Shafter City Council
May 31, 2023

144 SHAFTER OPERATING BUDGET 2022/23
State Gas
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 400501-Gas Tax - Section 2103 136,377 161,381 173,401 137,619 137,000 173,401 400502-Gas Tax - Section 2105 104,140 113,215 120,942 96,030 105,000 120,942 400503-Gas Tax - Section 2106 46,098 51,927 51,939 44,071 47,000 51,939 400504-Gas Tax - Section 2107 140,919 135,320 164,818 130,254 141,000 164,818 400505-Gas Tax - Section 2107.5 5,000 5,000 5,000 5,000 6,000 5,000 400506-Gas Tax - State Repayment - - 20,890 - - 20,890
Sub-Total 70-Taxes $432,534 $466,843 $536,990 $412,974 $436,000 $536,990 460021-Interest Investments - 18,424 - - - -
469900-Allocated Interest 18,447 7,690 5,922 (7,690) 19,000 5,922 Sub-Total 76-Investment Earnings $18,447 $26,114 $5,922 ($7,690) $19,000 $5,922 Total Revenues $450,981 $492,957 $542,912 $405,284 $455,000 $542,912 580100-Capital Prj.- Infrastructure - - 1,100,000 - 192,000 634,000 Sub-Total 93-Capital Projects $0 $0 $1,100,000 $0 $192,000 $634,000 Total Expenses $0 $0 $1,100,000 $0 $192,000 $634,000
590200-Trans Out - Federal Grants - - 663,000 - - -
590207-Trans Out - RMRA - - (11,767) - - -
Sub-Total 94-Transfers-Out $0 $0 $651,233 $0 $0 $0
Total Expenses $0 $0 $651,233 $0 $0 $0
Total State Gas Net Surplus/(Deficit) $450,981 $492,957 ($1,208,321) $405,284 $263,000 ($91,088)

GAS TAX

2022/23 SHAFTER OPERATING BUDGET 145
Traffic Safety
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 440003-Fines - Traffic Safety 72,021 70,964 26,520 33,577 66,000 26,520 Sub-Total 74-Fines, Forfeitures, $72,021 $70,964 $26,520 $33,577 $66,000 $26,520 460021-Interest Investments - 2,200 - - - -
469900-Allocated Interest 2,071 928 3,000 (928) 3,000 3,000 Sub-Total 76-Investment Earnings $2,071 $3,128 $3,000 ($928) $3,000 $3,000 Total Revenues $74,092 $74,092 $29,520 $32,649 $69,000 $29,520 580100-Capital Prj.- Infrastructure - - 4,500,000 - - - 580300-Capital Prj.- Other Imp. - 18,171 20,000 11,966 - - Sub-Total 93-Capital Projects $0 $18,171 $4,520,000 $11,966 $0 $0 Total Expenses $0 $18,171 $4,520,000 $11,966 $0 $0
Total Traffic Safety Net Surplus/(Deficit) $74,092 $55,921 ($4,490,480) $20,683 $69,000 $29,520

TRAFFIC SAFETY

146 SHAFTER OPERATING BUDGET 2022/23
SLESF
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 460021-Interest Investments - 3,768 - - - -
469900-Allocated Interest 4,956 1,631 5,000 (1,631) - - Sub-Total 76-Investment Earnings $4,956 $5,399 $5,000 ($1,631) $0 $0 470001-CA Grant - SLEBG 156,727 161,285 - 165,271 165,272 - Sub-Total 77-Grants & Donations $156,727 $161,285 $0 $165,271 $165,272 $0 Total Revenues $161,683 $166,684 $5,000 $163,640 $165,272 $0 590100-Trans Out - Gen Fund 156,727 151,078 - 15,606 15,607 15,000 Sub-Total 94-Transfers-Out $156,727 $151,078 $0 $15,606 $15,607 $15,000 Total Expenses $156,727 $151,078 $0 $15,606 $15,607 $15,000 Total SLESF Net Surplus/(Deficit) $4,956 $15,606 $5,000 $148,034 $149,665 ($15,000)

SUPPLEMENTAL LAW ENFORECMENT SERVICES

2022/23 SHAFTER OPERATING BUDGET 147
Special PD Services
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 460021-Interest Investments - 40 - - - -
Sub-Total 76-Investment Earnings $0 $40 $0 $0 $0 $0
Total Revenues $0 $40 $0 $0 $0 $0
570100-Automotive Equipment 1,351 - - - - -
570200-Machinery & Equipment 531 - - - - -
Sub-Total 92-Capital Outlay $1,882 $0 $0 $0 $0 $0
Total Expenses $1,882 $0 $0 $0 $0 $0
Total Special PD Services Net Surplus/
(Deficit)
($1,882) $40 $0 $0 $0 $0

SPECIAL PD SERVICES

148 SHAFTER OPERATING BUDGET 2022/23
Asset Forfeitures
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 460021-Interest Investments - 2,209 - - - -
469900-Allocated Interest 2,990 782 3,000 (782) 3,000 3,000 Sub-Total 76-Investment Earnings $2,990 $2,991 $3,000 ($782) $3,000 $3,000 Total Revenues $2,990 $2,991 $3,000 ($782) $3,000 $3,000 Total Asset Forfeitures Net Surplus/(Deficit) $2,990 $2,991 $3,000 ($782) $3,000 $3,000

ASSET FORFEITURE

2022/23 SHAFTER OPERATING BUDGET 149
LLMD
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 400301-Special Asmnt - LLMD 441,943 490,540 697,790 939,045 712,000 697,790 Sub-Total 70-Taxes $706,226 $743,284 $697,790 $939,045 $712,000 $697,790 460021-Interest Investments - 9,334 - - - -
Sub-Total 76-Investment Earnings $0 $12,790 $0 $0 $0 $0 Total Revenues $706,226 $756,074 $697,790 $939,045 $712,000 $697,790 510001-Departmental Supplies 538 - 20 - - 800
510110-Landscaping Services 32,576 21,950 425,245 445,872 426,715 399,456 510114-Contract Services - - - 246 - 6,800
510200-Repairs & Maintenance 427 664 18,700 17,366 22,212 57,710 510205-Building Repair & Maintenance - - - - 3,750 1,000 510400-Professional Services 1,183 540 25,000 3,750 - 8,800 510420-Legal Services 1,267 925 - - 1,000 -
Sub-Total 83-Planned Operations $377,303 $421,609 $468,965 $467,234 $453,677 $474,566 510704-Water 3,938 5,126 94,769 59,387 79,300 77,860
510705-Sewer - - 1,020 - - -
510706-Refuse - - 1,020 - - -
510707-Power 3,096 3,558 44,650 53,304 58,120 84,130
Sub-Total 85-Required Operations $130,691 $142,832 $141,459 $112,691 $137,420 $161,990 520000-Asset Replace 9,233 9,233 - - - -
520001-Asset Replace Offset (9,233) (9,233) - - - -
521000-Internal Admin Charges 2,353 2,647 - - - -
Sub-Total 88-Operations -Internal $53,132 $62,914 $0 $0 $0 $0 Total Expenses $561,126 $627,355 $610,424 $579,925 $591,097 $636,556 Total LLMD Net Surplus/(Deficit) $145,100 $128,719 $87,366 $359,120 $120,903 $61,234

LIGHTING, LANDSCAPE AND MAINTENANCE DISTRICT

150 SHAFTER OPERATING BUDGET 2022/23
Low-Mod Income Housing
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 460021-Interest Investments - 19,623 - - - -
469900-Allocated Interest 26,556 6,948 25,000 (6,948) 27,000 25,000 Sub-Total 76-Investment Earnings $26,556 $26,571 $25,000 ($6,948) $27,000 $25,000 Total Revenues $26,556 $26,571 $25,000 ($6,948) $27,000 $25,000 Total Low-Mod Income Housing Net Surplus/
(Deficit)
$26,556 $26,571 $25,000 ($6,948) $27,000 $25,000

LOW-MOD INCOME HOUSING

2022/23 SHAFTER OPERATING BUDGET 151
CDBG
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 470108-FED GRNT County Pass Thru 60,236 5,064 - - 46,000 - Sub-Total 77-Grants & Donations $60,236 $5,064 $0 $0 $46,000 $0 Total Revenues $60,236 $5,064 $0 $0 $46,000 $0
570100-Automotive Equipment 5,013 - - - - -
Sub-Total 92-Capital Outlay $5,013 $0 $0 $0 $0 $0
580300-Capital Prj.- Other Imp. 75 - - - - -
Sub-Total 93-Capital Projects $75 $0 $0 $0 $0 $0
Total Expenses $5,088 $0 $0 $0 $0 $0
590209-Trans Out - CDBG 64,124 - - - - -
Sub-Total 94-Transfers-Out $64,124 $0 $0 $0 $0 $0
Total Expenses $64,124 $0 $0 $0 $0 $0
Total CDBG Net Surplus/(Deficit) ($8,976) $5,064 $0 $0 $46,000 $0 CDBG

152 SHAFTER OPERATING BUDGET 2022/23
Road Maint & Rehab
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 400507-Gas Tax - SB1 (RMRA) 378,946 409,267 423,529 301,996 379,000 423,529 Sub-Total 70-Taxes $378,946 $409,267 $423,529 $301,996 $379,000 $423,529 460021-Interest Investments - 2,461 - - - -
Sub-Total 76-Investment Earnings $0 $2,461 $0 $0 $0 $0
Total Revenues $378,946 $411,728 $423,529 $301,996 $379,000 $423,529 580100-Capital Prj.- Infrastructure 640,308 1,555 1,200,550 1,324,413 408,000 466,000 Sub-Total 93-Capital Projects $640,308 $1,555 $1,200,550 $1,324,412 $408,000 $466,000 Total Expenses $640,308 $1,555 $1,200,550 $1,324,412 $408,000 $466,000 490200-Trans In - Federal Grants - - - 417,308 - -
490203-Trans In - Gas Tax - - (11,767) - - -
Sub-Total 79-Transfers-In $0 $0 ($11,767) $417,308 $0 $0 Total Revenues $0 $0 ($11,767) $417,308 $0 $0
Total Road Maint & Rehab Net Surplus/
(Deficit)
($261,362) $410,173 ($788,788) ($605,108) ($29,000) ($42,471)

ROAD MAINTENANCE & REHAB

INTERNAL SERVICE FUNDS
Internal Service Funds Expense Budget Change
Internal Service Funds Summary
Facilities Maintenance
Shop - Vehicle Maintenance
Risk Management
Information Technology

FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Internal Service Funds 2020/21 2021/22 2022/23 2023/24 Change Chg Total Facility Maintenance 254,815 433,252 393,452 519,308 125,856 32.0% 15.1% Vehicle Maintenance 321,900 272,751 268,061 253,069 (14,992) -5.6% 7.4% Risk Management 891,861 1,095,429 1,061,566 1,121,154 59,588 5.6% 32.7% Information Technology 685,666 909,956 1,309,754 1,535,461 225,707 17.2% 44.8% Total Internal Service Funds $2,154,242 $2,711,388 $3,032,833 $3,428,992 $396,159 13.1% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Facility Maintenance Category
Expenditures
2020/21 2021/22 2022/23 2023/24 Change Chg Total
82-Wages & Benefits 104,142 93,579 112,902 128,183 15,281 13.5% 24.7% 83-Planned Operations 92,552 196,234 155,394 160,840 5,446 3.5% 31.0% 85-Required Operations 51,548 125,021 116,962 221,700 104,738 89.5% 42.7% 88-Operations -Internal 6,573 18,418 8,194 8,585 391 4.8% 1.7% Total Facility Maintenance 254,815 433,252 393,452 519,308 125,856 32.0% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Vehicle Maintenance Category
Expenditures
2020/21 2021/22 2022/23 2023/24 Change Chg Total
82-Wages & Benefits 177,008 178,982 108,059 129,403 21,344 19.8% 51.1% 83-Planned Operations 71,027 47,132 100,720 63,150 (37,570) -37.3% 25.0% 85-Required Operations 17,180 12,062 16,000 8,050 (7,950) -49.7% 3.2% 88-Operations -Internal 56,685 34,575 43,282 52,466 9,184 21.2% 20.7% Total Vehicle Maintenance 321,900 272,751 268,061 253,069 (14,992) -5.6% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Risk Management Category
Expenditures
2020/21 2021/22 2022/23 2023/24 Change Chg Total
82-Wages & Benefits 49,051 45,010 40,245 48,274 8,029 20.0% 4.3% 83-Planned Operations - 8,819 - - #.0% #.0%
85-Required Operations 842,810 1,041,600 1,021,321 1,072,880 51,559 5.0% 95.7% 88-Operations -Internal - - - - #.0% #.0%
Total Risk Management 891,861 1,095,429 1,061,566 1,121,154 59,588 5.6% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Information Technology Category
Expenditures
2020/21 2021/22 2022/23 2023/24 Change Chg Total
82-Wages & Benefits 406,282 427,681 439,249 889,196 449,947 102.4% 57.9% 83-Planned Operations 209,454 406,512 690,136 510,577 (179,559) -26.0% 33.3% 85-Required Operations 330 4,588 9,580 10,400 820 8.6% .7% 88-Operations -Internal 69,600 71,175 119,789 125,288 5,499 4.6% 8.2% 92-Capital Outlay - - 51,000 - (51,000) -100.0% .0%
Total Information Technology 685,666 909,956 1,309,754 1,535,461 225,707 17.2% 100%

INTERNAL SERVICE FUNDS EXPENSE BUDGET CHANGE
154 SHAFTER OPERATING BUDGET 2022/23

Facility
Maintenance
Vehicle
Maintenance
Risk
Management
Information
Technology Total
Revenues $ 474,050 $ 257,848 $ 1,121,100 $ 1,536,270 $ 3,389,268 Expenses:
82-Wages & Benefits 128,183 129,403 48,274 1,195,056 889,196 83-Planned Operations 160,840 63,150 510,577 - 734,567
85-Required Operations 221,700 1,072,880 8,050 1,313,030 10,400 88-Operations -Internal 8,585 52,466 125,288 - 186,339
Debt Service
Operating Expenses $519,308 $253,069 $1,121,154 $1,535,461 $3,428,992 Operating Income (Loss) ($45,258) $4,779 ($54) $809 ($39,724) 92-Capital Outlay - - - - -
CIP
Transfers
Non-Operating Expenses $0 $0 $0 $0 $0
Net Income/(Loss) $ (45,258) $ 4,779 $ (54) $ (39,724) 809 $ 474,050
257,848
1,121,100
1,536,270
519,308
253,069
1,121,154
1,535,461
- 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000 Facility Maintenance
Vehicle Maintenance
Risk Management
Information Technology
23/24 Proposed Budget
Internal Service Funds
23/24 Proposed Expenses 23/24 Projected Revenue

INTERNAL SERVICE FUNDS SUMMARY
2022/23 SHAFTER OPERATING BUDGET 155

19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget
22/23
Projected
23/24
Proposed
Revenues $ 226,784 $ 258,783 $ 422,227 $ 370,439 $ 370,000 $ 474,050 Expenses:
82-Wages & Benefits 97,300 104,142 93,579 112,902 105,272 128,183 83-Planned Operations 65,645 92,552 196,234 155,394 174,474 160,840 85-Required Operations 21,185 51,548 125,021 116,962 181,200 221,700 88-Operations -Internal 12,569 6,573 18,418 8,194 11,000 8,585 Debt Service
Operating Expenses 196,699 $254,815 $433,252 $393,452 $471,946 $519,308 Operating Income (Loss) $30,085 $3,968 ($11,025) ($23,013) ($101,946) ($45,258) Capital Outlay - - - - - -
CIP
Transfers - - 5,163 - - -
Non-Operating Expenses $0 $0 ($5,163) $0 $0 $0
Net Income/(Loss) $ 30,085 $ 3,968 $ (5,862) $ (23,013) $ (101,946) $ (45,258) $0.1M $0.1M $0.1M $0.1M $0.1M $0.1M
$0.1M
$0.1M
$0.3M $0.3M
$0.4M
$0.4M
$0.0M
$0.0M
$0.0M
$0.0M
$0.0M
$0.0M
$0.2M
$0.3M
$0.4M
$0.4M $0.4M
$0.5M
$0.0M
$0.1M
$0.2M
$0.3M
$0.4M
$0.5M
$0.6M
19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget 22/23 Projected 23/24 Proposed 23/24 Proposed Budget
Facilities Maintenance
Labor M&O Other Operating Expenses Capital Requests & CIP Revenues

