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HomeMy WebLinkAboutStaff Report 17 2/20/2001 City of Petaluma, California • Memorandum City Manager's Office, 11.English Street,Petaluma;CA 94952 (707) 778-4345 Fax(707) 778=4419 E-mail:citemgacrpetaluma.ca.us DATE: February,16, 2001 - TO: Mayor and'Members,of the City Council - • FROM: Frederick C. Stouder,City Manager SUBJECT: FY 2000-2001 Mid-Year Budget Review—Council Consideration Attached, o ria appropriations consideration, are the items City Councilmembers suggested for potential mid-year a p otions dunng`t]ie:February 5`h meeting. The list is on review of the draft minutes Worn the Meeting and the'items that were raised. During the discussion, some of the ideas were raised as potential'inid-year considerations while others may have been thought to be • discussion proposals for FY 2001-2002 consideration: Some discussion has occurred at the Council meeting on an implementation program for the Fire Master Plan that had been previously presented to the City Council. The current status of the.Fire Master Plan is to integrate its proposals and potential costs into other elements of the General Plan and as part of the Capital Improvement Program for annual consideration. If the City Council would like a review of the Master Plan, and consider cost of implementation as part of the FY.2001-2002 budget, a discussion and review can be scheduled for the meeting of March 19`h or later. We have also attached the Budget'Discussion ReviewChart previously submitted. • • • • • City of Petaluma, California Memorandum City Manager's Office, I1 English Street;Petaluma, CA 94952 (707) 778-4345 Fax(707) 778-4419 E-mail;cityn,g, FLpetaluma.ca.us DATE: February 15, 2001. TO: Mayor and Members of the City Council FROM: ' Frederick C.Stouder, City Manager Terry Krout, Fire Chief SUBJECT: ALS Equipment; Ambulance, Fire Ladder Truck Personnel Supporting the ALS Equipment Today, there is always:a minimum•of two paramedics on-duty at any'one,time to operate two ambulances. To insure that the three caches of ALS equipment that would be purchased are used 100% of the"time, six new positions would;be required. If the three caches of ALS equipment were purchased, parainedicswould be on-duty and available to • utilize the ALS equipment 50%of the year(or 180+days) on one or more engines. • Currently, there is the capacity to have;five paramedics on duty per shift. The:number of paramedics available, of course, does vary day-to-day: On average, three or four are on- duty with always a minimum of two on-duty on two ambulances. To guarantee, however, to have a paramedic on-duty available for both ambulances and all three engines, a minimum of five paramedics would be:required per day. To guarantee five paramedics per shift,24 hours a day, 365 days'a year'coverage; it would require six additional positions integrated into the system at $93,000 each or a total of$558,000. II. Adding a Fully Staffed Third ALS Ambulance The ambulance purchase cost of$150,000 plus three additional personnel to support it was the initial enhancement request. Management, however, at this time, had only requested;thesambulance. To fund;.and'support fully a third ambulance, six new.positions or-paramedics would be required. This would require $93,000 per position times six, or $558,000. III. Personnel for Ladder Truck To guarantee'that the ladder truck going out the door is fullystaffed'would require nine additional firefighter/paramedics at $93,000 or$837,000. This level of service would also require'$400,000 in capital improvements in Fire Station • 2 to house the new positions. c L R • 0 q a CZ® w t cs N °o cn C In O' '00 c a M M . W z ct Z yz o w F o q C Z oW COO CA O (4 U o o C 7C 'C Z N z A c c c cu c c c 0 C7 C7' O C7 0 C7 - o ON Ca. O O 00 00 U o '- A P]' W R 0 0 0 0 0 Z W q o ft: ^ N L O v', G1 0o r'1 w r aO Fr 69 Sc) O L . 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The Council cantakeraction if it so desires on all recommended items as di`scussed•on February 5`” with,one,motion, several motions, or proceed one-by-one through the chart: The attached Resolution'includes;all the items recommended in the original report that was presented at the February 5th'Council meeting. The second part of the chart that is,still being developed attempts to identify items that Councilmembers raised during discussions:at the-February•5`h Council meeting. The questions, comments, or proposals-are listed forFfurther-discussion or action:if-the Council so desires. We are still addressing?potential;costs of items Councilmembers.raised that they would like to have considered during,the February 20th session. This will be provided Monday or Tuesday in chart form as the attached.: All the proposals have a one-time direct impact unless otherwisenoted as.a continuing'annual cost. d/manager/stouderffs0201/ke. I . CITY OF PETALUMA, CALIFORNIA • AGENDA BILL. 17 Agenda.Title:, MeetingiD'ate:, Introduction of Ordinance•to Amend Ordinance No 2101 N.CS'. 