Town of Yountville
Staff Report
6550 Yount Street
Yountville, CA 94599
Agenda Item #: {{section.number}}A
Yountville Town Council Staff Report
DATE: February 18, 2025
TO: Mayor and Town Council
FROM: Kyle Batista, Financial Analyst; Celia King, Administrative Services Director PREPARED BY: Kyle Batista, Financial Analyst
RECOMMENDATION
Adopt Resolution Number 25-4342 approving mid-year budget adjustments for Fiscal Year 2024/2025.
DISCUSSION/BACKGROUND
Town staff have conducted a review of the status of the Town’s Fiscal Year (FY) 2024/2025 budget as of December 31, 2024. This report is presented to recommend budget adjustments to ensure proper budget management considering unexpected revenue and expense activity after budget adoption on May 21, 2024.
All proposed changes are summarized at the end of this staff report.
General Fund Revenue
Town staff recommend budget adjustments for the following General Fund revenue accounts. • Risk Management Refunds and Reimbursements - Increase budget by $34,517. Staff will be requesting a draw from available California Intergovernmental Risk Authority (CIRA) Flexible Spending Funds to cover higher than expected workers’ compensation, liability, and property insurance premiums.
• Parks and Recreation Community Events Donations and Contributions - Increase budget amount by $25,000 for the Napa Valley Tourism Improvement District (NVTID) contribution of funds to the Town for upcoming community events.
• Other State Revenues - Decrease budget by $40,000 as the Town will not receive grant funding to cover the costs of SolarAPP+ software because it was free to implement.
The net amount of these General Fund revenue budget adjustments is an increase of $19,517.
General Fund Expenditures
Town staff recommend budget adjustments for the following General Fund expenditure accounts. • Workers’ Compensation and Liability Insurance - Increase budget by $22,770 total across multiple departments to cover the higher-than-expected annual insurance premiums. • Public Works Government Buildings Property Insurance - Increase budget by $11,748 to cover the higher-than-expected annual property insurance premiums. • Town Manager’s Salaries and Benefits - Increase salary, employer pension contributions, and employer deferred compensation budget amounts by $56,980 to cover costs related to the Town Manager employment agreement amendment per Resolution No. 24-4306 approved by Town Council on September 17, 2024.
• Public Works Maintenance Worker Salaries and Benefits - Increase budget by $47,398 to backfill the Maintenance Worker position that was left vacant due to staff internal promotion to Public Works Manager.
• Public Works Park Maintenance Utilities - Increase Water Utilities budget by $27,000 for expenditures incurred at Yountville Commons.
• Public Works Government Buildings Utilities - Increase Gas and Electric budget by $22,000 and Water and Sewer budget by $24,000 for expenditures incurred at Yountville Commons. • Public Works Government Buildings Equipment Maintenance - Increase budget by $31,000 to cover unexpected geothermal piping repair at Community Center and generator repair at multiple Town buildings.
• Parks & Recreation Camp Program Contract Services - Increase budget by $10,000 to cover camp field trip and transportation costs.
• Parks & Recreation Camp Program Part-Time Salaries - Increase budget by $32,295 to cover revised part-time salary costs per Resolution No. 24-4326 approved by the Town Council on December 3, 2024, and accommodate anticipated costs.
• Parks & Recreation Community Events - Increase Contract Services budget by $20,000 and Supplies budget by $5,000. These budget adjustments utilize Napa Valley Tourism Improvement District funds contributed to upcoming community events. • Planning Contract Services - Decrease budget by $40,000 due to SolarAPP+ software being available to jurisdictions at no cost.
The total amount of the General Fund expenditure budget adjustments is $270,191.
The net result of increased expenditures less increased revenues is $250,674. The current General Fund assigned for Budget Contingency Fund Balance is $557,793. Staff are recommending use of these funds to cover the $250,674 of additional expenditures. The remaining balance after approval of this utilization would be $307,119.
Other Funds
Town staff recommend budget adjustments for the following budgets applicable to other funds. • Fund 61 Water Utility - Increase Refunds and Reimbursement revenue budget and Insurance Premium expenditure budgets by $3,395. Staff will be requesting a draw from available California Intergovernmental Risk Authority (CIRA) Flexible Spending Funds to cover higher than expected workers’ compensation, liability, and property insurance premiums. The net effect of these adjustments to the fund is zero.
• Fund 62 Wastewater Utility - Increase Refunds and Reimbursement revenue budget and Insurance Premium expenditure budgets by $7,947. Staff will be requesting a draw from available California Intergovernmental Risk Authority (CIRA) Flexible Spending Funds to cover higher than expected workers’ compensation, liability, and property insurance premiums. • Fund 62 Wastewater Treatment Contract Services - Increase budget by $29,000 to cover additional regulatory consulting costs for the Treatment Plant permit renewal process. • Fund 21 Public Education & Government TV (P.E.G.) - Increase Contract Services budget by $13,000 and Equipment budget by $7,000 for purchasing and installation of display monitors to modernize the noticing of Town meetings.