FACILITIES MAINTENANCE SUMMARY
156 SHAFTER OPERATING BUDGET 2022/23

19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget
22/23
Projected
23/24
Proposed
Revenues $ 292,097 $ 344,575 $ 257,974 $ 257,846 $ 324,000 $ 257,848 Expenses:
82-Wages & Benefits 193,768 177,008 178,982 108,059 133,997 129,403 83-Planned Operations 71,096 71,027 47,132 100,720 52,630 63,150 85-Required Operations 20,969 17,180 12,062 16,000 8,500 8,050 88-Operations -Internal 24,319 56,685 34,575 43,282 58,000 52,466 Debt Service
Operating Expenses $310,152 $321,900 $272,751 $268,061 $253,127 $253,069 Operating Income (Loss) ($18,055) $22,675 ($14,777) ($10,215) $70,873 $4,779 Capital Outlay
CIP
Transfers - 18,696 - - - -
Non-Operating Expenses $0 $0 ($18,696) $0 $0 $0
Net Income/(Loss) $ (18,055) $ 22,675 $ 3,919 $ (10,215) $ 70,873 $ 4,779 $0.2M $0.2M $0.2M
$0.1M
$0.1M $0.1M
$0.1M
$0.1M
$0.1M
$0.1M $0.1M $0.1M
$0.0M $0.1M
$0.0M $0.0M
$0.1M $0.1M
$0.3M
$0.3M
$0.3M
$0.3M
$0.3M
$0.3M
$0.0M
$0.1M
$0.1M
$0.2M
$0.2M
$0.3M
$0.3M
$0.4M
$0.4M
19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget 22/23 Projected 23/24 Proposed 23/24 Proposed Budget
Shop/Vehicle Maintenance
Labor M&O Other Operating Expenses Capital Requests & CIP Revenues

SHOP SUMMARY
2022/23 SHAFTER OPERATING BUDGET 157

19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget
22/23
Projected
23/24
Proposed
Revenues $ 730,012 $ 893,360 $ 1,092,351 $ 1,061,566 $ 924,000 $ 1,121,100 Expenses:
82-Wages & Benefits 49,051 - 45,010 40,245 41,595 48,274 83-Planned Operations - - 8,819 - - -
85-Required Operations 1,465,629 842,810 1,041,600 1,021,321 1,124,500 1,072,880 88-Operations -Internal 478,466 - - 141,000 - -
Debt Service
Operating Expenses 1,944,095 $891,861 $1,095,429 $1,061,566 $1,307,095 $1,121,154 Operating Income (Loss) ($1,214,083) $1,499 ($3,078) $0 ($383,095) ($54) Capital Outlay
CIP
Transfers - - 408 - - -
Non-Operating Expenses $0 $0 ($408) $0 $0 $0
Net Income/(Loss) $ (1,214,083) $ 1,499 $ (2,670) $ (383,095) - $ $ (54) $1.5M
$0.8M
$1.1M $1.0M $1.1M $1.1M
$0.5M
$0.1M
$0.7M
$0.9M
$1.1M $1.1M
$0.9M
$1.1M
$0.0M
$0.5M
$1.0M
$1.5M
$2.0M
$2.5M
19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget 22/23 Projected 23/24 Proposed 23/24 Proposed Budget
Risk Management
Labor M&O Other Operating Expenses Capital Requests & CIP Revenues

RISK MANAGEMENT SUMMARY
158 SHAFTER OPERATING BUDGET 2022/23

19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget
22/23
Projected
23/24
Proposed
Revenues $ 937,401 $ 849,871 $ 977,756 $ 1,118,370 $ 1,100,000 $ 1,536,270 Expenses:
82-Wages & Benefits 416,396 406,282 427,681 439,249 476,395 889,196 83-Planned Operations 261,236 209,454 406,512 690,136 475,012 510,577 85-Required Operations 6,014 330 4,588 9,580 7,500 10,400 88-Operations -Internal 96,092 69,600 71,175 119,789 83,000 125,288 Debt Service
Operating Expenses $779,738 $685,666 $909,956 $1,258,754 $1,041,907 1,535,461 Operating Income (Loss) $157,663 $164,205 $67,800 ($140,384) $58,093 809 $ 92-Capital Outlay 9,200 - 51,000 - 32,620 -
CIP
Transfers - 12,047 - - - -
Non-Operating Expenses $9,200 $0 ($12,047) $51,000 $32,620 $0 Net Income/(Loss) $ 148,463 $ 164,205 $ 79,847 $ (191,384) $ 25,473 $ 809 $0.4M $0.4M $0.4M $0.4M $0.5M
$0.9M
$0.3M $0.2M
$0.4M
$0.7M
$0.5M
$0.5M
$0.1M
$0.1M
$0.1M
$0.1M
$0.1M
$0.1M
$0.0M
$0.9M
$0.8M
$1.0M
$1.1M
$1.1M
$1.5M
$0.0M
$0.2M
$0.4M
$0.6M
$0.8M
$1.0M
$1.2M
$1.4M
$1.6M
$1.8M
19/20 Actual 20/21 Actual 21/22 Actual 22/23 Budget 22/23 Projected 23/24 Proposed 23/24 Proposed Budget
Information Technology
Labor M&O Other Operating Expenses Capital Requests & CIP Revenues

INFORMATION TECHNOLOGY SUMMARY
2022/23 SHAFTER OPERATING BUDGET 159

FACILITIES MAINTENANCE
Risk Management
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 480100-Misc Refunds - 387,114 - 251,176 - -
Sub-Total 78-Other Revenue $0 $387,114 $0 $251,176 $0 $0 418004-Internal ISF Chrg - Liability 893,360 705,237 1,061,566 - 924,000 1,121,100 Sub-Total 80-Operations -Internal $893,360 $705,237 $1,061,566 $0 $924,000 $1,121,100 Total Revenues $893,360 $1,092,351 $1,061,566 $251,176 $924,000 $1,121,100 500000-Full Time Wages - 379 31,281 38,245 31,281 43,951 500500-Cellphone Allowance - 100 - 417 102 480
500501-Auto Allowance - 125 - 522 129 140
500504-One-Time Compensation - 884 - - - -
500506-Incentive- Bilingual Pay - 80 - 334 350 384
500600-Retirement - 1,090 1,866 3,736 - -
500602-Unfunded Accr. Liab. (UAL) - - - 205 - -
500603-PERS 3069 Misc. Classic - - - 1,073 - -
500604-PERS 26454 Misc. Pepra - - - 499 1,000 1,055
500700-OPEB - Health Insurance - 832 - - - -
500800-Health Insurance - 2,832 4,693 8,843 6,202 -
500801-Dental Insurance - 53 138 151 141 -
500802-Vision Insurance - 36 62 118 80 -
500803-Life Insurance - 43 109 168 160 6
500880-Work Comp Insurance 68 83 161 201 413 434
500990-Non-Cash Labor Cost Allocation - (299) - - - -
509000-Payroll Taxes - 29 1,935 2,976 1,737 1,824
Sub-Total 82-Wages & Benefits $49,051 $45,010 $40,245 $57,488 $41,595 $48,274 510012-Inmate Medical Supplies - 8,819 - - - -
Sub-Total 83-Planned Operations $0 $8,819 $0 $0 $0 $0
510440-Work Compensation Insurance (35,703) - - - - -
510441-Employee Assistance Insurance (5,958) 2,760 5,320 2,760 3,500 2,850 510442-Employee Risk Mgt Insurance 140,062 110,748 159,136 88,492 120,000 114,080 510443-Property Insurance 205,664 297,890 250,000 358,007 400,000 306,830 510444-Risk Management Administration 10,694 3,352 11,026 490 1,000 3,460 510445-Liability Insurance 528,051 626,850 595,839 455,533 600,000 645,660 Sub-Total 85-Required Operations $842,810 $1,041,600 $1,021,321 $905,282 $1,124,500 $1,072,880 520400-Internal ISF Chrg - Liability - - - - 141,000 -
Sub-Total 88-Operations -Internal $0 $0 $0 $0 $141,000 $0 Total Expenses $891,861 $1,095,429 $1,061,566 $962,770 $1,307,095 $1,121,154 490200-Trans In - Federal Grants - 408 - - - -
Sub-Total 79-Transfers-In $0 $408 $0 $0 $0 $0
Total Revenues $0 $408 $0 $0 $0 $0
Total Risk Management Net Surplus/(Deficit) $1,499 ($2,670) $0 ($711,594) ($383,095) ($54) 160 SHAFTER OPERATING BUDGET 2022/23

SHOP
Facility Maintenance
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 480100-Misc Refunds 259 - - - - -
Sub-Total 78-Other Revenue $259 $0 $0 $0 $0 $0
418000-Internal ISF Chrg - Building 258,524 422,227 370,439 - 370,000 474,050 Sub-Total 80-Operations -Internal $258,524 $422,227 $370,439 $0 $370,000 $474,050 Total Revenues $258,783 $422,227 $370,439 $0 $370,000 $474,050 500000-Full Time Wages - 4,796 62,973 31,734 62,973 77,405 500400-Overtime - 3,433 - 189 600 600
500500-Cellphone Allowance 1,214 960 1,201 540 960 1,200 500502-Uniform & Equipment Allowance 300 300 - 407 400 400 500504-One-Time Compensation - 82 - - - -
500506-Incentive- Bilingual Pay 971 768 961 - - -
500600-Retirement 4,425 3,643 4,960 2,267 2,267 2,600
500602-Unfunded Accr. Liab. (UAL) - - - 412 - -
500604-PERS 26454 Misc. Pepra - - - 2,405 5,200 5,117
500800-Health Insurance 21,729 15,286 23,784 13,015 15,286 22,416 500801-Dental Insurance 715 501 643 536 501 643
500802-Vision Insurance 341 239 307 256 239 307
500803-Life Insurance 236 185 251 161 185 -
500880-Work Comp Insurance 11,288 12,571 13,028 875 12,571 13,200 500990-Non-Cash Labor Cost Allocation - (876) - - - -
509000-Payroll Taxes 4,721 4,090 4,794 2,805 4,090 4,295 Sub-Total 82-Wages & Benefits $104,142 $93,579 $112,902 $55,602 $105,272 $128,183 510000-Office Supplies 339 541 1,224 424 750 1,000
510001-Departmental Supplies 713 8,271 5,100 14,896 12,000 12,500 510100-Service Agreements 1,550 15,321 32,320 3,216 6,000 2,000 510103-Postage & Freight - - 102 - 100 100
510109-Janitorial Services - 2,070 73,648 54,970 73,000 67,600 510115-Recruitment - - 204 257 260 -
510200-Repairs & Maintenance 20,754 20,724 21,420 33,948 51,000 42,000 510205-Building Repair & Maintenance - - - 12,159 300 2,000 510300-Vehicle Operations 100 4,114 1,326 1,313 2,100 2,400 510302-Vehicle Operations - Fuel - 366 - 482 400 400
510400-Professional Services - 200 - 1,312 1,400 2,300
510701-Communications 1,030 14,869 20,000 22,344 26,300 27,390 510807-Regulatory & Permitting - - 50 14 14 250
510809-Assessment fees - - - 811 850 900
Sub-Total 83-Planned Operations $92,552 $196,234 $155,394 $146,146 $174,474 $160,840 510704-Water 4,311 8,307 7,200 7,335 8,000 8,560
510705-Sewer 579 695 1,000 637 700 720
510706-Refuse 2,295 2,715 3,162 7,196 8,500 7,500
510707-Power 11,255 67,446 100,000 121,417 155,000 196,920 510708-Natural Gas 2,336 4,964 5,600 9,103 9,000 8,000
Sub-Total 85-Required Operations $51,548 $125,021 $116,962 $145,688 $181,200 $221,700 520000-Asset Replace 938 - 1,275 - 1,000 1,275
520100-Internal ISF Chrg - Shop - 2,641 - - 2,000 -
520300-Internal ISF Chrg - IT - 2,748 - - 2,000 -
520400-Internal ISF Chrg - Liability 5,635 13,029 6,919 - 6,000 7,310 Sub-Total 88-Operations -Internal $6,573 $18,418 $8,194 $0 $11,000 $8,585 Total Expenses $254,815 $433,252 $393,452 $347,436 $471,946 $519,308 490200-Trans In - Federal Grants - 5,163 - - - -
Sub-Total 79-Transfers-In $0 $5,163 $0 $0 $0 $0
Total Revenues $0 $5,163 $0 $0 $0 $0
Total Facility Maintenance Net Surplus/
(Deficit)
$3,968 ($5,862) ($23,013) ($347,436) ($101,946) ($45,258) 2022/23 SHAFTER OPERATING BUDGET 161

RISK MANAGEMENT
Vehicle Maintenance
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 418002-Internal ISF Chrg - Shop 344,575 257,974 257,846 - 324,000 257,848 Sub-Total 80-Operations -Internal $344,575 $257,974 $257,846 $0 $324,000 $257,848 Total Revenues $344,575 $257,974 $257,846 $0 $324,000 $257,848 500000-Full Time Wages - 17,252 73,025 65,428 73,025 78,546 500400-Overtime 2 392 - 129 300 500
500500-Cellphone Allowance 19 60 61 52 60 60
500502-Uniform & Equipment Allowance 1,767 1,515 1,000 2,312 2,600 2,600 500504-One-Time Compensation - 2,271 - - - -
500600-Retirement 13,785 13,157 12,000 7,477 7,477 7,700 500602-Unfunded Accr. Liab. (UAL) - - - 478 - -
500603-PERS 3069 Misc. Classic - - - 2,775 - -
500604-PERS 26454 Misc. Pepra - - - 177 350 369
500800-Health Insurance 5,332 14,175 2,120 1,689 14,175 1,984 500801-Dental Insurance 831 987 568 486 987 566
500802-Vision Insurance 301 403 218 185 403 216
500803-Life Insurance 475 427 293 301 427 959
500880-Work Comp Insurance - 124 13,339 12,299 26,555 27,883 500990-Non-Cash Labor Cost Allocation - (3,699) - - - - 509000-Payroll Taxes - 1,320 5,435 5,147 7,638 8,020
Sub-Total 82-Wages & Benefits $177,008 $178,982 $108,059 $98,935 $133,997 $129,403 510000-Office Supplies 6,446 668 1,020 298 350 350
510001-Departmental Supplies 42,432 17,062 39,800 18,595 15,000 20,000 510105-Software Licensing - - - 620 - -
510109-Janitorial Services 2,667 7,398 12,240 8,854 10,000 12,000 510150-Software Subscription - - - 264 - -
510200-Repairs & Maintenance 3,479 2,776 15,100 6,625 7,500 7,500 510202-Hardware, Tools, Equip, Mainte - - - - - 1,700
510205-Building Repair & Maintenance - - - 83 - 1,500
510300-Vehicle Operations 5,035 5,260 10,000 5,727 5,000 6,000 510302-Vehicle Operations - Fuel - 3,993 5,000 4,049 5,000 5,000 510400-Professional Services 10,591 8,934 14,300 3,357 5,000 5,000 510420-Legal Services - 575 - - 700 -
510501-Training - 212 510 683 500 500
510505-Travel - - 510 36 100 100
510701-Communications 377 254 2,040 241 300 300
510807-Regulatory & Permitting - - 200 565 1,500 1,500
510809-Assessment fees - - - 1,680 1,680 1,700
Sub-Total 83-Planned Operations $71,027 $47,132 $100,720 $51,678 $52,630 $63,150 510706-Refuse 2,962 - 1,000 1,719 2,000 -
510707-Power 10,782 10,211 15,000 1,966 3,000 4,550
510708-Natural Gas 3,436 1,851 - 3,477 3,500 3,500
Sub-Total 85-Required Operations $17,180 $12,062 $16,000 $7,162 $8,500 $8,050 520200-Internal ISF Chrg - Building 37,160 5,000 8,596 - 38,000 11,000 520300-Internal ISF Chrg - IT 10,595 15,253 20,245 - 11,000 26,216 520400-Internal ISF Chrg - Liability 8,930 14,322 14,441 - 9,000 15,250 Sub-Total 88-Operations -Internal $56,685 $34,575 $43,282 $0 $58,000 $52,466 Total Expenses $321,900 $272,751 $268,061 $157,775 $253,127 $253,069 490200-Trans In - Federal Grants - 18,696 - - - -
Sub-Total 79-Transfers-In $0 $18,696 $0 $0 $0 $0
Total Revenues $0 $18,696 $0 $0 $0 $0
Total Vehicle Maintenance Net Surplus/
(Deficit)
$22,675 $3,919 ($10,215) ($157,775) $70,873 $4,779
162 SHAFTER OPERATING BUDGET 2022/23

