HomeMy WebLinkAboutSection H - Budget FoundationSection H
Background Materials
BUDGET FOUNDATION:
DECEMBER 4, 2018 WORKSHOP
Department Name: Finance
Cost Center: Budget
For Agenda of: December 4, 2018
Placement: Business Item
Estimated Time: 90 minutes
FROM: Derek Johnson, City Manager
Brigitte Elke, Finance Director
Prepared By: Alex Ferreira, Budget Manager
SUBJECT: 2019-21 FINANCIAL PLAN PROCESS; ECONOMIC OUTLOOK, BUDGET
POLICIES, AND CAPITAL IMPROVEMENT PLAN REVIEW
RECOMMENDATION
1. Review and approve the 2019-21 Financial Plan Goal Setting Process.
2. Review the City’s budget policies.
3. Review and discuss the Economic Outlook for the 2019-21 Financial Plan development.
4. Review the current and long-term capital improvement plan.
REPORT-IN-BRIEF
The City of San Luis Obispo utilizes a two-year financial planning process to create its budget.
This process includes extensive public outreach to assist the City Council in establishing Major
City Goals. The benefits of this process are two-fold; it ensures that resources are allocated in the
budget to accomplish the community’s highest priority, most important objectives while also
addressing the support and maintenance of the City’s current services and capital assets. It
therefore provides a process to help create a mutual understanding among community members,
decision makers, and City staff and a platform of collaboration toward a common goal.
The process includes a wide-reaching community priorities survey, the Community Forum,
advisory body recommendations, and several other inputs to prepare the City Council for
selecting community goals and priorities for the next financial plan during its Goal-Setting
Workshop. Subsequent Council meetings will provide direction to City staff for work programs
in support of these goals.
Also, the Financial Plan process includes a review of the local economy and its potential impact
to the City’s forecast financial position. Beacon Economics presented its Central Coast
Economic Forecast on November 2, 2018 which included positive overall trends for the County
of San Luis Obispo as the overall economy of California continues to grow.
Additionally, a major feature in the City’s Financial Plan process is reliance upon clear polices.
In looking at cities across the nation that have reputations for being financially well-managed
and have maintained their fiscal health through good times and bad, one finds that they have in
common clearly articulated fiscal policies used in financial decision-making. This report
Major City Goals represent
the most important, highest
priority goals for the City to
accomplish over the next
two years, and as such,
resources should be
included in the 2019-21
Financial Plan.
highlights two new policies adopted in the 2018-19 Budget Supplement that will also be included
as part of the 2019-21 Financial Plan.
DISCUSSION
Two-Year Financial Plan Process
For over thirty years, the City has used a two-year financial
planning process to create its budgets. The benefits of
budgeting based on a two-year plan include:
1. Reinforcing the importance of long-range planning in
managing the City's fiscal affairs.
2. Concentrating on developing and budgeting to
accomplish significant objectives.
3. Establishing realistic timeframes for achieving
objectives.
4. Creating a pro-active budget that provides for stable
operations and assures the City's long-term fiscal health.
5. Reducing the amount of time and resources allocated to preparing annual budgets.
The fundamental purpose of the City’s budget process is to link, through public engagement and
strategic deliberation, the interest of the community to the available financial resources to
achieve the desired outcome. The process allows the City Council to engage the community in
identifying Major City Goals for the City while also providing information regarding the City’s
core services, including the day-to-day work and responsibilities carried out by City employees
to support residents’ quality of life.
2019-21 Goal-Setting Process
There are a variety of possibilities to provide input to the City Council to enable them to
establish Major City Goals with the community’s interest in mind. These opportunities are
highlighted on the following chart:
Many of these efforts are already under way. For example, City Advisory Bodies have developed
recommended goals, the Community Priorities Survey (Attachment C) has been mailed out and
was posted on-line at www.slocity.org/opencityhall, and the Council has held the November 13
“Setting the Stage” workshop. Notice has also been sent to over 200 community groups and
individuals inviting their input and participation (Attachment B).
The two principal elements of the City’s goal setting process still to come are the Community
Forum, to be held on Wednesday, January 23, 2019, at 5:00 PM at the Veterans Hall on Grand
Avenue, and the Council Goal-Setting Workshop to be held all day on Monday, February 4,
2019 in City Hall’s Council Chamber.
Staff plans to build on past successes in integrating Council goal-setting into the budget process
including the integration of proposed uses for the City’s local half-percent sales tax.