• Fund 25 Measure T Infrastructure - Increase budget by $904,011 for the Measure T portion of the Washington Street Corridor Project.
Finance staff confirmed that the funds listed above have sufficient fund balance to cover the budget adjustments requested.
Additional Information
• The current balance of the General Fund Assigned for Leave Buyout is $160,000. Staff recommend utilization of this general fund balance allocation in the amount of $27,415 for expenditures incurred in the current fiscal year. Remaining balance after approval of this utilization is $132,585.
• All proposed changes are summarized at the end of this staff report and included with Resolution No. 25-4342 as Exhibit A.
ENVIRONMENTAL REVIEW
Exempt per California Environmental Act (CEQA) Guideline, Section 15061(b)(3).
FISCAL IMPACT
Is there a Fiscal Impact? Yes
Is it Currently Budgeted? Yes
Where is it Budgeted? Various Departments
Is it Mandatory or Discretionary? Discretionary
Is there a Staff Resource Impact? Nominal
STRATEGIC PLAN GOAL
Is item Identified in Strategic Plan? Yes
If yes, Identify Strategic Goal and Objective. Responsible Fiscal Policy: The Town maintains its fiscal health through policies designed to maximize economic opportunities, manage expenses, and ensure prudent reserves.
Briefly Explain Relationship to Strategic Plan Goal and Objective. Presenting the Town Council with recommended budget adjustments based on a mid-year review of revenue and expenditures ensures proper budget management.
ATTACHMENTS
1. Resolution No. 25-4342 with Exhibit A (Budget Adjustment Summary) Exhibit A - Budget Adjustment Summary
General Fund Revenues Original Budget
Increase/
(Decrease)
Amended
Budget
General Fund Refunds & Reimbursements 10,620 34,517 45,137 Parks & Recreation Community Events Donations and
Contributions 13,000 25,000 38,000
Other State Revenues (SolarAPP+ grant) 40,000 (40,000) - Total General Fund Revenue Adjustments 19,517
General Fund Expenditures Original Budget
Increase/
(Decrease)
Amended
Budget
General Fund Worker's Compensation & Liability Insurance 345,646 22,770 368,416 Public Works Government Buildings Property Insurance 98,016 11,748 109,764 Town Manager's Salary & Benefit Cost 271,478 56,980 328,458 Public Works Maintenance Worker (partial year) 442,980 47,398 490,378 Public Works Parks Utilities Water and Sewer 125,000 27,000 152,000 Public Works Government Buildings Utilities Gas and Electric 50,000 22,000 72,000 Public Works Government Buildings Utilities Water and Sewer 60,000 24,000 84,000 Public Works Government Buildings Equipment Maintenance 23,330 31,000 54,330 Parks & Recreation Camp Contract Services 25,220 10,000 35,220 Parks & Recreation Camp Part-Time Salaries 105,200 32,295 137,495 Parks & Recreation Community Events Contract Services 49,850 20,000 69,850 Parks & Recreation Community Events Other Supplies & 30,250 5,000 35,250 Planning Department Contract Services (SolarAPP+ Software) 234,600 (40,000) 194,600 Total General Fund Expenditure Adjustments 270,191
Original Balance Utilization*
Remaining
Balance
General Fund Assigned for Budget Contingency Fund 557,793 250,674 307,119 *net result of increased expenditures less increased revenues Continued on next page
Exhibit A - Budget Adjustment Summary (cont.)
Enterprise Funds Original Budget Increase
Amended
Budget
Fund 61 Water Refunds and Reimbursements - 3,395 3,395
Fund 62 Wastewater Refunds and Reimbursements - 7,947 7,947 Total Increase to Enterprise Fund Revenues 11,342
Fund 61 Water Liability Insurance 28,673 2,108 30,781
Fund 61 Water Property Insurance 6,126 734 6,860
Fund 61 Water Workers Comp Insurance 11,643 553 12,196
Total Increase to Water Fund Expenditures 3,395
Fund 62 Wastewater Liability Insurance 61,979 4,550 66,529 Fund 62 Wastewater Property Insurance 18,378 2,203 20,581 Fund 62 Wastewater Workers Comp Insurance 25,167 1,194 26,361 Fund 62 Wastewater Treatment Contract Services 277,550 29,000 306,550 Total Increase to Wastewater Fund Expenditures 36,947
Other Funds Original Budget Increase
Amended
Budget
Fund 21 Public Education & Gov't TV (PEG) Contract Services - 13,000 13,000 Fund 21 Public Education & Gov't TV (PEG) Equipment 5,000 7,000 12,000 Fund 25 Measure T Infrastructure 550,000 904,011 1,454,011 Total Increase to Other Fund Expenditures 924,011