INFORMATIN TECHONOLOGY
Information Technology
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 480100-Misc Refunds - - - 2,110 - -
Sub-Total 78-Other Revenue $0 $0 $0 $2,110 $0 $0
418001-Internal ISF Chrg - IT 849,871 977,756 1,118,370 - 1,100,000 1,536,270 Sub-Total 80-Operations -Internal $849,871 $977,756 $1,118,370 $0 $1,100,000 $1,536,270 Total Revenues $849,871 $977,756 $1,118,370 $2,110 $1,100,000 $1,536,270 500000-Full Time Wages - - 303,053 319,673 303,053 673,319 500100-Part Time Wages - 96 - 11,730 15,000 16,000
500400-Overtime 2,753 1,876 - 2,227 2,500 5,600
500500-Cellphone Allowance - - 3,603 3,605 3,499 6,000
500501-Auto Allowance - - 185 6,425 5,349 5,350
500502-Uniform & Equipment Allowance 395 - - 265 360 360 500503-Education Reimbursement - - - 1,364 - -
500504-One-Time Compensation - 1,822 - 4,207 - -
500600-Retirement 21,207 20,941 23,523 14,409 14,409 15,300 500602-Unfunded Accr. Liab. (UAL) - - - 1,983 - -
500604-PERS 26454 Misc. Pepra - - - 16,705 35,600 35,606 500800-Health Insurance - - 69,092 61,984 63,245 94,044 500801-Dental Insurance - - 2,061 1,979 2,108 2,947
500802-Vision Insurance - - 921 887 868 1,323
500803-Life Insurance - - 1,112 1,353 1,190 2,672
500880-Work Comp Insurance - - 13,940 8,383 8,024 8,425 500990-Non-Cash Labor Cost Allocation - 6,664 - - - -
509000-Payroll Taxes - 856 21,759 26,258 21,190 22,250
Sub-Total 82-Wages & Benefits $406,282 $427,681 $439,249 $483,437 $476,395 $889,196 510000-Office Supplies 371 616 1,530 356 1,200 1,000
510001-Departmental Supplies 10,890 8,699 33,000 18,338 20,000 25,000 510100-Service Agreements 2,367 3,630 2,040 1,567 2,000 2,000 510103-Postage & Freight 7 2 200 114 160 160
510105-Software Licensing 40,342 124,430 (950) 156,717 - 6,800 510106-Subscriptions & Dues 819 1,029 (3,650) 52,739 - 800 510109-Janitorial Services 600 - - - - -
510115-Recruitment - 199 - 135 - -
510150-Software Subscription - - 292,200 21,001 292,200 292,867 510155-IT Subscription - - 105,000 49,600 105,000 95,150 510200-Repairs & Maintenance 815 9,882 3,060 1,746 2,000 2,000 510201-Website Maintenance 13,420 21,890 3,000 7,806 - - 510202-Hardware, Tools, Equip, Mainte - - 30,800 14,509 - 8,000 510203-Software Maintenance 41,148 71,611 12,250 42,618 - - 510300-Vehicle Operations 8,659 720 2,040 1,046 1,500 2,000 510302-Vehicle Operations - Fuel - 251 1,200 303 550 700 510400-Professional Services - - 175,000 21,106 28,000 45,000 510420-Legal Services - 350 - - - -
510501-Training 8,294 4,625 3,000 5,483 4,700 2,100
510502-Training - Internal - 21 - 235 202 500
510505-Travel - - 1,020 434 500 10,000
510602-Property Rental 12,412 13,050 13,260 12,375 13,500 13,000 510701-Communications 3,272 3,414 5,100 3,368 3,500 3,500 510703-Internet 23,150 22,019 11,036 24,627 - -
Sub-Total 83-Planned Operations $209,454 $406,512 $690,136 $436,223 $475,012 $510,577 510704-Water - - 9,180 - - -
510707-Power 330 4,588 400 5,991 7,500 10,400
Sub-Total 85-Required Operations $330 $4,588 $9,580 $5,991 $7,500 $10,400 520000-Asset Replace 37,500 - 51,000 - 38,000 51,000
520100-Internal ISF Chrg - Shop 2,334 2,641 2,578 - 3,000 2,578 520200-Internal ISF Chrg - Building 7,848 33,373 7,998 - 20,000 10,230 520400-Internal ISF Chrg - Liability 21,918 35,161 58,213 - 22,000 61,480 Sub-Total 88-Operations -Internal $69,600 $71,175 $119,789 $0 $83,000 $125,288 570100-Automotive Equipment - - - 620 620 -
570200-Machinery & Equipment - 95,380 51,000 36,703 32,000 - Information Technology
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 570900-Capital Out.- Contra Acct. - (95,380) - - - -
Sub-Total 92-Capital Outlay $0 $0 $51,000 $37,323 $32,620 $0 Total Expenses $685666 $909956 $1309754 $962974 $1074527 $1535461 2022/23 SHAFTER OPERATING BUDGET 163

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CAPITAL FUNDS &

IMPACT FEES

FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Capital Funds 2020/21 2021/22 2022/23 2023/24 Change Chg Total Water CIP - - - - #.0% #.0%
Wastewater CIP 143,136 109,457 250,000 200,000 (50,000) -20.0% 66.8% Traffic Mitigation 7,654 2,836,541 897,600 99,350 (798,250) -88.9% 33.2% Total Capital Funds $150,790 $2,945,998 $1,147,600 $299,350 ($848,250) -73.9% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Water CIP Category Expenditures 2020/21 2021/22 2022/23 2023/24 Change Chg Total 93-Capital Projects - - - - #.0% #Error
Total Water CIP - - - - #.0% #Error
FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Wastewater CIP Category Expenditures 2020/21 2021/22 2022/23 2023/24 Change Chg Total 85-Required Operations 24 - - - #.0% #.0%
93-Capital Projects 143,112 109,457 250,000 100,000 (150,000) -60.0% 50.0% 94-Transfers-Out - - - 100,000 100,000 #.0% #.0%
Total Wastewater CIP 143,136 109,457 250,000 200,000 (50,000) -20.0% 100% FY23 vs FY24 Change
Actual Actual Budget Budget Dollar Pct % of
Traffic Mitigation Category
Expenditures
2020/21 2021/22 2022/23 2023/24 Change Chg Total
93-Capital Projects 7,654 5,300 - 99,350 99,350 #.0% #.0% 94-Transfers-Out - 2,831,241 897,600 - (897,600) -100.0% .0% Total Traffic Mitigation 7,654 2,836,541 897,600 99,350 (798,250) -88.9% 100%

CAPITAL & IMPACT FEES FUNDS BUDGET CHANGE
166 SHAFTER OPERATING BUDGET 2022/23

2022/23 SHAFTER OPERATING BUDGET 167
Water CIP
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420000-Conect Fees 217,345 104,368 203,000 277,101 245,000 245,000 Sub-Total 72-Connection/Impact Fe $217,345 $104,368 $203,000 $277,101 $245,000 $245,000 460021-Interest Investments - 16,048 - - - -
469900-Allocated Interest 19,510 6,005 15,404 (6,005) 20,000 15,404 Sub-Total 76-Investment Earnings $19,510 $22,053 $15,404 ($6,005) $20,000 $15,404 Total Revenues $236,855 $126,421 $218,404 $271,096 $265,000 $260,404 580100-Capital Prj.- Infrastructure - - - - 1,412,327 - Sub-Total 93-Capital Projects $0 $0 $0 $0 $1,412,327 $0 Total Expenses $0 $0 $0 $0 $1,412,327 $0
Total Water CIP Net Surplus/(Deficit) $236,855 $126,421 $218,404 $271,096 ($1,147,327) $260,404 Resufe CIP
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420000-Conect Fees 7,581 428 2,329 257 200 2,329
Sub-Total 72-Connection/Impact Fe $7,581 $428 $2,329 $257 $200 $2,329 460021-Interest Investments - 3,427 - - - -
469900-Allocated Interest 4,521 1,214 3,379 (1,214) 5,000 3,379 Sub-Total 76-Investment Earnings $4,521 $4,641 $3,379 ($1,214) $5,000 $3,379 Total Revenues $12,102 $5,069 $5,708 ($957) $5,200 $5,708 Total Resufe CIP Net Surplus/(Deficit) $12,102 $5,069 $5,708 ($957) $5,200 $5,708 Park CIP
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420000-Conect Fees 4,562 13,687 6,785 112,430 105,000 15,000 Sub-Total 72-Connection/Impact Fe $4,562 $13,687 $6,785 $112,430 $105,000 $15,000 460021-Interest Investments - 714 - - - -
469900-Allocated Interest 816 342 544 (342) 1,000 544
Sub-Total 76-Investment Earnings $816 $1,056 $544 ($342) $1,000 $544 Total Revenues $5,378 $14,743 $7,329 $112,088 $106,000 $15,544 Total Park CIP Net Surplus/(Deficit) $5,378 $14,743 $7,329 $112,088 $106,000 $15,544

168 SHAFTER OPERATING BUDGET 2022/23
Asset Replacement
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 460021-Interest Investments - 51,390 - - - -
469900-Allocated Interest 67,800 18,196 50,000 (18,196) 68,000 50,000 Sub-Total 76-Investment Earnings $67,800 $69,586 $50,000 ($18,196) $68,000 $50,000 417000-Asset Replace 59,250 - 111,180 - 60,000 111,180
417001-Asset Replace - Police 127,500 - 173,400 - 128,000 173,400 417002-Asset Replace - IT 37,500 - 51,000 - 38,000 51,000 Sub-Total 80-Operations -Internal $224,250 $0 $335,580 $0 $226,000 $335,580 Total Revenues $292,050 $69,586 $385,580 ($18,196) $294,000 $385,580 Total Asset Replacement Net Surplus/(Deficit) $292,050 $69,586 $385,580 ($18,196) $294,000 $385,580 Traffic Mitigation
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420100-Impact Fees 2,688,835 1,727,709 1,500,000 2,353,507 2,350,000 2,100,000 Sub-Total 72-Connection/Impact Fe $2,688,835 $1,727,709 $1,500,000 $2,353,507 $2,350,000 $2,100,000 460021-Interest Investments - 135,914 - - - -
469900-Allocated Interest 144,427 54,144 130,000 (54,144) 145,000 130,000 Sub-Total 76-Investment Earnings $144,427 $190,058 $130,000 ($54,144) $145,000 $130,000 Total Revenues $2,833,262 $1,917,767 $1,630,000 $2,299,363 $2,495,000 $2,230,000 580100-Capital Prj.- Infrastructure 7,654 5,300 - - 16,470 99,350 Sub-Total 93-Capital Projects $7,654 $5,300 $0 $0 $16,470 $99,350 Total Expenses $7,654 $5,300 $0 $0 $16,470 $99,350
590100-Trans Out - Gen Fund - 2,831,241 - - - -
590200-Trans Out - Federal Grants - - 897,600 - - -
Sub-Total 94-Transfers-Out $0 $2,831,241 $897,600 $0 $0 $0 Total Expenses $0 $2,831,241 $897,600 $0 $0 $0
Total Traffic Mitigation Net Surplus/(Deficit) $2,825,608 ($918,774) $732,400 $2,299,363 $2,478,530 $2,130,650 Median Mitigation
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420100-Impact Fees - - 2,122 - - -
Sub-Total 72-Connection/Impact Fe $0 $0 $2,122 $0 $0 $0 460021-Interest Investments - 1,186 - - - -
469900-Allocated Interest 1,605 420 1,600 (420) 2,000 1,600 Sub-Total 76-Investment Earnings $1,605 $1,606 $1,600 ($420) $2,000 $1,600 Total Revenues $1,605 $1,606 $3,722 ($420) $2,000 $1,600 Total Median Mitigation Net Surplus/(Deficit) $1,605 $1,606 $3,722 ($420) $2,000 $1,600 Wastewater CIP
Actual Actual Budget 11Mo Actual Projection Budget
Account 2020/21 2021/22 2022/23 2022/23 2022/23 2023/24 420000-Conect Fees 2,314,493 1,957,960 1,524,000 1,650,580 1,700,000 1,700,000 Sub-Total 72-Connection/Impact Fe $2,314,493 $1,957,960 $1,524,000 $1,650,580 $1,700,000 $1,700,000 460021-Interest Investments - 82,101 - - - -
469900-Allocated Interest 74,990 32,905 60,000 (32,905) 75,000 60,000 Sub-Total 76-Investment Earnings $74,990 $115,006 $60,000 ($32,905) $75,000 $60,000 Total Revenues $2,389,483 $2,072,966 $1,584,000 $1,617,675 $1,775,000 $1,760,000 510118-Credit Card Processing Fees 24 - - - - -
Sub-Total 85-Required Operations $24 $0 $0 $0 $0 $0
580100-Capital Prj.- Infrastructure 143,112 109,457 250,000 19,725 50,000 100,000 Sub-Total 93-Capital Projects $143,112 $109,457 $250,000 $19,726 $50,000 $100,000 Total Expenses $143,136 $109,457 $250,000 $19,726 $50,000 $100,000 595000-Trans Out - WW Operations - - - - - 100,000
Sub-Total 94-Transfers-Out $0 $0 $0 $0 $0 $100,000
Total Expenses $0 $0 $0 $0 $0 $100,000
Total Wastewater CIP Net Surplus/(Deficit) $2,246,347 $1,963,509 $1,334,000 $1,597,949 $1,725,000 $1,560,000

CAPITAL

IMPROVEMENT

PROGRAM (CIP)

CIP
The City of Shafter’s Capital Improvement Program (“CIP”) represents an ongoing budget process through which the city identifies, prioritizes, and develops a multi-year work plan for major capital expenditures and their associated funding sources. As a planning tool, the CIP document outlines the process and activities required to improve and maintain the City of Shafter’s roadways, parks, facilities, and other infrastructure. Generally, CIP improvements are major expenditures that result in becoming City assets which have a multi-year life span. The CIP is a strategic planning tool focusing on City-owned infrastructure, summarizing in one document the City’s overall capital project needs and associated funding requirements, during a five-year period. The CIP document is a planning tool and should be used as such in the annual operating budget preparation and update process. There are a wide variety of funding sources for CIP projects, some steady and predictable, while others are dependent on outside agencies.

The preservation, maintenance, and improvement of our capital infrastructure are core City functions and essential City services. The 2023-2028 CIP reflects and identifies the most critical infrastructure priorities over the next 6 years. The CIP is the City’s strategic planning framework that addresses this responsibility. Without a well-maintained infrastructure Shafter’s economic prosperity cannot be sustained. The condition of our streets, sidewalks, water, sewer, storm drains, recreation facilities, parks, and other public facilities reflects on how well our community is doing and its ability to sustain economic growth. A community’s quality of life, health, safety, and economic wellbeing are all tied to the cornerstone of its infrastructure.

The capital improvements presented in this document are the City’s major projects, which in general exceed $10,000 in cost and have long‐term life spans. These projects include land and right‐of‐way acquisition, design, construction or rehabilitation of public buildings or facilities, public infrastructure, parks, vehicle replacement and information technology projects, and water and transit capital projects. Since many capital improvement projects take more than one fiscal year to design and construct, developing a five‐year plan allows the City Council to better forecast, and anticipate upcoming infrastructure needs and improvements. Each of the projects includes an amount for “Yearly Costs/Depreciation”, which represents an estimate of future annual personnel, maintenance costs, or utility costs anticipated after completion of the project.

Analysis:

The total five-year CIP is estimated at $65.48 million, which includes $10.75 million for the current fiscal year 22/23 and $25.19 million for the upcoming fiscal year 23/24.

