City Budget Theme Fiscal Sustainability Strategic Investments in - - PowerPoint PPT Presentation

▶
city budget theme
SMART_READER_LITE
LIVE PREVIEW

City Budget Theme Fiscal Sustainability Strategic Investments in - - PowerPoint PPT Presentation

Apr 07, 2023 220 likes •488 views

C ITY OF S ALINAS City Budget Theme Fiscal Sustainability Strategic Investments in Public: Facilities o Infrastructure o Equipment o 2 6/5/2018 FY 2018-19 Budget Challenges $7.4 million General Fund Structural Deficit for

slide-1
SLIDE 1

C ITY OF S ALINAS

slide-2
SLIDE 2

City Budget Theme

  • Fiscal Sustainability
  • Strategic Investments in Public:
  • Facilities
  • Infrastructure
  • Equipment

6/5/2018

2

FY 2018-19 Budget

slide-3
SLIDE 3

Challenges

  • $7.4 million General Fund Structural Deficit for FY 2018-19
  • Public Employees Retirement System

PERS → Grows $13.9 million in 7 years Increasing $70.9 million cumulative – next 7 years

  • National Pollutant Discharge Elimination System

NPDES → $2 million/yr. not including staff time

  • Labor Costs → $22.8 million – 3 yr. MOU’s
  • Homeless → $5 million last 4 years

6/5/2018

3

FY 2018-19 Budget

slide-4
SLIDE 4

Addressing Fiscal Health

Steps Taken

  • Mitigating the impact of the Cal PERS discount rate change
  • Addressing the state and federal clean water mandates for stormwater
  • through our National Pollutant Discharge Elimination System (NPDES) cost recovery
  • Services delivery
  • Implementing new efficiencies
  • Redefining core services
  • Addressing housing and homelessness
  • New 10 year financial model

6/5/2018 FY 2018-19 Budget

4

slide-5
SLIDE 5

6/5/2018 FY 2018-19 Budget

5

$75,000,000 $85,000,000 $95,000,000 $105,000,000 $115,000,000 $125,000,000 $135,000,000 $145,000,000 $155,000,000

FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28

General Fund Forecast

Revenues & Trans In Expenditures & Trans Out

$2.2 = Gap $9.0 $12.2 $15.1 $19.9 $7.4 $22.0 $28.6 $18.0 $23.8 $26.6

(Previously Reported at Mid-Year)

slide-6
SLIDE 6

6/5/2018 FY 2018-19 Budget

6

$75,000,000 $85,000,000 $95,000,000 $105,000,000 $115,000,000 $125,000,000 $135,000,000 $145,000,000

FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28

General Fund Forecast

Revenues & Trans In Expenditures & Trans Out

$.9 = Gap $5.3 $7.9 $12.1 $2.2 $14.0 $19.8 $10.5 $15.5 $18.0

Average Gap of $10.6 million per year; $106 million cumulative

(After Including FY 18-19 cuts)

slide-7
SLIDE 7

PERS Pension Costs

6/5/2018 FY 2018-19 Budget

7

$16,500,990 $18,775,503 $21,139,466 $23,465,599 $25,590,756 $27,580,627 $29,064,945 $30,388,553

$- $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25

Police Fire Misc

Source: CalPERS Actuarial Valuation - Published August 2017

$13.9 Million Increase

slide-8
SLIDE 8

3 Year Labor Contracts

$- $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000

IAFF FSA PMA SPOA Directors AMPS Confid. Mgmt. SEIU Crew Sups Misc. Confid. SMEA SEIU Blue Collar

$3,286,177 $397,400 $2,262,800 $11,622,481 $222,480 $1,282,183 $268,482 $248,833 $137,900 $2,250,225 $809,967

3 Yr. Cost

3-Yr. Total Cost

$22.8 Million

6/5/2018 FY 2018-19 Budget

8

slide-9
SLIDE 9

Fiscal Sustainability Plan – Major Items

6/5/2018

9

  • Bargaining Group MOU’s
  • CalPERS Unfunded Actuarial Liability (UAL) Pay Down and 115 Trust
  • Center for Public Safety Management (CPSM) Study
  • National Resource Network (NRN) Study
  • Storm Water Fee Study and Fee Implementation
  • Cannabis Business Tax
  • Economic Development Element and Future Growth Area Potential

FY 2018-19 Budget

slide-10
SLIDE 10

6/5/2018

10

FY 2018-19 Budget

Operating, $151,249,121 , 54% Capital, $127,520,434 , 46%

City-Wide FY 2018-19 Budget $278,769,555

slide-11
SLIDE 11

6/5/2018

11

FY 2018-19 Budget

General Fund, $88,255,460 , 58% Measure E Fund, $11,794,113 , 8% Measure G Fund, $13,948,640 , 9% All Other Funds, $37,250,908 , 25%

