ACTION:
____________________________
Clerk/Secretary
Department: Finance Item No: D1
Prepared by:
Liliana Montes, Senior Management Analyst
Sara Taylor, Budget Manager Meeting Date: March 7, 2023 Approved by:
Mike Sylvia, Finance Director/Treasurer
Amanda Lee, Acting City Manager Agenda Location: Discussion SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW RECOMMENDATION: Receive a report on the Operating Budget preparation for Fiscal Years 2023/24 and 2024/25 and provide direction to staff.
CORRELATION TO CITY COUNCIL GOALS: (1) Homelessness & Housing, (2) Public Safety, (3) Fiscal Responsibility, (4) A Cleaner Vista, (5) Climate and Environmental Responsibility, (6) Parks and Recreation, (7)Economic Development, and (8) Traffic: Continue to improve the flow of traffic for all forms of travel, reduce congestion, and improve our roads and sidewalks.
PRIOR ACTION: On June 28, 2022, received a financial report on the Risk-Based Analysis and Stress Test of General Fund Reserve Requirements and adopted City Council Resolution 2022-112, authorizing the transfer of funds from the General Fund Emergency Reserves to the Section 115 Pension Trust and Amending the Operating Budget for Fiscal Years 2021/22 and 2022/23 (Vote: 4-0, Ritter absent (Ritter experienced technical difficulties)).
On March 22, 2023, approved the 2022-2024 City Council goals (Vote: 5-0).
On March 1, 2022, held a City Council goal setting workshop and, by consensus, identified top priority goals for 2022 through 2024 (No Vote).
On February 1, 2022, held a workshop and, by consensus, directed staff to bring back an item to discuss additional discretionary payments to CalPERS and allocate funds to the City’s 115 Trust account (No Vote).
STATEMENT ON THE SUBJECT: The City moved from a single-year budget process to a biennial (two- year) budget process with the adoption of the Fiscal Years (FYs) 2019/20 and 2020/21 Operating Budget.
Two-year budgeting allows the City to use its human resources more efficiently and reallocate resources to the capital budgeting process during the off-cycle year. Two-year budgeting also reinforces the City’s commitment to long-term fiscal health by looking beyond a one-year period when funding operating activities and capital improvements. Under two-year budgeting, the City continues to operate on a July – June annual fiscal year, retaining the fiscal control provided by annual budgets. The City Council continues to receive quarterly financial updates as well as a mid-cycle review approximately 12 months after the initial adoption of the two-year budget.
AGENDA
REPORT
CITY COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
SUCCESSOR AGENCY
BUENA SANITATION DISTRICT
JOINT POWERS FINANCING AUTHORITY
03/07/2023 D1 Page 1 of 10
Received a report on the Operating Budget preparation for Fiscal Years 2023/24 and 2024/25. Vote: No vote
MEETING DATE: March 7, 2023 PAGE 2
SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW Preparation of the FYs 2023/24 and 2024/25 Operating Budget began last fall and will continue through the adoption of the budget in June 2023. City Council approval in June will result in the final budget document, which serves as a blueprint to provide the services, programs, and projects benefiting Vista residents, visitors, and businesses for the next two fiscal years. All data included in this staff report is preliminary department provided expense budget requests and revenue estimates, a summary is included as Exhibit 1.
Staff continues to review and refine the budget projections through a detailed review; any additional changes made by staff, as well as changes required from City Council direction, will be incorporated into the draft budget document that is anticipated to be presented at the May 9, 2023 City Council meeting.
Macroeconomic Summary. The San Diego-area economy has completely recovered from the record high unemployment rates that occurred in spring 2020 resulting from the COVID-19 pandemic. Prior to COVID- 19 in February of 2020, the City's unemployment rate was 3.5 percent. The City's preliminary unemployment rate for December 2022 is 3.4 percent, comparable to the County of San Diego at 2.9 percent, and lower than the State of California at 4.1 percent. Broadly speaking, when combined with a December 2022 national Job Openings and Labor Turnover Survey (JOLTS) measure in excess of 11 million jobs available, the labor market is near all-time historic strength.
The labor market's strength coupled with consumers' willingness to spend COVID-related government aid and supply chain issues as a result of the pandemic, have conspired to create the worst inflation conditions in 40 years. While inflation appears to have peaked in the summer of 2022, it is still more than double the Federal Reserve's (the Fed) 2 percent inflation rate target by any measure. The Fed's preferred inflation measure, the Personal Consumption Expenditures Price Index (PCE) stood at 5.4 percent and 4.7 percent (excluding food and energy) as of January 2023. This inflationary persistence and labor market strength are likely to motivate the Fed to continue its escalation of the federal funds rate (the overnight interest rate that banks charge each other) to a level greater than 5 percent. Currently federal funds rate range upper limit is
4.75 percent; however, last year it was 0.25 percent, which is an 1800 percent increase. While the nominal increase of 4.5 percent is lower than rate changes in the late 1970s and early 1980s, the percentage change is much larger.
