.00 83.00 Information Technology 202.50 207.50 1.00 208.50 Police 1,128.96 1,134.16 (3.00) 1,131.16 Public Works 766.15 765.65 3.00 768.65 Utilities 572.90 582.18 582.18
Youth, Parks, and Community Enrichment 737.23 741.41 8.00 749.41 Citywide and Community Support 7.00 6.00 6.00 Total 5,017.14 5,074.30 1.00 5,075.30 Citywide Staffing Summary (By Fund)

FY2022/23
Amended
FY2023/24
Proposed
FY2023/24
Changes
FY2023/24
Approved
General Fund
Mayor/Council 35.00 35.00 35.00
City Auditor 10.00 10.00 10.00
City Attorney 62.00 62.00 62.00
City Clerk 24.00 24.00 24.00
City Manager 28.00 29.00 29.00
City Treasurer 14.00 14.00 14.00
Community Development 196.00 197.00 197.00
Convention and Cultural Services 5.00 - - Finance 93.90 95.90 (1.00) 94.90 Fire 711.50 742.50 742.50
Human Resources 44.00 44.00 44.00
Information Technology 202.50 207.50 1.00 208.50 Police 1,063.46 1,067.66 (14.00) 1,053.66
Public Works 431.00 431.00 (1.00) 430.00 Youth, Parks, and Community Enrichment 12.00 14.00 14.00 Citywide and Community Support 1.00 - - Subtotal General Funds 2,933.36 2,973.56 (15.00) 2,958.56 Measure U
Mayor/Council 5.00 5.00 5.00
City Manager 40.00 40.00 (7.00) 33.00 Community Development 119.00 122.00 122.00
Community Response 38.00 37.00 37.00
Convention and Cultural Services 19.95 24.95 24.95 Fire 18.00 18.00 18.00
Human Resources 3.00 3.00 3.00
Police 65.50 66.50 11.00 77.50
Public Works - - 4.00 4.00 Youth, Parks, and Community Enrichment 575.89 578.07 8.00 586.07 Subtotal General Funds 884.34 894.52 16.00 910.52 Enterprise Funds
Community Center
Convention & Cultural Services 98.05 94.05 94.05 Parking
Public Works 61.25 61.75 61.75
Solid Waste
Public Works 184.30 184.30 184.30
Storm Drainage
Utilities 125.36 130.00 130.00
Wastewater
Utilities 94.18 95.00 95.00
Water
Utilities 353.36 357.18 357.18
Subtotal Enterprise Funds 916.50 922.28 - 922.28 Citywide Staffing Summary (By Fund) (Continued)

Internal Service Funds
Fleet Management
Public Works 83.00 82.00 82.00
Risk Management
Human Resources 17.00 17.00 17.00
Workers' Compensation
Human Resources 19.00 19.00 19.00
Subtotal Internal Service Funds 119.00 118.00 - 118.00 Other Governmental Funds
4th R Program
Youth, Parks, and Community Enrichment 133.10 133.10 133.10 Innovation and Growth
City Manager 2.00 4.00 4.00
Marina
Public Works 6.60 6.60 6.60
START
Youth, Parks, and Community Enrichment 16.24 16.24 16.24 City/County Office-Water Planning
Citywide and Community Support 6.00 6.00 6.00 Subtotal Other Governmental Funds 163.94 165.94 - 165.94 TOTAL 5,017.14 5,074.30 1.00 5,075.30
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
The Department of Information Technology (IT) moved an Administrative Analyst in IT Regional Support to the Office of the CIO.

The Police Department deleted Community Service Officers I and added Student Trainees.

The Department also deleted Police Officers and added a Police Lieutenant and two Police Sergeants.

YPCE added two Park Safety Rangers.

The Finance Department is moving a Program Specialist position in the Budget Office to the Enterprise Applications Management department in IT.

The City Treasurer added a Senior Debt Analyst and deleted a Treasury Analyst.

The Office of Climate Action and Sustainability in the City Manager's Office (CMO) moved to the Department of Public Works, added a new Program Specialist, and an Administrative Analyst was moved from Public Works' Business Operations department to the Office of Climate Action and Sustainability.

The Office of Youth Development in CMO was moved to the Department of Youth, Parks & Community Enrichment (YPCE).

CMO added an Administrative Analyst in the Executive Office.

Exhibit C

FY2023/24 APPROVED OPERATING BUDGET
Insert when Finalized
Exhibit D
A
PPROVED 2023-2028 CAPITAL IMPROVEMENT PROGRAM
Insert when Finalized

Budget and Audit CommitteeMay 30, 2023

Budget and Audit Committee
May 30, 2023