HomeMy WebLinkAboutStaff Report 4.A 05/18/2015DATE: May 18, 2015
Agenda Item #4.A
TO: Honorable Mayor and Members of the City Council through City Manager
FROM: William Mushallo, Finance Director6�
--
SUBJECT: Consideration of Preliminary FY 2015-2016 City of Petaluma Budget, Adoption
of City Budget Resolutions, and First Reading of FY 2015-2016 City
Appropriations Ordinances.
RECOMMENDATION
It is recommended that the City Council consider the tentative FY 2015-16 budget, Adopt
Resolutions authorizing the FY 2015-16 Budget (Attachments 1-5), and Introduce (First
Reading) FY 2015-16 Appropriations Ordinances (Attachments 6-10).
BACKGROUND
The City Charter requires that the annual budget be prepared and submitted by fund, department
and debt repayment, and approved with the required appropriations ordinances. The Charter
further requires that a tentative budget be presented to the City Council by the first Monday in
May; for this year, May 4, 2015.
In order to present a balanced budget, departments submitted their requests to the Finance
Department pursuant to strict guidelines and were instructed to maintain budgets for services and
supplies flat year over year. Increases are few and are nearly always justified not only on the
basis of critical need but also on dedicated revenues. Salaries and benefits were calculated by
the Finance Department and provided to departments. A draft of the budget was reviewed by
the City Council at a workshop on May 11, 2015. Staff presented and discussed the proposed
fiscal year 2015-16 budget and sought and received City Council input and guidance. At the
conclusion of the budget workshop the City Council indicated support for the recommendations
contained in the tentative 2015-2016 budget.
DISCUSSION
The total recommended budget for FY 2015-16, all funds, including the City Acting as Successor
Agency to the Former PCDC and the City Acting as Housing Successor, is $161,604,688. This
amount represents all funds of the City and their major components; operations, capital
improvements, debt service and transfers.
The recommended General Fund budget for FY 2015-16 is $41,459,967. General Fund
expenditures are increasing modestly in the upcoming fiscal year by approximately $1.8 million
or 4.7% over the revised budget for FY 2014-15. Salaries, the base wages and overtime paid to
employees, are slightly less ($50,000) in FY 2015-16 as compared to FY 2014-2015. The
decrease is due to savings associated with retirement -related turnover primarily in Public Safety
positions. Incoming appointments are paid at lower salary steps than outgoing retirees. The
savings associated with Salaries is more than offset by increases in Benefits which are
approximately $550,000 (5%) greater in FY 2015-16 than FY 2014-2015. Escalation in Benefits
is driven by increases in the City's share of PERS contributions and Workers' Compensation
costs. An additional $100,000 is budgeted for Employee Retirements to support the separation
expenses (leave accruals with cash value) of staff whose retirements are anticipated in the
coming fiscal year. Although guidance requires departments to budget Services/Supplies at prior
years' levels, they are able to request additional funds when costs cannot be contained and/or a
source of new or increased revenue or funding can be applied to the cost. The amount
recommended for Services and Supplies is $305,000 (5.3%) more than last year and primarily
reflects an increase in the cost of participating in the joint powers agency for Computer Aided
Dispatch ($60,000) and for Police body cameras ($50,000). Increases also include the partial
restoration of budgeting in the General Fund for street lighting, $175,000. Intragovernmental
costs, charges to the General Fund from the Information Technology, Risk and General Services'
internal services funds, are increasing $365,000 (22.9%) and reflect increased IT and Risk
budgets as well as updates to the cost allocation plan. Transfers -Out are $692,053 (102.5%)
greater than in FY 2014-15 in response to the Council's strong distribution preferences for
increasing the Vehicle Replacement fund ($400,000) and to support Storm Water costs
($200,000).