In summary, these economic conditions are likely to result in much slower growth at best, and a moderate recession at worst. Economists are split on the likelihood of a near term recession, due to the conflicting measurements of macroeconomic data. The Fed will continue to pursue slower growth (soft landing) versus a moderate recession (hard landing) in its quest to bring down the highest rate of inflation in over four decades. The City's revenue estimates largely reflect the slowing growth theme, and analysis will continue as data becomes available. Material shifts in conditions will be provided to City Council and City stakeholders via upcoming quarterly financial updates from staff.
Long Term Financial Plan. The City's Long Term Financial Plan (LTFP) is a 10-year projection of General Fund revenues and expenditures and includes data and Council direction from two prior Council workshops (Pensions — February 2022) and (General Fund Emergency Reserve Risk-Based Analysis—June 2022). It has been developed in consultation with staff from the Government Finance Officers Association (GFOA), the non-profit organization that sets local and state government financial Best Practices for the United States and Canada. Both the revenue and expenditure projections are based on a number of assumptive factors which are positively correlated to those of the City's General Fund. These factors are then utilized along with historical trend values and computer simulation techniques in order to account for the uncertainty inherent in key variables that drive revenues and expenditures. The combination of these inputs attempts to quantify both the magnitude of variability and the probability of each outcome. The LTFP is a living, dynamic document, which will be updated and amended as additional data become available.
Operating Budget Revenues. At this point in the budget preparation process, total General Fund revenues and other sources are estimated to be $113,382,715 for FY 2023/24 and $115,079,066 for FY 2024/25.
03/07/2023 D 1 Page 2 of 10
MEETING DATE: March 7, 2023 PAGE 3
SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW The following table shows planned General Fund revenues by category:
Original Preliminary Preliminary
Budget Draft Budget Draft Budget
2022/23 2023/24 2024/25
Property Tax 27,509,462 32,402,239 33,364,679
Sales Tax 21,720,592 24,128,755 24,696,513
Proposition L Sales Tax 10,039,277 12,025,199 12,264,218 Medical Cannabis 4,000,000 7,440,913 7,704,793 Transient Occupancy Tax 1,600,000 1,991,928 2,031,767 Franchise Tax Fees 3,880,271 3,995,317 4,074,047 Charges for Services 15,257,730 16,318,377 16,632,046 Other Revenue 6,094,411 7,289,692 7,862,259 Subtotal Revenues 90,101,743 105,592,420 108,630,322 Other Sources 7,158,842 7,790,295 6,448,744 Total Revenue& Sources $97,260,585 $113,382,715 $115,079,066 Revenues are primarily made up of property tax, sales tax, and charges for services.
Property Tax: FY 2023/24 property tax revenue is currently estimated to be 17.8 percent over the original FY 2022/23 budget estimate, and FY 2024/25 is currently estimated to be 3.0 percent over the FY 2023/24 budget estimate. Significant budgetary increases from FY 2022/23 to 2023/24 include an increase of almost $1.7 million for the City's allocation of Redevelopment Property Tax Trust Fund (RPTTF) and an additional $1.6 for Vehicle License Fee (VLF) in-lieu revenue.
Sales Tax (excluding Prop. L Sales Tax and Medical Cannabis Tax): Sales tax revenue is highly dependent on continued employment and consumer confidence. For FY 2023/24 sales tax is estimated at 11.1 percent over the FY 2022/23 estimate and FY 2024/25 is estimated at 2.4 percent over the FY 2023/24 estimate.
Proposition L Sales Tax: The FY 2023/24 Proposition L debt service and related expense totals $8,233,521 ($7,028,500 debt service plus $1,205,021 to fund Fire personnel), meaning that $3,791,678 is estimated to be transferred to the Proposition L reserve. For FY 2024/25, debt service and related expenses total $8,432,021 ($7,227,000 debt service plus $1,205,021 to fund Fire personnel), meaning that $3,822,197 is estimated to be transferred to the Proposition L reserve. Proposition L sales tax sunsets in 2037, the debt service schedule is included as exhibit 2.
Cannabis Tax: FY 2021/22 was the first year where all 11 dispensaries were in operation for the full fiscal year and total revenue received was $6,809,095. Cannabis revenues are estimated at $7,440,913 for FY 2023/24 and $7,704,793 for FY 2024/25. Revenue for this category is hard to predict based on lack of historical data and uncertainty of how the approval of medical and adult use cannabis businesses in other near-by jurisdictions may affect long-term revenues. On April 2021, City Council approved capping the revenue for budgeting purposes at $4 million per fiscal year and that any revenue received in excess of the amount budgeted should be used to fund special projects. This amount was increased to $4,466,396 in June 2022 to fund on-going expenditures, including two Park Ranger Positions, an additional Sherriff's Deputy, and additional Park Restroom Maintenance that were allocated by City Council in September 2021.
