Attachment A - City of Santa Maria Proposed FY 2024-26 Biennial Budget.pdf — Santa Maria City Council, June 18, 2024 (part 1 of 2)

Propos ed Biennial Budget

PROPOSED

BIENNIAL
BUDGET

FISCAL YEARS
2024 - 26

ATTACHMENT A

BIENNIAL
BUDGET
V

MAYOR PRO TEM
Gloria Soto
District 3

COUNCILMEMBERS
Carlos Escobedo
District 1
Mike Cordero
District 2
Maribel Aguilera-Hernandez
District 4

INTERIM CITY MANAGER
Alex Posada

CITY TREASURER
Teressa Hall

CITY CLERK
Patti Rodriguez

INTERIM FINANCE DIRECTOR
Xenia Bradford

INTERIM ASSISTANT FINANCE DIRECTOR
Rick Kirkwood

DEPARTMENT DIRECTORS
CITY ATTORNEY’S OFFICE
Thomas T. Watson, City Attorney

COMMUNITY DEVELOPMENT
Dana Eady, Interim Director
FIRE
Bradley Dandridge, Fire Chief

LIBRARY
Dawn Jackson, Library Director
POLICE
Marc Schneider, Police Chief

PUBLIC WORKS
Brett Fulgoni, Director

RECREATION AND PARKS
Angela Oslund, Interim Director

UTILITIES
Shad Springer, Director

CITY OF SANTA MARIA, CA

FISCAL YEARS
2024/25 – 2025/26
MAYOR
Alice Patino

The Government Finance Officers Association of
the United States and Canada (GFOA) presented
a Distinguished Budget Presentation Award to the
City of Santa Maria , California for its Budget
beginning July 1, 2022.

To receive this award, a government unit must
publish a budget document that meets program
criteria as a policy document, as an operations
guide, as a financial plan, and as a
communications device. The City has received 13
consecutive two -year awards beginning in July
1998.

The City of Santa Maria is confident that the City’s
Fiscal Year 2024-2026 Biennial Budget continues to
conform to program requirements. Accordingly,
this budget document will be sent to the GFOA.

The California Society of Municipal Finance Officers (CSMFO) presented an Operating Budget Excellence Award to the City of Santa Maria, California for the City’s Fiscal Year 2022-202 3 and Fiscal Year 2023-2024 Budget. The City has received 13 consecutive two-year awards beginning in July 1998.

The City of Santa Maria is confident that the City’s Fiscal Year 2024-2026 Biennial Budget will continue to conform to award requirements. Accordingly, this budget document will be sent to the CSMFO.

City of Santa Maria 2024-26 Biennial Budget

Table of Contents
i

TABLE OF CONTENTS

PROPOSED BIENNIAL BUDGET ............................................................................................................................. 2 TABLE OF CONTENTS ............................................................................................................................................. I CITY STRUCTURE ................................................................................................................................................... 1 Government Structure .................................................................................................................................... 1 Mayor and City Council ................................................................................................................................. 1 City Boards and Commissions ....................................................................................................................... 2 City Departments ............................................................................................................................................ 2 City Organizational Chart .............................................................................................................................. 3 Linking City Council Goals and Priorities for 2024-25 with Department Goals and Objectives............. 4 The City’s Mission ............................................................................................................................................. 5 Organizational values..................................................................................................................................... 5 BUDGET MESSAGE ............................................................................................................................................... 7 COMMUNITY PROFILE ........................................................................................................................................ 27 Introduction ................................................................................................................................................... 30 Accessibility and Community Mobility ....................................................................................................... 38 GUIDE TO THE BUDGET ....................................................................................................................................... 41 Purpose of the Budget ................................................................................................................................. 43 Budget Process .............................................................................................................................................. 44 Basis of Budgeting: Accounting Versus Budgetary Basis .......................................................................... 48 Cost Accounting ........................................................................................................................................... 50 Financial and Budget Policies ..................................................................................................................... 50 SIX-YEAR FINANCIAL PLANS ............................................................................................................................. 61 Overview ........................................................................................................................................................ 63 Revenue and Expenditure Forecasting Methodology ............................................................................. 63 General Assumptions .................................................................................................................................... 63 Enterprise Funds ............................................................................................................................................. 64 General Fund Six-Year Financial Plan ......................................................................................................... 65 Measure U Fund Six-Year Financial Plan..................................................................................................... 70 Water Enterprise Fund Financial Overview ................................................................................................ 72 Wastewater Enterprise Fund Financial Overview...................................................................................... 74 Solid Waste Collections Enterprise Fund Financial Overview .................................................................. 76 Solid Waste Disposal Enterprise Fund Financial Overview ....................................................................... 78 BUDGET OVERVIEW ............................................................................................................................................ 81 Overview ........................................................................................................................................................ 83 Citywide Proposed Operating Budget Summary ..................................................................................... 84 REVENUE OVERVIEW .......................................................................................................................................... 97 Revenue Projection Methods ...................................................................................................................... 99 Sources of Operating Revenue ................................................................................................................... 99 Landscape Services, Mitigation, & Grant Funds ..................................................................................... 100 Capital Project Funds ................................................................................................................................. 101 Schedule of Revenues ............................................................................................................................... 102 City of Santa Maria 2024-26 Biennial Budget

Table of Contents
ii
EXPENDITURE OVERVIEW ................................................................................................................................. 107 Citywide Overview ..................................................................................................................................... 109 Expenditure Categories ............................................................................................................................. 109 Schedule of Expenditures .......................................................................................................................... 111 Fund Analysis ............................................................................................................................................... 114 Interfund Transfers ....................................................................................................................................... 118 FUND OVERVIEW .............................................................................................................................................. 125 Budgetary Fund Balance ........................................................................................................................... 127 Major Funds ................................................................................................................................................. 127 Funds Not Budgeted ................................................................................................................................... 127 Fund Structure ............................................................................................................................................. 128 LONG-TERM DEBT OBLIGATIONS .................................................................................................................... 135 Debt Types and Purpose ............................................................................................................................ 137 CAPITAL PROJECTS .......................................................................................................................................... 139 OVERVIEW .................................................................................................................................................... 141 Capital Financial & Budget Policies .......................................................................................................... 141 CMEP BUDGET OVERVIEW ........................................................................................................................... 142 RECURRING/NONRECURRING CAPITAL PROJECTS ................................................................................... 143 CAPITAL PROJECTS LIST ............................................................................................................................... 143 PERSONNEL ....................................................................................................................................................... 163 PERSONNEL OVERVIEW ............................................................................................................................... 165 PERSONNEL SUMMARY BY DEPARTMENT ................................................................................................... 170 Personnel Detail By Department ............................................................................................................... 174 MEASURE U POSITION DETAIL BY DEPARTMENT ......................................................................................... 196 DEPARTMENT BUDGET DETAIL .......................................................................................................................... 201 Overview ...................................................................................................................................................... 203 Public Safety: Police Department ............................................................................................................. 205 Public Safety: Fire Department.................................................................................................................. 213 Utilities Department..................................................................................................................................... 219 Public Works Department .......................................................................................................................... 235 Recreation and Parks Department ........................................................................................................... 249 Library Department..................................................................................................................................... 261 Community Development Department .................................................................................................. 267 Mayor & Council ......................................................................................................................................... 285 City Attorney’s Office ................................................................................................................................. 287 City Manager’s Office ................................................................................................................................ 291 Finance Department .................................................................................................................................. 301 GLOSSARY ........................................................................................................................................................ 307 Overview ...................................................................................................................................................... 309 Acronyms ..................................................................................................................................................... 309 Terminology ................................................................................................................................................. 310 APPENDICES ..................................................................................................................................................... 327 Appendix A: Financial and Budget Policies ............................................................................................ A-1 City of Santa Maria 2024-26 Biennial Budget
Table of Contents
iii

Appendix B: Budgetary Accounting .........................................................................................................B-1 Appendix C: Use of Cost Accounting ...................................................................................................... C-1 Appendix D: Appropriation Limit History .................................................................................................. D-1 Appendix E: List of Funds ............................................................................................................................. E-1 Appendix F: Description of Funds .............................................................................................................. F-1 Appendix G: List of Expenditure Categories .......................................................................................... G-1 Appendix H: Schematic List of Classes ..................................................................................................... H-1 Appendix I: Summary of Employee Compensation and Benefits .......................................................... I-1 Appendix J: Financial Status Comparison ................................................................................................ J-1 Appendix K: Highlights of Recent Accomplishments ............................................................................. K-1 Appendix L: Status of City-wide 2023-24 Goals ........................................................................................ L-1 City of Santa Maria 2024-26 Biennial Budget

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1 CITY STRUCTURE

City of Santa Maria 2024-26 Biennial Budget

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City of Santa Maria 2024-26 Biennial Budget

City Structure
1 GOVERNMENT STRUCTURE
The City of Santa Maria was incorporated on September 12, 1905, operating under the council- manager form of government. The City became a Charter City in December 2000, after the voters of Santa Maria approved a ballot measure in November 2000 to change from a General Law City. A Charter City can adopt laws different than the g eneral State laws to meet the specific needs of the city. The operation of a city under a charter is often referred to as “home rule.” Beginning with the November 2018 election, voters participated in the first district-based election when two City Council seats were up for election. Voters may elect City Councilmembers only from those candidates who live in their district. The Mayor will continue to be elected at-large by all voters. In the 2018 election, the contests were in Districts 3 and 4, which are the southwest and southeast portions of the City, respectively. In the November 2020 election, the contests were in Districts 1 and 2, which are the northwest and northeast portions of the City, respectively, and all votes decided the Mayor’s position. In early 2022, the City Council successfully completed the decennial redistricting process. In November 2022, the contests were again held in Districts 3 and 4. In November 2024, the contests will again be in Districts 1 (northwest)and 2 (northeast), with all voters Citywide deciding the Mayor’s position.

The Mayor presides over the Council meetings and serves as the elected and ceremonial head of the City government. The City Council decided to continue its practice of governing with a City -wide perspective and adopted a Resolution for Governance describing how the City Council will continue to serve all the people of the City of Santa Maria. The City Council is responsible for, among other things, passing ordinances, adopting the budget, appointing committees, and hiring the City Manager and City Attorney.

MAYOR AND CITY COUNCIL

Gloria Soto
Councilmember
District 3

Maribel Aguilera-
Hernandez
Councilmember
District 4

Alice Patino
Mayor
At-Large

Carlos Escobedo
Councilmember
District 1

Mike Cordero
Councilmember
District 2

CITY OF SANTA MARIA DISTRICTS
DISTRICT 2
Mike Cordero
DISTRICT 1
Carlos Escobedo
DISTRICT 3
Gloria Soto
DISTRICT 4
Maribel Aguilera-Hernandez
City of Santa Maria 2024-26 Biennial Budget

City Structure
2 CITY BOARDS AND COMMISSIONS
City boards and commissions play a crucial role in the Santa Maria community. They are responsible for presenting choices that contribute to a smooth functioning City and help shape Santa Maria into the kind of community that the city’s stakeholders want it to be. The boards and commissions may forward matters to the City Council if needed. Usually, the people appointed to these positions are residents of Santa Maria. This is the general rule set by the City Council, except when a specific advisory group doesn’t require it. The Mayor is in charge of selecting members for the official City boards and commissions, and these choices need to be approved by the City Council. The following is a list of current City Boards and Commissions:
• Block Grants Advisory Committee
• Board of Appeals
• CDBG Advisory Committee
• Downtown Revitalization Committee
• Library Board of Trustees
• Measure U Citizens’ Oversight
Committee
• Planning Commission
• Recreation and Parks Commission
• Traffic Committee

CITY DEPARTMENTS
The City Charter and Municipal Code provide the basis for the departmental structure of the City. The Charter establishes that the Offices of the City Attorney and City Manager be appointed by the City Council to manage the affairs of the City. The City Clerk is elected to a four -year term of office and serves primarily in a ceremonial capacity – responsible for administering oaths or affirmations and taking and certifying affidavits pertaining to City business. The City Treasurer is an elected officer identified in Government Code Section 87200 and files statements of economic interests with the City Clerk's office. The City’s Municipal Code establishes the administrative organizational structure of the City under the control and direction of the City Manager. The City’s uses of resources are budgeted in ten departments, including those of City leadership, appointed offices, and the administrative structure.

FULL-SERVICE CITY
The City of Santa Maria is considered a full- service city, meaning that all municipal services are provided by the City, as opposed to be ing contracted out to third -party providers. Some services commonly contracted out by municipalities include public safety and all utilit y services ; however, these services are provided by the City of Santa Maria as a full-service city.

City of Santa Maria 2024-26 Biennial Budget

City Structure
3 CITY ORGANIZATIONAL CHART

City of Santa Maria 2024-26 Biennial Budget
City Structure
4 LINKING CITY COUNCIL GOALS AND PRIORITIES FOR 2024-25 WITH DEPARTMENT GOALS AND OBJECTIVES This chart represents the City Council’s four City-wide goals and objectives, and its four City-wide priorities, and links them with the departments responsible for carrying them out.

See each Department’s section in the Budget book for full details about its goals and objectives.

City Council Goals
City
Attorney’s
Office
City
Manager’s
Office
Community
Development Finance Fire Library Police
Public
Works
Recreation
and Parks
Utilities
Department
Long-term
financial
sustainability * * * * * * * * * *
Community
quality of life * * * * * * * * *
Planning and
infrastructure * * * * * * * * *
Organizational
well-being * * * * * * * *
C
ity Council Priorities
City
Attorney’s
Office
City
Attorney’s
Office
Community
Development Finance Fire Library Police
Public
Works
Recreation
and Parks
Utilities
Department
New approach
to economic
development * * * * * * * *
Provide youth
opportunities * * * * * * * *
Provide public
safety resources * * * * * * * * *
Establish a
staffing plan * * * * * * *
City of Santa Maria 2024-26 Biennial Budget

City Structure
5 THE CITY’S MISSION
The City of Santa Maria is committed to providing the highest quality service in the most efficient, cost-effective, and courteous manner possible.

ORGANIZATIONAL VALUES
TEAMWORK We believe in the value of teamwork and a spirit of cooperative effort from all employee levels within the organization.

SERVICE We are committed to providing excellent service to the public in the most responsive, efficient, and effective manner.

PEOPLE We strive to treat all people with dignity, respect, and fairness. We believe that the employees of the City are our most valuable resource. Each employee's contribution is the key to our success.

COMMUNICATION We believe in simplicity, accuracy, and clarity in communications with the public and each other. We encourage the open exchange of ideas and information among all employees.

INTEGRITY We are dedicated to high ethical and moral standards and uncompromising honesty in our dealing with the public and each other.

FISCAL We are committed to a financially responsible local government, one that is cost conscious and concerned about the effective and efficient delivery of services to the public.

PROFESSIONAL We believe in high professional standards and attitudes which dictate an objective analysis of issues, free of our personal biases.

PROGRESSIVE We value innovation and creativity and support an orientation for change and reasonable risk-taking at all levels of the organization.

RESPONSIVE We strive to be a responsive City organization, dedicated to maintaining a well -trained and competent work force that is in touch with the needs of the community to enhance the quality of life in our city.

City of Santa Maria 2024-26 Biennial Budget

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7 BUDGET MESSAGE

City of Santa Maria 2024-26 Biennial Budget

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City of Santa Maria 2024-26 Biennial Budget

Budget Message
9 June 18, 2024
FY 2024-2026 BUDGET
RECOMMENDATION:

It is recommended that the City Council receive and adopt the 2024- 26 Proposed Budget document for the period July 1, 2024, through June 30, 2026.

INTRODUCTION:

I respectfully present the proposed two-year financial plan for fiscal years 2024-25 and 2025-26, which includes the Capital Improvement Plan for the same period. This document serves as a comprehensive statement of programs and policies, financial plans, and a guide for City operations. It reflects the many strategic goals, programs, and service priorities committed to by the City Council and City staff.

The value of a two-year plan is the longer-term focus.

This comprehensive financial document presents historical information for previous years, current year activity, as well as a comparison of 2022- 23 actual expenditures and revenues, the current 2023 -24 adopted budget and current year -end estimated expenditures, and the financial plan for the n ext two-year period.

The format of this document is consistent with the guidelines set forth by the Government Finance Officers’ Association (GFOA) and the California State Municipal Finance Officers’ (CSMFO). This Budget Message primarily focuses on the 2024 -25 budget year, with budget summary schedules, financial tables, and graphic presentations reflecting the proposed spending plan. By State law, the City must adopt a balanced budget by June 30
th. A balanced budget means that total anticipated revenues, plus fund balance applied if applicable, must equal the sum of budgeted expenditures. Related priorities are contributions to outside agencies.

This two-year budget is very challenging with a huge shortfall in revenues, given the slowing growth of tax revenues and substantial expense increases in staff, salaries and benefits, exorbitant increases in insurance, inflation, and pensions to meet the needs of the growing community. Although General Fund revenues are projected to continue to grow at a steady pace, they are far outpaced by growth in expenses. This is unsustainable. The projected General Fund budget shortfalls are $21.3 million in 2024- 25 and $20.2 million in 2025-26.

The budget for the first year is proposed with a heavy reliance upon three reserve funds - leaving them depleted (General Fund, Measure U, and Local Economic Augmentation Fund). Using these reserves will, in 2024-25, sustain operations and continue to provide the same level of services the community has come to expect
This is the 15
th year of the structural budget imbalance, but the City has managed to effectively control expenses to bridge past deficits. However, in this two-year budget the projected gap has significantly worsened. The City service s are overextended and cannot financially sustain current programs and services, without a significant increase in revenue . For 2025- 26, the City must explore austerity measures. Future revenues will continue to be outpaced by operational costs and this requires careful long-term fiscal planning. Department Directors have been instructed to prepare recommended reductions in their departments in FY 2025-26 and will meet as a group with the Interim City Manager in July to discuss an action plan for FY 2024-26 while using the City Council’s 2024-2026 goals as a guide.

Office of the City Manager
Alex Posada, Interim City Manager

City of Santa Maria 2024-26 Biennial Budget

Budget Message
10 The City Council’s four goals for 2024-26 are:
• Long-term financial sustainability
• Community quality of life
• Planning and infrastructure
• Organizational well-being
To elaborate on the goals:

1. Establish long -term financial stability plans and the means for securing resources for valued community services.

2. Provide public safety, meet housing needs, develop the downtown, provide youth opportunities, and foster an overall high quality of life.

3. Provide for long-range planning and well-maintained infrastructure, including facilities, streets, parks, and utilities.

4. Provide for a clear mission and vision, the talent needed to deliver valued services, and the internal systems to support services and fiduciary responsibilities.

The City Council’s four priorities for 2024-26 are:
• New approach to economic development
• Provide youth opportunities
• Provide public safety resources
• Establish a staffing plan
Those priorities were set at the City Council’s goal- setting workshop on February 19, 2024, and by Resolution adopted on March 19
th. A chart linking those priorities and department goals is on page 4 establishing the City goals and priorities for staff to work on during the upcoming two -year budget period. Plans and strategies to accomplish the City Council goals are provided within departmental narratives.

Long-term financial planning involves projecting revenues, expenses, and key factors that have a financial impact on the organization. Understanding long -term trends and potential risk factors that may impact overall financial sustainability allows decision -makers to proactively address these issues.

This process encourages strategic thinking. Long-term planning includes meeting the City’s obligations for retirement fund payments. These are explained within this Budget Message, including the chart of projected payments into fiscal year 2030-31. Other examples of long-range planning are explained in the Capital Maintenance and Equipment Projects, with several projects receiving funding beyond this budget. The forecasts are also provided for Enterprise Funds which align with infrastructure needs for City growth. The General Fund long -term forecast does not incorporate planning for deferred maintenance and population growth.

As the Santa Maria economy goes, so goes the City budget. Projected revenues are up. Total overall operating funds appropriations for 2024 -25 are $291.4 million, up 14.5, or 5.2 percent, from 2023- 24.

Recommended 2024 -25 General Fund appropriations (including Measure U) are $139.8 million, up $12.9 million, or 10.2 percent, from 2023-24.

This 2024- 25 budget includes 732.40 full -time equivalents (FTE). The proposed budget indicates the addition of 4.8 positions in the General Fund, 5 positions in the Enterprise Fund, 1 position in Assessment Districts, 3 positions in Measure A, and 1 position in the Insurance Fund. This accounts for a total of 14.8 new F TEs. Additionally, the proposed budget indicates funding of 7 Police Officer positions, 1 Investigative Specialist position, and 1 Administrative Leader position previously authorized but unfunded. This accounts for a total of 9 funded FTEs.

Overall, the proposed budget reflects an increase of 47.40 FTE as compared to the 2023- 24 adopted budget, which included 685.00 FTE. Of these 47.4 FTEs, 22 positions were added and another 6 positions City of Santa Maria 2024-26 Biennial Budget

Budget Message
11 previously authorized but unfunded, were funded by the City Council during Quarter 1, Quarter 2, and the ERP reports provided during Council meetings. These 28 positions were offset by a decrease of 4.2 positions through reallocations of existing positions, resulting in 23.8 total new FTEs being enrolled in the FY24-26 budget, but are not considered “new” positions as they were approved prior to the proposed budget. The 2025-26 budget includes a 0.0 FTE increase as compared to 2024-25.

The City enters 2024- 25 with a multi- million-dollar structural General Fund deficit where ongoing revenues exceed ongoing expenditures, and now also with a Measure U budget deficit. Expenditures are outpacing revenues.

The Measure U fund, a subset of the General Fund, is accounted for as a separate fund to satisfy the requirements of the City Council policy to appropriate 90 percent to public safety, 5 percent to youth, and 5 percent to quality of life and provide clear accounting for the Citizens Oversight Committee Review. Expenditures that can no longer be supported by Measure U revenues compared to Fiscal Year 2023-24, have been transferred to the General Fund in this final proposed budget presentation.

Overview of the 2024-26 General Fund
(Including Measure U)
Proposed
FY 2024-25
Proposed
FY 2025-26
Appropriations $ 139,848,861 $ 140,545,104
Revenues 118,528,588 120,306,714
Projected Deficit $ (21,320,273) $ (20,238,390)
The City Council’s goal is to maintain City services. The City is incredibly fortunate to receive approximately $27 million in annual revenue from the enhanced one -cent local Measure U sales tax approved by voters in November 2018. This source maintains many services (and supports 137.60 Full - Time Equivalent positions, or 18.8 percent of the workforce) that the General Fund otherwise could not support.

The chart shows General Fund expenses are outpacing revenues. Revenues exclude operating transfers in of $10.6 million in FY 2024-25 and $2.3 million annually in FYs 2025-30.

PRIORITIES, CHALLENGES, AND ACTIONS:

What we do every day has a direct impact on the quality of life in Santa Maria. We work for the public.

Our employees have a big impact on our City organization, and the community. It is their contributions, experience, dedication, productivity, cost -containment efforts, and entrepreneurial spirit, which collectively help to ensure the health, safety, and welfare of Santa Maria residents and businesses.

For many governments at all levels, expenses are growing much faster than revenues. Balancing budgets is increasingly challenging given the slow growth of tax revenues and substantial increases in

78.7 90.6 95.4
112.5 113.2
111.9 116.3 118.0 120.8 124.1 127.6 130.9

77.8 87.6 91.5 91.9
107.8
130.4
139.8 140.5 145.4 150.6 156.0 161.6

50.0 75.0
100.0
125.0
150.0
175.0
2018-
19A
2019-
20A
2020-
21A
2021-
22A
2022-
23A
2023-
24E
2024-
25P
2025-
26P
2026-
27F
2027-
28F
2028-
29F
2029-
30F
Dollars
(Millions)
Six-Year Forecast
General Fund & Measure U
Revenue and Uses
General Fund Revenue Total General Fund Uses
City of Santa Maria 2024-26 Biennial Budget

Budget Message
12 regulations, costs of staff, services, contracts, insurance, and many other expenses. This is affecting cities, counties, and the State. Structural deficits are real.

The nearby City of Santa Barbara is facing a projected $7.1 million budget deficit, and that figure could be higher. Policymakers are looking to find new ways to bring in more money. Downtown parking revenues have been plunging since the pandemic. Other challenges are falling hotel bed taxes, increased salary and pension costs, and inflation. Its City Council in June chose to ask City voters to decide in November whether to increase the sales tax by one half -cent - from 8.75 percent to 9.25 percent — that c ould bring in an estimated $15.6 million a year toward public services and city maintenance.

Santa Barbara County voters in November will decide a measure to increase the transient occupancy tax (TOT) by 2 percent in the unincorporated areas of the County to 14 percent. The County’s proposed budget states that TOT revenue has slowed in recent years and projects it to be flat at $17.7 million in 2024-25, which still represents an all-time high.

The County’s proposed 2024 -25 budget is an estimated $1.59 billion, a $100.3 million or 7.3 percent increase compared to 2023-24 operating budget. There are no service level reductions. General Fund revenue growth is projected to slow. Sales tax revenues are projected to be flat. A $6.6 million budget deficit in the General Fund is to be covered using a partial $10.7 million reserve to avoid reductions of mandated and essential services. Full- time equivalent (FTE) staffing requested is an increase of 119.1 FTEs which would increase overall County staffing to 4,763. Salary and benefit costs ($824.8 million) are the largest structural component of the County’s budget, representing 53 percent of total operations.

Salary costs are anticipated to increase by $28. 7 million and include negotiated raises ranging from

2.5 to 7.5 percent. Healthcare costs are anticipated to increase by $8.7 million or 14.9 percent. The average cost per FTE (salary and benefits) is $170,300, according to the County. The County says tha t while revenue is anticipated to rebound in the future years, it will continue to be outpaced by growing operational costs and reliance on the remaining ongoing set aside as well as necessary careful long - term fiscal planning. The County presently has more than 600 vacant positions and may need to eliminate some to balance future budgets and evaluate whether all the vacant positions are needed.

The State budget faces ongoing weakness and as of mid -May is estimated to reach a deficit of $56 billion over the next two fiscal years. The State’s proposed budget as of May identifies a larger gap than expected between projected and annual revenues compared to the Governor’s January budget proposal. The governor’s proposal relies on dipping into reserve accounts and making big cuts.

In 2023, the budget had a record surplus of about $100 billion. For 2024- 25 the governor projects the deficit at $27.6 billion and another projected $28.4 billion in 2025-26.

State tax revenues are falling below expectations. Over several decades, the State has become dependent on personal income taxes to finance its budget, especially taxes on high -income taxpayers and their investment earnings. As that dependency increased, t he state would experience massive windfalls during some years and deep revenue declines in others. When the treasury was flush, governors and legislators would increase spending, and when revenues declined, they would face multi-billion-dollar deficits.

At the Federal level, President Biden sent his $7.3 trillion budget to Capitol Hill in March 2024. The new Federal fiscal year begins October 1
st. The deficit  totals $1.6 trillion in fiscal year 2024, grows to $1.8 trillion in 2025, and then returns to $1.6 trillion by 2027, according to the Congressional Budget Office.

Here at the City, familiar funding challenges persist, starting with ever -spiraling California Public Employees’ Retirement System (CalPERS) payment obligations, increases in personnel compensation, inflation, and rising costs for infrastructure maintenance and contracts.

POLICY, ECONOMIC, and/or LEGISLATIVE ISSUES:

City operations are impacted by many County, State, and Federal issues and policies, including but not limited to increases in Workers’ Compensation and Liability Insurance premiums, housing mandates, water restrictions, increasing costs for contracts including the County seeking full cost recovery, and pensions. The City is taking actions highlighted here and elaborated upon in the departmental budget narratives.

City of Santa Maria 2024-26 Biennial Budget

Budget Message
13 • We are faced with an insurmountable insurance issue primarily by forces well beyond control of the City. The premium increases for property, workers compensation, and liability are 49 percent – with an additional 49 percent next year. That has driven our insurance premiums from $7.7 million to $10.4 million this year. This trend, unfortunately, will continue. Staff recommends the City Council establish a $1.75 million reserve fund. The City is trying to reduce insurance costs through risk management. This b udget also recommends the addition of one position in the City Attorney’s Office, that of an assistant risk manager. • For economic development, the City will conduct an overall assessment and evaluation of economic development and tourism needs, with review and recommendations by an outside consultant, and with input from stakeholders. This effort will begin at the start of 2024-25. During this time, the City will move to short-term contracts with the Chamber of Commerce. • To comply with State directives to reduce outdoor watering, the Utilities, Public Works, and Recreation and Parks Departments’ budgets include various initiatives. One project that is underway, and will be completed this year, is replacing turf around City Hall with a low-water garden.
• The Police Department’s training program's budget is increased by $50,000 per year to maintain the department's ability to meet regularly scheduled and mandated training needs. This is reimbursable by POST. Training needs have grown within the department with additional mandates for sworn staff.
• The Santa Maria Fire Department, along with all Santa Barbara County fire agencies, entered into a Cooperative Dispatch Agreement in 2021. Additional funding of $565,000 in 2024 -26 is requested to ensure continuous dispatch service to the Fire Department. • To ensure adequate funding for new, required professional services related to water operations, $585,000 is requested by the Utilities Department to fund technical support to operate and maintain the system, perform meter testing for water loss monitoring as required by State regulations, perform EPA -required lead service line inventory and reporting, and conduct a feasibility study related to chemicals used at the blending/disinfection facility. • A November 2024 ballot measure would make State and local tax increases markedly more difficult to enact. If passed, the measure would require two -thirds votes for any local tax increase, effectively overturning a State Supreme Court ruling that local taxe s proposed via initiative require only simple majority votes. Governor Gavin Newsom and the Legislature filed a legal challenge that could remove the measure from the ballot. In May, the State Supreme Court heard arguments. The Santa Maria City Council unanimously voted to oppose the ballot measure.
• The State faces a monumental budget deficit in part because the State committed portions of a supposed surplus that never materialized. The fiscal reality may result in cuts to many State programs. Despite threatened cuts to homelessness and health care funding, voter s narrowly approved in March 2024 of a $6.38 billion State bond ballot measure to build 4,350 housing units for the homeless , and the County budget commit s $35 million to providing housing and services to those experiencing homelessness, including the 94-unit Hope Village in Santa Maria.

Fiscal Year 2023 saw more than $600,000 in City staff time and contract expenditures on cleaning up blight responding to illegal activities, and medical calls, all contributed to the unhoused population within the City. About eight percent of the money used in 2023-24 came from one -time ARPA funding that will not be available in future years. City staff also spent considerable time coordinating with County staff on encampment clean -ups and broader activities related to homelessness.
• Workplace health and safety are a top priority for the City. This budget sustains safety positions to maintain the City’s coordinated and proactive approach to managing workplace safety and health.

Departments continue to face staffing challenges related to recruiting and retaining qualified staff. High turnover and staffing shortages affect the City’s ability to maintain the continuity of City of Santa Maria 2024-26 Biennial Budget

Budget Message
14 operations; transfer and retain institutional knowledge; and development and growth of future leadership from within the organization.
• Top-down housing mandates from the State continue to compel the 482 cities to plan for more affordable housing and in higher densities, disregarding local government decision -making and community involvement in the planning process. The City is committed t o identifying sites for more housing through its Housing Element that was approved by the State this year, and through its General Plan update.
• Like other CalPERS agencies, the City continues to experience ongoing CalPERS cost obligations. The City projects a $5.4 million increase in its CalPERS contributions over the next eight years. The City’s annual payments are $27.1 million for 2024-25, and $28.1 million for 2025-

26. The City’s CalPERS payment for 2011- 12 was $10.4 million and in 2012- 13 it was $9.5 million.

The City’s pension system continues to be underfunded as of the latest valuation dated June 30, 2022. The total outstanding unfunded pen sion liability was $189 million. The City is required to pay down the unfunded pension liability. CalPERS requires minimum payments to be made toward the unfunded liability per year. The required payments will continue to rise through approximately 2031-32 based on the current actuarial valuations.

The City budget is impacted significantly by contribution changes imposed by CalPERS resulting in annually increasing contributions. CalPERS contributions have been increasing annually but beginning in 2013 the rate of the increase has grown substantially due to policy changes imposed by the CalPERS governing board. All CalPERS’ member agencies combined – cities, school and special districts, the State – paid a total of $24.2 billion to CalPERS in 2023. Public workers contributed $5.7 billion.

The City has so far managed the costs of its rising pension by cutting operational budgets, holding vacancies to achieve salary savings, and phasing in pension reforms resulting in three tiers of retirement benefits for employees based on their hire date. The City Council has a policy to deposit any year-end fund balance, when General Fund revenues exceed expenditures, equally into its Local Economic Augmentation Fund (LEAF) reserve, capital projects fund, and pension reserves. These steps to address the pension issue are not sustainable, new strategies will need to be developed immediately.

The City has undertaken pension reform to address its CalPERS obligations. The City has three tiers of employees based on hire date: Tier I is before July 1, 2011; Tier II hires after July 1, 2011, and public employment before January 1, 2013; and Tier III hires (PEPRA) with California public employment begun after January 1, 2013. Back in early 2011, the City engaged in pension reform measures with its employee groups requiring all new employees (Tier II) to pay the employees’ share of pension expenses (w hich represents either seven percent [for miscellaneous members] or nine percent [for safety members] of their salary). Tier III (PEPRA) employees pay a higher percentage of their pension The above chart illustrates projected annual City payments to CalPERS for its employee groups.

City of Santa Maria 2024-26 Biennial Budget

Budget Message
15 expenses. The percentage of Tier I City employees is now approximately 3 0 percent, which is a significant employment shift. Tier II represents 9 percent of the workforce, and Tier III is 61 percent.

CalPERS Tier I rates are expected to increase over the next few years as follows:

CalPERS Tier I Rates
Misc. Police Fire
2022-23 36.10% 76.85% 63.93%
2023-24 36.71% 78.24% 65.90%
2024-25 39.50% 86.37% 72.52%
2025-26 39.27% 89.20% 74.85%
CalPERS Tier II rates are expected to increase over the next few years as follows:

CalPERS Tier II Rates
Misc. Police Fire
2022-23 36.94% 21.41% 25.23%
2023-24 37.48% 22.83% 26.28%
2024-25 40.29% 24.08% 28.19%
2025-26 40.08% 24.72% 29.27%
CalPERS Tier III rates are expected to increase over the next few years as follows:

CalPERS Tier III Rates
Misc. Police Fire
2022-23 36.94% 13.90% 14.59%
2023-24 37.48% 14.00% 14.53%
2024-25 40.29% 14.62% 16.10%
2025-26 40.08% 15.22% 19.96%
As of March 2024, new two-year contract agreements were reached with three bargaining units. There is a base salary increase of 5.0 percent as of January 2024 and another 5.0 percent increase as of January 2025 for SEIU Local 620, the Non-Represented Management and Confidential Employees, and the Public Safety Managers. As of this writing, a new contract had not been reached with the F ire Fighters’ Local Union 2020. Overall, any increase in pensionable compensation to employees factors into future CalPERS costs.

As in prior years, personnel costs remain the largest component of the City’s operating expenditure budget for 2024-26, accounting for $257.4 million, or 44.2 percent, associated with salaries and benefits.

The breakdown by year is $125.3 million in 2024-25 and $132.0 million in 2025-26.

Further, Santa Maria will complete its General Plan update soon - the blueprint to add another 50,000 residents and where to locate new housing and businesses. Conversations continue among City and County executives toward a Memorandum of Agreement for future City annexation/growth. A City consultant continues to analyze land use.

Even though the City continues to face funding challenges, the are many accomplishment that better the lives of all our residents, some of these Highlights include the launching of our Smart City, Safe City initiative including its website and numerous vid eos; purchasing a 19 -acre property for the long - awaited sports complex at the corner of Depot Street and Battles Road (construction is to begin this year); expanded use of the Automated License Plate Readers system; and additional highlights are contained in Appendix L.

To mitigate both the financial effects of the pandemic as well as stimulate economic recovery, the American Rescue Plan Act (ARPA) was signed into law in March 2021, providing $37.2 million to the City. The City must spend or encumber all remaining ARPA grant funds by December 31, 2024. No ARPA funds are applied to positions in 2024-26.

The City Council’s direction is to use ARPA funds to:

City of Santa Maria 2024-26 Biennial Budget

Budget Message
16 1. Reimburse costs incurred and revenue lost as a result of COVID-19.

2. Invest this one -time funding in projects that can be completed in the required timeline and increase ongoing revenues or reduce ongoing costs.

3. Strengthen the City’s financial position to prepare for future fiscal emergencies.

OVERVIEW OF THE PROPOSED 2024-25 BUDGET FOR ALL OPERATING FUNDS:

Total revenues anticipated for all operating programs in 2024-25 are estimated to be $267.6 million, or $25.3 million more than in 2023-24. This represents a 10.5 percent increase as illustrated below.

OVERVIEW OF 2024-25 ESTIMATED REVENUES FOR OPERATING FUNDS

Adopted
2023-24
Proposed
2024-25
Increase
(Decrease)
Percent
Increase
(Decrease)
Percent
Of Total
2024-25

REVENUE CATEGORY
Taxes $ 94,980,459 $ 95,426,552 $ 446,093 0.5% 35.7%
Licenses, Permits & Fines 3,623,334 3,695,334 72,000 2.0% 1.4% Revenue from Use of
Money & Property
3,247,825 3,247,825 - 0.0% 1.2%
Revenue from Other
Agencies
10,886,688 11,165,050 278,362 2.6% 4.2%
Charges for Services 6,951,745 8,151,687 1,199,942 17.3% 3.0% Other Revenues and
Transfers
13,007,827 21,625,866 8,618,039 66.3% 8.1%
Enterprise Fund
Revenues
109,523,134 124,257,857 14,734,723 13.5% 46.4%
Total Revenues $ 242,221,012 $ 267,570,171 $ 25,349,159 10.5% 100.0% Tax revenues are expected to increase by 0.5 percent, due to forecasted increases in sales taxes, which comprise 61.2 percent of General Fund revenues (including Measure U), and increases property taxes, which comprise 27.8 percent of General Fund revenues. This year (2024- 25), the planned Local Economic Augmentation Fund (LEAF) transfers are set at $8.3 million. The City has been drawing from its LEAF since 2008-09, and periodically depositing funds to replenish and build this reserve. In 2025 -26 another $2.3 million will be drawn.

OVERVIEW OF 2024-25 PROPOSED BUDGET FOR OPERATING FUNDS Adopted
2023-24
Proposed
2024-25
Increase
(Decrease)
Percent
Increase
(Decrease)
Percent
Of Total
2024-25

EXPENDITURE CATEGORY
Operating Programs $ 185,821,257 $ 203,882,342 $ 18,061,085 9.7% 70.0% Capital & Outside
Agencies
76,247,459 65,724,856 $ (10,522,603) -13.8% 22.6%
Debt Service 3,890,262 3,889,012 (1,250) 0.0% 1.3%
Transfers 10,972,118 17,918,093 6,945,975 63.3% 6.1%
Total Expenditures $ 276,931,096 $ 291,414,303 $ 14,483,207 5.2% 100.0% The proposed appropriations for all operating funds in 2024-25 are approximately $291.4 million, which is an increase of 5.2 percent from 2023-24.

GENERAL FUND OVERVIEW:

City of Santa Maria 2024-26 Biennial Budget

Budget Message
17 The City’s top four General Fund revenue sources are projected to increase in the next two fiscal years, as explained in the Key Revenue Assumptions. For Santa Maria, the City’s General Fund operating revenue consists primarily of sales and property taxes. These two revenue sources generate 58.3 percent of the total General Fund (66.9 percent when including Measure U) revenues. Economic factors can contribute to wide swings in these revenues sources as evidenced by the Great Recession.

Sales tax is by far the General Fund's largest revenue source (about 46.0 percent including the local Measure U sales tax add-on), therefore, vitally important to the City’s future. This source is volatile. The City receives one percent (also known as Bradley Burns portion) of the 8.75 percent sales tax collected from retail sales occurring within the City limits. The State collects and remits the sales tax to the following benefiting agencies: 5.75 percent to the State for the General Fund and various prog rams,

2.00 percent to the City's General Fund (one percent General Fund and 1.00 percent Measure U), one- half percent to the Local Public Safety Fund, one -half percent for local and regional transportation purposes (Measure A) for a total sales tax rate of 8.75 percent.

Property tax represents approximately 2 0.9 percent of General Fund revenues. For 2024- 25 this revenue source is projected at $26.5 million, and $27.0 million for 2025-26. Proposition 13, approved by voters Statewide in June 1978, limits general -purpose property taxes to one percent of market value and limited the growth of property tax assessments to two percent growth per year. Assessments are increased to reflect current market value when property ownership changes or improvements are made to the property; otherwise, assessed values are limited to an annual two percent increase.

Receipts from Transient Occupancy Tax (TOT) or otherwise known as Bed Tax, represent about 3.4 percent of General Fund revenues. The Municipal Code prescribes that the City allocate a certain percentage of TOT receipts to certain uses unless otherwise determined by the City Council.

Construction permit revenues are projected to account for 2.5 percent of General Fund revenues.

In all, total General Fund operating revenues (total revenues minus transfers-in) are now at $83.2 million, with $26.7 million from Measure U, for a total of $109.9 million for 2024- 25 as displayed in the following chart:

The blue color in the above chart depicts the Measure U revenue that the City started to receive in 2012-13. Starting in 2019, Measure U increased from a quarter-cent to a one-cent tax. $40
$45
$50
$55
$60
$65
$70
$75
$80
$85
$90
$95
$100
$105
$110
$115
2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 Millions
General Fund Operating Revenue Trends
General Fund Measure U
City of Santa Maria 2024-26 Biennial Budget

Budget Message
18 Below is a chart displaying the historical General Fund (excluding Measure U) operating revenues and expenditures. Expenditures are outpacing operational revenues.

Proposed 2024-26 Budgets:

General Fund
Under the City’s budgeting procedures, appropriation projections for staffing costs are based on all positions being filled throughout the year. Cost projections for major supply purchases and service contracts are also projected on a similar basis. In recent years, however, personnel vacancies resulted in salary savings, resulting in expenditure savings . Dating back 10 years, the General Fund has averaged an annual expenditure savings of approximately 3 percent in its appropriations authority, with current expenditure savings rates running 8.6 percent, the highest in a decade due to the tight labor market.

While the above concept of using expenditure savings as a mechanism to help bridge the financial gap in the General Fund is common in other municipalities, it does come with risks, especially given the fact that there is a n accumulating structural deficit in the General Fund and Measure U Fund of $16.9 million and $4.4 million, respectively and overall revenues are not sustaining the ever -increasing operational expenses.

Staff is proposing to use $8.3 million in LEAF financing over the next fiscal year to bridge this financial gap in the General Fund. At that point, the LEAF Fund Balance will stand at a projected $2.3 million as depicted in the following chart.

$40
$45
$50
$55
$60
$65
$70
$75
$80
$85
$90
$95
$100
$105
2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 Millions
General Fund Operating Revenue Trends
Revenues Expenditures
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20

MILLIONS
LEAF Reserve Balances by Fiscal Year
City of Santa Maria 2024-26 Biennial Budget

Budget Message
19 SUMMARY OF KEY GENERAL FUND REVENUES

Adopted
2023-24
Proposed
2024-25
Increase
(Decrease)
Percent
Increase
(Decrease)
Percent
Of Total
2024-25

REVENUE CATEGORY
Sales Tax $ 32,187,866 $ 31,872,153 $ (315,713) -1.0% 25.2% Measure U Transaction
& Use Tax
26,715,000 26,544,951 (170,049) -0.6% 20.9%
Property Tax 25,695,677 26,498,432 802,755 3.1% 20.9% Hotel/Bed Tax 4,273,426 4,273,426 - 0.0% 3.4%
Construction Permits 3,070,974 3,149,974 79,000 2.6% 2.5% Total Key Revenues 91,942,943 92,338,936 395,993 0.4% 72.9% Other Revenues 25,779,499 34,525,920 8,746,421 33.9% 27.1% Total Revenues $ 117,722,442 $ 126,864,856 $ 9,142,414 7.8% 100.0% Proposed General Fund revenues are a record $126.9 million. The projections for 2024- 25 were estimated using 2023-24 projected receipts as the basis and then taking into consideration anticipated changes in the local economy. Overall, General Fund revenues are anticipated to be $9.1 million more in 2024-25 when compared to the 2023- 24 Budget. The table above shows the top revenue sources and includes the transfer-in of $8.3 million from LEAF for 2024-25 under the category Other Revenue.

OVERVIEW OF 2024-25 GENERAL FUND PROPOSED APPROPRIATIONS

Adopted
2023-24
Proposed
2024-25
Increase
(Decrease)
Percent
Increase
(Decrease)
Percent
Of Total
2024-25

EXPENDITURE CATEGORY
Operating Programs $ 113,501,461 $ 125,804,748 $ 12,303,287 10.8% 90.0% Capital & Outside
Agencies
7,642,263 2,404,040 (5,238,223) -68.5% 1.7%
Debt Service 266,912 266,912 - 0.0% 0.2%
Transfers 5,515,081 11,373,161 5,858,080 106.2% 8.1%
Total Expenditures $ 126,925,717 $ 139,848,861 $ 12,923,144 10.2% 100.0% Proposed 2024-25 appropriations for the General Fund are a record $139.8 million. This represents an increase of 10.2 percent or approximately $12.9 million more than in 2023 -24.

The General Fund expenditure plan for 2024 -25 was based on current year allocations (2023- 24) plus associated merit increases, negotiated salary increases, pension -related increases, increased cost allocations for the Liability, Fleet, and Equipment Intern al Service Funds, as well as a modest increase in contracts.

Total appropriations by department are shown in the below chart:

OVERVIEW OF 2022-23 PROPOSED APPROPRIATIONS BY DEPARTMENT

Adopted
2023-24
Proposed
2024-25
Increase
(Decrease)
Percent
Increase
(Decrease)
Percent
Of Total
2024-25

DEPARTMENT
Mayor & Council $ 206,907 $ 210,716 $ 3,809 1.8% 0.2% City Attorney 1,365,659 1,816,866 451,207 33.0% 1.3%
City Manager 9,392,287 13,061,241 3,668,954 39.1% 9.3%
Finance 8,322,159 15,206,421 6,884,262 82.7% 10.9%
City of Santa Maria 2024-26 Biennial Budget

Budget Message
20 Community
Development
7,584,433 6,911,453 (672,980) -8.9% 4.9%
Recreation & Parks 15,997,117 16,063,604 66,487 0.4% 11.5% Fire 28,925,675 25,708,413 (3,217,262) -11.1% 18.4%
Police 49,070,077 54,462,616 5,392,539 11.0% 38.9%
Public Works 4,873,576 5,392,822 519,246 10.7% 3.9%
Library (Measure U) 1,187,827 1,014,709 (173,118) -14.6% 0.7% Total Expenditures $ 126,925,717 $ 139,848,861 $ 12,923,144 10.2% 100.0% Proposed appropriations in all departments include anticipated merit increases, negotiated salary, and benefit increases, as well as increased pension- related expenses. In addition to these increases, some of the other more noteworthy variances in the above table a re described in the Personnel Section, with the staffing level impacts of these changes described in the Department budgets.

Overview of 2024-25 Measure U
Measure U is a one-cent local transactions and use tax. City voters initially approved Measure U in the June 2012 election (63.95 percent support), enacting a one -quarter-cent tax. More recently, voters in the November 2018 election (with a 74.18 percent m ajority) extended and enhanced Measure U at the one-cent rate.

The City Council authorized that 90 percent majority of the aforementioned tax proceeds be spent on public safety-related services, then five percent on youth services, and five percent on programs for quality of life.

MEASURE U BY CATEGORY

Public Safety
Youth
Services
Quality of
Life
Total
Proposed
2024-25

DEPARTMENT
Police $ 12,835,790 $ - $ - $ 12,835,790
Fire 11,945,878 - - 11,945,878
Recreation & Parks 1,940,905 846,550 283,857 3,071,312
Library 192,695 642,581 179,433 1,014,709
Community
Development
- - 824,287 824,287
City Manager 38,841 - 196,379 235,220
Finance 2,757 - - 2,757
Total Operating $ 26,956,866 $ 1,489,131 $ 1,483,956 $ 29,929,953 90% 5% 5% 100%
City Manager Capital - - 1,200,000 1,200,000
Total Expenditures $ 26,956,866 $ 1,489,131 $ 2,683,956 $ 31,129,953 Because Measure U only has one revenue source that is impacted by the health of the economy, and is allocated primarily to fund ongoing staffing, it is imperative to maintain a healthy reserve in the event of an economic downturn. There is no allowance for additional uses of Measure U tax proceeds other than what has already been authorized by City Council. Coupled with slowing growth in sales tax, and the fact that the same number of personnel and services are now costing more, Measure U will not be able to sustain the same level of service.

City of Santa Maria 2024-26 Biennial Budget

Budget Message
21 MEASURE U FUND ANALYSIS

Actual
2022-23
Year-End
Estimated
2023-24
Proposed
2024-25

RESOURCES
Beginning Fund Balance $ 18,782,987 $ 17,105,068 $ 4,413,648 Revenue 25,787,354 25,881,016 26,716,305
Total Resources $ 44,570,341 $ 42,986,084 $ 31,129,953
USES
Police $ 11,639,340 $ 13,099,227 $ 12,835,790
Fire 11,337,050 19,405,145 11,945,878
Recreation & Parks 3,081,760 3,692,329 3,071,312
Library 826,690 1,220,550 1,014,709
Community
Development
418,140 963,250 824,287
City Attorney 142,532 - -
City Manager 19,761 189,335 1,435,220
Finance - 2,600 2,757
Total Uses $ 27,465,273 $ 38,572,436 $ 31,129,953
Ending Fund Balance $ 17,105,068 $ 4,413,648 $ -
Enterprise Funds
Water Resources
Overall, total appropriations in the Water Resources Budget are decreasing by $11.5 million in 2024-25.

The primary reason appropriations are increasing can be attributed to decreased capital expenditures. A complete analysis of the Water Resources Fund as well as an analysis of the State Water cost obligations can be found in the Utilities Department narrative The following table summarizes the proposed Water Resources budget for 2024-25:

Water Resources
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
002 – WATER FUND
Salaries & Benefits $ 1,677,258 $ 3,342,698 $ 3,924,522 $ 4,942,566 $ 5,236,455 Services & Supplies 5,680,398 6,259,255 7,111,776 7,357,561 7,084,071 Capital & Outside Agencies 4,443,808 19,170,322 35,421,500 32,177,060 35,228,160 Debt Service 4,586,373 1,377,925 3,623,350 3,622,100 3,625,600 Transfers 588,812 721,182 990,852 1,133,873 1,133,873
Total Water Fund $ 16,976,649 $30,871,382 $ 51,072,000 $ 49,233,160 $ 52,308,159

004 – WASTEWATER FUND
Salaries & Benefits $ 887,120 $ 4,180,020 $3,380,184 $ 4,297,016 $ 4,539,440 Services & Supplies 3,620,405 4,316,565 5,116,754 5,119,467 5,079,477 Capital & Outside Agencies 624,774 2,536,062 14,724,170 4,248,140 14,028,480 Transfers 300,167 434,306 489,230 431,214 431,214
Total Wastewater Fund $ 5,432,466 $ 11,466,953 $ 23,710,338 $ 14,095,837 $ 24,078,611 Total Water Resources $ 22,409,115 $ 42,338,335 $ 74,782,338 $ 63,328,997 $ 76,386,770 City of Santa Maria 2024-26 Biennial Budget

Budget Message
22 Solid Waste
The Solid Waste budget is increasing by 40.4 percent to $53.8 million in 2024-25.

Budgeted expenses are higher than previous actual expenses due to significant capital fleet purchases, including two automated side-loading vehicles, one front -loading vehicle, one electric side-loading vehicle . These are in addition to increases in O&M expenses related to regulatory requirements, salary and benefits, and unfunded pension liability.

The following table summarizes the Solid Waste Budget for 2024-25:

Solid Waste
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
003 – SOLID WASTE COLLECTION
FUND
Salaries & Benefits $ 4,378,720 $ 2,528,143 $ 4,869,153 $ 5.373.013 $ 5,688,881 Services & Supplies 11,725,190 13,647,822 15,079,806 15,416,828 15,336,131 Capital & Outside Agencies 358,869 486,469 2,880,000 1,258,400 1,198,820 Transfers 384,922 589,193 689,717 660,978 660,978
Total Solid Waste Collection Fund $ 16,847,702 $ 17,251,627 $ 23,518,676 $ 22,709,219 $ 22,884,810

010 – SOLID WASTE DISPOSAL FUND
Salaries & Benefits $ 2,536,741 $ 3,821,207 $ 3,808,653 $ 4,138,722 $ 4,345,771 Services & Supplies 9,346,250 14,219,749q 9,723,816 9,567,915 9,590,702 Capital & Outside Agencies 7,323,804 478,005 675,000 16,744,680 - Transfers 382,643 507,524 585,324 637,446 637,446
Total Solid Waste Disposal Fund $ 19,589,438 $ 19,026,485 $ 14,792,793 $ 31,088,763 $ 14,573,919 Total Solid Waste $ 36,437,140 $ 36,278,112 $ 38,311,469 $ 53,796,150 $ 37,467,782 Transit Budget
The Santa Maria Regional Transit (SMRT) system provides local and regional public transportation services, as mandated under State and Federal regulations, for the transit needs of the Santa Maria urban area. For 2024-25, the City proposes $ 15.6 million in appropriations, approximately $ 3.4 million less than in 2023-24. The division proposes to complete its initiative to replace numerous buses with an all-electric fleet. The following chart summarizes the proposed Transit budget:

Measure A, SB-1, and Gas Tax
In November 2008, voters in the County approved Measure A, the half -cent sales tax dedicated to streets maintenance and transportation system improvement projects. Measure A is the reauthorization of Measure D, which was the original half-cent sales tax measure previously approved by the voters in 1989.

California’s cities, counties, and transportation agencies face a statewide backlog to make transportation infrastructure improvements. The “Road Repair and Accountability Act” (SB 1 – Beall) passed by the State Legislature and signed by the Governor in 2017, will raise an estimated $5 billion annually in long -term, dedicated transportation funding to make road safety improvements, fill potholes, and repair local streets, highways, bridges, and overpasses, with the revenues split equally between State and local government projects.

Library
Library funding remains steady, and like all other personnel- centric functions, expenditures are increasing faster than revenues requiring the General Fund to provide additional support for library services. An additional risk for Library funding is the unsettled nature of County funding for countywide library services. Total appropriations are expected to increase from $ 5.68 million in 202 3-24 to $6.53 million in 2024-25.

Capital Funds:

In all, the proposed Capital Projects Budget for 2024 -26 consists of 64 capital projects representing approximately $115.9 million in appropriations. In all, 169 total projects were requested by operating City of Santa Maria 2024-26 Biennial Budget

Budget Message
23 departments, totaling $148.9 million; however, 105 projects (representing approximately $33.0 million) were not funded.

The 2024-26 Budget reflects $62.2 million in projects in the first year and $53.6 million in the second year.

For comparison purposes, the 2022- 24 Budget consisted of 151 capital projects totaling $104.7 million in appropriations.

It should be noted that 8 General Fund projects were not funded due to funding limitations. This is $2.5 million in the first two years of this budget.

Most capital projects proposed for 2024-26 - about 93.4 percent - are financed from non-General Fund sources. The Capital Projects General Fund has $3.5 million in capital expenditures for 2024-25 and $2.8 million in 2025-26.

Capital Improvement Program:

The following significant projects are proposed to be funded in the four -year Capital Improvement Program developed as part of the 2024-26 budget development:
• Enhanced Roadway Maintenance – additional General Fund contributions in 2026 -28. • Depot Street and Railroad Avenue – Bikeway Project (construction in 2026-28). • College Drive – Bikeway Project (construction in 2027-28). • East Main Street Rehabilitation (construction in 2027-28). • EV Infrastructure Expansion Phase 2 (2026-28).
• Transit Administration Building (2025-27).
• Remote Transit Facility (2025-26).
• BRT Implementation (2026-28).
• Pocket Parks (2026-28).
• ADA Barrier Removal at Simas Field (2026-27).
• Waste Discharge Requirements and Plant Upgrade (2024-28). • Design, Permitting, Construction Quality Assurance and Construction of the Integrated Waste Management Facility at Los Flores (2026-28).
• Construction/Relocation of Fire Station 2 (2026-27).
• Fire Department Training Facility (2025-26).

The list of proposed significant projects over the next four years is not all inclusive of the overall capital improvement needs throughout the City including buildings rehabilitation, roads, and facilities to accommodate future growth.

Contributions to Outside Agencies:

The City contracts with the Santa Maria Valley Chamber of Commerce to facilitate community vitality through economic prosperity. This partnership focuses on the Chamber providing business support, attraction, and retention under the Economic Development Commission (since 2004) and tourism marketing through the Visitors Bureau (since at least 1978). The City’s 2022-23 and 2023-24 contributions toward the Economic Development Commission were $217,000 and $222,500, respectively. The City’s 2022-23 and 2023-24 contribution toward the Visitors Bureau were $593,000 and $608,000, respectively.

Given current City efforts in economic development and tourism, such as downtown revitalization, and other changing conditions locally and regionally, the City will conduct an overall assessment and evaluation of economic development and tourism needs, wit h review and recommendations by an outside consultant, and with input from stakeholders. This effort will begin at the start of 2024-25. During this time, the City will move to short-term contracts with the Chamber of Commerce. Staff proposes a month-to-month contract prorated at the current 2023-24 contract amount.

The Santa Maria Valley Historical Society Museum preserves the Santa Maria traditions that are important to the community and is a resource to all City departments for projects and information. It offers free services to those it serves. The museum building was given to the City and the City maintains the building for use by the museum and the Chamber of Commerce. The City’s 2022 -23 and 2023-24 contributions toward the Santa Maria Valley Historical Society Museum were $20,000 each year. The City will provide the same funding amount for the next two fiscal years.

City of Santa Maria 2024-26 Biennial Budget

Budget Message
24 The Santa Maria Museum of Flight serves as a preservationist of past, present, and future aerospace and aeronautical artifacts, historical documents, and memorabilia of the Santa Maria Valley. Its focus is on the aviation history of the Santa Maria Valley. The museum is located at the Santa Maria Airport.

The City’s 2022- 23 and 2023- 24 contributions toward the Santa Maria Museum of Flight were $20,000 each year. The City will provide the same funding amount for the next two fiscal years.

The Northern Santa Barbara County United Way operates the AmeriCorps/Home for Good Partnership for Veterans and People Experiencing Homelessness. The City’s 2022 -23 and 2023- 24 contributions toward United Way were $30,000 each year. This funding was used t o employ AmeriCorps members that conducted outreach with those experiencing homelessness, including veterans. United Way is transitioning from this business model of outreach and data collection to a focus on housing retention.

The City will continue to provide the same funding amount for the next two fiscal years.

SUMMARY OF PROPOSED OVERALL STAFFING RECOMMENDATIONS:

This section summarizes the personnel changes being proposed in the 2024 -26 Budget for full -time, part-time, and limited -services positions. The full -time equivalent (FTE) counts listed in this budget document reflect positions funded with current resources. All positions, both full and part -time, are shown in the FTE count. A Full- Time Equivalent (FTE) is defined as a position that works 2,080 hours per fiscal year, or 2,912 hours for certain Fire personnel. For example, a full-time employee who works 2,080 hours per year equals 1.00 FTE. A part-time employee who works 1,664 hours per fiscal year equals 0.80 FTE. The FTE for Fire Department positions are reflected at the applicable calendar of 2,080 or 2,912 hours per FTE. Limited-service employees can work up to a maximum of 19 hours per week.

The positions listed in this budget document reflect those previously adopted during the 2023-24 mid- cycle budget update, those added and deleted (reclassifications) by the City Manager and through other City Council actions, specifically as part of the budget amendments presented with the First and Second Quarter 2023-24 Financial Reports, as well as the Enterprise Resource Planning System Project Implementation budget amendment adopted by Council in March 2024, which added 10 fixed term positions for the project. In preparation for the biennial budget process, departments assess t heir operational needs and recommend the addition, consolidation, or deletion of positions through Supplemental Budget Requests (SBRs) that have a nexus to support and align with the City Council’s goals and priorities.

For 2024- 25, the proposed personnel recommendations bring City -wide staffing totals to 690.00 authorized full-time positions and 42.40 part-time employees, for a total of 732.40 authorized positions.

The proposed authorized staffing recommendations in 2024 -25 bring the full- time employee- to- population ratio for the City to 6.61 employees per thousand residents – still far below the average 9.10 per thousand of three other Central Coast cities.

There are 601 budgeted full -time positions and 57 part -time employees, for a total of 658 budgeted positions, a ratio of 5.94 budgeted full-time employees per thousand residents . For the General Fund, in 2024- 25, there are 461.92 full -time positions and 27.20 part -time positions proposed for a total of 489.12 positions.

Of the full-time General Fund positions, the
Police and Fire budgets comprise 286 full-
time positions or 41.4 percent of all full-time
positions as depicted in the chart to the
right. By comparison, in 2010- 11 there were
212 full-time public safety -related positions.

Since that time, the full-time complement in
the public safety departments has
increased approximately 3 5.5 percent,
while the population of the City during this
same time has increased by 11.1 percent. It
should be noted that one out of every four
full-time employees in the City is a sworn
police officer. The impact of the proposed
Public
Safety

41.4%
Utilities

18.8%
Public Ways &
Facilities

10.7%
Leisure & Cultural
Services

12.0%
Community & Economic
Development

4.8%
General Government

12.2%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Message
25 City-wide staffing changes is 14 new full- time positions and one part -time positions in the first year. Of those new positions only 4.8 FTE – 4 new full-time and 1 part time position will be funded via the General Fund.