1. Community Forum
The Community Forum, scheduled on January 23, 2019, is intended to solicit suggestions from
residents, community groups stakeholders and interested individuals on City goals. It is also
intended to meet the requirements regarding the City’s half-percent local sales tax, by providing
an opportunity for the Revenue Enhancement Oversight Commission (REOC) to “review and
discuss the use of the revenue generated by the Local Revenue Measure.” As such, the
Community Forum will be a joint meeting of both the City Council and REOC. Due to the
significant attendance at previous Community Forums, this year’s forum will be held at the
Veteran’s Hall on Grand Avenue.
The proposed agenda for the Community Forum is included in Attachment A. This Community
Forum will build on best practices from prior years as well as implement several changes based
on feedback. Those changes include:
1. Incorporation of a workshop format which will allow for more interaction and conversation
with staff and the public. Public comment will be included for those that wish to address the
Council and REOC directly and elaborate on an idea or concept.
2. The use of stations to build on input already received through the survey including existing
Major City Goals. This will allow community members to provide more specific feedback
and ideas on what could be included future workplans. There will also be a station for new
Major City Goal ideas.
3. A dot exercise that will allow community members to prioritize potential Major City Goals.
4. An opportunity to prioritize project and services categories for Local Revenue Measure
funding.
5. Opportunities to learn more about the City’s core services, Fiscal Health Response Plan and
other topics.
The proposed changes are intended to broaden the ways in which the public can provide
feedback, provide additional focus on core services and current Major City Goals and build on
input already received through the survey.
2. Council Assignment
Based on all the feedback and input received, Council Members are asked to prepare and submit
up to seven candidate goals as Major City Goals by 9:00 a.m. on Friday, January 25, 2019 for
consideration during the February 4, 2019, Goal Setting Workshop (Attachment D). Council
Members are also asked to prepare and submit suggestions for changes in current programs and
services that might help fund their desired goals. Staff will compile verbatim, compose lists,
organized by common topics, without identifying who submitted the particular statements, for
review and consideration before the workshop. This list will be distributed to all Council
Members and made available to the community at the close of business on Friday, February 1,
2019. While staff will retain individual submissions in the working files, it is recommended that
Council members refrain from releasing their personal lists so that each Council member can
review all of the submissions and discuss them at the Goal-Setting Workshop before taking a
position.
3. Council Goal-Setting Workshop
At the February 4, 2019, workshop, the Council will review the consolidated goals presented by
Council Members to ensure clarity, completeness and understanding; and then narrow the list to
finalist goals that are supported by a majority of Council Members.
While the Council proceeds with the discussion outlined above, staff will prepare a final listing
that the Council can use in prioritizing goals. In years past, the Council has used a ranking
system of 0 through 5 for each candidate goal and staff recommends continuing its use for 2019-
21, summarized as follows:
5 - most important, highest priorities for City to achieve over the next two years.
4 - very important goal to achieve.
3 - important goal to achieve.
2 - address if resources are available.
1 - defer to 2021-23 for consideration.
0 - not a priority goal.
The number of points used for ranking is typically figured out through discussion on the day of
the workshop. Based on experience, it is likely that two priority “tiers” will emerge from this
process:
1. Major City Goals. These represent the most important, highest priority goals for the City to
accomplish over the next two years, and as such, resources to accomplish them should be
included in the 2019-21 Financial Plan. The initial list of Major City Goals following the
ranking will include only those goals where a majority of Council Members rank the goal as
a 4 or 5. Subsequent discussion will allow the Council to refine the goal list, however, the list
should remain consistent with the “Criteria for Major City Goals” (Attachment G).
2. Other Important Objectives. Goals in this category are important for the City to
accomplish, and resources should be made available in the 2019-21 Financial Plan if
possible.
The outline for the Goal Setting Workshop is provided in Attachment E; and suggested
guidelines for Council Members during the goal-setting process are provided in Attachment F.
Included as Attachment G are the suggested “Criteria for Major City Goals” which have been
used by the Council for many years. These criteria capture the relevant considerations to
determine a Major City Goal, but the Council could refine the criteria at this time if desired.
No follow-up meeting has been needed in the last several goal-setting sessions as the Council
concluded all necessary actions at the Goal-Setting Workshop. Continued consideration of goals
for 2019-21 can be scheduled for the next regular Council meeting following the workshop if
needed.