Due to the volatility of this revenue staff recommends continuing to cap the revenue for on-going operating budgeting purposes at $4,466,396 and continue to transfer the excess cannabis revenue at year-end to a designated account for use on special projects. Based on current revenue estimates, $2,974,517 is estimated to be available at the end of the year for FY 2023/24 and $3,238,397 for FY 2024/25. 03/07/2023 D 1 Page 3 of 10
MEETING DATE: March 7, 2023 PAGE 4
SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW Charges for Services: Charges for services include development permits, ambulance billing, park and recreation program charges, rentals of facilities, and reimbursements related to public safety services. FY 2023/24 Charges for Services are estimated to increase 7 percent over the original FY 2022/23 budget estimate, and FY 2024/25 is estimated to be 1.9 percent over the FY 2023/24 budget estimate.
Staff continues to evaluate revenue estimates and historic actuals to identify any changes that need to be incorporated into the budget document prior to presentation of the draft budget in May.
Operating Budget Expenditures. At this point in the budget preparation process, total General Fund expenditures are estimated to be $111,424,317 for FY 2023/24 and $113,519,524 for FY 2024/25.
The following table shows planned General Fund expenditures by spending category:
Original Preliminary Preliminary
Budget Draft Budget Draft Budget
2022/23 2023/24 2024/25
Staffing 38,482,462 44,647,272 46,110,501
Professional Services 33,000,648 33,222,192 34,437,812 Other Operating Expenses 3,983,274 5,334,261 5,530,035 Utilities 1,329,943 1,506,691 1,535,799
Allocated Costs 7,411,264 8,758,535 8,755,646 Capital Outlay 1,241,170 1,936,506 748,598 Subtotal 85,448,761 95,405,457 97,118,391
Transfers Out to other Funds 2,702,952 2,224,165 2,103,539 Transfers Out- Prop L Debt Service 6,839,000 7,028,500 7,227,000 Transfer to Reserves - Prop L 1,995,256 3,791,678 3,832,197 Excess Cannabis at Year-End 0 2,974,517 3,238,397 Total Expenses $96,985,969 $111,424,317 $113,519,524 Staffing: Staffing is the largest expenditure in the General Fund at approximately 43 percent of the annual General Fund expenditures. Increases are largely due to negotiated salary increases, increased pension costs, and health care rates.
California Public Employee Retirement System (CalPERS): In FY 2012/13, the Public Employees' Pension Reform Act of 2013 (PEPRA) implemented a two-tier methodology, recognizing members hired prior to January 1, 2013, versus those hired after that date. Since implementation, the percentage of the City's workforce comprised of PEPRA employees now stands at 58 percent. PEPRA employees receive reduced PERS benefits thereby reducing overall obligations to the General Fund.
The estimated contribution to CalPERS in FY 2023/24 is $11,267,606 and $11,144,800 for FY 2024/25.
The total CalPERS contribution is the sum of the Normal Cost Rate (a percentage of payroll) and the Unfunded Accrued Liability (UAL).
The chart below shows estimated contributions, based on the median of CalPERS projections.
Fiscal Year 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Normal Cost 3,911,644 4,599,092 4,650,781 4,733,565 4,848,591 4,962,532 UAL 6,545,676 6,668,514 6,494,019 6,870,669 7,444,985 7,876,791 Total $10,457,320 $11,267,606 $11,144,800 $11,604,234 $12,293,576 $12,839,323 03/07/2023 D1 Page 4 of 10
MEETING DATE: March 7, 2023 PAGE 5
SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW Health Care Rates: The insurance carriers have not yet provided employee health care rates for the next year. Based on current year actuals, the FY 2023/24 estimate reflects an increase of$436,434 over the original FY 2022/23 budget and an increase of$648,239 for FY 2024/25 over the FY 2023/24 budget estimate.
Professional Services Contracts: The City contracts with the San Diego County Sheriff's Department to provide law enforcement services. FY 2023/24 expenditures are estimated at $27.2 million, and $28.2 million for FY 2024/25. While this is a very large cost, contracting with the Sheriff's Department is a very effective way to provide police protection, due to the Sheriff's robust capabilities and services, as well as inherent economies of scale.
Capital Outlay: All City-owned vehicles are on replacement schedules. Purchases are funded by monies set aside in previous fiscal years; non-Fire vehicles are purchased through the Fleet Maintenance Internal Service Fund and Fire vehicles are replaced in the General Fund. In FY 2023/24 two ambulances and a breathing apparatus system are scheduled for replacement. In FY 2024/25 two additional ambulances and a Fire Chief vehicle are scheduled for replacement.