EXECUTIVE SUMMARY
170 SHAFTER OPERATING BUDGET 2022/23

The following table has a summary by project type:

Project Type Project Cost Pct
General $ 11,014,387 16.82%
Parks $ 7,770,000 11.87%
Streets $ 22,131,325 33.80%
Water $ 18,662,327 28.50%
Wastewater $ 5,900,000 9.01%
Total $ 65,478,039 100.00%
The following table is summarized by funding source:

Funding Source Total Pct
General Fund -0100 1,610,000 2.46%
ARPA -0200 3,455,387 5.28%
FED Grant -0200 11,949,564 18.25%
Traffic Mitigation -0305 245,761 0.38%
TDA -0204 7,256,000 11.08%
Gas Tax -0203 2,826,000 4.32%
Water Connection -0303 1,687,327 2.58%
Wastewater Connection -0301 150,000 0.23%
Roads & Maint. SB1 -0207 2,474,000 3.78%
Fiber -5004 549,000 0.84%
State Grant -0308 14,300,000 21.84%
Water Rate -5002 6,275,000 9.58%
Water Grant -5002 6,950,000 10.61%
WW Rate -5000 5,750,000 8.78%
Other Funding - 0.00%
Total 65,478,039 100.00%
2022/23 SHAFTER OPERATING BUDGET 171

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies - 500,000 - - - - 500,000
20-Design/Engineering 1,450,000 2,059,000 1,201,325 - - - 4,710,325 30-Land/Site - 1,500,000 - - - - 1,500,000
40-Bidding - - - - - - -
50-Construction 9,302,327 21,130,387 13,855,000 6,720,000 3,560,000 4,200,000 58,767,714 Total Project Costs $ 10,752,327 $ 25,189,387 $ 15,056,325 6,720,000$ 3,560,000$ 4,200,000$ $ 65,478,039 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 335,000 675,000 150,000 150,000 150,000 150,000 1,610,000 ARPA -0200 2,040,000 1,415,387 - - - - 3,455,387
FED Grant -0200 1,939,530 5,088,650 3,921,384 500,000 - 500,000 11,949,564 Traffic Mitigation -0305 16,470 99,350 129,941 - - - 245,761 TDA -0204 2,029,000 1,637,000 845,000 880,000 915,000 950,000 7,256,000 Gas Tax -0203 192,000 634,000 500,000 500,000 500,000 500,000 2,826,000 Water Connection -0303 1,512,327 - - 175,000 - - 1,687,327 Wastewater Connection -0301 50,000 100,000 - - - - 150,000 Roads & Maint. SB1 -0207 408,000 466,000 400,000 400,000 400,000 400,000 2,474,000 Fiber -5004 - 549,000 - - - - 549,000
State Grant -0308 1,355,000 10,545,000 2,400,000 - - - 14,300,000 Water Rate -5002 450,000 2,230,000 1,385,000 565,000 795,000 850,000 6,275,000 Water Grant -5002 - 450,000 4,000,000 2,500,000 - - 6,950,000 WW Rate -5000 425,000 1,300,000 1,325,000 1,050,000 800,000 850,000 5,750,000 Other Funding - - - - - - -
Total Funding Source 10,752,327 $ $ 25,189,387 $ 15,056,325 6,720,000$ 3,560,000$ 4,200,000$ $ 65,478,039 $11,014,387
$7,770,000
$22,131,325
$18,662,327
$5,900,000
General
Parks
Streets
Water
Wastewater
$- $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000

PROJECT TYPE AND FUDNING SOURCE SUMMARY
172 SHAFTER OPERATING BUDGET 2022/23

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
GE00006 City Hall Improvements 0 250,000
GE00007 City Corporation Yard Improvements 0 250,000
PD00001 Police Substation at 7th Std. Rd. 10,420 6,000,000 PF00001 ADA Upgrades at Public Facilities 31,655 500,000 PF00002 Shafter Aquatic Center Proj. 9,707 3,465,387
IT00003 Citywide Broadband Fiber Expansion 0 549,000
General Sub-Total 51,782 11,014,387
PK00002 Kirschenmann Park Field Imp. 12,436 400,000
PK00004 Mannel Park (LWCF Project) 7,279 440,000
PK00005 2022 Park Lighting Improvements 36,857 350,000
PK00006 Veterans Park Site Improvements 11,821 800,000
PK00007 Stringham Park Transit Improvements 109,046 810,000 PK00008 North Shafter Community Park 17,902 3,800,000
PK00009 Skate Park Improvements 0 770,000
PK00010 Rodriguez Park Improvements 0 400,000
Parks Sub-Total 195,341 7,770,000
ST00002 Widen 7th Std.Rd.- Santa Fe to 43 545,283 720,000 ST00003 Street Striping – Pedestrian 22,132 225,000
ST00004 Curbs, Gutters, & Sidewalks 14,800 245,000
ST00005 Alley Improvements 76,186 600,000
ST00006 Pavement Sealing 905,179 2,350,000
ST00011 ADA Imp. - Streets & Sidewalks 148,100 600,000
ST00021 Residential Road Reconstruction 0 2,500,000
ST00022 NPNS Street & Road Improvements 48,515 200,000
ST00023 Street Striping – Roadways 200,398 1,125,000
ST00028 Santa Fe Way Shoulder Improvements 21,415 1,600,000 ST00029 Hwy 43 Roundabout Project @Santa Fe 33,105 2,971,325 ST00030 2022 Street Improvement-E.Euclid 327,647 600,000 ST00031 Valley ST Intersection Improvements 0 150,000
ST00032 7th Standard Rd#2 LN Reconstruction 50 775,000
ST00033 2022 POSO ST & STORM DRAIN IMPROVNT 660,617 800,000 ST00034 2023 James St. Streetlight Project 0 250,000
ST00035 Santa Fe Way Resurfacing Project 0 2,000,000
ST00036 Lerdo Hwy Reconstruction Proj. SB1 0 1,000,000
ST00037 2022 Zerker Rd Reconstruction Proj. 0 820,000
ST00038 RSTP- Road Improvement Project 0 1,000,000
ST00039 RMRA- Road Improvement Project 0 1,600,000
Streets Sub-Total 3,003,427 22,131,325

PROJECT LIST
2022/23 SHAFTER OPERATING BUDGET 173

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
WW00001 Manhole Coating 269,022 1,725,000
WW00002 Southeast Shafter Sewer Imp. 3,315,444 150,000
WW00004 Lift Station Improvements 13,604,471 1,550,000
WW00005 WWTP Pre-Treatment Programs 0 575,000
WW00006 WWTP Plant Maintenance Proj. 0 1,150,000
WW00007 SCADA Project 0 150,000
WW00008 Sewer Flowmeter Project 0 600,000
Streets Sub-Total 17,188,938 5,900,000
WA00001 Major Well or Casing Repairs 902,203 950,000
WA00002 Water Tank Improvements 842,387 675,000
WA00003 Well Maintenance Projects 194,776 950,000
WA00005 SCADA Projects 71,008 350,000
WA00007 Water Meter Retrofits 1,429,924 1,050,000
WA00012 General Water Main Replacement 154,234 825,000
WA00015 Well 21 Development 308,194 2,312,327
WA00016 Well 22 Development 22,238 3,800,000
WA00017 Water Meter - New Installations 0 1,750,000
WA00018 Water Tank 6 - WIP 0 2,750,000
WA00019 Water Tank 7 - NPNS 0 3,250,000
Streets Sub-Total 3,924,964 18,662,327
Total Project Costs 24,364,452 65,478,039
174 SHAFTER OPERATING BUDGET 2022/23

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies 0 300,000 0 0 0 0 300,000
20-Design/Engineering 770,000 249,000 0 0 0 0 1,019,000 30-Land/Site 0 00000 0
40-Bidding 0 00000 0
50-Construction 230,000 8,865,387 150,000 150,000 150,000 150,000 9,695,387 Total Project Costs 1,000,000$ 9,414,387$ 150,000$ 150,000$ 150,000$ 150,000$ $ 11,014,387 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 281,250 462,500 150,000 150,000 150,000 150,000 1,343,750 ARPA -0200 0 715,387 0 0 0 0 715,387
FED Grant -0200 0 00000 0
Traffic Mitigation -0305 0 00000 0
TDA -0204 0 00000 0
Gas Tax -0203 0 00000 0
Water Connection -0303 0 00000 0
Wastewater Connection -0301 0 00000 0
Roads & Maint. SB1 -0207 0 00000 0
Fiber -5004 0 549,000 0 0 0 0 549,000
State Grant -0308 718,750 7,687,500 0 0 0 0 8,406,250
Water Rate -5002 0 00000 0
Water Grant -5002 0 00000 0
WW Rate -5000 0 00000 0
Other Funding 0 00000 0
Total Funding Source 1,000,000$ 9,414,387$ 150,000$ 150,000$ 150,000$ 150,000$ $ 11,014,387 General,
$11,014,387 , 17%
Others,
$54,463,652 , 83%

GENERAL PROJECTS
2022/23 SHAFTER OPERATING BUDGET 175

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
GE00006 City Hall Improvements 0 250,000
GE00007 City Corporation Yard Improvements 0 250,000
IT00003 Citywide Broadband Fiber Expansion 0 549,000
PD00001 Police Substation at 7th Std. Rd. 10,420 6,000,000 PF00001 ADA Upgrades at Public Facilities 31,655 500,000 PF00002 Shafter Aquatic Center Proj. 9,707 3,465,387
$ 51,782 $ 11,014,387
176 SHAFTER OPERATING BUDGET 2022/23

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies 0 0 0 0 0 0 0
20-Design/Engineering 310,000 260,000 0 0 0 0 570,000
30-Land/Site 0 0 0 0 0 0 0
40-Bidding 0 0 0 0 0 0 0
50-Construction 1,270,000 3,180,000 2,750,000 0 0 0 7,200,000 Total Project Costs $ 1,580,000 $ 3,440,000 $ 2,750,000 $ - $ - $ - $ 7,770,000 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 47,500 187,500 0 0 0 0 235,000
ARPA -0200 940,000 700,000 0 0 0 0 1,640,000
FED Grant -0200 0 50,000 350,000 0 0 0 400,000
Traffic Mitigation -0305 0 0 0 0 0 0 0
TDA -0204 0 0 0 0 0 0 0
Gas Tax -0203 0 0 0 0 0 0 0
Water Connection -0303 0 0 0 0 0 0 0
Wastewater Connection -0301 0 0 0 0 0 0 0
Roads & Maint. SB1 -0207 0 0 0 0 0 0 0
Fiber -5004 0 0 0 0 0 0 0
State Grant -0308 592,500 2,502,500 2,400,000 0 0 0 5,495,000 Water Rate -5002 0 0 0 0 0 0 0
Water Grant -5002 0 0 0 0 0 0 0
WW Rate -5000 0 0 0 0 0 0 0
Other Funding 0 0 0 0 0 0 0
Total Funding Source $ 1,580,000 $ 3,440,000 $ 2,750,000 $ - $ - $ - $ 7,770,000 Parks,
$7,770,000 ,
12%
Others,
$57,708,039 ,
88%

PARKS PROJECTS
2022/23 SHAFTER OPERATING BUDGET 177

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
PK00002 Kirschenmann Park Field Imp. 12,436 400,000
PK00004 Mannel Park (LWCF Project) 7,279 440,000
PK00005 2022 Park Lighting Improvements 36,857 350,000
PK00006 Veterans Park Site Improvements 11,821 800,000
PK00007 Stringham Park Transit Improvements 109,046 810,000 PK00008 North Shafter Community Park 17,902 3,800,000
PK00009 Skate Park Improvements 0 770,000
PK00010 Rodriguez Park Improvements 0 400,000
Totals $ 195,341 $ 7,770,000
178 SHAFTER OPERATING BUDGET 2022/23

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies 0 200,000 0 0 0 0 200,000
20-Design/Engineering 140,000 850,000 1,201,325 0 0 0 2,191,325 30-Land/Site 0 1,500,000 0 0 0 0 1,500,000
40-Bidding 0 0 0 0 0 0 0
50-Construction 4,595,000 5,455,000 1,745,000 2,280,000 1,815,000 2,350,000 18,240,000 Total Project Costs $ 4,735,000 $ 8,005,000 $ 2,946,325 $ 2,280,000 $ 1,815,000 $ 2,350,000 $ 22,131,325 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 6,250 25,000 0 0 0 0 31,250
ARPA -0200 100,000 0 0 0 0 0 100,000
FED Grant -0200 1,939,530 4,788,650 1,071,384 500,000 0 500,000 8,799,564 Traffic Mitigation -0305 16,470 99,350 129,941 0 0 0 245,761 TDA -0204 2,029,000 1,637,000 845,000 880,000 915,000 950,000 7,256,000 Gas Tax -0203 192,000 634,000 500,000 500,000 500,000 500,000 2,826,000 Water Connection -0303 0 0 0 0 0 0 0
Wastewater Connection -0301 0 0 0 0 0 0 0
Roads & Maint. SB1 -0207 408,000 466,000 400,000 400,000 400,000 400,000 2,474,000 Fiber -5004 0 0 0 0 0 0 0
State Grant -0308 43,750 355,000 0 0 0 0 398,750
Water Rate -5002 0 0 0 0 0 0 0
Water Grant -5002 0 0 0 0 0 0 0
WW Rate -5000 0 0 0 0 0 0 0
Other Funding 0 0 0 0 0 0 0
Total Funding Source $ 4,735,000 $ 8,005,000 $ 2,946,325 $ 2,280,000 $ 1,815,000 $ 2,350,000 $ 22,131,325 Streets,
$22,131,325 , 34%
Others,
$43,346,714 , 66%

STREETS PROJECTS
2022/23 SHAFTER OPERATING BUDGET 42 179

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
ST00002 Widen 7th Std.Rd.- Santa Fe to 43 545,283 720,000 ST00003 Street Striping – Pedestrian 22,132 225,000
ST00004 Curbs, Gutters, & Sidewalks 14,800 245,000
ST00005 Alley Improvements 76,186 600,000
ST00006 Pavement Sealing 905,179 2,350,000
ST00011 ADA Imp. - Streets & Sidewalks 148,100 600,000
ST00021 Residential Road Reconstruction 0 2,500,000
ST00022 NPNS Street & Road Improvements 48,515 200,000
ST00023 Street Striping – Roadways 200,398 1,125,000
ST00028 Santa Fe Way Shoulder Improvements 21,415 1,600,000 ST00029 Hwy 43 Roundabout Project @Santa Fe 33,105 2,971,325 ST00030 2022 Street Improvement-E.Euclid 327,647 600,000 ST00031 Valley ST Intersection Improvements 0 150,000
ST00032 7th Standard Rd#2 LN Reconstruction 50 775,000
ST00033 2022 POSO ST & STORM DRAIN IMPROVNT 660,617 800,000 ST00034 2023 James St. Streetlight Project 0 250,000
ST00035 Santa Fe Way Resurfacing Project 0 2,000,000
ST00036 Lerdo Hwy Reconstruction Proj. SB1 0 1,000,000
ST00037 2022 Zerker Rd Reconstruction Proj. 0 820,000
ST00038 RSTP- Road Improvement Project 0 1,000,000
ST00039 RMRA- Road Improvement Project 0 1,600,000
Totals $ 3,003,427 $ 22,131,325
180 SHAFTER OPERATING BUDGET 2022/23 43

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies 0 0 0 000 0
20-Design/Engineering 0 0 0 000 0
30-Land/Site 0 0 0 000 0
40-Bidding 0 0 0 000 0
50-Construction 475,000 1,400,000 1,325,000 1,050,000 800,000 850,000 5,900,000 Total Project Costs $ 1,400,000 475,000 $ $ 1,325,000 $ 1,050,000 $ 850,000 800,000 $ 5,900,000 $ 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 0 0 0 000 0
ARPA -0200 0 0 0 000 0
FED Grant -0200 0 0 0 000 0
Traffic Mitigation -0305 0 0 0 000 0
TDA -0204 0 0 0 000 0
Gas Tax -0203 0 0 0 000 0
Water Connection -0303 0 0 0 000 0
Wastewater Connection -0301 50,000 100,000 0 0 0 0 150,000 Roads & Maint. SB1 -0207 0 0 0 000 0
Fiber -5004 0 0 0 000 0
State Grant -0308 0 0 0 000 0
Water Rate -5002 0 0 0 000 0
Water Grant -5002 0 0 0 000 0
WW Rate -5000 425,000 1,300,000 1,325,000 1,050,000 800,000 850,000 5,750,000 Other Funding 0 0 0 000 0
Total Funding Source $ 1,400,000 475,000 $ $ 1,325,000 $ 1,050,000 $ 850,000 800,000 $ 5,900,000 $ Wastewater,
$5,900,000 , 9%
Others,
$59,578,039 , 91%

WASTEWATER PROJECTS
2022/23 SHAFTER OPERATING BUDGET 86 181

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
WW00001 Manhole Coating 269,022 1,725,000
WW00002 Southeast Shafter Sewer Imp. 3,315,444 150,000
WW00004 Lift Station Improvements 14,148,165 1,550,000
WW00005 WWTP Pre-Treatment Programs 0 575,000
WW00006 WWTP Plant Maintenance Proj. 0 1,150,000
WW00007 SCADA Project 0 150,000
WW00008 Sewer Flowmeter Project 0 600,000
Totals $ 17,732,631 $ 5,900,000
182 SHAFTER OPERATING BUDGET 2022/23 87

22-23 23-24 24-25 25-26 26-27 27-28 Total
10-Plans & Studies 0 0 0 000 0
20-Design/Engineering 230,000 700,000 0 0 0 0 930,000
30-Land/Site 0 0 0 000 0
40-Bidding 0 0 0 000 0
50-Construction 2,732,327 2,230,000 7,885,000 3,240,000 795,000 850,000 17,732,327 Total Project Costs $ 2,962,327 $ 2,930,000 $ 7,885,000 $ 3,240,000 $ 795,000 $ 850,000 $ 18,662,327 22-23 23-24 24-25 25-26 26-27 27-28 Total
General Fund -0100 0 0 0 000 0
ARPA -0200 1,000,000 0 0 0 0 0 1,000,000
FED Grant -0200 0 250,000 2,500,000 0 0 0 2,750,000
Traffic Mitigation -0305 0 0 0 000 0
TDA -0204 0 0 0 000 0
Gas Tax -0203 0 0 0 000 0
Water Connection -0303 1,512,327 0 0 175,000 0 0 1,687,327 Wastewater Connection -0301 0 0 0 000 0
Roads & Maint. SB1 -0207 0 0 0 000 0
Fiber -5004 0 0 0 000 0
State Grant -0308 0 0 0 000 0
Water Rate -5002 450,000 2,230,000 1,385,000 565,000 795,000 850,000 6,275,000 Water Grant -5002 0 450,000 4,000,000 2,500,000 0 0 6,950,000 WW Rate -5000 0 0 0 000 0
Other Funding 0 0 0 000 0
Total Funding Source 2,962,327 $ $ 2,930,000 $ 7,885,000 $ 3,240,000 $ 795,000 $ 850,000 $ 18,662,327 Water,
$18,662,327 , 29%
Others,
$46,815,712 , 71%

WATER PROJECTS
2022/23 SHAFTER OPERATING BUDGET 102 183

Project # Project Description
Prior Year
Actuals
Five-Year
Projection
WA00001 Major Well or Casing Repairs 902,203 950,000
WA00002 Water Tank Improvements 842,387 675,000
WA00003 Well Maintenance Projects 194,776 950,000
WA00005 SCADA Projects 71,008 350,000
WA00007 Water Meter Retrofits 1,429,924 1,050,000
WA00012 General Water Main Replacement 154,234 825,000
WA00015 Well 21 Development 308,194 2,312,327
WA00016 Well 22 Development 22,238 3,800,000
WA00017 Water Meter - New Installations 0 1,750,000
WA00018 Water Tank 6 - WIP 0 2,750,000
WA00019 Water Tank 7 - NPNS 0 3,250,000
$ 3,924,964 $ 18,662,327
184 SHAFTER OPERATING BUDGET 2022/23 103

APPENDIX
Budget & Fiscal Policies
Compensation Philosophy
Appropiations Resolution
Budget Adoption Resolution
Employee Benefits
Glossary of Terms

186 SHAFTER OPERATING BUDGET 2022/23

BUDGET AND FISCAL POLICIES

BUDGET PURPOSE AND ORGANIZATION
A. Balanced Budget. The City will maintain a balanced budget. This means that:

1. Operating revenues must fully cover operating expenditures, including debt service and revenue sharing pass-throughs.

2. Ending fund balance/working capital must meet minimum policy levels or other target levels established by the Council for the fiscal year.