City-Wide FY 2018-19 Operating Budget

$151,249,121

slide-12
SLIDE 12

General Fund, Measure E Fund, and Measure G Fund

6/5/2018

12

FY 2018-19 Budget

slide-13
SLIDE 13

General Fund and Measure E & G Fund Summary

6/5/2018

13

FY 2018-19 Budget

General Fund Measure E Measure G Total Revenue 94,438,354 $ 12,588,000 $ 25,013,500 $ 132,039,854 $ Appropriations (87,528,760) (11,794,113) (14,161,160) (113,484,033) CIP (748,552) (4,005,000) (8,157,485) (12,911,037) Draw: Sustainability Reserve 150,000

  • 150,000

Draw: Available Fund Balance

  • 2,769,000
  • 2,769,000

Transfers (6,306,660) 442,650 (2,540,040) (8,404,050) Balanced Budget 4,382 $ 537 $ 154,815 $ 159,734 $

slide-14
SLIDE 14

General Fund and Measures E & G FY 2018-19 Revenue Budget $132,039,854

6/5/2018

14

FY 2018-19 Budget

Property Tax, $28,869,660 , 22% Sales Tax, $29,267,000 , 22% Measure E Tax, $12,555,000 , 9% Measure G Tax, $24,943,000 , 19% Utility Users Tax, $12,237,000 , 9% Franchise Fees, $8,865,000 , 7% Business Lic Tax, $4,964,000 , 4% TOT, $2,900,000 , 2% Other Rev/Transfers, $7,439,194 , 6%

slide-15
SLIDE 15

General Fund and Measure E & G Revenue Budget

6/5/2018

15

FY 2018-19 Budget

FY 2017-18 Budget FY 2018-19 Budget % Change % Change Property Tax 28,029,000 $ 28,869,660 $ 22% 840,660 $ 3.0% Sales Tax 28,637,500 29,267,000 22% 629,500 2.2% Measure E Tax 12,285,100 12,555,000 10% 269,900 2.2% Measure G Tax 24,406,700 24,943,000 19% 536,300 2.2% Utility Users Tax 12,200,000 12,237,000 9% 37,000 0.3% Franchise Fees 8,689,000 8,865,000 7% 176,000 2.0% Business Lic Tax 4,900,000 4,964,000 4% 64,000 1.3% TOT 2,450,000 2,900,000 2% 450,000 18.4% Other Rev/Transfers 5,606,900 7,439,194 5% 1,832,294 32.7% Total 127,204,200 $ 132,039,854 $ 100% 4,835,654 $ 3.8%

slide-16
SLIDE 16

General Fund and Measures E & G

FY 2018-19 Expenditure Budget $113,998,213

6/5/2018

16

FY 2018-19 Budget

Police, $51,167,420 , 45% Fire, $23,098,660 , 20% Public Works, $11,689,990 , 10% Library & Comm Serv, $8,572,808 , 7% Non- Departmental, $5,410,060 , 5% Comm and Econ Dev, $4,882,350 , 4%

Finance, $4,021,290 , 4% Admin, $4,013,575 , 4% City Atty, $892,950 , 1% City Council, $249,110 , 0%

Note: The Fire budget excludes $640,000 transferred out of GF for Fire Department Paramedic Services.

slide-17
SLIDE 17

General Fund and Measures E & G Expenditure Budget

6/5/2018

17

FY 2018-19 Budget

Department FY 2017-18 Adopted Budget FY 2018-19 Proposed Budget % Change % Change City Council 202,460 $ 249,110 $ 0.2% 46,650 $ 23.0% Administration 3,972,890 4,013,575 3.5% 40,685 1.0% City Attorney 1,044,870 892,950 0.8% (151,920)

  • 14.5%

Finance 4,867,760 4,882,350 4.3% 14,590 0.3%

  • Comm. and Economic Dev.

3,876,833 4,021,290 3.5% 144,457 3.7% Police 50,091,227 51,247,420 45.2% 1,156,193 2.3% Fire 21,912,580 22,504,480 19.8% 591,900 2.7% Public Works 12,582,400 11,689,990 10.3% (892,410)

  • 7.1%

Library and Community Serv. 8,154,170 8,572,808 7.6% 418,638 5.1% Non-Departmental 7,298,060 5,410,060 4.8% (1,888,000)

  • 25.9%

Total Exp. Budget 114,003,250 $ 113,484,033 $ 100.0% (519,217) $

  • 0.5%
slide-18
SLIDE 18

General Fund and Measure E & G – Changes in Expenditure Budget

6/5/2018

18

FY 2018-19 Budget

FY 2017-18 Adopted Budget FY 2018-19 Proposed Budget Change % Change % Personnel Costs 92,570,423 $ 96,525,785 $ 3,955,362 $ 4.3% 85% Non-Personnel Costs 21,432,827 17,472,428 (3,960,399)