The recommended budget includes the following changes in full-time staff positions:
Additions and/or Changes:
1 Human Resources Specialist; funding of previously frozen position
1 Management Analyst; a new position in the Public Works and Utilities Department
3 Firefighter positions to be replaced by 3 Firefighter/Paramedics
1 Firefighter Engineer to be replaced by 1 Firefighter/Paramedic
Following Council deliberation on May 18, 2015, it is recommended that the City Council
approve the budget by resolution and provide for the first reading of the FY 2015-16 City
appropriations ordinances. A resolution is required by City Charter to adopt the City's annual
budget. Ordinances presented at the same time are required to appropriate funds for the fiscal
year. The appropriations ordinances, if approved, would have their first reading and introduction
at this meeting and would be scheduled for second reading and adoption at the next regular
Council meeting on June 1, 2015.
2
FINANCIAL IMPACTS
The estimated beginning fund balance for all funds is $104,544,659. The total budget for the
City, City Acting as Successor Agency and City Acting as Housing Successor, including
transfers, is $161,604,688. The budget is balanced by revenues and transfers in of $149,683,000
along with the use of fund balance in the amount of $11,921,688. This will result in an estimated
ending balance, all funds, of $92,622,971.
ATTACHMENTS
1. Resolution Adopting FY 2015-2016 General Fund Budget
2. Resolution Adopting FY 2015-2016 Enterprise Funds Budget
3. Resolution Adopting FY 2015-2016 Internal Service Funds Budget
4. Resolution Adopting FY 2015-2016 Special Revenues and Trust Funds Budget
5. Resolution Adopting FY 2015-2016 Capital Projects and Debt Fund Budget
6. Ordinance No. N.C.S. Appropriating Funds for FY 2015-2016 General Fund
Including Exhibit A — Appropriation of Funds (First Reading)
7. Ordinance No. N.C.S. Appropriating Funds for FY 2015-2016 Enterprise Funds
Including Exhibit A — Appropriation of Funds (First Reading)
8. Ordinance No. N.C.S. Appropriating Funds for FY 2015-2016 Internal Service
Funds Including Exhibit A — Appropriation of Funds (First Reading)
9. Ordinance No. N.C.S. Appropriating Funds for FY 2015-2016 Special Revenues
and Trust Funds Including Exhibit A — Appropriation of Funds (First Reading)
10. Ordinance No. N.C.S. Appropriating Funds for FY 2015-2016 Capital Projects and
Debt Fund Including Exhibit A — Appropriation of Funds (First Reading)
11. Exhibit A to the Resolutions (Appropriations by Fund)
3
Attachment 1
RESOLUTION ADOPTING THE FISCAL YEAR 2015-2016
GENERAL FUND BUDGET
WHEREAS, the City Manager has prepared and submitted to the City Council a
preliminary budget for the period from July 1, 2015 through June 30, 2016, as required by
Section 59 of the City Charter; and
WHEREAS, the preliminary budget for fiscal year 2015-2016 does not exceed the
estimated revenues, other sources and available fund balances; and
WHEREAS, the City Council has reviewed the budget during its scheduled public
budget workshop,
that:
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Petaluma
1. The FY 2015-2016 Preliminary Budget is hereby adopted as the FY 2015-2016
General Fund Adopted Budget.
2. The FY 2015-2016 Appropriations, referred to as Exhibit A, which lists
Appropriations by Department and by Fund is to be filed with the City Clerk.
M
Attachment 2
DRAFT
RESOLUTION ADOPTING THE FISCAL YEAR 2015-2016
ENTERPRISE FUNDS BUDGET
WHEREAS, the City Manager has prepared and submitted to the City Council a
preliminary budget for the period from July 1, 2015 through June 30, 2016, as required by
Section 59 of the City Charter; and
WHEREAS, the preliminary budget for fiscal year 2015-2016 does not exceed the
estimated revenues, other sources and available fund balances; and
WHEREAS, the City Council has reviewed the budget during its scheduled public
budget workshop,
that:
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Petaluma
1. The FY 2015-2016 Preliminary Budget is hereby adopted as the FY 2015-2016
Adopted Budget for the following funds:
Airport
Community Development
Marina
Transit
Storm Water Utility
Waste Water
Waste Water Stabilization
Water
2. The FY 2015-2016 Appropriations, referred to as Exhibit A, which lists
Appropriations by Department and by Fund is to be filed with the City Clerk.