'February 20, 2001 • • and Appropriate Additiona1.Funds,for Fiscal Year 2000 - 2001 • Department: Director: Contact,Person: Phone Number: Finance William J. Thomas William J. Thomas 778-4323 Cost of Proposal: $1,146,827 Account Number: Aniount Budgeted: N/A Name of Fund: Various Attachments to Agenda Packet Item: Proposed Ordinance Resolution reserving various funds in the:General Fund, Resolution authorizing the City Manager to establish an Internal Service Fund and,entitling it "Vehicle and Equipment Reserve Fund" and transferring $1,000,000 from the,General Fund to that fund Resolution authorizing the City.Manager-to transfer.$400,000r from the General Fund to the Risk Internal Service Fund Su"mniary Statement: At the February 5, 2001 City Council meeting, Council directed management to bring back an Ordinance that would amend Ordinance.No. 2101 N.C.S: and by doing so amend the.FY 2001 budget. Ordinance No 2101 N.C.S. was the ordinance that-originally appropriated funds for FY 2001. Additionally, management recommended.that a portion of the Unreserved Fund Balance that currently • exists in the General Fund be reserved for future uses. Under consideration are two resolutions that will • provide for this to be accomplished. The,first reserves funds'for the:following purposes: • Vehicle and Equipment Replacement Fund • Community Reserve • Street Improvements The second resolution provides authority for the City Manager toiestablish an Internal Service Fund entitled "Vehicle and Equipment Replacement Fund". It further provides for the transfer of$1,000,000 from the General Fund—Reserved Fund Balance for Vehicle<and'Equipment Replacement to this new fund. The final resolution provides authority for the City'Manager to transfer$400,000 from the General Fund —Unreserved-Fund Balance to the Risk Internal Service Fund to reduce the deficit-retained earnings currently existing in that fund, Council Priority: THIS AGENDA.ITEM.IS CONSIDERED To BE PART OF, OR NECESSARY To, ONE OR MORE OF THE 1999-2000 PRIORITIES ESTABLISHED BY THE CITY COUNCIL ON JANUARY 30, 1999 AND MARCH 18,2000 Priority(s): N/A • Recommended City Council Action/Suggested Motion: Introduce Ordinance on first reading amending Ordinance No. 2101 N.C.S. Adopt Resolution reserving various funds in the General Fund Adopt Resolution Establishing a Vehicle & Equipment Replacement Fund and transferring funds from the General Fund to this fund Adopt Resolution transferring $400,000 from the Unreserved Fund Balance of the General Fund to the • Fund Balance of the Risk Internal Service Fund. Reviewed by Finance Director: Reviewed by City Attorney: Appr ed b Manager: n � Date. Date: / t ate: Today's Date: ' Revision # and Date Revised: File Cod: Si/agenda/midyear review/midyear budget adj • • • • • j CITY OF PETALUMA, CALIFORNIA February 20,.2001 AGENDA REPORT' FOR ACTION FOR MID-YEAR BUDGET ADJUSTMENTS AND RESERVATIONS OF FUND BALANCES 1. EXECUTIVE SUMMARY: At the February 5, 2001'City Council.meeting; Council directedmanagement to;bring back an Ordinance that would amend Ordinance No 2101 N.C.S. and by doing`;so amend the FY 2001 budget. Ordinance No 2101 N.C.S. wasthe ordinance that originally appropriated funds for FY 2001. Additionally, management recommended that a portion;ofthe Unreserved Fund Balance that currently exists in the General Fund be reserved for future uses. Under consideration are two resolutions that will provide for=:this to be accomplished. The first,reserves funds for the following'purposes: • Vehicle and Equiptient.Replacement-Fund ■ Community Reserve • Street Improvements The second resolution:provides•authority;for the City Manager to establish an,Internal Service Fund entitled "Vehicle-and.Equipment Replacement Fund". Itfurther provides for"the transfer of • $1,000,000 from the.General Fund Reserved Fund Balance for Vehicle and Equipment Replacement to this new fund. The final resolution provides'authority for the City Manager to transfer $400,000 from the General Fund— Unreserved Fund Balance•to the.Risk Internal;Service Fundto reduce the deficit- retained earnings currently existing in ihatfund. 2. BACKGROUND: During the mid-year budget reviewasession`held on February 5, 2001, management recommended that additional funds be appropriated‘based'on the results of fiscal year 2000 that ended on June 30, 2000. Based on those-results, a surplus totaling•$1,804,551 was realized. Management recommended,that a;portion of the;surplus be used to increase existing reserve funds, establish a street improvement reserve fund and finance certain additions to the current year's budget. Those recommendatibns"for the General Fund were as follows: • Ending Surplus --General.Fund --,June30,.2000 $ 1,804,551 Use of Funds: Increase Vehicle &.Equipment Replacement Fund 400,000 Increase Community Reserve Fund 200,000 Contribute to Risk Fund to decrease