Conclusion:

This budget document is the result of efforts by staff from every City department. This recommended two-year spending plan is balanced pending implementation by the City Council. It provides for the continuation of key public services and reflects the need s of the community. It relies, however, on reserves, which by definition are not sustainable. Santa Maria must strive to achieve long-term financial sustainability. While reserves are being tapped, future liabilities, increasing employee costs, and deferred infrastructure maintenance temper the City’s progress.

The City Council and staff must be disciplined and work together feverishly over the 2024- 26 Biennial budget timeframe to seek out new revenue sources, and create new partnerships, to be in a position to implement new services or enhance programs to achieve the longer -term goal of a sustainable financial future. Finally, because the preparation of the budget is a substantial and extra work effort on behalf of the entire organization, I would like to thank all the dedicated budget team members from the Finance Department and from within my office, as well as those in the operating departments that provided professional and timely preparation, for the important roles they served in developing this budget document. To all the above, my sincerest appreciation is extended.

ALEX POSADA
Interim City Manager

City of Santa Maria 2024-26 Biennial Budget

Budget Message
26 This Page Intentionally Left Blank

27 COMMUNITY PROFILE

City of Santa Maria 2024-26 Biennial Budget

This Page Intentionally Left Blank
City of Santa Maria 2024-26 Biennial Budget

Community Profile
29 More than 150,000 people a year attend the
Santa Barbara County Fair held in Santa Maria.

The popular Strawberry Festival also is hosted at
the Santa Maria Valley Fairpark.

The Santa Maria Valley is rich in agriculture and
home to some of the ripest, juiciest, largest
strawberries in the country. Farmers grow multiple
varieties and harvest more than 7,500 acres
annually.

Currently there are more than 2,600 housing units
with pending or approved discretionary
entitlements.

“Downtown Fridays” draws more than 1,500
people each week for entertainment and food.

The event, now in its ninth year, is a partnership
among the City and local organizers, to stimulate
the community’s downtown core.

Tens of thousands of travelers per day along
Highway 101 are welcomed by this sign. Santa
Maria has long been a regional shopping center,
and continues to attract more companies due to
its business-friendly approach.

Before Sunset Magazine named our valley’s
classic feast the “best barbecue in the world”, the
California Visitor’s Guide dubbed our famous
Santa Maria Style Barbecue “the number one
food not to miss while visiting California.”

City of Santa Maria 2024-26 Biennial Budget

Community Profile
30 INTRODUCTION
The City of Santa
Maria is located in
Santa Barbara
County on the west
coast of California i n
what is known as the
Central Coast. Santa
Maria is the largest
City by population
and geographic area
in the County (23.2
square miles).

DEMOGRAPHICS
A city is defined by its assets, the most important
one being the people that populate it and
work within its boundaries. The City has carefully
planned for growth, while preserving local
history, being cognizant of both its past and the
modern future.

CITY POPULATION
The City’s population reached 1 10,608 as of
January 1, 2024, according to the State
Department of Finance (DOF), making it the
59th largest city by population of 482
municipalities in California. Nearly 25 percent of
all residents within Santa Barbara County live in
Santa Maria. From 2000 to 2022, the number of
City residents identifying as Hispanic increased
from 51.3 percent to about 77.8 percent. The
percentage of residents who speak a
language other than English at home is 66
percent as of 2022 according to the Census.

City population growth by decade, according
to the Census and State:

* Source: United States Census Bureau, 2022 American Community Survey 1-Year Estimate Largest City
in California
59th
282nd
Largest City
in the US

23.2 Hispanic or Latino

77.8%
Not
Hispani
c or
Latino

22.2%
110,608
Population
(Estimated 2024)
Source: California
Department of Finance

6.6%
Unemployment Rate
(April 2024)
City of Santa Maria 2024-26 Biennial Budget

Community Profile
31 Composition of Population:

City State
Male 49.9% 50.1%
Female 50.1% 49.9%

Median Age 29.5 37.9

Avg. Household
Size

4.19 3.39

Owner-Occupied 49.6% 55.8%
Renter-Occupied 50.4% 44.2%

ECONOMICS
Top Employers:
1,000+ Employees:
• Allan Hancock College
• County of Santa Barbara
• Marian Regional Medical Center/Dignity
Health
• Santa Maria-Bonita School District

500+ Employees:
• City of Santa Maria
• Community Health Centers
• Santa Maria Joint Union High School District
• Windset Farms
* Although located outside the City limits,
Vandenberg Space Force Base (4,300
employees and contractors) and the Diablo
Canyon Power Plant (1,500 employees and
contractors) are near the City and are a major
source of local employment and local
purchasing.

COMPARISONS TO OTHER COMMUNITIES/STATE
Estimated Median Household Income:

Santa Maria ............................................ $81,237 Santa Barbara ........................................ $98,346 Lompoc ................................................... $66,947 California ................................................. $91,905

HOUSING
Santa Maria has approximately 29,910 housing
units, of which 6 6 percent (19,751) are single -
unit structures, 3 0.5 percent (9,133) are multi -
unit structures, and 1,026 are mobile homes.

Overall, there is an estimated 3.4 percent
vacancy rate.

BUILDING ACTIVITY
Development activity resulted in $ 171 million in
valuation for 2022 and $93 million in 2023.

PUBLIC SCHOOLS
Institution Enrollment:

Santa Maria-Bonita School District (K-8) ......... 17,024 Allan Hancock College ................................... 25,000 Santa Maria Joint Union High School District ... 9,133

LOCAL HOSPITAL
Marian Regional Medical Center

LEGISLATIVE DISTRICTS
• State Senate District 19
• State Assembly District 35
• Congressional District 24
• Santa Barbara County Supervisorial Districts
4 and 5

ZIP CODES
• 93454-93458

AREA CODES
• 805 and 820

WEATHER
14” of annual rainfall. Average high is 68.6
degrees; record low 20 degrees in 1978; record
high 110 degrees in 2008.

CITY GOVERNMENT
The City of Santa Maria was incorporated on September 12, 1905. The City became a Charter City in December 2000, after the voters of Santa Maria approved a ballot measure in November 2000 to change from a General Law City to a Charter City. A Charter City can adopt laws, different than the general State laws, to meet the specific needs of the city. The operation of a city under a charter is often referred to as “home rule.”
The City operates under the council- manager form of government. Starting in November 2018, Councilmembers are elected by -district for four -year, overlapping terms of office. The Mayor is separately elected at-large by a popular vote, for a four-year term.

CITY HISTORY
The community’s roots are traced back to the days of the California missions. After Mission San Luis Obispo was established in 1772 and Mission La Purisima (in what is now Lompoc) in 1787, settlers were City of Santa Maria 2024-26 Biennial Budget

Community Profile
32 attracted to the Santa Maria Valley. In 1821, when Spain granted Mexico its independence, mission lands were made available for private ownership. In 1874, four of the valley’s prominent settlers, Rudolph Cook, John Thornburg, Isaac Fesler, and Isaac Miller, each donated land where their properties met to form a city centered on Main Street and Broadway. The townsite map was recorded in Santa Barbara in 1875.

The community was not always known as Santa Maria. The town was originally known as Grangerville – for a Grange co -operative store started by Thornburg. Later, it took on a new name, Central City, because the town lay between Guadalupe and Sisquoc. But the name Central City, California, kept getting confused with Central City, Colorado. Mail intended for Central City, California , was being sent to the Colorado community of the same name. Thornburg reportedly came up with the name Santa Maria from the name that settler Juan Pacifico Ontiveros had given to his property 25 years earlier. Ontiveros and his wife had arrived in the area in 1855 and built a palatial adobe (a home built of clay and straw bricks) at the mouth of a local canyon and called their home Santa Maria. The home was finished in 1858. Ontiveros already named the nearby waterway “Santa Maria Creek,” until it rained for 30 days and 30 nights in 1861 -1862, and then he referred to it as a river. This waterway is known today as the Santa Maria River.

HERITAGE
The change of name from Central City to Santa Maria was noted in the first issue of the Santa Maria Times on April 22, 1882.

The Santa Maria Valley saw oil exploration begin in 1888, leading to large -scale discoveries around the turn of the century. In 1901, William Orcutt urged his company (Union Oil) to move forward by leasing more than 70,000 acres
within a year. Soon, Union Oil and a number of smaller
companies were pumping for oil. By the end of 1903, Union Oil, the major player in the region, had 22 wells in
production. Several significant discoveries followed,
including the Orcutt and Cat Canyon fields in 1904 and
1908, respectively. Union Oil's Hartnell Well No. 1 (known as Old Maude) struck a large oil-bearing reservoir in the Orcutt field in late 1904 and reportedly produced one million
barrels of oil in its first 100 days of operation. Oil development intensified in the 1930s, spurring the City's growth even further. By 1957, there were 1,775 oil wells in operation in the Santa Maria Valley, producing more than $64 million worth of oil.

In 1905, faced with the need to provide local governance to the rapidly growing population attracted to the valley, due to the discovery of oil, Santa Maria was incorporated as a general law city. That same year, Union Sugar built the valley’s first major industrial plant in Betteravia. Acres of sugar beets were grown, and sugar cane and beets were imported from inland California and other American and foreign fields. A cattle feeding yard was developed to dispose of waste from the sugar plant.

Soon after the incorporation, people began talking about the possibility of a library and in 1907 the City appointed a Board. Because the Carnegie Library Foundation was giving money for buildings in order to encourage the use of libraries, the Board applied fo r a grant in the amount of $10,000. The women of the Minerva Club received their wish for a new library. After consideration of various locations, Mr. Paul O. Tietzen generously donated a plot of land and philanthropist Andrew Carnegie kept his promise. A beautiful Carnegie Library opened in May 1909, initially with 600 volumes .

Oil production in the valley is more than a
century old.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
33 In 1908, an electric streetcar provided service to the northwest part of the City. Three years later, the Santa Maria Valley Railroad was constructed by an oil syndicate. Before World War II, Santa Maria Valley Railroad and Pacific Coast Railway trains connected areas east and south of Santa Maria to the Southern Pacific line at Guadalupe. An ice plant at Miller supplied ice for the refrigerator cars, which carried vegetab les and other produce. The Santa Maria Valley Railroad was incorporated in 1911 and in 1 915 was sold to Captain G. Allan Hancock. Today, the railroad has 14 miles of mainline track and serves freight customers in the Santa Maria Valley, linking with the Union Pacific Railroad at Guadalupe.

Frank McCoy came to work for the new Union
Sugar plant. Immediately he saw that the City,
located midway between Los Angeles and
San Francisco, had no comfortable hotel
accommodations. When he retired in 1915, he
bought a lot eight blocks south of the center of
the town and built the Santa Maria Inn. With its
beautiful flower gardens, the Inn became a
popular stopping-place for important travelers
from all over the world. With the addition of the
six-floor tower in 1984, it now provides 166
rooms and suites.

In 1919, a two -story 13- room home built by
Robert Martin on South Broadway was sold to
a group of businessmen and later became the
Santa Maria Club. This private men’s club
served as the political and social center of the
valley for many years. The members b uilt a
huge barbecue pit and developed the famous “Santa Maria Style Barbecue.” Later, the building became the Landmark Restaurant and Lounge, and barbecue duties were assumed by the Elks Lodge.

In 1928, Hancock Field, Santa Maria’s first airport, was opened on the east side of town. Captain Hancock was president of Santa Maria Airlines and founded the College of Aeronautics at that field.

Later Allan Hancock College was built on the site of Hancock Field. Today, the college offers more than 2,600 courses in over 100 fields of study via 14 academic departments and is a major focal point in the community with an economic impact of over $250 million annually. A $180 million bond, Measure I, passed b y voters in June 2006, enabled the College to modernize technology, upgrade infrastructure, and build new teaching and learning spaces. in the college has built a new Industrial Technology/Physical Education and Athletic Fields Complex, Public Safety Training Complex, Childhood Center addition, Community Education building, a Student Services building, a Fine Arts Complex, and more.

Santa Maria City Hall was dedicated in 1934. Initially, the building also had room for the Police Department and Chamber of Commerce. The building received designation as a City landmark in 1985.

In the mid -1970s, the Santa Maria Town Center West (the Mall) was added to the City's downtown, creating 400,000 square-feet of enclosed retail shopping. The Mall was expanded in the late 1980s and early 1990s.

On June 20, 1998, Santa Maria was selected as one of 10 cities Nationwide, to receive the coveted All-America City designation. The program promotes the collaboration of individuals, businesses, local government, non-profit organizations and the citizenry in the identification and solutions of problems.

The Carnegie Library
Paying homage to the past: a classic wooden
caboose, a Sacramento Northern Railroad boxcar,
and Union Sugar No. 1 steam locomotive were installed
in November 2011 as an exhibit near the Transit Center.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
34 In 1999, the commercial area along Bradley Road expanded and the Crossroads Shopping Center opened at Betteravia Road and Highway 101. This shopping center is home to national retailers and several automotive dealerships. The City has continued to add major "destination" retail outlets to its existing retail offerings.

The Public Library is one of the jewels of
downtown. Following four expansions, the
new Main Public Library opened in August
2008 to rave reviews. Patrons enjoy the
expanded book collections, public
computers, the Children's Theater, the
Central Coast Literacy Center, study rooms
and a Library Shop. Shepard Hall serves as
the community meeting room, and new art
exhibits from local and regional artists are
put on display. Nearby is the Abel
Maldonado Community Youth Center.

Agriculture has always been significant to
Santa
Maria.

Many modern farms have been in the same family for generations, and about one in every five local jobs is tied to agriculture. Santa Maria Valley farms and ranches made a huge contribution to Santa Barbara County’s gross crop production value of over $1.9 billion in 2022. Strawberries, broccoli, cauliflower, lettuce and celery are grown in the valley. The annual strawberry crop is valued at more than $800 million. In 2011, Canada-based Windset Farms opened its state-of-the-art, multimillion -dollar greenhouse and processing operation to grow tomatoes and expanded in 2015. The campus occupies four 32 -acre greenhouses, one 5 -acre greenhouse, a processing plant and other facilities, and is seeking to expand.

Every year, the Santa Maria Elks Rodeo is a three - to four -day event made possible by more than 1,300 volunteers who work on numerous committees. The result is the annual parade on Broadway (State Highway 135), the rodeo, a rodeo queen
contest, beard -a-reno contest, a mini rodeo, concerts, dances, barbeques, banquets, and much more.

THE CITY’S PRESENT AND FUTURE
Santa Maria has a diverse economy based on agriculture, commercial, and manufacturing, in addition to education, health care, tourism, oil production and government. In recent years, the City has experienced positive trends in most economic segments led by consumer spending, construction spending, and increased property values. Construction activity has increased significantly. Downtown Fridays, in its ninth year as of 2024, draws thousands of people downtown to shop and find live entertainment.

The City Council in early 2016 approved formation of a tourism business improvement district, assessing a two percent fee on each overnight stay in a Santa Maria motel or hotel room. Funding is fueling a marketing push into new markets. More guests staying overnight, eating at restaurants, visiting wineries, using gas stations, and shopping at local stores will boost sales tax revenue for the City.

In 2024, residential, commercial, and industrial construction continues throughout the City. The demand for housing is constant. The City is working toward meeting its most recent State -mandated Regional Housing Needs Allocation of planning for 5,418 new units between 2023 and 2031.

Held annually in June, the Santa
Maria Elks Rodeo celebrates
Santa Maria’s heritage.

Abel Maldonado Community Youth Center

City of Santa Maria 2024-26 Biennial Budget

Community Profile
35 The Centennial Square Apartment project is currently under construction at the southwest corner of Miller Street and Plaza Drive. This project includes 184 affordable apartments. One of the newest apartment complexes that has been recently completed is Cen tennial Gardens along West Battles Road, offering 160 affordable apartments in nine buildings. Also new is Santa Maria Seniors near Santa Maria Way and Miller, with 160 affordable efficiency apartments for seniors. Lakeview Estates (Elements Apartments) at Highway 135 (Broadway) and Skyway brings 152 apartments and 9,800 square feet of commercial space. The Avante Apartments at Carmen Lane and Blosser Road will bring 86 apartments. This is just a partial list. The largest new neighborhood to receive City approval is Blosser Ranch, set for about 1,485 housing units on 145 acres at the southeast corner of Stowell Road and Blosser Road. The City has purchased 19 acres for a sports complex and is working on another site for a future fire station.

A four-story, 93-room Holiday Inn Express has been approved to be constructed on a two -acre lot on Roemer Court, at the north edge of the community. Chick -Fil-A is also approved for construction of a 5,000-square-foot commercial drive -through restaurant at Broadway and Preisker Lane, also at the northern edge of the City. MaxCo Box Facility is a 62,000 -square-foot box makeup building and outdoor material storage yard on Stowell Road. Seaside Packaging is a nearly 41,000- square-foot packaging warehouse and distribution facility on La Brea Avenue. This is just a partial list .

Revitalizing the historic downtown core remains a priority with projects continuing to be developed and moving forward towards City approval. The City has continued working with a developer, the Vernon Group, on the planning and construction of several multi- story mixe d-use residential and commercial buildings located on underutilized City owned parking lots in the area of the intersection of Broadway and Main Street. The first of these projects, Alvin Newton Apartments (Lot 3), was approved by the City Cou ncil In 2023. This project is located at the southeast corner of Main Street and Broadway and is a 6-story, 75,340-square-foot mixed-use building with 5,760-square-feet of ground floor commercial, 82 apartment units, a rooftop deck, outdoor plazas, parking , and a firefighters' memorial. Future developments are proposed on the Perlman Park site located on the northeast corner of Main Street and Broadway (Lot 2), the northerly parking lot adjacent to the old Fallas/Mervyn’s building, and the parking lot east of the Ruffoni building adjacent to Lincoln (Lot 4).

The Heritage Walk Lofts project (former Mervyn’s/Fallas building) to redevelop that building into 102 apartment units is currently under review by the City and the construction plans for Alvin Newton Apartments are currently being drafted for submittal to the City later this year. Both projects should break ground later in 2024.

The Downtown attractions include the Santa Maria Town Center with the Regal Edwards movie theatre and the civic center at the Public Library. Future planning efforts will continue to focus on developing a pedestrian friendly city center with outdoor gather ing spaces and plazas, pedestrian connections, and entertainment opportunities.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
36 TIMELINE
1856 Juan Pacifico Ontiveros and his wife,
Maria Martina Osuna, purchase Rancho
Tepusquet. Arriving on the “Feast of
Mary,” T hey name their ranch “Santa
Maria” and build an adobe.
1959 Santa Maria River Levee is built by
Army Corps of Engineers (1959-1963)
to deter continuous flooding from
upstream watersheds.
1874 Rudolph Cook, John Thornburg, Isaac
Fesler, and Isaac Miller donate land to
form a town called Grangerville, later
renamed Central City.
1975 Santa Maria Town Center East Mall
opens with a three -level parking
structure. It becomes the first major
indoor shopping center on the Central
Coast.
1882 Central City was later renamed Santa
Maria.

The Pacific Coast Railway arrives,
connecting Santa Maria to Port Hartford
(now Port San Luis).
1998 As one of only 10 cities in the nation
annually, Santa Maria received the All-
America City designation from the
National Civic League.
1905 The City of Santa Maria is born on
September 12, 1905. The vote is 202
votes for and 139 against incorporation.
2006 With 89,917 residents, Santa Maria
becomes the most populous city in
Santa Barbara County for the first time.
1911 Santa Maria Valley Railroad
incorporated, providing rail freight and
commerce to the valley.
2008 The 60,000 -square-foot new Main
Public Library opens in August to a
crowd of over 10,000 on the first day
and quickly becomes the jewel of the
Central Coast.
1925 Captain Allan G. Hancock establishes
the Santa Maria Valley Railroad and
Hancock College of Aeronautics (now
Allan Hancock College).

Santa Maria High School opens.
2020 The A.T. Still University of Health
Sciences opened its satellite campus
in Santa Maria with its first cohort of
students.
1934 Dedication of the new City Hall. In its
early days, the building housed the City
Judge, Department of Motor Vehicles
and Chamber of Commerce.
2023 The City opens Machado Plaza at
North Pine Street and West Chapel.

Local teens helped make a colorful mural depicting
Santa maria’s history
Dia de Los Muertos is a popular November event.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
37 LITTLE KNOWN FACTS ABOUT THE SANTA MARIA VALLEY
• The Legend of Zorro was based on the life of Solomon Pico, a murderous bandit who camped in the Santa Maria hills.
• From 1962-1963, John Madden was the head coach of Santa Maria’s Allan Hancock College football team.
• The Historic Santa Maria Inn (opened May 1917) was a favorite of William Randolph Hearst (American newspaper magnate) and his friends, who often stayed at the Inn on journeys to Hearst Castle in San Luis Obispo County. Marilyn Monroe, Clark Gable, Shirley Temple, Jimmy Stewart, and Rudolph Valentino were among the Inn’s notable guest s during the “Golden Years” in Hollywood.
• In 1904, Old Maude, Santa Maria’s first oil well, produced 1,000,000 barrels of oil in its first 100 days of operation.
• The Guadalupe-Nipomo Dunes Complex just west of Santa Maria boasts the highest beach dunes in the western United States, with some towering 500 feet. The 1923 Cecil B. DeMille’s silent movie, “The Ten Commandments,” was filmed in the Guadalupe-Nipomo Dunes Preserve.

Due to weather and wind, the set was gradually buried beneath the sand. • In 1978, the Santa Maria Valley Chamber of Commerce copyrighted the Santa Maria Style Barbecue recipe to protect the genuine article.
• The Minerva Clubhouse, located in Santa Maria, was designed in 1927 by Julia Morgan, famed architect of Hearst Castle, a State park approximately 50 miles north of Santa Maria. • The Santa Maria Public Airport stands at the site of a U.S. Army Air Field used during World War II.

The 1963 Allan Hancock College Bulldog coaching staff, from left to right: End Coach Jim Wood, Head Coach John Madden, Defense Coach Dick Mannini, Backfield Coach Ernie Zampese.

Photo courtesy of Allan Hancock College.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
38 ACCESSIBILITY AND COMMUNITY MOBILITY
The City operates Santa Maria Regional Transit (local bus service), the Breeze (intra -City service), and ADA Paratransit. The Transit Center is at 400 Boone Street. Greyhound serves the area. The Santa Maria Public Airport, with two runways, provides commercial flights and is home to over 200 general aviation aircraft. Amtrak provides local bus service to its rail service.

Highways serving the area:
• U.S. Highway 101
• State Route 135
• State Route 166

TRANSPORTATION NETWORK
The City recognizes the importance of having a robust transportation network to serve the needs of the community and shape it in positive ways, as well as providing alternatives to the private automobile to reach destinations within Santa Maria and the region. The Santa Maria Circulation Element of the General Plan evaluates the transportation needs of the City and presents a comprehensive transportation plan to accommodate those needs. The intent of the Circulation Element is to guide the orderly improvement of the circulation system in direct response to the Land Use Element of the General Plan. The original Circulation Element was adopted by the City Council on Apr il 17, 1979. The text was reformatted in April 1987 and incorporates amendments made through September 6, 2011.

Regional access to the City of Santa Maria is provided by the U.S. 101 Freeway. This highway provides the City with good access to neighboring population centers. The major existing north -south streets serving Santa Maria are Broadway, Blosser/Skyway, and Miller. Broadway is designated State Route 135 and connects the Santa Maria/Orcutt urban areas. The major east-west streets serving Santa Maria are Donovan Road, Alvin Avenue, Main Street, Stowell Road, Battles Road, McCoy Lane, and Betteravia Road. Main Street is designated State Route 166, west of U.S. 101, and connects Santa Maria to Guadalupe to the west and unincorporated areas of Santa Barbara County to the east. Main Street also has an interchange with U.S. 101.

SANTA MARIA REGIONAL TRANSIT
The Santa Maria Regional Transit (SMRT) system provides local and regional public transportation services, as mandated under State and Federal regulations, for the transit needs of the Santa Maria urban area. SMRT returned to full service in August 2021, after 14 months of reduced service due to the pandemic. SMRT then provided free rides to vaccination locations.

IMPROVED LOCAL TRANSIT
SMRT introduced important service changes as of January 2, 2022. The route and schedule changes include improved connections and more direct service to popular destinations. Routes were retimed to facilitate transfers and improve reliability, and most now operate on a 45- minute frequency.

This offers more services where they are needed, shortens the length of some routes, and provides improved access to the high schools.

AIRPORTS OFFERING PASSENGER AND CARGO SERVICE
The Santa Maria Public Airport encompasses approximately 2,598 acres, including two active runways.

The airport provides facilities for one airline (Allegiant) and serves as home base for over 200 general aviation aircraft. The Fire Department provides, under contract, Aircraft Rescue and Fire Fighting and airport inspection services to the Santa Maria Public Airport.

City of Santa Maria 2024-26 Biennial Budget

Community Profile
39 Located just 27 miles north of Santa Maria, San Luis Obispo County Regional Airport (SBP) provides passenger service to cities all over the world, as well as highly accessible cargo service. Commuter services are also available at the airport. Service is provided by United Airlines, American Airlines, and Alaska Airlines through their respective regional partners. In addition, within approximately one hour’s drive of the City is the Santa Barbara Municipal Airport.

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41 GUIDE TO THE BUDGET

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City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
43 PURPOSE OF THE BUDGET
The budget process furnishes departments with an opportunity to justify departmental work programs, to propose changes in services, and to recommend revisions in organizational structure and work methods. It also enables the City Manager to review these aspects and make appropriate recommendations to the City Council. The City budget sets forth a strategic resource allocation plan that addresses the City Council’s Priorities. The Budget is a policy document, financial plan, operations guide, and communication device all in one. Through the budget document, the City demonstrates its accountability to its residents, customers, and the community-at-large.

Presentation of the budget to the City Council provides an opportunity to explain municipal programs and organizational structures. It also allows the Council to judge the adequacy of the proposed operating programs, to determine basic organizational and personnel staffing patterns, and to establish the level of municipal services to be provided with the available resources. In order to accomplish these objectives, the budget must combine an explanation of anticipated financial resources for the ensuing fis cal year with proposed expenditures, supported by sufficient information on the proposed programs and activities to assess the appropriateness of the recommended levels of services.

The City’s Budget accomplishes the following:
• Determines the quality and quantity of City programs and services; • Details expenditure requirements and the estimated revenue available to meet these requirements;
• Connects the activities of individual City Departments to the City Council’s Priorities ; • Sets targets and provides a means of measuring actual accomplishments against goals; and • Serves as a communication device that promotes the City’s vision and direction, fiscal health and vitality, and what the public is getting for its tax dollars.

This document reflects the City’s continued use of a two -year financial plan, which emphasizes long - range planning and effective program management. The benefits of a two-year plan include:
• Ability to maintain long-range planning efforts;
• Ability to focus on developing and budgeting for significant objectives; • Encourage more orderly spending patterns;
• Ability to set realistic schedules for completing program objectives; and, • Save time and resources allocated to preparing annual budgets.

This document represents a proposal for the City’s two-year budget, covering the period of July 1, 2024 through June 30, 2026. As in the past, staff concentrated on the first year of the two-year budget (2024- 25). The second year of the two -year budget has been developed from the first year’s funding and revenue levels.

This budget is proposed as “two one-year budgets”. Amendments to this document may be necessary, at the end of 2024-25, depending on economic circumstances, and will be addressed during the Mid- Cycle Budget Review in June 202 5. For that reason, the budget summary schedules, financial tables, and graphic presentations in this document only show proposals for 202 4-25 budget year. In 2024-26, each department and budget unit that is proposed is shown in the Department Budget Detail section.

Additionally, the b udget provides the legal authority for expenditures and a means for control of municipal operations throughout the fiscal year. Accordingly, the City Charter mandates that a budget be adopted prior to the beginning of the fiscal year.

City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
44 THE OPERATING BUDGET, CAPITAL BUDGET, AND CAPITAL IMPROVEMENT PROGRAM The budget document contains information about both the City’s operating and capital budgets. The operating budget details the funding for the day -to-day operations and obligations of the City for a specific fiscal year such as personnel costs, vendors and contractors, utilities, building maintenance, and debt payments. The capital budget details planned expenditures for the same fiscal year to construct, maintain, or improve City facilities such as fire and police stations, libraries, parks, recreation centers, streets, sewers, and water infrastructure.

Capital projects range from road maintenance or construction to the renovation of municipal buildings, recreation centers and ball fields, and water main and sewerage system replacement. The Summary of Capital and Maintenance Projects provided in th e Capital Improvement Program Overview section of this budget, beginning on page 135 relates capital project needs to the financial sources that will support their realization and the timeframe in which both the financing and work will take place. Often spanning multiple years, capital improvement projects typically carry considerable future impact. They are often financed over a longer period, in effect spreading the cost of the project over generations of beneficiaries; however, th e first two years are integrally related to the Biennial Budget.

Certain projects for which funding is not yet secure or planning is not complete are budgeted during the fiscal year through supplemental appropriations. Additionally, debt-financed projects are typically reflected twice in the Biennial Budget as an original capital expenditure from the proceeds of the debt and as payments of principal and interest over several years. For example, in 2012, the City issued debt to finance the construction of a transmission line to take delivery of State Water, the purchase o f an additional 4,900 acre-feet of entitlement, and to acquire and construct certain water and wastewater facilities. The capital expenditure for the project was budgeted in the applicable fiscal years, as well as debt obligations which are still shown in the budget each year until fully paid off.

BUDGET PROCESS
The following describes the process used to develop the 2024-26 Biennial Budget. The City operates under a biennial budget spanning two fiscal years (a fiscal year is July 1 through June 30). The budget document consists of two one-year budgets.

Preparation of the two-year budget is a forward -view policy document, identifying proposed service levels given funding constraints and competing demands. The City’s budget is one of the most significant policy documents for consideration by the City Council. The budget process is driven by the policies, programs, and objectives of the City Council, which are financed by revenues received by the City.

The budget preparation process begins, in earnest, at the staff level around the January- February timeframe when the Department of Finance develops preliminary revenue forecasts based on the most recent revenue data. After these preliminary revenue forecasts are developed, budget instructions are distributed to City departments to compile the departme nts’ proposed budgets. The budget instructions explain the financial plan, budget calendar, and materials included with the instructions, as well as required budget forms to be completed by each operating department. This year the instructions explained operating budget requests, supplemental budget requests, and all capital/maintenance/equipment project requests. Each department is provided the historical budget information of salaries and benefits, services and supplies, and revenues.

Capital/maintenance/equipment project requests were distributed to departments in October 202 3, ahead of the budget process. Budget instructions were distributed to departments in mid- December 2023. Each department was requested to develop a proposed budget, using as a base the existing budget amounts from the adopted Mid- Cycle 2023-24 Budget. Workers’ compensation and liability insurance premiums were directly alloca ted to department budgets to display a more complete picture of department costs and to pro vide increased transparency to facilitate cost management going forward.

City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
45 This year, as in 2014, 2016, 2018, 2020, 2022 and 2024, staff engaged the services of an outside facilitator to assist the City Council in establishing overall City-wide priorities and goals for the 2024-26 fiscal years.

A one-day Goal Setting Exercise was held as a special, public City Council workshop on February 1 9 at the Minami Community Center. On March 19, 2024, the City Council received a presentation from City staff on the proposed City -wide goals and took action to adopt the goals via a Resolut ion. After approval, the Budget Review Team then guided each department to ensure their submitted 2024-26 budgets contained a nexus to the overall City-wide goals, for review by the Budget Review Team.

The Budget Review Team was led by the City Manager, Assistant City Manager, Director of Finance, Assistant Finance Director, and Chief Human Resources Officer, who, with select budget support staff, met with each department to review their respective budget submittals. The Budget Review Team validated the revenue assumptions, reduced operating expenses, assessed capital and maintenance requests, and identified warranted personnel changes. The Budget Review Team then met and discussed budget submittals and r eviewed operating, capital, and personnel recommendations.

Once all requests were reviewed, the City Manager provided the Budget Review Team with direction on items for inclusion in the recommended budget. The Budget Review Team, with the assistance of staff from the Department of Finance and the City Manager's Office, then commenced the extensive and laborious process of integrating and compiling the budget document for presentation to, and consideration by, the City Council. During this time, the City Manager and Director of Finance composed the Budget Message.

The City Manager submitted, for City Council’s consideration, a balanced budget proposal (using one- time reserves to balance the budget, as well as anticipated appropriation savings) during the Council’s second meeting in May. Copies of the proposed budget were then made public. The public was informed through a news release and social media about opportunities to comment. During the Council meeting, a public hearing is held prior to the formal budget adoption by the City Council.

After the City Council adopts the budget, staff brings forward personnel- related resolutions for City Council’s consideration. These resolutions address and put into practice all personnel- related actions associated with the 2024-26 Biennial Budget.

A month after the budget is adopted, the Budget Review Team holds a critique meeting to discuss the budget process. The purpose of this meeting is to determine what budget preparation and process worked well and what could have been done better.

The two-year budget allows time to effectively integrate goal setting and policy-making processes, with the establishment of performance targets and the allocation of resources. Short -term program and service objectives are developed, and resources to meet these objectives are appropriately allocated through the budget proc ess. To complete the cycle, performance measures are used to evaluate if services were effective and policy goals met.

Before the second year of the two-year cycle, the City Manager and City Council will review progress on the pre -established goals during the first year of the budget cycle, adjust as necessary, and authorize amendments to the second year of the 2024-26 budget.

The City Council has the authority to amend the budget by motion during the two -year period, while the City Manager is authorized to transfer the budgeted funds among departments or functions within the same fund without seeking approval from the City Council. However, any revisions altering the total balance must be approved by the City Council. This is explained in more detail in the Financial Policies in the Appendices. Further, the City Manager is authorized to approve emergency purchases of less than $ 100,000; emergency procurements above that threshold must be ratified by a majority vote of the City Council.

KEY DATES IN THE BUDGET PREPARATION PROCESS

October 2023 Capital, Maintenance & Equipment Project Development November 2023 Department Director Forum to Discuss City Priorities

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Guide to the Budget
46 December 2023 Budget Instructions distributed to departments February 18 City Council Goal Setting Session for the 2024-25 Budget Development March – April Budget Team compiles departmental requests and compiles Proposed Budget May 21 City Council reviewed Preliminary FY 2024-26 Budget Presentation at a public hearing, including citywide proposed budget, significant budget changes , and Capital Improvement Program.

June 3 Special Meeting held to respond to City Council questions regarding the Proposed FY 2024-26 Budget
June 18 Public Hearing and City Council adoption of the Final Budget

GUIDING BUDGET PRINCIPLES
The City is committed to preserving services and finding additional efficiencies to enhance the City’s fiscal health work toward achievement of its strategic initiatives. To this end, the City applied four guiding principles during the development of the 2024-26 budget.

FINANCIAL ACCURACY
Executive management sees a comprehensive data collection and analysis effort to achieve accurate financial targets and projections as a core tenet, essential for the City’s future fiscal foundation. During the development of the Budget, City staff performed a comprehensive analysis of past performance, collected relevant data from internal and external sources, consulted subject matter experts, and used this data to produce well -informed projections for the budget document and plans.

FINANCIAL RESPONSIBILITY AND DISCIPLINE
Financial responsibility requires acknowledging and fully disclosing the City’s critical funding requirements. Fiscal discipline demands City d epartments operate within their budget. Management action calls for timely recommendations to City Council to address any financial issues confronting the City. Each of these aspects of financial responsibility and discipline was applied during the budget development process.

MAINTAINING ESSENTIAL SERVICES AND INFRASTRUCTURE
The City will find ways to address the challenges in funding its existing programs and services and identify revenues for the critical needs that have been unfunded for years, including repair, maintenance and replacement of our buildings, roads and sidewalks, streetlights, and fleet , such as first responder vehicles. This tenet was applied extensively during the development of the budget; city leadership applied budget strategies that will have the least, or no, impact on City services and infrastructure. Additionally, Measure U has provided a revenue source for many of these needs . City departments continue to suggest ideas for new revenue generation.

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47 DEVELOPMENT OF A PRELIMINARY BUDGET

FINANCE DEPARTMENT
The budget process begins in the Finance Department in
October 2023, with the preparation of baseline revenue and expenditure assumptions. A comprehensive analysis of past revenue performance, the current economic environment, and other contributing factors is performed to develop revenue projections and determine available resources for the
upcoming budget cycle. Personnel assumptions are the primary focus of the Finance Department at this stage, with a
comprehensive assessment of the impact of current or
anticipated employee Memorandums of Understanding
(MOU). Other known costs, such as debt obligations and self - insurance funding requirements are also projected, to arrive at a baseline budget.

CITY DEPARTMENTS
In December 2023, City departments attend a budget kickoff meeting where they receive the budget development
calendar, a summary of the baseline budget, and direction on balancing measures, if applicable. The baseline budget
represents the amount of funding available to maintain
programs and current service levels and make progress toward achieving the City Council’s Priorities. During the months of December through February , departments define budgetary needs in relation to services, programs, and related strategic goals. Departments apply balancing measures using the criteria provided by City leadership. Departments also identify capital projects and funding sources for those projects during this time.

Internal review of department budget submissions takes place in March, with the Finance Department recommending
adjustments and providing guidance on each City
department's budget submissions.

DEVELOPMENT OF A PROPOSED BUDGET AND FIVE -YEAR

FINANCIAL PLANS
Internal budget workshops take place in March 2024 to discuss and select new funding initiatives , with consideration of the priorities defined by the City Council. During this timeframe, the City Manager’s Office and Finance Department review
departments’ critical unfunded needs and work to identify potential funding sources, such as Measure U. April and May are spent updating the preliminary budget.

The Departments’ proposed budgets are presented a t a Council workshop in May or June . At th is public meeting, Councilmembers, and the public, gain an in-depth view into each City department’s operations and fiscal challenges. The City Council may ask questions and recommend changes to the proposed budget. Public participation is encouraged during this meeting . Subsequently, feedback from all public meetings is incorporated into the budget to produce the budget as adopted by the City Council.

PROPOSED BUDGET SUBMISSION TO CITY COUNCIL
The Municipal Code requires that the City Manager provide City Council with a written proposed budget together with a message describing the important features . The Proposed Budget represents the culmination of the preliminary budget presentations to produce a Proposed Budget. In May, the Oct-Nov:

Baseline budget
developed - the
starting point for
departments
Dec-Feb:

Departments
prepare
operating and
capital requests
March:

Finance review,
adjustment of
submissions
Mar-Apr:

Executive
review,
decisions on
new initiatives
April:

Budget Team
updates the
preliminary
budget
May:

Proposed
budget to the
City Council
June:

Final budget
adopted
City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
48 Proposed Budget is presented to the City Council. A Public Hearing is scheduled for a meeting in June and public notice is provided at least fifteen days before the hearing as required. Copies of the proposed budget are made available for inspection by the public in the City Clerk’s Office and on the City’s publicly accessible website.

BUDGET ADOPTION BY CITY COUNCIL
As required by state law , the City Council will adopt the City’s budget no later than June 30 of the fiscal year preceding the budget submitted for approval. The final budget submitted to the Council will be inclusive of all changes requested by the Council during the presentation of the proposed budget. The budget becomes effective July 1.

MID-CYCLE BUDGET REVIEW / QUARTERLY REPORTS
The City Manager keeps the City Council advised of the financial condition and future needs of the City and make s such
recommendations as may seem desirable during the Mid -Cycle Budget Review. To accomplish this, the City Manager presents a Mid-Cycle Budget Update in June of the second year of a biennial budget cycle. This update includes necessary
adjustments to the operating budget and personnel details that have been identified by staff since the adoption of the Biennial Budget. For all budgets adopted, whether annual or biennial, quarterly fiscal updates are presented to the City Council to keep City leadership and the public apprised of the City’s financial condition throughout the budget period. The quarterly updates include recommended budget adjustments and fiscal strategies as needed to respond to the current fiscal state of the City.

ADJUSTMENTS TO THE ADOPTED BUDGET
The City Council may amend or supplement the adopted budget with the affirmative vote of at least three members. The City Manager is authorized to transfer the budgeted funds among departments or function s within the same fund without seeking approval from the City Council. However, any revisions altering the total balance must be approved by the City Council. This is explained in more detail in the Financial Policies in the Appendices. Further, the City Manager is authorized to approve emergency purchases of less than $100,000; emergency procurements above that threshold must be ratified by a majority vote of the City Council. Through City Council adoption of the budget resolution, the City Manager is authorized to take all necessary actions to implement the provisions of the said budget, including future adjustments to the budget for unanticipated expenditures offset by revenues, transfers of budget amounts within a Fund, and any other adjustments approved by the City Council before the adoption of the budget resolution, and approving change order requests for City Council approved projects . City Council approval is required for all transfers from unappropriated fund balances or fund balance contingency reserves.

BASIS OF BUDGETING: ACCOUNTING VERSUS BUDGETARY BASIS
Governmental funds are used to account for the government’s general governmental activities.

Governmental fund types use the flow of current financial resources and the modified accrual basis of accounting. This means that revenues are recognized when they become both measurable and available. “Measurable” means the amount of the transaction can be determined , and “available” means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period.

Revenues are recorded when received in cash, except for revenues subject to accrual (generally 60 days after fiscal year-end) are recognized when due. Property taxes, charges for services, and interest

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Guide to the Budget
49 associated with the current fiscal period are all considered susceptible to accrual and as such have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is susceptible to accrual as revenue of the current period. All other revenue items are measurable and available when received by the government.

Expenditures are recorded when liabilities are incurred, as under accrual accounting except that principal and interest payments on long -term debt as well as expenditures related to compensated absences and claims and judgments are recorded only when payment is due. The accrual basis of accounting is utilized by all Enterprise and Internal Service Funds. This means that revenues are recorded when earned and that expenses are recorded at the time liabilities are incurred. Effective fiscal control for debt service funds is achieved through bond indenture provisions and other management controls.

Budgetary accounting is a management tool to assist in controlling expenditures. Budgetary accounting is an important control tool because the annual budget is a legal compliance standard against which the operations of all funds are evaluated. While budgets are prepared for City capital project funds, capital projects generally span more than one year and are effectively controlled at the project level. The City adopts legal budgets for the General Fund and all special revenue funds.

Budgetary accounts include appropriation, encumbrances, and estimated revenues. Appropriations are the authorizations granted by the City Council to make expenditures or incur obligations for specific programs. Appropriations are made by the specific progr am and fund type. Encumbrances reserve a portion of an appropriation representing a current fiscal year obligation that has not been paid, or commitments related to unperformed contracts for goods and services. Estimated revenues are the anticipated resources the City expects to receive from various funding sources throughout the fiscal year.

Appropriations remaining at the end of the first year are eligible to be carried forward to the second year. All appropriations lapse at the end of the two years to the extent that the appropriations have not been expended or encumbered. Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded to reserve that portion of applicable appropriations, is employed as an extension of formal budgetary integration in the governmental fund types. Lease contracts entered into by the City are subject to annual review by the City Council; hence, lease contracts are legally one-year contracts with an option for renewal for another fiscal year.

The City’s basis for budgeting is consistent with accounting principles generally accepted in the United States of America and with the City’s financial statements as presented in the Annual Comprehensive Financial Report (ACFR). Exceptions are as follows:
• Capital expenditures within the Enterprise Funds and Internal Service Funds are recorded as assets on an accounting basis but are shown as expenditures on a budgetary basis. • Depreciation of capital assets and amortization of various deferred charges are recorded on an accounting basis only. These charges are not reflected in the budget document. • Principal payments on long -term debt within the Enterprise Funds and Internal Service Funds are applied to the outstanding liability on an accounting basis but are shown as expenditures on a budgetary basis.
• Continued/Carryover appropriations represent previously budgeted funds unexpended at the end of the applicable budget period. Carryover requests are added to the City’s current budget period but are not included in the budget document or original budget submission to City Council.
• Certain funding such as grant funding, are not included in the budget document; t hese items are appropriated as needed throughout the fiscal year with approval from City Council.

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50 COST ACCOUNTING
Cost accounting is the process of tracking, recording, analyzing, and allocating costs associated with activities provided by the City, which benefits multiple funds and departments within the City. The City incurs direct and indirect costs through the provision of City services and programs. The City recovers the costs of City central administrative and support activities (central services) through the development and application of indirect cost rates. The City also uses Internal Service Funds to allocate costs for services such as Fleet Services, Business, Communication and Telephone Equipment, and Insurance Services through rental rates.

COST ALLOCATION PLAN
The Cost Allocation Plan (CAP) facilitates the allocation of General Fund administrative service costs to the departments, programs, or funds that receive benefit from the services. For example, the budgets for internal service departments (such as Human Resources) are allocated to public service departments (such as the Police Department and Public Works Department). The CAP uses various statistical data and is prepared in compliance with generally accepted accounting principles (GAAP) as recognized by the Governmental Accounting Standards Board (GASB) to distribute identified service costs appropriately.

FINANCIAL AND BUDGET POLICIES
The financial integrity of any City is of utmost importance. A key element in maintaining this integrity is a comprehensive set of budget and financial policies to guide city action developed in compliance with the National Advisory Council on State and Local Budgeting and the Government Finance Officers Association (GFOA) recommendations . T hese policies promote and ensure organizational continuity, consistency, transparency, and responsibility from year to year . This section identifies some of the fiscal management tools that the City of Santa Maria uses to guarantee fiscal and programmatic integrity and to guide the development of the City’s budget. The Budget and Financial Policies are and may be periodically amended and are included in the Appendices .

SUMMARY
The adoption of a budget is one of the most important actions taken by the City Council, as the budget establishes the City’s priorities and goals. The budget determines how resources are assigned to the goals, objectives, and priorities set forth by the City Council. The budget is the financial work plan translated into appropriations and supported by revenues. The following policies guide the development and management of the budget.

BUDGET POLICIES
The City uses a two -year financial plan, emphasizing long -range planning and effective program management. The City began preparing a two -year budget with the development of the 1986 -88 Two-Year Budget. Preparing a two -year budget reinforces the importance of long -range planning, promotes more orderly spending patterns, and significantly reduces the amount of time and resources allocated to preparing annual budgets.

The City Council adopts a two-year budget that consists of two, one-year budgets. This format means that each year, of the two -year budget, is a separate spending guide and those unused appropriations will lapse at the end of the first fiscal year unless specifically carried forward into the second fiscal year. All unexpended appropriations lapse at the end of the two-year fiscal year period unless encumbered. Lease contracts entered into by the City are subject to annual appropriation by the City Council; hence the leases are legally one -fiscal year contracts with an option for renewal for another fiscal year.

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51 BUDGET ADMINISTRATION
The City Council may amend the budget by a majority vote of the City Council at any time during the two years. The City Manager is authorized to make administrative adjustments to the budget as long as those changes do not significantly impact policy or affect budgeted year-end fund balances. Any revisions that alter the fund balance of a fund must be approved by the City Council. The level at which expenditures may not legally exceed appropriations is, therefore, established at the fund level.

MID-YEAR BUDGET REVIEW
At the end of the first budget year, a Mid -Year Budget Review is conducted and recommended budget amendments for the second budget year are presented for City Council consideration.

MEASURABLE GOALS AND OBJECTIVES
Each fiscal year, measurable program goals and objectives are developed by each City department.

In addition to the publication of the Two -Year Budget, a separate document entitled “Goals and Objectives,” is annually published by the City Manager’s Office . The status of these goals and objectives are then formally reported, quarterly during the fiscal year, to the City Council.

QUARTERLY BUDGET REVIEWS
Reports on the City’s fiscal condition are presented to the City Council four times per year. If necessary, budget amendments required to maintain ongoing operations are presented to the City Council for consideration at that time.

BALANCED BUDGET
Unless otherwise authorized by the City Council, the City strives to adopt a balanced budget whereas operating revenues are equal to, or exceed, operating expenditures during each year of the two-year budget period. Any increase in expenses, a decrease in revenues, or a combination of the two that results in a budget imbalance requires a budget revision initiated by the City Manager , rather than spending unappropriated surpluses or designated reserves to support ongoing operations. Any year - end operating surplus will revert equally to General Fund Assigned Fund Balance for Unfunded Pension Benefits, to the capital projects fund for “one -time-only” General Fund expenditures , and to Local Economic Augmentation Fund (LEAF) until the LEAF fund balance reaches 5 percent of operating General Fund and Measure U operating appropriations.

Under this policy, it is allowable for total expenditures to exceed revenues in a given year; however, in this situation, the beginning fund balance should only be used to fund capital improvement projects, or other “one-time,” non-recurring expenditures.

FINANCIAL REPORTING POLICIES

ANNUAL REPORTING
The City will prepare annual financial statements following generally accepted accounting principles (GAAP) requirements. The City will contract for an annual audit to be performed by a qualified independent certified public accountant and will strive for an unqualified opinion from the independent auditors.

The City will issue a request for proposal (RFP) at least every five years to evaluate replacement of the current auditors – this is to ensure that internal controls are freshly examined. Due to the frequent lack of qualified audit firms in the public sector, the current auditors are allowed to respond to the RFP.

The City will use GAAP in preparing the annual financial statements with the intent of meeting the requirements of the GFOA’s Award for Excellence in Financial Reporting Program. The City will issue audited financial statements within 180 days of the year-end date of June 30th.

INTERIM REPORTING
The City will prepare, and issue timely, interim reports on the City’s fiscal status to the City Council and staff. These reports will include, but are not limited to, the following:

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52 • Online access to the City’s financial management system. • Updated, computerized financial reports available to City departments within five working days of month-end.
• Quarterly, departmental analysis of revenues and expenditures; including a comparison of budget to actual, for revenues and expenditures, and an explanation of variances greater than five percent of major categories (Salaries, Materials, Equipment, and Con tracts); with departments explaining variances, on the division level, greater than ten percent of their total budget.
• Quarterly Financial Reports to the City Council, outlining current economic conditions, the financial status of major funds, and if needed, budget amendments required to maintain ongoing operations.
• At the end of the first budget year, a Mid -Year Budget Review to assess revenues to date , projected revenues, the adequacy of the second -year budget, and identify any needed adjustments. This report recommends budget amendments to the City Council for consideration for the second-year budget.

DIVERSIFIED AND STABLE REVENUE BASE
The City seeks to maintain a diversified and stable revenue base to protect from short-term fluctuations in any one revenue source.

CURRENT REVENUES FOR CURRENT USES
The City will expend all current expenditures utilizing current revenues; and avoid procedures that balance current budgets by postponing needed expenditures, accruing future revenues, or rolling over short-term debt.

INTERFUND TRANSFERS AND LOANS
In adherence to grant requirements, GAAP, and public policy goals, the City has established various special revenue, capital project, debt service, and enterprise funds to account for revenues that are restricted to certain activities. Accordingly, each fu nd exists as a separate financing entity from other funds, with its revenue sources, expenditures, and fund equity.

Transfers among funds for operating purposes are outlined in the two-year budget document and can only be made by the Director of Finance, following the adopted budget. These operating transfers, under which financial resources are transferred from one fun d to another, are distinctly different from inter-fund borrowing, which are customarily made for temporary cash flow reasons, and are not intended to result in a transfer of financial resources by the end of the fiscal year. In summary, inter - fund transfers result in a change in fund equity; inter -fund borrowings do not, as the intent is to repay the loan in the near term.

From time to time, interfund borrowings may be appropriate; however, these are subject to the following criteria to ensure that the fiduciary purpose of the fund is met:
• The Director of Finance is authorized to approve temporary inter-fund borrowings for cash flow purposes whenever the cash flow is expected to be resolved within 45 days. The most common use of this type of inter -fund borrowing is for grant programs such as Local Law Enforcement Block Grant Funds, where costs are incurred before drawdowns are initiated and received; and the receipt of funds is typically received shortly after the request for funds was made. • Other inter-fund borrowings, for cash flow or other purposes, are dealt with by a case -by-case review by the Director of Finance.

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53 REVENUE MANAGEMENT POLICIES

REVENUE DISTRIBUTION
The City Council recognizes that GAAP, for State and local governments, discourages the “earmarking” of General Fund revenues. Though there may be occasions when specific revenue may be needed to fund an activity, the practice of designating General Fund r evenues for specific programs should be minimized in the City’s management of its fiscal affairs. Approval of the following revenue distribution policies does not prevent the City Council from directing General Fund resources to other functions and programs, as necessary.
• Property Taxes: With the passage of Proposition 13 in 1978, California cities cannot set individual property tax rates. In addition to limiting annual increases in market value, placing a ceiling on voter-approved indebtedness, and redefining assessed valuations, Proposition 13 established a maximum County-wide levy for general revenue purposes of one percent of market value.

Subsequent State legislation adopted formulas for the distribution of a County -wide levy of property taxes. The City now receives a percentage of t otal property tax revenues collected County-wide as determined by the County Auditor -Controller. General property tax remitted from the County is deposited into the General Fund as discretionary revenue. • Gasoline Tax Subventions: All gasoline tax revenues restricted by the State for street -related purposes will be used for maintenance activities. Because the City’s total expenditures for gas tax eligible programs and projects are much greater than this revenue source, operating transfers will be made between the Gas Tax fund and the General Fund. This approach significantly reduces the accounting efforts required in meeting State reporting requirements. • Transportation Development Act (TDA) Revenues: TDA revenues are allocated to transportation programs, including regional and municipal transit systems, pedestrian and bikeway improvements, and street and road construction.
• Proposition 218: According to the terms of Proposition 218 passed by the voters in November 1996, tax revenues cannot be initiated or increased without a majority vote of the populace.

Therefore, the City property tax, sales tax, business license tax, and transient occupa ncy tax revenues cannot be increased without a community vote.

COST RECOVERY POLICY

USER FEES POLICY
The City imposes fees and charges to users for City services, goods, and permits. These fees and charges can be set at 100 percent of full cost or be subsidized by City funds. In adoption of fees, it must be found that fees and charges do not exceed the City's costs of providing the service or processing work. User fees and charges will be adjusted biannually to recover the full cost of services provided, unless City Council determines that a subsidy from the General Fund (or any other fund) is in the public’s best interest.

According to the standards established by Government Finance Officers Association (GFOA) and National Advisory Council on State and Local Budgeting (NACSLB) and their best practice guidelines, governments should calculate the full cost of the different services they provide. For instance, GFOA recommends a formal fee policy that should identify factors to be considered when pricing services.

Factors to be Considered When Setting Fees and Charges, and Cost Recovery Levels:
• Consider community-wide versus special service nature of the program or activity. The use of general purpose (tax) revenue is appropriate for community- wide services, while user fees at full cost are appropriate for services which are of special benefit to easily identified individuals or groups.
• The full cost of providing a service should be calculated to provide a basis for setting the charge or fee. Full costs shall include the following elements: direct labor, fringe benefits, equipment, materials, contract services, utilities, and cost allocation of indirect expenses, City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
54 including legislative and central service costs.
• Fees and charges, in the absence of a specific public policy exception, should be set at full cost recovery.
• Public policy exceptions can occur due to the nature of the program or activity.

DEVELOPMENT IMPACT FEES
The Council’s policy is that to the extent reasonable, growth should pay for itself. As such, the Council has adopted a schedule of development impact fees. Development impact fees are one -time charges assessed against new customers to recover their propor tional share of capital costs incurred to provide service capacity for new customers. Developer contributed assets will be considered for credits against the impact fee based on a modeled value. Appropriate development fees are an important component in the overall strategy for financing capital improvements.

The city’s objectives for development impact fees shall include the following:
• Support the reasonable cost of growth.
• Consider the impact of growth on existing residents.
• Develop cost justified development fees.
• Address infrastructure requirements.
• Promote economic development.
• Provide financial capacity.

Development impact fees may be assessed for a public purpose such as:
• Libraries
• Parks, recreation facilities, trails and open space
• Law enforcement
• Fire protection
• General government
• Transportation
• Water
• Water resources
• Wastewater
• Solid Waste

DEBT POLICIES
The City’s debt management policy requires full disclosure of all financial reports. The City’s practice is to pay for capital projects and capital improvements on a pay-as-you-go basis using current revenues whenever possible. If a project or improvement cannot be financed with current revenues, long-term debt will be considered. The City will consider refinancing outstanding debt after comparing the cost of refinancing with the savings from reduced interest expense. Every effort will be made to limit the amount of general obligation debt. All general obligation debt will be used only for public purposes.

The following are those factors the City will take into consideration when incurring debt:
• The City will adhere to its debt covenants.
• The City will periodically review its debt capacity.

City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
55 • The City will issue bonds only for capital improvements and general obligations. Long -term debt will not be used to fund operating activities.
• The City will publish and distribute an official statement for each bond and rate issue. • The City will not issue long-term debt with a maturity longer than the useful life of the project or item funded.
• If the City utilizes long-term debt financing, staff will ensure that the debt is soundly financed by determining that the cost/benefit ratio of the improvement is positive, and the revenue sources used to repay the debt are conservatively projected.
• Where possible and feasible, the City will use special assessment, revenue, or other self - supporting bonds and avoid the use of general obligation debt. • The City will maintain solid relationships and communications with bond rating agencies and will strive for improvements in the City’s bond rating.

The purpose of the City’s Debt Management Policy is to promote sound and uniform practices for issuing and managing bonds and other forms of indebtedness, to provide guidance to decision - makers regarding the appropriate use of debt and other repayment obligations of the City, and to comply with Government Code section 8855(i), which became effective January 1, 2017. The debt policy includes the following:
• The purpose for which the debt proceeds may be used;
• The types of debt that may be issued;
• The relationship of the debt to and integration with the City’s capital improvement program or budget;
• Policy goals related to the City’s planning goals and objectives; and • Internal control procedures that the City has implemented to ensure that the proceeds of the debt issuance will be directed to the intended purpose.

The City’s practice is to pay for capital projects and capital improvements on a pay -as-you-go basis using current revenues whenever possible. If a project or improvement cannot be financed with current revenues, long -term debt will be considered. The City will consider refinancing outstanding debt after comparing the cost of refinancing with the savings from reduced interest expense. Every effort will be made to limit the amount of general obligation debt.

DEBT LIMIT
Section 43605 of the State Government Code provides a legal debt limit of 15 percent of gross assessed valuation. This provision, however, was enacted when assessed valuation was established based on 25 percent of market value. Effective with fiscal year 1981- 82, taxable property is assessed at 100 percent of market value. Although the State debt limit provision has not been amended since this change, the percentage has been proportionately modified to 3.75 percent for the purpose of this calculation for consistency with the original intent of the debt limit.

DEBT LIMIT

Gross Assessed Valuation $ 11,653,012,805
Legal Debt Limit – 3.75 Percent of Gross Valuation $ 436,987,980 General Obligation Bonded Debt 0
Other Long-Term Debt:

Revenue Bonds and Other Long-Term Debt 1,736,611

City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
56 Less Deduction Allowed by Law 0

Total Debt Applicable to Computed Limit 0
Legal Debt Margin $ 435,251,369

FUND BALANCE RESERVES

BACKGROUND
To protect City operations from downturns in the economy, State reductions of local revenues, natural or man-made disasters, and the City’s creditworthiness, the City Council desires that the City maintains specific fund balance levels for the General and Enterprise Funds. These minimum balances will adequately provide for cash flow requirements and provide a contingency for unanticipated operating or capital needs.

MINIMUM BALANCES
• General Fund: The City’s General Fund will endeavor to maintain a minimum unassigned fund balance of at least 25 percent of operating appropriations. These reserves are needed to insulate the General Fund programs and current service levels from large and unanticipated one-time expenditure requirements, a revenue reduction due to a change in State or Federal legislation, and other unforeseen circumstances.

In 2010-22, the City adopted a General Fund Prudent Reserve under GASB Statement Number

54. The prudent reserve amount is updated annually calculated based on 25 percent of operating appropriation. Appropriations from the reserve can only be made by formal City Council action and are limited to emergencies such as:
o An unplanned, major event such as a catastrophic disaster requiring expenditures over five percent of the adopted General Fund Budget.
o Budgeted revenue was taken over by another entity.
o A drop in projected/actual revenue of more than five percent of the adopted General Fund revenue budget.

Should the prudent reserve commitment be used, and its level falls below the minimum amount as described herein, the goal is to replenish the fund within two fiscal years. • Enterprise Funds: The Enterprise Funds of Water Resources, Solid Waste, and Transit will endeavor to fund and maintain a minimum working capital balance of 20 percent of operating appropriations.
• Vehicle and Equipment Replacement Funds: The City maintains three “Internal Service Funds” to provide for the timely replacement of vehicles and related equipment, business equipment, and communication equipment. The City will endeavor to maintain a minimum fund balance in each of these funds equal to 20 percent of the original purchase cost of the items accounted for in the fund.

As an Internal Service Fund, revenues are received by charging the other City funds utilizing vehicle and related equipment, business equipment, and communication equipment. The annual contribution to this fund will be based on a use allowance. The use allowance is calculated by the original cost of the item plus a four percent cost growth, divided by the estimated life of the vehicle or equipment. Also, funds are charged for actual incurred maintenance costs plus overhead.

LIABILITY AND WORKERS’ COMPENSATION FUNDS
The City will perform annual actuarial studies for the Liability and Worker’s Compensation funds and will fund the Liability Insurance fund at the 80 percent confidence level and the Worker’s Compensation Fund at the 90 percent confidence level.