Local Revenue Measure
Priorities
Open Space Preservation
Bicycle and Pedestrian
Improvements
Traffic Congestion
Relief/Safety Improvements
Public Safety
Neighborhood Street Paving
Code Enforcement
Flood Protection
Parks and Recreation/Senior
Programs and Facilities
Other Vital Services and Capital
Projects
4. Local Revenue Measure
As previously mentioned, the Community Forum
will also be the Annual Citizens’ Oversight Meeting
for the Local Revenue Measure. This allows for
integration of the Local Revenue Measure into the
City's budget and goal-setting process. The
estimated revenue and proposed use of
funds generated by the Local Revenue Measure shall
be an integral part of the City's budget and goal-
setting process, and significant opportunities will be
provided for meaningful participation by citizens in
determining priority uses of these funds.
It is important to know that the Local Revenue
Measure is a general-purpose measure, and the
proceeds are not restricted to specific purposes.
However, the language on the ballot measure
approved by voters in 2014 provides the types of
uses that would be funded. The language on the
ballot was:
“To protect and maintain essential services and facilities – such as open space preservation;
bike lanes and sidewalks; public safety; neighborhood street paving and code enforcement; flood
protection; senior programs; and other vital services and capital improvement projects – shall
the City’s Municipal Code be amended to extend the current one-half percent local sales tax for
eight years, with independent annual audits, public goal-setting and budgeting, and a Citizens’
Oversight Commission?”
While the ballot language provided examples of the types of uses that could be funded - based on
community input received before placing the measure on the ballot – the Local Revenue Measure
is a general-purpose tax providing Council with flexibility to respond to new circumstances and
challenges. For 2017-18, total expenditures were $7.2 million and an additional $5,618,008 in
funding was carried over for several projects (many of which are now under construction). The
Revenue Oversight Committee will hold a meeting on December 6, 2018 and reviewed a
preliminary 2017-18 year-end financial report in detail. These are still the unaudited results. The
final information will be included in the Certified Annual Financial Report, which will be
published before the end of the calendar year.
ECONOMIC FORECAST
On November 2, 2018, the annual Central Coast Economic Forecast presented national, state,
and countywide economic trends. The information, together with the audited financials and
internal analysis will provide the basis for the City’s own five-year fiscal forecast which will be
presented to Council with the mid-year report on February 5, 2019. Overall, the outlook for San
Luis Obispo is stable for now and into 2019, but all signs point to a slowdown into 2020.
Employment: Employment growth slowed from 2017 levels, but still shows growth in non-farm
jobs. These sustained gains in payroll jobs have helped drive the unemployment rate down to
2.8%, the lowest in nearly two decades. Natural Resources and Construction added the most jobs
and nearly one third of non-farm jobs gains. In San Luis Obispo, 1,350 jobs were added in 2017.
However, total non-farm employment is likely to increase less than 2% for all of 2018, and
growth will slow further beyond 2018. Mounting labor shortages and affordability remain key
challenges that will only worsen in the coming years.
Sales Tax: Overall, sales tax revenue increased modestly from the first half of 2017 to the first
half of 2018. The main force behind the slowdown in consumer and business spending was a
decrease in business-to-business spending which fell significantly during that time. Although it is
expected that taxable sales continue to grow into 2019, it will be more modest in San Luis
Obispo as population growth lags behind other parts of California. As such, San Luis Obispo will
rely on continued growth in business activity and tourism.
Tourism: Tourism and hospitality are becoming a bigger part of the economy in San Luis
Obispo as is seen with the County airport reaching two years of record-breaking passenger
levels, making it the fifth-fastest growing airport in the nation. However, income from transient
occupancy tax is expected to grow only 2.2% in San Luis Obispo; slightly above the countywide
increase of 1.6%. Spending by tourists remains strong as is evident in an increase in hospitality
employment and the continued increase in spending at restaurants.
Real Estate: The housing market has begun to show signs of slowing and housing inventory
remains tight. Though price appreciation continues, it is at a smaller percentage gain compared to
recent years. Sales are little changed from a year ago, but the median number of days on the
market has increased significantly. In San Luis Obispo, the median house price has increased by
6.7%, but single-family home sales dropped by 9.5%.
Construction Activity: Though development permitting activities have been disappointing in
the county overall, it remains strong in the City of San Luis Obispo. Year-to-date permit
numbers for single-family residences as well as multi-family building are up significantly. There
is also noticeable commercial real estate construction either under way or in various permitting
stages. Development revenue continues to be strong as planning and building activity continues
into 2019.
