DRAFT MINUTES
SALINAS CITY COUNCIL FINANCE COMMITTEE
Tuesday, April 5, 2022
2:00 P.M.
COMMITTEE MEMBERS PRESENT: Mayor Kimbley Craig, Councilmember Orlando Osornio, and Councilmember Anthony Rocha.
STAFF PRESENT: City Manager Steve Carrigan, Director of Finance Mark Roberts, City Attorney Chris Callihan, and Finance Management Analyst Abe Pedroza.
Mayor Kimbley Craig called the meeting to order at 2:00 p.m.
1. PUBLIC COMMENT
None.
2. MINUTES
The minutes of th e March 1 , 2022 meeting were approved by motion of Committee Member Osornio , second by Committee Member Craig.
3. DISCUSSION ITEMS
A. Financial Policies Amendments and Reserve Balance Recommendations
Director of Finance Mark Roberts presented on the topic of recommended financial policy amendments and reserve balance recommendations. Mr. Roberts detailed the purpose of reserve policies as well as the various recommended changes, allocation guidelines, and replenishment schedules. Mr. Roberts then detailed the reserves, including recommended transfers to and from existing reserves and available fund balance to the new ly proposed reserves.
City Manager Steve Carrigan cautioned that the establishment of these reserves will help protect the City financially from the inevitable recession. Councilmembers Anthony Rocha and Orlando Osornio questioned setting funds aside in reserves at the recommended levels as opposed to using the resources on programs for the community.
Mayor Kimbley Craig voiced her support for t he reserves as a fiscally responsible opportunity. The committee requested comparative figures from local jurisdictions, a simplified staff report, and individual briefings on the topic. By motion of Councilmember Osornio, second by Councilmember Rocha, the committee elected to move the policies forward with their amendments to City Council for a full discussion and vote on the matter.
B. Appropriation Detail for American Rescue Act (ARPA) Funds
Director of Finance Mark Roberts provided the committee with a more detailed allocation of the previously approved ARPA funds, showing the breakdown by object/account code within each project. Councilmember Anthony Rocha voiced concerns over the various salary and benefit allocations , notably within the Affordable Housing Production project. Prompted by Councilmember Orlando Osornio, City Manager Steve Carrigan noted that staff will be bringing another update regarding the use of ARPA funds in districts 5, 6, and 1 to the Finance Committee and City Council in May.
Fiscal Year 2023 City-Wide Schedule of Fees and Service Charges
Director of Finance Mark Roberts introduced the proposed City-Wide Schedule of Fees and Service Charges annual update at 3.2%, per the CPI. Mayor Kimbley Craig requested outreach to the Salinas United Business Association (SUBA), in addition to the Chamber of Commerce, who was previously notified. Councilmember Anthony Rocha further requested outreach to the Non-Profit Alliance for Monterey County and the various youth sports groups that use the affected facilities. By motion of Councilmember Rocha, second by Councilmember Osornio, the committee elected to move their recommendation forward to City Council at an increase of 2.5%.
C. Committee Member Reports
None.
4. NEXT MEETING
Next meeting is scheduled for Tuesday, May 3, 2022.
5. ADJOURNMENT
The meeting adjourned at 3:47 p.m.
SUBMITTED BY: ________
Abe Pedroza, Finance Management Analyst