City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
57 As prudent, based on cost and benefit analysis, the City may elect to self-insure certain assets. The City will review funding levels for self-insured assets on an annual basis and set-aside appropriated reserves to replenish assets throughout the year. The funds will be set -aside as reserves within the respective operating or internal insurance funds.

LOCAL ECONOMIC AUGMENTATION FUND
The Local Economic Augmentation Fund is a reserve fund established in 2000 -01 to be used as the primary financing mechanism to address any potential revenue shortfalls during times of economic downturns or severe State action, so as not to significantly impact the operating budget and service levels of the General Fund. The City Council set aside General Fund proceeds into this account. The intent of this fund is to be used as a “gap financing” mechanism during downturns in the local economy. The City will strive to maintain 5 percent of General Fund and Measure U fund annual appropriations in the LEAF fund balance.

APPROPRIATIONS LIMITATION

BACKGROUND
Proposition 4 (Gann Initiative) requires that all local governments calculate and report the annual appropriations limits, i.e., the maximum appropriation, allowed by law, that the municipality may spend. Article XIII -B of the State Constitution Senate Bill 1352, passed in August 1980, requires each local government to establish, by resolution, an annual appropriations limit. In June 1990, the voters of the State of California approved Proposition 111, which subsequently modified the adjustment formula.

Under Proposition 4, if a local government ends the fiscal year with more proceeds of taxes than the appropriations limit allows, the municipality is required to return the excess to the taxpayers within two years (by reducing taxes or fees). Municipalities may use those two years to request voters to approve an override increasing the appropriations limit.

REPORTING REQUIREMENTS
• Annually, in July, the City Council will adopt a resolution establishing the City’s appropriations limit calculated following Article XIII-B of the Constitution of the State of California, Section 7900 of the State of California Government Code, and any ot her voter-approved amendments or State legislation that affect the City’s appropriations limit. • The supporting documentation used in calculating the City’s appropriations limit and, projected appropriations subject to the limit, will be available for public and City Council review at least 10 days before City Council’s consideration of a resolution t o adopt an appropriations limit. The City Council will generally consider this resolution in connection with the final approval of the budget.
• The City will strive to develop revenue sources, new and existing, which are considered non - tax proceeds in calculating its appropriations subject to limitations. • The City will actively support legislation or initiatives sponsored or approved by the League of California Cities that would modify Article XIII -B of the Constitution in a manner that allows the City to retain projected tax revenues that result from growth in the local economy for use as determined by the City Council.
• The City will seek voter approval to amend the appropriations limit if the tax proceeds are more than allowable limits.

CAPITAL MAINTENANCE EQUIPMENT PROJECT

OTHER DESIGNATIONS AND RESERVES
In addition to the designations noted above, fund balance levels will be sufficient to meet funding requirements for projects approved in prior years, which are carried forward into the new year; debt service reserve requirements; reserves for encumbrances; and other reserves or designation required by contractual obligations, State law, or GAAP requirem ents. Appropriations for projects approved in City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
58 prior years will be carried forward administratively unless a project has not commenced within two years from the original funding approval date.

CAPITAL MAINTENANCE EQUIPMENT PROJECT (CMEP) PURPOSE
The purpose of the CMEP is to systematically plan, schedule, budget, and finance capital projects to ensure cost-effectiveness and efficiency of construction.

General Fund CMEPs will be budgeted in the General Fund Capital Projects Fund, while Enterprise and Internal Service Fund CMEPs will be budgeted in the individual funds.

The CMEP is a four -year plan organized into the same functional groupings used for the operating programs. Because the four-year plan is a planning tool rather than a budgeting tool, only two years of CMEPs are reported in the two -year Capital Project sec tion of the budget. The CMEP, reported in the two -year budget, reports the responsible fund, the year funding will be appropriated, funding sources, and totals by category (Public Safety, Public Utilities, Public Ways and Facilities, etc.).

CMEP - $5,000 OR MORE
Construction projects and equipment purchases, that cost $5,000 or more, will be included in the Capital Projects section of the budget; while minor capital outlays of less than $5,000 will be included within the operating program budgets.

CMEP REVIEW
The City Manager’s Office, in combination with the Public Works and Finance Departments, will review the project proposals and determine a listing of projects for the two -year budget document. CMEP projects that were approved in the prior budget but that did not start by the end of the calendar year are ineligible for carryover to the new budget.

DEFINITIONS
The following definitions are provided to clarify the difference between a capital project (outlay) and a capital/maintenance equipment project.
• Capital Outlay: A capital project must include one or more of the following:
o Betterment: The replacement of an asset, by an improved or superior asset, results in a productive, efficient, and long -lived property. Betterment is considered capital outlay when the amount expended is “significant,” generally 20 percent or greater than the market value of the assets.
o Addition: Attached or separate units, which are extensions of an existing unit. o Acquisition, Construction, Rights-of-Way, etc.: The acquisition of new tangible assets, which are generally classified as land, structures, and improvements. • Maintenance: An expenditure for repair or alteration to a facility, which neither materially adds to the value of the facility nor appreciably prolongs its life. • Capital Equipment: The acquisition of capital equipment that is classified as Fixed Assets.

Generally, the equipment is valued at $5,000 or more plus any computers, communications, or technical equipment that attach to the City’s network are classed as fixed assets. Other equipment under $5,000 may be acquired from operating funds. • CMEP Appropriation: Departmental requests for Capital/Maintenance Equipment Project funding are reviewed against the following criteria:
o Are additional funds needed to complete projects in progress; o Is the project required to meet a legal or policy mandate; o Is the project required to improve unacceptable health and/or safety conditions; o Is the project required to maintain existing facilities or assets; City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
59 o Is the project required to maintain existing service levels; o Will the project reduce other City costs;
o Will the project enhance and maximize operational efficiencies? Generally, project appropriations are made when the two-year budget is approved. If project costs at the time of bid award are less than the budgeted amount, the balance will be unappropriated and returned to the fund balance or, with the approval of the City Manager, allocated to another project. If project costs at the time of bid award are greater than budget amounts, the following options are available:
o Eliminate the project from the CMEP listing;
o Defer the project for consideration to the next budget period; o Redesign or change the phase of the project to meet the existing budget; o Transfer funding from another specified lower priority project; o Request City Council approval to appropriate additional resources from fund balance. • Budget Carryover: To ensure that appropriations for uncompleted capital projects, grants, and professional services, from the fiscal year that is being closed, are available in the new fiscal year, departments follow a carry -over process. This process requires a departmental review of appropriations and expenditures as of the last day of the fiscal year; identification of purchase orders rolled over to the new fiscal year; determination of uncompleted grants, contracts, and capital projects.

The project appropriations will be reviewed biennially through the budget development process and any modifications for appropriations will be reviewed through the budget adoption.

Carry-over budget amounts are unused appropriations in the previous fiscal year and additions to the new fiscal year budget. These are grants, agreements, or projects that received City Council approval, but purchase orders were not issued nor were the projects/contracts/grants completed at year -end. Qualifying carry- over appropriations are requests for bids, requests for proposals, grants spanning multiple fiscal years, and approved uncompleted capital projects.

Before any budget carryover departments submit a listing of the unused appropriations/budget carryover request to the Department of Finance for consideration and recommendation to the City Manager’s Office.

CONTRACT SERVICES POLICY

GENERAL POLICY GUIDELINES
• Purpose: Contracting with the private sector, for the delivery of services, provides the City with a significant opportunity for cost containment and productivity increases. In some instances, the City uses private sector resources in delivering municipal services as a key element in the City’s continuing efforts to provide cost-effective programs.
• Types: The City uses private sector contracting for construction projects, professional services, outside employment agencies, and other ongoing operating and maintenance services. • Purchasing Policy: All contracts will be executed in accordance with the City’s Council approved Purchasing Policy.
• Evaluating Costs: Indirect, direct, and contract administration costs of the City are to be identified and considered when evaluating and comparing the costs of private sector contracts with in - house services.
• Contract Change-Orders: When circumstances dictate that it is in the best interests of the City for cost-efficiency purposes to deliver a project or to provide unanticipated like services within current appropriation authority, contract change orders may be executed. Contract change orders, for City of Santa Maria 2024-26 Biennial Budget

Guide to the Budget
60 like services, often take advantage of economies of scale, cost-effectiveness, or may be desirable when time is of the essence. Contract change-order funding must be available within the existing budgeted authority, supported by proper justification, and a pproved by the City Manager on a case-by-case basis.
• Conversion to Contract Services: Programs and activities that are currently provided by City employees may be converted to contract services when attrition, reassignment, or absorption of City staff occurs. However, such conversion would not happen until the proper notification requirements are made to the affected employees.
• Evaluation Criteria: The cost-effectiveness of using contract services to meet established service levels will be evaluated using the general policy guidelines stated above and , on a case-by-case basis using the following criteria:
o Available Vendors: Is there a sufficient private sector market that can competitively deliver the service and offer a reasonable choice of alternative service providers? o Contract Administration: Can the contract be effectively and efficiently administered by City staff?
o Contract Provisions: Can the contract contain provisions to compensate the City for damages should the contractor fail to perform?
o Staffing Levels: Can a private -sector contractor respond to expansions, contractions, or other special requirements of the service by rapidly adjusting staffing levels? o Scope of Work: Can the scope of work be sufficiently defined to ensure that competing proposals are fairly and fully evaluated, and can the contractor’s performance be fairly evaluated after the bid award?
o Service Levels: Does the use of contract services provide the City with an opportunity to redefine service levels?
o Emergency Services: Will the contract limit the City’s ability to deliver emergency or other high-priority services?
o Accountability and Responsibility: Overall, can the City successfully delegate the performance of the service and still retain accountability and responsibility for the service delivery?

61 SIX-YEAR

FINANCIAL PLANS

City of Santa Maria 2024-26 Biennial Budget

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City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan
63 OVERVIEW
Multi-year financial planning provides the City Council, City staff, and the public with greater certainty regarding the ongoing funding and staffing for programs and services. During the development of long-term financial plans, the City identifies factors (known or anticipated) that may have a significant effect on future revenues, expenditures, or staffing levels. The analysis is based on past city revenue and expenditure trends, general and relevant economic trends and outloo ks, input from City departments who oversee those specific expenditure and revenue streams, and consultation with outside economists and revenue experts.

REVENUE AND EXPENDITURE FORECASTING METHODOLOGY
Citywide revenues and expenditures are projected using two forecasting techniques: qualitative analysis and quantitative analysis.

Qualitative analysis projects future revenues and/or expenditures using non -statistical techniques.

These techniques rely on human judgment rather than statistical analysis to arrive at revenue projections. Qualitative forecasting is essential for projecting revenue or expenditure components that are unstable, volatile, or for which there is limited historical information.

The projection of revenues is not simply a calculation but is rather an estimation based on current revenues and key revenue assumptions, such as population growth, changes in the consumer price index, and other economic growth factors. The City paid close attention to the two major revenue sources controlled by the State of California, sales tax and property tax (which includes the property tax in lieu of motor vehicle license fees) because these two revenues represent approximately 67 percent of the City’ s General Fund (including Measure U) revenues. The estimates of these two revenues are done in conjunction with the assistance of the City’s sales tax and property tax auditors, as well as considering many economic factors.

The City relied on a variety of information to guide the development of revenue projections. The City studied economic trends reported by the national media; California economic information developed by the State Legislative Analyst and the State Departmen t of Finance; County of Santa Barbara forecasts by the Assessor and Auditor -Controller; and outside perspective from financial experts. The City contracts with Hinderliter, de Llamas, and Associates (HdL) to provide sales and use tax allocation audits and information services.

Staff developed revenue estimates based on trends and forecasts available as of earl y December 2023. These estimates consider the City's local economy, the City's current revenue, an d a realistic estimate of what the future holds. Staff also evaluated recent commercial construction projects bringing new retail stores to the community. Ultimat ely, 2024-26 revenue projections reflect the staff’s best judgment about local economic trends over the next two years and the effect on City revenues.

Quantitative analysis involves looking at data to understand historical trends and causal relationships.

One kind of quantitative analysis is time series analysis; it is based on data which ha s been collected over time and can be shown chronologically on graphs. When using time series techniques, the forecaster is especially interested in seasonal fluctuations which occur within a year, the nature of multiyear cycles, and the nature of any possible long -run trends. Causal analysis is another type of quantitative analysis; it deals with the historical interrelationships between two or more variables. One or more predictors influence, directly or indirectly, the future revenue or expenditure s (e.g., the effect of transient occupancy tax revenue on sales tax revenue).

GENERAL ASSUMPTIONS
The national economy is experiencing historically high employment, moderate but sticky inflation, and record housing prices despite higher mortgage rates and soaring healthcare costs and insurance premiums. There are signs that the national economy is slowing, and that will affect California’s economy.

City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan
64 The economy grew slowly in the first quarter of 2024, at a 1.3 percent annualized rate, much slower than the 3.4 percent rate for the final three months of 2023. This compares to 2.2 percent in the first quarter of 2022. This leave output below the 1.8 percent rate that officials at the Federal Reserve sees as its longer-run, noninflationary potential.

The employment rate has stayed below 4 percent for 27 months through May 2024, a streak only exceeded during the 1950s. High demand for workers since the economy began to recover from the pandemic has kept widespread layoffs at bay since 2022.

A measure of inflation during the first quarter was revised down to 3.3 percent from 3.4 percent, the strongest quarterly price-pressure growth in a year. After easing through much of last year, measures of inflation came in higher than expected to start 2 024, driving Federal Reserve policymakers to push back expectations for when they will be able to pivot to interest rate cuts.

Inflation also hits businesses and the public sector, increasing the costs of providing services and eating deeper into budgets. It is one of the reasons why the State budget is suffering a multi- billion-dollar deficit, and why many cities, counties and school districts are struggling to balance their budgets.

California’s economy has positive and negative indicators. On the plus side, the job market entered its 48th month of continuous growth in April 2024. Since April 2020, the Golden State has gained more than 3 million jobs, according to the California Emplo yment Development Department. California is now home to the most Fortune 500 companies in the United States, with 57. This is the first time since 2014 that California is leading the country in this category.

The negative economic signs in California are the high cost of living, the highest unemployment rate of all 50 states as of May 2024, at 5.3 percent, the ongoing insurance crisis as insurers stop coverage renewals, and of course, the massive State budget deficit.

In 2024, the continued slowing of the national economy will affect California’s economy, according to the UCLA Anderson Forecast. Specific sectoral weaknesses in California, as evidenced by its high unemployment rate, will contribute to this being an atypical year of slower -than-U.S. growth for the state. The following two years, though, will be characterized by more typical, higher -than-U.S. economic growth.

ENTERPRISE FUNDS
The City’s Enterprise Funds account for water, wastewater, solid waste collections and disposal, and transit services. Annually, City staff determines the adequacy of the rate structures for each of these enterprises taking into account expected operations, maintenance, and capital costs.

City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – General Fund
65 GENERAL FUND SIX-YEAR FINANCIAL PLAN
A six-year financial plan projects the fiscal health of the City’s General Fund and allows policy makers and management to understand the fiscal gaps that may exist between revenue forecasts and projected expenditure requirements. The six -year General Fund financial plan provides a guide for establishing City department budget targets; these targets are used by departments to develop budget proposals that are constrained by the resources anticipated to be available in the upcoming fiscal year.

GENERAL FUND REVENUE ASSUMPTIONS
Revenue estimates for the General Fund six- year plan are prepared through an objective, analytical process based on year-to-date trends, prior years’ data, and anticipated one-time adjustments. In all instances, the City provides reasonable revenue projections to prevent undue or unbalanced reliance on certain revenues and to ensure the ability to provide ongoing services. Data used to compile General Fund revenue assumptions includes, but is not limited to, communication with the business community (e.g., shopping centers, malls, and auto center s); economic data; historical revenue analysis; sales tax and economic consultants; City departments; and the County of Santa Barbara.

The following is a brief description of the City’s top four General Fund revenue sources and the general assumptions used in preparing the revenue projections for the 2024 -26 Budget. These four revenue sources account for approximately 78 percent of total General Fund revenues (including the local Measure U sales tax add -on). The remaining 22 percent of General Fund revenues are comprised of departmental services and program revenues, franchise fees, permits and licenses, property transfer taxes, fines and penalties, interest earnings, grants, revenues from other agencies, and other miscellaneous revenue sources.

SALES TAX
Sales tax is by far the General Fund's
largest revenue source (about 49.3
percent including the local Measure U
sales tax add -on), therefore, vitally
important to the City’s future. This source
is volatile, as demonstrated by the
COVID-19 outbreak. The Cit y receives 1
percent (also known as Bradley Burns
portion) of the 8.75 percent sales tax
collected from retail sales occurring
within the City limits. The State collects
and remits the sales tax to the following benefiting agencies: 5.75 percent to the State for the General Fund and various programs, 2 percent to the City's General Fund ( 1 percent General Fund and 1 percent Measure U), 0.5 percent to the Local Public Safety Fund, and 0.5 percent for local and regional transportation purposes (Measure A), for a total sales tax rate of 8.75 percent.

Sales tax revenues are projected to increase to $31.9 million in 2024-25, down from $32.2 million in 2023-

24. The 2025-26 projection is $32.8 million.

Influences on sales tax in 2024 and 2025 include high inflation passed along in the cost of goods and expected interest rate increases by the Federal Reserve, according to HdL. Foodservice, hospitality, and retail trade industries struggle to find and retain employees. Impacted by the Ukraine- Russia crisis, fuel prices remain volatile.

According to HdL, the City’s sales tax consultant, calendar year 2023 saw sales in various retail sectors, including family apparel, electronics, and appliances as consumer spending shifted toward travel and entertainment. The downturn extended into busine ss-industrial returns, paralleling the contraction of the US Purchasing Manufacturing Index from November 2022 through November 2023. Indicating a nationwide decrease in industrial activities.
$-
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$20
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MILLIONS
Analysis of Sales Tax Revenue
Sales Tax Sales Tax In Lieu
City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – General Fund
66 Sales tax revenue is one of the most sensitive revenue components. Economic factors can contribute to wide swings in receipts.

PROPERTY TAX
Property tax represents approximately

22.4 percent of General Fund revenues.

For 2024-25 the City is projected at $26.5
million, and $27.0 million for 2025 -26.

Proposition 3, approved by voters
Statewide in June 1978, limits general-
purpose property taxes to 1 percent of
market value and limit s the growth of
property tax assessments to 2 percent
growth per year. Assessments are
increased to reflect current market
value when property ownership
changes or improvements are made to
the property; otherwise, assessed values are limited to an annual 2 percent increase.

Property tax assessment, collection, and apportionment are performed by the County. The County Assessor and Auditor -Controller is projecting an increase of 3.2 percent in property tax revenues in 2024-25.

TRANSIENT OCCUPANCY TAX
Transient Occupancy Tax (TOT)
revenues account for 3.6 percent of
General Fund revenues. TOT is levied on
individuals occupying a hotel or motel
for 30 days or less. The TOT rate is
assessed at 12 percent of the room
rental rate (10 percent for the City, and
2 percent for the Santa Maria Valley
Tourism Marketing District). Although TOT
is collected for the City by the
hotel/motel operators, it is a tax on the
occupant, not the hotel/motel. Also, in
February 2016, the Chamber of Commerce created a Tourism Improvement District with a 5-year term, and this was extended and is now known as Santa Maria Valley Tourism Marketing District. The added revenue generated from the 2 percent can only be used to facilitate increased tourism. There are currently 30 hotels/motels in town generating TOT revenue. TOT revenue is highly dependent on tourism and therefore was most im pacted by the pandemic and the stay -at-home mandates that were implemented statewide. In 2018-19, TOT revenues were $3.4 million, dropped to $2.9 million in 2019-20, and declined to $3.2 million in 2020 -21. However, TOT revenues have since rebounded to pre - pandemic levels of $4.3 million for 2021-22 and $4.5 million for 2022-23 as the public’s pent-up demand to travel has surged. This revenue stream is anticipated to remain flat through 2024-26 as broader travel options have opened up post-pandemic.
$-
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MILLIONS
Analysis of Property Tax Revenue
Property Tax Property Tax In Lieu of VLF Combined Property Tax $-
$1
$2
$3
$4
$5

MILLIONS
Analysis of Transient Occupancy Tax
Transient Occupancy Tax
City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – General Fund
67 CONSTRUCTION PERMITS
Construction permits are required for all
new structures built within the City, as
well as for additions or upgrades to
existing buildings or property. Residential
and commercial activity remain high ,
with significant multi- family residential
construction as well as accessory
dwelling units . Apartment projects
including Centennial Gardens,
Centennial Square, Elements, Santa
Maria Studios are opening in 2024,
adding to the City’s housing inventory.

Since 2018, the City has issued over 1,600 permits for accessory dwelling units, on par or exceeding the rate of construction for apartment units. Some single -family homes have been built with the Skyview Estates subdivision. More projects are in the pipeline for construction in the next two years, including a large housing development called Blosser Ranch, consisting of approximately 1,400 housing units.

Other Downtown projects are also expected to be constructed soon. After peaking at $5.6 million in 2017, largely due to permit fees collected for Enos Ranch, a regional shopping center, anticipated construction permit revenue in 2024 -25 is projected at $3 .0 million, or 2.5 percent of General Fund revenue.

GENERAL FUND EXPENDITURE ASSUMPTIONS
When developing expenditure assumptions for the General Fund, both known factors, such as the impact of employee Memorandums of Understanding (MOUs); debt service requirements; contractual obligations; and economic uncertainties, such as the rising cost of goods and services are considered.

During the development of the b udget, City departments perform a comprehensive analysis of financial requirements to maintain service levels and quality, maintain critical infrastructure, and provide programs. For non -personnel cost estimates, fixed costs for multi -year contracts, assumptions based upon historical spending trends within individual expenditure categories, and a conservative Consumer Price Index (CPI) factor are applied to expenditure projections throughout the five -year plan.

Personnel costs are the largest and most impactful expenditure category in the General Fund Budget, exceeding 70 percent of the total General Fund Budget, excluding the California Public Employees Retirement System Unfunded Accrued Liability (CalPERS UAL). Some currently active MOUs are scheduled to expire in FY 2024 -25. Increases have been incorporated into the budget in alignment with those already authorized for 2024-26.

The budget and six -year plan must take into consideration long -term strategies to address the City’s long-term fiscal health.

FISCAL CHALLENGES, RISKS, AND STRATEGIES

SALARIES AND BENEFITS
As of April 2024, new agreements were reached with certain bargaining units. There is a base salary increase of 10.0 percent over two calendar years (2023- 2024) for members of SEIU Local 620, for management and confidential employees, and for sworn Police and Fire Managers . The increase in compensation drives up CalPERS costs.

As in prior years, personnel costs remain the largest component of the City’s operating expenditures budget for 2024-26, accounting for $149.7 million, or 68.7 percent, associated with salaries and benefits.

The breakdown by year is $73.0 million in 2024-25 and $76.7 million in 2025-26. $-
$1
$2
$3
$4
$5

MILLIONS
Analysis of Construction Permits
Construction Permits
City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – General Fund
68 UNFUNDED PENSION LIABILITY
The City has undertaken pension reform to address its CalPERS obligations. The City has three tiers of employees based on hire date: Tier I is before July 1, 2011; Tier II hires after July 1, 2011, and public employment before January 1, 2013; and, Tier II I hires (PEPRA) with California public employment begun after January 1, 2013. Back in early 2011, the City engaged in pension reform measures with its employee groups requiring all new employees (Tier II) to pay the employees’ share of pension expenses, which represents either seven percent for miscellaneous members or nine percent for safety members, of their salary. Tier III (PEPRA) employees pay a higher percentage of their pension expenses.

FUND RESERVES
The City’s General Fund endeavors to maintain a minimum unassigned fund balance of at least 25 percent of operating appropriations to insulate the General Fund programs and current service levels from large and unanticipated one -time expenditure requirements, a revenue reduction due to a change in State or Federal Legislation, and other unforeseen circumstances.

The Local Economic Augmentation Fund is a reserve fund established in 2000-01, made up of one-time discretionary resources, distinct from the General Fund that is designed to help balance the General Fund’s operating budget during times of economic and/or financial crisis. The City Council set aside General Fund proceeds into this account. The intent of this fund is to be used as a “gap financing” mechanism during downturns in the local economy.

In 2010-11, the City adopted a General Fund Economic Stabilization (Prudent Reserve) under GASB Statement Number 54. The prudent reserve amount was set at $19.8 million. Appropriations from the reserve can only be made by formal City Council action and are limited to emergency situations.

Examples of such emergencies include but are not limited to: covering expenses arising from a natural disaster, to replacing revenue taken over by another entity, or to a drop in actual/projected revenue of more than five percent of the General Fund adopted revenue budget. Should the prudent reserve commitment be used, and its level falls below the minimum amount as described herein, the goal is to replenish the fund within three fiscal years.

The proposed Fiscal Year 2024- 26 Biennial Budget shows a significant structural imbalance. The ongoing expenditures in the General Fund and Measure U combined exceed the ongoing revenues by $21.3 million in FY 24-25 and $20.2 million in FY 25-26. Moreover, the City Manager’s proposed Fiscal Year 2024-26 Biennial Budget will include a recommendation to fund one -time items with projected one-time savings. The proposed Budget also establishes necessary reserves in the self -insurance funds due to changes in insurance markets. The total draw on General fund, Measure U, and Local Economic Augmentation Fund fund balances in the first fiscal year is $ 21.3 million and on the General Fund and Measure U fund balances in the second fiscal year is $20.2 million.

The chart below shows the General Fund and Measure U fiscal forecast. Revenues exclude operating transfers in of $10.6 million in FY 2024-25 and $2.3 million in FYs 2025-30.

City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – General Fund
69 2017-18A 2018-19A 2019-20A 2020-21A 2021-22A 2022-23A 2023-24E 2024-25P 2025-26P Salaries & Benefits $52.652 $54.318 $62.331 $66.033 $67.119 $75.761 $84.643 $97.882 $103.084 Supplies & Services $14.221 $16.373 $15.891 $16.501 $19.513 $23.193 $29.295 $27.923 $27.837 Capital & Outside Agencies $1.283 $1.231 $2.277 $1.400 $1.911 $2.803 $11.872 $2.404 $1.139 Debt Service $0.106 $0.090 $0.073 $0.055 $0.920 $1.035 $0.046 $0.267 $0.267 Transfers $3.616 $5.749 $7.076 $7.496 $2.482 $4.876 $6.014 $11.373 $8.218 Total Expenditures $71.878 $77.760 $87.648 $91.485 $91.945 $107.667 $131.870 $139.849 $140.545 Total Revenues $72.111 $81.395 $93.305 $97.482 $114.491 $111.330 $116.192 $126.865 $120.307 $0
$20
$40
$60
$80
$100
$120
$140
$160
General Fund & Measure U Revenues and Expenditures

MILLIONS
City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – Measure U Fund
70 MEASURE U FUND SIX-YEAR FINANCIAL PLAN

OVERVIEW
Measure U, a one-cent local Transaction and Use Tax, is collected as part of the 8.75 percent total sales tax rate. City voters initially approved Measure U in the June 2012 election (63.95 percent support), enacting a one -quarter-cent tax. More recently, voters in the November 2018 election (with a 74.18 perce nt majority) extended and enhanced Measure U at the one- cent rate. The Measure U fund accounts for local transactions and use tax within the City of Santa Maria is combined with the General Fund for financial reporting purposes. The City Council authorized that 90 percent majority of the aforementioned tax proceeds be spent on public safety -related services, then five percent on youth services, and five percent on programs for quality of life. The Measure U Citizens’ Oversight Committee reviews the annual independent financial audit, and any other City financial reports necessary to advise the City Council of its findings on an annual basis.

MEASURE U REVENUE ASSUMPTIONS

MEASURE U TRANSACTION & USE TAX
Measure U revenues are affected by changes in the economy just like sales tax. Measure U projections are $26.7 million in 2024-25, and $26.9 million in 2025-26.

MEASURE U EXPENDITURE ASSUMPTIONS
The City Council set goals and objectives regarding the use of Measure U proceeds. The goals are to first maintain services, and second, to make service enhancements. To meet these goals and objectives, the Council authorized Measure U proceeds to be allotted at 90 percent for public safety, 5 percent for youth services, and 5 percent for quality of life. The expenditure projections for Measure U assume a continuation of spending items that were approved without a defined termination date.

Measure U provides funding for 1 37.60 full-time equivalent (FTE) positions Citywide. That is 19 percent of the workforce or about one in every five FTE.

MEASURE U BY CATEOGRY

Public Safety Youth Services Quality of Life
Total
Proposed
2024-25

The Police Department is supported 23. 5 percent by Measure U. The vast majority of these monies support a variety of sworn and non- sworn personnel. Many of these positions were formerly charged to the General Fund until it no longer had ongoing, sustainable revenue to support and maintain them.

City of Santa Maria 2024-26 Biennial Budget

Six-Year Financial Plan – Measure U Fund
71 Without Measure U, the City would have to reduce staffing and programs. The Fire Department is supported 46.5 percent by Measure U. Through the support of Measure U, the Fire Department supports sworn and non-sworn personnel. The Recreation and Parks Department is supported 18.4 percent by Measure U revenue to support personnel and equipment for youth services and quality of life programs. Measure U funds are focused on support of the Mayor’s Task Force on Youth Safety. The Library is supported 15.5 percent by Measure U revenue. The City Manager’s Office receives a small amount of Measure U revenues to cover expenses for the City’s Mass Notification System. The Finance Department receives a small amount of Measure U revenues to cover expenses for the annual Measure U audit.

FUND RESERVES
The City Council has indicated a desire to create a Measure U reserve, to help ensure these vital services can be sustained during a temporary or cyclical reduction of revenue. The City Council set a goal of a 20 percent reserve.

The chart below shows the Measure U forecast based on Measure U continuing to fund the same level of services. The forecast is unbalanced due to expenditures outpacing revenue growth, which means that Measure U sales tax revenue will be able to fund lower levels of service than in the current fiscal year.

8.5 19.5 22.8 25.5 27.1

25.9 26.7 26.9 27.5 28.3 29.2 30.1

5.6 15.7 18.5 19.9

27.5 38.6

31.1 31.4 32.9 34.4 36.1 37.8

0.0 10.0

20.0 30.0

40.0 50.0
2018-
19A
2019-
20A
2020-
21A
2021-
22A
2022-
23A
2023-24E 2024-
25P
2025-
26P
2026-27F2027-28F2028-29F2029-30F
Dollars
(Millions)
Six-Year Forecast
Measure U
Revenue and Uses
Measure U Fund Revenue Total Measure U Fund Uses
City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
72 WATER ENTERPRISE FUND FINANCIAL OVERVIEW
The Water Enterprise Fund is a restricted fund that is self-supported by funding all operating and capital expenses through charges (rates) collected for the service. Approved rates reflect both fixed and variable costs incurred by the City for the supply, treatment, and distribution of drinking water to City customers. The City monitors the health of the Water Enterprise Fund with a comprehensive rate model.

The rate model considers revenue requirements as well as the cost of service to ensure adequate funding for operating and capital infrastructure costs necessary to provide safe and reliable water service to the community.

In FY 2023-24, the City worked with a third-party consultant to conduct an independent rate study and analysis of the Water Enterprise Fund. The findings of the study helped establish cost -based and equitable rates for City customers in compliance with the Proposition 218 rate setting process. Rates were approved by the City Council on October 17, 2023, and the first of four approved water rate increases were implemented on January 1, 2024.

NOTABLE FUND IMPACTS
The following requirements of the Water Fund have historically had the most significant impact on the Water Fund:

STATE WATER
 The City receives State Water from the Central Coast Water Authority (CCWA). The costs to receive State Water from CCWA include expenses for the infrastructure to deliver the water as well as the costs for water treatment and delivery. The CCWA provides es timated costs for inclusion in the City’s Budget.
 The City issued bonds to pay for portions of State Water infrastructure, in addition to local improvements for the delivery of State Water. The bond costs are also considered a portion of State Water Costs. The debt service for the bonds continues through Fiscal Year 2035-36.

CAPITAL IMPROVEMENT PROGRAM (CIP)
 The CIP is a listing of long -term capital projects intended to address deficiencies and improvements needed for the City’s water system.
 The rate model includes 5 percent annual increases in project costs for projects in the CIP Program.
 The City is in the process of conducting a comprehensive General Plan update, creating the master plan for Santa Maria’s growth over the next 25- 30 years. The General Plan will inform future infrastructure needs related to providing water service to a growing community.  The Water Enterprise Fund has a strong reserve balance, which will be used for pay -as-you-go financing of critical capital infrastructure projects in the coming years.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
73 FUND OUTLOOK

The chart above illustrates forecasted expenses increasing starting in FY 2023-24. This is primarily due to increased spending on capital projects.

REVENUE ASSUMPTIONS AND VARIANCES
 Forecasts include approved rate increases and a customer growth assumption of 0.5 percent per year.
 Anticipated revenues in Fiscal Year 2023-24 are projected to exceed budget estimates and be more consistent with revenues from the three previous fiscal years.  The City has a court -ordered agreement with Nipomo Community Services District (NCSD) to provide supplemental water to serve Nipomo customers. The City’s minimum quantity of supplemental water to deliver to NCSD will increase from 1,000 to 2,500 acre-feet/year, resulting in increased revenues to the City in Fiscal Year 2025-26.

EXPENSE ASSUMPTIONS AND VARIANCES
• Budgeted expenses are higher than previous actual expenses due to significant capital projects, such as Stowell/Black Waterline, McClelland Waterline, Reservoir 4 Roof Replacement, Well #6 Intertie, Well #15, Well Site Generator Enclosures, Corporation Yard Consolidation, and Well Controls. These are in addition to increases in O&M expenses related to chemicals, electricity, litigation, salary and benefits, and unfunded pension liability. • Anticipated future capital projects include Groundwater Wells #16 & #17, and other capital projects that will be informed by the General Plan Update.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
74 WASTEWATER ENTERPRISE FUND FINANCIAL OVERVIEW
The Wastewater Enterprise Fund is a restricted fund that is self -supported by funding all operating and capital expenses through charges (rates) collected for the service. Approved rates reflect costs incurred by the City to collect and treat domestic and industrial wastewater. This is accomplished by operating and maintaining a Grade 4 Wastewater Treatment Plant (WWTP) and ensuring treatable influent through the City’s pretreatment program. The City monitors the health of the Wastewater Enterprise Fund with a comprehensive rate model. The rate model considers revenue requirements as well as the cost of service to ensure adequate funding for operating and capital infrastructure costs necessary to provide wastewater service.

In FY 2023-24, the City worked with a third-party consultant to conduct an independent rate study and analysis of the Wastewater Enterprise Fund. The findings of the study helped establish cost -based and equitable rates for City customers in compliance with the Proposition 218 rate setting process. Rates were approved by the City Council on October 17, 2023, and the first of four approved water rate increases was implemented on January 1, 2024.

NOTABLE FUND IMPACTS
The following requirements of the Wastewater Fund have historically had the most significant impact on the Wastewater Fund:

CAPITAL IMPROVEMENT PROGRAM (CIP)
 The CIP is a listing of long -term capital projects intended to address deficiencies and improvements needed for the City’s wastewater system.
 The rate model includes 5 percent annual increases in project costs for projects in the CIP Program.
 The City is in the process of conducting a comprehensive General Plan update, creating the master plan for Santa Maria’s growth over the next 25- 30 years. The General Plan will inform future infrastructure needs related to providing wastewater service to a growing community.  In February 2022, the City’s WWTP enrolled under the Regional Water Quality Control Board’s General Permit (General Permit). The City’s WWTP today cannot meet all the requirements of the General Permit. Compliance with the General Permit will cause significant financial ramifications for the City and its ratepayers. The City is working with a technical firm to manage this significant program and its various components as well as to develop cash flow and funding scenarios. Compliance with the General Permit also necessitates the development of a new Wastewater Master Plan to include evaluation of treatment alternatives and feasibility studies.

The Wastewater Master Plan will then inform designs to modify the WWTP to treat wastewater to the standards required in the General Permit. The full scope of the modifications to the WWTP is not known currently. While it is not possible to accurately estimate the costs to achieve
compliance, a program of this magnitude may have costs exceeding $300,000,000. As the new Wastewater Master Plan is developed and the necessary improvements for compliance are identified, a better understanding of overall costs will be achieved, as well as strategies for funding those costs. Costs associated with this undertaking will be borne by the Wastewater Enterprise Fund. The rate model forec asts bond issuance for the WWTP upgrades beginning in Fiscal Year 2027-28.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
75  Unfunded pension liability projections provided by the California Public Employees’ Retirement System (CalPERS) are incorporated in the rate model.

FUND OUTLOOK

The chart above illustrates forecasted expenses increasing starting in FY 2023 -24. This is primarily due to increased spending on capital projects.

REVENUE ASSUMPTIONS AND VARIANCES
 Forecasts include approved rate increases and a customer growth assumption of 0.5 percent per year.

EXPENSE ASSUMPTIONS AND VARIANCES
• Budgeted expenses are higher than previous actual expenses due to significant capital projects, such as the WWTP upgrade to meet General Permit requirements, sewer trunk line capacity upgrades, trash capture devices, site security, and Corporation Yard Consolidation.

These are in addition to increases in O&M expenses related to chemicals, electricity, salary and benefits, and unfunded pension liability.
• Anticipated future capital projects include sewer pipeline capacity projects identified in the Utilities Capacity Study as A-1, B-1, C-1, C-7, D-1, D-2, D-4, D-8, D-12, D-14, and D-17 and other capital projects that will be informed by the General Plan Update.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
76 SOLID WASTE COLLECTIONS ENTERPRISE FUND FINANCIAL OVERVIEW The Solid Waste Collections Enterprise Fund is a restricted fund that is self -supported by funding all operating and capital expenses through charges (rates) collected for the service. Approved rates reflect costs incurred by the City to provide refuse, recyclable, and organic waste collection services to Santa Maria residents and businesses. The City monitors the health of the Solid Waste Collections Enterprise Fund with a comprehensive rate model. The rate model considers revenue requirements as well as the cost of service to ensure adequate funding for operating and capital infrastructure costs necessary to provide Solid Waste Collections service.

In FY 2021-22, the City worked with a third-party consultant to conduct an independent rate study and analysis of the Solid Waste Collections Enterprise Fund. The findings of the study helped establish cost - based and equitable rates for City customers in compliance with the Proposition 218 rate setting process. Rates were approved by the City Council on October 19, 2021, authorizing rate increases through July 1, 2025.

NOTABLE FUND IMPACTS
The following requirements of the Solid Waste Collections Fund have historically had the most significant impact on the Solid Waste Collections Fund:

CAPITAL IMPROVEMENT PROGRAM (CIP)
 The CIP is a listing of long -term capital fleet purchases needed for the City’s Solid Waste Collections system. Residential trash collection utilizes fully automated side -loading vehicles to provide weekly collection of containers for residential customer accounts. Commercial trash collection utilizes front -loading vehicles to provide weekly collection of dumpsters for nearly 1,800 commercial customer accounts, which includes commercial, business, and multi- family properties. On the heaviest days of the week, up to 20 refuse trucks are on the road providing collections service to the community.
 The rate model includes 2.5 percent annual increases in capital fleet purchases in the CIP Program.
 The City is in the process of conducting a comprehensive General Plan update, creating the master plan for Santa Maria’s growth over the next 25- 30 years. The General Plan will inform future infrastructure needs related to providing Solid Waste Collections service to a growing community.

OPERATIONS AND MAINTENANCE (O&M)
 O&M is the cost of personnel, materials, and equipment required for the division to effectively function and operate.
 The rate model includes 3 percent annual increases for O&M expenses such as materials, supplies, equipment, and professional services, and 5 percent annual increases for existing staff’s salary and benefits, as well as estimated costs for projected additional staffing.  Unfunded pension liability projections provided by the California Public Employees’ Retirement System (CalPERS) are incorporated in the rate model.
 Regulatory impacts from the State of California impacting solid waste collections, including Assembly Bill 341 Mandatory Commercial Recycling, Assembly Bill 1826 Mandatory Commercial Organics Recycling, and Senate Bill 1383 Short-Lived Climate Pollutant Reduction.  Regulatory impacts from the State of California related to street sweeping in compliance with the City’s MS4 stormwater permit requirement.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
77 FUND OUTLOOK

The chart above illustrates forecasted expenses increasing starting in FY 2023 -24. This is primarily due to increased spending on capital fleet purchases.

REVENUE ASSUMPTIONS AND VARIANCES
 Forecasts include approved rate increases and a customer growth assumption of 1 percent per year.

EXPENSE ASSUMPTIONS AND VARIANCES
 Budgeted expenses are higher than previous actual expenses due to significant capital fleet purchases, including two automated side-loading vehicles, one front-loading vehicle, and one electric side-loading vehicle. These are in addition to increases in O&M expenses related to regulatory requirements, salary and benefits, and unfunded pension liability.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
78 SOLID WASTE DISPOSAL ENTERPRISE FUND FINANCIAL OVERVIEW The Solid Waste Disposal Enterprise Fund is a restricted fund that is self-supported by funding operating and capital expenses through revenues generated at the Santa Maria Regional Landfill (SMRL), which are also referred to as tipping fees. The SMRL is a Class III disposal facility with a current permitted disposal footprint of approximately 247 acres, and a remaining disposal capacity of ten years as of December 31, 2023.

In FY 2023-24, the City worked with a third-party consultant to conduct an independent rate study and analysis of the Solid Waste Disposal Enterprise Fund. The findings of the study helped establish a multi- year financial model and tipping fee recommendations to continue to operate the SMRL in a financially responsible manner to: cover operating, maintenance, and capital costs; reflect transfers to restricted reserves to meet regulatory requirements; and maintain a prudent operating reserve balance to ensure adequate cash is available for day -to-day operations and unexpected operating and capital cost increases. Rates were approved by the City Council on December 5, 2023, authorizing rate increases effective January 1, 2024 and January 1, 2025.

NOTABLE FUND IMPACTS
The following requirements of the Solid Waste Disposal Fund have historically had the most significant impact on the Solid Waste Disposal Fund:

CAPITAL IMPROVEMENT PROGRAM (CIP)
 The CIP is a listing of long -term capital projects intended to address regulatory requirements, deficiencies and improvements needed to operate the SMRL.  The rate model includes 2.5 percent annual increases in project costs in the CIP Program.  The City intends to construct and operate the Integrated Waste Management Facility (IWMF) at Los Flores. The IWMF, a Class III Landfill, will receive waste from urban and the rural areas of northern Santa Barbara County, with the capacity to receive waste from southern Santa Barbara County as necessary. The IWMF is anticipated to be ready to accept solid waste by 2032 and will include support facilities and utilities. Costs associated with this undertaking will be borne by the Solid Waste Disposal Enterprise Fund. The rate model forecasts bond issuance beginning in FY 2026-27.

City of Santa Maria 2024-26 Biennial Budget

Enterprise Funds Financial Overview
79 FUND OUTLOOK

The chart above illustrates forecasted expenses increasing starting in FY 2022 -23. This is primarily due to increased spending on capital projects.

REVENUE ASSUMPTIONS AND VARIANCES
 Forecasts include approved rate increases and a customer growth assumption of 1 percent per year.

EXPENSE ASSUMPTIONS AND VARIANCES
Budgeted expenses increase starting in 2022- 23 due to significant capital projects including the Cell I Phase II Liner Extension, Scale House Software, Site Security System, Flare Replacement, and construction of the IWMF at Los Flores. These are in addition to increases in O&M expenses related to regulatory requirements, salary and benefits, and unfunded pension liability.

City of Santa Maria 2024-26 Biennial Budget

80 This Page Intentionally Left Blank

81 BUDGET OVERVIEW

City of Santa Maria 2024-26 Biennial Budget

82 This Page Intentionally Left Blank
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
83 OVERVIEW
On June 18, 2024, the City Manager proposed a two-year budget comprised of $364.0 million for FY 2024-25 and $346.9 million for FY 2025-26, inclusive of a $ 62.2 million and $53.6 million capital project budget respectively. The table and charts below include expenditure budgets for the City’s major funds, which comprise 75 percent in FY 2024-25 and 78 percent FY 2025-26 of the total expenditure budget. Six-year plans are prepared for the General Fund and Measure U Fund; refer to the Six-Year Financial Plans section beginning on page 61.

NOTEWORTHY BUDGET HIGHLIGHTS
Each department’s budget under the Department Budget Detail section (beginning on page 201) contains a Noteworthy Budget Highlights section detailing significant changes within each department’s proposed budget as compared to the FY 2023-24 adopted budget.

Fund FY 2024-25 FY 2025-26
General Fund $ 108,718,908 $ 109,101,860
Measure U Fund 31,129,953 31,443,244
Water Resources 64,055,323 77,154,826
Solid Waste 54,134,822 37,815,781
Public Transit 15,638,045 16,224,857
Total Major Funds $ 273,677,051 $ 271,740,568
Other Funds 90,298,531 75,124,738
Total Budget $ 363,975,582 $ 346,865,306
General Fund

31.5%
Other Funds

21.7%
Water
Resources

22.2% Solid Waste

10.9%
Measure U

9.1%
Public Transit

4.7%
FY 2025/26
General Fund

29.9%
Other Funds

24.8%
Water
Resources

17.6% Solid Waste

14.9%
Measure U

8.6%
Public
Transit

4.3%
FY 2024/25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
84 CITYWIDE PROPOSED OPERATING BUDGET SUMMARY
The following schedules present the citywide operating budget.

SOURCES OF FUNDING: GENERAL FUND

Sources of Funding: General Fund
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

REVENUE CATEGORY
Taxes $ 68,265,459 $ 621 $ 68,881,601 $ 623
Licenses, Permits & Fines 3,253,334 30 3,325,334 30
Revenues from Use of Money &
Property 2,959,513 27 2,959,513 27
Revenues from Other Agencies 486,486 4 573,676 5
Charges for Service 5,634,579 51 6,679,521 60
Other Revenues and Transfers 10,236,717 93 17,728,906 160 Total General Fund $ 90,836,088 $ 826 $ 100,148,551 $ 905 Population 109,910 110,608

Taxes

68.8%
Licenses, Permits &
Fines

3.3% Revenues from Use
of Money &
Property

3.0%
Revenues from
Other Agencies

0.6%
Charges for Service

6.7%
Other Revenues
and Transfers

17.7%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
85 SOURCES OF FUNDING: OPERATING FUNDS

Sources of Funding: Operating Funds
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

REVENUE CATEGORY
Taxes $ 94,980,459 $ 864 $ 95,426,552 $ 863
Licenses, Permits & Fines 3,623,334 33 3,695,334 33
Revenues from Use of Money &
Property 3,247,825 30 3,247,825 29
Revenues from Other Agencies 10,886,688 99 11,165,050 101 Charges for Service 6,951,745 63 8,151,687 74
Other Revenues and Transfers 13,007,827 118 21,625,866 196 Enterprise Fund Revenues 109,523,134 996 124,257,857 1,123 Total Operating Funds $ 242,221,012 $ 2,204 $ 267,570,171 $ 2,419 Population 109,910 110,608

Taxes

35.7%
Licenses, Permits &
Fines

1.4%
Revenues from Use
of Money &
Property

1.2%
Revenues from
Other Agencies

4.2%
Charges for Service

3.0%
Other Revenues
and Transfers

8.1%
Enterprise Fund
Revenues

46.4%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
86 BUDGET BY CATEGORY: GENERAL FUND

Budget by Category: General Fund
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

EXPENDITURE CATEGORY
Salaries & Benefits $ 62,491,612 $ 569 $ 73,047,845 $ 660 Services & Supplies 23,316,220 212 24,157,103 218
Capital & Outside Agencies 1,024,040 9 1,119,040 10
Debt Service 266,912 2 266,912 2
Transfers 3,737,304 34 10,128,008 92
Total General Fund $ 90,836,088 $ 826 $ 108,718,908 $ 983 Population 109,910 110,608
Salaries & Benefits

67.2%
Services & Supplies

22.2%
Capital & Outside
Agencies

1.0%
Debt Service

0.2%
Transfers

9.3%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
87 BUDGET BY CATEGORY: OPERATING FUNDS

Budget by Category: Operating Funds
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

EXPENDITURE CATEGORY
Salaries & Benefits $ 110,644,892 $ 1,007 $ 125,314,777 $ 1,133 Services & Supplies 75,176,365 684 78,567,565 710
Capital & Outside Agencies 76,247,459 694 65,724,856 594 Debt Service 3,890,262 35 3,889,012 35
Transfers 10,972,118 100 17,918,093 162
Total Operating Funds $ 276,931,096 $ 2,520 $ 291,414,303 $ 2,635 Population 109,910 110,608

Salaries & Benefits

43.0%
Services & Supplies

27.0%
Capital & Outside
Agencies

22.6%
Debt Service

1.3%
Transfers

6.1%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
88 BUDGET BY FUNCTION: GENERAL FUND

Budget by Function: General Fund
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

FUNCTION
Public Safety $ 47,839,356 $ 435 $ 55,389,361 $ 501
Leisure & Cultural Services 12,406,896 113 12,992,292 117 Community & Economic
Development 6,621,183 60 6,087,166 55
General Government 23,968,653 218 34,250,089 310
Total General Fund $ 90,836,088 $ 826 $ 108,718,908 $ 983 Population 109,910 110,608
Public Safety

50.9%
Leisure & Cultural Services

12.0%
Community &
Economic
Development

5.6%
General Government

31.5%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
89 BUDGET BY FUNCTION: OPERATING FUNDS

Budget by Function: Operating Funds
Adopted
FY 2023-24
Per Capita
2022-23
Proposed
FY 2024-25
Per Capita
2024-25

FUNCTION
Public Safety $ 78,336,002 $ 713 $ 80,511,279 $ 728
Utilities 114,108,557 1,038 118,190,145 1,069
Public Ways & Facilities 27,489,813 250 24,189,495 219
Leisure & Cultural Services 22,581,541 205 23,245,850 210 Community & Economic
Development 9,131,385 83 8,582,405 78
General Government 25,283,798 230 36,695,129 332
Total Operating Funds $ 276,931,096 $ 2,520 $ 291,414,303 $ 2,635 Population 109,910 110,608

Public Safety

27.6%
Utilities

40.6% Public Ways &
Facilities

8.3%
Leisure & Cultural
Services

8.0%
Community &
Economic
Development

2.9%
General
Government

12.6%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
90 BUDGET BY PROGRAM: GENERAL FUND

Budget by Function: General Fund
Adopted
FY 2023-24
Proposed
FY 2024-25
Increase /
(Decrease)

DEPARTMENT
Mayor & Council $ 206,907 $ 210,716 $ 3,809
City Attorney 1,365,659 1,816,866 451,207
City Manager 9,202,952 11,626,021 2,423,069
Finance 8,319,559 15,203,664 6,884,105
Community Development 6,621,183 6,087,166 (534,017)
Recreation & Parks 12,406,896 12,992,292 585,396
Fire 11,037,012 13,762,535 2,725,523
Police 36,802,344 41,626,826 4,824,482
Public Works 4,873,576 5,392,822 519,246
Total General Fund $ 90,836,088 $ 108,718,908 $ 17,882,820 Mayor & Council

0.2%
City Attorney

1.7%
City Manager

10.7%
Finance

14.0%
Community
Development

5.6%
Recreation &
Parks

12.0%
Fire

12.7%
Police

38.3%
Public Works

5.0%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
91 BUDGET BY PROGRAM: MEASURE U FUND

Budget by Function: Measure U Fund
Adopted
FY 2023-24
Proposed
FY 2024-25
Increase /
(Decrease)

DEPARTMENT
City Manager $ 189,335 $ 1,435,220 $ 1,245,885
Finance 2,600 2,757 157
Community Development 963,250 824,287 (138,963)
Recreation & Parks 3,590,221 3,071,312 (518,909)
Fire 17,888,663 11,945,878 (5,942,785)
Police 12,267,733 12,835,790 568,057
Library 1,187,827 1,014,709 (173,118)
Total Measure U Fund $ 36,089,629 $ 31,129,953 $ (4,959,676) City Manager

4.6%
Finance

0.0%
Community
Development

2.6%
Recreation & Parks

9.9%
Fire

38.4%
Police

41.2%
Library

3.3%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
92 BUDGET BY FUND: OPERATING FUNDS

Budget by Fund: Operating Funds
Adopted
FY 2023-24
Proposed
FY 2024-25

DEPARTMENT
General and Measure U $ 126,925,717 $ 139,848,861
Water Resources 75.538.085 64,055,323
Solid Waste 38,570,472 54,134,822
Public Transit 19,091,609 15,638,045
Radio/Technology 983,903 839,188
Library 4,489,597 5,517,537
Park Acquisition & Development 757,000 150,000
Residential Development Tax 150,000 500,000
Economic Development 130,000 130,000
County Measure A 8,398,204 8,551,450
Community Development Block
Grant 1,416,952 1,540,952
SM Community TV 139,307 167,875
Traffic Safety 340,250 340,250
Total Operating Funds $ 276,931,096 $ 291,414,303
General

48.0%
Water Resources

22.0%
Solid Waste

18.6%
Public Transit

5.4%
Radio/Technology

0.3%
Library

1.9%
Park Acquisition &
Development

0.1%
Residential
Development Tax

0.2%
Economic
Development

0.0%
County Measure A

2.9% Community
Development Block
Grant

0.5%
SM Community TV

0.1%
Traffic Safety

0.1%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
93 FULL-TIME POSITIONS: ALL FUNDS

Full-Time Positions: All Funds
Adopted
FY 2023-24
Proposed
FY 2024-25

FUNCTION
Public Safety 269.80 286.80
Utilities 122.60 130.80
Public Ways & Facilities 71.80 74.80
Leisure & Cultural Services 121.20 121.40
Community & Economic
Development 32.00 33.00
General Government 67.60 85.60
Total All Funds 685.00 732.40

Public Safety

39.2%
Utilities

17.9%
Public Ways &
Facilities

10.2%
Leisure & Cultural
Services

16.6%
Community &
Economic
Development

4.5%
General
Government

11.7%
FY 2024-25
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
94 GENERAL FUND PROGRAMMATIC COSTS
The following illustration breaks down every dollar spent in the General Fund by how much is allocated to each department. This includes Measure U appropriations.

Police Department: 38.9¢
Fire Department: 18.4¢
Recreation & Parks Department: 11.5¢
Finance Department: 10.9¢
City Manager’s Office: 9.3¢
Community Development
Department: 4.9¢
Public Works Department: 3.9¢
Library Department: 0.7¢
City Attorney, Mayor and City
Council: 1.5¢
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
95 WHAT $3.46 PER DAY PAYS FOR IN CITY SERVICES
Consumers watch the cost of everyday items closely. A ride on a City bus costs $1.50, gasoline is about $5 per gallon, a champurrado (hot drink) or a tamale about $3, and a gallon of milk about $4. 60. By comparison, Santa Maria residents each pay about $3.46 per day for these City services:

Notes: This chart is based on the City spending $139.8 million in General Fund appropriations including Measure U expenditures. Additionally, because the Utilities Department operates as an Enterprise Fund it is not reflected above, and the Public Library receives County funds toward operations.

Police Services: $1.35
Fire Services: 63.7¢
Recreation and Parks Services: 39.8¢
Finance: 37.3¢
City Manager, Human Resources, City Clerk,
Information Technology, and City Council services:

32.9¢
Community Development and Community Services
(and Animal Control contractual services): 17¢
City Attorney: 5¢
Public Library: 3¢
Public Works: 13¢
City of Santa Maria 2024-26 Biennial Budget

Budget Overview
96 This Page Intentionally Left Blank

97 REVENUE OVERVIEW

City of Santa Maria 2024-26 Biennial Budget

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City of Santa Maria 2024-26 Biennial Budget

Revenue Overview
99 REVENUE PROJECTION METHODS
The calculation of revenue estimates is the first step in the preparation of the 2024 -26 Budget. Also essential to any budget is the development of economic assumptions. These are used to forecast changes to baseline revenue and expenditure levels to develop budget parameters.

Revenue estimates are prepared separately for each of the two fiscal years. For 2024 -25 projections were based on 2023- 24 mid -year revenues -to-date and emerging financial trends. Based on all available information, the City is projecting that in 2024-25 the General Fund and Measure U revenues will fall short of operational and capital expenses in each fund by $ 16.91 million and $ 4.41 million, respectively, for a combined total of $21.32 million. The City’s longstanding multimillion-dollar structural deficit has persisted since 2008 -09. Staff sought City Council direction to close the gap by using the Local Economic Augmentation Fund (LEAF) reserves.

SOURCES OF OPERATING REVENUE
The City of Santa Maria categorizes operating revenues into six major categories, each with distinct revenue characteristics. Operating revenues and transfers in are anticipated to be $267.6 million in FY 2024-25 and $266.5 million in FY 2025 -26; excluding transfers in, operating revenues are expected to total $246.4 million in FY 2024- 25 and $253.5 million in FY 2025-26. The following charts provide a breakdown of revenue by major revenue type.

TAXES
The Taxes revenue category includes Sales Tax, Measure U Transaction & Use Tax, Property Tax, Hotel/Bed Tax, Franchises, Business License, and Property Transfer. Data sources used to project these revenues include industry experts, current economic data, consultants, and historical revenue performance. The largest sources of taxes reside in the Gen eral Fund and Measure U, as listed in the following table.

LICENSES, PERMITS & FINES
Licenses, Permits & Fines revenue is received by the General Fund through the collection of charges designed to reimburse the City for costs of regulating activities being licensed, such as licensing of animals, bicycles, etc. and revenues received and/or bail monies forfeited upon conviction of a misdemeanor or municipal infraction. Information used to project revenues in this category includes industry experts, feedback from the development community, current economic data, and historical revenue performance.

Charges for
Service
$106.2 M

39.7%
Taxes
$95.4 M

35.7%
Revenues from
Other Agencies
$31.2 M

11.7%
Other Revenue
and Transfers
$25.3 M

9.5%
Rev. from Use
of Money &
Property
$5.7 M

2.1%
Licenses, Permits &
Fines
$3.7 M

1.4%
FY 2024-25
Charges for
Service
$112.2 M

42.1%
Taxes
$97.0 M

36.4%
Revenues from
Other Agencies
$30.6 M

11.5% Other Revenue
and Transfers
$17.2 M

6.5%
Rev. from Use
of Money &
Property
$5.7 M

2.2%
Licenses, Permits &
Fines
$3.7 M

1.4%
FY 2025-26
City of Santa Maria 2024-26 Biennial Budget

Revenue Overview
100

REVENUES FROM USE OF MONEY & PROPERTY
Revenues from Use of Money & Property include interest income, lease revenue, loan repayments.

Revenue projections are based on lease and rental contracts, historical trends, and any known factors.

REVENUES FROM OTHER AGENCIES
Revenues from Other Agencies come from other government agencies, primarily the state and federal governments. These revenues include general or categorical support, such as reimbursements for state mandates and mutual aid reimbursement. Intergovernmental revenue projections are developed by City departments and reviewed by Finance. Information used to project these revenues includes feedback from various state/federal agencies and historical revenue performance.

CHARGES FOR SERVICES
Charges for Services is the City’s largest revenue source and includes fees collected for utility services; library; transportation; parks and recreational services; and cost recovery fees. Revenue projections for Charges for Services are developed collabo ratively by Finance and the City department administering the fee; projections are based on historical trends, economic factors, and current demand for services. Other information used to project these revenues include weather models, historical revenue pe rformance, relevant economic factors, and projected increases due to new development.

Within the Charges for Services category, scheduled rate increases are incorporated into the City’s FY 2024-26 biennial budget.

OTHER REVENUES & TRANSFERS
Other Revenue includes operating transfers in, cost allocation transfers, and other miscellaneous revenue such as claims recovery and the sale of land, buildings, salvaged materials, and equipment.

Revenue projections are based on historical trends, and any known factors, such as the planned sale of property.

LANDSCAPE SERVICES, MITIGATION, & GRANT FUNDS

GROWTH MITIGATION
The Growth Mitigation Fund accounts for the receipts of developer fees as approved under the State of California Assembly Bill (AB) 1600. AB 1600 allows public agencies to charge developers for the incremental cost of services required by the new development. The use of AB 1600 fees and the need for public improvement must be related to the development. The City’s AB 1600 fees are “growth mitigation fees”, and are to pay for traffic, recreation and parks facilities, public safety facilities, and water/wastewater infrastructure.

ASSESSMENT DISTRICTS/LANDSCAPE SERVICES
Assessment Districts / Landscape Services revenue generally includes taxes generated in certain geographic areas of the City for specific purposes (e.g., landscape services, street lighting, and infrastructure needs). Information used to project these reve nues includes levy revenues inclusive of projected adjustments and any cap on revenue established during the development of the special district, where applicable.

STOWELL PARKING & LIGHTING DISTRICT
The Stowell Parking and Lighting Fund is used to account for property tax revenues that are restricted to providing lighting and landscaping services to the Stowell Plaza Shopping Center. The Stowell Parking and Lighting Maintenance District was formed in 1961 for parking lot and landscaping maintenance of the Stowell Plaza Shopping Center. The maintenance work is performed by an City of Santa Maria 2024-26 Biennial Budget

Revenue Overview
101
independent contractor, with the City’s Recreation and Parks Department monitoring the contract and maintenance work. Stowell Plaza Shopping Center’s property owners pay an ad valorem tax.