Overall, the economic forecast indicates modest growth relative to the local economy and should
be beneficial for the City’s revenue projections into 2019. However, as mentioned above, the
possibly of an economic slow-down sometime in the near future is likely. Short term interest
rates have climbed over the past year flattening the Treasury yield curve. An increase in interest
rates translates into increase loan rates for consumers making purchases on credit. This could
lead to a possible slowdown in home sales as mortgage payments increase as well as in overall
consumer confidence and spending.
Additionally, along with its regional partners, the City continues to address the closure of the
Diablo Canyon Power Plant and prepare for the impacts to the region due to significant loss of
jobs and property taxes. On September 19, 2018, Governor Brown signed SB 1090, directing the
CPUC to approve the $85 million economic mitigation settlement and PG&E’s full $350 million
proposed employee retention and retraining program.
The City enters the 2019-21 Financial Planning period in a stable economic condition, but will
face challenges and economic uncertainty. As a result, the City has positioned itself to address
these challenges with the adoption and implementation of the Fiscal Health Response Plan
adopted on April 17, 2018. The City is committed to maintaining quality core services for the
community and will be asking for the community’s priorities throughout the goal setting process
as described in this report.
The City continues to have substantial advantages compared with many communities in
California due to the following:
1. A balanced budget and reserves above minimum policy levels;
2. Dedication to fiscal responsibility;
3. Strong financial systems, policies and procedures;
4. Commitment to transparency and principles of engagement;
5. Strong Council leadership;
6. Citizens who care deeply about the City’s quality of life and services;
7. Staff committed, dedicated and passionate about achieving the City’s mission and serving the
community; and
8. A great tradition of responsible stewardship.
The civic infrastructure will serve San Luis Obispo well in successfully meeting challenges
ahead.
2019-21 FINANCIAL PLAN POLICIES
As noted in the discussion above, Council goal-setting is an important “first step” in the City’s
Financial Plan process. The second major feature in the City’s Financial Plan process is reliance
upon clear polices. In looking at cities across the nation that have reputations for being
financially well-managed and have maintained their fiscal health through good times and bad,
one finds that they have in common clearly articulated fiscal policies for financial decision-
making. This best practice, as implemented by the City of San Luis Obispo, has been
acknowledged repeatedly by the bond rating agencies as an important factor in sustaining the
City’s excellent credit rating.
Formal statements of key budget and fiscal policies provide the foundation for assuring long-
term fiscal health by establishing a clear framework for effective and prudent financial decision-
making. The City’s Budget and Fiscal Policies are traditionally set forth in the reference section
of the Financial Plan. The policies cover a broad range of fiscal topics, including:
Financial Plan organization
General Revenue Management
User Fee Cost Recovery Goals
Enterprise Fund Fees and Rates
Revenue Distribution
Investments
Appropriations Limitation
Fund Balances and Reserves
Capital Improvement Management
Capital Financing and Debt Management
Human Resource Management
Productivity
Contracting for Services
At the outset of each financial planning cycle, the City reviews the policies in place to see if any
updates are necessary. Changes are generally intended to create consistency amongst City fiscal
policies and create a system that is efficient and effective to administer.
As staff begins preparing the 2019-21 Financial Plan, other additions or revisions to the City’s
current budget and fiscal policies may arise; if so, these will be presented for Council
consideration at that time.
The most recent additions were two policy additions adopted by the City Council with the 2018-
19 Budget Supplement.
1. General Fund Revenue Stabilization Fund. The City will maintain a reserve for the purposes
of offsetting unanticipated fluctuations in general fund revenues to provide financial stability.
The funding target for the Revenue Stabilization Reserve will be $1,000,000 during the term
of the adopted Fiscal Health Response Plan. Use and allocations of funds of the Revenue
Stabilization Fund will be made upon Council approvals of the Financial Plan or as becomes
necessary during any fiscal year.
2. Capital Projects Reserve Fund. The City will maintain a reserve for the purposes of offsetting
unanticipated cost increases, unforeseen conditions, and urgent unanticipated projects to
provide continued investment in infrastructure maintenance and enhancement. Use and
allocations of funds from the Capital Projects Reserve Fund will be made to Capital Projects
including Fleet, Information Technology, and Major Facility Replacement upon Council
approvals of the Financial Plan or as necessary during any fiscal year.