The following table shows planned expenditures by spending function for the General Fund:
Original Preliminary Preliminary
Budget Draft Budget Draft Budget
2022/23 2023/24 2024/25
General Government 9,389,493 10,747,363 11,019,673 Public Safety 57,124,589 62,735,932 63,798,638
Community Development 7,834,271 8,957,268 9,035,228 Public Works 3,818,039 4,369,792 4,518,800 Community Services 7,282,369 8,595,102 8,746,052 Total Expenses by Category 85,448,761 95,405,457 97,118,391 Transfers Out to other Funds 2,702,952 2,224,165 2,103,539 Transfers Out- Prop L Debt Service 6,839,000 7,028,500 7,227,000 Transfer to Reserves-Prop L 1,995,256 3,791,678 3,832,197 Excess Cannabis at Year-End 0 2,974,517 3,238,397 Total Expenses $96,985,969 $111,424,317 $113,519,524 Position Requests. There are seven new position requests and 12 reclassification of position requests for FY 2023/24. The anticipated fiscal impact of including all the new positions and reclassification requests is $1,020,187 to all funds and an increase of$857,831 to the General Fund. This amount does not include potential increases to the City's CalPERS Unfunded Accrued Liability. The cost to include the new positions and reclassifications is not included in the table above; position requests will be evaluated as part of the budget process and any approved positions will be included in the draft Operating Budget that will be presented to the City Council in May.
General Fund-Subsidized Programs. The General Fund provides a subsidy to four programs, with maximum subsidy amounts authorized by the City Council. These are programs that have dedicated funding sources, but whose revenues do not meet the total expenses necessary to provide the programs. 03/07/2023 D 1 Page 5 of 10
MEETING DATE: March 7, 2023 PAGE 6
SUBJECT: FISCAL YEARS 2023/24 AND 2024/25 OPERATING BUDGET OVERVIEW At this time, most of the programs are exceeding the maximum subsidy amount set by City Council. As with the entire budget, staff will continue to review and modify the subsidized programs to ensure subsidy thresholds are not exceeded when the draft budget is presented in May.
Program Name Approved Maximum FY 2023/24 Budget FY 2024/25 Budget Subsidy Overview Subsidy Overview Subsidy
Wave Waterpark $400,000 683,089 701,618 Moonlight Stage Productions $200,000 356,087 382,103 Landscaping and Lighting MD $275,000 223,806 246,016 Senior Nutrition $375,000 (Goal) 494,950 497,542 Capital Project Budget. The Capital Project Budget is separately adopted from the Operating Budget on alternating fiscal years. The Budget Summary for the FYs 2022/23 and 2023/24 Capital Project Budget is included as Exhibit 3. The mid-cycle update for the FY 2023/24 will be presented for City Council review and adoption at the June 13, 2023 meeting.
Next Steps. As shown in Exhibit 1, there is currently a projected surplus for both fiscal years based on preliminary data. Staff continues to review and refine both expense and revenue estimates for need and accuracy. Any additional changes made by staff, as well as changes required from City Council direction, will be incorporated into the draft budget document that is expected to be presented to the City Council on May 9, 2023. The final Operating Budget document is expected to be presented for City Council adoption at the June 13, 2023 meeting.
FISCAL IMPACT: There is no direct fiscal impact associated with the staff recommendation. Any fiscal impacts will be evaluated and implemented after receiving direction from the City Council and will be included in the draft Operating Budget that will be presented to the City Council in May.
EXHIBITS:
1. General Fund Summary— History and Preliminary FYs 2023/24 and 2024/25 Revenues and Expenditures
2. Proposition L Forecast
3. FYs CIP Summary
03/07/2023 D 1 Page 6 of 10
GENERALFUND
FUND SUMMARY
CITY COUNCIL OVERVIEW
Original Preliminary Preliminary
Actual Actual Budget Draft Budget Draft Budget 2020/21 2021/22 2022/23 2023/24 2024/25
Revenues
Taxes