Attachment 3
DRAFT
RESOLUTION ADOPTING THE FISCAL YEAR 2015-2016
INTERNAL SERVICE FUNDS BUDGET
WHEREAS, the City Manager has prepared and submitted to the City Council a
preliminary budget for the period from July 1, 2015 through June 30, 2016, as required by
Section 59 of the City Charter; and
WHEREAS, the preliminary budget for fiscal year 2015-2016 does not exceed the
estimated revenues, other sources and available fund balances; and
WHEREAS, the City Council has reviewed the budget during its scheduled public
budget workshop,
that:
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Petaluma
3. The FY 2015-2016 Preliminary Budget is hereby adopted as the FY 2015-2016
Adopted Budget for the following funds:
Employee Benefits
General Services
Information Technology
Risk Management
Vehicle and Equipment Replacement
Workers' Compensation
4. The FY 2015-2016 Appropriations, referred to as Exhibit A, which lists
Appropriations by Department and by Fund is to be filed with the City Clerk.
n
Attachment 4
DRAFT
RESOLUTION ADOPTING THE FISCAL YEAR 2015-2016
SPECIAL REVENUES AND TRUST FUNDS BUDGET
WHEREAS, the City Manager has prepared and submitted to the City Council a
preliminary budget for the period from July 1, 2015 through June 30, 2016, as required by
Section 59 of the City Charter; and
WHEREAS, the preliminary budget for fiscal year 2015-2016 does not exceed the
estimated revenues, other sources and available fund balances; and
WHEREAS, the City Council has reviewed the budget during its scheduled public
budget workshop,
that:
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Petaluma
5. The FY 2015-2016 Preliminary Budget is hereby adopted as the FY 2015-2016
Adopted Budget for the following funds:
Special Revenues
Trust Funds
6. The FY 2015-2016 Appropriations, referred to as Exhibit A, which lists
Appropriations by Department and by Fund is to be filed with the City Clerk.
7
Attachment 5
RESOLUTION ADOPTING THE FISCAL YEAR 2015-2016
CAPITAL PROJECTS AND DEBT FUND BUDGET
WHEREAS, the City Manager has prepared and submitted to the City Council a
preliminary budget for the period from July 1, 2015 through June 30, 2016, as required by
Section 59 of the City Charter; and
WHEREAS, the preliminary budget for fiscal year 2015-2016 does not exceed the
estimated revenues, other sources and available fund balances; and
WHEREAS, the City Council has reviewed the budget during its scheduled public
budget workshop,
that:
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Petaluma
7. The FY 2015-2016 Preliminary Budget is hereby adopted as the FY 2015-2016
Adopted Budget for the following funds:
Capital Projects
Debt Fund
8. The FY 2015-2016 Appropriations, referred to as Exhibit A, which lists
Appropriations by Department and by Fund is to be filed with the City Clerk.
ORDINANCE NO. N.C.S
INTRODUCED
BY COUNCILMEMBER
Attachment 6
SECONDED BY
AN ORDINANCE APPROPRIATING FUNDS FOR THE OPERATION OF THE CITY
OF PETALUMA GENERAL FUND FROM JULY 1, 2015 THROUGH JUNE 30, 2016
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS:
Section 1. There is hereby appropriated for the usual and ordinary expenses of the City
of Petaluma for the period of July 1, 2015 through June 30, 2016, the amounts set in the attached
Exhibit A, incorporated by herein reference, and distributed to the various funds as set out in said
exhibit and shall be expended and used in accordance therewith.
Section 2. Changes with relation to the above appropriations between each respective
department or fund may be made by resolution adopted by the City Council. The City Manager
may administratively make changes within the departmental appropriations as approved, so long
as the total amounts do not exceed, as a result of the change, the amounts set forth in the
approved appropriation.
Section 3. The City Council hereby finds and determines the amount of appropriations
provided hereby does not exceed the estimated revenue, other sources and available fund
balances in the amounts set in Exhibit A, which will be on file with the City Clerk for the fiscal
year ending June 30, 2016.
