HomeMy WebLinkAbout06-09-2015 B1 Padilla0 Council Memorandum
- June 5 2015 JUN 0 5 2015
TO: City Council �-
FROM: Wayne Padilla, Finance and Acoffe ion Technology Director 1
VIA: Katie Lichtig, City Manager COUNCIL MEETINGr
Q� rs
ITEM NO.: ,�/
SUBJECT: June Budget Hearings Agendpondence
T he City Council is scheduled to hold hearings on the 2015 -17 Financial Plan on June 9th, 11th,
16th, 23rd and 30th (if necessary). Material for these hearings was distributed May 26th and May
28th ahead of meetings to provide ample time for review. That material represents a snapshot in time
and additional information continues to develop that may be pertinent to the City Council in its
financial plan deliberations.
This updated information takes three forms: 1) information that relates to budget or fiscal policies
that would need to be enacted by the City Council by resolution, 2) format or typographical changes
to the financial plan material previously distributed, or 3) corrections to preliminary budget amounts
based on information received after the files were sent to the printer. The format and typographical
changes are being tracked separately.
June 9, 2015 — General Fund Operating Programs
Budget or policy items to be considered by resolution
• Budget and Fiscal Policies section of the Preliminary Financial Plan. Page H27—
Productivity. During the Council meeting held on December 16, 2014 the Council directed
staff to include in the policies for this Financial Plan, the following language which was
overlooked for inclusion in the Preliminary Financial Plan: "Maintaining City purchasing
policies and procedures that are as efficient and effective as possible."
• Budget and Fiscal Policies section of the Preliminary Financial Plan. Page H15 -16 — Fund
Balance and Reserves. During the infrastructure financing hearing Council held on March
17, 2015, the Council directed staff to include the recommended policies in this Financial
Plan. The following language, which was inadvertently omitted, should be included in the
Financial Plan:
"The Infrastructure Investment Capital Fund has been created to help the City realize the
benefits of growth that is well - planned, and that would not occur in a timely manner
without City participation in the financing of supporting infrastructure. With respect to
resources that are expended from this fund:
1) The use of City funds shall not offset any cost that would be legally required to be
paid to meet the fair share obligation of the developer requesting City investment in an
infrastructure project.
2) The use of City funds shall not offset a private project's specific mitigation cost
identified through the environmental review process or under existing regulations or
policies.
3) The use of City funds shall support a project that would not otherwise be feasible
in a timely manner due to the economic environment, the timing of the project, or other
constraints outside the control of the project proponents or the City.
Council Correspondence — 2015 -17 Budget Hearin
4) The project proponents shall demonstrate a significant public benefit associated
with construction of the project that merits City participation.
5) Approved projects will have a measurable outcome that will be monitored and
reported to the Council and the public."
Format or typographical changes
• Format or typographical changes that are being tracked separately from this correspondence.
• Change headers to consistently read "Public Utilities" instead of "Utilities."
June 11, 2015 — Capital Improvement Plan
Budget or policy items to be considered by resolution
• None identified at this time.
2
Format or typographical changes
• The Bicycle Transportation Plan project has been amended to show funding for the Octagon
Barn project. The Preliminary Capital Improvement Plan showed the funding as an alternate.
• Marsh Street Bridge capital project not consistently included in Sewer Fund.
June 16, 2015 — Enterprise Fund Review
Budget or policy items to be considered by resolution
• Water Fund. The 2015 -16 budget will be amended to reflect additional costs of $179,000
related to the Drought Response Strategy, which was approved by the City Council on June
2nd (Page H -61). The 2016 -17 budget should reflect bond proceeds in the amount of $5
million and additional debt service in the amount of $367,909 in order to match the fund
review document that will be reviewed this evening (Page H -61). Staff is requesting that the
2014 -15 forecast shown in the Fund Review document that will be reviewed with Council
should be considered to be the final budget of the fund. If Council concurs, the forecast will
be reflected in the Adopted Budget (Page H -61).
• Sewer Fund. The 2014 -15 forecast shown in the Fund Review document that will be
reviewed with Council should be considered to be the final budget of the fund. If Council
concurs, the forecast will be reflected in the Adopted Budget (Page H -62).
Format or typographical changes
• Transit Fund. The original SOPC for the Short Range Transit Plan was provided in the
Preliminary Financial Plan and indicates a cost of $500,000 per year. The Transit Fund
budget for 2015 -17 reflects the amount of $250,000 per year and the SOPC has been restated
to reflect this amount (Page E -89 and H -64). The original SOPC for the Transit Marketing
Plan was provided in the Preliminary Financial Plan and indicates a cost of $60,000 per year.
The Transit Fund budget for 2015 -17 reflects the amount of $30,000 per year and the SOPC
has been restated to reflect this amount (Page E -89 and H -64).
• The revenue forecast section narrative will need to be updated to include the adopted water
and sewer rates.
• Program header title should be "Water Resource Recovery Facility."
June 23, 2015 — Financial Plan Adoption
Budget or policy items to be considered by resolution
• Authorize the City Manager to make format and typographical changes to the final adopted
versions of the provided documents.