FY2023-24
Operating Budget
Presentation to Budget Standing Committee
Karen Chang, Director of Finance
May 31, 2023
AGENDA
1 BUDGET OVERVIEW
2 FY23-24 GENERAL FUND REVENUE PROJECTIONS
3 FY23-24 GENERAL FUND DEPARTMENT EXPENDITURES
4 OTHER ACTIONS
2 5 Q&A
2 Budget Overview
Budget Overview 1
Planned Meetings to Discuss Budget
– Budget Standing Committee: May 31, 2023
– City Council Study Session: June 16, 2023
– City Council Adoption: June 28, 2023
City Reserves = $39,150,000
– General Reserves = $25,100,000
– Infrastructure Reserves = $2,390,000
– CalPERS Stabilization Reserve = $5,600,000
– Unappropriated GF Balance = $6,060,000
3 General Fund Reserves FY 2019-2024
Budget Overview 1
4 Description FY 2019 FY 2020 FY 2021 FY 2022
FY 2023
Projected
FY 2024
Estimate
General Reserves (20%) $ 24,400,000 $ 23,700,000 $ 21,900,000 $ 25,100,000 $ 25,100,000 $ 25,100,000 Pension Stabilization
Reserves 5,500,000 5,500,000 5,500,000 5,545,000 5,600,000 5,600,000 Infrastructure Reserves 10,700,000 22,200,000 19,200,000 18,033,000 7,440,826 2,390,826 Unassigned GF Fund
Balance 11,100,000 15,000,000 15,000,000 12,327,000 6,060,000 6,060,000 Reserves Fund Balance $ 51,700,000 $ 66,400,000 $ 61,600,000 $ 61,005,000 $ 44,200,826 $ 39,150,826 General Fund Revenues FY 2019-2024
Budget Overview 1
5 Revenue Type FY 2019 Actual FY 2020 Actual FY 2021 Actual FY 2022 Actual FY 2023 Adjusted Budget
FY 2024 Proposed
Budget
Property Taxes $ 38,659,658 $ 42,847,441 $ 44,239,406 $ 49,779,285 $ 45,804,769 $ 47,980,000 Sales Taxes 19,606,689 19,859,057 19,370,155 22,361,011 22,391,018 23,351,500 Transient Occupancy Tax 17,091,222 13,829,025 6,710,270 12,135,639 14,160,752 14,910,000 Other Taxes 4,995,404 4,515,376 4,529,764 6,537,422 5,693,252 6,950,000 Franchise Fees 4,469,808 4,594,577 4,498,202 4,863,076 4,600,000 4,600,000 License & Permits 15,381,415 15,900,501 15,589,001 14,062,472 19,425,400 16,962,894 Fines & Forfeitures 926,728 814,355 535,750 700,961 710,824 337,826 Intergovernmental (Grants) 2,867,795 1,626,529 4,323,148 3,196,346 4,231,054 3,139,827 Charges for Services 11,563,754 9,978,676 6,516,155 9,747,605 8,265,097 9,709,257 Use of Money & Property 6,078,798 6,313,195 2,245,296 3,060,851 5,453,469 3,940,000 Other Revenues 330,845 171,406 733,823 514,995 263,903 700,000 Transfers In 7,143,014 1,302,436 2,272,022 4,763,729 6,151,400 7,581,177 Total $ 129,115,131 $ 121,752,574 $ 111,562,992 $ 131,723,392 $ 137,150,938 $ 140,162,481 General Fund Expenditures FY 2019-2024
Budget Overview 1
6 Description FY 2019 FY 2020 FY 2021 FY 2022
FY 2023 Y/E
Estimate
FY 2024
Proposed
Payroll $ 79,713,899 $ 85,198,957 $ 87,405,535 $ 95,445,374 $ 10,377,916 $105,942,584 Supplies & Services 16,811,682 16,333,732 15,127,117 21,887,485 30,756,837 23,261,011 Capital Outlay 749,398 - - - 825,400 45,000
Interdepartmental
Charges 6,555,730 7,110,914 7,455,577 7,387,247 7,361,099 9,504,735 Transfers 4,289,797 2,951,629 3,884,196 1,533,749 4,533,270 1,400,000 Total $ 108,120,507 $ 111,595,231 $ 113,872,426 $ 126,253,855 $143,854,523 $ 140,153,329 Exclude transfers to Infrastructures Reserves
General Fund Expenditures FY 2019-2024
Budget Overview 1
7 DEPARTMENT FY 2019 Actual FY 2020 Actual FY 2021 Actual FY 2022 Actual FY 2023 Adjusted
Budget
FY 2024 Proposed
Budget