GRANT FUNDS
The Supplemental Law Enforcement Service – COPS Fund accounts for the State of California’s COPS grant fund revenue that is restricted to support front -line law enforcement services with an emphasis on supporting salary and benefits. The City uses this revenue to match a Federal grant to pay for three officers.

The Federal/State Asset Forfeiture Fund accounts for all funds received through State and Federal agencies for drug seizures in which the City participates. These funds must be used to supplement, not supplant, the Police Department’s normal operating budget. The amount of revenue varies from year to year based on activity levels.

CAPITAL PROJECT FUNDS
The Capital Projects – General Fund is used to account for the purchase and construction of capital assets for the General Fund. Appropriations are made annually from the fund.

The Gas Tax and Transportation Development Act Fund is used to account for the City’s share of State and Santa Barbara County gasoline tax collected following the provisions of the State’s Streets and Highway Code. Revenues are disbursed by the State based on population and used toward maintenance and repair of City streets that serve as State and County thoroughfares. This fund is used for preventative annual maintenance of streets and appurtenant facilities and the construction of new public infrastructure within public rights -of-way. It is used for administrative, operational, materials, equipment, and labor costs for the construction of public infrastructure.

The Developer / Grant Street Projects – Fund is supported by specific street type grants and contributions by developers for the construction of streets and appurtenant facilities. Administrative, materials, equipment, and labor costs associated with street-related projects funded by sources other than gas tax or sales tax revenues are paid from this fund. Examples of public infrastructure built with developer and grant funds include roadway extensions, new bikeways, roadway operational improvements, and roadway safety enhancements.

City of Santa Maria 2024-26 Biennial Budget

Revenue Overview
102

SCHEDULE OF REVENUES

REVENUE BY FUND AND TYPE
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Adopted
FY 2024-25
Adopted
FY 2025-26
GENERAL FUND (FUND 001)
Taxes $ 64,887,510 $ 67,451,275 $ 68,265,459 $ 68,881,601 $ 70,273,610 Licenses, Permits & Fines 4,621,029 4,211,829 3,253,334 3,325,334 3,323,334 Revenue from Use of Money
& Property (4,671,324) 461,487 2,959,513 2,959,513 2,959,513 Revenues from Other
Agencies 11,390,811 1,393,428 486,486 573,676 573,676 Charges for Services 7,630,352 6,953,692 6,098,979 7,298,921 7,516,939 Other Revenue 394,933 387,970 227,656 209,376 209,426 Transfers 4,735,154 6,747,589 9,544,661 16,900,130 8,563,862 Subtotal General Fund $ 88,988,466 $ 87,607,269 $ 90,836,088 $ 100,148,551 $ 93,420,360

MEASURE U (FUND 011)
Measure U Transaction &
Use Tax $ 25,934,795 $ 26,461,516 $ 26,715,000 $ 26,544,951 $ 26,715,000 Interest Income (432,592) 642,979 171,354 171,354 171,354 Total Revenues & Transfers In $ 25,502,203 $ 27,104,495 $ 26,886,354 $ 26,716,305 $ 26,886,354

TOTAL GENERAL FUND $ 114,490,669 $ 114,711,765 $ 117,722,442 $ 126,864,856 $ 120,306,714

WATER RESOURCES (FUNDS
002 & 004)
Water Sales $ 42,875,926 $ 41,981,610 $ 40,160,843 $ 44,994,344 $ 49,150,770 Wastewater Charges 12,801,359 13,402,945 12,167,705 13,485,034 13,542,536 Connections &
Reimbursements 522,831 1,085,841 550,000 555,500 561,055 Interest Income (3,773,177) 798,563 1,426,497 1,426,497 1,426,497 Other 3,009,077 1,143,106 717,425 948,622 1,053,290 Total Revenues & Transfers In $ 55,436,017 $ 58,412,065 $ 55,022,470 $ 61,409,997 $ 65,734,148

SOLID WASTE (FUNDS 003 &
010)
Charges for Service $ 29,361,968 $ 31,737,579 $ 32,017,148 $ 36,649,168 $ 38,165,777 Interest Income (1,749,670) 324,688 720,094 720,094 720,094 Other Income 1,681,590 6,908,405 126,605 152,979 155,272 State Grants 184,798 66,258 - - -
Total Revenues & Transfers In $ 29,478,686 $ 39,036,931 $ 32,863,847 $ 37,522,241 $ 39,041,143

PUBLIC TRANSIT (FUNDS 066
& 067)
Federal Grant - Operating $ 66,956 $ (5,181,101) $ 4,199,207 $ 4,228,069 $ 4,228,069 Federal Grant - Capital - (3,357,172) 7,051,609 9,803,637 9,803,637 State Gas Tax 6,697,019 4,468,034 5,464,920 7,415,648 7,416,376 Passenger Fares 698,236 649,031 943,157 647,841 696,461 City of Santa Maria 2024-26 Biennial Budget

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103

REVENUE BY FUND AND TYPE
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Adopted
FY 2024-25
Adopted
FY 2025-26
Interest 261,981 415,401 325,965 325,965 325,965 Other (934,176) (202,729) 1,922,500 1,175,000 1,175,000 Total Revenues & Transfers In $ 6,790,016 $ (3,208,535) $ 19,907,358 $ 23,596,160 $ 23,645,508

RADIO/TECHNOLOGY FUND
(FUND 023)
Charges for Service $ 13,737 $ 15,819 $ 14,970 $ 14,970 $ 14,970 Interest Income - - 17,429 17,429 17,429
Operating Transfers In 1,697,061 1,486,580 1,697,060 1,697,060 1,697,060 Other - - - - -
Total Revenues & Transfers In $ 1,710,798 $ 1,502,399 $ 1,729,459 $ 1,729,459 $ 1,729,459

TOTAL ENTERPRISE FUNDS $ 93,415,517 $ 95,742,859 $ 109,523,134 $ 124,257,857 $ 130,150,258

SPECIAL REVENUE FUNDS
LIBRARY (FUND 009)
County Grants $ 1,555,827 $ 1,677,996 $ 1,387,614 $ 1,387,614 $ 1,387,614 State Grants 35,600 182,532 - - -
Charges for Service 258,658 247,495 156,263 156,263 156,263 Operating Transfers In 1,350,030 2,237,340 2,666,110 3,973,660 4,148,705 Total Revenues & Transfers In $ 3,200,115 $ 4,345,363 $ 4,209,987 $ 5,517,537 $ 5,692,582

TRAFFIC SAFETY (FUND 013)
Franchise Grant $ 324,187 $ 336,753 $ 370,000 $ 370,000 $ 370,000 Total Revenues & Transfers In $ 324,187 $ 336,753 $ 370,000 $ 370,000 $ 370,000

PARK ACQUSITION (FUND
016)
Park Acquisition Fees $ 935,506 $ 302,419 $ 629,623 $ 629,623 $ 629,623 Total Revenues & Transfers In $ 935,506 $ 302,419 $ 629,623 $ 629,623 $ 629,623

RESIDENTIAL DEV TAX (FUND
028)
Park Development Fees $ (43,146) $ 64,844 $ 66,880 $ 66,880 $ 66,880 Total Revenues & Transfers In $ (43,146) $ 64,844 $ 66,880 $ 66,880 $ 66,880

ECONOMIC DEVELOPMENT
(FUND 040)
Loan Repayments $ (17,892) $ 6,781 $ 6,880 $ 6,880 $ 6,880 Total Revenues & Transfers In $ (17,892) $ 6,781 $ 6,880 $ 6,880 $ 6,880

COUNTY MEASURE A (FUND
068)
Sales Tax (County 1/2 % -
Meas A) $ 7,589,141 $ 7,731,517 $ 7,456,129 $ 7,638,677 $ 7,024,081 City of Santa Maria 2024-26 Biennial Budget

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104

REVENUE BY FUND AND TYPE
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Adopted
FY 2024-25
Adopted
FY 2025-26
Interest Income (307,612) 106,611 105,950 105,950 105,950 Other 423,407 32,938 252,700 252,700 252,700
Total Revenues & Transfers In $ 7,704,936 $ 7,871,065 $ 7,814,779 $ 7,997,327 $ 7,382,731

CDBG (FUND 948)
CDBG Federal Grants $ 1,081,031 $ 2,751,275 $ 1,416,952 $ 1,540,952 $ 1,540,952 Program Income (4,590) 15,044 139,507 24,131 24,131 Total Revenues & Transfers In $ 1,076,441 $ 2,766,319 $ 1,556,459 $ 1,565,083 $ 1,565,083

SM COMMUNITY TV (FUND
998)
Franchise Grant $ 284,697 $ 260,709 $ 262,500 $ 240,000 $ 240,000 PEG Access-Contributions 50,000 50,000 51,000 50,000 50,000 PEG-Program Revenue - 59 3,200 - -
Interest Income (18,119) 2,541 4,128 4,128 4,128 Total Revenues & Transfers In $ 316,578 $ 313,309 $ 320,828 $ 294,128 $ 294,128

TOTAL SPECIAL REVENUE
FUNDS $ 13,496,724 $ 16,006,854 $ 14,975,436 $ 16,447,458 $ 16,007,907

TOTAL OPERATING FUNDS $ 221,402,909 $ 226,461,478 $ 242,221,012 $ 267,570,171 $ 266,464,879

LANDSCAPE SERVICES,

MITIGATION & GRANT FUNDS
Growth Mitigation $ 188,302 $ 2,589,634 $ 4,733,351 $ 4,733,351 $ 4,733,351 Landscape Services 6,228,094 6,769,081 6,956,567 7,232,873 7,249,393 Stowell Parking & Lighting
District 20,936 34,793 86,800 86,800 86,800
Grant Funds - - - - -
Total Landscape Services,
Mitigation & Grant Funds $ 6,437,333 $ 9,393,507 $ 11,776,718 $ 12,053,024 $ 12,069,544

CAPITAL PROJECT FUNDS
General Fund Capital
Projects $ 1,011,602 $ 1,667,931 $ 10,211,934 $ 2,244,802 $ 2,244,802 Gas Tax & Local
Transportation 4,732,270 5,342,990 5,900,964 6,064,282 6,066,045 Developer / Grant Street
Projects 1,138,626 357,235 2,077,000 3,327,000 8,608,000 Total Capital Project Funds $ 6,882,497 $ 7,368,156 $ 18,189,898 $ 11,636,084 $ 16,918,847

INTERNAL SERVICE FUNDS
Fleet Services $ 11,170,588 $ 13,513,538 $ 10,989,715 $ 10,989,715 $ 10,989,715 Equipment 4,232,144 3,735,109 4,400,941 4,400,941 4,400,941 Local Economic
Augmentation Fund - - - - -
Insurance Funds 9,050,560 13,651,350 13,650,425 13,428,500 13,428,500 City of Santa Maria 2024-26 Biennial Budget

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105

REVENUE BY FUND AND TYPE
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Adopted
FY 2024-25
Adopted
FY 2025-26
Total Internal Service Funds $ 24,453,292 $ 30,899,997 $ 29,041,081 $ 28,819,156 $ 28,819,156

Total Revenues and
Transfers In $259,176,032 $274,123,139 $301,228,709 $ 320,078,435 $ 324,272,426

City of Santa Maria 2024-26 Biennial Budget

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107

EXPENDITURE OVERVIEW

City of Santa Maria 2024-26 Biennial Budget

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City of Santa Maria 2024-26 Biennial Budget

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CITYWIDE OVERVIEW
The City’s FY 2024-26 Biennial Budget totals $364.0 million in FY 2024-25 and $346.9 million in FY 2025-26, inclusive of capital, maintenance and equipment project budgets.

EXPENDITURE CATEGORIES

PERSONNEL
Personnel costs are the first largest spending category of the City and include salaries, benefits, workers compensation insurance, and retirement costs, including the CalPERS UAL.

Citywide personnel costs total approximately $129.6 million in FY 2024-25 and $136.6 million in FY 2025- 26, with Public Safety departments contributing nearly 50 percent of that amount for both fiscal years.

In FY 2024-25, Measure U funds $24.8 million in FY 2024-25 in City personnel costs, including $10.9 million of Police Department personnel costs and $9.9 of total Fire Department personnel costs.

CAPITAL & OUTSIDE AGENCIES

CAPITAL
In all, the proposed Capital Projects Budget for 2024 -26 consists of 6 4 capital projects representing approximately $115.9 million in appropriations.

For comparison purposes, the 2022- 24 Budget consisted of 151 capital projects totaling $140.7 million in appropriations.

The Capital Projects – General Fund has $3.5 million in capital expenditures for 2024-25 and $2.8 million in 2025-26.

OUTSIDE AGENCIES
The City contracts with the Santa Maria Valley Chamber of Commerce to facilitate community vitality through economic prosperity. This partnership focuses on the Chamber providing business support, attraction, and retention under the Economic Development Commission (since 2004) and tourism Salaries &
Benefits
$129.6 M

35.6%
Services &
Supplies
$107.8 M

29.6%
Capital &
Outside
Agencies
$93.4 M

25.7%
Transfers
$29.2 M

8.0%
Debt Service
$4.0 M

1.1%
FY 2024-25
Salaries &
Benefits
$136.6 M

39.4%
Services &
Supplies
$104.3 M

30.1% Capital &
Outside
Agencies
$84.4 M

24.3%
Transfers
$17.7 M

5.1%
Debt Service
$3.9 M

1.1%
FY 2025-26
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City of Santa Maria 2024-26 Biennial Budget

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110
marketing through the Visitors Bureau (since at least 1978). The City’s 2022-23 and 2023-24 contributions toward the Economic Development Commission were $217,000 and $222,500, respectively. The City’s 2022-23 and 2023-24 contribution toward the Visitors Bureau were $593,000 and $608,000, respectively.

The Santa Maria Valley Historical Society preserves the Santa Maria traditions important to the community and it is a resource to all City departments for projects and information. It offers free services to those it serves. The museum building was given to the City and the City maintains the building for use by the museum and Chamber of Commerce. There is a longer -term need to house these two functions in separate buildings as each has outgrown its respective portions of the building.

In the fiscal year 2019-20, the Santa Maria Valley Historical Society was allocated $20,000 from the City.

For the fiscal year 2020 -21, the Santa Maria Valley Historical Society requested $30,000 in annual funding from the City but due to budget constraints, the annual funding for 2020-22 was set at $18,600.

Staff is recommending funding of $20,000 in 2024-25 and 2025-26.

The Santa Maria Museum of Flight serves as a preservationist of past, present, and future aerospace and aeronautical artifacts, historical documents, and memorabilia of the Santa Maria Valley. Its focus is on the right aviation history of the Santa Maria Valley; the museum is located at Santa Maria Airport.

The Museum received $20,000 in funding from the City in 2019- 20 but none in 2020- 22 after several attempts by the City to receive contractual financial information, as required by the contract.

Communication resumed in 2021 and the Museum received $20,000 in funding from the City in 2022-

24. For 2024-26, staff is recommending a contribution of $20,000 in both years.

The Northern Santa Barbara County United Way, based in Santa Maria, operates the AmeriCorps/Home for Good Santa Barbara County program, to coordinate homeless outreach services in the City of Santa Maria. Funding was set at $22,320 in 2021- 22. The program is transitioning from outreach and data collection to a focus on housing retention. To continue the partnership with Santa Maria, the recommended annual funding for each year has been set at $30,000 since 2022 -24.

DEBT SERVICE
The debt service budget includes current principal and interest obligations, fiscal charges, and other related costs. Estimated future debt service expenditures are based on the City’s debt repayment schedule. Actual debt obligations may vary from the budget due to variable interest rates and interest credits applied in the debt schedule.

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SCHEDULE OF EXPENDITURES
The following pages include the Schedule of Expenditures. Additional expenditure schedules by department are included in the Department Budget Detail section beginning on page 201.

SCHEDULE OF EXPENDITURES
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

GENERAL FUND AND

MEASURE U FUND
Salaries & Benefits $ 67,118,910 $ 76,045,636 $ 87,409,488 $ 97,881,807 $ 103,083,501 Services & Supplies 19,512,904 23,196,132 26,091,973 27,922,941 27,837,446 Total Operating Cost $ 86,631,813 $ 99,241,769 $ 113,501,461 $ 125,804,748 $ 130,920,947 Capital & Outside Agencies 1,910,737 2,802,525 7,642,263 2,404,040 1,139,040 Debt Service 920,148 634,210 266,912 266,912 266,911
Transfers 2,481,936 5,143,222 5,515,081 11,373,161 8,218,206 Total General Fund $ 91,944,635 $ 107,821,726 $ 126,925,717 $ 139,848,861 $ 140,545,104

SUMMARY OF SERVICE

PROGRAMS
General Fund:

Mayor & Council $ 169,075 $ 191,316 $ 206,907 $ 210,716 $ 227,015 City Attorney 1,040,743 1,239,008 1,365,659 1,816,866 1,878,493 City Manager 7,485,873 7,510,465 9,202,952 11,626,021 11,917,704 Finance 5,290,042 6,708,433 8,319,559 15,203,664 12,229,624 Community Development 4,033,288 5,573,366 6,621,183 6,087,166 6,350,535 Recreation & Parks 9,630,660 10,931,403 12,406,896 12,992,292 13,232,582 Fire 12,814,447 11,420,799 11,037,012 13,762,535 14,195,037 Police 28,350,554 33,056,315 36,802,344 41,626,826 43,405,481 Public Works 3,270,457 3,725,348 4,873,576 5,392,822 5,665,389 Sub-Total General Fund $ 72,085,139 $ 80,356,453 $ 90,836,088 $ 108,718,908 $ 109,101,860 Police $ 9,474,071 $ 11,639,340 $ 12,267,733 $ 12,835,790 $ 13,568,555 Fire 7,295,781 11,337,050 17,888,663 11,945,878 12,561,827 Recreation & Parks 1,917,985 3,081,760 3,590,221 3,071,312 3,152,287 Library 619,072 826,690 1,187,827 1,014,709 1,025,970 Community Development - 418,140 963,250 824,287 884,148 City Attorney 434,130 142,532 - - -
City Manager 9,643 19,761 189,335 1,435,220 247,700 Finance 108,814 - 2,600 2,757 2,757
Sub-Total Measure U Fund $ 19,859,496 $ 27,465,273 $ 36,089,629 $ 31,129,953 $ 31,443,244 TOTAL GENERAL FUND $ 91,944,635 $ 107,821,726 $ 126,925,717 $ 139,848,861 $ 140,545,104

OPERATING PROGRAMS
Salaries & Benefits $ 82,400,617 $ 95,939,379 $ 110,644,892 $ 125,314,777 $ 132,043,238 Services & Supplies 58,676,618 73,571,212 75,176,365 78,567,565 77,744,184 Total Operating Cost $ 141,077,235 $ 169,510,591 $ 185,821,257 $ 203,882,342 $ 209,787,422 Capital & Outside Agencies 17,909,839 29,855,092 76,247,459 65,724,856 61,875,602 Debt Service 5,506,522 2,012,136 3,890,262 3,889,012 3,892,511 City of Santa Maria 2024-26 Biennial Budget

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SCHEDULE OF EXPENDITURES
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
Transfers 5,310,495 10,881,797 10,972,118 17,918,093 14,763,138 Total $169,804,090 $212,259,615 $276,931,096 $ 291,414,303 $ 290,318,673

SUMMARY OF SERVICE

PROGRAMS
General & Measure U $ 91,944,635 $ 107,821,726 $ 126,925,717 $ 139,848,861 $ 140,545,104 Water Resources 22,856,880 42,991,359 75,538,085 64,055,323 77,154,826 Solid Waste 36,717,522 36,557,135 38,570,472 54,134,822 37,815,781 Public Transit 7,573,204 9,506,731 19,091,609 15,638,045 16,224,857 Radio/Technology 722,540 765,392 983,903 839,188 872,663 Library 3,331,160 4,064,467 4,489,597 5,517,537 5,692,582 Park Acquisition &
Development
641,241 855,194 757,000 150,000 150,000
Residential Development
Tax
127,602 117,803 150,000 500,000 500,000
Economic Development - 60,000 130,000 130,000 130,000 County Measure A 4,548,218 6,191,685 8,398,204 8,551,450 9,201,358 Community Development
Block Grant
754,797 2,760,612 1,416,952 1,540,952 1,540,952 SM Community TV 215,015 236,121 139,307 167,875 150,300 Traffic Safety 371,277 331,390 340,250 340,250 340,250 Total Operating Funds $ 169,804,090 $ 212,259,615 $ 276,931,096 $ 291,414,303 $ 290,318,673

Landscape Services,
Mitigation & Grant Funds 6,987,871 7,901,381 15,002,407 15,250,827 11,926,185 Capital Projects 6,905,073 11,544,428 22,936,551 11,636,527 15,733,703 Internal Service Funds 17,066,413 13,590,130 43,623,944 45,673,925 28,886,745 GRAND TOTAL $ 200,763,448 $ 245,295,553 $ 358,493,998 $ 363,975,582 $ 346,865,306 City of Santa Maria 2024-26 Biennial Budget

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FUND ANALYSIS
FUND ANALYSIS 2023 -24

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FUND ANALYSIS 2024 -25

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FUND ANALYSIS 2025 -26

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INTERFUND TRANSFERS
Interfund Transfers represent a transfer of resources from one fund to another fund. The transfer appears as a resource in the fund receiving the transfer and as a budget requirement in the fund that is sending the transfer. The nature of interfund transfers causes revenue and expenditures to be double counted in the citywide budget ; however, the inclusion of interfund transfers provides transparency to the performance of individual funds and the subsidies from one City fund to another.

COST ALLOCATION TRANSFER
Payments, by operating departments of the City to the General Fund, for central support services such as administration, payroll, and accounts payable.

INTERFUND TRANSFERS AND LOANS
In adherence to grant requirements, GAAP, and public policy goals, the City has established various special revenue, capital project, debt service, and enterprise funds to account for revenues that are restricted to certain activities. Accordingly, each fund exists as a separate financing entity from other funds, with its revenue sources, expenditures, and fund equity.

Transfers among funds for operating purposes are outlined in the two-year budget document and can only be made by the Director of Finance, following the adopted budget. These operating transfers, under which financial resources are transferred from one fund to another, are distinctly different from inter-fund borrowing, which are customarily made for temporary cash flow reasons, and are not intended to result in a transfer of financial resources by the end of the fiscal year. In summary, inter - fund transfers result in a change in fund equity; inter -fund borrowings do not, as the intent is to repay the loan in the near term.

From time -to-time, interfund borrowings may be appropriate; however, these are subject to the following criteria to ensure that the fiduciary purpose of the fund is met:
$329,952,987
FY 2025-26 Proposed
Appropriations excluding
Interfund Transfers
Provider Fund
Records Operating
Revenue from the normal
course of business
Records an Expense in the
form of a Transfer Out
(e.g., for its share of debt
payments)
Recipient Fund
Records Revenue (in the
form of a Transfer In)
received from another
fund
Records an Expense when
using the transferred funds
(e.g., to make a debt
payment)
Citywide Budget
Perspective
Outgoing resources
(Expenditures/Transfers Out)
are budgeted twice
Incoming resources
(Revenues/Transfers In)
are budgeted twice
$335,572,040
FY 2024-25 Proposed
Appropriations excluding
Interfund Transfers
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• The Director of Finance is authorized to approve temporary inter-fund borrowings for cash flow purposes whenever the cash flow is expected to be resolved within 45 days. The most common use of this type of inter -fund borrowing is for grant programs such as Local Law Enforcement Block Grant Funds, where costs are incurred before drawdowns are initiated and received; and the receipt of funds is typically received shortly after the request for funds was made. • Other inter-fund borrowings, for cash flow or other purposes, are dealt with by a case -by-case review by the Director of Finance.

INTERFUND TRANSFER SCHEDULES
The following schedules of Interfund Transfers show the relationship of operating transfers between funds.

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TRANSFER ANALYSIS FY 20 23-24

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TRANSFER ANALYSIS FY 202 4-25

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TRANSFER ANALYSIS FY 20 25-26

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FUND OVERVIEW

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BUDGETARY FUND BALANCE
In a governmental agency, fund balance is considered in two separate, but intrinsically related, settings – budgetary fund balance and Annual Comprehensive Financial Report (ACFR) fund balance.

Budgetary fund balance is a prospective calculation of ending fund balance based on estimated revenues and expenditures, whereas ACFR fund balance is a retrospective calculation based on the difference between fiscal year end assets and liabilities, and deferred inflows or outflows of resources.

Following the financial audit of the active fiscal year, budgetary ending fund balance is reconciled to ACFR fund balance, accounting for actual fiscal year performance and any differences in the budgetary versus accounting basis of reporting.

ACFR fund balance may be classified in one of five classifications defined in GASB Statement 54: Fund Balance Reporting and Governmental Fund Type Definitions as described below:
• Non-spendable Fund Balance: C annot be spent due to form or must be maintained intact legally or contractually.
• Restricted Fund Balance: S ubject to externally enforceable limitations by law, enabling legislation, or limitations imposed by creditors or grantors. • Committed Fund Balance: May only be used for specific purposes due to formal action of the City Council through adoption of a resolution prior to the end of the fiscal year. • Assigned Fund Balance: Reflects the City’s intended use of resources. • Unassigned Fund Balance: The residual classification that includes all spendable amounts not contained in the other classifications.

For the purposes of budgetary fund balance, the last three classifications listed above (Committed, Assigned, and Unassigned) are generally considered “available” fund balance, as these balances are not legally restricted by external parties or forces.

MAJOR FUNDS
On a budgetary basis, a major fund is defined as a fund whose total revenues or expenditures, excluding other financing sources and uses, exceed ten percent of citywide revenues or expenditures.

Under this basis, the City has three major funds:
• General Fund (including Measure U), which accounts for approximately 37 percent of citywide revenues and 38 percent of citywide expenditures in FY 202 4-25 and 36 percent of citywide revenues and 40 percent of citywide expenditures in FY 2025-26. • Water Resources Funds account for approximately 21 percent of citywide revenues and 19 percent of citywide expenditures in FY 202 4-25 and 21 percent of citywide revenues and 23 percent of citywide expenditures in FY 2024-25.
• Solid Waste Funds account for approximately 13 percent of citywide revenues and 16 percent of citywide expenditures in FY 2024-25 and 13 percent of citywide revenues and 11 percent of citywide expenditures in FY 2025-26.

The three major funds are described in the upcoming Fund Structure section.

FUNDS NOT BUDGETED
The City uses fiduciary agency funds to account for assets held by the City as trustee or agent for the benefit of individuals, other governments and/or other funds outside of the City. Fiduciary Agency funds are custodial, are not used to support City programs, and do not require measurement of results of operations. As such, fiduciary agency funds are not budgeted.

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FUND STRUCTURE
The City of Santa Maria’s (City) budget is made up of numerous funds. A fund is a separate accounting entity with a self-balancing set of accounts created to track specific revenue and expense activity.

All of the City’s funds are classified into three categories: Governmental Funds, Proprietary Funds, and Fiduciary Agency Funds. Each category, in turn, is divided into separate “fund types”. Below is a graphical depiction of the budget fund structure:

Proprietary
Funds
Enterprise Funds
The Breeze
Public Transit
Radio Technology
Solid Waste
Wastewater
Water Resources
Internal Service Funds
Business Equipment
Communications
Equip.

Liability & Insurance
Local Economic
Augmentation
Mobile Equipment
(Fleet Services)
Telephone Equipment
Unemployment
Insurance
Governmental
Funds
Debt Service Funds
Financing Authority
2003 Lease Revenue
Bonds
Special Revenue
Funds
Drainage Funds
Economic Development
Fed/State Asset
Forfeiture
Gas Tax & Street Funds
Grant – non-recurring
Growth Mitigation
Landscape Districts
Library
Parking & Lighting
PEG Access Television
Police Grants
Quimby Park &
Acquisition
Residential Development
Tax
Special Districts
Traffic Safety
Capital Projects Funds
CIP – CDBG
CIP - General
General Fund
Measure U
Governmental Services
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GOVERNMENTAL FUNDS
Governmental funds are generally used to account for tax-supported activities. Because the focus for governmental funds is on current spendable resources, the balance sheets include only current assets and current liabilities. Governmental funds are accoun ted for on a modified accrual basis; thus, revenues are recognized when measurable and available, and expenditures are recorded when the related liability is incurred. Available means collectible in the current period or soon enough thereafter to be used to pay liabilities of the current period. Examples of such revenues include property tax, sales tax, and interest earnings. Expenditures are recognized when the fund liability is incurred. There are four different types of governmental funds used by the City.

GENERAL FUND
The General Fund is the City’s primary fund and accounts for all revenues and expenditures applicable to the general operations of the city government, which are not properly accounted for in another fund. These are activities and services traditionally associated with governments, such as police and fire, recreation and parks, and a city administration that is financed primarily through tax -generated revenues.

MEASURE U FUND
The Measure U Fund accounts for local transactions and use tax within the City of Santa Maria. City voters initially approved Measure U in the June 2012 election, enacting a one -quarter-cent general transactions and use tax. More recently, City voters in the November 2018 election extended and enhanced Measure U at the one-cent rate, to support essential City services. This general-purpose tax is used primarily to fund services such as police and fire, recreation and parks, library, and code enforcement. The Measure U Fund is combined with the General Fund for financial reporting purposes.

DEBT SERVICE FUNDS
Debt service funds are used to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest. Debt service revenues are derived from property taxes and other operating revenues.

SPECIAL REVENUE FUNDS
Special revenue funds are operating funds for which the use of revenues is restricted or designated by outside sources. These funds are used to account for the revenue derived from specific taxes or other earmarked revenue sources such as intergovernmental grants and contracts (other than for major capital projects) that are restricted by law or administrative action to expenditures for specific purposes.

CAPITAL PROJECT FUNDS
Capital project funds are used to account for construction or acquisition of general fixed assets and major improvements other than those financed by special assessments. Capital project funds of the City include general fund capital projects, gas tax, local transportation, growth mitigation, and developer/grant street projects.

PROPRIETARY FUNDS
Proprietary funds are financed and operated in a manner like private business enterprises where the intent is to recover the costs of providing goods and services from user charges. Proprietary funds focus on the determination of operating income, changes in net assets (or cost recovery), financial positions, and c ash flows. Proprietary fund revenues and expenses are budgeted and accounted for on an accrual basis. Revenues are recognized in the period when earned and expenses are recognized when incurred. T here are two different types of proprietary funds used by the City – enterprise funds and internal service funds.

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ENTERPRISE FUNDS
Enterprise funds are used to account for the operations and financing of self -supporting activities of the City that render services on a user charge basis to the public, similar to private business enterprises.

Enterprise funds of the City include water resources (covering water and wastewater services), refuse collections and disposal, and public transit operations.

INTERNAL SERVICE FUNDS
Internal service funds are used to account for the financing of centralized services to different funds and City departments on a cost -reimbursement basis (including replacement costs). Internal service funds of the City include fleet maintenance and replacement, business equipment, liability and workers’ compensation insurance costs, and radio technology.

FIDUCIARY AGENCY FUNDS
The City uses fiduciary agency funds to account for assets held by the City as trustee or agent for the benefit of individuals, other governments, and/or other funds outside of the City. Fiduciary Agency funds are custodial, are not used to support City programs, and do not require measurement of results or operations. As such, fiduciary agency funds are not budgeted.

ENTERPRISE FUNDS
Enterprise Funds are used to account for activities that are financed and operated in a manner like private businesses. The City’s intent is that the operational and capital costs of providing these services be recovered primarily through user fees and charges.

The Santa Maria Utilities Department’s budget includes six Enterprise Funds:
• The Solid Waste Collection Fund accounts for all resources used for residential, commercial, agricultural, industrial solid waste collections, and recycling operations , including, but not limited to, administration, maintenance, and capital acquisition. • The Solid Waste Disposal Fund accounts for all resources used to provide solid waste disposal for residential, commercial, agricultural, and industrial users. This fund also supports the household hazardous waste collection operation at the City’s landfill. • The Landfill Closure/Post -Closure Fund accounts for the money necessary to close the City’s 247-acre landfill. The City is required by State and Federal laws and regulations to assure that the City will complete the closure and post -closure requirements of its landfill site. The City is required to report a portion of closure and post -closure costs as an operating expense. The operation of the landfill requires that the rolling closure of the landfill (closure in phases) continue on an annual basis.
• The Landfill Closure/Corrective Action Fund is used for the closure/post -closure corrective action for the Santa Maria Integrated Waste Management Facility (SMIWMF) at Los Flores Ranch, and fund operational and reporting requirements per CalRecycle. • The Water Fund accounts for all resources used to provide water services to the City, including, but not limited to, administration, operations, maintenance, capital acquisition and construction, debt service on the State Water Project, utility billing operations, water distribution costs, and other water-related operations.
• The Wastewater Fund accounts for all resources used to provide sewer service to residents and businesses within the City. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operation s, maintenance, capital acquisition and construction, and the billing and collection of fees associated with sewer - related services.

The City Manager’s Office’s budget includes one Enterprise Fund:
• The Radio/Technology Fund accounts, and houses in one location, the cost and anticipated revenues associated with the City’s 700 MHz trunked radio communication system, and other City of Santa Maria 2024-26 Biennial Budget

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technology-related equipment that can be utilized by partnering with other municipalities and school districts.

The Public Works Department’s budget includes two Enterprise Funds:
• The Public Transit Fund accounts for all resources, including State and Federal funds, used to provide a regional public transportation service known as Santa Maria Regional Transit. All activities necessary to provide such transit -related services are accounted for in this fund, including, but not limited to, administration, operations, fixed -route and paratransit, facilities, maintenance, and capital acquisition and construction.
• The Breeze Fund accounts for all resources, including State and Federal funds, used to provide Breeze public transit service between Santa Maria and Lompoc, and Santa Maria, Buellton, and Solvang. All activities necessary to provide Breeze services are accounted for in this fund, including, but not limited to, administration, operations, fixed -route, facilities, maintenance, and capital acquisition and construction.

DEPARTMENT/FUND RELATIONSHIP
The following schedule displays departmental budgets within various funds.

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The following tables illustrate the relationship between the City’s departments and operating funds.

FY 2024-25 EXPENDITURES AND TRANSFERS OUT BY DEPARTMENT AND FUND City Department
General
Fund
Measure U
Fund
Enterprise
Funds
Special
Revenue
Funds Total
Mayor & Council $ 210,716 $ - $ - $ - $ 210,716 City Attorney 1,816,866 - - - 1,816,866
City Manager 11,626,021 1,435,220 839,188 167,875 14,068,304 Finance 15,203,664 2,757 1,063,166 130,000 16,399,587 Community Development 6,087,166 824,287 - 1,540,952 8,452,405 Library - 1,014,709 - 5,517,537 6,532,246
Recreation & Parks 12,992,292 3,071,312 - 650,000 16,713,604 Fire 13,762,535 11,945,878 - - 25,708,413
Police 41,626,826 12,835,790 - - 54,462,616
Public Works 5,392,822 - 15,638,045 8,891,700 29,922,567 Utilities - - 117,126,979 - 117,126,979
TOTAL CITY APPROPRIATIONS $ 108,718,908 $ 31,129,953 $ 134,667,378 $ 16,898,064 $ 291,414,303

FY 2025-26 EXPENDITURES AND TRANSFERS OUT BY DEPARTMENT AND FUND City Department
General
Fund
Measure U
Fund
Enterprise
Funds
Special
Revenue
Funds Total
Mayor & Council $ 227,015 $ - $ - $ - $ 227,015 City Attorney 1,878,493 - - - 1,878,493
City Manager 11,917,704 247,700 872,663 150,300 13,188,367 Finance 12,229,624 2,757 1,125,108 130,000 13,487,489
Community Development 6,350,535 884,148 - 1,540,952 8,775,635 Library - 1,025,970 - 5,692,582 6,718,552
Recreation & Parks 13,232,582 3,152,287 - 650,000 17,034,869 Fire 14,195,037 12,561,827 - - 26,756,864
Police 43,405,481 13,568,555 - - 56,974,036
Public Works 5,665,389 - 16,224,857 9,541,608 31,431,854 Utilities - - 113,845,499 - 113,845,499
TOTAL CITY APPROPRIATIONS $ 109,101,860 $ 31,443,244 $ 132,068,127 $ 17,705,442 $ 290,318,673

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The following tables illustrate the relationship between the City’s departments and funds with most managing programs in the General Fund.

FY 2024-25 EXPENDITURES AND TRANSFERS OUT BY DEPARTMENT AND FUND City Department
General
Fund
Measure U
Fund
Enterprise
Funds
Special
Revenue
Funds
Landscape,
Maint. Svcs. &
Mitigation
Other
Enterprise
Funds
Internal
Service Funds Total
Mayor & Council $ 210,716 $ - $ - $ - $ - $ - $ - $ 210,716 City Attorney 1,816,866 - - - - - 19,051,984 $20,868,850 City Manager 11,626,021 1,435,220 839,188 167,875 - 250,000 3,748,124 18,066,428 Finance 15,203,664 2,757 1,063,166 130,000 - - 8,336,268 24,735,855 Community Development 6,087,166 824,287 - 1,540,952 - - - 8,452,405 Library - 1,014,709 - 5,517,537 - - - 6,532,246 Recreation & Parks 12,992,292 3,071,312 - 650,000 15,250,827 100,000 - 32,064,431 Fire 13,762,535 11,945,878 - - - - - 25,708,413 Police 41,626,826 12,835,790 - - - - - 54,462,616 Public Works 5,392,822 - 15,638,045 8,891,700 - 11,286,527 14,537,549 55,746,643 Utilities - - 117,126,979 - - - - 117,126,979 TOTAL CITY APPROPRIATIONS $ 108,718,908 $ 31,129,953 $ 134,667,378 $ 16,898,064 $ 15,250,827 $ 11,636,527 $ 45,673,925 $ 363,975,582

FY 2025-26 EXPENDITURES AND TRANSFERS OUT BY DEPARTMENT AND FUND City Department
General
Fund
Measure U
Fund
Enterprise
Funds
Special
Revenue
Funds
Landscape,
Maint. Svcs. &
Mitigation
Other
Enterprise
Funds
Internal
Service Funds Total
Mayor & Council $227,015 $- $- $- $- $- $- $227,015 City Attorney 1,878,493 - - - - - 16,331,972 $18,210,465 City Manager 11,917,704 247,700 872,663 150,300 - - 3,857,124 17,045,491 Finance 12,229,624 2,757 1,125,108 130,000 - - - 13,487,489 Community Development 6,350,535 884,148 - 1,540,952 - - - 8,775,635 Library - 1,025,970 - 5,692,582 - - - 6,718,552 Recreation & Parks 13,232,582 3,152,287 - 650,000 11,926,185 600,000 - 29,561,054 Fire 14,195,037 12,561,827 - - - - - 26,756,864 Police 43,405,481 13,568,555 - - - - - 56,974,036 Public Works 5,665,389 - 16,224,857 9,541,608 - 15,133,703 8,697,649 55,263,206 Utilities - - 113,845,499 - - - - 113,845,499 TOTAL CITY APPROPRIATIONS $ 109,101,860 $ 31,443,244 $ 132,068,127 $ 17,705,442 $ 11,926,185 $ 15,733,703 $ 28,886,745 $ 346,865,306

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135

LONG-TERM DEBT OBLIGATIONS

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DEBT TYPES AND PURPOSE
This section summarizes the debt service obligations of the City as of the beginning of the 2022 -24 budget period (July 1, 2022). These obligations represent the City’s annual installment payments of principal and interest for previous capital improvement plan projects or acquisitions funded through debt financing. The following is a description of each lease or bond obligation existing on July 1, 2022. 2021A WATER AND WASTEWATER REVENUE REFUNDING BONDS
• Purpose: To refund 2012A Revenue Refunding Bonds
• Maturity Date: February 1, 2036
• Original Principal Amount: $ 35,685,000
• July 1, 2022, Principal Outstanding: $ 35,365,000
• Interest Rate: 3.9% Average
• Funding Source: Water and Wastewater Funds
On November 17, 2021, the City issued $35,685,000 of bonds to refund for savings the remaining outstanding principal amount of the City’s Water and Wastewater 2012A Revenue Refunding Bonds.

In 2012, the City issued $50,119,493 of bonds to refinance and restructure a portion of obligations issued in 1993 and 1997 which financed the construction of a transmission line to take delivery of State Water, the purchase of an additional 4,900 acre -feet of entitlement, and to acquire and construct certain water and wastewater facilities. The City decided to refund the 2012 bonds based on a tax -exempt current refunding with regular delivery. The refunding resulted in net present value savings of $11.54 million, or 26.3 percent of the value of the refunded bonds. The outstanding 2021A bonds have a final maturity of February 1, 2036, a weighted average remaining interest rate of approximately 3.9 percent, and are callable at the option of the City starting on February 1, 2031. 2013 EQUIPMENT LEASE FINANCING – MOBILE EQUIPMENT INTERNAL SERVICE FUND • Purpose: To issue tax -exempt lease financing to be used for the acquisition of vehicles and equipment for the Mobile Equipment Fund.
• Maturity Date: March 2025
• Original Principal Amount: $ 4,905,000
• July 1, 2022, Principal Outstanding: $ 303,211
• Interest Rate: 2.14% to 2.68%
• Funding Source: Mobile Equipment Fund
On March 22, 2013, the City entered into three lease agreements for the acquisition of vehicles and equipment for the Mobile Equipment Fund. The three leases have terms of 7, 10, and 12 years with interest rates ranging from 2.14 to 2.68 percent. Payments are due semi-annually under the terms of the lease agreements.
2017 EQUIPMENT LEASE FINANCING – GENERAL FUND
• Purpose: To issue tax -exempt lease financing to be used for the acquisition of a Computer - Aided Dispatch and Records Management System (CAD RMS) for public safety departments. • Maturity Date: January 2027
• Original Principal Amount: $ 2,280,000
• July 1, 2022, Principal Outstanding: $ 1,227,500
• Interest Rate: 3.10%
• Funding Source: General Fund
On January 11, 2017, the City entered into a lease agreement for the acquisition of a computer - aided dispatch and records management system (CAD RMS) for public safety. The lease has a term of term of 10 years with an interest rate of 3.10 percent. Payments are due semi-annually under the terms of the lease agreement.

City of Santa Maria 2024-26 Biennial Budget

Long-Term Debt Obligations
138

ANNUAL PAYMENTS BY SOURCE
2021A 2013 2017

Water &
Wastewater
Refunding
Revenue Bonds
Mobile Equipment –
Fleet Services
Capital Lease
General Fund
Capital Equipment
Lease

Fiscal Year Water Resources Fleet Fund General Fund Total 2023 $ 1,498,350 $ 148,833 $ 266,912 $ 1,914,095 2024 3,223,026 11,971,364 266,912 3,973,712
2025 3,622,100 83,450 266,912 3,972,462
2026 3,625,600 266,912 3,892,512
2027 3,623,350 266,912 3,890,262
2028 3,625,350 3,625,350
2029 3,626,100 3,626,100
2030 3,625,350 3,625,350
2031 3,622,850 3,625,350
2032 3,623,350 3,622,850
2033 3,622,750 3,623,350
2034 3,624,800 3,622,750
2035 3,623,850 3,624,800
2036 1,884,900 3,623,850
Total $ 46,872,050 $ 315,733 $ 1,334,560 $ 50,262,793

139

CAPITAL PROJECTS

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Proposed Capital Improvement and Maintenance Funding Request 141

OVERVIEW
This Section is designed to provide appropriation authority for those capital projects identified in the 2024-26 Budget as well as provide an indication as to the planned projects for 2024-25. Capital projects range from road maintenance or construction to the renovation of municipal buildings, recreation centers and ball fields, to water main and sewerage system replacement. This Section aligns capital project requirements to the financial sources that will support their realization and the timeframe in which both the financing and work will take place. Capital improvement projects typically have a life span of several years and therefore carry considerable future impact. The first two years of the Capital Improvement Plan (CIP) are approved by the City Council with the adoption of the Fiscal Year 2024 - 26 Budget, while the following years are subject to future Council approval. However, individual capital projects and their estimated budgets may also be approved by separate City Council action throughout the fiscal year, allowing the planned appropriations to be carried forward each year until project completion.

Recommended funding for new capital
projects is based on departmental priorities.

Additionally, all projects submitted by
departments were subject to review against
the following criteria: 1) additional funds
needed to make committed projects
operational; 2) required to meet a legal or
policy mandate; 3) required to improve
unacceptable health and/or safety concerns;
4) required to maintain existing facilities or
assets; 5) required to maintain existing service
levels; 6) reduces other City costs; 7) will
enhance and maximize operational
efficiencies; and, 8) other justifications to merit
consideration.

Capital Financial & Budget Policies

OTHER DESIGNATIONS AND RESERVES
In addition to the designations noted above, fund balance levels will be sufficient to meet funding requirements for projects approved in prior years, which are carried forward into the new year; debt service reserve requirements; reserves for encumbrances ; and other reserves or designation required by contractual obligations, State law, or GAAP requirements.

CAPITAL MAINTENANCE EQUIPMENT PROJECT (CMEP) PURPOSE
The purpose of the Capital, Maintenance, and Equipment Project (CMEP) is to systematically plan, schedule, budget, and finance capital projects to ensure cost effectiveness and efficiency of construction.

General Fund CMEPs will be budgeted in the Capital Projects – General Fund, while Enterprise and Internal Service Fund CMEPs will be budgeted in the individual funds. Account numbers ending in -52 (Structures and Improvements) and - 53 (Equipment) will be u sed to budget and account for expenditures in each fund.

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Proposed Capital Improvement and Maintenance Funding Request 142
CMEP - $5,000 OR MORE
Construction projects and equipment purchases, that cost $5,000 or more, will be included in the Capital Projects section of the budget, while minor capital outlays of less than $5,000 will be included within the operating program budgets.

CMEP BUDGET OVERVIEW
In all, the proposed CMEP Budget for 2024-26 consists of 64 capital projects representing approximately $115.9 million in appropriations. The 2024-26 Budget reflects $62.2 million in projects in the first year and $53.6 million in the second year. For comparison purposes, the 2022-24 Budget consisted of 151 capital projects totaling $140.7 million in
appropriations.

The proposed Mobile Equipment
Replacement and Expansion
budget for 2024- 26 calls for 46
pieces of equipment to be
replaced reflecting $18.5 million in
appropriations.

Funding for planned capital
improvement projects is largely
provided by bond proceeds,
transportation funds, grants, user
fees or rates, and Measure U;
however, a strategic use of cash
reserves will provide funding for
some projects.

Capital projects are categorized
into the six broad categories of
Public Safety, Public Utilities, Public
Ways & Facilities, Public Transit
Leisure & Cultural Services, and
General Government to denote
the general area of impact. Five
departments have plan ned
capital projects in the FY 2024 -26
Budget.

On the following pages is a matrix
summarizing the proposed capital
program for 2024- 28, including
funding requirements, as well as
the Mobile Equipment and
Replacement inventory.

FUNDING SOURCES AND USES
Proposed
FY 2024-25
Proposed
FY 2025-26
Funding Sources
Capital Projects – General Fund $ 3,507,850 $ 2,849,658 Measure U Fund 1,285,000 20,000
Gas Tax & Transportation
Development Act Fund 5,366,458 5,066,458
Growth Mitigation Fund 8,167,000 4,952,720
Residential Development Tax Fund 500,000 500,000
Measure A Fund 2,496,908 2,501,474
Public Transit Fund 5,120,000 6,080,000
Water Fund 5,306,060 8,363,160
Wastewater Fund 4,242,140 14,028,480
Developer / Grant Street Projects
Fund
1,977,000 6,818,000
Fleet Services Fund 5,902,133 1,105,247
Solid Waste Disposal Fund 16,739,680 -
Solid Waste Collection Fund 1,251,400 1,198,820
Quimby-Park Acquisition &
Development Fund
150,000 150,000
Northwest Landscape District Fund 200,000 -
Total Funding Sources $ 62,211,629 $ 53,634,017

Funding Uses
Public Safety $ 3,046,000 $ 265,000
Public Utilities 36,760,413 27,308,427
Public Ways & Facilities 14,705,216 18,635,590
Public Transit 5,120,000 6,080,000
Leisure & Cultural Services 1,130,000 1,345,000
General Government 1,450,000 -
Total Funding Uses $ 62,211,629 $ 53,634,017
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Proposed Capital Improvement and Maintenance Funding Request 143

RECURRING/NONRECURRING CAPITAL PROJECTS
The City’s CMEP includes capital projects that are recurring or nonrecurring in nature. Recurring projects are those that are commonly included in each CMEP and do not have a significant impact on the operating budget. Projects of this type are typically infrastructure improvements or maintenance funded from reliable sources, such as gas tax funds or user fees. Nonrecurring projects are unique, one -time projects, such as the construction of new buildings or plants, which will often result in an ongoing operating financial impact, or replacement of aging infrastructure, which should reduce overall operating costs.

Nonrecurring projects are indicated in the Capital Projects List.

CAPITAL PROJECTS LIST
The following schedule lists all capital projects anticipated to be funded in 2024 -28 and are categorized into the six broad categories of Public Safety, Public Utilities, Public Ways & Facilities, Public Transit, Leisure & Cultural Services, and General Government to denote the general area of impact .

Table Legend: = Nonrecurring Project

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145

CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total

PUBLIC SAFETY CAPITAL PROJECTS

CONSTRUCTION/RELOCATION OF FIRE
STATION 2
✔
Measure U Fund

- - 12,000,000 - 12,000,000
Total

- - 12,000,000 - 12,000,000
FLEET REPLACEMENT: POLICE
No. of Vehicles/Year: 2024-25: 5; 2025-26: 3;
2026-27: 14

Fleet Services Fund ✔ 446,000 180,000 930,000 - 1,556,000 Total

446,000 180,000 930,000 - 1,556,000
FLEET REPLACEMENT: FIRE
No. of Vehicles/Year: 2024-25: 2; 2025-26: 1

Fleet Services Fund

2,600,000 85,000 - - 2,685,000
Total

2,600,000 85,000 - - 2,685,000
Public Safety Total Appropriation

$ 3,046,000 $ 265,000 $ 12,930,000 $ - $ 16,241,000
Funding Sources

Measure U Fund

$ - $ - $ 12,000,000 $ - $ 12,000,000
Fleet Services Fund

3,046,000 265,000 930,000 - 4,241,000
Public Safety Total Funding

$ 3,046,000 $ 265,000 $ 12,930,000 $ - $ 16,241,000

PUBLIC UTILITIES CAPITAL PROJECTS
WATER

MODULAR BUILDING SITE IMPROVEMENTS AT
WASTEWATER TREATMENT PLANT (WWTP); 601

BLACK RD
✔
f
Water Fund 87,500 - - - 87,500
Wastewater Fund 87,500 - - - 87,500
Total 175,000 - - - 175,000

WELL REHABILITATION, PLACEMENT OF

PACKERS, AND IMPLEMENT STANDARDIZED
DESIGN FOR EIGHT (8) WELL CONTROLS
✔

Water Fund 1,002,000 127,000 131,000 - 1,260,000 Total 1,002,000 127,000 131,000 - 1,260,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total

REHABILITATION OF RESERVOIR STORAGE
AND ROOF REPACEMENT AT RESERVOIR 4;
1520 PRELL RD
✔

Water Fund 525,000 2,975,000 - - 3,500,000
Total 525,000 2,975,000 - - 3,500,000

EVALUATION TO MODIFY SOUTH AIRPORT
WATER MAINS (UCS B3)
✔

Water Fund 120,000 675,000 - - 795,000
Total 120,000 675,000 - - 795,000
NEW WATER SUPPLY WELL #16 ✔
Water Fund - 2,733,000 - - 2,733,000
Growth Mitigation Fund 4,267,000 - - - 4,267,000
Total 4,267,000 2,733,000 - - 7,000,000
WATER MASTER PLAN ✔
Water Fund 885,000 - - - 885,000
Total 885,000 - - - 885,000

DOWNSIZING OF WATERLINE ON POPLAR
STREET
✔

Water Fund 105,000 595,000 - - 700,000
Total 105,000 595,000 - - 700,000

HYDRANT INVENTORY, PARTS, REPLACEMENT,

MAINTENANCE

Water Fund 333,630 346,970 360,850 375,280 1,416,730 Total 333,630 346,970 360,850 375,280 1,416,730

METER INVENTORY, PARTS, REPLACEMENT

AND MAINTENANCE SUPPLIES

Water Fund 849,220 883,190 918,520 955,260 3,606,190 Total 849,220 883,190 918,520 955,260 3,606,190

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
BUILD OF TWO (2) DARK FIBER STRANDS TO
CONNECT EIGHT (8) WATER WELL SITES;

VARIOUS LOCATIONS
✔

Water Fund 730,000 - - - 730,000
Total 730,000 - - - 730,000

FLEET REPLACEMENTS
No. of Vehicles/Year: 2026-27: 2; 2027-28: 1

Water Fund 108,710 28,000 - - 136,710
Fleet Services Fund 106,290 42,247 670,000 135,000 953,537 Total 215,000 70,247 670,000 135,000 1,090,247

FLEET REFURBISHMENT
No. of Vehicles/Year: 2024-25: 4

Fleet Services Fund 100,000 - - - 100,000
Total 100,000 - - - 100,000

FLEET EXPANSION
No. of Vehicles/Year: 2024-25: 3

Water Fund 560,000 - - - 560,000
Total 560,000 - - - 560,000

WASTEWATER

SEWER TRUNK AND LINE UPGRADES FOR
DEJOY PHASE II (A-1), WEST MAIN STREET (C-
1), AND WEST MAIN STREET (D-2) AS
IDENTIFIED IN THE CITY'S 2012 UTILITIES

CAPACITY STUDY
✔

Wastewater Fund - 10,647,280 - - 10,647,280
Growth Mitigation Fund 2,400,000 2,952,720 - - 5,352,720 Total 2,400,000 13,600,000 - - 16,000,000

WASTE DISCHARGE REQUIREMENTS (WDR-
AMD 1) AND PLANT UPGRADE; 601 BLACK
RD
✔

Wastewater Fund 2,426,340 2,523,400 13,121,650 13,646,520 31,717,910 Total 2,426,340 2,523,400 13,121,650 13,646,520 31,717,910

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total

THE PURCHASE AND INSTALLATION OF TRASH

CAPTURE DEVICES THROUGHOUT THE CITY'S
DRAINAGE SYSTEM; VARIOUS LOCATIONS

Wastewater Fund 303,300 315,430 328,050 341,170 1,287,950 Total 303,300 315,430 328,050 341,170 1,287,950 SEWER MANHOLE PROGRAM (20 PER YEAR)
Wastewater Fund 250,000 260,000 270,400 281,220 1,061,620 Total 250,000 260,000 270,400 281,220 1,061,620

WASTEWATER TREATMENT PLANT (WWTP)
PERIMETER FENCE; 601 BLACK RD
✔

Wastewater Fund 675,000 - - - 675,000
Total 675,000 - - - 675,000
ROOF REPAIRS: WASTEWATER TREATMENT
PLANT

Wastewater Fund 225,000 265,370 - - 490,370
Total 225,000 265,370 - - 490,370

FLEET REPLACEMENTS
No. of Vehicles/Year: 2026-27: 5

Wastewater Fund - 17,000 - - 17,000
Fleet Services Fund - 723,000 - - 723,000
Total - 740,000 - - 740,000

FLEET EXPANSION
No. of Vehicles/Year: 2024-25: 3

Wastewater Fund 275,000 - - - 275,000
Total 275,000 - - - 275,000

SOLID WASTE

ORGANICS RECYCLING CARTS FOR

COMMERCIAL AND MULTI-FAMILY

DWELLINGS

Solid Waste Collection Fund 50,000 51,500 53,050 54,650 209,200 Total 50,000 51,500 53,050 54,650 209,200

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total

PURCHASE OF RESIDENTIAL REFUSE CARTS
Solid Waste Collection Fund 450,000 463,500 477,410 491,740 1,882,650 Total 450,000 463,500 477,410 491,740 1,882,650

PURCHASE OF COMMERCIAL REFUSE

DUMPSTERS

Solid Waste Collection Fund 213,900 220,320 226,930 233,740 894,890 Total 213,900 220,320 226,930 233,740 894,890

PURCHASE OF RESIDENTIAL RECYCLING
CARTS

Solid Waste Collection Fund 150,000 154,500 159,140 163,920 627,560 Total 150,000 154,500 159,140 163,920 627,560

PURCHASE OF COMMERCIAL RECYCLING

DUMPSTERS

Solid Waste Collection Fund 100,000 103,000 106,090 109,280 418,370 Total 100,000 103,000 106,090 109,280 418,370

PURCHASE OF RESIDENTIAL ORGANIC

CONTAINERS

Solid Waste Collection Fund 200,000 206,000 212,180 218,550 836,730 Total 200,000 206,000 212,180 218,550 836,730

ASPHALT REPAIRS, SLURRY SEAL, STRIPING AT
SANTA MARIA REGIONAL LANDFILL (SMRL);
2065 E MAIN ST
✔

Solid Waste Collection Fund 42,500 - - - 42,500
Solid Waste Disposal Fund 42,500 - - - 42,500
Total 85,000 - - - 85,000

FLEET EXPANSION
No. of Vehicles/Year: 2024-25: 1

Solid Waste Collection Fund 45,000 - - - 45,000
Total 45,000 - - - 45,000

LANDFILL

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
CELL 1 PHASE II LINER EXTENSION AT THE
SANTA MARIA LANDFILL (SMRL); 2065 E MAIN
ST
✔

Solid Waste Disposal Fund 14,500,000 - - - 14,500,000 Total 14,500,000 - - - 14,500,000

GROUNDWATER MONITORING WELL AT
SANTA MARIA REGIONAL LANDFILL (SMRL);
2065 E MAIN ST
✔

Solid Waste Disposal Fund 200,000 - - - 200,000 Total 200,000 - - - 200,000
INSTALLATION OF EIGHT (8) LANDFILL GAS

EXTRACTION WELLS IN PHASE I LINER

EXTENSION AREA AT SANTA MARIA
REGIONAL LANDFILL (SMRL); 2065 E MAIN ST
✔

Solid Waste Disposal Fund 500,000 - - - 500,000 Total 500,000 - - - 500,000

RIVER MINING ACTIVITIES OF SOIL MATERIALS

IN THE SANTA MARIA RIVER FOR LANDFILL

OPERATIONAL AND REGULATORYNEEDS

Solid Waste Disposal Fund 450,000 - 475,000 - 925,000 Total 450,000 - 475,000 - 925,000

DESIGN, PERMITTING, CONSTRUCTION

QUALITY ASSURANCE (CQA), AND

CONSTRUCTION OF THE INTEGRATED WASTE
MANAGEMENT FACILITY AT LOS FLORES; 6245

DOMINION RD
✔

Solid Waste Disposal Fund - - 25,830,000 13,830,000 39,660,000 Total - - 25,830,000 13,830,000 39,660,000
FLEET REPLACEMENTSNo. of Vehicles/Year:
2024-25: 5

Solid Waste Disposal Fund 582,000 - 90,000 - 672,000 Fleet Services Fund 1,968,019 - - - 1,968,019

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Total 2,550,019 - 90,000 - 2,640,019

FLEET REFURBISHMENT
No. of Vehicles/Year: 2024-25: 1

Solid Waste Disposal Fund 445,180 - - - 445,180 Fleet Services Fund 379,824 - - - 379,824
Total 825,004 - - - 825,004

FLEET EXPANSION
No. of Vehicles/Year: 2024-25: 1

Solid Waste Disposal Fund 20,000 - - - 20,000
Total 20,000 - - - 20,000
Public Utilities Total Appropriations $ 36,760,413 $ 27,308,427 $ 43,430,270 $ 30,836,330 $ 138,335,440 Funding Sources
Water Fund $ 5,306,060 $ 8,363,160 $ 1,410,370 $ 1,330,540 $ 16,410,130 Wastewater Fund 4,242,140 14,028,480 13,720,100 14,268,910 46,259,630 Solid Waste Disposal Fund 16,739,680 - 26,395,000 13,830,000 56,964,680 Solid Waste Collection Fund 1,251,400 1,198,820 1,234,800 1,271,880 4,956,900 Fleet Services Fund 2,554,133 765,247 670,000 135,000 4,124,380 Growth Mitigation Fund 6,667,000 2,952,720 - - 9,619,720 Public Utilities Total Funding $ 36,760,413 $ 27,308,427 $ 43,430,270 $ 30,836,330 $ 138,335,440

PUBLIC WAYS & FACILITIES CAPITAL PROJECTS

PARKING STRUCTURE EVALUATION AND

RETROFIT
✔

Capital Projects - General Fund 500,000 - 5,900,000 4,100,000 10,500,000 Total 500,000 - 5,900,000 4,100,000 10,500,000
CITYWIDE FACILITIES – ADA ASSESSMENT ✔
Capital Projects - General Fund 200,000 - - - 200,000 Total 200,000 - - - 200,000
ACTIVE TRANSPORTATION PLAN ✔
Gas Tax & Transportation Development Act
Fund

310,000 - - - 310,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Developer / Grant Street Projects Fund 1,190,000 6,531,000 - - 7,721,000 Measure A Fund 100,000 - - - 100,000
Total 1,600,000 6,531,000 - - 8,131,000
HIGHWAY SAFETY IMPROVEMENT PROGRAM ✔
Developer / Grant Street Projects Fund 500,000 - - - 500,000 Total 500,000 - - - 500,000

ALTERNATIVE TRANSPORTATION

ENHANCEMENTS (DOWNTOWN

IMPROVEMENTS)
✔

Measure A Fund 1,145,808 1,053,614 - - 2,199,422
Total 1,145,808 1,053,614 - - 2,199,422

ENHANCED ROADWAY MAINTENANCE
Gas Tax & Transportation Development Act
Fund

4,006,458 4,006,458 3,500,000 3,600,000 15,112,916 Developer / Grant Street Projects Fund 287,000 287,000 287,000 287,000 1,148,000 Measure A Fund 600,000 1,000,000 1,000,000 1,000,000 3,600,000 Capital Projects - General Fund 1,800,468 1,800,468 5,800,468 5,800,468 15,201,872 Total 6,693,926 7,093,926 10,587,468 10,687,468 35,062,788 DEPOT STREET AND RAILROAD AVENUE –

BIKEWAY PROJECT
✔

Growth Mitigation Fund - - - 1,706,108 1,706,108
Total - - - 1,706,108 1,706,108

ANNUAL STREETLIGHT UPGRADE PROJECT
Measure A Fund 181,500 199,650 - - 381,150
Total 181,500 199,650 - - 381,150

ASPHALT REPLACEMENT
Gas Tax & Transportation Development Act
Fund

130,000 130,000 130,000 130,000 520,000
Total 130,000 130,000 130,000 130,000 520,000

RIGHT-OF-WAY SUPPLIES

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Gas Tax & Transportation Development Act
Fund

125,000 125,000 125,000 125,000 500,000
Total 125,000 125,000 125,000 125,000 500,000

STREET LIGHT PROGRAM
Gas Tax & Transportation Development Act
Fund

220,000 230,000 230,000 230,000 910,000
Total 220,000 230,000 230,000 230,000 910,000

TRAFFIC SIGNAL MAINTENANCE PROGRAM
Gas Tax & Transportation Development Act
Fund

100,000 100,000 100,000 100,000 400,000
Total 100,000 100,000 100,000 100,000 400,000

CITYWIDE LANDSCAPE MAINTENANCE
Gas Tax & Transportation Development Act
Fund

225,000 225,000 400,000 400,000 1,250,000
Measure A Fund 235,500 235,000 60,500 66,550 597,550 Total 460,500 460,000 460,500 466,550 1,847,550

VARIOUS STREET IMPROVEMENTS
Gas Tax & Transportation Development Act
Fund

250,000 250,000 250,000 250,000 1,000,000
Total 250,000 250,000 250,000 250,000 1,000,000

BICYCLE SAFETY AND OUTREACH PROGRAM
Measure A Fund 12,100 13,210 31,000 31,000 87,310 Total 12,100 13,210 31,000 31,000 87,310
INTERCHANGE AT US 101/SR 135
Growth Mitigation Fund 1,500,000 2,000,000 1,000,000 - 4,500,000 Total 1,500,000 2,000,000 1,000,000 - 4,500,000

BIKEWAY AND MP TRAIL PROJECTS
Gas Tax & Transportation Development Act
Fund

- - 90,000 90,000 180,000
Total - - 90,000 90,000 180,000

EAST MAIN STREET REHABILITATION

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Capital Projects - General Fund - - 350,000 2,250,000 2,600,000 Total - - 350,000 2,250,000 2,600,000
ROOF REPAIRS: RECREATION & PARKS
Locations: Bob Orach Park Restroom,
Newlove Community Building (House),
Newlove Community Building (Modular A),
Newlove Community Building (Modular B)
✔

Capital Projects - General Fund 74,000 - - - 74,000 Total 74,000 - - - 74,000
ROOF REPLACEMENT: PUBLIC WORKS YARD
Locations: Operations Building, Parks
Equipment Yard
✔

Capital Projects - General Fund 261,882 101,540 - - 363,422 Total 261,882 101,540 - - 363,422
ROOF REPAIRS: FIRE DEPARTMENT
Locations: Fire Station #3, Fire Station
Equipment Bays, Credit Union & E.O.C.