  • 18.5%

15% Total Change in Operat. 114,003,250 $ 113,998,213 $ (5,037) $ 0.0% 100%

slide-19
SLIDE 19

Positions Held in FY 18-19

6/5/2018

19

FY 2018-19 Budget

1000 - General Fund 1100 - Measure E 1200 - Measure G 6500 - Storm Sewer (NPDES) 7120 - Internal Services-Fleet Maint Total Cost Total FTE Department - Position Cost FTE Cost FTE Cost FTE Cost FTE Cost FTE 12 - Administration 77,970 1.00 77,970 1.00 14 - Legal 196,490 1.00 196,490 1.00 40 - Police 131,020 1.00 45,870 0.50 176,890 1.50 50 - Public Works 175,600 2.00 117,480 1.00 45,860 0.50 369,030 3.00 707,970 6.50 60 - Library 139,310 2.00 139,310 2.00 Grand Total 503,110 4.00 302,660 3.50 77,970 1.00 45,860 0.50 369,030 3.00 1,298,630 12.00

slide-20
SLIDE 20

Positions Held in FY 18-19 (continued)

6/5/2018

20

FY 2018-19 Budget

1000 - General Fund 1100 - Measure E 1200 - Measure G 6400 - Sewer Total Cost Total FTE Department Cost FTE Cost FTE Cost FTE Cost FTE 40 - Police 2,093,460 13.00 237,370 1.00 2,330,830 14.00 45 - Fire 344,470 2.00 344,470 2.00 50 - Public Works 450,240 3.00 247,850 2.00 89,420 1.00 787,510 6.00 Grand Total 2,888,170 18.00 247,850 2.00 237,370 1.00 89,420 1.00 3,462,810 22.00

slide-21
SLIDE 21

Exhibit G - FY 18-19 Reduction in Outside Consultants

6/5/2018 FY 2018-19 Budget

21

Department FY 17/18 Amended Budget FY 18/19 Proposed Budget Amount Reduced (Savings) Administration 628,170 740,000 111,830 City Attorney 93,000 93,500 500 Finance 238,400 163,100 (75,300) Community Development 268,830 221,500 (47,330) Police 2,500 5,000 2,500 Fire 60,850 66,000 5,150 Public Works 552,050 506,000 (46,050) LCS - Recreation 55,990 102,400 46,410 LCS - Library

  • Non-Departmental

707,080 288,000 (419,080) Total 2,606,870 2,185,500 (421,370)

slide-22
SLIDE 22

General Fund Capital Improvement Budget

6/5/2018

22

FY 2018-19 Budget

Department - Project FY 18-19 Proposed Administration 9146 - Financial & HR Magmt ERP System 163,000 $ 9264 - Salinas Valley Sector-Based Interm 120,000 Administration Total 283,000 Community Development 9001 - Permanent Shelter Predevelopment 125,000 Community Development Total 125,000 Engineering and Transportation 9111 - Tech & Business Process Innovation 50,000 Engineering and Transportation Total 50,000 Facilities Maintenance 9533 - Electric Locking System 20,000 Facilities Maintenance Total 20,000 Fire 9411 - Fire Hydrant Repairs 45,000 Fire Total 45,000 Police 9304 - Abbott St Safety Building 225,552 Police Total 225,552 Grand Total 748,552 $

slide-23
SLIDE 23

Measure E Capital Improvement Budget

6/5/2018

23

FY 2018-19 Budget

Department - Project FY 18-19 Proposed Library 9166 - New El Gabilan Library 3,855,000 9195 - Computers Upgrade LCSD 50,000 Library Total 3,905,000 Parks and Community Services 9022 - Tennis Court Improvements 100,000 Parks and Community Services Total 100,000 Grand Total 4,005,000 $

slide-24
SLIDE 24

Measure G Capital Improvement Budget

6/5/2018

24

FY 2018-19 Budget

Maintenance, $270,000 , 3% Technology, $160,000 , 2% Built Environment, $100,000 , 1% Community Development, $450,700 , 6% Equipment, $202,800 , 3% Public Safety - Fire, $1,496,985 , 18% Public Safety - Police, $5,477,000 , 67%

slide-25
SLIDE 25

General Fund and Measure E & G Reserves

6/5/2018

25

FY 2018-19 Budget

Fund Balance Reserves Goal: 8% Reserve Goal 7,060,400 $ 943,500 $ 1,760,000 $ 9,763,900 $ Actual Reserve 6,830,000 962,000 1,760,000 9,552,000 Over (Under) Reserve Go (230,400) $ 18,500 $

  • $

(211,900) $ Reserve % of FY 18-19 Approp. 7.7% 8.2% 12.6% 8.4%