Council, Clerk, Treasurer $ 1,153,249 $ 1,388,589 $ 1,219,659 $ 1,180,211 $ 1,583,002 $ 1,667,923 City Attorney 961,588 1,009,371 987,045 1,138,457 940,290 1,108,825 City Manager’s Office 2,298,368 4,139,610 3,725,990 3,911,696 5,324,597 4,931,075 Finance Department 2,789,191 3,222,657 2,917,391 3,148,918 4,405,085 3,992,281 Non-Departmental* 5,151,159 2,739,302 3,214,732 6,246,076 2,852,698 1,894,367 Human Resources Dept. 1,562,789 1,672,700 1,654,368 2,065,928 2,684,109 2,884,524 Economic & Community Development 8,433,295 7,669,328 6,560,599 11,006,918 15,609,630 8,499,933 Fire Department 27,563,733 28,138,052 31,817,321 32,560,465 33,424,717 32,761,869 Police Department 28,482,441 30,190,064 30,959,959 33,281,487 34,450,023 36,838,240 Public Works Department 5,787,769 6,156,204 5,731,644 6,294,565 8,603,705 11,954,045 Library Department 5,628,684 5,940,870 5,903,883 6,495,266 7,273,745 8,044,806 Parks and Recreation Dept. 16,530,599 17,130,307 15,795,639 18,092,525 22,869,652 24,675,441 CIP 1,777,642 2,198,176 3,384,196 831,343 3,833,270 900,000 TOTAL $ 108,120,508 $ 111,595,230 $ 113,872,426 $ 126,253,855 $ 143,854,523 $ 140,153,329 * Excludes Transfer to Infrastructure Reserve
FY2023-24 Revenue Projections
FY23-24 General Fund Projections 2
8 RVENUE TYPE FY 2021-22
Actuals
FY 2022-23
Adjusted Budget
FY 2023-24
Proposed Budget
%age of TOTAL
Projected Revenues
Property Taxes $ 49,779,285 $ 45,804,769 $ 47,980,000 34.2% Sales Tax (w/o Measure W) 22,361,011 22,391,018 23,351,500 16.7% Transient Occupancy Tax 12,135,639 14,160,752 14,910,000 10.6% Other Taxes 6,537,422 5,693,252 6,950,000 5.0%
Franchise Fees 4,863,076 4,600,000 4,600,000 3.3%
Licenses & Permits 14,062,472 19,425,400 16,962,894 12.1% Fines & Forfeitures 700,961 710,824 337,826 0.2%
Revenue from Other Agencies 3,196,346 4,231,054 3,139,827 2.2% Charges for Services 9,747,606 8,265,097 9,709,257 6.9% Interest and Rent 3,060,851 5,453,469 3,940,000 2.8%
Other Revenues 514,995 263,903 700,000 0.5%
Transfers In 4,763,729 6,151,400 7,581,177 5.4%
TOTAL REVENUES $ 131,723,392 $137,150,938 $ 140,162,481 FY2023-24 Department Expenditures
FY23-24 General Fund Projections 2
9 DEPARTMENT FY 2021-22
Actuals
FY 2022-22
Adjusted Budget
FY 2023-24
Proposed Budget
%age of TOTAL
Projected
Expenditures
Council, Clerk, Treasurer $ 1,180,211 $1,583,002 $ 1,667,923 1.19% City Attorney 1,138,457 940,290 1,108,825 0.79%
City Manager’s Office 3,911,696 5,324,597 4,931,075 3.52% Finance Department 3,148,918 4,405,085 3,992,281 2.85%
Non-Departmental 14,746,076 2,852,698 1,894,367 1.35%
Human Resources Department 2,065,928 2,684,109 2,884,524 2.06% Economic & Community Develop. 11,006,918 15,609,630 8,499,933 6.06% Fire Department 32,560,465 33,424,717 32,761,869 23.38% Police Department 33,281,487 34,450,023 36,838,240 26.28% Public Works Department 6,294,565 8,603,705 11,954,045 8.53% Library Department 6,495,266 7,273,745 8,044,806 5.74%
Parks and Recreation Department 18,092,525 22,869,652 24,675,441 17.61% CIP 831,343 3,833,270 900,000 0.64%
TOTAL $ 134,753,855 $143,854,522 $ 140,153,329
Information Technology (ISF) $ 3,404,272 $ 5,241,804 $ 4,443,433 General Fund Summary (FY2023-24)
10 FY23-24 General Fund Summary 3
Description Amount
PROJECTED REVENUES $140,162,481
PROJECTED EXPENDITURES $140,153,329
SURPLUS/(DEFICIT) $ 9,152
Resolution
General Fund Budget
Other Funds
GANN Appropriations Limit
11 Other 4
QUESTIONS
12 Q&A 5