Property 27,202,162 28,981,823 27,509,462 32,402,239 33,364,679 Sales Tax(excluding Prop. L) 21,698,813 24,480,913 21,720,592 24,128,755 24,696,513 Prop. L Sales Tax 10,351,761 12,009,138 10,039,277 12,025,199 12,264,218 Medical Cannabis 5,113,996 6,809,095 4,000,000 7,440,913 7,704,793 Transient Lodging 1,501,801 1,997,247 1,600,000 1,991,928 2,031,767 Franchise Fees 3,813,179 3,828,749 3,880,271 3,995,317 4,074,047 Total Taxes $69,681,712 $78,106,966 $68,749,602 $81,984,351 $84,136,017 Licenses and Permits 2,089,954 2,318,667 1,859,435 2,481,420 2,529,174 Intergovernmental 967,384 2,395,565 252,100 227,517 228,247 Charges for Services 13,967,455 17,473,803 15,257,730 16,318,377 16,632,046 Fines and Forfeitures 1,376,450 1,364,270 1,442,530 1,293,210 1,393,210 Use of Money and Property 3,815,473 (3,009,331) 1,937,336 2,687,899 3,109,182 Other Revenue 3,494,730 637,653 603,010 599,646 602,446 Subtotal Revenues $95,393,159 $99,287,593 $90,101,743 $105,592,420 $108,630,322 Other Sources
Interdepartmental Service Charges 3,553,917 3,803,709 4,203,709 4,452,244 4,452,244 Transfers In 498,117 526,795 495,750 250,000 250,000 Use of Designated Funds 0 0 2,459,383 3,088,051 1,746,500 Subtotal Other Sources $4,052,034 $4,330,504 $7,158,842 $7,790,295 $6,448,744 Total Revenues and Sources $99,445,193 $103,618,097 $97,260,585 $113,382,715 $115,079,066 Expenditures
Staffing 32,832,714 38,330,037 38,482,462 44,647,272 46,110,501 Professional Services/Contract 29,290,786 30,952,420 33,000,648 33,222,192 34,437,812 Other Operating Expenses 3,993,603 3,947,866 3,983,274 5,334,261 5,530,035 Utilities 1,063,509 1,272,540 1,329,943 1,506,691 1,535,799 Allocated Costs 5,716,917 5,965,305 7,411,264 8,758,535 8,755,646 Capital Outlay 1,400,920 1,404,767 1,241,170 1,936,506 748,598 Subtotal $74,298,449 $81,872,936 $85,448,761 $95,405,457 $97,118,391 Other Uses
Transfers Out-Other 4,108,838 4,352,250 2,102,952 1,624,165 1,503,539 Transfers Out-115 Trust 0 12,200,000 0 0 0 Transfers Out-CIP 1,546,170 7,658,985 600,000 600,000 600,000 Transfers Out-Prop. L 6,457,412 6,641,487 6,839,000 7,028,500 7,227,000 Transfer to Reserves-Excess Prop L 1,995,256 3,791,678 3,832,197 Excess Cannabis at Year-end 2,974,517 3,238,397 Subtotal $12,112,420 $30,852,721 $11,537,208 $16,018,860 $16,401,133 Total Expenditures and Uses $86,410,869 $112,725,658 $96,985,969 $111,424,317 $113,519,524 Excess of Revenue and Sources
Over(Under)Expenditures and Uses $274,616 $1,958,398 $1,559,542 EXHIBIT 1
03/07/2023 D 1 Page 7 of 10
CITY OF VISTA
Proposition "L" Proiection WITH FIRE
Fiscal Year Revenue Expenses Net Change Balance 2006/07 $ 904,903 $ - $ 904,903 $ 904,903 2007/08 $ 5,821,352 $ (4,604,947) $ 1,216,405 $ 2,121,308 2008/09 $ 5,484,149 $ (2,556,872) $ 2,927,277 $ 5,048,585 2009/10 $ 5,257,643 $ (3,642,079) $ 1,615,564 $ 6,664,149 2010/11 $ 5,896,694 $ (4,514,101) $ 1,382,593 $ 8,046,742 2011/12 $ 6,699,693 $ (7,340,764) $ (641,071) $ 7,405,671 2012/13 $ 6,710,750 $ (7,616,199) $ (905,449) $ 6,500,222 2013/14 $ 6,906,516 $ (7,607,019) $ (700,503) $ 5,799,719 2014/15 $ 7,146,376 $ (7,721,550) $ (575,174) $ 5,224,545 2015/16 $ 7,573,553 $ (7,202,238) $ 371,315 $ 5,595,860 2016/17 $ 7,463,296 $ (6,995,776) $ 467,520 $ 6,063,380 2017/18 $ 7,935,924 $ (7,149,294) $ 786,630 $ 6,850,010 2018/19 $ 8,274,145 $ (7,328,325) $ 945,820 $ 7,795,830 2019/20 $ 8,669,604 $ (7,485,364) $ 1,184,240 $ 8,980,069 2020/21 $ 10,351,761 $ (7,678,302) $ 2,673,459 $ 11,653,528 2021/22 $ 12,009,138 $ (7,852,073) $ 4,157,065 $ 15,810,593 2022/23 $ 10,039,277 $ (8,044,021) $ 1,995,256 $ 17,805,849 2023/24 $ 12,025,199 $ (8,233,521) $ 3,791,678 $ 21,597,527 2024/25 $ 12,264,218 $ (8,432,021) $ 3,832,197 $ 25,429,724 2025/26 2.00% $ 12,509,502 $ (8,633,271) $ 3,876,231 $ 29,305,956 2026/27 2.00% $ 12,759,692 $ (8,831,271) $ 3,928,421 $ 33,234,377 2027/28 2.00% $ 13,014,886 $ (9,037,396) $ 3,977,490 $ 37,211,867 2028/29 2.00% $ 13,275,184 $ (9,246,984) $ 4,028,200 $ 41,240,068 2029/30 2.00% $ 13,540,688 $ (9,461,734) $ 4,078,954 $ 45,319,022 2030/31 2.00% $ 13,811,501 $ (9,682,484) $ 4,129,018 $ 49,448,040 2031/32 2.00% $ 14,087,731 $ (9,901,396) $ 4,186,335 $ 53,634,375 2032/33 2.00% $ 14,369,486 $ (10,133,009) $ 4,236,478 $ 57,870,853 2033/34 2.00% $ 14,656,876 $ (10,365,221) $ 4,291,655 $ 62,162,508 2034/35 2.00% $ 14,950,013 $ (10,596,459) $ 4,353,555 $ 66,516,063 2035/36 2.00% $ 15,249,014 $ (10,842,646) $ 4,406,368 $ 70,922,430 2036/37 2.00% $ 11,665,495 $ (11,087,209) $ 578,287 $ 71,500,717 Bonds were refinanced in September 2015 and this schedule reflects the new debt service requirements.
