A2246.SR.JD
CITY OF SIMI VALLEY
MEMORANDUM
June 27, 2022
TO: City Council
FROM: Department of Public Works
SUBJECT: APPROVAL OF A SUPPLEMENTAL BUDGET REQUEST AND
TRANSFER OF FUNDS TO ADJUST THE LANDSCAPE ASSESSMENT
ZONE EXPENDITURE BUDGET FOR FISCAL YEAR (FY) 2021-22
STAFF RECOMMENDATION
It is recommended that the City Council approve a supplemental budget request and transfer of funds to adjust the Landscape Assessment Zone expenditure budget for FY 2021-22.
BACKGROUND AND OVERVIEW
Historically, the cost to maintain the Landscape District exceeds the revenue from the assessments. In FY 1999-00, the City Council approved the establishment of a Landscape Zones Augmentation Fund to offset the deficit. These funds are needed to augment balances in existing zones to ensure that funds cover the landscaping costs for all zones at the end of each fiscal year. The current augmentation is $200,000 for the General Fund. However, due to increasing maintenance costs and the unpredictability of utility costs this past year, the augmentation amount has been exceeded for FY 21-22.
FINDINGS AND ALTERNATIVES
The approved Landscape Assessment Zone budget for in FY 2021-22 is $1,313,053.
Due to the Landscape Zone Assessments’ ongoing operational deficiency , and a n underfunded Utilities budget, the Landscape Assessment Zones exceeded the budget forecast. Staff has increased the budget limit for FY 2022-23 to cover expected costs and very likely will incur a cost savings due to current watering restrictions.
It is recommended that the City Council approve a supplemental budget request and transfer from the General Fund to increase the Landscape Zones Assessment Budget by $132,000 for FY 2021 -22 to cover the cost of landscape maintenance contracts and utilities.
AGENDA ITEM NO.
Consent (5)
A2246.SR.JD
The following alternatives are available to the City Council:
1. Approve a supplemental budget request and transfer of funds from the General Fund (Fund 100) to adjust the Landscape Zones expenditure budget by $132,000, in Fund 300 (Landscape Zones Assessment District), for FY 2021-22;
2. Provide staff with other direction.
Staff recommends Alternative No. 1.
SUGGESTED CITY COUNCIL MOTION
I move to approve a supplemental budget request and transfer from the General Fund (Fund 100) to adjust the Landscape Zones expenditure budget by $132,000, in Fund 300 (Landscape Zones Assessment District), for FY 2021-22.
SUMMARY
The approved Landscape Assessment Zone budget for in FY 2021-22 is $ 1,313,053.
Due to the Landscape Zone Assessments ’ ongoing operational deficiency and an underfunded Utilities budget , the Landscape Assessment Zones exceeded the budget forecast. Therefore, staff recommends that the Board of Directors approve a supplemental budget request and transfer of funds from the General Fund to adjust expenditures for FY 2021-22.
____________________________________
Ronald K. Fuchiwaki
Public Works Director
Prepared by: Laurie Vollmer, Deputy Director Public Works (Administration)