Section 4. All ordinance or parts of ordinances in conflict herewith are hereby repealed.
Section 5. The City Clerk is hereby directed to post/publish this ordinance or a synopsis
of this ordinance for the period and in the manner required by the City Charter.
INTRODUCED, ADOPTED AND ORDERED posted/published this day of
, 2015, by the following vote:
7
ORDINANCE NO. N.C.S
11-ft#0]301i14
BY COUNCILMEMBER
Attachment 7
SECONDED BY
AN ORDINANCE APPROPRIATING FUNDS FOR THE OPERATION OF THE CITY
OF PETALUMA ENTERPRISE FUNDS FROM JULY 1, 2015 THROUGH
JUNE 30, 2016
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS:
Section 1. There is hereby appropriated for the usual and ordinary expenses of the City
of Petaluma for the period of July 1, 2015 through June 30, 2016, the amounts set in the attached
Exhibit A, incorporated by herein reference, and distributed to the various funds as set out in said
exhibit and shall be expended and used in accordance therewith.
Section 2. Changes with relation to the above appropriations between each respective
department or fund may be made by resolution adopted by the City Council. The City Manager
may administratively make changes within the departmental appropriations as approved, so long
as the total amounts do not exceed, as a result of the change, the amounts set forth in the
approved appropriation.
Section 3. The City Council hereby finds and determines the amount of appropriations
provided hereby does not exceed the estimated revenue, other sources and available fund
balances in the amounts set in Exhibit A, which will be on file with the City Clerk for the fiscal
year ending June 30, 2016.
Section 4. All ordinance or parts of ordinances in conflict herewith are hereby repealed.
Section 5. The City Clerk is hereby directed to post/publish this ordinance or a synopsis
of this ordinance for the period and in the manner required by the City Charter.
INTRODUCED, ADOPTED AND ORDERED posted/published this day of
, 2015, by the following vote:
10
ORDINANCE NO. N.C.S
INTRODUCED
BY COUNCILMEMBER
Attachment 8
SECONDED BY
AN ORDINANCE APPROPRIATING FUNDS FOR THE OPERATION OF THE CITY
OF PETALUMA INTERNAL SERVICE FUNDS FROM JULY 1, 2015 THROUGH
JUNE 30, 2016
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS:
Section 1. There is hereby appropriated for the usual and ordinary expenses of the City
of Petaluma for the period of July 1, 2015 through June 30, 2016, the amounts set in the attached
Exhibit A, incorporated by herein reference, and distributed to the various funds as set out in said
exhibit and shall be expended and used in accordance therewith.
Section 2. Changes with relation to the above appropriations between each respective
department or fund may be made by resolution adopted by the City Council. The City Manager
may administratively make changes within the departmental appropriations as approved, so long
as the total amounts do not exceed, as a result of the change, the amounts set forth in the
approved appropriation.
Section 3. The City Council hereby finds and determines the amount of appropriations
provided hereby does not exceed the estimated revenue, other sources and available fund
balances in the amounts set in Exhibit A, which will be on file with the City Clerk for the fiscal
year ending June 30, 2016.
Section 4. All ordinance or parts of ordinances in conflict herewith are hereby repealed.
Section 5. The City Clerk is hereby directed to post/publish this ordinance or a synopsis
of this ordinance for the period and in the manner required by the City Charter.
INTRODUCED, ADOPTED AND ORDERED posted/published this day of
, 2015, by the following vote:
11
ORDINANCE NO. N.C.S
INTRODUCED
BY COUNCILMEMBER
Attachment 9
SECONDED BY
AN ORDINANCE APPROPRIATING FUNDS FOR THE OPERATION OF THE CITY
OF PETALUMA SPECIAL REVENUES AND TRUST FUNDS FROM JULY 1, 2015
THROUGH JUNE 30, 2016
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS:
Section 1. There is hereby appropriated for the usual and ordinary expenses of the City
of Petaluma for the period of July 1, 2015 through June 30, 2016, the amounts set in the attached
Exhibit A, incorporated by herein reference, and distributed to the various funds as set out in said
exhibit and shall be expended and used in accordance therewith.