EXHIBIT 2
03/07/2023 D 1 Page 8 of 10
Capital Project Budget Summary by Category City of Vista BUDGET BUDGET PLAN
2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Projected Six- CIP# Approp. Approp. Projected Projected Projected Projected Year Total
RECREATIONPARKS&
Avenida De Benito Juarez Pocket Park 8336 515,417 515,417 New-Skate Park B Shade Structure 8337 80,000 80,000 New-Wiivay Park,A Luiseno Place 8338 700,500 700p500 New-Vista Sports Park Turf Replacement 8342 2,000,000 2,000,000 PUBLIC FACILITIES 6,050,000 50,000 50,000 50,000 50,000 50,000 6,300,000 ADATransition Plan Implementation 8240 50,000 50,000 50,000 1 50,000 1 50,000 1 50,000 300,000 Fire Station No.3 Replacement 8331 6,000,000 6,000,000 Affordable Housing Projects 8234 500,000 F 500,000 i
Pavement&Sidewalk Mgmt Program 8219 31,000 32,000 33,000 34,000 35,000 35,000 200,000 Street Const&Overlay-Biennial 8225 2,950,000 2,000,000 2,000,000 2,100,000 2,100,000 2,200,000 13,350,000 Annual Street Rehab&Maint 8262 1,250,000 900,000 900,000 950,000 950,000 1,000,000 5,950,000 Pedestrian Mobility Sidewalks 8290 965,140 774,070 774,070 774,070 774,070 774,070 4,835,490 Traffic Congestion Mgmt Program 8294 8,800 8,800 8,800 8,800 8,800 8,800 52,800 Townsite Complete Street 8312 883,930 - - - - - 883,930 Residential Street Rehab/Overlay 8313 2,800,000 2,400,000 2,500,000 2,600,000 2,700,000 2,800,000 15,800,000 New-Foothill&Oak Drive 8339 567,090 300,000 - - - - 867,090 New-Vista Village&W.Vista Ped Xing Imp 8340 180,000 180,000 TRAFFIC SIGNALS 000 550,000
New-TS on Bobier Drive&Calle Jules 8341 550,000 550,000 New-CMTC Device Installations 8343 260,600 271,000 1,268,500 1,319,200 1 1,372,000 1 1,426,900 5,918,200 0,0
EWA Capital Improvement Project 8157 7,837,488 7,789,834 9,325,682 8,823,411 8,557,582 8,867,965 51,201,962 Vista Pipeline Rehab&Point Repair 8244 - - 1,500,000 - 1,500,000 - 3,000,000 VC2:Vista/Carlsbad Intercept Rehab 8271 - 1,687,500 - 1,687,500 FOG Abatemnt Raceway PS 8320 550,000 - 550,000 New-Sewer Master Plan 8344 148,800 - - - 148,800 BUENA SEWER DISTRICT 5,880,29100 :0
EWA Capital Improvement Project 8157 2,214,091 2,202,614 2,636,882 2,494,863 2,419,698 2,507,461 14,475,609 Buena Pipeline Rehab&Point Repair 8317 - 1,500,000 - 1,500,000 - 1,500,000 4,500,000 FOG Abatement Buena Creek PS 8324 750,000 - - - 750,000 New-Sewer Master Plan 8344 91,200 91,200 New-Buena Creek PS Mechanical Mods 8345 775,000 775,000 New-Vallecitos Failsafe Outfall 8346 1,750,000 1,750,000 New-Vallecitos Land Outfall Rehab 8347 300,000 300,000 TOTAL 34,709,056 18,228,318 1 22,684,434 20,654,344 1 20,467,150 1 21,170,196 137,913,498 EXHIBIT 3
03/07/2023 D1 Page 9 of 10
Capital Project Budget Summary by Fund City of Vista BUDGET BUDGET PLAN
2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 Projected CIP It
Approp. Approp. Projected Projected Projected ProjectedF77 Year Total
Fire Station No.3 Replacement 8331 4p308,000 4,308,000 New Vista Sports Park Turf Replacmnt 8342 2,000,000 2,000,000 102 PARK DEVELOPMENT
Avenida De Benito Juarez Pocket Park 8336 415,417 415,417 New-Skate Park B Shade Structure 8337 80,000 80,000 New-Wiivay Park,A Luiseno Place 8338 460,215 460,215 103 •: 724,070 724,070 724,070 4,259,420 Pedestrian Mobility Sidewalks 8290 415,140 724,070 1 724,070 724,070 1 724,070 1 724,070 r 4,035,490 Townsite Complete Street 8312 223,930 - - 223,930 110 PUBLIC FACILITIES FEES 50,000 50pOOO 50,000 50,000 50,000 50,000 300,000 ADA Transition Plan Implementation 8240 50,000 50,000 50,000 50,000 1 50,000 1 50,000 300,000 Fire Station No.3 Replacement 8331 1,500,000 1,500,000 000 1,390pOOO
