HomeMy WebLinkAbout2018/04/24 5 pm Item 8 Presentation
BUDGET WORKSHOP 1 APRIL 24, 2018
FY 2018 BUDGET 2
FY2018 Projected Budget FEMA Reimbursement revenue and expense will be on Third Quarter Report (May 2018).2 2018 Second Quarter Report (2/27/18).-As of the FY 2017 1($0.41)SURPLUS/(DEFICIT)$191.19
Projected Expenditures0.34Other Adjustments1.60 2 Supplies and Services1.00Addition of Fire Academy1.49Increase in Debt Service payments1.48Transfer of Measure P funding18.69Transfer
of Measure P Bond ProceedsSignificant Adjustments$166.59 Adopted BudgetExpenditures:$190.78 Projected Revenues1.64Other Adjustments1.6 2 FEMA Reimbursement0.32Increase in MVLF0.46Funding
via SAFER Grant1.48Increase to Measure P funding projections18.69Measure P Bond ProceedsSignificant Adjustments$166.59Adopted BudgetRevenues:(millions)1 2018 Projected General Fund
Budget-Fiscal Year 2017 3
FY 2019 GENERAL FUND 4 BASELINE
FY2019 Summary$ (2.2)$ (2.2)-$ Surplus/Deficit10.2 176.7 166.6 Expenditures$ 8.0 $ 174.6 $ 166.6 RevenuesChangeBaselineFY19
FY18 AdoptedCategory(in millions)General Fund Revenues and Expenditures Summary 5
FY2019 Revenues 4.8%$ 8.0 $ 174.6 $ 166.6 Total Revenues8.6%3.5 44.3 40.8 Other Revenues5.0%1.0 21.8 20.7 Motor Vehicle License Fees4.9%-(0.2)4.1 4.3 Transient
Occupancy Taxes4.4%-(0.3)5.6 5.9 Utility Users Taxes2.3%-(0.3)11.7 12.0 Franchise Fees10.8%1.8 18.1 16.3 Measure P Sales Tax2.3%0.8 33.7 32.9 Sales Tax5.0%$ 1.7 $
35.3 $ 33.6 Property Taxes% ChangeChangeBaselineFY19 AdoptedFY18 Category General Fund Revenues Summary (in millions)6
FY2019 Revenue projections. and Transient Occupancy Tax based on revised Adjustment to Franchise Fees, Utility Users Taxes, –Conservatively estimated to increase by $4.5 –Major Revenue
assumptions•7 Assumptions
FY2019 Revenue Investment Earnings increase of $0.6–Development Fee Revenue increase of $0.8 million–PFDIF Loan Repayment $1.5 million•FEMA SAFER Grant $1.0 million•In increase of $2.5
million for -Transfers–Other Revenues assumptions•8 Assumptions (continued)
FY2019 Expenditures 6.1%$ 10.2 $ 176.7 $ 166.6 Total Expenditures5.5%-(0.3)4.8 5.1 Utilities0.0%---CIP Project Expend.-Non7.1%1.6 24.6 22.9 Transfers Out0.0%-0.2
0.2 Capital8.4%0.1 0.7 0.6 Other Expenses13.0%1.8 16.1 14.2 Supplies and Services12.5%3.1 27.5 24.4 PERS3.9%$ 3.9 $ 103.0 $ 99.1 Personnel Services% ChangeChangeBaselineFY
19 AdoptedFY18 Category General Fund Expenditures Summary (in millions)9
FY2019 Expenditure Police Telecommunications increase $0.2 million–Tyler Munis ERP increase $0.3 million–Bayfront Commitment increase $1.3 million–Supplies and Services assumptions•Flex/Insurance
increase $1.2 million–Approved MOU salary increases•Addition of 12.0 Firefighters added in FY 2018•Addition of 5.0 Peace Officers•Personnel increase $2.7 million–PERS Normal Cost Increase
$0.42 million•UAL Increase $2.63 million•PERS Increase $3.1 million–Personnel Services assumptions•10 Assumptions
FY2019 Expenditure decrease of $0.3 million. installation of new solar systems resulting in a Decrease of electricity costs related to the –Utilities•$1.8 million.General Fund to the
Measure P Fund increase of Measure P Sales Tax revenue transfer from the –Transfers Out•11 Assumptions (continued)
LONG 12 FY2018 TO FY2028TERM FINANCIAL PLAN-
Fiscal Projections Summary 13 FY2023)–(FY2018
Fiscal Projections Summary 14 FY2028)–(FY2024
LTFP Revenue Assumptions 15 categories.growth assumptions under the major revenue 28 assumes no changes to previous –FY2020 –to correct future revenue assumptions.Decreasing projections
for TOT, UUT, and Franchise Fees •Tax related revenues, etc.)repayments, Assessed Valuation increase for Property time revenue adjustments (i.e., loan -Includes one•revised revenue
estimates. FY2019 includes updated information, based on –Major Revenues growth assumptions:•
Expenditure LTFP Assumptions 16 contributionsAn increase in Workers Compensation –Projects the cost estimates for 50.0 Peace Officers –(Salaries/PERS/Medicare)Salary savings is now calculated
at 2% per year –June 30, 2016provided by CalPERs Valuation Report as of PERS costs reflect estimated contribution rates –Includes a 2% wage inflation per year–Personnel
Services •
Expenditure LTFP Assumptions 17 fundsservice payments and anticipated transfers to other Transfers Out includes expenditures related to debt –Equipment at 0% per year–Other Expenses
at 2% per year–projectsUtilities at 5% per year net of new renewable energy –Other expenditure categories:•reimbursed as part of the Bayfront DevelopmentAssumes Bayfront fire station
operating costs will be –and FY2022Assumes Millenia and Bayfront fire station in FY2020 –Supplies and Services•(cont.)
Potential Solutions 18 Changing Service Delivery Model•Service Levels•Contract Services•Internship/Volunteer Programs•Public Private Partnerships•Time Funds-Use of One•Efficiency•Technology•
Potential Solutions (cont.)19 Cannabis Sales Tax Measure•Municipal Code/Charter Updates•Competitive Purchasing•Priority Based Budgeting•Fees/Cost Recovery•
Legislative Updates SB1 “Gas Tax” Potential Ballot Measure•“California Rule” update•Statewide Sales Tax Update•
Next Steps Budget (All Funds)19 -Public Hearing and Recommend Council adoption of Proposed FY 2018•June 5Funds Budget and CIP Overview19 All -Present City Manager’s Proposed Fiscal Year
2018City Council: •May 22 FY 2018 Financial ReportQuarter rd 3•May 15Hold two public workshops to provide overview of proposed budget•TBD–May Staff will continue to refine the budget
numbers.•May–April 21
QUESTIONS?22