Building, Fire Station 2
✔

Capital Projects - General Fund 162,500 293,050 - - 455,550 Total 162,500 293,050 - - 455,550
RUFFONI BUILDING TERMITE TENT ✔
Capital Projects - General Fund 30,000 - - - 30,000 Total 30,000 - - - 30,000

POLICE DEPARTMENT LOCKER ROOM

REMODEL
✔
Capital Projects - General Fund 30,000 - - - 30,000 Total 30,000 - - - 30,000

CITY HALL REMODEL HUMAN RESOURCES

OFFICE SPACE
✔

Capital Projects - General Fund - - - 130,000 130,000 Total - - - 130,000 130,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
CITY-OWNED HOUSE MAINTENANCE ✔
Capital Projects - General Fund 30,000 30,000 - - 60,000 Total 30,000 30,000 - - 60,000
DISPATCH CENTER CARPET REPLACEMENT –
1111 W. BETTERAVIA
✔

Measure U Fund 40,000 - - - 40,000
Total 40,000 - - - 40,000
FACILITY PAINTING: FIRE DEPARTMENT
Locations: Fire Station #3, Fire Station #3
Equipment Bays, Fire Department –
E.O.C./Credit Union
✔

Capital Projects - General Fund 39,000 24,600 - - 63,600 Total 39,000 24,600 - - 63,600
FACILITY PAINTING: RECREATION &
PARKS\Locations: Abel Maldonado Center,
Veteran’s Memorial Building
✔

Capital Projects - General Fund - - 244,875 - 244,875 Total - - 244,875 - 244,875
FLEET OFFICE UPGRADES – FLOORS &

WINDOWS

Capital Projects - General Fund 30,000 - - - 30,000 Total 30,000 - - - 30,000
FLEET REPLACEMENTS: PUBLIC WORKS
No. of Vehicles/Year: 2024-25: 2; 2027-28: 2

Fleet Services Fund 93,000 - 405,000 - 498,000
Total 93,000 - 405,000 - 498,000
FLEET EXPANSION: PUBLIC WORKS
No. of Vehicles/Year: 2024-25: 4

Measure A Fund 222,000 - - - 222,000
Fleet Services Fund 74,000 - - - 74,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Total 296,000 - - - 296,000
Public Ways & Facilities Total Appropriations $ 14,705,216 $ 18,635,590 $ 19,903,843 $ 20,296,126 $ 73,540,775 Funding Sources
Gas Tax & Transportation Development Act
Fund
$ 5,366,458 $ 5,066,458 $ 4,825,000 $ 4,925,000 $ 20,182,916 Measure A Fund 2,496,908 2,501,474 1,091,500 1,097,550 7,187,432 Measure U Fund 40,000 - - - 40,000
Growth Mitigation Fund 1,500,000 2,000,000 1,000,000 1,706,108 6,206,108 Developer / Grant Street Projects Fund 1,977,000 6,818,000 287,000 287,000 9,369,000 Fleet Services Fund 167,000 - 405,000 - 572,000 Capital Projects - General Fund 3,157,850 2,249,658 12,295,343 12,280,468 29,983,319 Public Ways & Facilities Total Funding $ 14,705,216 $ 18,635,590 $ 19,903,843 $ 20,296,126 $ 73,540,775

PUBLIC TRANSIT CAPITAL PROJECTS
PROCUREMENT OF UTILITY TRUCK ✔
Public Transit Fund 95,000 - - - 95,000
Total 95,000 - - - 95,000

SANTA MARIA REGIONAL TRANSIT

OPERATIONS YARD IMPROVEMENTS
✔

Public Transit Fund - 200,000 - - 200,000
Total - 200,000 - - 200,000
GUADALUPE CONSOLIDATION STUDY ✔
Public Transit Fund 85,000 - - - 85,000
Total 85,000 - - - 85,000
PROCUREMENT OF TWO (2) BUS LIFTS ✔
Public Transit Fund 80,000 80,000 - - 160,000
Total 80,000 80,000 - - 160,000

TRANSIT CENTER OPTIMIZATION
Public Transit Fund ✔ 500,000 500,000 - - 1,000,000 Total 500,000 500,000 - - 1,000,000
PROCUREMENT OF ELECTRIC FORKLIFT ✔

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Public Transit Fund 75,000 - - - 75,000
Total 75,000 - - - 75,000
PROCUREMENT OF FIVE (5) OVER THE ROAD

COACHES
✔

Public Transit Fund - 2,400,000 3,600,000 - 6,000,000 Total - 2,400,000 3,600,000 - 6,000,000
PROCUREMENT OF FIVE (5) EXPANSION BUSES ✔
Public Transit Fund 3,900,000 2,600,000 - - 6,500,000 Total 3,900,000 2,600,000 - - 6,500,000
BUS STOP IMPROVEMENTS ✔
Public Transit Fund 300,000 300,000 - - 600,000 Total 300,000 300,000 - - 600,000
CLEAN AIR EXPRESS CONSOLIDATION STUDY ✔
Public Transit Fund 85,000 - - - 85,000
Total 85,000 - - - 85,000
SHORT RANGE TRANSIT PLAN ✔
Public Transit Fund - - 150,000 - 150,000
Total - - 150,000 - 150,000
BRT IMPLEMENTATION ✔
Public Transit Fund - - 9,600,000 9,600,000 19,200,000 Total - - 9,600,000 9,600,000 19,200,000
Public Transit Total Appropriations $ 5,120,000 $ 6,080,000 $ 13,350,000 $ 9,600,000 $ 34,150,000 Funding Sources
Public Transit Fund $ 5,120,000 $ 6,080,000 $ 13,350,000 $ 9,600,000 $ 34,150,000 Public Transit Total Funding $ 5,120,000 $ 6,080,000 $ 13,350,000 $ 9,600,000 $ 34,150,000

LEISURE & CULTURAL SERVICES CAPITAL

PROJECTS

REPLACE LIGHTING AT PAUL NELSON

AQUATIC CENTER
✔

Capital Projects - General Fund 100,000 - - - 100,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Total 100,000 - - - 100,000
POCKET PARKS ✔
Capital Projects - General Fund - - 1,000,000 1,000,000 2,000,000 Total - - 1,000,000 1,000,000 2,000,000

NEW PLAYGROUND INSTALLATIONS TO

REPLACE AGING PLAYGROUNDS AT CITY
PARKS
✔

Residential Development Tax Fund 325,000 325,000 - - 650,000 Total 325,000 325,000 - - 650,000

PARK FURNISHINGS
Quimby-Park Acquisition & Development
Fund

150,000 150,000 150,000 150,000 600,000
Total 150,000 150,000 150,000 150,000 600,000 PREISKER PARK POND LINER REHABILITATION ✔
Capital Projects - General Fund - 600,000 - - 600,000 Total - 600,000 - - 600,000

LOS FLORES RANCH PROJECTS
Residential Development Tax Fund 175,000 175,000 175,000 175,000 700,000 Total 175,000 175,000 175,000 175,000 700,000 ADA BARRIER REMOVAL AT SIMAS FIELD ✔
Capital Projects - General Fund - - 1,000,000 - 1,000,000 Total - - 1,000,000 - 1,000,000
TREE TRIMMING ✔
Northwest Landscape District Fund 200,000 - - - 200,000 Total 200,000 - - - 200,000
LIBRARY SPACE LAYOUT ✔
Measure U Fund 45,000 20,000 - - 65,000
Total 45,000 20,000 - - 65,000

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
FLEET REPLACEMENTS: RECREATION & PARKS
No. of Vehicles/Year: 2024-25: 1; 2025-26: 1;
2027-28: 1
✔

Fleet Services Fund 85,000 75,000 - 100,000 260,000 Total 85,000 75,000 - 100,000 260,000
FLEET REFURBISHMENT: RECREATION &
PARKSNo. of Vehicles/Year: 2024-25: 1

Fleet Services Fund 50,000 - - - 50,000
Total 50,000 - - - 50,000
Leisure & Cultural Services Total
Appropriations

$ 1,130,000 $ 1,345,000 $ 2,325,000 $ 1,425,000 $ 6,225,000 Funding Sources
Capital Projects - General Fund $ 100,000 $ 600,000 $ 2,000,000 $ 1,000,000 $ 3,700,000 Fleet Services Fund 135,000 75,000 - 100,000 310,000 Measure U Fund 45,000 20,000 - - 65,000
Northwest Landscape District Fund 200,000 - - - 200,000 Residential Development Tax Fund 500,000 500,000 175,000 175,000 1,350,000 Quimby-Park Acquisition & Development
Fund

150,000 150,000 150,000 150,000 600,000
Leisure & Cultural Services Total Funding $ 1,130,000 $ 1,345,000 $ 2,325,000 $ 1,425,000 $ 6,225,000

GENERAL GOVERNMENT CAPITAL PROJECTS
MOTOROLA BACKHAUL REFRESH ✔
Capital Projects - General Fund 250,000 - - - 250,000 Total 250,000 - - - 250,000
REFRESH OF CAD/RMS ✔
Measure U Fund 1,200,000 - - - 1,200,000
Total 1,200,000 - - - 1,200,000
FLEET REPLACEMENTS: COMMUNITY

DEVELOPMENT
No. of Vehicles/Year: 2027-28: 3
✔

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
Fleet Services Fund - - - 165,000 165,000
Total - - - 165,000 165,000
General Government Total Appropriations $1,450,000 $- $- $165,000 $1,615,000 Funding Sources
Capital Projects - General Fund $ 250,000 $ - $ - $ - $ 250,000 Fleet Services Fund - - - 165,000 165,000
Measure U Fund 1,200,000 - - - 1,200,000
General Government Total Funding $ 1,450,000 $ - $ - $ 165,000 $ 1,615,000 Capital, Maintenance & Equipment Projects
Total Funding $ 62,211,629 $ 53,634,017 $ 91,939,113 $ 62,322,456 $ 270,107,215

SUMMARY BY PROJECT TYPE
PUBLIC SAFETY $ 3,046,000 $ 265,000 $ 12,930,000 $ - $ 16,241,000 PUBLIC UTILITIES 36,760,413 27,308,427 43,430,270 30,836,330 138,335,440 PUBLIC WAYS & FACILITIES 14,705,216 18,635,590 19,903,843 20,296,126 73,540,775 PUBLIC TRANSIT 5,120,000 6,080,000 13,350,000 9,600,000 34,150,000 LEISURE & CULTURAL SERVICES 1,130,000 1,345,000 2,325,000 1,425,000 6,225,000 GENERAL GOVERNMENT 1,450,000 - - 165,000 1,615,000 GRAND TOTAL $ 62,211,629 $ 53,634,017 $ 91,939,113 $ 62,322,456 $ 270,107,215

SUMMARY BY PROJECT TYPE
CAPITAL PROJECTS - GENERAL FUND $ 3,507,850 $ 2,849,658 $ 14,295,343 $ 13,280,468 $ 33,933,319 MEASURE U FUND 1,285,000 20,000 12,000,000 - 13,305,000

GAS TAX & TRANSPORTATION DEVELOPMENT

ACT FUND

5,366,458 5,066,458 4,825,000 4,925,000 20,182,916 GROWTH MITIGATION FUND 8,167,000 4,952,720 1,000,000 1,706,108 15,825,828 RESIDENTIAL DEVELOPMENT TAX FUND 500,000 500,000 175,000 175,000 1,350,000 MEASURE A FUND 2,496,908 2,501,474 1,091,500 1,097,550 7,187,432 PUBLIC TRANSIT FUND 5,120,000 6,080,000 13,350,000 9,600,000 34,150,000 WATER FUND 5,306,060 8,363,160 1,410,370 1,330,540 16,410,130 WASTEWATER FUND 4,242,140 14,028,480 13,720,100 14,268,910 46,259,630

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CAPITAL PROJECTS LIST BY CATEGORY
Proposed Proposed Projected Projected Four-Year
2024-25 2025-26 2026-27 2027-28 Total
DEVELOPER / GRANT STREET PROJECTS FUND 1,977,000 6,818,000 287,000 287,000 9,369,000 FLEET SERVICES FUND 5,902,133 1,105,247 2,005,000 400,000 9,412,380 SOLID WASTE DISPOSAL FUND 16,739,680 - 26,395,000 13,830,000 56,964,680 SOLID WASTE COLLECTION FUND 1,251,400 1,198,820 1,234,800 1,271,880 4,956,900

QUIMBY-PARK ACQUISITION & DEVELOPMENT
FUND
150,000 150,000 150,000 150,000 600,000
NORTHWEST LANDSCAPE DISTRICT FUND 200,000 - - - 200,000 GRAND TOTAL $ 62,211,629 $ 53,634,017 $ 91,939,113 $ 62,322,456 $ 270,107,215

GENERAL FUND PROJECTS NOT FUNDED
DRAINAGE IMPROVEMENT PROJECTS $ 75,000 $ - $ - $ - $ 75,000 RECREATION & PARKS ANNEX 2 WINDOW

REPLACEMENT

60,000 - - - 60,000
OLD LIBRARY STRUCTURAL EVALUATION 125,000 - - - 125,000

PUBLIC WORKS OPERATIONS OFFICE

BUILDING WINDOW REPLACEMENT

40,000 - - - 40,000
FACILITY PAINTING: RECREATION & PARKS 405,050 - - - 405,050 TURF REMOVAL 250,000 - - - 250,000

INSTALL GATES AT PARKING LOTS AT MINAMI

AND EDWARDS

- 20,000 - - 20,000
ELKS FIELD LIGHTING 1,500,000 - - - 1,500,000
GRAND TOTAL $ 2,455,050 $ 20,000 $ - $ - $ 2,475,050

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PERSONNEL

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PERSONNEL OVERVIEW
The full-time equivalent (FTE) counts listed in this budget document reflect positions funded with current resources. All positions, both full and part-time, are shown in the FTE count. A Full-Time Equivalent (FTE) is defined as a position that works 2,080 hours per fiscal year, or 2,912 hours for certain Fire personnel.

For example, a full- time employee who works 2,080 hours per year equals 1.00 FTE. A part -time employee who works 1,664 hours per fiscal year equals 0. 80 FTE. The FTE for Fire Department pos itions are reflected at the applicable calendar of 2,080 or 2,912 hours per FTE.

POSITION CONTROL
Addition or deletion of positions following budget adoption will occur within City guidelines as stated in Santa Maria Municipal Code Section 2-20.03 Change of Classifications: “The allocation of positions as of the adoption of the ordinance from which this section derives may be changed by the City Manager whenever the duties of the position change materially; provided, that the proposed change conforms with this chapter, with the established classification plan, and with the approved budget.

The City Manager’s review of a position or the creation of a new position occurs upon the recommendation of the department director, or upon the request of an employee and with the concurrence of the department director and the Human Resources Division.” In many cases these are referred to as reclassifications.

SUMMARY OF SIGNIFICANT CHANGES
The positions listed in this budget document reflect those previously adopted during the 2023 -24 mid- cycle budget update, those added and deleted (reclassifications) by the City Manager and through other City Council actions, specifically as part of the budget amendments presented with the First and Second Quarter 2023-24 Financial Reports, as well as the Enterprise Resource Planning System Project Implementation budget amendment adopted by Council in March 2024, which added 10 fixed term positions for the project. In preparation for the biennial budget process, departments assess their operational needs and recommend the addition, consolidation, or deletion of positions through Supplemental Budget Requests (SBRs) that have a nexus to support and align with the City Council’s goals and priorities.

Additionally, the proposed budget indicates funding of 7 Police Officer positions, 1 Investigative Specialist position, and 1 Administrative Leader position previously authorized but unfunded. This accounts for a total of 9 funded FTEs. Overall, the propos ed budget reflects an increase of 47.40 FTE as compared to the 2023 -24 adopted budget, which included 685.00 FTE. Of these 47.40 FTEs, 22 positions were added and another 6 positions previously authorized but unfunded, were funded by the City Council during Quarter 1, Quarter 2, and the ERP reports provided during Council meetings.

These 28 positions were offset by a decrease of 4.2 positions through reallocations of existing positions, resulting in 23.8 0 total new FTEs being enrolled in the FY24 -26 budget, but are not considered “new” positions as they were approved prior to the proposed budget. The 2025 -26 budget includes a 0.0 FTE increase as compared to 2024-25.

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PERSONN EL SUMMARY BY F UND

PERSONNEL SUMMARY BY FUND

Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note

CITY FUND
001, 011 – General and Measure U Funds 465.183 499.123 33.940 499.123 - (1) 002 – Water Fund 33.734 34.992 1.258 34.992 - (1), (2)
003 – Solid Waste Collection Fund 42.574 44.810 2.236 44.810 - (1), (2) 004 – Wastewater Fund 25.252 28.498 3.246 28.498 - (1), (2) 007 – Fleet Services Fund 15.263 15.263 - 15.263 -
009 – Library Fund 27.200 27.400 0.200 27.400 - (4)
010 – Solid Waste Disposal Fund 28.840 29.500 0.660 29.500 - (1), (2) 023 – Radio Technology Fund 2.000 2.000 - 2.000 - (5)
03* – Assessment Districts 12.150 14.350 2.200 14.350 - (6) 066 – Public Transit Fund 5.750 5.750 - 5.750 -
068 – Measure A Fund 22.623 25.623 3.000 25.623 - (7)
07* – Insurance Funds 3.340 4.000 0.660 4.000 - (1), (8) 998 – SM Community TV Fund 1.090 1.090 - 1.090 -
Total Budgeted FTE 685.000 732.400 47.400 732.400 -

SUMMARY OF CHANGES
The FY 2024- 25 budget includes 732.40 FTE, an increase of 47.40 FTE as compared to the FY 202 3-24 budget. The FY 202 5-26 budget includes a 0.00 FTE increase as compared to the FY 202 4-25 budget.

The following summaries net increases and decreases in total FTE at the fund level. (1) General Fund: 33.94 FTE increase in FY 2024-25 reflects the following:
a. First Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Assistant Director: Recreation & Parks position was added for the Recreation & Parks Department.
b. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) serving as an Assistant City Attorney/City Prosecutor was added for the City Attorney’s Office; ii. One (1) 1.00 FTE Deputy Building Official was added for the Community Development Department;
iii. One (1) 1.00 FTE Fire Fighter, one (1) 1.00 FTE Fire Captain, and one (1) 1.00 FTE Fire Engineer were added for the Fire Department;
iv. Two (2) 1.00 FTE Fire Fighters, two (2) 1.00 FTE Fire Captains, and two (2) 1.00 FTE Fire Engineers that were previously authorized but unfunded for the Fire Department were funded for FY 2023-24; and,
v. One (1) 1.00 FTE Senior Park Services Officer was added for the Recreation & Parks Department.
c. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Confidential Office Clerk II was reclassified as one (1) 1.00 FTE Legal Office Specialist for the City Attorney’s Office.
ii. One (1) 1.00 FTE Systems Analyst II was reclassified as one (1) 1.00 FTE Senior Systems Analyst and One (1) 1.00 FTE GIS Technician II was reclassified as one (1) 1.00 FTE GIS Analyst for the City Manager’s Office.
iii. One (1) 1.00 FTE Secretary was reclassified as one (1) 1.00 FTE Administrative Assistant for the Fire Department.
iv. Two (2) 1.00 FTE Finance Clerk II reclassified as two (2) 1.00 FTE Program Leader for the Finance Department.

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v. One (1) 1.00 FTE Account Clerk II reclassified as one (1) 1.00 FTE Administrative Assistant and one (1) 1.00 FTE Police Services Technician reclassified as one (1) 1.00 FTE Lead Police Services Technician for the Police Department.
vi. One (1) 1.00 FTE Senior Civil Engineer reclassified as one 1.00 FTE Principal Civil Engineer and one (1) 1.00 FTE Secretary reclassed as one (1) 1.00 FTE Administrative Assistant (Funding split between General Fund and Measure A 85%/15%) for the Public Wor ks Department.
vii. Two (2) 1.00 FTE Recreation Technician and one (1) 0.80 FTE Facility Specialist II reclassified as two (2) 1.00 FTE Senior Crew Leader- Maintenance Specialist, three (3) 1.00 FTE Groundskeeper reclassified as three (3) 1.00 FTE Maintenance Worker I, thirtee n (13) 0.80 FTE Laborer III reclassified as seven (7) 1.00 FTE Maintenance Worker I/II, and two (2) 0.80 FTE Facility Specialist III and one (1) 0.80 FTE Senior Lifeguard were reclassified as two (2)

1.00 FTE Recreation Coordinator for the Recreation & Parks Department. d. Enterprise Resource Planning System Project Implementation Fixed -Term Positions (March 2024 Budget Amendment):
i. Two (2) 1.00 FTE Admin Leader and one (1) 1.00 FTE Confidential Technician I/II were added to the Human Resources Division of the City Manager’s Office. ii. One (1) 1.00 FTE Senior Project Manager was added to the Information Technology Division of the City Manager’s Office.
iii. One (1) 1.00 FTE Program Leader, one (1) 1.00 FTE Confidential Technician I/II, one (1) 1.00 FTE Accounting Technician I/II, and three (3) 1.00 FTE Finance Clerk I/II were added for the Finance Department.
e. 2024-25:
i. Previously Authorized & Unfunded Positions:
 One (1) 1.00 FTE Administrative Leader that was previously authorized but unfunded for the City Clerk/Records Division of the City Manager’s Office will be funded in FY 2024-25.
 Seven (7) 1.00 FTE Police Officer and one (1) 1.00 FTE Investigative Specialist I/II for the Police Department that were previously authorized but unfunded for the Police Department will be funded in FY 2024-25.
ii. Supplemental Budget Requests - Additions:
 One (1) 1.00 FTE Confidential Technician I is added for the Information Technology Division of the City Manager’s Office.
 One (1) 1.00 FTE Confidential Technician I and one (1) 1.00 FTE Program Leader are added to the Human Resources Division of the City Manager’s Office.  One (1) 1.00 FTE Program Leader is eliminated in exchange for two (2) 1.00 FTE Confidential Technician I/II positions for the Finance Department (exchange is budget neutral).
 One (1) 0.80 FTE Security Guard is added for the Recreation & Parks Department. The budget for three (3) Security Aide (limited service) is eliminated. iii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Program Leader is reallocated for the Human Resources Division of the City Manager’s Office to the General Fund from the Insurance Funds and reflects current organization structure.
 Partial funding for two (2) Corporate/Executive Leader (Non -Safety) positions (0.34 FTE) was reallocated to the City Manager’s Office in the General Fund.  One (1) 0.80 FTE Account Clerk Aide is reallocated from the Utility Billing Division to the Revenue Division within the Finance Department to reflect current organization structure.
 One (1) 1.00 FTE Organization/Enterprise Leader (Safety) will be reclassified to serve at an Assistant Chief of Police level position and the Crime Analyst classification will be converted to a Crime Analyst I/II flex series. The budget for one (1) Reserve Police Officer Level 1 (limited service) and one (1) Reserve Police Officer (limited service) is eliminated (exchange is budget neutral).
 A Digital Forensics Examiner flex series will be created for the Police Department.

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 One (1) 1.00 FTE Principal Civil Engineer is reclassified as one (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) to serve at the City Engineer/Deputy Director Public Works level for the Public Works Department.  Two (2) 1.00 FTE Public Works Technician I are reclassified as two (2) 1.00 FTE Engineering Technician II, and one (1) 1.00 FTE Engineer III is reclassified as one (1) 1.00 FTE Senior Civil Engineer, for the Public Works Department (exchange is budget neutral).
 One (1) part -time 0.80 FTE Graphics Technician is converted to one (1) full- time 1.00 FTE Graphics Technician for the Recreation & Parks Department.  One (1) part -time 0.80 FTE Staff Assistant is reclassified as one (1) full- time 1.00 FTE Account Clerk I/II. One (1) part-time 0.80 FTE Clerk II is eliminated for the Recreation & Parks Department (exchange is budget neutral).
(2) Water Fund, Wastewater Fund, Solid Waste Collection Fund, and Solid Waste Disposal Fund: 7.40 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Administrative Leader, one (1) 1.00 FTE Wastewater Supervisor, and one (1) 1.00 FTE Water Resources Manager were added for the Utilities Department. b. 2023-24 Reclassifications/Reallocations:
i. Two (2) 1.00 FTE Customer Service Clerk reclassed as two (2) 1.00 FTE Finance Clerk. ii. One (1) 1.00 FTE Business Program Leader was reclassed as one (1) 1.00 FTE Regulatory Compliance Manager.
iii. One (1) part -time 0.80 FTE Staff Assistant reclassified as one (1) 1.00 FTE full -time Office Assistant I
c. 2024-25:
i. Supplemental Budget Requests - Additions:
 One (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) serving as a Deputy Director – Administration, one (1) 1.00 FTE Electrical & Instrumentation Technician, one

1.00 FTE (1) Program Leader, one (1) 1.00 FTE Utilities Outreach Specialist, and one ( 1)

1.00 FTE Regulatory Compliance Specialist II are added for the Utilities Department. ii. Supplemental Budget Requests - Reclassifications:
 One (1) 1.00 FTE Senior Civil Engineer is reclassified as one (1) 1.00 FTE Principal Civil engineer for the Utilities Department.
 One (1) 0.80 FTE Account Clerk Aide is reallocated from the Utility Billing Division to the Revenue Division within the Finance Department to reflect current organization structure.
(3) Fleet Services Fund: 0.00 FTE increase in FY 2024-25 reflects the following:
a. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Equipment Mechanic II reclassified as one (1) 1.00 FTE Heavy Equipment Mechanic.
(4) Library Fund: 0.20 FTE increase in FY 2024-25 reflects the following:
a. 2024-25:
i. Supplemental Budget Requests – Reclassifications:
 One (1) 1.00 FTE Secretary is reclassified as one (1) 1.00 FTE Administrative Assistant for the Library Department. The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral).
 One (1) part -time 0.80 FTE Graphics Technician is converted to one (1) full- time 1.00 FTE Graphics Technician for the Library Department. The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral). (5) Radio Technology Fund: 0.00 FTE increase in FY 2024-25 reflects the following:
a. 2024-25:
i. Supplemental Budget Requests – Reclassifications:
 One (1) 1.00 FTE Systems Analyst II is reclassified as one (1) 1.00 FTE Senior Systems Analyst for the Information Technology Division of the City Manager’s Office.

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(6) Assessment Districts: 2.20 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Account Clerk I was added for the Recreation & Parks Department. b. 2023-24 Reclassifications:
i. One (1) part-time 0.80 FTE Laborer III is reclassified as one (1) full-time 1.00 FTE Maintenance Worker I/II.
ii. Two (2) 1.00 FTE Groundskeeper reclassified as two (2) 1.00 FTE Maintenance Worker I c. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Public Works Technician is added for the Recreation & Parks Department. The budget for one (1) Maintenance Technician (limited service) is eliminated.
(7) Measure A Fund: 3.00 FTE increase in FY 2024-25 reflects the following:
a. 2024-25: One (1) 1.00 FTE Public Works Operations Manager, one (1) 1.00 FTE Account Clerk I/II, one (1) 1.00 FTE Maintenance Worker I/II, and one (1) Intern – Profession (limited service) serving as a GIS Intern are added for the Public Works Department. (8) Insurance Funds: 0.66 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Confidential Technician II was added for the Risk Management Division of the City Attorney’s Office.
b. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Program Leader (Assistant Risk Manager) is added for the Risk Management Division of the City Attorney’s Office.
ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Program Leader is reallocated for the Human Resources Division of the City Manager’s Office to the General Fund from the Insurance Funds and reflects current organization structure.
 Partial funding for two (2) Corporate/Executive Leader (Non -Safety) positions (0.34 FTE) was reallocated to the City Manager’s Office in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel Overview
170

PERSONN EL SUMMARY BY D EPAR TMENT

PERSONNEL SUMMARY BY DEPARTMENT
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note

CITY DEPARTMENT
003 – City Attorney’s Office 5.00 10.00 5.00 10.00 - (1) 004 – City Manager’s Office 37.80 43.80 6.00 43.80 - (2) 005 – Finance 24.80 31.80 7.00 31.80 - (3)
006 – Community Development 32.00 33.00 1.00 33.00 - (4) 007 – Library 27.20 27.40 0.20 27.40 - (5)
008 – Recreation & Parks 94.00 94.00 0.00 94.00 - (6)
009 – Fire 77.80 86.80 9.00 86.80 - (7)
010 – Police 192.00 200.00 8.00 200.00 - (8)
011 – Public Works 71.80 74.80 3.00 74.80 - (9)
011 – Utilities 122.60 130.80 8.20 130.80 - (10)
Total Budgeted FTE 685.00 732.40 47.40 732.40 -

(1) City Attorney’s Office: 5.00 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) serving as an Assistant City Attorney/City Prosecutor was added in the General Fund. ii. One (1) 1.00 FTE Confidential Technician II was added for the Risk Management Division in the Insurance Funds.
b. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Confidential Office Clerk II was reclassified as one (1) 1.00 FTE Legal Office Specialist in the General Fund.
c. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Program Leader (Assistant Risk Manager) is added for the Risk Management Division in the Insurance Funds.
ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 Oversight of the Risk Management Division, including one (1) 1.00 FTE Business Leader and one (1) 1.00 FTE Confidential Technician I/II, was transferred from the City Manager’s Office to the City Attorney’s Office within the Insurance Funds. (2) City Manager’s Office: 6.00 FTE increase in FY 2024-25 reflects the following:
a. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Systems Analyst II was reclassified as one (1) 1.00 FTE Senior Systems Analyst in the Radio Technology Fund and One (1) 1.00 FTE GIS Technician II was reclassified as one (1) 1.00 FTE GIS Analyst in the General Fund for the City Manager’s Office.
b. Enterprise Resource Planning System Project Implementation Fixed-Term Positions (March 2024 Budget Amendment):
i. Two (2) 1.00 FTE Admin Leader and one (1) 1.00 FTE Confidential Technician I/II were added to the Human Resources Division in the General Fund. ii. One (1) 1.00 FTE Senior Project Manager was added to the Information Technology Division in the General Fund.
c. 2024-25:
i. Previously Authorized & Unfunded Positions:
 One (1) 1.00 FTE Administrative Leader that was previously authorized and unfunded for the City Clerk/Records Division will be funded in FY 2024-25 in the General Fund. ii. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Confidential Technician I is added for the Information Technology Division in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel Overview
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 One (1) 1.00 FTE Confidential Technician I and one (1) 1.00 FTE Program Leader are added to the Human Resources Division in the General Fund. iii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Program Leader is shifted to the General Fund from the Insurance Funds for the Human Resources Division of the City Manager’s Office to reflect the current organization structure.
 Oversight of the Risk Management Division, including one (1) 1.00 FTE Business Leader and one (1) 1.00 FTE Confidential Technician I/II, was transferred from the City Manager’s Office to the City Attorney’s Office within the Insurance Funds.  Partial funding for two (2) Corporate/Executive Leader (Non -Safety) positions (0.34 FTE) was reallocated to the City Manager’s Office in the General Fund. (3) Finance: 7.00 FTE increase in FY 2024-25 reflects the following:
a. 2023-24 Reclassifications:
i. Two (2) 1.00 FTE Finance Clerk II reclassified as two (2) 1.00 FTE Program Leader for the Finance Department in the Enterprise Funds.
b. Enterprise Resource Planning System Project Implementation Fixed-Term Positions (March 2024 Budget Amendment):
i. One (1) 1.00 FTE Program Leader, one (1) 1.00 FTE Confidential Technician I/II, one (1) 1.00 FTE Accounting Technician I/II, and three (3) 1.00 FTE Finance Clerk I/II were added for the Finance Department in the General Fund.
c. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Program Leader is eliminated in exchange for two (2) 1.00 FTE Confidential Technician I/II positions in the General Fund (exchange is budget neutral).
ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 0.80 FTE Account Clerk Aide is shifted from the Utility Billing Division (Enterprise Funds) to the Revenue Division (General Fund) within the Finance Department to reflect the current organization structure.
(4) Community Development: 1.00 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Deputy Building Official was added in the General Fund. (5) Library: 0.20 FTE increase in FY 2024-25 reflects the following:
a. 2024-25:
i. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Secretary is reclassified as one (1) 1.00 FTE Administrative Assistant in the Library Fund. The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral).
 One (1) part -time 0.80 FTE Graphics Technician is converted to one (1) full- time 1.00 FTE Graphics Technician in the Library Fund . The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral). (6) Recreation & Parks: 0.00 FTE increase in FY 2024-25 reflects the following:
a. First Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Assistant Director: Recreation & Parks position was added in the General Fund.
b. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Senior Park Services Officer was added in the General Fund. ii. One (1) 1.00 FTE Account Clerk I was added in the Assessment Districts Fund. c. 2023-24 Reclassifications:
i. Two (2) 1.00 FTE Recreation Technician and one (1) 0.80 FTE Facility Specialist II reclassified as two (2) 1.00 FTE Senior Crew Leader- Maintenance Specialist, three (3) 1.00 FTE Groundskeeper reclassified as three (3) 1.00 FTE Maintenance Worker I/II, thirteen (13) 0.80 FTE Laborer III reclassified as seven (7) 1.00 FTE Maintenance Worker I/II, and two (2) 0.80 FTE Facility Specialist III and one (1) 0.80 FTE Senior Lifeguard were reclassified as two (2) City of Santa Maria 2024-26 Biennial Budget

Personnel Overview
172

1.00 FTE Recreation Coordinator in the General Fund. The budget for one (1) Technical Aide III (limited service) is eliminated.
ii. Two (2) 1.00 FTE Groundskeeper reclassified as two (2) 1.00 FTE Maintenance Worker I/II and one (1) part -time 0.80 FTE Laborer III reclassified as one (1) full -time 1.00 FTE Maintenance Worker I/II in the Assessments District Fund. d. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 0.80 FTE Security Guard is added in the General Fund. The budget for three (3) Security Aide (limited service) is eliminated.
 One (1) 1.00 FTE Public Works Technician is added in the Assessment Districts Fund. The budget for one (1) Maintenance Technician (limited service) is eliminated. ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) part -time 0.80 FTE Graphics Technician is converted to one (1) full- time 1.00 FTE Graphics Technician in the General Fund.
 One (1) part -time 0.80 FTE Staff Assistant is reclassified as one (1) full- time 1.00 FTE Account Clerk I/II in the General Fund. One (1) part-time 0.80 FTE Clerk II is eliminated in the General Fund (exchange is budget neutral).
(7) Fire: 9.00 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Fire Fighter, one (1) 1.00 FTE Fire Captain, and one (1) 1.00 FTE Fire Engineer were added for the Fire Department in the General Fund. ii. Two (2) 1.00 FTE Fire Fighters, two (2) 1.00 FTE Fire Captains, and two (2) 1.00 FTE Fire Engineers that were previously authorized but unfunded were funded for FY 2023- 24 in the General Fund.
b. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Secretary was reclassified as one (1) 1.00 FTE Administrative Assistant in the General Fund.
(8) Police: 8.00 FTE increase in FY 2024-25 reflects the following:
a. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Account Clerk II reclass ified as one (1) 1.00 FTE Administrative Assistant and one (1) 1.00 FTE Police Services Technician reclassified as one (1) 1.00 FTE Lead Police Services Technician in the General Fund.
b. 2024-25:
i. Previously Funded & Unauthorized Positions:
 Seven (7) 1.00 FTE Police Officer, and one (1) 1.00 FTE Investigative Specialist I/II that were previously authorized but unfunded for the Police Department will be funded in FY 2024-25 in the General Fund.
ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Organization/Enterprise Leader (Safety) will be reclassified to serve at an Assistant Chief of Police level position and the Crime Analyst classification will be converted to a Crime Analyst I/II flex series. The budget for one (1) Reserve Police Officer Level 1 (limited service) and one (1) Reserve Police Officer (limited service) is eliminated (exchange is budget neutral).
 A Digital Forensics Examiner flex series will be created for the Police Department. (9) Public Works: 3.00 FTE increase in FY 2024-25 reflects the following:
a. 2023-24 Reclassifications:
i. One (1) 1.00 FTE Senior Civil Engineer reclassified as one 1.00 FTE Principal Civil Engineer and one (1) 1.00 FTE Secretary reclassed as one (1) 1.00 FTE Administrative Assistant (Funding split between General Fund and Measure A 85%/15%) for the Public Wor ks Department.
ii. One (1) 1.00 FTE Equipment Mechanic II reclassified as one (1) 1.00 FTE Heavy Equipment Mechanic in the Fleet Services Fund.
b. 2024-25:
i. Supplemental Budget Requests – Additions:

City of Santa Maria 2024-26 Biennial Budget

Personnel Overview
173
 One (1) 1.00 FTE Public Works Operations Manager, one (1) 1.00 FTE Account Clerk I/II, one (1) 1.00 FTE Maintenance Worker I/II, and one (1) Intern – Profession (limited service) serving as a GIS Intern are added in the Measure A Fund. ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Principal Civil Engineer is reclassified as one (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) to serve at the City Engineer/Deputy Director Public Works level in the General Fund.
 Two (2) 1.00 FTE Public Works Technician I are reclassified as two (2) 1.00 FTE Engineering Technician II, and one (1) 1.00 FTE Engineer III is reclassified as one (1) 1.00 FTE Senior Civil Engineer, in the General Fund (exchange is budget neutral). (10) Utilities: 8.20 FTE increase in FY 2024-25 reflects the following:
a. Second Quarter 2023-24 Budget Amendment:
i. One (1) 1.00 FTE Administrative Leader, one (1) 1.00 FTE Wastewater Supervisor, and one (1) 1.00 FTE Water Resources Manager were added for the Utilities Department. b. 2023-24 Reclassifications:
i. Two (2) 1.00 FTE Customer Service Clerk reclassed as two (2) 1.00 FTE Finance Clerk. ii. One (1) 1.00 FTE Business Program Leader was reclassed as one (1) 1.00 FTE Regulatory Compliance Manager.
iii. One (1) part -time 0.80 FTE Staff Assistant reclassified as one (1) 1.00 FTE full -time Office Assistant I
c. 2024-25:
i. Supplemental Budget Requests – Additions:
 One (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) serving as a Deputy Director – Administration, one (1) 1.00 FTE Electrical & Instrumentation Technician, one

1.00 FTE (1) Program Leader, one (1) 1.00 FTE Utilities Outreach Specialist, and one ( 1)

1.00 FTE Regulatory Compliance Specialist II are added for the Utilities Department. ii. Supplemental Budget Requests – Reclassifications/Funding Reallocation:
 One (1) 1.00 FTE Senior Civil Engineer is reclassified as one (1) 1.00 FTE Principal Civil engineer for the Utilities Department.

City of Santa Maria 2024-26 Biennial Budget

Personnel Detail by Department
174

PERSONNEL DETAIL BY DEPARTMENT
The following Personnel Detail lists all budgeted positions for each department, identifies the change from the FY 2023-24 adopted budget, and provides annotations for the changes. Three classifications of position type are segregated in the Personnel Detail:

1. Full-Time

2. Part-Time

3. Limited Service
Limited-Service positions are considered pooled positions. The FTE value listed for these positions reflects the FTE equivalent of the allocated budget amount; the actual FTE hired may vary from the FTE listed in the Personnel Detail. City departments are required to adhere to the total amount budgeted for the pool but are not required to adhere to the FTE allocation.

PERSONNEL DETAIL PAGE REFERENCES
City Attorney’s Office .................................................................................................................................... 175 City Manager’s Office ................................................................................................................................... 176 Community Development Department ..................................................................................................... 179 Finance Department ..................................................................................................................................... 179 Fire Department ............................................................................................................................................. 183 Library Department ....................................................................................................................................... 183 Police Department ........................................................................................................................................ 185 Public Works Department ............................................................................................................................. 187 Recreation and Parks Department ............................................................................................................. 190 Utilities Department ....................................................................................................................................... 193 Measure U Positions by Department ........................................................................................................... 196

City of Santa Maria 2024-26 Biennial Budget

Personnel – City Attorney’s Office
175
CITY ATTORNEY ’S OFF ICE
CITY ATTORNEY’S OFFICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
003-010 – City Attorney
ADLA Administrative Leader - 1.00 1.00 1.00 -
BP1A Business Program Leader I 1.00 - (1.00) - -
CO2A Confidential Office Clerk II 1.00 - (1.00) - - (2) CLCA Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
LOSA Legal Office Specialist 1.00 1.00 1.00 1.00 - (2)
OLCA Organization/Enterprise Leader
(Non-Safety) 2.00 3.00 1.00 3.00 - (1)
Full-Time Benefitted Total 5.00 6.00 1.00 6.00 -
003-010 – City Attorney Total 5.00 6.00 1.00 6.00 -
014-043 – Risk Management
BULI Business Leader - 1.00 1.00 1.00 - (4)
CT1M,
CT1R Confidential Technician I/II - 2.00 2.00 2.00 - (1), (4) PRLI Program Leader - 1.00 1.00 1.00 - (3), (4)
Full-Time Benefitted Total - 4.00 4.00 4.00 -
014-043 – Risk Management Total - 4.00 4.00 4.00 -
Total Budgeted FTE 5.00 10.00 5.00 10.00 -

City Attorney’s Office: 5.00 FTE increase in FY 2024-25 reflects the following:
(1) Second Quarter 2023 -24 Budget Amendment: One (1) 1.00 FTE Organization/Enterprise Leader (Non-Safety) serving as an Assistant City Attorney/City Prosecutor was added in the General Fund.

One (1) 1.00 FTE Confidential Technician II was added for the Risk Management Division in the Insurance Funds.
(2) 2023-24 Reclassification:
a. One (1) 1.00 FTE Confidential Office Clerk was reclassified as one (1) 1.00 FTE Legal Office Specialist-Confidential in the General Fund.
(3) Supplemental Budget Request – Additions:
a. One (1) 1.00 FTE Program Leader (Assistant Risk Manager) was added for the Risk Management Division in the Insurance Funds.
(4) Supplemental Budget Requests – Reallocations:
a. Oversight of the Risk Management Division, including one (1) 1.00 FTE Business Leader and one (1) 1.00 FTE Confidential Technician I/II, was transferred from the City Manager’s Office to the City Attorney’s Office within the Insurance Funds.

City of Santa Maria 2024-26 Biennial Budget

Personnel – City Manager’s Office
176
CITY MA NAGER’S OFFICE
CITY MANAGER’S OFFICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
004-010, 020 & 030, 005-040 & 042, 014-023
– Administration, Human Resources,
Records/City Clerk, Information
Technology, Communications

ADLC,
ADLH,
ADLM
Administrative Leader - 6.00 6.00 6.00 - (1)
BULC,
BULH,
BULX
Business Leader - 5.00 5.00 5.00 -
BPLX Business Program Leader 3.00 - (3.00) - -
BP1C,
BP1H Business Program Leader I 3.00 - (3.00) - -
BP2C,
BP2H Business Program Leader II 3.91 - (3.91) - -
BP3H Business Program Leader III 2.00 - (2.00) - -
CCDC Chief Deputy City Clerk 1.00 1.00 - 1.00 -
CMRM City Manager 1.00 1.00 - 1.00 -
CSYS Confidential Secretary 1.00 1.00 - 1.00 -
CT1H,
CT1M
CT2M,
CT2H
Confidential Technician I/II 3.00 6.00 3.00 6.00 - (1), (4) CLCM Corporate/Executive Leader
(Non-Safety 2.66 3.00 0.34 3.00 - (5)
DCCC Deputy City Clerk 1.00 1.00 - 1.00 -
GISA GIS Analyst - 1.00 1.00 1.00 - (2)
GS2M GIS Technician II 1.00 - (1.00) - - (2)
PRLC,
PRLH,
PRLX
Program Leader - 5.91 5.91 5.91 - (1), (4), (5)
SPMM Senior Project Manager 1.00 2.00 1.00 2.00 - (1)
SHP1 SharePoint Developer 1.00 1.00 - 1.00 -
SSA1,
SSA2 Systems Analyst I/II 8.00 6.00 (2.00) 6.00 - (2), (5) SSAS Senior Systems Analyst - 2.00 2.00 2.00 - (2), (5) Full-Time Benefitted Total 32.57 41.91 9.34 41.91 -
ZCOM Community Outreach
Coordinator 0.80 0.80 - 0.80 -
Part-Time Total 0.80 0.80 - 0.80 -
YC1M Consultant I 0.48 0.48 - 0.48 -
City Clerk – Elected 0.48 0.48 - 0.48 -
Limited-Service Total 33.37 0.96 - 0.96 -
004-010, 020 & 030, 005 -040 & 042 –
Administration, Human Resources,
Records/City Clerk, Information
Technology, Communications Total

33.37 42.71 9.34 42.71 -

004-041 – SM Community TV
BP2C Business Program Leader II 0.09 - (0.09) - -
City of Santa Maria 2024-26 Biennial Budget

Personnel – City Manager’s Office
177
CITY MANAGER’S OFFICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
PRLC Program Leader - 0.09 0.09 0.09 -
Full-Time Benefitted Total 0.09 0.09 - 0.09 -
YT2A Technical Aide II 0.48 0.48 - 0.48 -

Limited-Service Total 0.48 0.48 - 0.48 -
004-041 – SM Community TV Total 0.09 0.09 - 0.09 -
004-092 – Measure U
PEGM PEG Production Manager 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 1.00 1.00 - 1.00 -
004-092 – Measure U Total 1.00 1.00 - 1.00 -
014-043 - Risk Management
BP1H Business Program Leader I 1.00 - (1.00) - - (5)
BP3H Business Program Leader III 1.00 - (1.00) - - (5)
CT2M Confidential Technician II 1.00 - (1.00) - - (5)
CLCM Corporate/Executive Leader
(Non-Safety) 0.34 - (0.34) - - (5)
Full-Time Benefitted Total 3.34 - (3.34) - -
014-043 – Risk Management Total 3.34 - (3.34) - -
Total Budgeted FTE 37.80 43.80 6.00 43.80 -

City Manager’s Office: 6.00 FTE increase in FY 2024-25 reflects the following:
(1) Enterprise Resource Planning System Project Implementation (March 2024 Budget Amendment):

Two (2) 1.00 FTE Admin Leader and one (1) 1.00 FTE Confidential Technician I/II were added to the Human Resources Division and one (1) 1.00 FTE Senior Project Manager was added to the Information Technology Division.
(2) 2023-24 Reclassifications:
a. One (1) 1.00 FTE GIS Technician II was reclassified as one (1) 1.00 FTE GIS Analyst in the General Fund.
b. One (1) 1.00 FTE Systems Analyst II was reclassified as one (1) 1.00 FTE Senior Systems Analyst in the Radio Technology Fund.
(3) 2024-25 Previously Authorized & Unfunded Positions:
a. One (1) 1.00 FTE Administrative Leader that was previously authorized and unfunded for the City Clerk/Records Division will be funded in FY 2024-25 in the General Fund. (4) 2024-25 Supplemental Budget Request – Additions:
a. One (1) 1.00 FTE Confidential Technician I is added for the Information Technology Division. b. One (1) 1.00 FTE Confidential Technician I/II and one (1) 1.00 FTE Program Leader are added to the Human Resources Division.
(5) Supplemental Budget Requests – Reclassifications/Reallocations:
a. One (1) 1.00 FTE Program Leader is reallocated for the Human Resources Division of the City Manager’s Office to the General Fund from the Insurance Funds and reflects current organization structure.

City of Santa Maria 2024-26 Biennial Budget

Personnel – City Manager’s Office
178
b. Oversight of the Risk Management Division, including one (1) 1.00 FTE Business Leader and one (1) 1.00 FTE Confidential Technician I/II, was transferred from the City Manager’s Office to the City Attorney’s Office within the Insurance Funds.
c. One (1) 1.00 FTE Systems Analyst II is reclassified as one (1) 1.00 FTE Senior Systems Analyst for the Information Technology Division.
d. Partial funding for two (2) Corporate/Executive Leader (Non -Safety) positions (0.34 FTE) was reallocated to the City Manager’s Office in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Community Development
179

COMMUNITY DEV ELOPMENT

COMMUNITY DEVELOPMENT
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
006-020 – Planning
ADAR Administrative Assistant 1.00 1.00 - 1.00 -
ADLD Administrative Leader - 1.00 1.00 1.00 -
PL1A Assistant Planner 1.00 1.00 - 1.00 -
PL1D Associate Planner 1.00 1.00 - 1.00 -
BP1D Business Program Leader I 1.00 - (1.00) - -
CLCD Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
DPDM Planning Division Manager 1.00 1.00 - 1.00 -
PPLD Principal Planner 1.00 1.00 - 1.00 -
PL3D Senior Planner 2.00 2.00 - 2.00 -
Full-Time Benefitted Total 9.00 9.00 - 9.00 -
YACD Assistant Clerk – Office 0.48 0.48 - 0.48 -
YTPD Temporary Planner 0.96 0.96 - 0.96 -
Limited-Service Total 1.44 1.44 - 1.44 -
006-020 – Planning 9.00 9.00 - 9.00 -
006-030 – Building
DBDM Building Division Manager 1.00 1.00 - 1.00 -
BI1D,
BI2D Building Inspector I/II 4.00 4.00 - 4.00 -
BPTD,
BP2D Building Permit Technician I/II 3.00 3.00 - 3.00 - CBID Chief Building Inspector 1.00 1.00 - 1.00 -
DBOB Deputy Building Official - 1.00 1.00 1.00 - (1)
PCED Plan Check Engineer 1.00 1.00 - 1.00 -
PESD Plans Examiner 2.00 2.00 - 2.00 -
SBPD Sr Building Permit Technician 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 13.00 14.00 - 14.00 -
006-030 – Building 13.00 14.00 1.00 14.00 -
006-040 – Community Programs
GS2C Grants Specialist II 1.00 1.00 - 1.00 -
HCSM Housing & Community Services
Manager 1.00 1.00 - 1.00 -
HCDT Housing & Community Services
Technician 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 3.00 3.00 - 3.00 -
006-040 – Community Programs Total 3.00 3.00 - 3.00 -
006-041 – Code Enforcement
CE1A,
CE2A Code Enforcement Officer I/II 0.00 1.00 1.00 1.00 - (2) Full-Time Benefitted Total 0.00 1.00 1.00 1.00 -
006-041 - Code Enforcement Total 0.00 1.00 1.00 1.00 -
006-092 – Measure U
CE1A,
CE2A Code Enforcement Officer I/II 4.00 3.00 (1.00) 3.00 - (2) CESA Code Enforcement Supervisor 1.00 1.00 - 1.00 -
City of Santa Maria 2024-26 Biennial Budget

Personnel – Community Development
180

COMMUNITY DEVELOPMENT
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
CETA Code Enforcement Technician 1.00 1.00 - 1.00 -
BP1C Business Program Leader 1.00 - (1.00) - -
PRLD Program Leader - 1.00 1.00 1.00 -
Full-Time Benefitted Total 7.00 7.00 - 7.00 -
006-092 – Measure U 7.00 7.00 - 7.00 -
Total Budgeted FTE 32.00 33.00 1.00 33.00 -

Community Development: 1.00 FTE increase in FY 2024-25 reflects the following:
(1) Second Quarter 2023-24 Budget Amendment:
a. One (1) 1.00 FTE Deputy Building Official was added in the General Fund. (2) Supplemental Budget Requests - Reclassifications/Reallocations:
a. One (1) 1.00 FTE Code Enforcement Officer I/II position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Finance
181

FINANCE

FINANCE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
005-010 – Administrative Services
CLFS Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
OLFS Organization/Enterprise Leader
(Non-Safety) 1.00 1.00 - 1.00 -
SCMM Secretary 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 3.00 3.00 - 3.00 -
005-010 – Administrative Services Total 3.00 3.00 - 3.00 - 005-020 – Finance
AC1S,
AC2S Accounting Technician I/II 3.00 4.00 1.00 4.00 - (1) AC3S Accounting Technician III 1.00 1.00 - 1.00 -
BULB Business Leader - 2.00 2.00 2.00 -
BP2B Business Program Leader II 4.00 - (4.00) - -
BP3B Business Program Leader III 1.00 - (1.00) - -
CT1B Confidential Technician I - 3.00 3.00 3.00 - (1), (3) CT3B Confidential Technician III 1.00 1.00 - 1.00 -
FC1S,
FC2S Finance Clerk I/II 4.00 5.00 1.00 5.00 -
PRLB Program Leader - 5.00 5.00 5.00 - (1), (2), (3)
Full-Time Benefitted Total 14.00 21.00 7.00 21.00 -
ZACS Account Clerk Aide - 0.80 0.80 0.80 - (4)
Part-Time Total - 0.80 0.80 0.80 -
005-020 – Finance Total 14.00 21.80 7.80 21.80 -
005-030 – Utility Billing
AC1S Accounting Technician I 2.00 2.00 - 2.00 -
BP2B Business Program Leader II 1.00 - (1.00) - -
SCSC Customer Service Clerk 2.00 - (2.00) - - (2)
FC1S,
FC2S Finance Clerk I/II 2.00 4.00 2.00 4.00 (1), (2)
PRLB Program Leader - 1.00 1.00 1.00 -
Full-Time Benefitted Total 7.00 7.00 0.00 7.00 -
ZACS Account Clerk Aide 0.80 - (0.80) - - (4)
Part-Time Total 0.80 - (0.80) - -
005-030 Utility Billing Total 7.80 7.00 (0.80) 7.00 -
Total Budgeted FTE 24.80 31.80 7.00 31.80 -

Finance: 7.00 FTE increase in FY 2024-25 reflects the following:
(1) Enterprise Resource Planning System Project Implementation (March 2024 Budget Amendment):
a. One (1) 1.00 FTE Program Leader, one (1) 1.00 FTE Confidential Technician I/II, one (1) 1.00 FTE Accounting Technician I/II, and three (3) 1.00 FTE Finance Clerk I/II were added in the General Fund.
(2) 2023-24 Reclassifications:
a. Two (2) 1.00 FTE Finance Clerk I/II were reclassified as two (2) 1.00 FTE Business Program Leader in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Finance
182
b. Two (2) 1.00 FTE Customer Service Clerk were reclassified as two (2) 1.00 FTE Finance Clerk I/II in the Enterprise Funds.
(3) Supplemental Budget Request – Additions:
a. One (1) 1.00 FTE Program Leader is eliminated in exchange for two (2) 1.00 FTE Confidential Technician I/II positions in the General Fund (exchange is budget neutral). (4) Supplemental Budget Requests – Reallocations:
a. One (1) 0.80 FTE Account Clerk Aide is reallocated from the Utility Billing Division (Enterprise Funds) to the Revenue Division (General Fund) within the Finance Department to reflect current organization structure.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Fire
183
FIRE
FIRE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
009-020, 030 – Administration, Operations,
Prevention & Reimbursable

ADAF Administrative Assistant - 1.00 1.00 1.00 - (2)
BP1F Business Program Leader I 1.00 - (1.00) - -
CLFD Corporate/Executive Leader
(Safety) 1.00 1.00 - 1.00 -
FBCF Fire Battalion Chief 2.00 2.00 - 2.00 -
FCNF Fire Captain 9.00 10.00 1.00 10.00 - (1), (3)
FERF Fire Engineer 12.00 14.00 2.00 14.00 - (1), (3)
FFRF Fire Fighter 2.00 6.00 4.00 6.00 - (1), (3)
FIMF Fire Marshall 1.00 1.00 - 1.00 -
F02F Fire Prevention Officer II 1.00 1.00 - 1.00 -
PRLF Program Leader - 1.00 1.00 1.00 -
SECF Secretary 1.00 - (1.00) - - (2)
Full-Time Benefitted Total 30.00 37.00 7.00 37.00 -
YC1F Consultant I 0.48 0.48 - 0.48 -
Limited-Service Total 0.48 0.48 - 0.48 -
009-020, 030 – Administration, Operations,
Prevention & Reimbursable Total 30.00 37.00 7.00 37.00 - 009-090 – Measure U
ADLF Administrative Leader - 2.00 2.00 2.00 -
BP1F Business Program Leader I 1.00 - (1.00) - -
BP1H Business Program Leader I 1.00 - (1.00) - -
DFCF Deputy Fire Chief 1.00 1.00 - 1.00 -
FBCF Fire Battalion Chief 2.00 2.00 - 2.00 -
FCNF Fire Captain 10.00 12.00 2.00 12.00 - (1), (3)
FERF Fire Engineer 9.00 10.00 1.00 10.00 - (1), (3)
FFRF Fire Fighter 19.00 18.00 (1.00) 18.00 -
FIIF Fire Inspector I 2.00 2.00 - 2.00 -
F02F Fire Prevention Officer II 1.00 1.00 - 1.00 -
OA1F Office Assistant I 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 47.00 49.00 2.00 49.00 -
ZCEF Emergency Services Specialist 0.80 0.80 - 0.80 -
Part-Time Total 0.80 0.80 - 0.80 -
009-090 – Measure U Total 47.80 51.80 4.00 51.80 -
Total Budgeted FTE 77.80 86.80 9.00 86.80 -
Fire: 9.00 FTE increase in FY 2024-25 reflects the following:
(1) Second Quarter 2023-24 Budget Amendment:
a. One (1) 1.00 FTE Fire Fighter, one (1) 1.00 FTE Fire Captain, and one (1) 1.00 FTE Fire Engineer were added for the Fire Department in the General Fund.
b. Two (2) 1.00 FTE Fire Fighters, two (2) 1.00 FTE Fire Captains, and two (2) 1.00 FTE Fire Engineers that were previously authorized but unfunded were funded for FY 2023-24 in the General Fund. (2) 2023-24 Reclassifications: One (1) 1.00 FTE Secretary was reclassified as one (1) 1.00 FTE Administrative Assistant. (3) 2024-25 Supplemental Budget Request - Reallocation: One (1) 1.00 FTE Fire Engineer and one (1) 1.00 FTE Fire Fighter position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Library Department
184