Section 2. Changes with relation to the above appropriations between each respective
department or fund may be made by resolution adopted by the City Council. The City Manager
may administratively make changes within the departmental appropriations as approved, so long
as the total amounts do not exceed, as a result of the change, the amounts set forth in the
approved appropriation.
Section 3. The City Council hereby finds and determines the amount of appropriations
provided hereby does not exceed the estimated revenue, other sources and available fund
balances in the amounts set in Exhibit A, which will be on file with the City Clerk for the fiscal
year ending June 30, 2016.
Section 4. All ordinance or parts of ordinances in conflict herewith are hereby repealed.
Section 5. The City Clerk is hereby directed to post/publish this ordinance or a synopsis
of this ordinance for the period and in the manner required by the City Charter.
INTRODUCED, ADOPTED AND ORDERED posted/published this day of
, 2015, by the following vote:
12
ORDINANCE NO. N.C.S
INTRODUCED
BY COUNCILMEMBER
0X4
Attachment 10
AN ORDINANCE APPROPRIATING FUNDS FOR THE OPERATION OF THE CITY
OF PETALUMA CAPITAL PROJECTS AND DEBT FUNDS FROM JULY 1, 2015
THROUGH JUNE 30, 2016
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS:
Section 1. There is hereby appropriated for the usual and ordinary expenses of the City
of Petaluma for the period of July 1, 2015 through June 30, 2016, the amounts set in the attached
Exhibit A, incorporated by herein reference, and distributed to the various funds as set out in said
exhibit and shall be expended and used in accordance therewith.
Section 2. Changes with relation to the above appropriations between each respective
department or fund may be made by resolution adopted by the City Council. The City Manager
may administratively make changes within the departmental appropriations as approved, so long
as the total amounts do not exceed, as a result of the change, the amounts set forth in the
approved appropriation.
Section 3. The City Council hereby finds and determines the amount of appropriations
provided hereby does not exceed the estimated revenue, other sources and available fund
balances in the amounts set in Exhibit A, which will be on file with the City Clerk for the fiscal
year ending June 30, 2016.
Section 4. All ordinance or parts of ordinances in conflict herewith are hereby repealed.
Section 5. The City Clerk is hereby directed to post/publish this ordinance or a synopsis
of this ordinance for the period and in the manner required by the City Charter.
INTRODUCED, ADOPTED AND ORDERED posted/published this day of
, 2015, by the following vote:
13
Exhibit A
CITY OF PETALUMA, CA
PRELIMINARY FY 2015-16 BUDGET
APPROPRIATIONS BY DEPARTMENT AND FUND
SPECIAL REVENUE FUNDS
Community Development Block Grant
Budgeted
Budgeted
Total
Housing Successor Agency
Appropriations
Transfers Out
Budget
GENERALFUND
3,000
-
3,000
General Fund Cost Center
1,088
1,367,053
1,368,141
City Council
120,305
-
120,305
City Attorney
879,885
-
879,885
City Clerk
264,256
-
264,256
City Manager
800,462
-
800,462
Economic Development
299,678
-
299,678
Finance
1,936,669
-
1,936,669
Human Resources
488,692
-
488,692
Non Departmental
1,161,449
-
1,161,449
Community Development
554,149
-
554,149
Fire
12,240,359
-
12,240,359
Recreation
1,644,283
-
1,644,283 .