The General Fund Revenue Stabilization Fund has been accounted for in the financial forecast at
$1,000,000. Staff plans on returning to Council with a recommendation regarding a Section 115
Trust fund with the mid-year report on February 5, 2019. The recommendation will include the
release of a request for proposal to review the available options in the market.
CAPITAL IMPROVEMENT PLAN (CIP STATUS)
As part of the budget process, the City reviews its capital improvement plan and the maintenance
of its assets. Attachment J provide the Council with a summary of the status of the City’s
Capital Improvement Plan (CIP) projects. As discussed in greater detail within the attachment,
the City is making excellent progress in achieving its current CIP goals. Of the 97 active projects
in the 2017-19 Financial Plan period:
1. 20 are complete,
2. 29 will be complete within 6 months,
3. 21 will be complete within 12 months,
4. 27 are longer term and projected to be completed beyond a 12-month period.
In preparation of the goal-setting process for the 2019-21 Financial Plan, it is important to
understand the status of current status of the CIP projects, as well as the long-term need of the
City’s assets (Attachment K).
LONG TERM CIP AND FUNDING THE FUTURE
As Council is aware, in 2018, as an element of the Fiscal Sustainability Major City Goal, staff
analyzed long-term capital needs and explored potential funding scenarios. Council discussed
this issue at several meetings in early 2018. In April, Council directed staff to continue to explore
funding options and time frames for potential future ballot measures. Council also requested staff
to pursue additional public engagement and project refinement.
Below is a summary of the conclusions of the analysis to date relative to Funding the Future of
SLO:
1. The City’s Capital needs can be categorized into 1) Maintenance of Existing Assets, 2)
Replacement of Existing Assets, and 3) New Assets.
2. Current funding, primarily through the Local Revenue Measure (Measure G) and 2017 Road
Repair and Accountability Act funds, can fund most of the identified needs in the first
category, Maintenance of Existing Assets.
3. The second and third categories, Replacement of Existing Assets and New Assets, are
primarily unfunded, to the extent that funding for Maintenance of Existing Assets is
prioritized. The City could choose to fund projects in the Rehabilitation and New project
categories, the tradeoff would be deterioration of existing City assets.
4. As a result of extensive review of approved City planning documents, the General Plan, and
Area Specific Plans, the total General Fund allocation for Replacement of Existing Assets
and New Assets is approximately $400 M.
5. That amount of funding is currently not available, again, assuming priority allocation to
Maintenance of Existing Assets.
6. The projects identified as necessary by various planning documents, over the next 30 years,
is currently referred to as ‘Funding the Future of SLO’
7. That General Fund allocation for projects within the AB 1600 Capital Facilities Fee Program
was increased by Council decision to provide credits and incentives for other important City
goals, specifically, the provision of affordable housing stock in the City.
8. The General Fund allocation could also increase pending actual receipt of the regional funds
assumed for regional AB 1600 projects.
9. The Council determined a property tax increase was not a feasible funding mechanism for
Funding the Future of SLO.
10. Council asked staff do additional project analysis, public outreach, and considerations for
funding options for their future Council discussion.,
At the February 4th Council meeting, staff will present information regarding proposed next steps
for the Funding the Future of SLO proposal.
As part of the Budget Foundation discussion, staff is presenting the City’s Long-Range Capital
Program (Attachment K). This program is presented to Council as part of the Goal Setting
Process in order to present Council with the long-range context of capital needs. In past years,
the Long-Range Capital Program was presented without a proposed strategy to address those
needs. Funding the Future of SLO represents a proposal to address the long-term General Fund
obligations for the city’s capital needs.
Regarding both the Long-Range Capital Project list, and the list of projects for Funding the
Future of SLO; it is important to remember some individual project costs will be modified in the
future. Some projects are still be refined relative to costs for property acquisition, staffing and
delivery, and other issues. In addition, the Facilities Master Plan (due at Council in early 2019),
Parks and Recreation Master Plan (still in process), and the ADA Transition Plan are pending
final adoption.
It is important, however, to understand the difference between the Long-Range Capital Program
and the projects within Funding the Future of SLO. The chart below is a visual representation of
the differences. Essentially, the characteristics of the two lists are:
Long Range Capital Program Funding the Future of SLO
Includes all projects for all funds, including
Enterprise Fund needs
Includes all projects which have any General
Fund obligation
Includes Ideal funding levels of Annual Asset
Maintenance
Does not include any Annual asset
maintenance projects under the assumption
they are funded – not at Ideal level in the
Long-Range Plan, but at levels to provide
public safety and improved quality of life
Time frame – current to beyond 2040 Time frame – current to 2040
Total need is $995 million – all funds Total need is approx. $400 million – General
Fund only
CONCURRENCES
The City’s internal Financial Plan Steering Committee and the Department Head Team concurs
with the recommendations included in this report.