LIBRARY

LIBRARY
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
007-020, 030, 040, 050, 060 – Branches
ADAL Administrative Assistant - 1.00 1.00 1.00 - (1)
BP1L Business Program Leader I 1.00 - (1.00) - -
CLLB Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
GTLB Graphics Technician - 1.00 1.00 1.00 - (1)
LI1L Librarian I 3.00 3.00 - 3.00 -
LI2L Librarian II 2.00 3.00 1.00 3.00 - (1)
LI3L Librarian III 2.00 2.00 - 2.00 -
LITL Library Technician 3.00 3.00 - 3.00 -
PRLL Program Leader - 1.00 1.00 1.00 -
SCYL Secretary 1.00 - (1.00) - - (1)
Full-Time Benefitted Total 13.00 15.00 2.00 15.00 -
ZC2L Clerk II 4.80 4.80 (1.60) 4.80 -
ZGTL Graphics Technician 0.80 - (0.80) - - (1)
Part-Time Total 5.60 4.80 (0.80) 4.80 -
YLTL Assistant Library Technician 9.12 9.60 0.48 9.60 - Limited-Service Total 9.12 9.60 0.48 9.60 -
007-020, 030, 040, 050, 060 - Branches 18.60 19.80 1.20 19.80 - 007-090, 091, 092 – Measure U
LI1L Librarian I 1.00 1.00 - 1.00 -
LI2L Librarian II 1.00 0.00 (1.00) 0.00 - (1)
LLCC Library Clerk 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 3.00 2.00 (1.00) 2.00 -
ZC2L Clerk II 1.60 1.60 - 1.60 -
ZLTL Library Technical Assistant 2.40 2.40 - 2.40 -
YSEO Security Officer 1.60 1.60 - 1.60 -
Part-Time Total 5.60 5.60 - 5.60 -
YLTL Assistant Library Technician 3.84 2.40 (1.44) 2.40 - Limited-Service Total 3.84 2.40 (1.44) 2.40 - (1)
007-090, 091, 092 – Measure U 8.60 7.60 (1.00) 7.60 -
Total Budgeted FTE 27.20 27.40 0.20 27.40 -

Library: 0.20 FTE increase in FY 2024-25 reflects the following:
(1) Supplemental Budget Requests – Reclassifications:
a. One (1) 1.00 FTE Secretary is reclassified as one (1) 1.00 FTE Administrative Assistant. The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral).
b. One (1) part-time 0.80 FTE Graphics Technician is converted to one (1) full-time 1.0 FTE Graphics Technician. The budget for one (1) Assistant Library Technician (limited service) was eliminated (exchange is budget neutral).
c. One (1) 1.00 FTE Librarian II position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Police
185
POLICE
POLICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
010-010, 020, 022, 023, 030, 035 –
Administration, Operations, & Support

AC2P Account Clerk II 1.00 - (1.00) - - (2)
ADAP Administrative Assistant 1.00 2.00 1.00 2.00 - (2) BP1P Business Program Leader I 2.00 - (2.00) - -
BSAM Business Systems Analyst 1.00 1.00 - 1.00 -
CLPD Corporate/Executive Leader
(Safety) 1.00 1.00 - 1.00 -
CANP Crime Analyst 1.00 (3)
CESP Crime Lab & Evidence
Supervisor 1.00 1.00 - 1.00 -
CT1P,
CT2P Criminalistics Technician I/II 4.00 4.00 - 4.00 -
DFE1 Digital Forensics Examiner 0.00 1.00 1.00 1.00 - (3) DI1P,
DI2P Dispatcher I/II 13.00 13.00 - 13.00 -
INSP Investigative Specialist I/II 0.00 1.00 - 1.00 - (1) LPTP Lead Police Services
Technician - 1.00 1.00 1.00 - (2)
OA2P Office Assistant II 2.00 2.00 - 2.00 -
OLPD Organization/Enterprise Leader
(Safety) 2.00 2.00 - 2.00 - (3)
PCLP Police Corporal 2.00 2.00 - 2.00 -
PLTP Police Lieutenant 4.00 4.00 - 4.00 -
PORP Police Officer 74.00 75.00 1.00 75.00 - (1)
PRSP Police Records Supervisor 1.00 1.00 - 1.00 -
PTDP Police Records Tech-Detectives 1.00 1.00 - 1.00 -
PT1P,
PT2P Police Records Technician I/II 8.00 8.00 - 8.00 -
PSGP Police Sergeant 10.00 10.00 - 10.00 -
PSTP Police Services Technician 6.00 5.00 (1.00) 5.00 - PRLP Program Leader - 2.00 2.00 2.00 -
PECP Property-Evidence Clerk 2.00 2.00 - 2.00 -
PSDI Senior Dispatcher 4.00 4.00 - 4.00 -
SRTP Senior Police Records Tech 3.00 3.00 - 3.00 -
Full-Time Benefitted Total 144.00 146.00 2.00 146.00 -
YCDP Certified Dispatch Aid 0.48 0.48 - 0.48 -
YPCD Police Cadet 0.96 - (0.96) - -
POFP Provisional Officer 1.20 1.20 - 1.20 -
XP1P,
XP2P Reserve Police Officer Level I/II 0.96 - (0.96) - - (3) Limited-Service Total 3.60 1.68 (1.92) 1.68 -
010-010, 020, 022, 023, 030, 035 –
Administration, Operations, & Support
Total
144.00 146.00 2.00 146.00 -
010-090 – Measure U
BP1P Business Program Leader I 1.00 - (1.00) - -
BP1P Business Program Leader I 1.00 - (1.00) - -
City of Santa Maria 2024-26 Biennial Budget

Personnel – Police
186
POLICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
CANP Crime Analyst 1.00 - (1.00) - -
CAN1,
CAN2 Crime Analyst I/II - 1.00 1.00 1.00 - (3)
DI1P,
DI2P Dispatcher I/II 3.00 3.00 - 3.00 -
INSP Investigative Specialist I/II 1.00 1.00 - 1.00 -
OLPD Organization/Enterprise Leader
(Safety) 1.00 1.00 - 1.00 -
PCLP Police Corporal 9.00 9.00 - 9.00 -
PLTP Police Lieutenant 1.00 1.00 - 1.00 -
PORP Police Officer 21.00 27.00 6.00 27.00 - (1)
PSGP Police Sergeant 8.00 8.00 - 8.00 -
PSTP Police Services Technician 1.00 1.00 - 1.00 -
PRLP Program Leader - 1.00 1.00 1.00 -
PECP Property-Evidence Clerk 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 48.00 54.00 6.00 54.00 -r
YPCD Police Cadet 0.96 0.96 - 0.96 -
Limited-Service Total 0.96 0.96 - 0.96 -
010-090 – Measure U Total 48.00 55.00 6.00 55.00 -
Total Budgeted FTE 192.00 200.00 8.00 200.00 -

Police: 8.00 FTE increase in FY 2024-25 reflects the following:
(1) Previously Authorized & Unfunded Positions : Seven (7) 1.00 FTE Police Officer, and one (1) 1.00 FTE Investigative Specialist I/II that were previously authorized but unfunded for the Police Department will be funded in FY 2024-25 in the General Fund.
(2) 2023-24 Reclassifications:
a. One (1) 1.00 FTE Account Clerk II reclassified as one (1) 1.00 FTE Administrative Assistant and one (1) 1.00 FTE Police Services Technician reclass ified as one (1) 1.00 FTE Lead Police Services Technician in the General Fund.
(3) Supplemental Budget Requests – Reclassifications:
a. One (1) 1.00 FTE Organization/Enterprise Leader (Safety) will be reclassified to serve at an Assistant Chief of Police level position and the Crime Analyst classification will be converted to a Crime Analyst I/II flex series. The budget for one (1) Reserve Police Officer Level 1 (limited service) and one (1) Reserve Police Officer (limited service) is eliminated (exchange is budget neutral).
b. A Digital Forensics Examiner flex series will be created for the Police Department.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Public Works
187

PUBLIC WORKS

PUBLIC WORKS
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
011-010, 020, 030 – Engineering & Facilities
Maintenance

ADAW Administrative Assistant - 0.85 0.85 0.85 - (1)
ADLW Administrative Leader - 1.00 1.00 1.00 -
BP1W Business Program Leader I 2.00 - (2.00) - -
CWIW Chief Public Works Inspector 1.00 1.00 - 1.00 -
CLPW Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
CLSW Crew Leader-Maint Specialist 3.00 3.00 - 3.00 -
EN3W Engineer III 3.00 1.00 (2.00) 1.00 - (1)
ENT2 Engineering Technician II - 2.00 2.00 2.00 - (3)
FSPW Facilities Supervisor 1.00 1.00 - 1.00 -
MW1W,
MW2W Maintenance Worker I/II 6.00 6.00 - 6.00 -
OLPW Organization/Enterprise Leader
(Non-Safety) - 1.00 1.00 1.00 - (3)
PCEW Principal Civil Engineer 2.00 2.00 - 2.00 - (1), (3) PRLW Program Leader - 1.00 1.00 1.00 -
PWIW Public Works Inspector 2.00 2.00 - 2.00 -
PT1W Public Works Technician I 2.00 - (2.00) - - I3)
SCYW Secretary 1.85 1.00 (0.85) 1.00 - (1)
SCEW Senior Civil Engineer 2.00 2.00 - 2.00 - (1)
SCMW,
WSCM Senior Crew Leader-Maint Spec 2.00 2.00 - 2.00 -
SMPW Senior Project Manager - 1.00 1.00 1.00 - (1)
Full-Time Benefitted Total 28.85 28.85 - 28.85 -
ZL3W Laborer III 0.80 0.80 - 0.80 -
Part-Time Total 0.80 0.80 - 0.80 -
YACW Assistant Clerk – Office 0.48 0.48 - 0.48 -
YINW Intern – Profession 0.48 0.48 - 0.48 -
Limited-Service Total 0.96 0.96 - 0.96 -
011-010, 020, 030 – Engineering & Facilities
Maintenance Total 29.65 29.65 - 29.65 -
014-010 – Fleet Services
ACIW,
AC2W Account Clerk I/II 1.00 1.00 - 1.00 -
ASWW Automotive Service Writer 1.00 1.00 - 1.00 -
EM1W,
EM2W Equipment Mechanic I/II 3.00 2.00 (1.00) 2.00 - (1) FDMW Field Mechanic 3.00 3.00 - 3.00 -
FSSU Fleet Services Supervisor 1.00 1.00 - 1.00 -
HEMW Heavy Equipment Mechanic 1.00 2.00 1.00 2.00 - (1) LDMW Lead Mechanic 2.00 2.00 - 2.00 -
MW1W,
MW2W Maintenance Worker I/II 2.00 2.00 - 2.00 -
Full-Time Benefitted Total 14.00 14.00 - 14.00 -
YGLU General Laborer 0.48 0.48 - 0.48 -
City of Santa Maria 2024-26 Biennial Budget

Personnel – Public Works
188

PUBLIC WORKS
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
Limited-Service Total 0.48 0.48 - 0.48 -
014-010 – Fleet Services Total 14.00 14.00 - 14.00 -
011-041 – Street Maintenance
ACIW,
AC2W Account Clerk I/II 1.00 2.00 1.00 2.00 - (2)
ADAW Administrative Assistant - 0.15 0.15 0.15 -
CLSW Crew Leader-Maint Specialist 1.00 1.00 - 1.00 -
ELEC Electrician I 1.00 1.00 - 1.00 -
MW1W,
MW2W Maintenance Worker I/II 12.00 13.00 1.00 13.00 - (2) PCEW Principal Civil Engineer 1.00 1.00 - 1.00 -
PWMW Public Works Operations
Manager - 1.00 1.00 1.00 - (2)
SCYW Secretary 0.15 - (0.15) - -
SCMW,
WSCM Senior Crew Leader-Maint Spec 3.00 3.00 - 3.00 -
STSW Senior Traffic Signal Tech 1.00 1.00 - 1.00 -
SMSW Street Maint Supervisor 2.00 2.00 - 2.00 -
TSTW Traffic Signal Technician 1.00 1.00 - 1.00 - r
Full-Time Benefitted Total 23.15 26.15 3.00 26.15 -
YINW Intern – Profession - 0.48 0.48 0.48 - (2)
YSLW Skilled Laborer 0.48 0.48 - 0.48 -
Limited-Service Total 0.48 0.96 0.48 0.96 -
011-041 – Street Maintenance Total 23.15 26.15 3.00 26.15 - 011-070 – Public Transit
ADLW Administrative Leader - 1.00 1.00 1.00 -
BP1W Business Program Leader I 1.00 - (1.00) - -
TRTW Transit Assistant 1.00 1.00 - 1.00 -
TRCW Transit Coordinator 1.00 1.00 - 1.00 -
TRPW Transit Planner 1.00 1.00 - 1.00 -
TRAW Transit Services Manager 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 5.00 5.00 - 5.00 -
011-070 – Public Transit Total 5.00 5.00 - 5.00 -
Total Budgeted FTE 71.80 74.80 3.00 74.80 -

Public Works: 3.00 FTE increase in FY 2024-25 reflects the following:
(1) 2023-24 Reclassifications:
a. One (1) 1.00 FTE Senior Civil Engineer reclassified as one (1) 1.00 FTE Principal Civil Engineer and one (1) 1.00 FTE Secretary reclassed as one (1) 1.00 FTE Administrative Assistant (Funding split between General Fund and Measure A 85%/15%) for the Public Works Department. b. One (1) 1.00 FTE Equipment Mechanic II reclassified as one (1) 1.00 FTE Heavy Equipment Mechanic in the Fleet Services Fund.
(2) Supplemental Budget Request – Additions:

City of Santa Maria 2024-26 Biennial Budget

Personnel – Public Works
189
a. One (1) 1.00 FTE Public Works Operations Manager, one (1) 1.00 FTE Account Clerk I/II, one (1)

1.00 FTE Maintenance Worker I/II, and one (1) Intern – Profession (limited service) serving as a GIS Intern are added in the Measure A Fund.
(3) Supplemental Budget Requests – Reclassifications:
a. One (1) 1.00 FTE Principal Civil Engineer is reclassified as one (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) to serve at the City Engineer/Deputy Director Public Works level in the General Fund.
b. Two (2) 1.00 FTE Public Works Technician I are reclassified as two (2) 1.00 FTE Engineering Technician II, and one (1) 1.00 FTE Engineer III is reclassified as one (1) 1.00 FTE Senior Civil Engineer, in the General Fund (exchange is budget neutral).

City of Santa Maria 2024-26 Biennial Budget

Personnel – Recreation & Parks
190

RECREATION & PARKS

RECREATION & PARKS
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
008-010, 015, 021, 022, 025, 030, 040, 090,
091, 092 – Administration, Recreation,
Facilities & Parks

AC1R Account Clerk I - 1.00 1.00 1.00 - (5)
ADAR Administrative Assistant 1.00 1.00 - 1.00 -
ADRP Assistant Director: Recreation &
Parks - 1.00 1.00 1.00 - (1)
BULR Business Leader - 2.00 2.00 2.00 -
BP1R Business Program Leader I 1.00 - (1.00) - -
BP2R Business Program Leader II 2.00 - (2.00) - -
CLRP Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
GTRB Graphics Technician - 1.00 1.00 1.00 - (5)
GR1R Groundskeeper 3.00 - (3.00) - - (3)
MW1R,
MW2R Maintenance Worker I/II 7.00 17.00 10.00 17.00 - (3) OA2R Office Assistant II 2.00 2.00 - 2.00 -
OTCR Outreach Coordinator 1.00 1.00 - 1.00 -
PO1R Park Service Officer 2.00 2.00 - 2.00 -
PO2R Park Services Officer II 5.00 5.00 - 5.00 -
PO3R Park Services Officer III 2.00 2.00 - 2.00 -
RPFS Parks & Forest Supervisor 1.00 1.00 - 1.00 -
PRLR Program Leader - 1.00 1.00 1.00 -
RCRR Recreation Coordinator 4.00 6.00 2.00 6.00 - (3), (5) RSRR Recreation Supervisor 4.00 4.00 - 4.00 -
RRTT Recreation Technician 4.00 2.00 (2.00) 2.00 - (3)
WSCM Senior Crew Leader-Maint Spec 3.00 5.00 2.00 5.00 - (3) SPSR Senior Park Services Officer - 1.00 1.00 1.00 - (2) Full-Time Benefitted Total 43.00 56.00 13.00 56.00 -
ZACR Account Clerk Aide 0.80 0.80 - 0.80 -
ZC2R Clerk II 0.80 - (0.80) - - (5)
ZCOR Community Outreach
Coordinator 0.80 0.80 - 0.80 -
ZS2R Facility Specialist II 8.00 7.20 (0.80) 7.20 -
ZS3R Facility Specialist III 2.40 0.80 (1.60) 0.80 - (3) ZGTR Graphics Technician 0.80 - (0.80) - - (5)
ZL3R Laborer III 18.40 8.00 (10.40) 8.00 - (3), (5)
ZRS1 Recreation Activity Specialist 4.00 4.00 - 4.00 -
SECR Security Guard - 0.80 0.80 0.80 -
ZSLR Senior Lifeguard 2.40 1.60 (0.80) 1.60 - (3)
ZSAR Staff Assistant 0.80 - (0.80) - - (5)
Part-Time Total 39.20 24.00 (15.20) 24.00 -
ASES Aquatics Safety & Educational
Spec 7.20 7.20 - 7.20 -
YLGR Lifeguard 10.56 10.56 - 10.56 -
YR2R Recreation Leader II 26.40 26.40 - 26.40 -
City of Santa Maria 2024-26 Biennial Budget

Personnel – Recreation & Parks
191

YSER Security Aide 1.44 - (1.44) - - (4)
YSCR Swim Pool Clerk 2.40 2.40 - 2.40 -
YTAR,
YT2A,
YT2M,
YT2R
Technical Aide I/II 1.96 1.96 - 1.96 -
YTA3 Technical Aide III 0.48 - (0.48) - -
Limited-Service Total 43.20 41.28 (1.92) 41.28 -
008-010, 015, 021, 022, 025, 030, 040, 090,
091, 092 – Administration, Recreation,
Facilities & Parks Total

82.20 80.00 (2.20) 80.00 -
015-040 – Assessment Districts
AC1R Account Clerk I - 1.00 1.00 1.00 - (2)
GR1R Groundskeeper 2.00 - (2.00) - - (3)
MW1R,
MW2R Maintenance Worker I/II 2.00 5.00 3.00 5.00 - (3)
PT1R Public Works Technician - 1.00 1.00 1.00 -
SDCR Special Districts Coordinator 1.00 1.00 - 1.00 -
SDSR Special Districts Supervisor 1.00 1.00 - 1.00 -
SDTR Special Districts Technician 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 7.00 10.00 3.00 10.00 -
ZL3R Laborer III 4.80 4.00 (0.80) 4.00 - (3)
Part-Time Total 4.80 4.00 (0.80) 4.00 -
YMTR Maintenance Technician 0.48 - (0.48) - -
Limited-Service Total 0.48 - (0.48) - -
015-040 – Assessment Districts Total 11.80 14.00 2.20 14.00 - Total Budgeted FTE 94.00 94.00 0.00 94.00 -

Recreation & Parks: 0.00 FTE increase in FY 2024-25 reflects the following:
(1) First Quarter 2023-24 Budget Amendment:
a. One (1) 1.00 FTE Assistant Director: Recreation & Parks position was added in the General Fund. (2) Second Quarter 2023-24 Budget Amendment:
a. One (1) Senior Park Services Officer was added in the General Fund. b. One (1) Account Clerk I/II was added for the Assessment Districts Fund. (3) 2023-24 Reclassifications:
a. Two (2) 1.00 FTE Recreation Technician and one (1) 0.80 FTE Facility Specialist II reclassified as two (2) 1.00 FTE Senior Crew Leader-Maintenance Specialist, three (3) 1.00 FTE Groundskeeper reclassified as three (3) 1.00 FTE Maintenance Worker I/II, thirteen (13) 0.80 FTE Laborer III reclassified as seven (7) 1.00 FTE Maintenance Worker I/II, and two (2) 0.80 FTE Facility Specialist III and one (1) 0.80 FTE Senior Lifeguard were reclassified as two (2) 1.00 FTE Recreation Coordinator in the General Fund. The budget for one (1) Technical Aide III (limited service) is eliminated.

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b. Two (2) 1.00 FTE Groundskeeper reclassified as two (2) 1.00 FTE Maintenance Worker I/II and one (1) part-time 0.80 FTE Laborer III reclassified as one (1) full-time 1.00 FTE Maintenance Worker I/II in the Assessments District Fund.
(4) 2024-25 Supplemental Budget Request – Additions:
a. One (1) 0.80 FTE Security Guard is added in the General Fund. The budget for three (3) Security Aide (limited service) is eliminated.
b. One (1) 1.00 FTE Public Works Technician is added in the Assessment Districts Fund. The budget for one (1) Maintenance Technician (limited service) is eliminated. (5) 2024-25 Supplemental Budget Requests – Reclassifications/Reallocations:
a. One (1) part -time 0.80 FTE Graphics Technician is converted to one (1) full- time 1.00 FTE Graphics Technician in the General Fund.
b. One (1) part-time 0.80 FTE Staff Assistant is reclassified as one (1) full-time 1.00 FTE Account Clerk I/II in the General Fund. One (1) part -time 0.80 FTE Clerk II is eliminated in the General Fund (exchange is budget neutral).
c. Two (2) 1.00 FTE Recreation Coordinator positions will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.
d. Four (4) 0.80 FTE Laborer III positions will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Personnel – Utilities
193

UTILI TIE S

UTILITIES
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
011-060, 080 – Water Resources
ADLU Administrative Leader - 2.00 2.00 2.00 - (2)
WCST Customer Service Technician 3.00 3.00 - 3.00 -
EITW Electrical and Instrumentation
Technician - 1.00 1.00 1.00 - (3)
GS2M GIS Technician II 1.00 1.00 - 1.00 -
LBCU Laboratory Coordinator 1.00 1.00 - 1.00 -
LWWU Lead Wastewater Operator 3.00 3.00 - 3.00 -
LWOU Lead Water Operator 2.00 2.00 - 2.00 -
MU1U,
MW1U Maintenance Worker I 6.00 6.00 - 6.00 -
OA1U Office Assistant I - 1.00 1.00 1.00 - (1)
OLNS Organization/Enterprise Leader
(Non-Safety) - 1.00 1.00 1.00 - (3)
PCEW Principal Civil Engineer 1.00 1.00 - 1.00 -
PRLU Program Leader - 1.00 1.00 1.00 - (3)
RCSU,
RCSW Reg Compliance Specialist 2.00 2.00 - 2.00 -
RC2U Reg Compliance Specialist II 1.00 1.00 - 1.00 -
RCMU Regulatory Compliance
Manager 1.00 1.00 - 1.00 -
SCEU Senior Civil Engineer 1.00 1.00 - 1.00 -
UUTA Utilities Technology Analyst 1.00 1.00 - 1.00 -
WWOU Wastewater Operator III 8.00 8.00 - 8.00 -
WWSU Wastewater Supervisor 1.00 2.00 1.00 2.00 - (2)
WWCS Water Conservation Specialist 1.00 1.00 - 1.00 -
WTO3 Water Operator III 11.00 11.00 - 11.00 -
WRMU Water Resources Manager 1.00 2.00 1.00 2.00 - (2)
WTSU Water Supervisor 2.00 2.00 - 2.00 -

Full-Time Benefitted Total 47.00 55.00 8.00 55.00 -
ZSAW Staff Assistant 0.80 0.80 - 0.80 -
Part-Time Total 0.80 0.80 - 0.80 -
011-060, 080 – Water Resources Total 47.80 55.80 8.00 55.80 - 011-052, 053, 054, 056 – Refuse & Street
Sweeping

ACSU Account Clerk – Scale House 3.00 3.00 - 3.00 -
ACIW,
AC2U Account Clerk I/II 3.00 3.00 - 3.00 -
AAUD Administrative Assistant 1.00 1.00 - 1.00 -
BULU Business Leader - 2.00 2.00 2.00 -
BP1U Business Program Leader I 3.00 - (3.00) - -
BP2U Business Program Leader II 1.00 - (1.00) - - (1)
CLUT Corporate/Executive Leader
(Non-Safety) 1.00 1.00 - 1.00 -
EN1U,
EN2U Engineer I/II 1.00 1.00 - 1.00 -
City of Santa Maria 2024-26 Biennial Budget

Personnel - Utilities
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UTILITIES
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
LHLU Landfill Heavy Equip Lead Opr 2.00 2.00 - 2.00 -
HEOW Landfill Heavy Equip Opr 7.00 7.00 - 7.00 -
MW1U,
MW2U,
MW2W
Maintenance Worker I/II 9.00 9.00 - 9.00 -
OA2U,
OA2W Office Assistant II 3.00 3.00 - 3.00 -
OLNS Organization/Enterprise Leader
(Non-Safety) 1.00 1.00 - 1.00 -
PCEW Principal Civil Engineer - 1.00 1.00 1.00 - (4)
RCMU Regulatory Compliance
Manager - 1.00 1.00 1.00 - (1)
RCSU Reg Compliance Specialist 1.00 1.00 - 1.00 -
RC2U,
RCS2 Reg Compliance Specialist II 2.00 3.00 1.00 3.00 - (3) RC3U Regulatory Compliance
Supervisor 1.00 1.00 - 1.00 -
SCEU Senior Civil Engineer 1.00 - (1.00) - - (4)
SWCU Solid Waste Collections Super 1.00 1.00 - 1.00 -
WSWL Solid Waste Equip Lead Opr 2.00 2.00 - 2.00 -
SCLU Solid Waste Equipment Crew
Ldr 2.00 2.00 - 2.00 -
SW1U,
SW2U Solid Waste Equipment Opr I/II 24.00 24.00 - 24.00 - SWLW Solid Waste Landfill Super 1.00 1.00 - 1.00 -
SWMU Solid Waste Manager 2.00 2.00 - 2.00 -
AT3U Utilities Accounting Technician
III 1.00 1.00 - 1.00 -
UOSU Utilities Outreach Specialist 1.00 2.00 1.00 2.00 - (3) Full-Time Benefitted Total 74.00 75.00 1.00 75.00 -
ZSAW Staff Assistant 0.80 - (0.80) - - (1)
Part-Time Total 0.80 - (0.80) - -
011-052, 053, 054, 056 – Refuse & Street
Sweeping Total 74.80 75.00 0.20 75.00 -
Total Budgeted FTE 122.60 130.80 8.20 130.80 -

Utilities: 8.20 FTE increase in FY 2024-25 reflects the following:
(1) 2023-24 Reclassifications:
a. Two (2) 1.00 FTE Customer Service Clerk reclassed as two (2) 1.00 FTE Finance Clerk. b. One (1) 1.00 FTE Business Program Leader was reclassed as one (1) 1.00 FTE Regulatory Compliance Manager.
c. One (1) part-time 0.80 FTE Staff Assistant reclassified as one (1) 1.00 FTE full-time Office Assistant I.
(2) Second Quarter 2023-24 Budget Amendment: One (1) 1.00 FTE Administrative Leader, one (1) 1.00 FTE Wastewater Supervisor, and one (1) 1.00 FTE Water Resources Manager were added for the Utilities Department.
(3) Supplemental Budget Request – Additions:

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a. One (1) 1.00 FTE Organization/Enterprise Leader (Non -Safety) serving as a Deputy Director – Administration, one (1) 1.00 FTE Electrical & Instrumentation Technician, one 1.00 FTE (1) Program Leader, one (1) 1.00 FTE Utilities Outreach Specialist, and one ( 1) 1.00 FTE Regulatory Compliance Specialist II are added for the Utilities Department. (4) Supplemental Budget Requests – Reclassifications:
a. One (1) 1.00 FTE Senior Civil Engineer is reclassified as one (1) 1.00 FTE Principal Civil engineer for the Utilities Department.

City of Santa Maria 2024-26 Biennial Budget

Measure U Position Detail by Department
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MEASURE U POSITION DETAIL BY DEPARTMENT
The following Personnel Detail lists all budgeted positions supported by Measure U for each department, identifies the change from the FY 2023-24 adopted budget, and provides annotations for the changes. Three classifications of position type are segregated in the Personnel Detail:

1. Full-Time Benefitted

2. Part-Time

City of Santa Maria 2024-26 Biennial Budget

Measure U Position Detail by Department
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CITY MA NAGER’S OFFICE
CITY MANAGER’S OFFICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
004-092 – Measure U
PEGM PEG Production Manager 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 1.00 1.00 - 1.00 -
004-092 – Measure U Total 1.00 1.00 - 1.00 -

COMMUNITY DEV ELOPMENT

COMMUNITY DEVELOPMENT
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
006-092 – Measure U
CE1A Code Enforcement Officer I/II 4.00 3.00 (1.00) 3.00 - CESA Code Enforcement Supervisor 1.00 1.00 - 1.00 -
CETA Code Enforcement Technician 1.00 1.00 - 1.00 -
BP1C Business Program Leader 1.00 - (1.00) - -
PRLD Program Leader - 1.00 1.00 1.00 -
Full-Time Benefitted Total 7.00 6.00 (1.00) 6.00 -
006-092 – Measure U Total 7.00 6.00 (1.00) 6.00 -
(1) Supplemental Budget Requests – Reclassifications/Reallocations:
a. One (1) 1.00 FTE Code Enforcement Officer I/II position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

LIBRARY

LIBRARY
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
007-090, 091, 092 – Measure U
LI1L Librarian I 1.00 1.00 - 1.00 -
LI2L Librarian II 1.00 0.00 (1.00) 0.00 - (1)
LLCC Library Clerk 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 3.00 2.00 (1.00) 2.00 -
ZC2L Clerk II 1.60 1.60 - 1.60 -
ZLTL Library Technical Assistant 2.40 2.40 - 2.40 -
YSEO Security Officer 1.60 1.60 - 1.60 -
Part-Time Total 5.60 5.60 - 5.60 -
YLTL Assistant Library Technician 3.84 2.40 (1.44) 2.40 - (1) Limited-Service Total 3.84 2.40 (1.44) 2.40 -
007-090, 091, 092 – Measure U Total 8.60 7.60 (1.00)- 7.60 - Library: -1.00 FTE increase in FY 2024-25 reflects the following:
(1) Supplemental Budget Requests – Reclassifications/Reallocations:
b. One (1) Graphics Technician is converted from part -time (0.80 FTE) to full -time (1.0 FTE). The budget for one (1) Assistant Library Technician (limited service) was eliminated. c. One (1) 1.00 FTE Librarian II position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Measure U Position Detail by Department
198

RECREATION & PARKS

RECREATION & PARKS
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
008-090, 091, 092 – Measure U
BULR Business Leader - 1.00 1.00 1.00 -
BP2R Business Program Leader II 1.00 - (1.00) - -
OA2R Office Assistant I/II 1.00 1.00 - 1.00 -
OTCR Outreach Coordinator 1.00 1.00 - 1.00 -
PO1R Park Service Officer 2.00 2.00 - 2.00 -
PO2R Park Services Officer II 5.00 5.00 - 5.00 -
PO3R Park Services Officer III 2.00 2.00 - 2.00 -
RCRR Recreation Coordinator 2.00 0.00 (2.00) 0.00 -
Full-Time Benefitted Total 14.00 12.00 (2.00) 12.00 -
ZS2R Facility Specialist II 2.40 2.40 - 2.40 -
ZL3R Laborer III 6.40 0.00 (6.40) 0.00 - (1)
ZRS1 Recreation Activity Specialist 4.00 4.00 - 4.00 -
SECR Security Guard - 0.80 0.80 0.80 - (2)
Part-Time Total 12.80 7.20 (5.60) 7.20 -
YLGR Lifeguard 0.96 0.96 - 0.96 -
YR2R Recreation Leader II 1.68 1.68 - 1.68 -
YSER Security Aide 1.44 - (1.44) - - (2)
YSCR Swim Pool Clerk 0.96 0.96 - 0.96 -
YTA3 Technical Aide III 0.48 - (0.48) - -
Limited-Service Total 5.52 3.60 (1.92) - -
008-090, 091, 092 – Measure U Total 26.80 19.20 (7.60) 19.20 - Recreation & Parks: 5.60 FTE decrease in FY 2024-25 reflects the following:
(1) 2023-24 Reclassifications:
a. Four (4) 1.00 FTE Groundskeeper and five (5) part- time 0.80 FTE Laborer III were reclassified as ten (10) 1.00 FTE Maintenance Worker I/II, two (2) 1.00 FTE Recreation Technician were reclassified as two (2) 1.00 FTE Senior Crew Leader, and two (2) part- time 0.80 FTE Facility Specialist III and one (1) part -time 0.80 FTE Senior Lifeguard were reclassified as three (3) 1.00 FTE Recreation Coordinators.
(2) Supplemental Budget Request – Additions/Reallocations:
a. One (1) 0.80 FTE Security Guard is added. The budget for three (3) Security Aide (limited service) is eliminated.
b. Two (2) 1.00 FTE Recreation Coordinator positions will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.
c. Four (4) 0.80 FTE Laborer III positions will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

City of Santa Maria 2024-26 Biennial Budget

Measure U Position Detail by Department
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FIRE
FIRE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
009-090 – Measure U
ADLF Administrative Leader - 2.00 2.00 2.00 -
BP1F Business Program Leader I 1.00 - (1.00) - -
BP1H Business Program Leader I 1.00 - (1.00) - -
DFCF Deputy Fire Chief 1.00 1.00 - 1.00 -
FBCF Fire Battalion Chief 2.00 2.00 - 2.00 -
FCNF Fire Captain 10.00 12.00 2.00 12.00 - (1), (2)
FERF Fire Engineer 9.00 10.00 1.00 10.00 - (1), (2)
FFRF Fire Fighter 19.00 18.00 (1.00) 18.00 -
FIIF Fire Inspector I 2.00 2.00 - 2.00 -
F02F Fire Prevention Officer II 1.00 1.00 - 1.00 -
OA1F Office Assistant I 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 47.00 49.00 2.00 49.00 -
ZCEF Emergency Services Specialist 0.80 0.80 - 0.80 -
Part-Time Total 0.80 0.80 - 0.80 -
009-090 – Measure U Total 47.80 49.80 2.00 49.80 -
Fire: 2.00 FTE increase in FY 2024-25 reflects the following:
(1) Second Quarter 2023 -24 Budget Amendment: One (1) 1.00 FTE Fire Captain, and one (1) 1.00 FTE Fire Engineer were added. One (1) 1.00 FTE Fire Captain, and one (1) 1.00 FTE Fire Engineer that were previously authorized but unfunded will be funded in FY 2024-25. (2) Supplemental Budget Request - Reallocation: One (1) 1.00 FTE Fire Engineer and one (1) 1.00 F TE Fire Fighter position will not be supported by Measure U in order to balance to the City Council’s policy of appropriating 90 percent for Public Safety, 5 percent for Youth Services, and 5 percent for Quality of Life. The position will be budgeted in the General Fund.

POLICE
POLICE
Job Code and Position Title
Adopted
FY 2023-24
Proposed
FY 2024-25 Change
Proposed
FY 2025-26 Change Note
010-090 – Measure U
BP1P Business Program Leader I 1.00 - (1.00) - -
CANP Crime Analyst 1.00 - (1.00) - -
CAN1,
CAN2 Crime Analyst I/II - 1.00 1.00 1.00 - (3)
DI1P,
DI2P Dispatcher I/II 3.00 3.00 - 3.00 -
INSP Investigative Specialist I/II 1.00 1.00 - 1.00 -
OLPD Organization/Enterprise Leader
(Safety) 1.00 1.00 - 1.00 -
PCLP Police Corporal 9.00 9.00 - 9.00 -
PLTP Police Lieutenant 1.00 1.00 - 1.00 -
PORP Police Officer 21.00 27.00 6.00 27.00 - (1)
PSGP Police Sergeant 8.00 8.00 - 8.00 -
PSTP Police Services Technician 1.00 1.00 - 1.00 -
PRLP Program Leader - 1.00 1.00 1.00 -
PECP Property-Evidence Clerk 1.00 1.00 - 1.00 -
Full-Time Benefitted Total 48.00 54.00 6.00 54.00 -r
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YPCD Police Cadet 0.96 0.96 - 0.96 -
Limited-Service Total 0.96 0.96 - 0.96 -
010-090 – Measure U Total 48.00 54.00 6.00 54.00 -
Police: 6.00 FTE increase in FY 2024-25 reflects the following:
(1) Previously Authorized & Unfunded Positions : Six (6) 1.00 FTE Police Officer positions that were previously authorized but unfunded will be funded in FY 2024-25. (2) 2023-24 Reallocation: one (1) 1.00 FTE Police Services Technician in the General Fund reclassified as one (1) 1.00 FTE Lead Police Services Technician in the Measure U Fund. (3) 2024-25 Supplemental Budget Requests – Reclassifications:
a. The Crime Analyst classification will be converted to a Crime Analyst I/II flex series. The budget for one (1) Reserve Police Officer Level 1 (limited service) and one (1) Reserve Police Officer (limited service) is eliminated.

Total Budgeted FTE 139.20 137.60 (1.60) 137.60 -

DEPARTMENT BUDGET DETAIL

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OVERVIEW
Departmental budget details include the following information for each applicable City department:

The following pages present information on each City department, program, or activity. Each section provides information on major departments, the departmental structure, the financial relationship between the departmental programs, a summary of the overall departmental budget, the goals and objectives of the department in the first year of the two -year budget, and major budget changes to the departments. Each departmental budget contains the following elements:
• Organizational Chart: The organizational chart present s the administrative structure summarizing how each department is organized.
• Program Expenses: This section reports expenses by summary type: Salaries and Benefits, Services and Supplies, Capital, Debt Service, and Reserves. • Summary of Service Programs: The cost of each activity, division, or program within the department is summarized and presented in this section. • Program Description: This section presents a general description of the department’s purpose, and the goals and activities of each program and/or division. • Subprograms and Their Objectives: This section outlines how each division or subprogram accomplishes the purpose and the goals of the department. • Performance/Workload Measures: This section presents historical and projected performance and workload indicators. These indicators show the activities required to achieve the department’s goals and objectives, as well as provide a picture of the scope of work and effectiveness of the departments.
• Goals and Objectives: This section lists the specific program -related goals and objectives that the department intends to pursue over the first year of the two-year budget. • Noteworthy Budget Highlights: This section summarizes the significant operating program changes from the prior financial plan. These changes may include major service reorganizations; the curtailment or expansion of services and/or programs; increases or decreases in regular positions; significant one -time costs; major changes in the method of delivering services; operational changes that will impact other departments or customer service; and changes that affect current policies or noteworthy capital projec ts.

DEPARTMENT DETAIL PAGE REFERENCES
Police Department ........................................................................................................................................ 205 Fire Department ............................................................................................................................................. 212 Utilities Department ....................................................................................................................................... 219 Public Works Department ............................................................................................................................. 235 Recreation and Parks Department ............................................................................................................. 249 Library Department ....................................................................................................................................... 261 Community Development Department ..................................................................................................... 267 Mayor & Council ............................................................................................................................................ 284 City Attorney’s Office .................................................................................................................................... 287 City Manager’s Office ................................................................................................................................... 291 Finance Department ..................................................................................................................................... 301

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PUBLIC SAFETY: POLICE DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
The Santa Maria Police Department strives to protect and serve all those who live or work, or visit the City of Santa Maria by providing professional police services through community partnerships. Under a philosophy of Community and Constitutionally
Based Policing, the Department strives to maintain
trust and deliver exceptional service to promote
public safety and reduce crime. The Department
offers a full range of professional police services that include patrol operations, investigations, traffic
enforcement, criminalistics, crime prevention,
narcotic enforcement, abuse prevention, and many
other services necessary to ensure the development
of a safer community. The Department’s policing
philosophy promotes strength through interaction and
mutual respect in partnership with the community to
improve the quality of life for all persons within the City.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Explore opportunities to expand the use of hybrid and/or electric vehicles for our Police Service Technicians and Detective Bureau personnel.

Expand our bike patrol and mounted enforcement unit presence in the community.

COMMUNITY QUALITY OF LIFE Concentrate efforts on parking-related violations to include education and enforcement.

PLANNING AND INFRASTRUCTURE Collaborate, develop, and implement a department-wide strategic plan for calendar year 2025.

ORGANIZATIONAL WELL-BEING Explore opportunities to incorporate a fitness program to promote mental and physical wellness within the department.

CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25

NEW APPROACH TO ECONOMIC

DEVELOPMENT
Develop a community academies alumni program to inform and educate community graduates on topics of mutual interest including community-oriented policing at downtown events.

PROVIDE YOUTH OPPORTUNITIES Partner with other City departments and non -profits to identify and implement programs focused on community youth.

PROVIDE PUBLIC SAFETY RESOURCES Identify specialized training courses for Crime Lab personnel to work toward earning national accreditation.

Raise awareness of Human Trafficking by partnering with local law enforcement and non-profits to better inform and educate the community.

Exceed California State requirements in de -escalation and racial profile training.

ESTABLISH A STAFFING PLAN Promote department -wide recruitment with our local community colleges, universities, and Vandenberg Space Force Base to educate and inform potential candidates on career opportunities with the Santa Maria Police Department.

ACCOMPLISHMENTS
Recent accomplishments of the Police Department include:

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• Increased outreach efforts throughout the community, with a focus on the youth through expansion/implementation of Explorer Post and School Resource Officer programs, growing social media campaigns to engage the public on safety and crime prevention, and including the Mixteco-speaking community.
• Further developed existing partnerships with local/State/Federal agencies to enhance services to reduce crimes in areas such as gun violence, child exploitation, human trafficking, and substance abuse.
• Expanded the Automated License Plate Readers system and implemented new technology such as body -worn cameras and online platforms for non -emergency crime reports, concealed carry weapons permits, and management of the Department’s training program, to increase transparency and enhance services to the community, in alignment with the Smart City, Safe City Vision.
• Focused efforts to promote recruitment, hiring, training, and the creation of Police Cadet program to provide internship opportunities, all to advance the Department’s staffing and succession plan.

NOTEWORTHY BUDGET HIGHLIGHTS
• The training program's budget is increased by $50,000 per year to maintain the department's ability to meet regularly scheduled and mandated training needs. Training needs have grown within the department with additional mandates for sworn staff. This budget increase is reimbursed by the Peace Officers Standards and Training Commission. The training budget is the foundation for meeting required demands and ensuring sworn and professional staff are adequately trained to continue to provide the community with quality service. • One Organization/Enterprise Leader (Safety) will be reclassified to serve as an Assistant Chief of Police, the Crime Analyst classification will be converted to a Crime Analyst I/II flex series, and a Digital Forensics Examiner flex series will be created for the Department. These positions will augment sworn officers to meet mission critical needs within the department.

PERFORMANCE MEASURES

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Calls for Service 222,170 218,251 226,088
Reports 32,206 30,861 32,369
Sobriety and Driver’s License Checkpoints 10 9 6
Checkpoint Arrests 23 15 14
Traffic Collision Reports 3,597 3,934 3,991
Arrests 5,849 6,776 6,745
Guns Recovered 307 335 381

CRIME STATISTICS
Homicide 10 15 18
Forcible Rape 144 143 142
Robbery 310 379 356
Assault 3,372 2,968 2,867
Burglary 1,304 882 906
Larceny Theft 2,444 2,367 2,452
Motor Vehicle Theft 2,122 1,814 1,898

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DEPARTMENT ORGANIZATION

A complete schedule of the department’s positions, a summary of changes, and a detailed explanation of position changes can be viewed at Personnel - Police Department on page 185.

Chief of Police
Administration
Training Bureau
Records Bureau
Crime Analysis
Operations
Patrol Bureau
Traffic Unit
Special Weapons & Tactics
Support
Community Services Unit
Communications Center
Detective Bureau
Special Enforcement Team
Crime Lab
Property Evidence Unit
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BUDGET OVERVIEW
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 30,998,142 $ 36,366,298 $ 40,510,735 $ 44,156,464 $ 46,707,884 Services & Supplies 6,603,148 7,571,186 7,697,508 9,876,182 9,876,182 Capital & Outside
Agencies 231,260 227,678 439,223 140,000 100,000
Transfers 422,550 914,006 908,861 630,220 630,220
Total Budget $ 38,255,100 $ 45,079,169 $ 49,556,327 $ 54,802,866 $ 57,314,286

Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
001 - General Fund $ 28,350,554 $ 33,056,315 $ 36,802,344 $ 41,626,826 $ 43,405,481 011 - Measure U Fund 9,474,071 11,639,340 12,267,733 12,835,790 13,568,555 013 - Traffic Safety Fund 371,277 331,390 340,250 340,250 340,250 801 - Capital Projects-
General Fund 59,198 52,125 146,000 - -
Total Budget $ 38,255,100 $ 45,079,169 $ 49,556,327 $ 54,802,866 $ 57,314,286

Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
Public Safety
1010 - Administration $ 6,515,486 $ 7,080,819 $ 7,826,199 $ 9,545,112 $ 9,621,442 1020 - Operations 13,674,494 17,135,122 18,804,377 20,750,689 21,847,072 1030, 1033, 1035 - Support 7,398,167 8,347,426 9,830,564 10,608,210 11,175,139 1021, 1022, 1023, 1024,
1028 - Grant Supported
Operations
1,192,882 876,462 827,454 1,063,065 1,102,078
1090 - Measure U Public
Safety 9,474,071 11,639,340 12,267,733 12,835,733 13,568,555 Total Public Safety $ 38,255,100 $ 45,079,169 $ 49,556,327 $ 54,802,866 $ 57,314,286 Total Budget $ 38,255,100 $ 45,079,169 $ 49,556,327 $ 54,802,866 $ 57,314,286

DIVISION/PROGRAM BUDGETS

ADMINISTRATION
The Administration Division implements appropriate policy as directed by City Administration and the public through their elected officials, as it pertains to professional police services. Department administration strives to improve the ability of its employees to perform their duties while strengthening the relationship that exists between them and the community they serve. A strong emphasis on recruitment, human resource development, professional standards, risk management, training, and succession planning is essential in achieving the goals and objectives of the Department. The Administration Division maintains fiscal oversight of all Department operations and communicates its City of Santa Maria 2024-26 Biennial Budget

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organizational needs through the budget process, based upon a reasonable evaluation of future requirements crucial to the Department’s operation.

Training Bureau
The Training Bureau is responsible for the arrangement and recording of the training for Department personnel, including compliance with mandates and best practices as directed by the California Commission on Peace Officer Standards and Training (POST). The Training Bureau is also tasked with managing recruitment activities for sworn and civilian personnel. Also, it oversees the Department’s policy manual and analyzes and incorporates best practice updates as the State of California releases them, and manages the Field Training Program for new officers, Emergency Preparedness, and the Volunteer Program.

Records Bureau
The Records Bureau’s primary responsibility is to maintain and distribute law enforcement records.

Records personnel are also responsible for registering sex offenders, processing various applications, fingerprinting members of the public, and reporting crime statistics to the FBI. Records personnel are often the face of the Department as they assist community members at the lobby counter.

Crime Analysis
The Crime Analyst is responsible for conducting an in-depth analysis of crime data in search of patterns.

The mission is to assist the Department in using a data -driven approach to patrol deployments and investigations.

Administration (1010)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 894,386 $ 1,143,219 $ 1,159,176 $ 1,354,205 $ 1,430,535 Services & Supplies 5,516,165 5,785,472 6,471,023 8,090,907 8,090,907 Capital & Outside Agencies 47,174 103,692 50,000 100,000 100,000 Total General Fund $ 6,457,725 $ 7,032,383 $ 7,680,199 $ 9,545,112 $ 9,621,442

801 – CAPITAL PROJECTS-GENERAL
FUND
Capital & Outside Agencies $ 57,761 $ 48,436 $ 146,000 $ - $ - Total Capital Projects-General Fund $ 57,761 $ 48,436 $ 146,000 $ - $ - Total Administration $ 6,515,486 $ 7,080,819 $ 7,826,199 $ 9,545,112 $ 9,621,442

OPERATIONS DIVISION
The Operations Division is responsible for uniformed patrol through a network of delivery services, which include Patrol and Traffic.

Patrol Bureau
Patrol is the largest and most visible component of the Police Department, operating 24/7 and functioning as the backbone of police services. The deployment of the police officers is based on crime and calls for service patterns in a particular neighborhood or other geographic areas, the days and times of the week calls for service occur, as well as the quality -of-life issues in the community.

Intentional emphasis is placed on the collaborative development of long -term solutions to recurring incidents of neighborhood conflict.

Traffic Unit
The Traffic Unit has the mission of reducing the loss of life, injury, and property damage caused by traffic collisions. As part of their duties, personnel assigned to this unit analyze collision data focusing on location, time, and causal factors. Using this information, traffic personnel attempt to reduce the City of Santa Maria 2024-26 Biennial Budget

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number and severity of the City's traffic collisions through public education, vehicle checkpoints, coordinating efforts with the City’s traffic engineers, and directed enforcement.

Special Weapons and Tactics (SWAT)
The SWAT team, established in 1986, provides response capability for critical incidents that exceed traditional patrol or detective resources. The team's primary goal is the preservation of life when faced with unusually hazardous situations. Such situations include barricaded suspects, hostage rescue, high- risk search warrants, terrorist activity, active shooter response, dignitary protection, and similar events.

The Department also has a Crisis Negotiations Team (CNT), which can be deployed independently as needed, or in concert with the SWAT Team.

Operations (1020)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 13,671,709 $ 16,931,084 $ 18,600,056 $ 20,535,511 $ 2 1,631,894 Services & Supplies 1,348 204,039 204,321 215,178 215,178 Total General Fund $ 13,673,056 $ 17,135,122 $ 18,804,377 $ 20,750,689 $ 21,847,072

801 – CAPITAL PROJECTS-GENERAL
FUND
Capital & Outside Agencies $ 1,483 $ - $ - $ - $ -
Total Capital Projects-General Fund $ 1,483 $ - $ - $ - $ - Total Operations $ 13,674,494 $ 17,135,122 $ 18,804,377 $ 20,750,689 $ 21,847,072

SUPPORT DIVISION
The Support Division encompasses the Detective Bureau, Special Enforcement Team, Crime Lab, Property/Evidence Unit, Community Services Unit, and the Communications Center.

Community Services Unit
The Community Services Unit consists of Beat Coordinators, School Resource Officers, Police Service Technicians, and a Mental Health Officer. The City is divided into three geographical beats, each assigned a Beat Coordinator to address specific concerns and quality of life issues within the community. School Resource/DARE Officers work closely with the school administrators to reduce absenteeism, teach accountability, and provide positive channels for behavior. Police Service Technicians provide a support role to patrol operations in handling various calls for service and community outreach.

Communications Center
The Communications Center provides 24/7 dispatch services for the Police and Fire Departments, and the City of Guadalupe. Dispatchers are responsible for answering and prioritizing incoming 911 calls, non-emergency calls, and administrative calls. Utilizin g state -of-the-art technologies, the Center’s personnel handle over 200,000 incoming and outgoing calls every year.

Detective Bureau
The Detective Bureau serves as the primary investigative section of the Police Department and is tasked with investigating criminal cases, identifying/apprehending offenders, and preparing cases for prosecution.

Special Enforcement Team (SET)
SET’s mission is to be a highly visible, uniformed presence within the community. Its primary focus is on gang and narcotics enforcement. The team accomplishes this objective by obtaining criminal intelligence and conducting proactive, street-level enforcement.

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Crime Lab
This unit is tasked with the responsibility of identifying and gathering evidence at major crime scenes and processing that evidence in the Department's crime lab. This personnel provides forensic investigative support to uniformed officers and detectives while partnering with State and Federal agencies.

Property/Evidence Unit
The Property and Evidence Unit is tasked with the storing of property and evidence, preserving the “chain of custody”, and purging once cases have reached final resolution.

Support (1030, 1033, 1035)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 7,335,220 $ 8,339,943 $ 9,827,064 $ 10,603,710 $ 11,170,639 Services & Supplies 7,416 3,795 3,500 4,500 4,500
Capital & Outside Agencies 55,531 - - - -
Total General Fund $ 7,398,167 $ 8,343,738 $ 9,830,564 $ 10,608,210 $ 11,175,139

801 – CAPITAL PROJECTS-GENERAL
FUND
Capital & Outside Agencies $ 57,761 $ 48,436 $ 146,000 $ - $ - Total Capital Projects-General Fund $ 57,761 $ 48,436 $ 146,000 $ - $ - Total Administration $ 7,398,167 $ 8,347,426 $ 9,830,564 $ 10,608,210 $ 11,175,139

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213
PUBLIC SAFETY: FIRE DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
As an “all-risk” public safety agency, the Santa Maria Fire Department is responsible for: fire, rescue, emergency medical services; reduction of the community’s fire and life safety risks; prevention and investigation of fires; public safety education; and, planning, coordinating, training and implementing the City’s Emergency Preparedness Plan. The
Department fulfills these responsibilities by providing a full range of fire and life safety programs,
equipment, supplies, and assets to the City of Santa
Maria’s residents, businesses, visitors, and City
departments and activities.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Assess the departmental impact of the Santa Barbara County Ambulance contract. Explore options and feasibility of providing facilities for ambulance crews to enhance service.

PLANNING AND INFRASTRUCTURE Revise and expand commercial building fire inspection program.

Re-evaluate assembly occupancy fire inspection program. Confirm assembly occupancies are identified and inspected annually.

Conduct detailed condition and function assessments of each fire facility and give annual updates to the City Manager.

ORGANIZATIONAL WELL-BEING Develop and implement a one -year training calendar to meet operational needs and to standardize training delivered to the field.

Evaluate and update policies to address the Fire Department’s current and future needs.

Improve support for mental wellness for the fire service members through the acquisition of a therapy dog.

Streamline the ARFF certification process and train personnel to meet ARFF qualifications.

Develop a plan for Acting Engineer and Captain to provide training for members, enhance skills, and prepare for succession planning.

CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25 PROVIDE PUBLIC SAFETY RESOURCES Open an additional Engine company in the City to provide a better service deployment model for the residents and businesses of the City.

ACCOMPLISHMENTS
• Hired and trained staff to perform Prevention responsibilities, including business inspections, plan reviews, and investigation capabilities.
• Reinstituted third-grade school fire safety program with field crews. • Developed and implemented one -year training calendar to meet operational needs and standardize training for personnel.
• Conducted detailed condition and function assessment of all facilities and gave updates to City Manager.

NOTEWORTHY BUDGET HIGHLIGHTS
This budget significantly invests in personnel and equipment for the Fire Department, to enhance public safety and accommodate long-term growth.
• The Santa Maria Fire Department, along with all Santa Barbara County fire agencies, entered into a Cooperative Dispatch Agreement in 2021. This agreement requires all fire departments

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across the county to participate by sharing borderless fire and emergency medical services dispatched out of a single facility staffed by employees of the Santa Barbara County Fire Department. The regional dispatch center will use criteria -based dispatch and with the “boundary drop” will ensure the correct resource is responding to the correct type of call.

Additional funding of $565,000 for the fiscal years 24-26 will ensure continuous dispatch service to the Fire Department.

DEPARTMENT ORGANIZATION

A complete schedule of the department’s positions, a summary of changes, and a detailed explanation of position changes can be viewed at Personnel - Fire Department on page 183.

BUDGET OVERVIEW
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 15,588,311 $ 16,456,500 $ 18,719,126 $ 21,007,048 $ 22,055,499 Services & Supplies 2,935,130 3,928,531 3,833,236 4,360,053 4,360,053 Capital & Outside
Agencies 882,643 1,214,093 5,950,000 - -
Debt Service 653,237 634,210 - - -
Fire Chief
Administration
Community Risk
Reduction
Public Information
Fire Operations and
Training
Firefighting
Emergency
Response
Emergency
Medical Services
Haz Mat Services
Technical and
Water Rescue
Services
Safety Services
Fire and Life Safety
Prevention
Fire Code
Enforcement
Inspection Services
Fire Safety and
Injury Prevention
Education
Emergency
Preparedness
Emergency
Operations Center
(EOC)
Emergency
Operations Plan
Hazard Mitigation
Plan
Integrated
Regional Multi-
Hazard Emergency
Response Plan
Fire Safety and
Disaster
Preparedness
City of Santa Maria 2024-26 Biennial Budget

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215
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
Transfers 59,816 528,313 528,313 341,312 341,312
Total Budget $ 20,119,138 $ 22,761,647 $ 29,030,675 $ 25,708,413 $ 26,756,864

Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
001 - General Fund $ 12,814,447 $ 11,420,799 $ 11,037,012 $ 13,762,535 $ 14,195,037 011- Measure U Fund 7,295,781 11,337,050 17,888,663 11,945,878 12,561,827 027 – Growth Mitigation
Fund - - 105,000 - -
801 – Capital Projects-
General 8,910 3,798 - - -
Total Budget $ 20,119,138 $ 22,761,647 $ 29,030,675 $ 25,708,413 $ 26,756,864

Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
Public Safety
0920 - Administration $ 10,467,325 $ 9,857,390 $ 9,723,866 $ 12,426,800 $ 12,828,779 0930, 0940 - Fire
Operations 2,356,031 1,567,207 1,418,146 1,335,735 1,366,258 0990 - Measure U Public
Safety 7,295,781 11,337,050 17,888,663 11,945,878 12,561,827 Total Public Safety $ 20,119,138 $ 22,761,647 $ 29,030,675 $ 25,708,413 $ 26,756,864 Total Budget $ 20,119,138 $ 22,761,647 $ 29,030,675 $ 25,708,413 $ 26,756,864

DIVISION/PROGRAM BUDGETS

FIRE ADMINISTRATION
Provides leadership and executive oversight of the Department’s functions. Manages policy administration, public and inter -agency relations, personnel administration and succession planning, budget and grant administration, financial, accounting and related business analysis, strategic planning, research and technology, and administers the Community Risk Reduction program as part of the Department’s strategic plan. The objectives of this sub-group are to:
• Provide strategic and advanced short -, mid-, and long -range plans to effectively guide the Department’s delivery system.
• Provide the necessary administrative and clerical support for all Departmental programs, other City departments, individuals, and neighboring fire agencies to ensure achievement of agency goals.
• Provide appropriate public information as it pertains to the Department, emergency services, fire and life safety, and other related issues.
• Ensure that appropriate plans, programs, and implementation strategies are effective in meeting fire operational requirements for resource needs, capital improvement plans, and emergency operating policies.
• Implement appropriate policy as directed by City Administration and the public through their elected officials, as it pertains to fire, life safety, and emergency services.

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Administration (0920)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 7,615,347 $ 6,455,103 $ 6,960,650 $ 9,839,167 $ 10,241,146 Services & Supplies 2,189,832 2,764,279 2,658,216 2,587,633 2,587,633 Debt Service 653,237 634,210 - - -
Total General Fund $ 10,458,415 $ 9,853,592 $ 9,618,866 $ 12,426,800 $ 12,828,779

027 – GROWTH MITIGATION FUND
Capital & Outside Agencies $ - $ - $ 105,000 $ $
Total Growth Mitigation Fund $ - $ - $ 105,000 $ $

801 – CAPITAL PROJECTS-GENERAL
FUND
Capital & Outside Agencies $ 8,910 $ 3,798 $ - $ $
Total Capital Projects-General Fund $ 8,910 $ 3,798 $ - $ $ Total Administration $ 10,467,325 $ 9,857,390 $ 9,723,866 $ 12,426,800 $ 12,828,779

FIRE OPERATIONS
Manages firefighting and emergency response services. Maintains a state of readiness for a prompt response to calls for service. Oversight of Emergency Medical Services, HazMat services, technical and water rescue services, and safety services. This is accomplished by utilizing modern and recognized fire suppression standards, extinguishing fires as early as possible to minimize loss of life, damage to property and the environment, and economic impacts upon the community. The objectives of this sub-program are to:
• Provide effective pre -hospital emergency medical services at the Emergency Medical Technician I level utilizing modern and recognized standards of care. Due to the Department’s strategic deployment of resources and station locations, its prompt response times are generally equivalent to or better than the paramedic ambulances. This ensures effective delivery of definitive medical care in a pre-hospital setting and improves the quality of life as a result of improved patient outcomes.
• Provide effective scene management along with basic hazardous materials services at the first responder operational level to enable recognition and defensive protective actions until more technical services arrive on the scene. The Department will continue to work with other appropriate agencies and departments including Public Works and Police, to provide the most effective system for hazard mitigation relating to public and private property and the environment.
• Provide, under contract, Aircraft Rescue and Fire Fighting and airport inspection services to the Santa Maria Public Airport.
• Provide property conservation measures to the greatest extent possible during emergency incidents, including fires, storms, high winds, flooding, and other natural and man -made disasters.