Police
16,023,530
-
16,023,530
Public Works
3,678,109
-
3,678,109
TOTAL GENERAL FUND
40,092,914
1,367,053
41,459,967
SPECIAL REVENUE FUNDS
Community Development Block Grant
324,458
28,130
352,588
Housing Successor Agency
316,967
-
316,967
Mobile Home Rent Program
3,000
-
3,000
Aquatic Facility Impact Fees
7
-
7
Commercial Linkage Fees
340,000
50,000
390,000
Community Facilities Impact Fees
29
-
29
Community Facilities Impact Fees - 08
12
-
12
Fire Suppression Impact Fees
8
120,000
120,008
Housing In -Lieu Fees
142,511
50,000
192,511
Library Facility Impact Fees
20
-
20
Parkland Acquistion Impact Fees -08
753
-
753
Parkland Development Impact Fees -08
5,286
574,452
579,738
Open Space Acquisition Impact Fees - 08
390
-
390
Quimby Act Dedication and In -Lieu -08
954
-
954
Law Enforcement Facility Impact Fees
30
-
30
Public Facilities Impact Fees
12
-
12
Public Facilities Impact Fees -08
11
-
11
City Facilities Development Impact Fee
5,505
-
5,505
Storm Drainage Impact Fees
1,121
744,000
745,121
Storm Drainage Impact Fees - 08
416
-
416
Traffic Mitigation Impact Fees
96
1,105,567
1,105,663
Traffic Mitigation Impact Fees -08
55,943
1,793,433
1,849,376
Public Art Fees
143,537
-
143,537
14
CITY OF PETALUMA, CA
PRELIMINARY FY 2015-16 BUDGET
APPROPRIATIONS BY DEPARTMENT AND FUND
Budgeted Budgeted
Appropriations Transfers Out
3% Admin Impact Fees
Police Grants
Parks and Rec Grants
Public Works Grants
Gas Tax
Landscape Assessment Districts
Abandoned Vehicle Abatement
Asset Seizures
Street Maintenance Gas Tax
Transient Occupancy Tax
Haz Mat Fines
SLESF
Donations
Prince Park Trust
TOTAL SPECIAL REVENUE FUNDS
ENTERPRISE FUNDS
Airport Operations
Community Development
Marina
Public Transportation
Waste Water Utility
Waste Water Rate Stabilization
Water Utility
Storm Utility
TOTAL ENTERPRISE FUNDS
INTERNAL SERVICE FUNDS
Employee Benefits
General Services
Information Technology
Risk Management (Liability)
Vehicle and Equipment Replacement
Workers' Compensation
TOTAL INTERNAL SERVICE FUNDS
22,876
567,000
34,569
316,459
81,422
101,857
3,029,556
402,117
10,070
57,384
5,964,376
1,835,382
1,354,515
313,589
6,698,197
20,412,543
14,218,533
548,181
45,380,940
1,076,625
224,023
1,802,161
1,677,178
1,464,394
6,244,381
336,000
3,627,000
1,873,262
30,000
567,000
1,455,512
100,000
188,000
56,500
12,698,856
250,000
8,639,000
6,776,000
15,665,000
Exhibit A
Total
Budget
22,876
567,000
336,000
3,627,000
1,907,831
316,459
81,422
131,857
3,596,556
1,857,629
10,070
100,000
245,384
56,500
18,663,232
1,835,382
1,354,515
313,589
6,948,197
29,051,543
20,994,533
548,181
61,045,940
1,076,625
224,023
1,802,161
1,677,178
1,464,394
6,244,381
[F
Exhibit A
CITY OF PETALUMA, CA
PRELIMINARY FY 2015-16 BUDGET
APPROPRIATIONS BY DEPARTMENT AND FUND
Budgeted Budgeted Total
Appropriations Transfers Out Budget
CAPITAL PROJECT FUNDS
General Gov CIP
100,000
- 100,000
Fire CIP
120,000
- 120,000
Parks and Recreation CIP
968,000
- 968,000
Public Works/Surface Water CIP
11,237,000
- 11,237,000
Transit CIP
317,000
- 317,000
Waste Water/Recycled Water CIP
8,702,000
- 8,702,000
Water CIP
7,216,000
- 7,216,000
TOTAL CAPITAL PROJECT FUNDS
28,660,000
- 28,660,000
Successor Agency Debt
4,940,891
- 4,940,891
Successor Agency C IP
-
- -
Successor Agency Admin
590,277
- 590,277
TOTAL SUCCESSOR AGENCY FUNDS
5,531,168
- 5,531,168
GRAND TOTAL $ 131.873.779 $ 29.730.909 $ 161.604.688
16