Townsite Complete Street 8312 660,000 660,000 New-TS on Bobier Drive&Calle Jules 8341 550,000 550,000 New-Vista Village&W Vista Ped Xing Impi 8340 180,000 - - - 180,000 110 TRAFFIC IMPACT FEES 598,090 332,000 33,000 34pOOO 35,000 35pOOO 1,067, Pavement&Sidewalk Mgmt Program 8219 31,000 32,000 33,000 34,000 35,000 35,000 200,000 New-Foothill&Oak Drive 8339 567,090 300,000 867.090 Street Const&Overlay-Biennial J8294
2,950,000 2,000,000 2,000,000 2,100,000 2,100,000 2,200,000 13,350,000 Annual Street Rehab&Maint 1,250,000 900,000 900,000 950,000 950,000 1,000,000 5,950,000 Pedestrian Mobility Sidewalks 550,000 50,000 50,000 50,000 50,000 50,000 800,000 Traffic Congestion Mgmt Program 8,800 8,800 8,800 8,800 8,800 8,800 52,800 Fire Station No.3 Replacement 8331 192,000 192,000 New-Wiivay Park,A Luiseno Place 8338 240,285 240p285 122 VISTA HOUSING AUTHORITY 500,000 500,000 Affordable Housing Projects 8234 500,000 500,000 Residential Street Rehab/Overlay 8313 2,800,000 2,400,000 1 2,500,000 1 2,600,000 1 2,700,000 1 2,800,000 15,800,000 Avenida De Benito Juarez Pocket Park 8336 100,000 - 100,000 0,0
EWA Capital Improvement Project 8157 7,837,488 7,789,834 9,325,682 8,823,411 8,557,582 8,867,965 51,201,962 Vista Pipeline Rehab&Point Repair 8244 1,500,000 - 1,500,000 - 3,000,000 VC2:Vista/Carlsbad Intercept Rehab 8271 - 1,687,500 - 1,687,500 FOG Abatemnt Raceway PS 8320 550,000 - 550,000 Sewer Master Plan 8344 148,800 - - - 148,800
0. BUENA SEWER REPLACEMENT 5p880,291 •• :0 EWA Capital Improvement Project 8157 2,214,091 2,202,614 2,636,882 2,494,863 2,419,698 2,507,461 14,475,609 Buena Pipeline Rehab&Point Repair 8317 - 1,500,000 - 1,500,000 - 1,500,000 4,500,000 FOG Abatement Buena Creek PS 8324 750,000 - - - 750,000 New-Sewer Master Plan 8344 91,200 91,200 New-Buena Creek PS Mechanical Mods 8345 775,000 775,000 New-Vallecitos Failsafe Outfall 8346 1,750,000 - 1,750,000 New-Vallecitos Land Outfall Rehab 8347 300,000 300,000 New-CMTC Device Installations 8343 260,600 1 271,000 1 1,268,500 1 1,319,200 1 1,372,000 1 1,426,9001 5,918,200 TOTAL 34,709,056 18,228, 22,684,434 20,654,344 20,467,1 21,170 96 1 ,913,498
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Operating Budget Overview
Fiscal Years 2023/24 and 2024/25
9 CITYOFVISTA.COM
CITY OF VISTA General Fund Revenue Summary
Original Mid-Cycle Preliminary Preliminary Budget Budget Update Draft Budget Draft Budget 2022/23 2022/23 2023/24 2024/25
Property Tax27,509,462 28,811,952 •
Sales Tax24,696,513
Proposition L Sales Tax11,737,996 12,025,199 12,264,218 Cannabis •• •
Transient Occupancy Tax ••
Franchise Tax Fees :: ••
Charges for Services15,257,730 15,115,677 16,318,377 16,632,046 Other Revenue6,094,411 6,725,947 7,289,692 7,862,259 Subtotal Revenues 90,101,743 96,188,391 105,592,42 MEMMOT-M Other Sources7,158,842
Total Revenue & Sources 97,260,585 103,966,78 113,382,715 115,079,06 Figures presented are preliminary and subject to change CITYOFVISTA.COM
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CITY . VISTA I 1 Revenue Summary
$35,000,000 $33,364,679
$32,402,239
$30,000,000
$28,981,823$28,811,9,51
$27,202,162 _ _�•
$25,534,482 �
$24,838,026
$25,000,000 $z3,o1z,4o5
$21,84 , �� ..