Operations, Prevention & Reimbursable (0930, 0940, 0990) Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 1,968,021 $ 1,343,588 $ 1,344,696 $ 1,232,285 $ 1,262,808 Services & Supplies 84,093 93,863 73,450 103,450 103,450 City of Santa Maria 2024-26 Biennial Budget

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Operations, Prevention & Reimbursable (0930, 0940, 0990) Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
Capital & Outside Agencies 303,918 129,756 - - -
Total General Fund $ 2,356,031 $ 1,567,207 $ 1,418,146 $ 1,335,735 $ 1,366,258

011 – MEASURE U FUND
Salaries & Benefits $ 6,004,943 $ 8,657,809 $ 10,413,780 $ 9,935,596 $ 10,551,545 Services & Supplies 661,206 1,070,389 1,101,570 1,668,970 1,668,970 Capital & Outside Agencies 569,816 1,080,539 5,845,000 - - Transfers 59,816 528,313 528,313 341,312 341,312
Total Measure U Fund $ 7,295,781 $ 11,337,050 $ 17,888,663 $ 11,945,878 $ 12,561,827 Total Operations, Prevention &
Reimbursable $ 9,651,812 $ 12,904,257 $ 19,306,809 $ 13,281,613 $ 13,928,085

FIRE TRAINING
Provides mandated training to meet legislative requirements and instruction to broaden the organizational skill set. The objectives of this sub-program are to:
• Provide effective technical rescue services ensuring that personnel are trained and equipped in specialized operations including, vehicle extrication; confined space rescue; Urban Search and Rescue (USAR); shore -based water rescue; and trench rescue, by ma intaining a cooperative effort with other participating agencies in the Counties of Santa Barbara, San Luis Obispo, and Ventura.
• Provide community-based fire protection through pre-incident planning, public education and training programs, as well as related non-emergency services. • Ensure that all personnel are properly trained to
recognize professional standards of competence in
the diverse areas of fire and emergency service that
are demanded by the community.
• Maintaining the department ’s accreditation status
and obtaining reaccreditation in 2024 through the
Public Safety Excellence.
• Continuing the department ’s status for ISO Class 1
classification and recertification.

FIRE PREVENTION
Provides management of fire code enforcement and inspection services, performs plan checks, provides public fire safety and injury prevention education and information, and manages records.

The objectives of this sub-group are to:
• Provide fire prevention services through public education and regular fire inspections of businesses and places of assembly. This is accomplished through a community -based partnership where the Department provides fire safety and disaster preparedness educ ation and awareness, and community members apply those principles in their daily lives. The focus of this partnership includes school programs, participation in community events, and advisory visits to businesses.
• Provide fire cause and origin investigative services and, in concert with the Police Department and the District Attorney, develop criminal cases involving arson and other violations of law. • Prevent or reduce the occurrence of hostile fires and other emergencies through the enforcement of State and local fire and life safety codes. This is accomplished through a plan review of new construction, tenant improvements, and related activities. Enfo rcement of fire and life safety codes is performed through the Department's hazard inspection and complaint

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program. Fire Prevention staff provides State -mandated inspections of multi- family residential units, including hotels, motels, apartments, and boarding houses per California Health and Safety Code. These activities are provided to the greatest extent possible within the fiscal limits established by the City.

EMERGENCY PREPAREDNESS
Maintains 24/7 operational readiness of the Emergency Operations Center (EOC) that supports all hazard incidents. Responsible for the overall coordination of resources, from multiple disciplines, in the operation and management of the EOC during an EOC activation and the recovery and reimbursement process. Participates in City homeland security objectives ensuring compliance with State and Federal emergency planning requirements, developing emergency plans, and providing training to personnel, residents, businesses, and volunteers. The objectives of this sub- group are to:
• Provide administration, coordination, collaboration, and management of the City’s Emergency Operations Plan, Hazard Mitigation Plan, supporting documents, and the Integrated Regional Multi-Hazard Emergency Response Plan for the Cities of Santa Maria and Guadalupe.
• Provide appropriate management of the City’s Emergency Operations Center (EOC), when activated.
• Provide administration, coordination, and management of Memorandums of Understanding and other cooperative instruments with the community and regional partners to further the goals of the program and support the preparedness, response, and recovery goals of the City. • Provide exceptional public education and customer service to targeted community groups, and City staff, by utilizing available resources from all divisions of the Department and other allied agencies to teach fire safety and disaster preparedness including Community Emergency Response Training, Listos and “Ready” Santa Maria training, which is provided in both English and Spanish.
• Engage community partners through community collaborations, presentations, training, and exercises to support emergency and disaster preparedness. Provide opportunities for whole community engagement through the use of available resources from the department, and other agencies. Collaborate with regional partners to create, support, and implement shared emergency management goals and objectives.

Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Emergency Calls for Service 22,092 25,166 27,682
Total Unit Responses 26,890 27,856 28,830
Fire Inspectors Response 108 79 80
Fire Inspections 989 864 900
Fire Investigations 39 148 160
Fire Suppression Training Hours 30,395 36,593 42,447
Mutual/Automatic Aid Given 424 832 1,000
Plan Checks 1,765 2,208 2,649
State Title 19 Inspections 93 133 150
CERT/Listos Program Participants 0 74 100
Life Safety Inspections – Assemblies 14 158 160
Life Safety Inspections – Hotels/Motels & Multi-family 639 630 635

EFFECTIVENESS/EFFICIENCIES
Emergency Response (within 5:00 Minutes) 75.5% 74.8% 75.0% Emergency Response (within 7:00 Minutes) 94.8% 93.5% 94.0% Plan Check Turnaround (within 7 Days) 47.2% 56.4% 58.0% City of Santa Maria 2024-26 Biennial Budget

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219

UTILITIES DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
The mission of the Department of Utilities is to provide efficient utility services through the use of progressive innovation, excellent customer service, and the wise use of public resources for the long -term benefit of the
community. The Utilities Department is comprised of two operating divisions, Solid Waste and Water Resources,
and one support division, Business.

The Water Resources Division is responsible for delivering potable water for residential, commercial, industrial, and institutional purposes, as well as fire protection,
maintaining the sanitary sewer and storm sewer systems, and operating the Wastewater T reatment Plant. The
Solid Waste Division is responsible for providing trash, mixed recycling, and organic waste recycling collection services for residential and commercial accounts within the City’s service area, managing citywide street sweeping, and operating the Santa Maria Regional Landfill. The Business Division provides integral support to the two operating divisions, including customer support, department administration, financial management, and personnel management.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Initiate a cost-of-service study to update the Solid Waste Collections rate model consistent with the requirements of Proposition 218.

COMMUNITY QUALITY OF LIFE For a safe environment, complete construction of the Flare Replacement Project under the PG&E Turnkey Project. This project is necessary to maintain compliance with CCR Title 27 regulations pertaining to landfill gas collection and management.

PLANNING AND INFRASTRUCTURE Complete the design and environmental review for Public Works to bid a contract for the construction of the Cell 1 Phase II Liner Extension Project.

This project is necessary to provide additional disposal capacity at the Santa Maria Regional Landfill and time to facilitate the design, permitting, and construction of the Los Flores Integrated Waste Management Facility.

Perform a study to determine the preferred form of ammonia to be used in the City’s disinfection process at the blending and disinfection facility.

The study will consider cost, effectiveness, safety, and redundancy for the City’s potable (drinking) water supply.

Conduct an analysis of the percolation pond capacity at the Wastewater Treatment Plant to determine potential limitations of flows into the plant.

Implement a Laboratory Information Management System to comply with permit requirements for reporting at the Wastewater Treatment Plant.

Initiate an update the City’s wastewater collections model to reflect current sewer flows.

ESTABLISH A STAFFING PLAN Complete an organizational assessment in support of a comprehensive strategic workforce plan for the Utilities Department.

ACCOMPLISHMENTS
The Utilities Department’s recent accomplishments include:
• Awarded Project Management Contract for development and implementation of a Time Schedule Compliance Plan to revise operations and upgrade the wastewater treatment plant.

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• Completed the Proposition 218 process for water and sewer rates with approval of the rates by City Council.
• Leased and installed a modular building to facilitate additional workstations for Water Resources staff at the Wastewater Treatment Plant.
• Initiated an organizational assessment in support of a comprehensive strategic workforce plan. • Negotiating a proposal for a space needs assessment and facilities planning project to consolidate the Utilities Department operating divisions and administration functions at the landfill site.
• Cleaned over 100 miles of sewer pipe and inspected over 10 miles of sewer pipe via video camera.
• Completed a fee study for disposal fees for the Santa Maria Regional Landfill with fees approved by City Council.
• Completed Cell 1 Liner Extension Phase II CEQA study and plans, specifications and estimate to provide additional time to permit the Los Flores Integrated Waste Management Facility. • Executed an agreement for services for operations and management of the recycling park at the Santa Maria Regional Landfill to meet State-mandated diversion requirements and to allow the community to continue to maximize recycling efforts. • Completed the design and environmental review for Public Works to bid a contract for the construction of a potable waterline to the Wastewater Treatment Plant.

NOTEWORTHY BUDGET HIGHLIGHTS
Not included in this cycle’s budget but of importance moving forward is the evaluation of general benefit items currently charged to the Enterprise Funds that includes franchise fees, the backflow program, water in City parks, supplemental water sales to Orcutt, land use at the Blending/Disinfection Facility and Los Flores, cost allocation, utility billing staff time spent on non-Utilities tasks, and other items without a clear nexus to property-related fees.

Water
Due to the ongoing drought throughout California, the City’s State Water allocation has been extremely low in recent years. This trend is expected to continue in the near term. This results in the City’s increased reliance on groundwater supplies, which increases groundwater production and treatment costs, and it also requires, when available, the evaluation and purchase of supplemental water on the market to augment local supplies. The Department continues to identify and develop projects that provide addi tional resiliency for local groundwater supplies to safeguard the City’s longstanding commitment of providing quality water to the Santa Maria community and associated costs are borne by the Water Enterprise Fund.

For this budget cycle, the following listing summarizes significant operating requirements (increases to base budget appropriations) for the Water Enterprise Fund:
• To ensure adequate funding for new, required professional services related to water operations, $585,000 to fund technical support to operate and maintain the SCADA system, perform meter testing for water loss monitoring as required by State regulations, perform EPA - required lead service line inventory and reporting, and conduct a feasibility study related to chemicals used at the blending/disinfection facility.

The following listing summarizes significant capital budget requirements for the Water Enterprise Fund:
• To ensure the continued reliability, resiliency, and safety of groundwater for consumption, $1,129,000 for well rehabilitation, placement of packers, and installation and implementation of new standardized well controls for eight wells; $3,500,000 for rehabilitation of reservoir storage and roof replacement; and $7,000,000 to construct a new water supply well to meet existing and future City water demands.
• To address a potential water quality issue, $795,000 to evaluate and then modify water mains identified in the Utilities Capacity Study for South Airport (Project B-3). • To provide a comprehensive program to evaluate the City’s entire water system including supply, production, treatment, and distribution, $885,000 to fund the development of a Water City of Santa Maria 2024-26 Biennial Budget

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Master Plan and capital improvement program to meet the current and future needs of the community based on projected growth. The City’s last water master plan was completed in 1993.
• To ensure adequate funding to replace and repair infrastructure, $1,732,410 for water meter inventory, parts, and maintenance supplies to ensure proper consumption, billing, and reporting and $680,600 for water hydrant inventory, parts, and maintenance to ensure adequate supplies for operations.
• To provide a reliable and robust communication connection, $730,000 to fund the connection of dark fiber to eight water production well sites, allowing the City to move away from connection via radio transmission, which is less reliable.

Wastewater
In February 2022, the City’s WWTP was enrolled under the Central Coast Regional Water Quality Control Board (RWQCB) General Permit. The City’s WWTP cannot meet all the requirements of the General Permit and therefore the WWTP will require modifications. Meeting the new permit requirements has significant financial ramifications for the City and its ratepayers. During this budget cycle, the City will continue working with a technical firm to manage this significant program and its various components as well as to develop cash flow and funding scenarios to comply with the General Permit. Compliance with the General Permit also necessitates the development of a new Wastewater Master Plan to include evaluation of treatment alternatives and feasibility studies. Ultimately, this work will inform the release of a request for proposals for designs to modify the WWTP to treat wastewater to the standards required in the General Permit. The full scope of the modifications to the WWTP is not known currently.

While it is not possible to accurately estimate the costs to achieve compliance, a program of this magnitude may have costs exceeding $300,000,000. As the new Wastewater Master Plan is developed and the necessary improvements for compliance are identified, a better un derstanding of overall costs will be achieved, as well as strategies for funding those costs. Costs associated with this undertaking will be borne by the Wastewater Enterprise Fund. The Department is estimating minimum appropriation requirements in the nex t budget cycle (2026- 2028) of approximately $30,000,000 to continue this program.

For this budget cycle, the following listing summarizes significant operating requirements (increases to base budget appropriations) for the Wastewater Enterprise Fund:
• To increase capacity of the sludge drying beds at the WWTP, $366,200 to rent specialized dewatering equipment to mechanically dry the sludge, which is more efficient and cost - effective than waiting for sludge to dry, thereby increasing capacity to help acc ommodate increased sewer flows.

The following listing summarizes significant capital requirements (establishes budget) this budget cycle for the Wastewater Enterprise Fund:
• To ensure adequate sewer capacity for current conditions and future build -out scenarios, $16,000,000 to upgrade the sewer trunk lines identified in the Utilities Capacity Study for Dejoy Phase II Sewer Trunk Line (Project A -1), West Main Street Sewer Line (Project C -1), and West Main Sewer Truck Line (Project D-2).
• To meet General Order permit requirements mandated by the Central Coast RWQCB, $4,949,740 to fund professional services for various tasks that will inform project scope, design, and construction of the future WWTP.
• To meet the City’s MS4 stormwater permit requirements mandated by the State Water Resources Control Board (SWRCB), $618,730 to fund the purchase and installation of trash capture devices in catch basins to keep litter and other debris from entering the sto rm drain system.
• To prevent corrosion and extend the life of the sewer manholes throughout the City, and to protect the integrity of public roadways, $510,000 to fund the City’s sewer manhole maintenance program.
• To protect property at the WWTP and provide additional security to restrict access, $675,000 to purchase and construct a perimeter fence around the industrial site.

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Solid Waste Collections
In mid -2020, the Department implemented the use of route optimization and customer service software for solid waste collections. This technology provides real- time operational and service status to increase efficiencies; optimizes operations and routing; monitors fleet performance; improves service and driver safety; and provides performance metrics and data to support diversion requirements and budget development. The use of the system since implementation has also provided more reliable data with respect to the number of customer accounts, resulting in more accurate numbers (not estimates) for use in developing operating budgets and reporting to regulatory agencies. In addition, the system helps the Department to verify that the collections services provided match the services being billed, ensuring more accurate revenue estimates.

For this budget cycle, the following listing summarizes significant operating requirements (increases to base budget appropriations) for the Collections Enterprise Fund:
• To meet the contractual obligations of the City’s street sweeping contract, $83,101 to fund pricing increases for the next two years.
• To update the Solid Waste Collections rate model consistent with the requirements of Proposition 218, $75,000 to fund professional services. • As a capital outlay cost-saving measure to reduce the purchase of new inventory, $294,800 for parts and materials to repair and refurbish existing commercial dumpsters. • To continue to provide efficient collection services throughout the community, $73,000 to increase the base budget for support fees for the collection fleet and customer service software, Routeware.

The following summarizes significant capital requirements (establishes budget) this budget cycle for the Collections Enterprise Fund:
• To accommodate new account growth and replace those in the field that have exceeded their useful life, $4,869,400 for the purchase of carts and dumpsters used to collect trash, mixed recycling, and organics from City customers.

Solid Waste Disposal
Disposal fees charged at the Landfill were adjusted in January 2024 to generate additional revenues necessary to help sustain the Solid Waste Disposal Fund for current expenses and prepare for future expenses. This increase in revenues also helps fund the expansion of capacity of the active disposal area at the Landfill, which defers capital expenditures in the tens of millions of dollars for the construction of the Integrated Waste Management Facility (IWMF) at Los Flores.

There are no significant operating requirements (increases to base budget appropriations) for the Disposal Enterprise Fund, however, for this budget cycle, the following listing summarizes significant capital requirements (establishes budget) for the Disposal Enterprise Fund:
• To provide additional refuse disposal capacity at the active site and the time necessary for the design, permitting, and construction of the IWMF at Los Flores, $14,500,000 to fund the Cell 1 Phase 2 Liner Extension and $500,000 to fund the installation of eight landfill gas extraction wells associated with the Cell 1, Phase 1 Extension project.
• To ensure proper operations in compliance with regulatory requirements (California Code of Regulations [CCR] Title 27), $200,000 to fund the replacement of a seasonally dry groundwater monitoring well at the Landfill in order to perform groundwater samplin g and $925,000 to fund river mining activities in the Santa Maria River for soil materials used in daily operations, which provides cost savings in lieu of importing cover soil for this use. • To ensure the safety of the traveling public and City employees as well as protect existing roadways, $42,500 to fund asphalt repairs, slurry seal, and striping at the Landfill.

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DEPARTMENT ORGANIZATION
A complete schedule of the Department’s positions, summary of changes, and a detailed explanation of position changes can be viewed at the Personnel - Utilities on page 193.

Director of
Utilities
Department
Solid Waste
Collection &
Disposal
Services
Trash
Collection
Services
Residential
Commercial
Recycling
Collection
Services
Comingled
Recycling
Green Waste
Recycling
Landfill
Operations
Disposal
Compliance
Recycling
Park
Concrete &
Asphalt
Recycling
Household
Hazardous
Waste
Landfill Gas,
Surface &
Groundwater
Monitoring
IWMF at Los
Flores
Street
Sweeping
Regulatory
Compliance
Capital
Projects
Business
Division
Water
Resources
Director of Utilities
Department
Solid Waste
Collection &
Disposal Services
Business Division
Customer Service
Department
Management
Financial
Management
Personnel
Management
Water Resources
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BUDGET OVERVIEW
A comprehensive discussion of the adopted budget and long-term financial outlook is available in the Five-Year Financial Plans section of this document for the Water Resources and Solid Waste funds.

Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 9,479,839 $ 13,872,068 $ 15,982,512 $ 18,751,317 $ 19,810,547 Services & Supplies 30,372,243 38,443,390 37,032,152 37,461,771 37,090,381 Capital & Outside
Agencies 12,756,087 23,014,522 54,230,670 61,095,280 53,408,180 Debt Service 4,586,373 1,377,925 3,623,350 3,622,100 3,625,600 Transfers 1,656,544 2,252,205 2,755,123 2,863,511 2,863,511 Total Budget $ 58,851,086 $ 78,960,110 $ 113,623,807 $ 123,793,979 $ 116,798,219

Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
002 – Water Fund $ 16,976,649 $ 30,871,382 $ 51,072,000 $ 49,233,160 $ 52,308,159 004 – Wastewater Fund 5,432,466 11,466,953 23,710,338 14,095,837 24,078,611 003 – Solid Waste
Collection Fund 16,847,702 17,251,627 23,518,676 22,709,219 22,884,810 Director of
Utilities
Department
Solid Waste
Division
Business
Division
Water
Resources
Division
Water
Conservation
Construction
Customer
Service
Distribution
Production
Wastewater
Treatment
Septage
Receiving
Treatment
Plant
Sewer
Collections
Sanitary
Sewer
Storm
Sewer
Regulatory
Compliance
Cross
Connection
Control
Program
Industrial
Pretreament
Program
Stormwater
Program
Wastewater
Treatment
Plant
Laboratory
Engineering &
Technology
Capital
Improvement
Program
GIS
SCADA
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Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
010 – Solid Waste Disposal
Fund 19,589,438 19,026,485 14,792,793 31,088,763 14,573,919 027 – Growth Mitigation
Fund 4,831 343,664 530,000 6,667,000 2,952,720
Total Budget $ 58,851,086 $ 78,960,110 $ 113,623,807 $ 123,793,979 $ 116,798,219

DIVISION/PROGRAM BUDGETS

BUSINESS DIVISION
The Business Division in Utilities provides integral support to the Water Resources and Solid Waste Divisions. This includes customer support (customer service related to water , sewer and solid waste services), department administration (internal administrative functions), financial management (proformas and rate setting, budgeting, and grants management), and personnel management (organizational development, recruitment and training, and discipline and perfor mance).

WATER RESOURCES
Water Resources consists of several distinct areas: water, wastewater treatment, sewer collections (sanitary sewer and storm sewer), regulatory compliance, and engineering related to capital projects and technology.

Water
The City is responsible for supplying over 22,700 customer accounts with potable water for domestic and industrial, landscape, and fire protection within the City’s service area.

Water Conservation : The City maintains a robust year -round water conservation campaign that includes public education and community events, and a variety of outreach, including complimentary residential home water visits for City water customers to assess opportunities to save water.

Construction: Minor repairs of the water distribution system are performed by the in-house construction crew, including valve replacements, and fire protection purposes.

Customer Service : In-house staff perform technical and administrative support functions in the field and in the office related to customer service, meter reading, and billing of water. Fixed -base meter reading technology reduces meter-reading time and wasted water through leak detection.

Distribution: The City’s water distribution system is comprised of 344 miles of water mains, 10,081 in -line and fire hydrant water valves, and approximately 3,600 fire hydrants. Distribution work includes preventative maintenance of the system, such as flushing or hydrants and water mains, valve turning, and repair and replacement of water meters.

Production: Drinking water is produced from imported State Water supplies and groundwater wells located throughout the Santa Maria service area. Six active wells and three reservoirs (with a modified capacity of 19 million gallons) can supply a peak demand of over 20 million gallons per day. For firefighting purposes, these wells and reservoirs can supply up to 6,000 additional gallons per minute for at least six hours. When State Water is not available in sufficient quantities, groundwater wells produce water to maintain the City’s water supply.

The Santa Maria Valley Groundwater Basin has ample resources to provide 100 percent of the City’s water when necessary. In addition to groundwater wells and reservoirs, the City also operates and maintains a blending/disinfection facility. State Water and groundwater are blended at this facility before entering the Cit y’s water system, ensuring that the City’s potable water supply meets safe drinking water standards. Additionally, the City provides water to the neighboring community of Nipomo in southern San Luis Obispo County, as required by the Santa

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Maria Groundwater Litigation, also referred to as the Stipulation. The delivery of this water reduces local demand on the groundwater basin, improving the overall health of the aquifer.

Wastewater Treatment
The City is responsible for the treatment of domestic and industrial wastewater. This is accomplished by operating and maintaining a Grade 4 Wastewater Treatment Plant
(WWTP) and ensuring treatable influent through the
City’s pretreatment program.

Septage Receiving : The WWTP accepts residential
septage and portable toilet waste and allows haulers to dewater and store grease. More than 70 septage
haulers are regulated under the City’s Industrial
Pretreatment Program.

Treatment Plant : The City treats and disposes of 7.31 million gallons of wastewater per day in conformance with the Central Coast RWQCB and Air Pollution Control District (APCD) regulations. The WWTP utilizes a two-stage trickling filter and has a current hydraulic capacity of 8.0 million gallons per day, which can serve a population of up to 120,000. After removing and treating approximately 90 percent of impurities, the remaining treated effluent percolates into the groundwater basin. To ensure the treatment of wastewater complies with the APCD and the Central Coast RWQCB standards, the WWTP operates within specific parameters. WWTP operations require appropriate conditions for complex biological populations to thrive. A preventive maintenance program extends the life of the wastewater facilities and consists of routine maintenance, such as lubrication, valve exercising, adjustments, and inspections on a daily, weekly, monthly, quarterly, semi- annual, and annual basis.

Sewer Collections
Sewage conveyed from privately maintained sewer laterals to City -maintained sewer mains is discharged to the WWTP. The goal of the City’s sewer maintenance program is to minimize collection system overflows and to inspect the system to identify deficiencie s and make repairs.

Sanitary Sewer: Maintenance and repairs of the sewer collection system are performed in compliance with the City’s Sewer System Management Plan, as required by the State Water Resources Control Board (SWRCB). The City’s goal is to hydraulically clean 100 of the 259 miles of sewer lines and video inspect 10 miles of sewer lines, annually. Sewer lines are videoed to identify system deficiencies (e.g., cracked pipes, line offsets, root intrusions, manhole deterioration). Some repairs are addressed by the City, with contractors completing larger repairs.

Storm Sewer: The City’s storm sewer system includes drainage inlets, culverts, open -channel drainage ditches, and underground storm sewer that conveys stormwater to various retention and detention basins, which discharge to Santa Barbara County Flood Control and Water Conservation District facilities that can discharge to the Santa Maria River. The system helps prevent and control flooding within the City and promotes the recharge of underlying aquifers. The Utilities Department maintains the drainage inlets and storm sewer portions of the City’s storm drainage system. To minimize flooding impacts, the City works with Santa Barbara County Flood Control and Water Conservation District, the agency responsible for the maintenance of the Santa Maria River Levee and larger stormwater conveyances and basins within the City.

Regulatory Compliance
The Regulatory Compliance section administers regulatory permits and programs related to water, wastewater, and stormwater. Staff performs sampling, laboratory tests, engineering calculations, site inspections, plan reviews, issues permits, monitors and enforces compliance with regulations, and reviews other environmental reports and documents to verify the City is operating within permit parameters. Monthly and annual reports are prepared in conformance with permitting agency guidelines, including the APCD, Certified Unified Program Agency (CUPA), Division of Drinking Water

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(DDW), Department of Water Resources (DWR), Environmental Protection Agency (EPA), Central Coast RWQCB, and SWRCB.

Cross Connection Control Program : Backflow prevention assemblies protect the City’s drinking water supply by preventing contamination caused by back siphonage from entering the water distribution system. All new assemblies are inspected and tested. Upon passing the testing requirements, the assemblies are then accepted into the City’s cross connection program. The cross-connection program maintains the database for all backflow assemblies and issues and tracks the annual test and maintenance reports for all assemblies. The database monitors more than 3,300 backflow prevention assemblies at more than 1,260 locations (e.g., churches, schools, and businesses) and is utilized to send annual notices and enter test results for all assemblies. The City works with certified backflow prevention testers, regulated businesses, and developers, as well as State regulators, to monitor compliance.

Industrial Pretreatment Program : The Industrial Pretreatment Program protects the City’s sewer collection system and WWTP by regulating over 370 businesses within the City, ensuring compliance with all Federal, State, and local regulations. Routine pretreatment operations include permit application review and permit issuance, data review, plan review, inspections, sampling and monitoring, and communication with businesses and Federal and State regulators. The City issues permits to waste haulers that use the septage receiving station and tracks septage quantities received for billing purposes.

Stormwater Program: The National Pollutant Discharge Elimination System-Phase II Permit regulates the City’s stormwater activities. As part of the Phase II Permit, the SWRCB adopted the General Permit for the Discharge of Stormwater from Small MS4s (WQ Order No. 2013-0001-D WQ) (General Permit). The General Permit requires the development and implementation of a stormwater program to reduce pollutant discharges to the maximum extent practicable. The main elements of the General Permit are education and outre ach; public involvement and participation; illicit discharge detection and elimination; construction site stormwater runoff control; pollution prevention and good housekeeping; post-construction stormwater management; water quality monitoring; and program effectiveness assessment and improvement. Along with the implementation of the main elements of the Stormwater Program, preparation of in -depth documentation, analysis and reports, facilitation of multi- jurisdictional meetings and workshops, and contact with businesses, contractors, developers, and Federal, State, and local regulators are required. The Department facilitates the City’s compliance with the General Permit through coordination with other City Departments and completing reporting requirements.

WWTP Laboratory (Certification No. 1083): The onsite laboratory at the WWTP is certified in wastewater analysis by the SWRCB Environmental Laboratory Accreditation Program (ELAP). The laboratory’s main function is to analyze wastewater samples to determine compliance with the WWTP permit requirements. Additional functions are to analyze samples for WWTP process control and the Industrial Pretreatment Program. The laboratory also facilitates, coordinates, and reports on all potable water analyses, contracting with a commercial certified laboratory for all required drinking water analyses.

Engineering & Technology
Engineering: In -house staff manages the Capital Improvement Program for Water Resources and plans, develops, and delivers various engineering projects to meet the water and sewer infrastructure needs of the City. As staffing allows within the Engineering Division of the Public Works Department, the coordination and/or delivery of other capital and public works projects also occurs.

Technology: In -house staff manages geographic information systems (GIS) technology to provide technical support to Utilities staff. This work includes field data collection and utility mapping, applying GIS technology to develop and integrate workflows, and developing maps, geo -datasets, graphics, displays, tables, and reports to provide geospatial data for decision -making in the Department, and for effective coordination with the City’s Information Technology Division. In addition, in -house staff manages t he supervisory control and data acquisitions (SCADA) systems used in water and wastewater treatment to ensure that overall water quality is consistent and in compliance with State and Federal regulations. The use of SCADA allows for real-time data analysis and security, automation efficiencies, and reduced costs.

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Water Resources (1143, 1144, 1160, 1180)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
002 – WATER FUND
Salaries & Benefits $ 1,677,258 $ 3,342,698 $ 3,924,522 $ 4,942,566 $ 5,236,455 Services & Supplies 5,680,398 6,259,255 7,111,776 7,357,561 7,084,071 Capital & Outside Agencies 4,443,808 19,170,322 35,421,500 32,177,060 35,228,160 Debt Service 4,586,373 1,377,925 3,623,350 3,622,100 3,625,600 Transfers 588,812 721,182 990,852 1,133,873 1,133,873
Total Water Fund $ 16,976,649 $30,871,382 $ 51,072,000 $ 49,233,160 $ 52,308,159

027 – GROWTH MITIGATION FUND
Capital & Outside Agencies $ 4,831 $ 201,852 $ 530,000 $ 2,400,000 $ 2,952,720 Total Growth Mitigation Fund $ 4,831 $ 201,852 $ 530,000 $ 2,400,000 $ 2,952,720 Total Water Resources $ 22,413,946 $ 42,540,187 $ 75,312,338 $ 65,727,198 $ 79,345,409 Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26
WATER

DEMAND/WORKLOAD
Number of Water Accounts 22,657 22,817 23,043
Water Demand (acre-feet) 12,582 12,757 13,273
Total Miles of Pipe 344 344 350
Total Number of Valves 10,081 10,081 10,282
Total Number of Fire Hydrants 3,590 3,598 3,670

EFFECTIVENESS/EFFICIENCIES
State Water Received (acre-feet) 1,571 3,322 9,273
Well Water Pumped (acre-feet) 11,010 9,435 4,000
Total Number of Valves Exercised 1,755 4,052 4,153

WASTEWATER

DEMAND/WORKLOAD
Number of Sewer Accounts 20,155 21,323 21,537
Average Wastewater Flow (MGD*) 7.31 7.84 7.99

EFFECTIVENESS/EFFICIENCIES
Average Effluent BOD^ Permitted (60 mg/L) 45 52 72
Maximum Effluent BOD^ Permitted (100 mg/L) 54 75 75
Average TSS^^ Permitted (60 mg/L) 37 42 41
Maximum TSS^^ Permitted (100 mg/L) 44 58 58

SEWER / STORM SEWER

DEMAND/WORKLOAD
Total Miles of Sewer Main 253 259 264
Total Miles of Storm Sewer 130 130 132
Total Number of Manholes 4,912 5,141 5,243
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PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

EFFECTIVENESS/EFFICIENCIES
Total Miles of Sewer Mains Cleaned 112 150 153
Total Miles of Sewer Mains Videoed 15 16 16
Total Number of Sewer Repairs Completed 48 45 55
^ Actual and Estimated reflect Carbonaceous Biochemical Oxygen Demand (CBOD). Projected reflects Biological Oxygen Demand (BOD) in accordance General Permit requirements (2023). ^^ TSS refers to Total Suspended Solids.
* Actual reflects Fiscal Year 2021/2022.
** Estimated reflects Fiscal Year 2023/2024.
*** Projected reflects Fiscal Year 2025/2026.

STATE WATER
This supplemental information is presented concerning the costs of importing water, including State Water costs and Dry Year Water Purchases.

1. How much does State Water cost?
Actual
FY 2022-23
Adopted
FY 2023-24
Estimated
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
Central Coast Water Authority $ 18,734,116 $ 24,600,000 $ 20,592,021 $ 20,872,644 $ 22,992,776 State Water Debt Service 1,587,704 3,623,350 3,623,350 3,622,100 3,625,600 Total Cost of State Water $ 20,321,820 $ 28,223,350 $ 24,215,371 $ 24,494,744 $ 26,618,376 Dry Year Water Purchases $ - $ 2,265,000 $ - $ 2,355,600 $ 2,438,046

The City receives State Water from the Central Coast Water Authority (CCWA). The costs include expenses for the infrastructure to deliver the water, as well as the costs for water treatment and delivery. The CCWA provides estimated costs to the City for inclusion in the City’s Budget.

The City issued bonds to pay for portions of State Water infrastructure, in addition to local improvements for the delivery of State Water. The bond costs are also considered a portion of State Water Costs. The debt service for the bonds continues through 2035-36.

The Dry Year Water Purchases line item is budgeted each year so the City has funds available should there be a need to supplement its State Water allocation with additional water purchased on the open market. The water acquired through Dry Year Water Purchases is treated and delivered through the CCWA.

2. What are the long-term financing obligations related to State Water? The table below provides estimated obligations for 10 years following the 2023 -24 Budget.

FISCAL YEAR
ENDING JUNE 30

CENTRAL COAST

WATER AUTHORITY

STATE WATER DEBT

SERVICE

TOTAL COST OF STATE
WATER
2024 20,592,021 3,623,350 24,215,371
2025 20,872,644 3,622,100 24,494,744
2026 22,992,776 3,625,600 26,618,376
2027 23,829,930 3,623,350 27,453,280
2028 24,245,965 3,625,350 27,871,315
2029 25,051,098 3,626,100 28,677,198
2030 25,509,048 3,625,350 29,134,398
2031 25,430,442 3,622,850 29,053,292
2032 26,160,501 3,623,350 29,783,851
2033 27,287,319 3,622,750 30,910,069

The above cost estimates are provided to the City by the CCWA through 2033. The debt service payment reflects scheduled obligations to repay the refunded 2021A Water Resources Certificates of City of Santa Maria 2024-26 Biennial Budget

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Participation in accordance with the aggregate debt service schedule. The Utilities Department continues to review long -term projections of revenues for all water- related expenses, including imported water costs.

SOLID WASTE
Solid Waste consists of several distinct areas: collections operations (refuse [trash], mixed recycling, and organic waste recycling), landfill operations, street sweeping, regulatory compliance, and engineering.

Collections Operations
The City continues to vigilantly monitor, evaluate, and implement regulations related to solid waste collections, including Assembly Bill 341 Mandatory Commercial Recycling, Assembly Bill 1826 Mandatory Commercial Organics Recycling, and
Senate Bill 1383 Short -Lived Climate Pollutant
Reduction, which requires a significant reduction in
organic waste and the recovery of edible food waste
for human consumption, including development and
implementation of an edible food recovery program.

This regulation expanded organics recycling mandates
to all residential properties, a significant change from Assembly Bill 1826, which only required organics
recycling for commercial customers.

Recycling Services: The City’s mixed recycling program began in the 1990s and includes collecting, transporting, and processing mixed recyclable materials collected from City customers. Recycling materials are hauled to a regional transfer station before being sent for proc essing. In 2023, the City diverted over 10,500 tons of mixed recycling from residential and commercial customers.

The City’s residential green waste program began in 2011 with the biweekly collection of green waste (wood waste, grass clippings, flowers, etc.). In 2016, the City’s commercial food waste recycling program began with weekly pickups, and in 2021, the residential food waste recycling program began with a biweekly pilot program. The pilot program expanded citywide in 2022 to comply with Senate Bill 1383. Today, the City diverts all organic waste (green waste and food waste) by sending it to a local composting facility for reuse. In 2023, the City diverted over 8,500 tons of organic waste from residential and commercial customers.

Trash Service : Residential trash collection utilizes fully automated side -loading vehicles to provide weekly collection of 60 - or 90- gallon containers for approximately 20,000 residential customer accounts. Residential trash is collected five days a week and transported to the Santa Maria Regional Landfill for disposal. Commercial trash collection utilizes front -loading vehicles to provide weekly collection of dumpsters for nearly 1,800 commercial customer accounts, which includes commercial, business, and multi- family properties. Commercial trash is collected six days a week and transported to the Landfill for disposal. In 2023, the City collected over 70,000 tons of trash from residential and commercial customers.

Landfill Operations
The Santa Maria Regional Landfill provides solid waste disposal and recycling services to northern Santa Barbara County and southern San Luis Obispo County. In 2023, the landfill processed over 100,000 transactions and accepted approximately 353,800 tons o f material. Of that total, approximately 23,800 tons were Non-hazardous Hydrocarbon Impacted Soils (NHIS) utilized to help expedite the annual rolling closure of the landfill, over 89,000 tons were utilized as onsite beneficial reuse, more than 85,000 tons were recycled, and approximately 156,000 tons were buried, resulting in the City diverting approximately 44 percent of its waste stream for 2023.

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Business and Household Hazardous Waste Programs: The landfill operates a Conditionally Exempt Small Quantity Generator (CESQG) Program at the Household Hazardous Waste Collection Facility located onsite, allowing businesses and non -households that generate up to 220 pounds of hazardous waste per month or 2.2 pounds of acutely hazardous waste per month to schedule appointments for the safe disposal of such waste.

Operations of the Household Hazardous Waste Collection Facility include the collection, categorization, packing, and packaging of all household chemicals and wastes for shipment to other off-site facilities. Households using the free facility for the safe disposal of such waste are limited to 125 pounds dry waste or 15 gallons per trip.

Landfill Gas, Surface, and Groundwater Monitoring : The landfill gas collection system has expanded to more than 116 gas collection wells and almost six miles of landfill gas conveyance header lines. The wells are analyzed monthly, along with quarterly monitoring of 71 perimeter gas probes. The wells extract landfill gas (primarily composed of methane) produced from organic refuse decomposing, while perimeter gas monitoring probes verify gas does not migrate offsite. Landfill gas is transported through gas lines to the onsite power generation facility, and from there, to Marian Regional Medical Center’s cogeneration facilities to generate electricity. In the case where one or both facilities are down, the landfill gas is directed to onsite flares. The system is monitored and maintained for optimal operating performance. Semi-annual and annual reports are submitted to the APCD.

Surface monitoring verifies landfill gas is directed to flares and/or the power generation facility rather than to the atmosphere. Every quarter, surfaces are monitored for methane emissions and results are submitted in semi-annual and annual reports to regulatory agencies.

More than two dozen groundwater monitoring wells and half a dozen piezometers are monitored and sampled quarterly. These wells monitor the condition of the upgradient and downgradient groundwater around the Landfill. All operations and analytical results a re reported on a semi -annual and annual basis to the Central Coast RWQCB.

Recycling Park: The Recycling Park at the Landfill diverts appliances, metals, cardboard, tires, green waste, wood waste, electronic waste, construction and demolition materials (i.e., drywall, roofing shingles), inert materials (i.e., brick, tile, porcelain), and mattresses. In 2023, the Recycling Park diverted more than 14,500 individual mattresses and/or box springs.

Integrated Waste Management Facility at Los Flores : The City intends to construct and operate the IWMF at Los Flores. The IWMF, a Class III Landfill, will receive waste from urban and the rural areas of northern Santa Barbara County, with the capacity to receive waste from southern Santa Barbara County as necessary. The IWMF will service self -haulers, commercial vehicles such as solid waste collection vehicles, roll- offs, and walking -floor customers. The IWMF will be constructed in four major phases on a 1, 774-acre site located in a rural area without residences in proximity. The IWMF is anticipated to be ready to accept solid waste by 2032 and will include support facilities and utilities.

Street Sweeping
Street sweeping is conducted in compliance with the City’s MS4 stormwater permit requirement from the Central Coast RWQCB. This function also improves the appearance, safety, and health of the City through regular street and gutter line sweeping. Residential streets and paved alleys are swept biweekly, commercial streets are swept weekly, and 20 acres of City-owned parking facilities are swept monthly, totaling over 16,500 curb miles of City streets swept annually.

Regulatory Compliance
The Regulatory Compliance sections administer regulatory permits and programs related to Landfill operations (disposal compliance) and solid waste collections (recycling diversion). Monthly, quarterly, semi-annual, and annual reports are prepared in conformance with permit guidelines. For disposal compliance, laboratory tests, engineering calculations, site inspections, and other environmental monitoring is conducted to verify that the City is operating within permit parameters. For recycling diversion, aud its and site inspections are conducted, and education and outreach efforts are implemented, monitored, and reported in compliance with various regulations. This includes the City of Santa Maria 2024-26 Biennial Budget

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significant tracking of diversion numbers from outside haulers related to organics, recycling, and concrete and demolition materials, which totaled nearly 40,000 additional tons of diverted materials in the community in 2022.

Engineering
In-house staff plans, develops, and delivers various capital projects (including liner construction, landfill gas expansion, and groundwater protection systems) to meet the solid waste needs of the City. As staffing allows within the Engineering Division of the Public Works Department, the coordination and/or delivery of other capital and public works projects also occurs.

In addition, in -house staff utilizes a drone surveying solution and data processing, visualization, and analysis software to support landfill management activities. This includes supporting construction efforts at the current landfill and the future site at Los Flores, as well as developing fill plans for landfill cells, creating topography maps, and tracking resources, among other uses.

Solid Waste (1152, 1153, 1154, 1155, 1156)
Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
003 – SOLID WASTE COLLECTION
FUND
Salaries & Benefits $ 4,378,720 $ 2,528,143 $ 4,869,153 $ 5,373,013 $ 5,688,881 Services & Supplies 11,725,190 13,647,822 15,079,806 15,416,828 15,336,131 Capital & Outside Agencies 358,869 486,469 2,880,000 1,258,400 1,198,820 Transfers 384,922 589,193 689,717 660,978 660,978
Total Solid Waste Collection Fund $ 16,847,702 $ 17,251,627 $ 23,518,676 $ 22,709,219 $ 22,884,810

Solid Waste (1152, 1153, 1154, 1155, 1156)
Summary of Service Programs
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
1153 – Refuse Collection –
Residential $ 6,454,408 $ 6,942,829 $ 9,631,727 $ 9,425,357 $ 9,550,465 1154 – Refuse Collection –
Commercial 6,938,224 6,854,674 7,891,045 7,633,453 7,710,488 1155 – Street Sweeping 712,793 803,948 795,933 842,281 823,050 1156 – Recycling 2,742,276 2,650,17 5,199,971 4,808,129 4,800,807 Total Solid Waste Collection $ 16,847,702 $ 17,251,627 $ 23,518,676 $ 22,709,219 $ 22,884,810 Refuse Disposal $ 19,589,438 $ 19,026,485 $ 14,792,793 $ 31,088,763 $ 14,573,919 Total Solid Waste Disposal Fund $ 19,589,438 $ 19,026,485 $ 14,792,793 $ 31,088,763 $ 14,573,919 Total Solid Waste $ 36,437,140 $ 36,278,112 $ 38,311,469 $ 53,797,982 $ 37,458,729 City of Santa Maria 2024-26 Biennial Budget

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Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

REFUSE COLLECTION / RESIDENTIAL

DEMAND/WORKLOAD
Total Accounts Serviced 18,928 19,307 19,693
Total Tons Collected 31,143 31,968 32,608
Total Loads Hauled 4,258 4,188 4,272

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 1.65 1.66 1.66
Tons Per Load 7.31 7.63 7.63

REFUSE COLLECTION / COMMERCIAL

DEMAND/WORKLOAD
Total Accounts Serviced 1,245 1.270 1,295
Total Tons Collected 37,993 38,689 39,463
Total Loads Hauled 4,891 5,094 5,196

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 30.52 30.46 30.47
Tons Per Load 7.77 7.59 7.59

RECYCLING COLLECTION / RESIDENTIAL

DEMAND/WORKLOAD
Total Accounts Serviced 18,926 19,305 19,691
Total Tons Collected 5,008 4,776 4,872
Total Loads Hauled 1,476 629 642

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 0.26 0.25 0.25
Tons Per Load 3.39 7.59 7.59

RECYCLING COLLECTION / COMMERCIAL

DEMAND/WORKLOAD
Total Accounts Serviced 856 873 891
Total Tons Collected 5,855 5,794 6,370
Total Loads Hauled 1,524 722 737

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 6.84 6.64 6.63
Tons Per Load 3.84 8.02 8.02

ORGANICS RECYCLING COLLECTION / RESIDENTIAL

DEMAND/WORKLOAD
Total Accounts Serviced 18,918 19,296 19,682
Total Tons Collected 6,806 7,912 8,030
Total Loads Hauled 1,003 1,131 1,148

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 0.36 0.41 0.41
Tons Per Load 6.79 6.99 6.99

ORGANICS RECYCLING COLLECTION / COMMERCIAL

DEMAND/WORKLOAD
Total Accounts Serviced 174 177 181
Total Tons Collected 498 759 774
Total Loads Hauled 155 174 177

EFFECTIVENESS/EFFICIENCIES
Tons Per Account 2.86 4.29 4.28
Tons Per Load 3.21 4.28 4.37

CITYWIDE STREET SWEEPING

DEMAND/WORKLOAD
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PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26
Total Number of Loads 978 1,503 1,533
Total Street Sweeping Tonnage 2,911 4,545 4,635

EFFECTIVENESS/EFFICIENCIES
Total Curb Miles Swept 16,572 16,572 16,572
Operating Cost Per Curb Mile 3.90 4.07 4.22
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PUBLIC WORKS DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
The Department of Public Works/Engineering is responsible for ensuring that City -owned transportation infrastructure and facilities, transit services and capital improvement programs are designed, engineered, constructed, maintained and/or modified in a presentable and safe condition. The department coordinates a variety of activities and services including the preparation of plans and specifications for public works related construction projects; the design and inspection of public facilities; ensuring the proper installation of all public improvements made in new su bdivisions, such as streets, curbs, gutters, sidewalks, water mains, sewer lines, and drainage; and provides custodial service to City facilities. The Streets division is responsible for preventive and regular maintenance of streets and appurtenant facilities. Santa Maria Regional Transit (SMRT) system provides a regional public transportation service.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Coordinate with the Santa Barbara County Association of Governments (SBCAG) to discuss funding opportunities to enhance City of Santa Maria infrastructure.

COMMUNITY QUALITY OF LIFE Complete Downtown Frontage Improvements utilizing Measure A Active Transportation funding.

PLANNING AND INFRASTRUCTURE Deploy and utilize new asphalt equipment grinder and paver to perform enhanced maintenance on local roadways.

ORGANIZATIONAL WELL-BEING During the upcoming fiscal year, our Fleet Services Division aims to establish and successfully launch the Central Coast Fleet Club.

CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25

NEW APPROACH TO ECONOMIC

DEVELOPMENT
Develop a comprehensive Fleet Replacement Plan for the municipal fleet, establishing annual electric vehicles (EVs).

PROVIDE YOUTH OPPORTUNITIES Foster strong community engagement for an inclusive public transit system.

PROVIDE PUBLIC SAFETY RESOURCES Deploy a Computerized Maintenance Management System (CMMS) for Streets personnel to efficiently monitor maintenance requests from residents concerning asphalt, concrete, street lighting, traffic signals, RAW weed abatement, signs, and paint.

ESTABLISH A STAFFING PLAN Fulfill recruitments to become fully staffed organization.

ACCOMPLISHMENTS
The Public Works Department celebrates the following recent accomplishments:
• Finalized Team Dynamics implementation for management of sidewalk pavement for pedestrians.
• Design and begin construction on the Battles Path improvements, to improve public access to recreation facilities
• Completed crosswalk safety improvement plan for all crosswalks near schools, while utilizing innovative design approaches to solving issues.
• Updated City specifications and drawings, ensuring the information is easily accessible online, to support efforts to streamline online permitting.
• Continuing to Standardize internal templates, Standard Operating Procedures (SOPs), and filing systems to streamline administrative operations, and minimize miscommunications.

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• Continuing to work with regional partners to leverage funds, identify and address gaps, and enhance regional transit service to improve interconnectivity between educational, medical, employment, and commercial centers located in Santa Maria and outlying c ommunities.

NOTEWORTHY BUDGET HIGHLIGHTS
• Replace conventional internal-combustion-engine-powered vehicles when suitable EV or ZEV options are available with equivalent operational capability. Within the fleet inventory are 27 vehicles and equipment due for replacement during the 2024-26 two-year budget cycle. • Meet fleet operational and service needs as the City’s fleet inventory continues to increase in size, currently totaling 475 vehicles and equipment.
• Addition of one Equipment Mechanic I/II at approximately $244,288 in the two-year budget cycle. As the City’s fleet grows, this role will perform required maintenance and repair of fleet vehicles and equipment.
• Staff is recommending the purchase of two new street vehicles for approximately $252,000 over two years. Procurements include a Stencil Truck to expedite markings of stop bars, red curbs, crosswalks, yields and other city markings and an On -call Emergency Trailer for emergency services such as traffic accidents, ensuring safety when a streetlight has been knocked down, closure of roads for PD and storm flooding.
• Increasing asphalt budget for supplies to operate the Asphalt Grinder and Skid Steer that mounts the asphalt grinder and paver.
• Continue to install energy -efficient LED street lighting in deficient areas of the City. Enhanced lighting will improve visibility, safety, and quality of life. • Continue to support the Santa Barbara Bicycle Coalition in its outreach efforts to educate the public about bicycle safety and repair services.
• Increase Streets Division by one position of a Public Works Operations Streets Manager. The Public Works Operations Streets Manager will oversee asphalt, concrete, weed abatement, street and signal lights, as well as paints and signs. This new position is essential to efficiently manage the growing demands of the city's infrastructure. This approach ensures specialized expertise, streamlined coordination, responsiveness to city needs, and ultimately, improved safety and quality of life for residents. Public Works Operations Streets Manager will oversee two Streets Maintenance Supervisors (Asphalt and Concrete). • Public Transit Division 066 account budget reductions are primarily reflected in the Fuel and Lubrication account. With SMRT’s transition to electric vehicles, the Division anticipates a reduction in fuel costs. Business Expense and Training and Publicatio ns account funds were reduced due to a reduction of use.
• Public Transit Division 067 fund budget is being restructured due to the Breeze consolidation.

Transit will be moving funds from several of the 067 accounts. • The California Air Resources Board (CARB) is charged with protecting the public from harmful effects of air pollution and developing programs and actions to fight climate change. In December 2018, CARB adopted the Innovative Clean Transit (ICT) Regulation, which requires all public transit agencies in the State to gradually transition to 100 percent zero -emission bus fleets by 2040. SMRT is currently completing its own zero -emissions bus rollout through the procurement of five additional electric buses and during the Fiscal Year 2024-26 funding cycle.

This will result in improved air quality, less noise, improved aesthetics, less maintenance, and improved reliability.
• Transit Center Optimization project has begun the beginning phases of conceptual designs.

This is projected to break ground this Fiscal Year 2024 -25. The primary focus is to add charging stations, to optimize the time buses spend at the transit center by being able to charge while buses are stopped at the transit center. We also plan to configure the lot in a more efficient layout to accommodate additional buses.

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DEPARTMENT ORGANIZATION

A complete schedule of the department’s positions, a summary of changes, and a detailed explanation of position changes can be viewed at Personnel - Public Works on page 187.

BUDGET OVERVIEW
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 6,787,563 $ 7,226,064 $ 9,046,788 $ 10,381,905 $ 10,973,842 Services & Supplies 11,486,116 14,174,064 16,217,874 17,184,834 16,814,413 Capital & Outside
Agencies 9,613,710 9,463,810 41,106,782 26,531,412 26,409,909 Debt Service 148,833 7,076 83,449 83,450 -
Transfers 1,450,148 1,484,337 2,284,337 2,724,792 2,724,792 Total Budget $ 29,486,369 $ 32,355,352 $ 68,739,230 $ 56,906,393 $ 56,922,956

Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
001 - General Fund $ 3,270,457 $ 3,725,348 $ 4,873,576 $ 5,392,822 $ 5,665,389 007 - Fleet Services Fund 8,295,910 4,261,987 15,990,585 14,537,549 8,697,649 027 - Growth Mitigation
Fund 402,374 150,905 3,257,295 1,500,000 2,000,000
063 - Gas Tax and
Transportation
Development Act Fund
4,100,394 6,873,374 6,953,262 6,151,677 6,066,045
064 - Developer / Grant
Street Projects Fund 1,020,134 195,023 2,090,060 1,977,000 6,818,000 Director of Public
Works Department
Engineering
Administration
Customer Service
Development
Review
Project Design /
Capital
Construction
Management
Traffic
Facilities
Maintenance
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Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
066, 067 - Public Transit
Funds 7,573,204 9,506,731 19,091,609 15,638,045 16,224,857 068 - Measure A Fund 4,548,218 6,191,685 8,398,204 8,551,450 9,201,358 801 – Capital Projects-
General Fund 275,679 1,450,300 8,084,639 3,157,850 2,249,658 Total Budget $ 29,486,369 $ 32,355,352 $ 68,739,230 $ 56,906,393 $ 56,922,956

Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
General Government
1110, 1120, 1130 -
Engineering & Facilities
Maintenance
$ 3,546,135 $ 5,175,648 $ 12,958,215 $ 8,550,672 $ 7,915,047 Internal Services
1410 - Fleet Services 8,295,910 4,261,987 15,990,585 14,537,549 8,697,649 Public Ways & Facilities
1141, 1145, 1147, 1148 -
Street Maintenance 9,668,746 13,260,082 18,698,821 16,680,127 22,085,403 1170, 1171, 1172, 1174,
1179, 1183 - Public Transit 7,573,204 9,506,731 19,091,609 15,638,045 16,224,857 Special Revenues
1650 - Growth Mitigation 402,374 150,905 2,000,000 1,500,000 2,000,000 Total Budget $ 29,486,369 $ 32,355,352 $ 68,739,230 $ 56,906,393 $ 56,922,956

DIVISION/PROGRAM BUDGETS
GENERAL GOVERNMENT: ENGINEERING & FACILITIES MAINTENANCE The Engineering and Facilities Maintenance Divisions of the Public Works Department coordinate a variety of capital and maintenance-related activities and services for the City. The Engineering Division is responsible for design and construction of new public infrastructure including the preparation of plans and specifications for public works-related construction projects; the construction and inspection of these projects; the review, approval, and inspection of all public improvements made in new commercial, industrial, and residential subdivisions, such as streets, curbs, gutters, sidewalks, water mains, sewer lines, and drainage systems; and the coordination of all traffic and transportation issues.

The Facilities Maintenance Division ensures that City facilities are maintained and operated in a cost - effective, energy -efficient, high -quality, and safe condition; and provides custodial service to City facilities.

Engineering - Administration
Plan overall programs of the Department and the various divisions so the policies and goals of the City Council are accomplished.

Coordinate, direct, and manage the activities of the Department's divisions to maximize efficient use of public resources.

Assist in the selection of employees hired in the Department.

Receive and route business contacts to the proper divisions courteously and efficiently.

Prepare documents and correspondence in a timely and professional manner.

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Investigate and route customer service requests.

Perform follow-up for the resolution of complaints and requests.

Maintain Department records so information can be retrieved as needed.

Engineering - Development Review
Review land development projects and building plan checks to assure compliance with City policies, ordinances, development conditions, and State and Federal regulations.

Review tentative maps to ensure compliance with City policies, ordinances, and development conditions. Address the adequacy of infrastructure in the areas of water resources and street improvements.

Review final maps to assure accuracy, completeness, and compliance with all applicable State laws and City ordinances.

Check public improvement plans to assure accuracy, completeness, and compliance with project approval.

Create, review, and implement master plans for City infrastructure.

Engineering - Project Design/Capital
Prepare plans, specifications, and bid documents, and coordinate environmental reviews for City capital improvement and maintenance projects cost-effectively and thoroughly.

Administer the preparation of plans, specifications, and bid documents for City capital improvement and maintenance projects prepared by consultants to assure cost -effective performance and thorough design.

Oversee and review technical reports prepared by private consulting firms to assure thorough analysis is performed cost-effectively.

Interface with the Santa Barbara County Association of Governments to secure funding and coordinate roadway and transit planning efforts.

Engineering - Construction Management
Inspect and administer the construction of City public works projects to assure conformance with plans and specifications, and projects are completed on schedule and within budget.

Inspect the construction of public improvements, installed with private development projects, to assure compliance with development conditions and State and Federal regulations.

Assure that all construction conforms to project plans and City standard drawings and specifications.

Issue encroachment permits, in a timely manner, for various utilities and developers performing work in City rights-of-way and interface with other agencies to coordinate construction work in the City rights- of-way.

Engineering - Traffic
Respond to requests from customers for resolution of traffic problems and issues by investigating, analyzing, and providing recommendations for corrective action, when necessary, to the City Traffic Committee and the City Council.

Perform annual traffic counts to support recommendations for capital improvements, and to respond to regional transportation program requirements, including the maintenance of the City’s Traffic Model.

Perform speed surveys to support law enforcement needs as traffic patterns change over time.

Investigate traffic conditions at intersections to assure traffic operations are efficient and safe.

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Specify, analyze, and review various types of traffic studies to support the processing of development applications.

Provide traffic engineering recommendations to traffic operations maintenance crews to assure that traffic signal timing sequences operate correctly with traffic flow; that traffic markings and signs conform to current regulations; and that curb zoning and parking conditions make efficient use of available space.

Facilities
Provide technical services to City departments by operating and maintaining facilities and equipment; analyzing energy efficiency opportunities; monitoring mechanical/electrical systems for optimization of operation; conceiving new maintenance projects; budgeting for and maintaining adequate tools, material, and information to assure effective progress on scheduled work. Facilities include 35 -plus buildings and support facilities, 3 parking structures, and several emergency communication facilities.

Assure City facilities are maintained in a presentable and safe condition, provide a comprehensive preventive maintenance program for City facilities and equipment, and lend assistance to other departments that implement a Department-specific preventive maintenance program.

Estimate and coordinate minor additions, remodels, renovations, equipment upgrading, and monitoring for energy conservation of gas and electricity.

Coordinate and provide custodial services to 14 City facilities.

Implement accessibility improvements of City facilities in compliance with the Americans with Disabilities Act.

Engineering & Facilities Maintenance (1110, 1120, 1130) Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
001 – GENERAL FUND
Salaries & Benefits $ 2,631,451 $ 2.777.585 $ 3,764,615 $ 4,278,147 $ 4,527,639 Services & Supplies 638,263 878,012 1,103,961 1,114,675 1,137,750 Capital & Outside Agencies 743 69,751 5,000 - -
Total General Fund $ 3,270,457 $ 3,725,348 $ 4,873,576 $ 5,392,822 $ 5,665,389

801 – CAPITAL PROJECTS-GENERAL
FUND
Capital & Outside Agencies $ 275,679 $ 1,450,300 $ 8,084,639 $ 3,157,850 $ 2,249,658 Total Capital Projects-General Fund $ 275,679 $ 1,450,300 $ 8,084,639 $ 3,157,850 $ 2,249,658 Total Engineering & Facilities
Maintenance $ 3,546,135 $ 5,175,648 $ 12,958,215 $ 8,550,672 $ 7,915,047

FLEET SERVICES
The Fleet Services Division provides vehicle and equipment maintenance and replacement services in an efficient, fiscally responsible, and courteous manner. The Division also operates all City fueling operations and equipment, and vehicle regulatory compliance. The goal is to provide City departments with adequate and effective equipment in a cost -effective manner through the City’s Fleet Equipment Program.

Preventive Maintenance Program
Fleet Services implements a robust schedule that surpasses industry standards. City staff rigorously conduct preventive maintenance, addressing potential issues proactively to minimize unexpected breakdowns. This dedication ensures the reliability and longevity of each vehicle and piece of equipment, contributing to the seamless operation of municipal services.

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Equipment Replacement Program
The Fleet Services Equipment Replacement Program follows a systematic approach. Annually, Fleet Services evaluates vehicles and equipment due for replacement based on a predetermined schedule. This approach allows staff to maximize cost -efficiency by extending the life of assets when viable and recommending replacements as needed. Additionally, we engage in thorough research to develop specifications for new vehicles or equipment, aiding accurate budgeting and ensuring the seamless integration of updated assets into our fleet.

Automated Fueling Program
The Automated Fueling Program manages the City's computerized fueling system, overseeing the seamless acquisition, distribution, and tracking of fuel usage. Fleet Services extend the authorization to public transportation agencies, providing a discounted fuel rate to promote collaboration and efficiency. Moreover, the installation and maintenance of electric vehicle (EV) charging stations citywide align with our commitment to sustainable practices, contributing to a greener and more environmentally conscious municipal fleet.

Testing and Compliance Programs
Fleet Services administers the Biennial Inspection Terminal (BIT) Program for medium and heavy -duty trucks, ensuring compliance with California Highway Patrol regulations. The coordination of the Annual Smog Test Program involves submitting compliance repo rts to the Department of Consumer Affairs, Bureau of Automotive Repair. Management of the In-Use Off-Road Diesel-Fueled Fleet Program aligns with state regulations, working towards emission reduction and the progressive update of equipment.

The oversight of the Portable Engine Registration Program streamlines compliance with emissions standards, facilitating annual audits. Finally, Fleet Services commitment extends to monitoring and enforcing compliance with the Advanced Clean Fleet Regulation (ACF), ensuring the City's fleet aligns with California Air Resources Board mandates for zero-emission vehicles.

Fleet Services
The Fleet Services Division provides vehicle and
equipment maintenance and replacement services
in an efficient, fiscally responsible, and courteous
manner. The Division also operates all City fueling
operations and equipment, and vehicle regulatory
compliance. The goal is to provide City departments
with adequate and effective equipment in a cost -
effective manner through the City’s Fleet Equipment
Program.