Under this policy, it is allowable for total expenditures to exceed revenues in a given year; however, in this situation, beginning fund balance should only be used to fund capital improvement plan projects or other “one-time,” non-recurring expenditures. (See Minimum Fund Balance and Reserves policy below for other circumstances when it would be appropriate to use beginning fund balance.)
B. Budget Objectives. Through its Budget, the City will link resources with goals and results by:

1. Identifying community needs for essential services.

2. Organizing the programs required to provide these essential services.

3. Describing programs and activities performed in delivering services.

4. Proposing objectives for improving the delivery of program services.

5. Identifying and appropriating the resources required to perform program activities and accomplish program objectives.

C. Measurable Objectives. The Budget will establish measurable program objectives and allow reasonable time to accomplish those objectives.

D. Goal Status Reports. The status of major program objectives will be formally reported to the Council on an ongoing, periodic basis.

E. Mid-Year Budget Reviews. The Council will formally review the City’s fiscal condition, and amend appropriations if necessary, six months after the beginning of each fiscal year.

Status: In Compliance. These practices are in place. However, linking resources to outcomes and measuring performance will always be a work in progress, with ongoing improvements.

REVENUE MANAGEMENT
A. Current Revenues for Current Uses; One-Time Revenues for One-Time Purposes. The City will make all current expenditures with current revenues, avoiding procedures that balance current budgets by postponing needed expenditures, accruing future revenues or rolling over short-term debt. The City will avoid using one-time revenues to fund ongoing program costs.

B. Revenue Distribution. The Council recognizes that generally accepted accounting principles for state and local governments discourage the “earmarking” of General Fund

BUDGET & FISCAL POLICIES

2022/23 SHAFTER OPERATING BUDGET 187

BUDGET AND FISCAL POLICIES
revenues, and accordingly, the practice of designating General Fund revenues for specific programs should be minimized in the City's management of its fiscal affairs. In those cases where it does occur, the basis and methodology for earmarking should be clearly articulated in the City’s Budget and Fiscal Policies.

Status: In Compliance. These practices are in place. The Council has adopted a budget process and document for 2021-22 that meets these policy objectives.

MINIMUM FUND BALANCE AND RESERVES
Section 1: Policy
A. Policy Overview. This policy accomplishes two main goals. First, it sets forth specific levels of minimum unassigned fund balance to be maintained for the City's General Fund and a minimum level of available working capital for the City's Water, Wastewater and Refuse enterprise funds. Secondly, this policy establishes a framework and process for the City to follow if these reserve levels falls below the established minimum.

This policy provides guidelines for fiscal sustainability through maintaining adequate operational liquidity and should be used in the preparation of the City's Annual Operating Budget, Capital Improvement Plan and general financial management of the City. It does recognize the need for exceptions in extraordinary conditions and unforeseeable events while maintaining a goal and path to regain fiscal sustainability when necessary.

This Policy should be submitted periodically for peer review, if available, to confirm compliance with best practices and industry standards, including those issued by the Governmental Finance Officers Association of the United States and Canada (GFOA) in setting reserve levels that adequately address risks such as:

1. Economic uncertainties, local disasters, public heath crises and other financial hardships or downturns in the local or national economy.

2. Contingencies for unseen operating or capital needs.

3. Unfunded liabilities such as self-insurance, pensions and retiree health obligations.

4. Institutional changes, such as State budget takeaways and unfunded mandates.

5. Cash flow requirements.

While an independent review does not serve as a substitute for adoption by the Council, it does demonstrate staff's due diligence in the preparation and updating of the policy.

B. Objectives. The purpose of this policy is to assist the City in the pursuit of the following equally important objectives:

1. Maintain long-term fiscal sustainability of the General, Water, Wastewater and Refuse Funds.

2. Meet the short-term liquidity needs of the General, Water, Wastewater and Refuse Funds.

3. Cultivate a fiscally responsible internal control environment.

4. Help achieve the highest possible credit ratings and lowest possible financing costs when borrowing funds.

188 SHAFTER OPERATING BUDGET 2022/23

BUDGET AND FISCAL POLICIES
C. Budget Integration and Financial Management. The City's Annual Operating Budget and Capital Improvement Plan should be developed to comply and implement the various aspects of this policy. This includes but is not limited to both the budgeted use of excess unassigned fund balance or available working capital and the rebuilding of the same as needed to maintain compliance with the minimum reserve levels established herein. As a part of the budget process the City should conduct a sustainability analysis of the General Fund, which compares actual and budgeted recurring revenue sources with recurring expenditures. This tool can help identify a fiscal imbalance before it erodes the General Fund unassigned fund balance.

Any areas of shortfall or otherwise non-compliance with the minimum reserve levels contained within this policy should be disclosed in the City’s Annual Operating Budget document and Comprehensive Annual Financial Report, including a response from management on what actions are being taken to bring the City back into compliance with the policy.

D. Annual Policy Review. Recognizing the liquidity needs of the City will change over time due to items such as the volatility of expenditures; exposure to significant one-time outlays; potential impact on the City's bond rating and cost of borrowed funds; other fiscal commitments and assignments; and the availability of other funds. Accordingly, this policy will be reviewed in conjunction with the City's budget process. Any changes to the policy shall be brought to the Council for consideration and approval.

Section 2: Minimum Balances
The following amounts are hereby established as the minimum unassigned fund balance for the City's General Fund and minimum available working capital for the City's major utility enterprise funds.

A. General Fund. At the end of each fiscal year, the General Fund should have a minimum unassigned fund balance of at least 50% of annual operating expenditures. This is determined based on operating, debt service and revenue sharing pass-through expenditures, less any significant one-time operating costs. This represents 180 days of General Fund operating cash flow and is conservatively based on the risk assessment methodology for setting reserve levels developed by the GFOA.

B. Water, Wastewater and Refuse Funds. The City operates three major utility enterprise funds: water, wastewater and refuse, which provide essential public services that are paid for by users of these services. Maintaining adequate liquidity in these funds is an essential factor in the City's ability to provide these services without interruption. Accordingly, at the end of each fiscal year the City should have a minimum available working capital balance (current assets less current liabilities, minus amounts designated for funding capital projects) in each of these enterprise funds at equal or more than 25% annual operating expenditures for that fund. This is determined based on operating, debt service and revenue sharing pass-through expenditures, less any significant one-time operating costs.

This minimum available working capital balance should be factored into all future user rate studies used to establish utility user rates for these three funds.

C. Taking Reserves Below Minimum Policy Levels. There are circumstances where intentionally taking reserves below the established policy levels would be appropriate in

2022/23 SHAFTER OPERATING BUDGET 189

BUDGET AND FISCAL POLICIES
responding to the risks that reserves are intended to mitigate and are not considered a violation of this policy. These include one-time uses such as:

1. Making investments in human resources, technology, economic development, productivity improvements and other strategies that will reduce future costs or increase future revenue sources.

2. Reducing ongoing expenditures through the partial or full refinancing of liabilities.

3. Closing short-term revenue/expenditure gaps.

4. Responding to unexpected expenditure requirements or revenue shortfalls.

5. Meeting one-time cash flow needs as well as normal cash flow needs during the year.

6. Where a forecast shows an ongoing structural gap, providing a strategic bridge to the future.

Any intentional use of reserves that reduces reserve levels below the minimum policy levels shall be specifically approved by the Council.

Section 3: Correcting Balances Below the Minimum Balance Whenever funds with established minimum balances per this policy fall below these minimal levels, the City will strive to restore these balances to the minimum level within a three-year period. Some actions that may be considered to rectify this situation include the following:

A. General Fund

1. Strategically reducing general fund operating budgets.

2. Updating and improving the City's economic development strategy.

3. Assessing workload and staffing levels to ensure appropriate staffing of General Fund operations, redeploy staffing if necessary.

4. Conduct a revenue study to update General Fund revenue sources that may have fallen behind.

5. Conduct an analysis of the General Fund cost allocation to plan to ensure other City funds are paying the appropriate fees for the General Fund services they receive.

6. Identify special revenues or other funds that can help support the General Fund.

B. Water, Wastewater and Refuse Funds

1. Strategically reduce operations budgets.

2. Initiate a user rate analysis and implement rate changes as needed.

3. Analyze existing debt and possible refinancing options to reduce existing debt service costs.

190 SHAFTER OPERATING BUDGET 2022/23

CITY STAFF AND OFFICIALS

4. Defer non-essential capital improvement projects until adequate funding can be secured through rate increases, grants or debt issuance.

Section 4: Use of Balances Exceeding the Minimum Balance At times, the City may find itself with unassigned General Fund balances and/or available working capital in the Water, Wastewater and Refuse funds that exceed the minimums established by this policy. This policy does not require or recommend that those additional reserve funds be spent down but it does establish the following guidelines regarding the potential use of those funds.

A. Excess reserve funds are not to be used for new or existing recurring expenses except on a short-term basis.

B. Investment of these funds on a longer-term basis, in compliance with the City's Investment Policy, should be considered to provide an ongoing source of recurring investment income for the City
C. Assignment or use of these funds should be considered for early partial or full retirement of existing debt or other City liabilities.

D. A review of the one-time capital improvements needed within the City should be considered to identify and prioritize potential capital projects. Once potential projects have been identified, assignment or use of these funds should be considered for these one-time capital improvement projects.

E. New (as opposed to replacement) one-time capital improvement projects considered for funding should be consistent with the long-term planning of the Council and community led Shafter Visioning project.

Status: In Compliance. The projected unassigned General Fund balance at the end of 2021-22 is 79% of operating and revenue-sharing pass-through expenditures; and working capital balances at the end of 2020-21 compared to budgeted expenditures are projected to be 68% of operating and debt service expenditures in the Water Fund and 175% in the Wastewater Fund.

While working capital is projected to be 16% of operating expenditures in the Refuse Fund, this was due to the drawdown of $300,000 for capital investment in 2020-21 and is an increase over the 8% working capital ratio in the 2020-21 budget. In accordance with Section 3 of this policy, the goal is to restore the Refuse Fund working capital balance to 25% within two more years. Additionally, within this fiscal year the next rate study is to be completed, which is to adjust rates to incorporate the working capital calculations in the new rates. This is one of the tools in the policy for use in rectifying the shortfall in meeting the policy ratio.

FINANCIAL REPORTING AND BUDGET ADMINISTRATION
A. Annual Reporting. The City will prepare annual financial statements as follows:

1. In accordance with Charter requirements, the City will contract for an annual audit by a qualified independent certified public accountant. The City will strive for an unqualified auditors’ opinion.

2. The City will use generally accepted accounting principles in preparing its annual financial statements and will strive to meet the requirements of the GFOA’s Award for Excellence in Financial Reporting program.

2022/23 SHAFTER OPERATING BUDGET 191

CITY STAFF AND OFFICIALS

3. The City will issue audited financial statements within 180 days after year-end.

B. Interim Reporting. The City will prepare and issue timely interim reports on the City’s fiscal status to the Council and staff. This includes on-line access to the City’s financial management system; monthly reports to program managers; more formal quarterly reports to the Council and Department Heads; mid-year budget reviews; and interim annual reports.

C. Budget Administration. The Council may amend or supplement the budget at any time after its adoption by majority vote of the Council members. Council approval is required for all new appropriations from fund balance. The City Manager has the authority to make administrative adjustments to the budget as long as those changes will not have a significant policy impact nor affect budgeted year-end fund balances.

Status: In Compliance. These practices are in place.

192 SHAFTER OPERATING BUDGET 2022/23

COMPENSATION PHILOSOPHY

2022/23 SHAFTER OPERATING BUDGET 193

194 SHAFTER OPERATING BUDGET 2022/23

2022/23 SHAFTER OPERATING BUDGET 195
RESOLUTION NO. 2924

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SHAFTER,

CALIFORNIA, APPROVING AND ADOPTING THE ANNUAL OPERATING BUDGET AND CAPITAL IMPROVEMENT PLAN FOR FISCAL YEAR 2023-2024 AND

APPROPRIATING THE FUNDS NECESSARY TO MEET THE EXPENDITURES SET

FORTH THEREIN
WHEREAS, in accordance with Section 7.06(A) and (F) of the Charter of the City of Shafter, the City Manager has submitted to the City Council an Annual Budget and Capital Improvement Plan for Fiscal Year 2023/2024 having proposed expenditures and transfers for all City funds on or before the first working day of the last month of the current fiscal year; and WHEREAS, pursuant to section 7.06(F) of the Charter of the City of Shafter, the City Council shall set a dollar amount or percentage of funds limit under which the City Manager may transfer monies between departments, divisions, programs, and accounts within funds and departments; and
WHEREAS, the City Council of the City of Shafter has heretofore considered said budget; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SHAFTER

CALIFORNIA DOES HEREBY
Section 1: Find, Determine and Declare that the Budget for Fiscal Year 2023/2024 in substantially the same form as attached hereto is approved, adopted, and said funding is appropriated.

Section 2: The City Manager, or his or her designee, is authorized to transfer appropriations between departments, divisions, programs and accounts within funds and departments in any amount so long as there is no net increase in appropriations within any individual fund or the City as a whole.

PASSED, APPROVED AND ADOPTED this 20th day of June, 2023.

Chad Givens, Mayor
ATTEST:

Yazmina Pallares, City Clerk

BUDGET ADOPTION RESOLUTION

196 SHAFTER OPERATING BUDGET 2022/23

APPROPIATIONS LIMITS RESOLUTION
RESOLUTION NO. 2923

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SHAFTER,

CALIFORNIA, SETTING FORTH AN APPROPRIATIONS LIMIT FOR FISCAL YEAR 2023/2024 CONSISTENT WITH ARTICLE XIII B OF THE CALIFORNIA CONSTITUTION AND SELECTING THE ANNUAL ADJUSTMENT FACTORS.

WHEREAS, Section 7910 of the Government Code, which became effective on January 1, 1981, requires that the governing body of each local jurisdiction establish by Resolution its Appropriations Limit for the following fiscal year pursuant to Article XIII B of the California State Constitution at a regularly scheduled or noticed special meeting; and WHEREAS, in accordance with Government Code Section 7910, the City Council must select annually the inflationary change factor for purposes of calculating the appropriations limit; and
WHEREAS, in accordance with Government Code Section 7910, the City Council must select annually the population growth factor for purposes of calculating the appropriations limit; and
WHEREAS, an appropriations limit has been calculated in accordance with applicable law; and
WHEREAS, in accordance with Government Code Section 7910, the information on the calculation of the appropriations limit has been made available to the public at least 15 days prior to the date of adoption of this resolution, and continues to be available for public inspection.

NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED
Section 1. That the City Council of the City of Shafter establishes its Appropriations Limit for the 2023/24 fiscal year at $424,246,158.

Section 2. That the City Council of the City of Shafter has selected the “percentage change in California per capita personal income” as the inflationary change factor and the “percentage change in City population” as the population growth factor used in the calculation of the 2023/24 Appropriations Limit.

PASSED, APPROVED AND ADOPTED this 20th day of June 2023. __________________________
Chad Givens, Mayor
ATTEST:
__________________________
Yazmina Pallares, City Clerk

2022/23 SHAFTER OPERATING BUDGET 197
CERTIFICATE OF GOVERNING BODY’S ACTION

STATE OF CALIFORNIA )
) ss.