5,67�♦ 24,480,913 • $24,696,513
♦ $23,775,152$24,128,755
$19,867,698
$20,000,000 1,698,813
$19,726,016$19,245,171
$18,691,651 $18 081,9�8 383,587 `
7,458,030` . -
$15,000,000 $16,403,509 $16,318,377$16,632,046 $14,849,660 $15,001,733 $15,115,677
$13,954,663
$10,000,000
$11,916,102$12,417,186
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 + Charges for Service + Sales Tax (w/out Prop L & Cannabis) + Property Tax •
CITY OF VISTA
Proposition
2019/20 8,669,604 (7,485,364) 1,184,240 8,980,069 2020/21 10,351,761 (7,678,302) 2,673,459 11,653,528 2021/22 12,009,138 (7,852,073) 4,157,065 15,810,593 2022/23 10,039,277 (8,044,021) 1,995,256 17,805,849 2023/24 12,025,199 (8,233,521) 3,791,678 21,597,527 2024/25 12,264,218 (8,432,021) 3,832,197 25,429,724 2025/26 2.00% 12,509,502 (8,633,271) 3,876,231 29,305,955 2026/27 2.00% 12,759,692 (8,831,271) 3,928,421 33,234,377 2027/28 2.00% 13,014,886 (9,037,396) 3,977,490 37,211,867 2028/29 2.00% 13,275,184 (9,246,984) 4,028,200 41,240,068 2029/30 2.00% 13,540,688 (9,461,734) 4,078,954 45,319,022 2030/31 2.00% 13,811,501 (9,682,484) 4,129,018 49,448,040 2031/32 2.00% 14,087,731 (9,901,396) 4,186,335 53,634,375 2032/33 2.00% 14,369,486 (10,133,009) 4,236,478 57,870,853 2033/34 2.00% 14,656,876 (10,365,221) 4,291,655 62,162,507 2034/35 2.00% 14,950,013 (10,596,459) 4,353,555 66,516,062 2035/36 2.00% 15,249,014 (10,842,646) 4,406,368 70,922,430 2036/37 2.00% 11,665,495 (11,087,209) 578,287 71,500,717
CITY OF VISTA General Fund Revenue Summary
Original Mid-Cycle Preliminary Preliminary Budget Budget Update Draft Budget Draft Budget 2022/23 2022/23 2023/24 2024/25
Property Tax27,509,462 28,811,952 •
Sales Tax24,696,513
Proposition L Sales Tax11,737,996 12,025,199 12,264,218 Cannabis •• •
Transient Occupancy Tax ••
Franchise Tax Fees :: ••
Charges for Services15,257,730 15,115,677 16,318,377 16,632,046 Other Revenue6,094,411 6,725,947 7,289,692 7,862,259 Subtotal Revenues 90,101,743 96,188,391 105,592,42 MEMMOT-M Other Sources7,158,842
Total Revenue & Sources 97,260,585 103,966,78 113,382,715 115,079,06 Figures presented are preliminary and subject to change CITYOFVISTA.COM
CITY OF VISTA General Fund Expense Summary by Category Original Mid-Cycle Preliminary Preliminary
Budget Budget Update Draft Budget Draft Budget
2022/23 2022/23 2023/24 2024/25
Staffing :: •
,110,501
Professional Services
Other Operating Expenses3,983,274 4,609,960
Utilities1,329,943 1,452,913 1,506,691 •• Allocated Costs :
Capital Outlay 0 •
Subtotal 85,448,761 8,639,37 95,405,45 97,118,391 Transfers Out to other Funds •
Transfers Out- Prop. L6,839,000 6,839,000 7,028,500 7,227,000 Transfer to Reserves- Excess Prop L1,995,256 3,693,975 • Excess Cannabis at Year-End •
Total Expenses $96,985,96 $103,851,94 $111,424,31 $113,519,52 Figures presented are preliminary and subject to change CITYOFVISTA.COM
CITY OF VISTA General Fund Expense Summary by Function Original Mid-Cycle Preliminary Preliminary
Budget Budget Update Draft Budget Draft Budget 2022/23 2022/23 2023/24 2024/25
General Government9,389, 93 • : 11,019,673
Public Safety :• 63,798,638
Community Development . : .: 9,035,228
Public Works •• 4,369,792 4,518,800 Community Services 7,282,369 •
,052
Total Expenses by Category 85,448,761 88,639,37 95,405,45 97,118,391 Transfers Out to other Funds •
Transfers Out- Prop. L 6,839,000 6,839,000 7,028,500 7,227,000 Transfer to Reserves- Excess Prop L1,995,256 3,693,975 • Excess Cannabis at Year-End •
Total Expenses 96,985,96 103,851,94 MEMWwWAMEMMM,,52 Revenues and Sources Over(Under) 74,61 114,84 1,958,398 1,559,54 Expenditures and Other Uses
Figures presented are preliminary and subject to change CITYOFVI STA.COM
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