PUBLIC ENGAGEMENT
This Financial Plan development process involves significant public engagement and outreach as
described above. The approach will follow the collaborate model from the City’s Public
Engagement and Noticing Manual which involves interactive processes and partnering with the
public to develop ideas and identify priorities using a variety of the tools available to the City.
POLICY CONTEXT FOR FINANCIAL PLAN
The City’s budget polices address a multitude of areas that govern the production of the two-
financial plan and the annual budget. In addition to the Council adopted policies, several other
codes dictate the need for the budget process.
California State Law
Though there is no explicit requirement in state law for a California city to adopt a budget, there
are many laws that make the budget procedures essential for every city.
1. A city may not spend public funds without the legal authorization to do so. Among other
things, a budget appropriates public funds, thereby providing the legal authorization from the
governing body to expend these funds.
2. Like other California public agencies, each city must annually establish its appropriations
limit pertaining to the proceeds from taxes in compliance with Article XIIIB of the California
Constitution and California Government Code Sec. 7910. The City of San Luis Obispo uses
the annual budget to establish its appropriations limit.
3. The California Constitution (Section 18 of Article XVI) states that no city or county may
incur any debt or liability in any year that exceeds the income and revenue anticipated for
that year without two-thirds voter approval. By determine the anticipated income and
revenue, the budget process verifies these thresholds.
4. California Government Code Sec. 53901 requires each local agency to file its budget with the
county auditor within 60 days after the beginning of its fiscal year.
5. In order to qualify to receive federal funds, a local agency must comply with the federal
single audit act and must retain a certified public accountant to prepare an annual audit of its
financial records. This compliance will be very difficult without an adopted budget.
City Charter
Article VIII of the City’s Charter contains the requirements for the fiscal administration for the
City. The following sections provide guidance regarding the budget:
801. Fiscal Year – determines the City’s fiscal year from July through June.
802. Annual Budget – determines the mandate of the City Manager to bring forth an annual
estimate of income and expenditures.
803. Public Hearing – sets forth the requirement for a public hearing to adopt the annual
budget.
804. Adoption of Budget – requires the Council to adopt the budget after necessary revisions
after input from the public hearing.
City Budget and Fiscal Polices
The City’s adopted fiscal policies set forth the purpose of the Financial Plan. They determine
under section:
A. The Financial Plan Objectives
B. The two-year budget
C. Measurable objectives
D. The Second-Year budget
E. Operating Carryover
F. Goal Status Reports
G. Mid-Year budget reviews
Additionally, under long-term financial planning, the policies stipulate the requirement for a
balanced budget and the addressing of long-term liabilities and the maintenance of infrastructure.
They also outline the requirements for annual and interim reporting and the City’s budget
administration in accordance with the City Charter.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act does not apply to the recommended action in this
report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15278.
FISCAL IMPACT
Budgeted: N/A Budget Year:
Funding Identified:
Fiscal Analysis:
Funding Sources Current FY Cost
Annualized
On-going Cost
Total Project
Cost
General Fund
State
Federal
Fees
Other:
Total
There is no fiscal impact associated with the conduct of the City’s two-year financial planning
process. The City budgets for all of the planned activities that are part of this process. Preparing
budgets are one of the core government functions that the City is responsible for carrying out.
ALTERNATIVE
Modify the proposed Goal Setting activities. The Council could direct staff to pursue a different
process for goal-setting this year. Staff does not recommend this alternative because there is
value in conducting a similar process that residents are familiar with. If the Council is interested
in making changes, staff recommends that they be incremental adjustments to the activities
planned. If major changes are desired, they should be discussed and planned during the first year
of the next financial plan.
Attachments:
a - 2019-21 Community Forum Outline
b - Invitation to Community to Participate in Goal Setting
c - Community Survey
d - Homework for Council Goal-Setting
e - Outline for Goal-Setting Workshop
f - Guidelines for Council Members During Goal-Setting Process
g - Criteria for Major City Goals
h - Economic Outlook
i - Budget and Fiscal Policies for 2019-21
j - CIP Status Report 2019-21
k - Long Term CIP 2019-21