COUNTY OF KERN )
I, Yazmina Pallares, City Clerk of the City of Shafter, California, DO HEREBY CERTIFY that the above Resolution 2923, a Resolution of the City Council of the City of Shafter, was duly passed and adopted at a Regular Meeting held on the 20th day of June 2023, by the following vote:

AYES: Alvarado, Espinoza, Givens, Olvera, and Prout.

NOES: None.

ABSENT: None.

ABSTAINING: None.

DATED: June 20, 2023
(SEAL) __________________________________________
City Clerk of the City of Shafter

198 SHAFTER OPERATING BUDGET 2022/23

FULL-TIME POSITIONS
Position FY 21/22 FY 22/23
FY
23/24
YoY
Change
City Manager 1.00 1.00 1.00 -
Community Engagement Manager 1.00 1.00 1.00 -
City Clerk 1.00 1.00 1.00 -
Office Technician 1.00 1.00 - (1.00)
Administrative Assistant I 1.00 1.00
MCCF Corrections Chief - 1.00 - -
City Manager Total 4.00 5.00 4.00 -
Building Official 1.00 1.00 1.00 -
Building Inspector Supervisor 1.00 1.00 1.00 -
Building Inspector II 1.00 1.00 1.00 -
Building Inspector I 2.00 2.00 2.00 -
Permit Technician - - 1.00 1.00
Administrative Assistant I 1.00 1.00 1.00 -
Clerk Typist 1.00 1.00 - (1.00)
Code Enforcement II 1.00 1.00 1.00 -
Facilities Construction Specialist II 1.00 1.00 - (1.00) Building Total 9.00 9.00 8.00 (1.00)
Police Chief 1.00 1.00 1.00 -
Assistant Police Chief 1.00 1.00 - (1.00)
Police Lieutenant 2.00 1.00 2.00 -
Police Captain - 1.00 1.00 1.00
Administrative Assistant II 1.00 1.00 1.00 -
Police Sergeant 5.00 5.00 5.00 -
Police Senior Officer 6.00 6.00 7.00 1.00
Police Officer 19.00 18.00 19.00 -
Police Service Technician 1.00 1.00 - (1.00)
Police Property & Evidence Technician - - 1.00 1.00
Police Records Supervisor 1.00 1.00 1.00 -
Police Records Technician - - 1.00 1.00
Police Dispatch Supervisor - - 1.00 1.00
Police Dispatcher 6.00 6.00 6.00 -
Police Total 43.00 42.00 46.00 3.00
Animal Control Manager 1.00 1.00 1.00 -
Animal Control Officer 1.00 1.00 1.00 -
Animal Control Services Worker 2.00 2.00 2.00 -
Animal Control Total 4.00 4.00 4.00 -
Business Development Director 1.00 1.00 - (1.00)
Economic Development Director - - 1.00 1.00
Business Development Coordinator - - 1.00 1.00
Economic Development Total 1.00 1.00 2.00 1.00
Citywide Authorized FT Positions

2022/23 SHAFTER OPERATING BUDGET 199
Position FY 21/22 FY 22/23 FY 22/23
YoY
Change
Planning Director 1.00 1.00 1.00 -
Senior Planner 1.00 1.00 1.00 -
Associate Planner - - 1.00 1.00
Planning Total 2.00 2.00 3.00 1.00
Education Partnership Director 1.00 1.00 1.00 -
Library & Learning Center Manager 1.00 1.00 1.00 -
Education Partnership Total 2.00 2.00 2.00 -
Public Works Director 1.00 1.00 1.00 -
Public Works Director, Assistant - - 1.00 1.00
Public Works Director, Deputy (O &M) - - 1.00 1.00
Public Works Director, Deputy (CP) - - 1.00 1.00
Public Works Manager 1.00 1.00 - (1.00)
City Engineer 1.00 1.00 1.00 -
Engineer I 1.00 1.00 1.00 -
Engineer II - - 1.00 1.00
Associate Engineer 1.00 1.00 - (1.00)
PW Inspector 1.00 1.00 1.00 -
GIS Coordinator 1.00 1.00 - (1.00)
GIS Technician 1.00 1.00 - (1.00)
Administrative Assistant I 1.00 1.00 2.00 1.00
Clerk Typist 1.00 1.00 - (1.00)
Parks Foreman - 1.00 - -
Service Crew Member II (PY Maint Worker) 7.00 3.00 7.00 - Service Crew Member I (PY Laborer I/II) 8.00 7.00 8.00 - Utility Manager 1.00 1.00 - (1.00)
Utility Technician 2.00 2.00 2.00 -
Utility Operator II 1.00 1.00 1.00 -
Utility Operator I 2.00 2.00 2.00 -
Equipment Operator 1.00 3.00 1.00 -
Public Facilities Manager 1.00 1.00 1.00 -
Mechanic 1.00 1.00 1.00 -
Facilities Manager - - 1.00 1.00
Public Works Total 34.00 32.00 34.00 -

200 SHAFTER OPERATING BUDGET 2022/23
Position FY 21/22 FY 22/23 FY 22/23
YoY
Change
Administrative Services Director 1.00 1.00 - (1.00)
Finance Director - - 1.00 1.00
Accounting Manager 1.00 1.00 1.00 -
Budet Analyst I - - 1.00 1.00
Accounting Technician III - - 1.00 1.00
Accounting Technician II - - 1.00 1.00
Accounting Technician I - - 2.00 2.00
Payroll Technician 1.00 1.00 - (1.00)
Account Clerk II 1.00 1.00 - (1.00)
Account Clerk I 2.00 2.00 - (2.00)
Finance Clerk 1.00 1.00 - (1.00)
Finance Total 7.00 7.00 7.00 -
Transit Driver 1.00 1.00 2.00 1.00
Public Transit Total 1.00 1.00 2.00 1.00
IT Manager - Systems (PY IT Specialist II) 1.00 1.00 - (1.00) IT Manager - Network 1.00 1.00 - (1.00)
IT Manager - - 1.00 1.00
IT Manager, Assistant - - 1.00 1.00
IT Analyst - - 1.00 1.00
Information Technology Specialist I 1.00 1.00 2.00 1.00 GIS Specialist I - - 1.00 1.00
Information Technology Total 3.00 3.00 6.00 3.00
HR Manager 1.00 1.00 1.00 -
HR Analyst II 1.00 1.00 1.00 -
Admin Assistant I (PY Office Tech) 1.00 1.00 - (1.00)
HR Analyst I - - 1.00 1.00
Human Resources Total 3.00 3.00 3.00 -
Citywide Total 113.00 111.00 121.00 8.00

2022/23 SHAFTER OPERATING BUDGET 201

202 SHAFTER OPERATING BUDGET 2022/23
Staffing Summary - Part Time Employees (hours)
2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 Fund Name Department/Division Budget Budget Budget Budget Budget Budget Budget Administrative Director
General Fund Educational Partnership - - - - - - -
- - - - - - -
Aides
General Fund Educational Partnership - - - - - - -
- - - - - - -
Building Inspector
General Fund Building - - - - - - -
- - - - - - -
Clerk
General Fund Educational Partnership 125 125 - 125 125 - - 125 125 - 125 125 - -
Clerk Typist
General Fund Planning 686 686 686 686 686 440 686
General Fund Engineering Services 86 86 86 86 86 - -
General Fund Building 686 686 686 686 686 440 686
General Fund Educational Partnership 1,920 1,920 - 1,920 1,920 - - General Fund City Manager - - - - - 640 -
Water Fund Water Operations 86 86 86 86 86 - 100
Wastewater Fund Wastewater Operations 86 86 86 86 86 - 100 Refuse Fund Refuse Operations 86 86 86 86 86 - -
3,636 3,636 1,716 3,636 3,636 1,520 1,572
Deputy Police Chief
General Fund Police Services 960 960 - 960 960 - 960
960 960 - 960 960 - 960
Drivers
Transit Fund Transit Operations 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600
Engineering Extra Help
Water Fund Water Operations - - - - - - 250
Wastewater Fund Wastewater Operations - - - - - - 250
Refuse Fund Refuse Operations - - - - - - -
General Fund Engineering Services - - - - - - 250
- - - - - - 750
Finance Manager
General Fund Financial Services - - - - - - -
Water Fund Water Operations - - - - - - -
Wastewater Fund Wastewater Operations - - - - - - -
Refuse Fund Refuse Operations - - - - - - -
Transit Fund Transit Operations - - - - - - -
- - - - - - -
Intern
Information Technology Automation Maintenance 240 240 - 240 240 - 960 General Fund Engineering 1,480 1,480 1,480 1,480 1,480 1,480 1,480 General Fund Building 160 160 160 160 160 640 640
General Fund Planning 160 160 160 160 160 - 160
General Fund Educational Partnership - - - - - - -
2,040 2,040 1,800 2,040 2,040 2,120 3,240
Laborer
General Fund Parks & Tree Maintenance - - - - - - -
General Fund Streets & Sidewalks - - - - - - -
Water Fund Water Operations - - - - - - -
Wastewater Fund Wastewater Operations - - - - - - -
Refuse Fund Refuse Operations - - - - - - -
- - - - - - -
Librarian
General Fund Educational Partnership 125 125 - 125 125 - - 125 125 - 125 125 - -
Nurse
CCF Operations Fund Corrections Operations 480 480 480 480 480 - - 480 480 480 480 480 - -
Planning Director
General Fund Planning - - - - - - -
- - - - - - -

PART-TIME HOURS

2022/23 SHAFTER OPERATING BUDGET 203
2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 Fund Name Department/Division Budget Budget Budget Budget Budget Budget Budget Police Officer
General Fund Police Services - - - - - - -
- - - - - - -
Principal
General Fund Educational Partnership 175 175 - 175 175 - - 175 175 - 175 175 - -
Recreation Coordinator
General Fund Recreation & Community Facil - - - - - - - - - - - - - -
Recreation Worker
General Fund Recreation & Community Facil - - - - - - - - - - - - - -
Shelter Workers
General Fund Animal Control - - - - - - -
- - - - - - -
Teacher I
General Fund Educational Partnership 1,350 1,350 408 1,350 1,350 408 3,683 1,350 1,350 408 1,350 1,350 408 3,683
Tutor II
General Fund Educational Partnership - - - - - - 3,919
- - - - - - 3,919
Tutor
General Fund Educational Partnership 4,650 4,650 4,650 4,650 4,650 6,858 2,939 4,650 4,650 4,650 4,650 4,650 6,858 2,939
Vets Hall Laborer
General Fund Recreation & Community Facil 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000
Total Part Time Employees (hours) 20,141 20,141 15,654 20,141 20,141 17,506 23,663

204 SHAFTER OPERATING BUDGET 2022/23

SUMMARY OF EMPLOYEE BENEFITS
The following information is intended as a ready reference and brief summary of the City’s personnel policies, work rules and benefits. It is designed to provide a quick overview and access to general information conditioned on your employment status as a full-time employee. Unless otherwise specifically indicated, part-time, extra help and temporary employees are excluded. This summary is not intended to provide an entire benefit description and cannot anticipate every situation or answer every question. This is not an employment contract or a legal document and does not constitute a contract. To retain flexibility, the City’s personnel policies, work rules, benefits and other provision frequently change without notice to its employees. The information may not be current or may differ due to changes in the employee bargaining agreements. Refer to respective plan brochures, city policies and procedures, and employee bargaining agreements for benefit provisions, limitations, and exclusions. Prior to acting based on any information, you should contact the Human Resources Department at 746-5003.  Probation:

The probationary period is the final step in the selection process. It is an extension of the examination process. An employee is considered at will and may be rejected anytime for failure to satisfactorily complete the probationary period. The length of the probationary period is six (6) months, except that peace officers and dispatchers serve a twelve (12) month probation. The probationary period may be extended for a maximum of six (6) additional months.
 Performance Appraisal Reports (PAR):

A Performance Appraisal Report (PAR) is scheduled at the conclusion of the probationary period and annually. As approved by the Department Head and City Manager, a merit increase is awarded based on an overall satisfactory or better rating on the annual PAR when normally increasing job productivity is documented.
 Pay Plan:

The duties and responsibilities determine each job classification and is assigned a salary range. Five steps of compensation exist within that salary range (Steps A through E). Step A represents the minimum rate of compensation and Step E represents the maximum. There is a difference of 5% between each salary step. Each step represents an increasing level of responsibility and competence. Advancement in step is considered on a merit basis subject to the approval of the Department Head and City Manager.  Tax Withholding Statement (W-4):

Filing both Federal and State tax withholding statements are required. A new tax withholding statement can be filed anytime throughout the year. The tax withholding statements do not need annual renewal. However, to continue an exempt status from the previous year, you must file a new tax withholding statement claiming exempt status by February 15. Failure to do so requires a tax withholding of single with no allowance.  Wages:

Employee pay operates on a bi-weekly pay schedule; including 80-hour work periods with 26 work periods per year. Employees are paid for actual hours worked (or paid time off used) plus any overtime worked in excess of the base work week during the pay period.

Base Hours Base Week
Hours per
Year
Month per
Year
Checks per
Year
Hours per
Year
Checks per
Year
Hours per
Check
40 52 2080 12 26 2080 26 80
80 26 2080 12 26 2080 26 80

 Base Work Week Period:

Work Schedule Base Work Week Base Hours Overtime
5 day - 8 hour shifts, weekly Starts Saturday, ends 7 days later on Friday 40 hours Over 40 hours 4 day - 10 hour shifts, weekly Starts Saturday, ends 7 days later on Friday 40 hours Over 40 hours 6 days - 12 hour + 1- 8 hour shifts, bi-weekly Starts Saturday, ends 14 days later on Friday 80 hours Over 80 hours

SUMMARY OF EMPLOYEE BENEFITS

2022/23 SHAFTER OPERATING BUDGET 205
 Pay Period:

Pay periods, pay days, and overtime/leave cut off dates are outlined on the payroll schedule below.

 Overtime:

Employees who do not meet the duties and salary test under the Fair Labor Standard Act (FLSA) are not exempt from overtime compensation and are paid at a rate of one and one-half times the hourly rate for hours worked in excess of the base work week period. Overtime compensation may be paid as income on the paycheck or banked as compensatory time off (CTO). Overtime forms are required to be submitted as the overtime is worked. Failure to submit overtime forms by the end of the pay period is considered falsification of timekeeping records.

Employees who meet the duties and salary test under the FLSA as executive, administrative or professional are exempt from overtime compensation.

Exempt employees are not paid for hours worked in excess of the base work week period. Exempt employees receive compensation each day, despite the number of hours worked during the work week period. Exempt employees absent for a full day or more should submit an employee leave form.

Exempt employees do not submit leave forms for partial day absences.  Pay Day:

Employee pay operates on a bi-weekly pay schedule. Pay checks are issued the Friday following the payroll cut-off date (refer to payroll schedule for exact dates). When payday is on a holiday, pay is issued on the prior business day. The paycheck stub shows current and year to date earnings plus accrued leave balances and deduction information. Pay stubs are available via Employee Self Service (ESS).  Direct Deposit:

Employees are subject to mandatory participation in the direct deposit of their City payroll checks to a bank account of their choice. Direct deposit by electronic transfer of the entire paycheck into a checking account can be made to any banking institution. Subject to bank rules, funds are posted to accounts on payday. Paycheck stubs can be accessed via Employee Self Service (ESS).  Uniform Allowance:

Employees required to wear uniforms are issued shirt and pants, or receive an annual cash allowance. Upon termination, uniforms must be returned, and advanced cash allowance must be repaid on a pro-rated basis.  Tuition Reimbursement:

As authorized, employees who pursue a higher education in job-related, career enhancing courses or to attain a degree, may be reimbursed up to $3000 in a calendar year for expenses (tuition, book purchase or rental, fees, permits, etc.).

206 SHAFTER OPERATING BUDGET 2022/23
 Education/Certification Incentive:

Employees in designated positions may be eligible for education and/or certification incentives as approved by the Department Head, which may include PD - POST certificate incentive for Police and Dispatch classifications; State Arborist and Water Distribution Certificates for designated Public Works classifications.
 Bilingual Allowance:

Employees in designated positions as approved by the Department Head are eligible for an incentive for fluency in Spanish. Certification requires a Spanish conversational and reading examination.
 Rest Breaks:

Rest periods are normally provided to employees at the rate of fifteen (15) minutes for each four (4) hours worked. No additional compensation or benefits is paid if a rest period is missed since it is already paid time.

 Vacation Time:

Vacation leave is based on an eight (8) hour day and is earned based on years of service.

Vacation begins to accrue on a pro-rated hourly basis at the end of the first full pay period worked. Vacation cannot be taken until completion of one year of service and must be taken within a year after it is earned. Vacation stops accruing at a balance of two times the annual accrual rate based on a rolling forward method and resumes when vacation is taken, dropping the balance below the maximum. Example: Employee accrues vacation at a rate of 3.077 hours per period or 80 hours annually. Accruals stop when balance reaches 160 hours and does not resume until balance is below 160 hours. The time at which vacation can be taken is determined by the Department Head with regard for the wishes of the employee and particular regard for the needs of the City. When a holiday falls during vacation, the holiday is charged in lieu of vacation leave. Employees are required to submit leave forms for vacation leave. Vacation leave balance is posted on the paycheck stub. Leave forms must be submitted as it occurs for all hours absent from work during the work week. Failure to submit leave forms by the end of the pay period is considered falsification of timekeeping records.