Preventive Maintenance Program
Fleet Services implements a robust schedule that
surpasses industry standards. City staff rigorously
conduct preventive maintenance, addressing potential issues proactively to minimize unexpected breakdowns. This dedication ensures the reliability and longevity of each vehicle and piece of equipment, contributing to the seamless operation of municipal services.

Equipment Replacement Program
The Fleet Services Equipment Replacement Program follows a systematic approach. Annually, Fleet Services evaluates vehicles and equipment due for replacement based on a predetermined schedule. This approach allows staff to maximize cost -efficiency by extending the life of assets when viable and recommending replacements as needed. Additionally, we engage in thorough research to develop specifications for new vehicles or equipment, aiding accurate budgeting and ensuring the seamless integration of updated assets into our fleet.

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Automated Fueling Program
The Automated Fueling Program manages the City's computerized fueling system, overseeing the seamless acquisition, distribution, and tracking of fuel usage. Fleet Services extend the authorization to public transportation agencies, providing a discounted fuel rate to promote collaboration and efficiency. Moreover, the installation and maintenance of electric vehicle (EV) charging stations citywide align with our commitment to sustainable practices, contributing to a greener and more environmentally conscious municipal fleet.

Fleet Services (1410)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
007 – FLEET SERVICES FUND
Salaries & Benefits $ 1,325,535 $ 1,656,802 $ 1,842,265 $ 2,010,879 $ 2,131,674 Services & Supplies 4,481,649 4,307,297 5,401,732 5,114,077 5,114,077 Capital & Outside Agencies 2,126,068 (1,908,827) 8,463,500 7,027,492 1,150,247 Debt Service 148,833 7,076 83,449 83,450 -
Transfers 213,826 199,639 199,639 301,651 301,651
Total Fleet Services Fund $ 8,295,910 $ 4,261,987 $ 15,990,585 $ 14,537,549 $ 8,697,649 Total Fleet Services $ 8,295,910 $ 4,261,987 $ 15,990,585 $ 14,537,549 $ 8,697,649 PUBLIC WAYS & FACILITIES: STREET MAINTENANCE
The Street Maintenance Division provides managerial oversight for the City’s rights -of-way. The goal is to provide a well- maintained street system for pedestrian, bicycle, and vehicle traffic within the City limits.

The program consists of several subprograms that address maintenance.

Flexible Pavement Maintenance Program
The Flexible Pavement (asphalt) Maintenance Program addresses three basic elements of roadway maintenance. First, the pothole element, which is typically driven by rainfall, addresses smaller areas and is maintained by in -house asphalt patching. A telephone hotline is available at (805) 925- 0951 extension 2229 so the public may report potholes unknown to City maintenance staff. Second, the general pavement element addresses small areas of roadway in need of subgrade, base, or surface maintenance, and is pe rformed by City staff. Third, the Pavement Management System (PMS) which is a computerized process of planning the maintenance and repair of the roads in Santa Maria to optimize the pavement condition over the entire road network. The PMS data is used to s elect the roads to be maintained and the treatment to use. Typical treatments are reconstructing, overlay, slurry seal, and chip seal. These treatments are performed by outside contract services. The City’s Pavement Condition Index is rated at 66 compared to 59 in the unincorporated areas of the County.

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Street Light Maintenance Program
The Street Light Maintenance Program supports street light services in the areas of general maintenance, system upgrades, inspections, design, and damage caused by vehicular accidents.

General maintenance is needed when a light is not working or not functioning correctly. Staff is notified of the issue by public calls or messages left on the street light hotline. Additionally, staff perform streetlight checks twice monthly, in high -traffic commercial areas. System upgrades are developed, designed, and sche duled. Included are street light pole replacement, fixture upgrades, and service modifications. The inspection element involves the inspections of newly installed streetlights and service points, typically driven by new development. The design element addresses street light system design for new lighting systems in areas of new development and areas where existing lighting will be improved. Staff addresses accidents involving streetlights 24 hours a day, seven days a week.

Traffic Signal Maintenance Program
The Traffic Signal Maintenance Program provides maintenance services to the City’s traffic signal system. The program includes preventive maintenance; component failure service; and system upgrades. Monthly visual inspections are performed as a preventive measure. In addition, a detailed inspection and preventive maintenance regime is performed, quarterly, on all 49City traffic signals.

Each traffic signal cabinet’s conflict monitor is evaluated semi- annually. Component failures rarely occur; therefore, these are addressed on an as-needed basis. System upgrades include light-emitting diode (LED) retrofits, preemption installations, Bluelight enforcer technology, countdown pedestrian heads, speed feedback signs, pedestrian crossing warning beacons, and signal coordination to recommended corridors within the City. The City pays for electrical power costs of 38 Caltrans traffic signals but does not perform maintenance of these installations.

Pavement Marking Program
The Pavement Marking Program provides maintenance of roadway delineation, striping, stenciling, and curb painting. The striping element addresses all painted roadway striping that separates the roadway’s direction of travel and defines the width of roadway lanes traveling in the same direction.

The stenciling element provides for: clear and legible speed limits, school and pedestrian crossings, stops, yields, turn arrows, and railroad crossing pavement markings. The curb painting element defines areas that have parking restrictions, such as no stopping/no parking, loading/unloading, and limited - time parking.

Sign Maintenance Program
The Sign Maintenance Program addresses maintenance, installation, and removal of all regulatory, warning, guide, and street name signs under the purview of the City including guide, bike route, airport, hospital and street name signs. Examples of the various sign categories include regulatory, stop, speed, no parking, warning, yield, school zone, and road narrows signage.

Concrete Maintenance Program
The Concrete Maintenance Program provides for the maintenance of sidewalks, curbs and gutters.

These service needs are typically driven by tree root damage, age of the surface, or mandated changes, as in handicap ramps. Each maintenance element, replacement or grinding, is scheduled in areas that present the highest risk. The replacement process involves the immediate marking of hazards, temporary patching to mitigate hazards, removal of damaged concrete and replacement with new concrete. Concrete grinding is performed on a limited basis and involves grinding concrete elevation differences of less than one inch. These maintenance tasks are performed by City staff, as well as outside contract services.

Weed Abatement Program
The Weed Abatement Program is structured to address right-of-way abatement needs within the City.

This program uses City staff labor. It aids in fire protection, mitigates health threats from pest vectors and addresses visual nuisances by abating areas under the maintenance responsibility of City rights - of-way.

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Alley Maintenance Program
The Alley Maintenance Program addresses annual alley grading, typically before the rainy season, and annual weed control. Both services, as well as trash cleanup, are performed on an as -needed basis.

Street Maintenance (1141, 1145, 1147, 1148)
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
027 - GROWTH MITIGATION FUND
Capital & Outside Agencies $ - $ - $ 1,257,295 $ - $ -
Total Growth Mitigation Fund $ - $ - $ 1,257,295 $ - $ -

063 - GAS TAX AND

TRANSPORTATION DEVELOPMENT

ACT FUND

Services & Supplies $ 3,640 $ - $ 26,580 $ 26,580 $ 26,580 Capital & Outside Agencies 3,442,461 6,217,882 6,271,190 5,474,162 5,388,530 Transfers 654,293 655,492 655,492 650,935 650,935
Total Gas Tax and Transportation
Development Act Fund $ 4,100,394 $ 6,873,374 $ 6,953,262 $ 6,151,677 $ 6,066,045

064 - DEVELOPER/GRANT STREET

PROJECTS FUND
Capital & Outside Agencies $ 1,020,134 $ 195,023 $ 2,090,060 $ 1,977,000 $ 6,818,000 Total Developer/Grant Street
Projects Fund $ 1,020,134 $ 195,023 $ 2,090,060 $ 1,977,000 $ 6,818,000

068 - MEASURE A FUND
Salaries & Benefits $ 2,137,033 $ 2,180,828 $ 2,596,840 $ 3,230,060 $ 3,401,402 Services & Supplies 1,218,831 1,632,182 1,503,390 1,645,080 1,675,080 Capital & Outside Agencies 749,873 1,860,685 2,979,984 2,274,908 2,723,474 Total Measure A Fund $ 4,548,218 $ 6,191,685 $ 8,398,204 $ 8,551,450 $ 9,201,358 Total Street Maintenance $ 9,668,746 $ 13,206,082 $ 18,698,821 $ 16,680,127 $ 22,085,403 Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Street Light Maintenance
Total City-Owned Street Lights 6,837 6,966 7,100
Total PG&E-Owned Street Lights 137 138 138
Street Light Maintenance Hours 3,288 3,487 3,835
Traffic Signal Maintenance
Total City-Owned Traffic Signals 48 50 53
Traffic Signal Maintenance Hours 2,423 3,584 3,942
Sign Maintenance Hours 3,694 3,651 4,016
Pavement Marking Maintenance Hours 6,544 6,398 7,038
Flexible Pavement Maintenance
Center Line Miles 229 229 229
General Maintenance Hours 11,528 7,725 8,497
Overlay/Chip Preparation Hours 6,267 8,455 9,301
Concrete Project Maintenance Hours 5,600 4,578 5,036
Weed Abatement Maintenance Hours 1,719 2,542 2,796
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PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26
Alley Maintenance
General Maintenance Hours 873 837 920
Grading Hours 964 708 779
Weed Abatement Maintenance Hours 587 419 461

EFFECTIVENESS/EFFICIENCIES
Pothole Maintenance Hours 3,574 2,733 3,007
Concrete Request Maintenance Hours 5,561 2,871 3,158
SPECIAL REVENUES: GROWTH MITIGATION
Assembly Bill 1600 was enacted in 1987; thereby allowing local governments to enact ordinances establishing development fees to finance the cost of growth -related capital improvements. The legislation provided the framework for establishing growth mitigation fees for development. The City’s Growth Mitigation Fee Ordinance captures revenues and distributes the costs of City-wide infrastructure needs associated with new development and the existing community, to assure that adequate funding is available for the construction of new capital assets necessary to accommodate a growing population and service area.

This budget unit was established to account for the collection of developer/growth mitigation fees to mitigate the impact that growth has on public infrastructure. This budget unit serves as a Special Revenue Fund. Proposed funding for various capital projects can be found in the Capital Projects section of this document.

Growth mitigation fees represent only one element of capital project financing. These fees are used in concert with other funding mechanisms, such as gas tax, local transportation funds, Measure A (county-wide sales tax), and grants to provide the necessar y infrastructure for planned and orderly growth.

PUBLIC WAYS & FACILITIES: PUBLIC TRANSIT
The Santa Maria Regional Transit (SMRT) system provides local and regional public transportation services, as mandated under State and Federal regulations, for the transit needs of the Santa Maria urban area and neighboring communities.

Local Fixed Route (General Public)
The Local Fixed Route program has the objective to provide a safe, efficient, reliable, and comfortable local transit service for the public, which includes the elderly and those with disabilities. During 2024 -26 the program will continue an aggressive marketing program and the operational actions necessary to meet the basic mobility needs of the residents within the service area. The program will work to increase the cost efficiency and productivity of the system by adjusting and modifying routes and sched ules using service -planning strategies to meet the farebox ratio of 20 percent.

Americans with Disabilities Act (ADA) Paratransit Service The ADA Paratransit service will continue to provide curb-to-curb reservation-based paratransit service to meet the needs of the elderly and persons with disabilities who cannot use fixed -route services, as required by the ADA of 1990. The goal remains to provide safe, efficient, reliable, and comfortable transit service while achieving a farebox ratio of 10 percent.

Regional Transit Services
The Breeze bus service was a regional transit service consisting of two routes. As of July 1, 2023, this service has been consolidated with SMRT, and these routes are part of our regular routes. Both routes provide commuter -based public transportation. Rou te 20 provides service from Santa Maria to Los Alamos, Buellton, Solvang, and Santa Ynez. Route 30 provides service between Santa Maria,

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Vandenberg Space Force Base, and Lompoc. These routes allow us to serve our riders transit needs in the northern Santa Barbara County urbanized area.

The Clean Air Express is a regional transit service, which provides commuter -based public transportation connecting the cities of, Buellton, Solvang, and Santa Barbara. The service was initiated by the Santa Barbara Air Pollution Control District and continued by the Santa Barbara County Association of Governments.

Route 10 is a regional transit service provided by SLORTA. This service provides commuter-based public transportation, connecting Santa Maria, Five -Cities, and San Luis Obispo, and is operated by San Luis Obispo Regional Transit Authority, funded with Federal and State funds and passenger fares.

Public Transit (1170, 1171, 1172, 1174, 1177, 1179, 1183) Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
066, 067 - PUBLIC TRANSIT
FUNDS
Salaries & Benefits $ 693,544 $ 610,850 $ 843,068 $ 862,819 $ 913,127 Services & Supplies 5,143,734 7,356,573 8,182,211 9,284,422 8,860,926 Capital & Outside
Agencies 1,596,378 1,428,092 9,955,114 5,120,000 6,080,000 Transfers 139,548 111,216 111,216 370,804 370,804
Total Public Transit Funds $ 7,573,204 $ 9,506,731 $ 19,091,609 $ 15,638,045 $ 16,224,857 Total Budget $ 7,573,204 $ 9,506,731 $ 19,091,609 $ 15,638,045 $ 16,224,857 Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Passengers 630,590 917,922 1,009,714
Santa Maria Regional Transit 557,090 823,098 905,408
The Breeze 43,123 59,571 65,528
ADA Paratransit Express 28,014 30,498 33,548
Trolley 0 2,857 3,143
Cuyama 2,363 1,896 2,085

EFFECTIVENESS/EFFICIENCIES
Fare Box Ratio 14% 8% 9%
Cost Per Passenger $10.76 $14.22 $14.07
Passengers Per Service - Hour 7.79 7.98 10.93
Passengers Per Revenue - Mile 0.50 0.50 .67
Revenue/Hours $11.42 $8.91 $11.18
Revenue/Miles $0.73 $0.56 $0.63
The Breeze
Fare Box Ratio 6% 9% 10%
Cost Per Passenger $24.19 $18.24 $30.51
Passengers Per Service - Hour 4.50 5.40 3.89
Passengers Per Revenue - Mile 0.15 0.17 0.13
Revenue/Hours $6.20 $8.86 $9.18
Revenue/Miles $0.20 $0.28 $0.30
ADA Paratransit
Fare Box Ratio 35% 33% 28.65%
Cost Per Passenger $25.86 $20.00 $24.61
Passengers Per Service - Hour 3.06 3.28 4.39
Passengers Per Revenue - Mile 0.20 0.21 0.27
Revenue/Hours $27.34 $21.87 $30.97
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PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26
Revenue/Miles $1.81 $1.37 $1.87
Trolley
Fare Box Ratio N/A 9.77% N/A
Cost Per Passenger N/A $15.62 N/A
Passengers Per Service - Hour N/A 8.33 N/A
Passengers Per Revenue - Mile N/A 0.31 N/A
Revenue/Hours N/A - N/A
Revenue/Miles N/A - N/A
Cuyama
Fare Box Ratio 6% 4% 4.14%
Cost Per Passenger $22.75 $32.00 $19.28
Passengers Per Service - Hour 1.83 1.57 2.69
Passengers Per Revenue - Mile 0.09 0.08 0.13
Revenue/Hours $2.51 $2.07 $2.14
Revenue/Miles $0.12 $0.10 $0.11

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RECREATION AND PARKS DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
The Recreation and Parks Department's mission is to enrich the lives of the residents of Santa Maria through quality recreation programs and services; and to provide safe and well-maintained facilities and parks, while anticipating the changing needs of the community. The department operates 234 acres of developed parkland in 31 neighborhood and community parks, part of the 1,774-acre Los Flores Ranch Park property, the Abel Maldonado Community Youth Center, the Hagerman Softball Complex, Paul Nelson Aquatics C enter, Elwin Mussell Senior Center, Veterans' Memorial Center and other community centers. The department provides programs in aquatics, youth and adult sports,
therapeutics and senior services, Special Olympics, community classes and events, youth and tee n programs, and the Mayor's Task Force on Youth Safety. It also runs the City's Urban Forest Program.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Make forward progress on implementing a City -wide Landscape Maintenance District, including a sustainable supplemental funding source for the district.

COMMUNITY QUALITY OF LIFE Develop implementation plan for installation of public art across the City in alignment with the recommendations of the Community Leisure Needs and Public Art Five-Year Master Plan.

PLANNING AND INFRASTRUCTURE Make forward progress on the construction of the Sports Complex.

Continue to seek out additional funding sources for the project.

ORGANIZATIONAL WELL-BEING Finalize the implementation of the department’s operational restructuring, including expanded front -line supervision and middle management, employee training and development towards succession planning, and enhanced efficiencies in customer service.

CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25

NEW APPROACH TO ECONOMIC

DEVELOPMENT
Make forward progress on capital projects including, DeJoy Avenue and Taylor Street pocket park projects; the Veterans’ Memorial Park project; the Smith/Enos House and Japanese Community Center projects; and Battles Road Multi -purpose trail beautification project. Continue to seek out additional funding sources for these projects.

PROVIDE YOUTH OPPORTUNITIES Bring forward to the Recreation and Parks Commission final recommendations for the Community Leisure Needs and Public Art Five - Year Master Plan. Conduct a comprehensive review of current youth programs, assessing their effectiveness, relevance, and fee structures, while utilizing the Leisure Needs Assessment framework to guide the development and implementation of future youth programs. Expand and diversify the Mayor’s Youth Task Force to prevent youth violence. Develop and implement a plan to increase youth programming, including at Abel Maldanado Youth Center.

PROVIDE PUBLIC SAFETY RESOURCES Promote safety in and around public spaces, encourage environmental sustainability, and create opportunities for social engagement, through the implementation of new technologies, increased Ranger training, and public education around parks and open spaces.

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CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25 ESTABLISH A STAFFING PLAN Implement the Urban Forest Master Plan, including education, outreach, and updates to the City Municipal Code. (Including staffing)

ACCOMPLISHMENTS
The Recreation and Parks Department celebrates the following accomplishments:

Parks Division:
• Completed and opened the new Machado Plaza.
• Installed floodlights at Adam Park and Crossroads Basin. • Installed 3 Pickleball courts at Minami Park.
• Installed a new futsal court at Buena Vista Park.
• Installed ADA-friendly trail at Preisker Park.
• Graffiti Clean-up – 275,000 square feet.

Recreation Division:
• Reopened Newlove Center and initiated after-school programs. • Special Events – Tree Lighting, 4th of July, Dia De Los Muertos Festival. • Programs for Active Living at Mussell Center.
• Put over 2,500 youth through after-school programs.
• Over 9,360 hours used by patrons at the Paul Nelson Aquatics Center. • Over 50,000 hours used by individuals, organizations, leagues, and clubs at City sports fields and courts.

City Rangers:
• 148 hours of training (Laws of arrest & Search & seizure, crisis intervention training, de-escalation, emergency vehicle operations, all-terrain vehicle enforcement, Human Trafficking, Axon taser instructor, and Axon body camera.
• Career Development (S.T.A.R.T. Academy, Supervisor's Academy, and GROW Cohort III, P.O.S.T. Leadership).
• Specialized equipment (ATV patrol transport trailer, ATV patrol vehicle, Axon body cameras, Axon Taser 10 platform, and 3 E-Bikes).
• Community outreach - Tobacco Retail Enforcement (Enforcing local & state laws, educational outreach, "Shoulder tap operations.").
• Retrieved 7,000+ abandoned shopping carts.

NOTEWORTHY BUDGET HIGHLIGHTS
Administration and Recreation:
• In 2023-24 the department completed an organizational assessment conducted by a third - party vendor. Recommendations proposed in the supplemental budget requests are as a result of the assessment. The key areas highlighted in the assessment included supervisory span of control, operational efficiencies for administrative support, and organizational sustainability through training and career development.
• The staffing plan identified in the assessment expands on opportunities for youth in aquatics, the youth center through teen programming, events at the parks, and recreation at the facilities. The goal is to reach more of our youth and provide them with opportunities for leisure and growth. Additionally, the department will e nhance community events for music, arts, culture, etc.
• Based on the recommendations form the organizational assessment report, staff is requesting to reclassify a part -time Staff Assistant to a full -time Account Clerk I/II, reclassify a part -time Account Clerk Aide to a full-time Office Assistant I/II, and to add a new Administrative Leader allocation. The purpose of this request is to centralize and streamline many administrative and clerical duties that are being handled by frontline supervisors, which takes away from their primary responsibilities to superv ise and mentor their respective workgroups. Having a centralized admin istrative team will ensure quality assurance/control processes, workflow consistency, and the appropriate skillset to complete general and more complex clerical and City of Santa Maria 2024-26 Biennial Budget

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administrative functions. To effect these recommended changes, the increase in cost to the general fund will be approximately $193,135.
• The Graphics Technician classification is currently part-time, and the hourly wage is significantly below industry standard. Staff have requested that this classification be converted to full- time status with a pay range that will allow the department to be competitive when recruiting. The difference in cost is revenue-backed through landscape maintenance tax revenue. • Our two authorized and filled Crew Leader-Maintenance Specialist allocations have not been funded for many years. Staff is requesting that these positions be fully funded through increase in revenues generated through landscape maintenance tax revenue. The total cost over two years will be approximately $467,600.
• Staff is requesting funding for the addition of four Maintenance Worker I/II allocations, as well as corresponding tools and equipment, to support the increasing number of parks that have gone online over the past 10 years, as well as parks that are due to go online over the next 2 years. New parks include the Smith-Enos Ranch Park and Japanese Community Center, the DeJoy Avenue pocket park, the Battles Road Corridor, and the Santa Maria Community Sports Complex. The cost of approximately $921,400 over 2 years for these new position allocations would be funded by landscape maintenance tax revenues.
• In response to a structural failure of a light pole at the Paul Nelson Aquatics Center, staff is requesting $100,000 to replace all light poles adjacent to the pool to prevent potential risk to public safety. The compromised integrity of the collapsed pole highlights the critical concerns regarding the aging infrastructure of the existing poles, which have surpassed a two -decade lifespan.
• Many of the City’s parks have aging equipment that is 10-15 years old and is in need of replacement to maintain required safety standards. As parts for the aging equipment are difficult to come by or are no longer available, the playgrounds will need to be replaced on a regular recurring cycle. Staff is requesting $325,000 each year to replace at least 1 playground annually.
• Staff is requesting $1,500,000 to replace the field lights at Elks baseball field. The current lighting is aged, requires regular maintenance, and has a higher operating cost than modern LED technology. Replacement will allow for a decrease in annual operating expenses, ensure regular and reliable use, and will allow us to incorporate upgraded options such as automation and ball-trackers.
• In order to support the City’s urban forest management and to enhance safety at all City parks, $150,000 over two years is requested, for tree trimming. This will assist in preventing falling limbs and damage to property or people, and to maintain the health of trees within the City’s urban forest.
• To continue to work toward the department’s goal of five acres of parks/open space per 1,000 residents, $2 million is requested over the two years for landscape design and construction for the development of two existing City-owned sites into neighborhood “pocket parks.” • Park furnishings at various parks will be replaced for $300,000 over two years. The purpose is to address rehabilitation needs due to the significant demands associated with growth -related use and emergency repairs at the City’s 28 parks and 11 facilities. This funding would be used as needed to further address potential safety hazards and/or more costly repairs if unattended. • The Department is recommending $300,000 over two years for stewardship management at Los Flores Ranch Park, including maintenance and repair of trails, fire breaks, fencing, roadways, storage facilities, and to purchase needed equipment. • Significant outside funding received in the 2024 Program and Capital Grants budget received includes: Outdoor Equity Grant Program - $589,700, Coastal Conservancy Grant - $76,500, Whale Tail Grant - $27,000, DOJ Tobacco Grant - $441,460, Clean California – Battles - $2,508,133, Prop 68 (Santa Maria Sports Park) - $6.1 million, Local Project Funding - $1 million, HUD-Japanese Community Center - $500,000, CDBG Preisker Park - $491,511, Prop 68 (Veterans’ Memorial Park) - $2,145,041. Pending grants include Com munity Development Block Grant ($400k+) and Urban Greening Grant ($1.6 million). The Department will continue seeking additional funding sources to ensure project completion.

Landscape Maintenance Services:

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• Centennial Gar dens bordered by Battles, Depot and Provance started construction in 2022 and has now been completed adding significant landscape and commiserate the Rose Garden Special Benefit Zone.
• The Betteravia Plaza S pecial Benefit Zone will include the area bounded by Betteravia Road, Blosser Road, Carmen, and the Santa Maria Railroad. Created in 2018, this new tract began construction in the spring of 2021 and will consist of residential and commercial elements. This area includes str eet trees, roadside landscaping, and a bike and walking path, with recreational amenities.
• With expected development in 2024-25, the Blosser Ranch project (bordered by Stowell Road to the north, Blosser Road to the west, Battles Road to the south, and the Santa Maria Valley Railroad to the east) will include residential, retail, a school site, a nd 19 acres of public open space which is planned as the Santa Maria Sports Complex. • In the 2020-22 budget, staff identified structural deficits in the Southeast District and Northeast Districts. The Department is developing a plan for service reductions, cost controls, and revenue increases. Over the previous budget period, staff was able to significantly improve the financial position of both districts. Efforts in water conservation and contract management scope reductions helped reduce costs.
• With the recent water conservation executive order from the Governor, Landscape Districts will have to develop comprehensive plans to conserve water by taking drastic measures, such as removal of ornamental grass areas, upgrading irrigation systems to drip systems, and eliminating unnecessary plant materials with the goal of reducing water consumption by 25 percent. Staff is developing a plan of action to move towards achieving this goal.

Parking & Lighting Maintenance:
• The City continues to ensure that the landscaping, parking lot, and lighting of the Stowell Center, one of Santa Maria’s busiest commercial shopping areas, are maintained in a safe, clean, attractive, and professional manner to attract and encourage reside nts to patronize the Stowell Center businesses.

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DEPARTMENT ORGANIZATION

A complete schedule of the department’s positions, a summary of changes, and a detailed explanation of position changes can be viewed at Personnel -Recreation & Parks on page 190.

Director of
Recreation & Parks
Administration
Customer Service
Support Services
Park Services Office
Program
Recreation
Senior Services
Aktion Club of
Santa Maria
Community Events
Youth Programs
Mayor's Youth Task
Force on Youth
Safety
Youth and Adult
Sports
Aquatics
People for Leisure
and Youth Inc.
(PLAY, Inc.)
Parks and Urban
Forest
Facilities/Support
Section
Mall Grounds and
Parking
Mosquito Control
West Nile Virus
Los Flores Ranch
Park
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BUDGET OVERVIEW
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 8,088,224 $ 8,581,235 $ 10,057,636 $ 11,528,754 $ 11,939,757 Services & Supplies 7,413,002 8,678,962 9,779,834 9,078,165 9,078,065 Capital & Outside
Agencies 2,133,755 4,937,433 8,409,389 950,000 1,250,000 Transfers 1,746,250 2,331,049 2,357,370 2,340,512 2,340,512 Total Budget $ 19,381,232 $ 24,528,679 $ 30,604,229 $ 23,897,431 $ 24,608,334

Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
001 - General Fund $ 9,630,660 $ 10,931,403 $ 12,406,896 $ 12,992,292 $ 13,232,582 011 - Measure U Fund 1,917,985 3,081,760 3,590,221 3,071,312 3,152,287 016 - Quimby Park
Acquisition &
Development Fees Fund
641,241 855,194 757,000 150,000 150,000
027 - Growth Mitigation
Fund - 29,415 4,300,000 - -
028 - Residential
Development Tax Fund 127,602 117,803 150,000 500,000 500,000 031 - Northwest
Landscape District Fund 1,782,207 2,091,937 2,143,185 2,670,863 2,560,501 032 - Northeast
Landscape District Fund 851,174 1,025,760 907,874 827,547 827,547 033 - Southwest
Landscape District Fund 2,250,612 2,642,238 2,092,412 2,028,978 2,028,978 036 - Stowell Parking &
Lighting Fund 7,314 10,794 32,257 31,666 31,666
038 - Southeast
Landscape District Fund 1,689,359 1,606,670 1,634,384 1,524,773 1,524,773 801 - Capital Projects-
General Fund 483,078 2,135,707 2,590,000 100,000 600,000 Total Budget $ 19,381,232 $ 24,528,679 $ 30,604,229 $ 23,897,431 $ 24,608,334

Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
Leisure & Cultural Services
0810 - Administration $ 589,814 $ 1,026,909 $ 653,286 $ 1,079,345 $ 1,119,315 0815 - Parks Services
Officers 87,936 - 70,536 233,755 243,455
0821 - General Recreation 1,712,710 2,013,987 2,066,615 2,260,782 2,373,370 0822 - Facilities 1,551,921 1,769,266 1,730,241 1,729,098 1,761,310 0823 - After School
Education & Safety
Program
570 - 1,044 517 517
0825 - Youth Center 418,375 447,086 474,062 535,521 544,170 City of Santa Maria 2024-26 Biennial Budget

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Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
0830 - Paul Nelson Pool 1,235,932 1,359,373 1,307,169 1,288,345 1,298,706 0840 - Parks 4,112,878 6,022,660 12,485,571 5,480,423 6,007,233 0860 - All American City
Committee - - 11 5 5
0870 - Mosquito
Intervention Program 6,886 4,621 7,220 7,073 7,073
0875 - Mayor's Task Force 62,571 65,752 97,095 96,209 96,209 0880 - Mall Grounds &
Parking 334,145 386,870 404,046 381,219 381,219
0890 - Measure U Public
Safety 1,155,505 1,798,357 1,886,879 1,940,905 2,033,944 0891 - Measure U Youth
Services 291,328 731,431 931,754 846,550 825,768
0892 - Measure U Quality
of Life 471,152 551,972 771,588 283,857 292,575
Total Leisure & Cultural
Services $ 12,031,723 $ 16,178,284 $ 22,887,117 $ 16,163,604 $ 16,984,869 Special Revenues
0841 - Park Acquisition &
Development Projects 768,844 972,997 907,000 650,000 650,000 1540, 1542, 1547, 1548 -
Northeast Landscape
District
1,782,207 2,091,937 2,143,185 2,670,863 2,560,501
1543, 1549, 1550, 1553,
1554 - Northeast
Landscape District
851,174 1,025,760 907,874 827,547 827,547
1531, 1532, 1544, 1551,
1552, 1555, 1556, 1557 -
Southwest Landscape
District
2,250,612 2,642,238 2,092,412 2,028,978 2,028,978
1533, 1541, 1545, 1546,
1558, 1559 - Southeast
Landscape District
1,689,359 1,606,670 1,634,384 1,524,773 1,524,773
1520 - Stowell Parking &
Lighting 7,314 10,794 32,257 31,666 31,666
Total Special Revenue
Funds $ 7,349,509 $ 8,350,395 $ 7.717.112 $ 7,733,827 $ 7,623,465 Total Budget $ 19,381,232 $ 24,528,679 $ 30,604,229 $ 23,897,431 $ 24,608,334

DIVISION/PROGRAM BUDGETS

ADMINISTRATION
The Administration Division assists in providing support to the City Council, the Recreation and Parks Commission, and the City Manager regarding recreation and park issues. The Administration Division provides the community and City staff with a multitude of support services including public reception at the service counter and via telephone, clerical support, and personnel-related services for full-time and part-time staff. This division works closely with the Community Development, Public Works, and Utilities Departments, in the areas of advanced planning and subdivision review for new residential and commercial development, and for activity and events permits. This Division provides budget management of the department’s 12 General Fund accounting units, 22 active Special Districts and Special Benefit Zones, purchasing, and budget preparations. Daily, these support services enable the department to carry out service delivery within its respective operating divisions.

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Additionally, the Administration Division oversees the Park Services Officer Program (i.e. City Rangers) which provides public service, safety, and law enforcement at over 28 City parks and 12 community centers and buildings, 4 multi- purpose trails, all City -owned parking lots and structures, and over 158 acres of landscape district rights -of-way. The City Ranger Program operates approximately 15 hours per day, 7 days a week, 365 days per year, focusing on educating the public on the City Park system and its rules, monitoring recreation and facility amenities, and enforcement of local and State laws including parking regulations. The program works closely with the Santa Maria Police Department (SMPD) in performing its daily tasks and patrols, and actively focuses on resolving lower-level local and State law violations through warnings, citations, and occasional arrests to alleviate some of the calls for service that would otherwise be assigned to the SMPD. One of the program’s top goals is to have its officers highly visible throughout the City park system to enhance the public’s sense of safety while utilizing the Recreation and Park system’s amenities and recreation events. The City Ranger program also provides security services for the Transit Center and Los Flores Ranch Park. There are nine full- time Rangers working under the supervision of a Senior Park Services Officer, and the Director of Recreation and Parks.

The Recreation and Parks Department’s Business Manager serves as the liaison between the Department and the Human Resources Division. Functions include coordinating recruitments, employee matters, industrial and non -industrial injuries and leaves, and employee development and training. The Business Manager also serves as the budget manager for the department, and is responsible for developing and monitoring the budget, consolidating purchasing and contracts for the department, ensuring best practices for purchasing are followed, and that funds are utilized appropriately. This effort exemplifies the City’s Mission Statement associated with its commitment to a financially responsible government and the efficient delivery of services to the public. Addition ally, the Business Manager oversees the workgroups responsible for facility maintenance, event logistical support, graffiti abatement, shopping cart retrieval, maintenance of the department’s vehicles and equipment, event registration, and issuing of park and event permits.

RECREATION
The Recreation Division provides a variety of programs and services available to all members of the community. The Division is responsive to the changing needs of this growing community by providing timely and innovative programming. By working in collaboration with many community boards and committees, along with numerous volunteers, the division can expand the level of service and ensure a high standard of quality for all projects. The division is also responsible for providing the full range of publicity that promotes the services offered by the Department and to ensure the community is well informed about the availability and benefits of Department programs and services. This program promotes grant research, preparation of grant applications, and seeking out donations and program sponsorships toward expanding opportunities to youth and families. Working in conjunction with the Department’s non-profit partner, People for Leisure and Youth, Inc. (PLAY, Inc.), this program is very successful in acquiring supplemental funding for youth recreation scholarships, equipment purchases, and program support.

The key program areas of the Recreation Division follow with a brief description:

Senior Services
The Department -led Active Aging Committee identifies and brings together public, private, and non -profit organizations and businesses that are willing to partner to implement recreation and leisure programs and events for individuals age 50+ to promote the positive benefits of living an active lifestyle. Active Aging Week is held annually in September and is a main priority of the committee, with over 50 free activities designed and implemented for seniors. Numerous health and wellness programs and monthly presentations are held in partnership with senior social service agencies.

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Aktion Club of Santa Maria
Aktion Club is a community service organization for individuals with disabilities to give back to the community through service projects and fundraising. This is a joint program of the Recreation and Parks Department and Kiwanis of Santa Maria - Noontime. Approximately 25 members meet bi- weekly to plan events for other individuals with disabilities; service projects provide college scholarships to local youth and raise funds to support community needs. Last year, the Aktion Club donated over $25,000 to community projects and scholarships. This program achieves the City Council's goal of providing more family recreation activities.

Community Events
Each year, a variety of community -wide events are coordinated through the Community Events Program. Annual events include: Lights, Sights, and Holiday Nights Home Decorating Contest; Concerts and Movies in the Park; The Recreation and Parks Department ‘s Dia de Los Muertos event, celebrating the Mexican tradition of honoring those family members and friends who have passed, has been well- received as a cultural bridging event, recognizing our diverse community. PLAY, Inc. holds a community Christmas tree lighting event in front of City Hall before the annual Parade of Lights event along Broadway (Highway 135). In addition to the Department’s events, many community events benefit from the Department’s support and coordination. These events include the Rotary P arade of Lights, the Elks’ Rodeo and Parade, Veterans’ Stand Down, the Children’s Discovery Museum, and the Kite Festival at Rotary Centennial Park. In partnership with Elks’ Recreation, Inc. the Department provides support for great family events including Christmas in the Country and Haunted Hills events held at the Elks’ Event Center. Many of these events assist in achieving the City Council’s goal of providing more family recreation activities.

Youth Programs
Youth Programs consist of an array of services offered by several sections of the department.

The afterschool drop-in program is available in four city parks and operates as the popular Rec’ on the Move. Rec’ on the Move offers many outdoor activities and games that will keep children safe throughout the school year, during holiday breaks, and summ er vacation. Participants have the opportunity to stay active, learn new games, camp songs, and make new friends while having fun.

The following youth programs/opportunities are offered at the Youth Center:
• Programs and services directed at youth from 7th grade through the 12th grade. • Recreation programs and educational support services are offered 6 days per week. • Training and access to computers, with computer assistance. • Physical fitness equipment and training.
• Music and video media programs.
• Access to other youth-serving agencies.
• Arts resource center
Mayor’s Youth Task Force on Youth Safety
Along with the Mayor, the staff at Recreation and Parks have collaborated with Santa Maria High School and Pioneer Valley High School to form a Mayor’s Teen Advisory Council. These groups work on creating programs and services geared to help involve youth in diversion activities to prevent youth violence. Teens provide the Mayor and staff valuable input and solutions for additional youth and teen programming including Pop- Up Activities at parks, cultural and educational tours to museums and universities, free transportation passes for local youth, establishment of a youth safety net resource called “Safe Places,” and two leadership academies sponsored by a national fast -food chain.

Youth and Adult Sports
Department staff administers a wide range of youth and adult sports programs for the benefit of City residents and non -City residents. These sports activities include basketball, softball, volleyball, tennis, lawn bowling, soccer, dodgeball, and pickleball. Junior Giants Program, sponsored by the San City of Santa Maria 2024-26 Biennial Budget

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Francisco Giants Community Fund, provides introductory-level baseball skills, friendly competition, and instills personal development skills in each of its weekly lesson plans. Department staff also facilitates the operation efforts of numerous community -based sports organizations including Little League baseball, Babe Ruth baseball, youth football, senior and girls softball, and youth and adult soccer.

The staff ensures the availability of a broad range of sports facilities and activities for all residents. City agreements with the elementary school, junior high school, high school, and community college districts provide the community with access to their sports facilities. In addition to these fixed programs, the appetite for competitive sports brings thousands of out -of-town sports participants to compete, stay in local hotels, eat at local restaurants, and purchase goods from local businesses.

Aquatics
Youth and adult swim lessons, public swim, lap swim, exercise classes, and private pool parties make up the core services in the Aquatics program. The Aquatics program focuses on providing participants with a basic knowledge of water safety by offering an array of swim lessons. The Paul Nelson Aquatics Center has various amenities such as a zero-entry pool, deck chairs, umbrella waterfall, frog and turtle slides, and special theme days, and is a family destination for the entire community.

Under contract with the local high school district, the department provides lifeguard and pool maintenance for Pioneer Valley, Righetti, and Santa Maria High Schools’ swimming pools. Providing these services to the local high schools allows for Department staff to be efficiently trained and scheduled to meet the community’s growing aquatic needs. The Department offers swimming programs at Pioneer Valley High School during the summer months. PLAY, Inc. offers free swim days enabling people from throughout the community to enjoy this beautiful and family- fun-oriented Aquatics Center.

Mosquito Control West Nile Virus
This service is operated within the Department’s Special District Division and is supervised by the Special District’s Coordinator, who is certified by the State of California Department of Health Services in mosquito control. This service abates mosquito breeding areas, as needed, on public and private property and works to educate the public on the continuing threat of West Nile Virus and prevention techniques.

Los Flores Ranch Park
Los Flores Ranch Park (LFR) staff and volunteers worked hundreds of hours improving the park by adding new trails, planting oak trees, and providing family -friendly activities since 2016. Over 5,000 people have registered to access Los Flores since its opening in 2014. During the recent COVID -19 pandemic, LFR was one of the resources used by an average of over 300 peop le daily to get out to nature and relieve the stress created by the pandemic. With nearly 1,778 -acres, LFR offers a rare mix of environmental education, recreation, and more than 18 miles of equestrian/mountain biking and pedestrian trails. Los Flores offers free outdoor educational programs to the community such as school field trips, Nature Walks every second Saturday of the month, Outside Nature Play Days every third Saturday of the month, March through November, Moonlight Night Hikes, and Star Gazing parties. Los Flores is operated by a full-time Recreation Coordinator, a part-time Education Coordinator, and three limited-service Guest Services staff. A volunteer-docent staff of 20 assists the Department in addressing critical park maintenance, trail pat rol, providing outdoor educational tours, and serving as hiking guides. Since 2018, Los Flores ranch has partnered with the local agricultural community and high school FFA programs to bring the Santa Maria Valley its own “pumpkin patch” where families have the opportunity to experience pumpkin picking for their fall holidays, as well as a corn maze and several other family farm-oriented activities at a low cost. This program, known as “The Patch” won a statewide award for excellence in City-Business relations. Proceeds from these activities will be applied to expand Los Flores programs/services; scholarships for student volunteers who gain work experience, and seed money for the following year’s pumpkin patch.

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Performance/Workload Measures

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Public Counter Transactions 5,000 13,000 13,000
Facility Bookings/Rentals 3,000 4,300 5,000
Active On-line Registrations 10,000 15,000 25,000
After-School Program Weekly 830 5,420 8,660
Law Enforcement Hours Provided 14,000 17,000 20,500

EFFECTIVENESS/EFFICIENCIES

ADMINISTRATION
Department Program Registrations Processed 25,000 70,000 75,000

SPORTS PROGRAMS
Games Scheduled/Hours of Play 8,000 15,000 25,000
Field Use Hours 30,000 50,000 65,000

FACILITIES
PNAC Aquatic Use Hours 40,000 55,000 55,000
SMJUHSD Aquatics Use Hours 20,000 24,000 22,000
Facility Attendance 3,000 6,000 8,000

PARKS & URBAN FOREST
Acreage of Public Areas Maintained 233 235 237
Trees Planted 395 560 600
Trees Removed 633 610 500
Trees Trimmed 4,826 5,600 5,600
Trees Managed 9,862 11,600 11,600

NEIGHBORHOOD RESTORATION PROGRAM
Square Footage of Graffiti Removed 250,000 275,000 275,000 Shopping Carts Retrieved 7,000 7,000 7,000

MALL GROUNDS AND PARKING
Parking Area Maintenance/Hours 7,280 7,280 7,280
Landscape Maintenance Districts Acre 171 173 183

LANDSCAPE MAINTENANCE DISTRICTS
Maintenance/Hours 20,384 22,464 26,208

LANDSCAPE MAINTENANCE SERVICES
Four Landscape Maintenance Districts were formed by the City Council as a means to finance the ongoing maintenance and future renovations of beautification projects in various areas of the City. The creation of these districts is authorized under Section 22500 of the California Streets and Highways Code and the 1972 Landscape and Lighting Act. The districts levy property tax assessments to fund the maintenance of public and private open spaces, rights -of-way, and boulevards within each respective district. For the purpose of easily distinguishing the landscaping maintenance districts, the City has been divided into four quadrants, centered at Stowell Road and Broadway. The districts are identified as Northwest, Northeast, Southwest, and Southeast.

Each of the four districts serves as a “Master Special District” (MSD) to various Special Benefit Zones (SBZ), which fund the special landscape features found with a specific development, i.e., multi- purpose trails, parks, roundabouts, and parkways. This MSD assessment varies from one MSD to another based on the square footage of properties and the improvements maintained. Assessments are annually determined and assessed on all properties developed since the creation of the districts.

The landscape maintenance districts derive revenue in two ways: 1) from special assessments of residential and commercial properties that were “conditioned” as part of their Development Permit,

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to participate in a landscape maintenance district, and 2) from a City General Fund contribution, which pays for the benefits received by parcels not in a landscape maintenance district. These assessments and benefit calculations are updated annually in th e Engineer’s Report and used to establish new assessments. District staff strives to be good stewards of these funds, by using the competitive bid process to obtain contract services, performing regular site inspections, performing regular in-house and contracted renovations, and implementing special projects and maintenance- related activities associated with irrigation, construction, graffiti abatement, and tree -related service calls. Districts share the cost of administration by dedicating a percentage of staff time to administer the districts. In addition, the districts maintain a sufficient level of reserves to provide for the ongoing replacement of infrastructure, such as plant material damaged by weather events and traffic accidents, an annual district-wide renovation program, and to fund anticipated capital projects within the districts.

PARKING & LIGHTING MAINTENANCE
The Stowell Parking and Lighting Maintenance District was formed in 1961 by the City Council. Since that time, the Stowell Plaza Shopping Center’s (Center) parking lot and landscaping have been maintained by the City, under this special services maintenance district. The Center’s property owners pay an ad valorem tax, which provides income to the district to cover the following services: parking lot sweeping, general clean -up, landscape maintenance, electrical lighting of the parking areas, marquee signage maintenance and upkeep, and other common area maintenance. The objective of this ad valorem tax is to provide the district with sufficient revenue to pay for these services. Meeting this objective with the ad valorem tax rate became impossible over the yea rs, however, as annual expenses continued to increase and tax rate revenues remained flat and were not able to keep pace with the service levels needed. Understanding this challenge and the need for improvements at the Center, the Center’s owners took a bi g step toward addressing the problem. The owners have approached the City to provide a loan on two occasions over the past 20 years to fund the gap in parking lot repairs. The first loan of approximately $300,000 was borrowed to make repairs and has been fully repaid with interest by the shopping center owners. In fiscal year 2013 -14, approximately $155,800 was borrowed to make additional repairs and was fully repaid with interest in fiscal year 2021-

22. Aging asphalt and electrical systems suggest that th e owners are facing a choice again on the long-term repairs that are needed.

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LIBRARY DEPARTMENT

DEPARTMENT OVERVIEW

PURPOSE
The Santa Maria Public Library system provides Library services to approximately 157,000 people in northern Santa Barbara County at the Main Library, and separate branches located in Cuyama, Guadalupe, Los Alamos, and Orcutt. Santa Barbara County has contr acted with the City of Santa Maria to provide Library services to nearby
County libraries continuously since 1961.

Bookmobile service began in October 2020,
expanding Library services to neighborhoods
throughout Santa Maria.

Throughout the service areas, libraries are
community anchors, providing vital
information, computer, and internet access to
meet community members’ personal,
educational, recreational, cultural, and professional needs, especially during tough economic times.

Every day, libraries provide free resources for employment seekers, entrepreneurs, new residents, diverse minority groups, English language learners, students, parents, teens, children, and older adults.

Whether a visitor needs important medical or legal information, a study room, or is looking for movies, music, a good book, a book discussion group, children’s and toddler story time, artistic displays, or an entertaining performer, the library system has something for everyone. Library Saturday Makersp ace offers a place for people of all ages to collaborate and create things and free after-school homework help is available during the week to elementary school students.

Electronic resources continue to increase in popularity as seen in the increased number of electronic materials circulated. The Main Library is open seven days a week and the Library website is available 24/7 as a virtual Library branch providing access to free downloadable electronic books, audiobooks, magazines, movies, and specialty databases that benefit students, businesses, and non -profit organizations. Patrons throughout the service area have online access to recommended homework resources, informational databases, mobile hotspots, laptops, Chromebooks, and a Library of Things with musical instruments, telescopes, sewing machines, cameras, and more are available for home use.

SUBPROGRAMS AND THEIR OBJECTIVES
Meet the general informational needs of the community by acquiring and making available a current and useful collection of print and electronic resources, computers, equipment, and special collections, in a space conducive to browsing, in Library reading, programming, and collaborative work.

Meet the special interest needs of the community and enhance the quality of life by acquiring substantial materials in the areas of world languages, language learning, automobile repair, genealogy, technology, employment, and specialized learning and resource kits.

Provide high-quality customer service, available in a bilingual format, with a well- trained, welcoming staff to assist the public with accessing the Library’s resources and recommending relevant titles and materials that meet the public’s diverse educational, informational, and recreational needs.

Manage the loan of diverse library collections to ensure a proper balance of item lending and retrieval to preserve a high retention rate and maintain positive relations with borrowers.

Facilitate retrieval and full use of desired materials by maintaining a single integrated and easily accessible catalog, providing an easy -to-follow layout of collections, ensuring shelves are restocked

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quickly, accurately and neatly, offering information and assistance when needed, reserving temporarily unavailable materials, and borrowing requested materials from other libraries.

Provide access to Library materials and information for persons outside the Library through telephone and digital reference services, an online catalog, electronic databases and materials for virtual library users and by making materials available to patrons of other libraries through interlibrary loans.

Motivate children, young adults, and adults to read for enjoyment and information, and to effectively use print and electronic resources by conducting in- house and outreach activities designed to develop and enhance reading and research skills.

Improve literacy in partnership with the non -profit Central Coast Literacy Council’s Literacy Center, headquartered in the Main Library. Adults and children learn to read English with guidance from trained tutors, and in classes taught by trained literacy instructors. The Library provides free office space and access to study rooms for Literacy Council use.

Promote the community’s enjoyment of art and culture via rotating local artist exhibits in Shepard Hall, local photographer exhibits on the second floor, children’s art in the Youth Services area, and local non-profit community group displays in display cases throughout the Main Library.

Provide three high -quality meeting rooms for use by outside agencies, including the large gathering room Shepard Hall, the Nelson Conference Room, the Learning Center, and study rooms on the second floor for small groups and individuals.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Research and evaluate opportunities to diversify Library funding by seeking grant opportunities focused on capital projects, professional development, and augmentation of collections and programs, to continue an elevated Library experience for the community.

COMMUNITY QUALITY OF LIFE Continue to promote increased quality of life and the Smart City Safe City Initiative with access to library services embedded into the community through expanded bookmobile services, outreaches, and at least two additional library/community partnerships focusing on non -traditional library services.

Collaborate with Public Works to begin the next phase of planned floor space redesign to enhance patron library experience, increase safety, and align with current library user needs.

PLANNING AND INFRASTRUCTURE Analyze and streamline current library processes to increase use of technology and decrease paper -based systems, improving efficiency and reducing costs, in preparation for the Enterprise Resources Planning System.

ORGANIZATIONAL WELL-BEING Confirm Library operating values and create an internal/external communications strategy to effectively demonstrate the nature and purpose of library services and boost engagement with the library, to align with the Citywide Communication Plan.

CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25

NEW APPROACH TO ECONOMIC

DEVELOPMENT
Plan for redesign the layout of the Library café and lobby area to create flexible space for revenue building ventures and to offer an environment that welcomes community engagement and encourages participation in Library resources.

PROVIDE YOUTH OPPORTUNITIES Partner with school districts and community organizations to gather data on school readiness gaps to complete an updated library early learning needs assessment. This will be used to inform potential updates to early learning programming opportunities.

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CITY COUNCIL TWO-YEAR PRIORITIES DEPARTMENTAL GOALS FOR 2024-25 PROVIDE PUBLIC SAFETY RESOURCES Coordinate with Recreation & Parks and Human Resources to develop and implement a collaborative evaluation system for new Library Security Guards to ensure that both security and Library industry acumen are represented, and employees are performing consistently.

ESTABLISH A STAFFING PLAN Examine current staffing, anticipate future needs and design a forward - thinking staffing plan to address Library workforce retention, development and engagement, as part of the Library’s strategic plan.

Implement the use of new professional development series for Library staff to increase staff skill development and job satisfaction.

ACCOMPLISHMENTS
Some notable accomplishments for the Library include:
• Enhanced Library program opportunities for children and families by partnering with Children’s Resource and Referral and other community organizations to establish an Early Learning Library Hub and Library programs in alternate community physical locations around the community. • Supported the Smart City, Safe City vision by expanding Bookmobile services in the City. • Implemented two part-time dedicated Library Security Guards, through Measure U funding, to provide continued safety for Public Library users and staff. • Laid the framework for creating an internal professional development series for library personnel to increase technical proficiency and industry knowledge, leading to higher staff engagement and job satisfaction.
• Evaluated current trends for collection development and circulation to adjust purchasing allocations, maximizing available funding, and increasing operational efficiency.

NOTEWORTHY BUDGET HIGHLIGHTS
• The Bookmobile expanded its outreach efforts by continuing pop- up locations on Saturdays and increasing attendance at outreach events. The Bookmobile increased partnerships to bring the Library to those who don’t have the ability to visit a brick-and-mortar location. The Bookmobile is funded by Measure U to visit underserved populations within the City. Recently, the County provided additional funding for the Bookmobile to visit unincorporated areas within our Zone 3 service area. These funding sources will allow the Bookmobile to magnify its reach and serve as a vehicle to engage and spark an interest in lifelong literacy and learning. • County funding for branches in 2023 -24 increased to $8.88 per capita. However, this funding level continues to be insufficient for operational costs. Branches are unable to support adequate collections or higher levels of staffing, such as professionally trained Librarians. In Orcutt, Cuyama, Guadalupe, and Los Alamos, the per -capita funds and non -profit Library support group donations go directly towards branch operations. While these generosities from support groups are appreciated, they are not sustainable. To ensure funds are spent in alignment with the County- wide Operating Agreement, the Library conducted an audit of operational costs and developed a streamlined, efficient, and accurate method for the tracking and reporting of County funds. The study further supported the need for increased funding for branch library operations.
• The Black Gold Cooperative Library System membership fees for 2023 -24 were $273,920 and are expected to increase by eight percent in year one and an additional five percent in year two. Black Gold Cooperative Library System membership provides the Library’s shared catalog, server maintenance and system support for the catalog and public computers at the Main Library and branches, and sharing of digital resources, databases, and physical materials. • To provide a safe and welcoming space for Library users and staff, quality safety equipment is a necessity. In 2023, new lighting was installed on the second floor, near the study rooms, to ensure all areas inside the library are well it, while improving the safety of patrons and staff, and providing an improved library experience. The Library is replacing 42 analog security cameras with 25 digital cameras which will capture clear images to be used when Library staff manage City of Santa Maria 2024-26 Biennial Budget

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patron relations with City Rangers, Police, and the City Attorney’s Office. These projects align with the City Council’s priority for public safety and will create a safe and secure environment for patrons and staff when at the Library.
• The Library added two part -time Security Guards to provide security coverage for all open Library hours and is working in conjunction with Recreation and Parks to train and onboard the new staff members. The Security Guards will patrol the Library and adjacent areas, welcoming patrons, diffusing potential issues, and supporting staff when further enforcement is required. • Continuing with the Library’s goal of safety, additional keyless security access readers were installed. These additional readers increased ease of access for staff when setting up frequently used rooms, breaking down rooms, or conducting programs. The rea ders also increased staff safety by allowing keyless entry in emergency situations and blocking access for unauthorized persons.
• The Library Café was altered in 2021, to accommodate the City Clerk's Office during the City Hall remodeling project. Funding sources will be sought to reconfigure the space for current use need, including passports and food service, both revenue generators for the Library.

Reconfiguring the space will allow for expansion and increased confidentiality for passport services, as well as reintroducing refreshment services in the Library Café area. Reestablishing use of this space will provide both additional revenue and security in the lobby area, due to an increased presence from both staff and patrons.
• Staff analyzed changes to patron use of Library collections due to changes in the Black Gold Cooperative Library System membership and used the data results to set ongoing goals for collection development. In an analysis of patron use trends during the last fiscal year, we found that use of digital materials had increased 14 percent and use of physical items increased approximately 15 percent. In the previous budget cycle, the Library received $30,000 for years one and two from Measure U to meet anticipated changes in patron borrowing. Though this assisted in closing the gap it is not sufficient to meet the increasing demand in overall borrowing. This additional funding will allow the Library to continue offering a diverse array of core titles and high circulation items, in physical and digital formats, to meet the needs of our community.
• Through Measure U funding, the Library restored Sunday hours in 2023 and expanded Bookmobile services, by funding an additional Assistant Library Technician to the Outreach division. With the Library increasing and expanding service levels there is also a need to consider reclassification of current positions. The Library is requesting the part -time Graphics Technician to be reclassified to a full- time position. The Graphics Technician creates and curates all displays, newsletters, calendars, fliers, social media graphics, and signs for the library, and assists other City departments with graphics requests. Reclassifying the position to full-time will allow the Graphics Technician to meet increasing demands for promotional material, encourage longevity with the organization and give more opportunities to create, design, and expand upon existing outreach campaigns.

PERFORMANCE/WORKLOAD MEASURES

PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26

DEMAND/WORKLOAD
Average Annual Library Patron Visits 59,160 208,282 218,696 Average Annual Library Cardholders 50,335 49,217 51,677 Materials Checked Out: 623,226 793,555 833,231
Main Library 351,812 524,346 550,563
County Branches 104,582 105,617 110,897
e-Materials Checked Out 166,832 163,592 171,771

EFFECTIVENESS/EFFICIENCIES
Special Programs and Exhibits 583 1,585 1,664
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PERFORMANCE MEASURE ACTUAL
2020-22

ESTIMATED
2022-24

PROJECTED
2024-26
Program Attendance 10,501 35,442 37,214
Computer Sessions 20,432 64,045 67,247

DEPARTMENT ORGANIZATION

A complete schedule of the department’s positions, a summary of changes, and a detailed explanation of position changes can be viewed at Personnel - Library on page 183.

BUDGET OVERVIEW
Budget Summary by Expenditure Category - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

EXPENDITURE CATEGORY
Salaries & Benefits $ 2,632,039 $ 2,837,865 $ 3,575,660 $ 4,131,247 $ 4,327,553 Services & Supplies 1,307,704 1,316,572 1,341,451 1,407,004 1,422,004 Capital & Outside
Agencies 7,875 11,407 35,000 45,000 20,000
Transfers 2,614 725,313 725,313 948,995 948,995
Total Budget $ 3,950,232 $ 4,891,157 $ 5,677,424 $ 6,532,246 $ 6,718,552

Director of
Library
Administration
Main Library
Adult Services
Youth Services
Circulation
Services
Outreach
Bookmobile
Library
Website/Virtual
Library
Branch Libraries
City of Santa Maria 2024-26 Biennial Budget

Library
266
Budget Summary by Fund
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26
FUND
009 - Library Fund $ 3,331,160 $ 4,064,467 $ 4,489,597 $ 5,517,537 $ 5,692,582 011- Measure U Fund 619,072 826,690 1,187,827 1,014,709 1,025,970 Total Budget $ 3,950,232 $ 4,891,157 $ 5,677,424 $ 6,532,246 $ 6,718,552

Budget Summary by Program - All Funds
Actual
FY 2021-22
Actual
FY 2022-23
Adopted
FY 2023-24
Proposed
FY 2024-25
Proposed
FY 2025-26

PROGRAM
Leisure & Cultural Services
0720 - Santa Maria Main
Library $ 2,949,738 $ 3,560,167 $ 3,923,094 $ 4,863,089 $ 5,028,484 0730 - Cuyama Branch 13,670 22,326 26,911 39,887 40,853 0740 - Guadalupe Branch 41,247 46,394 84,810 121,064 122,994 0750 - Los Alamos Branch 42,812 70,421 64,584 105,199 107,971 0760 - Orcutt Branch 184,445 253,462 276,054 380,574 384,556 0780 - Extension Services 99,247 111,697 114,144 7,724 7,724 0790 - Measure U Public
Safety - 673 146,156 192,695 174,075
0791 - Measure U Youth
Services 601,752 784,231 880,795 642,581 667,080
0792 - Measure U Quality
of Life 17,320 41,786 160,876 179,433 184,815
Total Leisure & Cultural
Services $ 3,950,232 $ 4,891,157 $ 5,677,424 $ 6,532,246 $ 6,718,552 Total Budget $ 3,950,232 $ 4,891,157 $ 5,677,424 $ 6,532,246 $ 6,718,552 City of Santa Maria 2024-26 Biennial Budget

Community Development Department
267

COMMUNITY DEVELOPMENT DEPARTMENT

DEPARTMENT OVERVIEW

MISSION STATEMENT
The Community Development Department is committed to the highest level of public service through neighborhood enrichment, arts, innovation, safety in our built environment, and economic growth that collectively improves the quality of place for our community.

PURPOSE
The Community Development Department reviews all residential, commercial, and industrial projects in the City. The Department also coordinates the “planned development” of the City with other City departments and agencies. The Planning Division promotes th e orderly development of the City and strives to ensure a high -quality community-first environment consistent with applicable State laws and the goals, policies, objectives, and programs of the General Plan and Santa Maria Municipal Code. The Building Division is responsible for monitoring construction activity, and to determine that any ongoing construction project has the required permits and conforms to the approved plans, and any conditions of approval.

GOALS AND OBJECTIVES
CITY COUNCIL GOALS FOR 2024-26 DEPARTMENTAL GOALS FOR 2024-25 LONG-TERM FINANCIAL SUSTAINABILITY Continue the multi-year process of a comprehensive update to the City’s General Plan, following direction from the City Council on a Preferred Alternative direction for future growth. Aim for final adoption in FY 2025-

26. COMMUNITY QUALITY OF LIFE Implement the adopted and State certified 6th Cycle (2023-2031) Housing Element programs and monitor and report on the results of the programs through the annual progress report, pursuant to Government Code section 65400.

Continue to participate in the potential development and implementation of a grant -funded, workforce homebuyer down payment assistance program to assist qualifying, first-time homebuyers.

To establish defined architectural and site standards in an effort to maintain high-quality design and construction, and to streamline project review, staff will bring to the Planning Commission and the City Council for adoption, Objective Design Standards for residential developments.

Engage in seeking and potentially securing grants and other outside funding to address homeless -related items. This may be done independently or collaboratively with other agencies and municipalities.

Santa Maria City CouncilJune 18, 2024

Santa Maria City Council
June 18, 2024