 Holidays:

Unless otherwise specified, holidays are eight (8) hours. Floating holidays are credited to your leave account the first pay period of July and require Department Head approval consistent with the efficient operation of the department. A floating holiday not used by June 30 does not carry over to the next fiscal year.

Non-shift employees normally take a holiday off on the day it falls, except when a holiday falls on a Saturday, the preceding Friday is observed, and when it falls on a Sunday, the following Monday is observed. When a holiday falls during a vacation, the holiday is in lieu of vacation. Employees assigned to work on holidays are paid at time and one half. Holidays can be paid as wages as it occurs throughout the year, or banked as CTO to use as paid leave throughout the year.
 Sick Leave
Sick leave accrues at a rate of 3.6923 hours bi-weekly, beginning on the first day of employment for a full-time regular appointment. There is no limit to the accumulation. Temporary and part-time employees accrue one (1) hour of sick leave for every 30 hours worked and will be credited pro-rata each pay period; maximum annual carryover is 48 hours. Leave forms must be submitted as it occurs for all hours absent from work during the work week. Failure to submit leave forms by the end of the pay period is considered falsification of timekeeping records. Medical certification is required for an employee absent 3 or more consecutive calendar days, or upon request when in conjunction with regular days off or a holiday.

Sick leave can be used for an illness that keeps an employee from performing work. Sick leave can also be used as family sick leave when the employee is required to provide care for an employee’s spouse or eligible dependent with a serious or emergency illness. Family sick leave is limited to a maximum of half of what is earned in a calendar year.

Employees with at least 480 hours of accrued sick leave are eligible for a Stay Well Bonus. For purposes of sick leave accounting, the annual period is December 1 through November 30. All unused sick leave above 480 hours will be used for calculating the employee stay well bonus paid on or around December 15. Net sick leave earned and not used during the annual period will be divided in half. One-half will be paid to the employee at the employee’s current base hourly rate and the remaining one-half shall remain as regular sick leave.

Service Biweekly
Accrual Rate
Maximum
Accrual
1 year 3.077 hours 160 hours
5 years 4.615 hours 240 hours
10 years 5.213 hours 272 hours
15 years 6.154 hours 320 hours
20 years 7.692 hours 400 hours

1. New Year’s Day

2. Washington’s Birthday

3. Memorial Day

4. Independence Day

5. Labor Day

6. Thanksgiving Day

7. Day After Thanksgiving

8. Christmas Eve

9. Christmas Day

10. New Year’s Eve

11. Floating Holiday

12. Floating Holiday

2022/23 SHAFTER OPERATING BUDGET 207
Also, employees who do not use any sick leave during the period July 1 through June 30 earn an additional eight (8) hour floating holiday. Upon termination, all sick leave over 640 hours (720 hours depending on the job classification) is paid to the employee.  Jury Duty:

Upon receipt of jury duty summons, immediately provide a copy of the notice to your supervisor. When practical, the employee is transferred to day shift during the period of jury duty. While at jury duty during normal scheduled work hours, employees receive their regular pay for hours of absence from work. Attach a jury duty timecard form verifying the hours at jury duty to the leave form. Provided there is at least one (1) hour of work time before and after jury duty, employees must report for work. Failure to submit a leave form, jury duty timecard, or report for work is considered falsification of timekeeping records.
 Military Leave:

Military leave is provided consistent with State/Federal law. Some military leave provided up to thirty (30) days paid per year. Failure to submit a leave form for military leave is considered falsification of timekeeping records.

 Bereavement Leave:

Up to three (3) paid days are provided upon the death of a spouse, child, stepchild, parent, stepparent, grandparent, spouse’s grandparent, grandchild, son-in-law, brother-in-law, sister-in-law, daughter-in-law, mother-in-law, father-in-law, brother, stepbrother, sister, stepsister or registered domestic partner. Up to five (5) paid days may be granted with approval of the City Manager when the funeral of a spouse or child takes place out of State or over 200 miles from Shafter.
 COBRA:

Federal and State laws require that the City offer employees and dependents temporary extension of its group medical and dental plans, called "continuation coverage" and referred to as COBRA, at group rates plus a 2% administrative fee. Employees covered by the City’s medical and/or dental plans have a right to choose this continuation coverage if they lose group coverage because of a reduction in hours or the termination of employment for reasons other than gross misconduct. The employee’s spouse has the right to choose continuation of group coverage in the event of the death of a spouse; termination of spouse's employment (for reasons other than gross misconduct) or reduction in spouse's hours of employment; divorce or court ordered legal separation from spouse; or spouse becoming entitled to Medicare. The employee’s dependents have the right to continuation of group coverage in the event of the death of a parent; the termination of a parent's employment (for reasons other than gross misconduct) or reduction in a parent's hours of employment, parents' divorce or court ordered legal separation; parent becomes entitled to Medicare; or the dependent ceases to be eligible. A child who is born to or placed for adoption with a covered employee during a period of continuation coverage is eligible for COBRA coverage. A new spouse or new dependents must be added to COBRA coverage within the time frame and with the appropriate forms provided for active employee coverage.

The employee must inform the City of a divorce, court ordered legal separation, or dependent losing eligibility within 30 days of the event. If notice is not received within that 30-day period, the right to COBRA and continuation coverage is lost. When the City is notified that such an event has occurred, the City sends a notice of the right to continuation coverage under COBRA. The City must be informed that continuation coverage under COBRA is wanted within 60 days of one of the events described above. COBRA requires that participants be afforded the opportunity to maintain continuation coverage of medical and dental insurance for 36 months.  Medical Insurance:

Coverage begins on the first day of the month following date of hire. The City pays 100% of the insurance premium for coverage on regular full-time employee, spouse and dependents for the base plan. The City currently has two plans that qualify under the base plan, Anthem Blue Cross EPO and Kaiser Group HMO Plan. Anthem Blue Cross PPO 250 plan is a ‘buy-up’ option.

In general, dependents include your legal spouse or registered domestic partner; your or your spouse’s or registered domestic partner’s natural or adopted children who are under age 26, or if over the age limit cannot hold a full-time job because of a mental or physical disability and remain continuously dependent for at least 50% of financial support.

Variable, part-time or seasonal workers are eligible for coverage pursuant to the Patient Protection and Affordable Care Act (ACA). Workers meeting the minimum average hours worked are entitled to employer provided Minimum Essential Medical Coverage.

Any changes in marital status or dependent eligibility must be reported to the Human Resources Department within 30 days of occurrence. Failure to do so may result in your reimbursement of insurance premiums paid for ineligible dependents, or loss of coverage until open enrollment (January 1 effective date). The individual plan brochure describes specific plan benefits and co-payments.

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 Medical Insurance Opt-Out Incentive:

When covered under other medical insurance, an employee may decline the City group medical plan and receive a $353 monthly Opt-Out benefit.

Proof of other medical insurance coverage is required. Benefits such as dental, life insurance, and vision benefits still apply regardless of the Opt-Out Incentive. Re-enrollment into the City plan can occur during open enrollment (January 1 effective date) or anytime you lose your other insurance coverage due to a qualifying event if enrollment is completed within 30 days of event.  Vision Benefit:

Benefits for vision care are provided through Vision Service Plan (VSP) for each qualified family member. Coverage begins on the first day of the month following date of hire. The City pays the full insurance premium for coverage on the employee, spouse and dependents for the base plan.

Employees who opt-out of the City medical insurance plans still qualify for the City vision plan.

In general, dependents include your legal spouse or registered domestic partner; your or your spouse’s or registered domestic partner’s natural or adopted children who are under age 26, or if over the age limit cannot hold a full-time job because of a mental or physical disability and remain continuously dependent for at least 50% of financial support.

Any changes in marital status or dependent eligibility must be reported to the Human Resources Department within 30 days of occurrence. Failure to do so may result in your reimbursement of insurance premiums paid for ineligible dependents, or loss of coverage until open enrollment (January 1 effective date). The individual plan brochure describes specific plan benefits and co-payments.  Dental Insurance:

Coverage begins on the first day of the month following date of hire. Dental benefits are provided through MetLife (HMO) and Delta Dental (PPO). The City pays 100% of the premium cost for coverage for the employee and dependents on the base HMO plan. On the HMO plan employees pay for services provided at reduced co-payments. Employees may choose to buy-up to the PPO plan. Coverage for both plans include routine, preventative and restorative dental care and orthodontia.

In general, dependents include your legal spouse or registered domestic partner; your or your spouse’s or registered domestic partner’s natural or adopted children who are under age 26, or if over the age limit cannot hold a full-time job because of a mental or physical disability and remain continuously dependent for at least 50% of financial support.

Any changes in marital status or dependent eligibility must be reported to the Human Resources Department within 30 days of occurrence. Failure to do so may result in your reimbursement of insurance premiums paid for ineligible dependents, or loss of coverage until open enrollment (January 1 effective date). The individual plan brochure describes specific plan benefits and co-payments.  Life Insurance:

Coverage begins on the first day of the month following date of hire. Life benefits are provided through Principal Financial Group Life Insurance Company. The City pays 100% of the insurance premium cost for coverage for the employee, spouse and dependents. The employee death benefit is equivalent to the annual base salary plus $17,000. The spouse death benefit is $5,000. The dependent death benefit range is $1,000-$1,500.

Any changes in marital status or dependent eligibility must be reported to the Human Resources Department within 30 days of occurrence. Failure to do so may result in your reimbursement of insurance premiums paid for ineligible dependents, or loss of coverage until open enrollment (January 1 effective date). The individual plan brochure describes specific plan benefits and co-payments.  Retirement:

The City and employees participate in the social security program by each making a 7.65% contribution to fund future Social Security and Medicare benefits.

The City offers defined retirement benefits plan through the California Public Employees Retirement System (CalPERS). Eligibility depends on employment status as a regular full-time employee. Temporary, extra-help or part-time employees are excluded unless they meet certain membership criteria. There are two membership categories and four plans depending on job classifications and date of hire: Miscellaneous 2% at 55 Full Formula Plan for all employees qualified as Classic Members. Peace Officers under PC 830.1 and qualified as a Classic Member are members of the Safety 3% at 55 Full Formula Plan. Members qualified as New Members under CalPERS guidelines are either Miscellaneous 2% at 62 Full Formula Plan or Safety 2.7% at 57 Full Formula Plan. Membership begins on the date of hire. There is a 5-year vesting period. Retirement benefits are based on age at retirement, earnings, and years of service.

Although CalPERS requires an employee contribution, the City pays the contribution for the Classic Members. The contribution is deposited into the employee’s CalPERS member account. The contribution for a miscellaneous member is 7% and 9% for a safety member. In addition to the City paid member contribution, the City pays an employer contribution which varies annually based on age, gender, and salary.

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Under CalPERS guidelines the City is not permitted to pay New Member contributions to CalPERS, however, employees identified as New Members are paid a premium of 6.25% for miscellaneous members and 12% for safety members, in addition to their base salary. The New Member must then by payroll deduction pay to CalPERS 6.25% for miscellaneous and 12% for safety.

Additional years of prior service can be purchased, or previously withdrawn funds can be redeposited on a pre-tax basis through payroll deduction.

Reciprocity is an agreement between CalPERS and certain other city, county or special district retirement plans that provides retirement benefits based on your highest earnings in either plan. Reciprocity must be established within 6 months of employment.

The beneficiary of a member’s account is established by law. Changes can be made by completing a change form. A married member requires the spouse’s signed consent. Before you retire, death benefits are payable to the following survivors in the following order unless designated otherwise on a valid Beneficiary Designation form: 1. Your surviving spouse/registered domestic partner (whether or not you were still living together at the time of your death); or, if none, 2. Natural and adopted children, including (in limited situations) a natural child adopted by another, share and share alike; or, if none, 3. Parents, share and share alike; or if none, 4. Brothers and sisters, share and share alike, or if none, 5. Your estate (if probated, or subject to probate), or if not, 6. Your trust (if one exists), or if not, 7. Stepchildren, share and share alike, or, if none, 8. Grandchildren, including stepgrandchildren, share and share alike, or, if none, 9. Nieces and nephews, share and share alike, or, if none, 10. Great-grandchildren, share and share alike, or, if none, and 11. Cousins, share and share alike.  Deferred Compensation:

As authorized by IRS Code 457, the City offers an optional supplemental retirement savings plan through the International City Managers Association Retirement Corporation (ICMA-RC) that defers taxable income and interest earned. Participation is voluntary and contributions can be increased, decreased, stopped or restarted without restriction and without fees or penalties. There are no restrictions or charges for reallocation of investments.

Contributions are made through payroll deduction on a pretax basis so current income taxes are reduced. Nothing in the account is forfeited in the event of death and the designated beneficiaries receive the remaining funds. Contributions can start with as little as $25 per pay period. Withdrawal of contributions is limited to retirement, separation of employment, and while employed, due to a severe financial hardship resulting from a sudden illness, disability, or accidental property loss, or with an account balance of less than $5,000 where no contributions have been made for two years (other conditions may apply).
 Disability Insurance:

Employees participate in the State Disability Insurance (SDI) program. Employees pay 1% of wages by payroll deduction to fund future SDI and Paid Family Leave (PFL) benefits. SDI pays temporary disability benefits up to one year when you cannot work due to your own injury or illness that is not the result of your job. PFL pays compensation benefits not to exceed 6-weeks in a 12-month period when you stop working to care for a seriously ill qualified family member as verified by doctor certification or to bond with a new child. SDI and PFL provide income and are not a right to time off, or job protection if time off is granted. The right to job protected leave must be consistent with the Federal and State Family Medical Leave Acts, or State Pregnancy Disability Act.

Your weekly benefit amount is about 60 to 70 percent (depending on income) of wages earned 5 to 18 months before your claim start date up to the maximum weekly benefit amount. SDI has a 7-day non-payable waiting period, PFL does not have a waiting period. Employees must use sick (if eligible), or other accrued leave to cover the wage difference between SDI/PFL and city pay. Benefit checks are issued every two weeks.  Workers Compensation:

Workers compensation benefits are provided as required by law to protect employees who are injured on the job. The City is self-insured for workers compensation benefits and pays the benefits through a third-party administrator, Acclamation Insurance Management Services (AIMS). Coverage is automatic and begins immediately. Benefits include payment for medical expenses and tax-free temporary disability (TD) payments to help replace lost wages while temporarily disabled.

Report the injury immediately to a supervisor or to the Human Resources Department. Don’t delay, there are time limits to report an injury. Waiting too long may result in losing the right to benefits. You will be given an injury report form to complete, with instructions on how to obtain medical care. If in need of emergency care, call 911 for help immediately. Medical care is provided through the City’s authorized medical providers. Pre-designation of a personal medical doctor to treat work related injuries requires prior written authorization.

TD benefits are provided when an injured employee cannot work. TD is based on earnings, and is about 66% of the employee’s average weekly earnings, not to exceed a weekly maximum amount of $1,619.15 for 2023. There is a 3-day non-payable waiting period. Employees must use sick, vacation or other accrued leave to cover the difference between TD and city pay to provide 100% until accruals are exhausted. TD benefit checks are issued every two weeks. TD benefits are not issued for partial day absences and sick leave must be used for medical care appointments. Leave taken for a worker compensation injury or illness qualifies as job protected leave pursuant to the Federal and State Family Medical Leave Acts.

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 Flexible Spending Account (FSA):

The City offers an optional FSA plan benefit through AFLAC. To enroll in this benefit, contact AFLAC representative Stacie Bender for assistance.

Coverage begins on the first day of the month following date of hire. FSA plan benefits, as authorized by IRS code 125, allow employees to use pretax dollars to pay for certain benefit costs, thus reducing taxable income, and increasing take-home pay. With FSA, a portion of each paycheck is set aside to pay insurance premiums for optional insurance plans such as accident, sickness, short term disability, intensive care, cancer care, long term care and personal major recovery & life threatening events, and to self-reimburse for dependent day care (DDC) and unreimbursed medical (URM) expenses. This amount is deducted from employee paychecks before federal and state income taxes are calculated so taxes are not paid on money spent on qualified DDC or URM expenses, or optional insurance plans. Without an FSA, employees pay taxes on every dollar earned, then optional insurance plans and DDC or URM expenses are paid.

A DDC/FSA covers dependent children under age 13 who qualify as tax dependents and anyone claimed as a tax dependent because of physical or mental inability to care for himself/herself. An URM FSA covers medical expenses such as insurance copayments and deductibles, medical care (consultations, diagnostic lab work, etc.), prescription and diabetic supplies (blood sugar monitor, syringes, test strips, etc.), dental and vision care.

Enrollment in AFLAC is limited to the 30-day period from the initial hire date or at open enrollment (October), effective January 1. Changes to plan benefits selected cannot occur until the next open enrollment period, or under certain circumstances during the plan year such as changes in cost or coverage, changes in family status and separation from service. Any changes in marital status or dependent eligibility must be reported to the Human Resources Department within 30 days of occurrence, otherwise plan changes due to newly eligible spouse or dependents are delayed until open enrollment. During open enrollment, insurance plans automatically renew unless you make changes. However, DDC and URM accounts require reenrollment each year. The individual plan brochure describes specific plan benefits and co-payments.

To request reimbursement for qualified DDC or URM expenses, submit a claim form and proof of payment of expenses. Caution should be used in determining how much to set aside from each paycheck for DDC and URM expenses. Qualified DDC expenses must have occurred during the plan year. Qualified URM expenses must have been paid during the plan year regardless of when services were provided (IRS Publication 502). You may roll over up to $500 unused amount of URM from one plan year to the next, all amounts over $500 are forfeited. Any unused amount set aside for DDC does not roll over to the next plan year and is forfeited.  Employee Assistance Program (EAP):

The EAP provides evaluation by professional counselors, and if appropriate, short term counseling for behavioral problems which affect work performance or personal life. Through a confidential, self-referral process, employees and their household members can discuss their personal situation such as family violence, marital relationship or parenting conflicts, substance abuse assessment, addictions, stress, anxiety, depression, grief and loss, or referrals to community resources. Refer to the brochure for details. Other services such as financial, legal, etc., are also available.  Employee Union Membership:

The City operates under specific Employer-Employee Relations Policies and City Personnel System Rules. Certain positions are recognized under employee bargaining groups. Part-time and temporary employees are excluded. Employee bargaining groups negotiate salary and benefits for members and agreements are contained in each employee bargaining group memorandum of understanding (MOU). Employees are not required to become due paying members nor to contribute a representation fee. Groups recognized are the Shafter Police Officers Association (SPOA), and the Shafter Public Works Employee Association. Membership dues are made as a payroll deduction. Positions not recognized by a bargaining unit are covered by Resolution of the City Council.
 Assigned Vehicle Program:

Designated Police and Public Works employees may take home pool vehicles as authorized by the Department Head. The benefit may be reported as taxable income under certain circumstances. City employees are required to use pool vehicles to travel on business. Incidental use of a personal vehicle for business travel is prohibited, unless authorized in writing. Use of a personal vehicle requires submission of proof of personal automobile insurance.
 Policies:

Employees are required to receive, understand and adhere to specific City policies, and are required to acknowledge such in writing. Depending on the job assignments, these policies include the following: DMV Driving Record, Department of Transportation Drug Testing, Confidential Personnel Information, Drug and Alcohol in the Workplace, Employee Protection Line, Fraud, Harassment and Discrimination, Hepatitis B Immunization Program, HIPPA Program, Personnel System Rules, Wage Deduction, Workers Compensation, and Workplace Violence.

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Glossary of Terms
Adopted Budget: The final budget amount adopted by the City Council in June.

Amended Budget: The official budget as adopted and as amended by the City Council through the course of a fiscal year.

Appropriation: An authorization made by the City Council, Agency, and/or Authority members which permits the City to incur obligations and to make expenditures of resources.

Budgetary/operating fund appropriations lapse at the end of each fiscal year. Non-operating fund appropriations continue in force until fully expended or until the City has accomplished or abandoned the purpose for which the City Council, Agency or Authority granted the funds.

Spending cannot exceed the level of appropriation without the City Council's, Agency’s or Authority’s approval.

Arbitrage: A payment made to the federal government in connection with a bond issue of tax exempt or other federally tax-advantaged bonds. The payment represents the amount, if any, of arbitrage earnings on bond proceeds and certain other related funds, except for earnings that are not required to be rebated under limited exemptions provided under the Internal Revenue Code. An issuer generally is required to calculate, once every five years during the life of its bonds, whether or not an arbitrage rebate payment must be made.

Assessed Valuation: The value established for real property for use as a basis in levying property taxes. For all agencies in the State of California, assessed value is established by the County for the secured and unsecured property tax rolls; the utility property tax roll is valued by the State Board of Equalization. Under Article XIII of the State Constitution (Proposition 13 adopted by the voters on June 6, 1978), properties are assessed at 100% of full value.

Proposition 13 also modified the value of real taxable property for fiscal 1979 by rolling back values to fiscal 1976 levels. From this base of assessment, subsequent annual increases in valuation are limited to a maximum of 2%. However, increases to full value are allowed for property improvements or upon change in ownership. Personal property is excluded from these limitations, and is subject to annual reappraisal.

Assessment Districts (AD): Under the Municipal Improvement Act that allows a designated area to pay the debt service on bonds sold to finance capital improvements installed by the City or a developer. The property owners receiving the benefit of the improvements pay an assessment on their property tax bills.

Asset Forfeiture: Asset seizures and forfeitures resulting from police investigations and court decisions. Asset Forfeiture funds are used for law enforcement purposes.

Audit: Prepared by an independent certified public accountant, or CPA, the primary objective of an audit is to determine if the City’s Financial Statements fairly present the City’s financial position and results of operations in conformity with generally accepted accounting principles.

In conjunction with their performance of an audit, it is customary for an independent auditor to issue a Management Letter stating the adequacy of the City's internal controls as well as recommending improvements to the City's financial management practices.

Balanced Budget: A budget in which planned expenditures do not exceed planned funds available.

Bond: A security that represents an obligation to pay a specific sum of money on a specific date in the future, typically with periodic interest payments.

GLOSSARY OF TERMS

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Glossary of Terms

Budget: A financial plan for a specified period of time that matches planned revenues and expenditures to municipal services.

Budget Amendments: The City Council, Agency and/or Authority members have the responsibility for adopting the City's budget, and may amend or supplement the budget at any time after adoption by majority vote. The City staff has the authority to approve line item budgetary transfers between expenditure objects of the budget as long as those changes will not have a significant policy impact nor affect budgeted year-end fund balances.

Budget Policies: General and specific guidelines adopted by the City Council that govern budget preparation and administration.

CalPERS: California Public Employees Retirement System, a mandatory fringe benefit for City employees.

Capital Expenditure: An acquisition or an improvement (as distinguished from a repair) that will have a life of more than one year and costs more than $5,000.

Capital Improvement Program (CIP): A plan to provide for the maintenance or replacement of existing public facilities and assets and for the construction or acquisition of new ones. The CIP document identifies capital needs on a five-year basis.

Capital Project Funds: Funds used to account for financial resources used in the acquisition or construction of major capital facilities other than those financed by Proprietary Funds or Trust Funds.

Cash Basis or Cash Method: Is an accounting method that recognizes income and deductions when money is received or paid.

Certificates of Participation (COP): Obligations of a public entity based on a lease or installment sales agreement. Payments to certificate holders may originate from the General Fund (in case of a lease) or a special fund (in case of an installment sale).

Community Facilities District (CFD): A designated area for specific capital improvements installed by the City or a developer, or the maintenance of same. The property owners receiving the benefit of the improvements pay a special tax on their property tax bills.

Contractual Services: A series of Object Codes which include the expense of services procured independently by contract or agreement with person, firms, corporations or other governmental units.

Contingency: An appropriation of funds to cover unforeseen events that occur during the fiscal year, such as flood emergencies, federal mandates, shortfalls in revenue, and similar events.

Debt Financing: Borrowing funds as needed and pledging future revenues to make current expenditures.

Debt Service: Payments of principal and interest on bonds and other debt instruments according to a predetermined schedule.

Debt Service Funds: Funds used to account for the payment of, and accumulation of resources for, long-term debt principal and interest.

Deficit: A shortfall of resources to meet expenditures.

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Glossary of Terms

Department: A major organizational unit of the City which has been assigned overall management responsibility for an operation or a group of related operations within a functional area.

Development Impact Fee: Funds created to provide for infrastructure projects through Development Impact Fees.

Division: An organizational element, below Department and above Programs in the City of Murrieta's organizational hierarchy.

Encumbrance: Commitment of funds to purchase an item or service.

Errata Items: Budgetary items added after the proposed budget document was printed.

Expenditure: The outflow of funds paid, or to be paid, for an item obtained regardless of when the expense is actually paid.

Fiduciary Funds: Also known as, trust or agency funds; held in a fiduciary capacity by a governmental unit for individuals, organizations, or other governmental units, as an agent or trustee.

Fees for Services: Charges paid to the City by users of a service to help support the costs of providing that service.

Fiscal Year: A twelve-month period for recording financial transactions. The City has specified July 1 through June 30 as its fiscal year.

Franchise Fee: A fee charged for the privilege of using public rights-of-way and property within the City for public or private purposes.

Fringe Benefits: Compensation that an employer contributes to its employees such as social security, retirement, life/health insurance, or training supplements. Fringe benefits can be either mandatory, such as social security contributions, or voluntary, such as retirement and health insurance benefits.

Fund: An accounting entity that records all financial transactions for specific activities or governmental functions.

Full-Time Equivalent (FTE): A term used to refer to the number of hours for which a position is budgeted. Most fulltime employees are paid for 2,080 hours in a year.

Fund Balance: The amount of assets either obligated or reserved for specific purposes or available for financing the expenditures and other requirements of the budget year.

GANN Appropriations Limit: This term refers to Article XIIIB of the California State Constitution that places limits on the amount of proceeds from taxes that state and local governmental agencies can receive and spend each year.

Gas Tax: A fund to account for receipts and expenditures of money apportioned under the Street and Highway Code of the State of California for money derived from the use of certain fuels and borne by the consumer, for transportation improvements. The money is restricted to research, planning, construction, improvement, and maintenance of public streets.

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Glossary of Terms
General Fund (0100): The primary operating fund of the City where all revenues that are not allocated by law or contractual agreement are accounted for. With the exception of subvention or grant revenues restricted for specific uses, General Fund resources can be utilized for any legitimate governmental purpose. A limited number of capital improvements are financed from this source since its focus is to fund ongoing operations.

General Obligation Bond: A bond secured by the pledge of the issuer's full faith, credit, and usually, taxing power. Bonds issued through a governmental entity which have legal authority to levy a tax on real and personal property located within the governmental boundaries at any rate necessary to collect enough money each year to pay principal and interest due.

Governmental Accounting Standards Board (GASB): The Governmental Accounting Standards Board establishes and improves standards of state and local governmental accounting and financial reporting that will result in useful information for users of financial reports and guide and educate the public, including issuers, auditors, and users of those financial reports.

Government Finance Officers Association (GFOA): An organization established to assist in the professional management of governments by developing and identifying financial policies and best practices through education, training, facilitation of member leadership and networking.

Grants and Reimbursements: Funds received directly or indirectly from other governmental agencies for specific related activity and time period. Money awarded may be received in advance or as a reimbursement of activities.

Highway Users Tax Account (HUTA): State accounting for excise taxes on various transportation fuels. California motor vehicle fuel taxes include the gasoline tax, diesel fuel tax, and the use fuel tax. Allocations to cities and counties are based on the formulas outlined in the Streets and Highways code. See Gas Tax Fund.

Infrastructure: The physical assets of the City; i.e., streets, water, sewer, public buildings, parks, and the support structures within a development.

Interest Revenue: Revenues received as interest from the investment of funds not immediately required to meet cash disbursement obligations.

Interfund Charges: To account for services that are incurred in different funds than where they are charged.

Internal Service Funds: Funds used to improve the management of resources and generally provide goods and services to departments on a cost-reimbursement basis.

Landscape & Lighting District, or LLD: A designated area, neighborhood, or community identified to specially benefit from certain improvements, such as parks, playgrounds, landscapes, sidewalks, lighting, trees, etc. Due to the special benefit, landowners in the identified area are assessed to pay the costs of the construction and/or ongoing maintenance of such improvements.

Line-Item Budget: A budget that lists detailed expenditure categories (salary, materials, telephone service, travel, etc.) separately, along with amounts budgeted for each specific category.

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Glossary of Terms
Long-term Debt: debt with a maturity of more than one year after the date of issue.

Major Fund: Any fund whose revenues or expenditures, excluding other financing sources and uses, constitute more than 10% of the revenues or expenditures of the appropriated budget.

Major Fund Capital Expenditures:

Measure A: Money generated by Riverside County’s one-half percent sales tax originally approved by the voters in 1988. In 2002, the voters extended this sale tax through 2039. The money is used to maintain and construct local streets and roads.

Message from The City Manager: Included in the opening section of the budget, the Message from the City Manager provides the City Council and the public with a general summary of the most important aspects of the budget, changes from previous fiscal years, and the views and recommendations of the City Manager.

Municipal: In its broadest sense, an adjective which denotes the state and all subordinate units of government. In a more restricted sense, an adjective which denotes a city or village as opposed to other local governments.

Modified Accrual Basis: Governmental accounting method. Revenue is recognized when it becomes available and measurable.

Motor Vehicle In Lieu: State subvention revenue calculated annually by the State on a per capita basis.

National Pollutant Discharge Elimination System (NPDES): Money received from the County of Riverside relating to the permit program for discharges from storm drain systems.

Object Codes: Are specific numerical classifications for which money is allocated for disbursements.

Operating Budget: plans of current expenditures and the proposed means of financing them.

The annual operating budget is the primary means by which most of the financing, acquisition, spending and service delivery activities of a government are controlled.

Ordinance: A formal legislative enactment by the City Council. It has the full force and effect of the law within City boundaries unless pre-empted by a higher form of law. An Ordinance has a higher legal standing than a Resolution and is typically codified in a City's municipal regulation.

Other Post-Employment Benefits (OPEB): Benefits other than pensions, most commonly health care benefits. GASB Statement No. 45 requires agencies to account for financial obligations to pay retiree Other Post Employment Benefits.

Program: A grouping of activities organized to accomplish basic goals and objectives.

Program Budget: A budget that focuses upon the goals and objectives of an agency or jurisdiction rather than upon its organizational budget units or line item expenditures.

Property Tax: A statutory limited tax levy, which may be imposed for any purpose.

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Glossary of Terms
Proprietary Funds: Established to account for the financing of services rendered on a usercharge basis. See Internal Service Funds.

Real Property Transfer Tax: Real property transfer tax is collected by the County Tax Collector and is based on the value of property transferred.

Redevelopment Agency: A government body dedicated to urban renewal. Redevelopment efforts often focus on reducing crime, destroying unsuitable buildings and dwellings, restoring historic features and structures, and creating new landscaping, housing, business, and transportation opportunities. Effective February 2012, all redevelopment agencies throughout the State of California were dissolved. See Successor Agency.

Resolution: A special or temporary order of a legislative body (e.g., City Council or appropriate Agency / Authority) that requires less formality than an ordinance.

Revenue: Funds that the City receives as income. It includes such items as tax payments, fees from specific services, receipts from other governments, fines, forfeitures, grants, shared revenues, and interest income.

Revenue Bond: A bond payable solely from specific revenues, tax increment revenues, or tolls, charges or rents paid by users of the facility constructed with the proceeds.

Risk Management: An internal service fund used to finance and account for the City’s worker’s compensation activity such as claims expense, insurance, premiums, and administrative expenses. Additional funds held in this fund are to buffer for the impact of the unknown, but potential, losses. An organized attempt to protect an organization’s assets against accidental loss in the most cost effective manner.

Riverside County Transportation Commission, (RCTC): The commission that allocates Riverside County's share of the money generated by the one-half percent sales tax.

Sales Tax: A tax on the purchase of goods and services.

Special Assessment: A compulsory levy made against certain properties to defray part or all of the cost of a specific improvement or service deemed to primarily benefit those parties.

Special Assessment Bond: Bonds issued by cities, counties, authorized political subdivisions, and local districts secured by liens on benefited properties included in a special assessment district.

Special Charges/License and Permits: These charges are directly charged to individuals for specific services rendered by the City. They include charges to process or issue building permits and the cost to conduct engineering and planning reviews of any building project undertaken by a licensed contractor or private property owner.

Special Revenue Funds: Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than expendable trusts, or major capital projects) that are legally restricted to expenditures for specified purposes.

Subventions: Revenues collected by the state, or other level of government, which are allocated to the City on a formula basis. The major subventions received by the City from the State of California include motor vehicle in-lieu, cigarette taxes in-lieu, and gasoline taxes.

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Glossary of Terms
Successor Agency: Based on the dissolution of redevelopment agencies throughout the State, an agency designated with the responsibility to wind down the activities of former redevelopment agencies.

Tax Allocation Bonds: Debt which is secured by tax increment revenue.

Transfers: To account for money that moves from one funding source to another funding source, for a specific purpose.

Transient Occupancy Tax: Transient Occupancy Tax is collected from the operators of hotels and motels located within the city limits of Murrieta. Ten percent of the total rent collected by a motel or hotel is remitted to the City.

Unfunded Liability (UAL): When a plan’s Value of Assets is less than its Accrued Liability, the difference is the plan’s Unfunded Liability.

User Fees: The payment of a fee for direct receipt of a service by the party benefiting from the service.

Variance: Difference between actual experience and budgeted or projected experience in any financial category.