deficit retained earnings 400,000 Establish Street Improvement Reserve Fund 250,000 Increase Appropriations: • Human Resources - Administrative Secretary (temporary) 28,000 Finance - Cost Allocation/Revenue Study 48,500 Police - Leased Vehicles 6,500 Police - Training.Budget 30,000 • Police z Motorcycle Conversion 3,600 Police - Extra for electricity and gas 5,000 Fire- Extra:for..elect;city and gas 5,000; Community Development - Community Rating Plan 40,000 Public Facilities_& Services - Extra for electricity and gas 10,000 Parks & Recreation-°Extra for electricity and gas 5,000 Parks & Recreation - Rooster Run payment 238,098 Total General Fund 1,669,698 BALANCE $ 134 853 The above include all recommendations.as;proposed at the February 5, 2001 Council presentation. In addition to the use of General Fund surplus,•management.also recommended that-other sources offundsbe.used to increase the current year budgets for various departments. Those recommendations were as follows: • Asset Seizure Funds (Special;Revenue Fund) Tasers for Police Department $ 16;120 • Information"Services'Fund (Internal Service Fund) Backup server for Police Department $ 9,000 Printer for City Clerk's.office $ 1,700 Fak for City'Clerk's office $ 200 • General Services Fund (Internal Service Fund), Copier (leased) for City Clerk's Office $ 3,000. Ambulance Fund (Enterprise Fund) Replacement Ambulance for Fire Department $ 150,000 Community Development Block Grant Fund.(Special Revenue) Federal portion costs of Cost Allocation Study $ 7,500 Water Fund(Enterprise) Water portion of costs for Community Rating Plan $ 20,000 Additionally, the City received $377,667 in AB 2928.Traffic Congestion Relief Funds as part of the State subventions:to,local government. While these funds are restricted to street improvements,anappropriation:is required,torecognize the receipt.of these funds. These funds will be.used.for streetimprovements inthe future but must;be expended by,.June 30, 2002.. Scheduled, attached_:provides,a summary of these'.recommendations. • • To facilitate these changes, the.original;Ordinance (Ordinance No.-2101) that provided appropriations for,FY 2001 needs to be:amended. An Ordinancais proposed;and attached that provides for the additional appropriations as listed above: Reservations of fund balance require separate•resolutions. Those resolutions are as follows: • 1. Resolution reserving funds within the General.Fund for the following: a. Vehicle:and Equipment Replacement -- $400;000 b. Community -- $200,000 c. Street Improvement;Reserve -- $250,000 2. Resolution authorizing the;CityManagerto:establish.an Internal Service Fund for the Vehicle and Equipment Replacement and transferring,$1,000,000.from the General Fund to that fund. 3. Resolution authorizing the City Manager to transfer $400;000 from the General Fund to the Risk Internal:Service Fundito reduce the deficit retained'earnings in that fund. 3. ALTERNATIVES: a Introduce on first reading,the,proposed Ordinance:and adopt the proposed Resolutions. b. Make changes to the Ordinance and Resolutions. .Introduce and adopt revised versions. c. Do not introduce the Ordinance or adopt the proposed Resolutions leaving the • entire surplus in the unreserved'fund balance of the GeneralFund. d.. Direct management. 4. FINANCIAL IMPACTS: The financial impacts-to the General,Fund are that a total of$419,698 ineadditional spending authority will be approved. Excluded'from this amount is $.141,942 in Interfund loan interest that had been budgeted in the original budget but was never appropriated. Additional spending in other funds include the following: a. Ambulance Fund -- $150,000 b. Information^Services Internal Service Fund -- $10,900 c. General Services Internal Service,Fund-- $3,000 d. Asset Seizure"-Special Revenue Fund -- $16,120 e. CDBG Special`Revenue Fund --$7,500 f Gas Tax'— Special Revenue Fund --$377,667 g; Water—Enterprise Fund--.$20,000 • 5. CONCLUSION: With the,introduction of the proposed Ordinance and adoption of the proposed Resolutions the Council will providejhe City with increased budget appropriations:to meet the needs of the current fiscal year Additionally, the Council will act to reserve a majorportion of the existing unreserved general fund' fund balance for future:contingencies. With the creation of the Vehicle and`Equipment Replacement Fund the City will have established a designated fund to provide for future vehicle and equipment replacement needs. Finally with the'transfer of funds from the General fund to the.Risk fund, the existing deficit retained earnings will be further reduced. • 6. OUTCOMES OR PERFORMANCE MEASUREMENTS THAT WILL INDENTIFY SUCCESS OR.COIVIPLETION: • Completion-of the changes to ithe;current budget in the general ledger, establishment of new Internal,Servicefund, and transfefof.funds from tfie,General Fund to thevarious Internal Service' Funds' 7.. RECOMMENDATION: Introducethe proposed`Ordiriance and adopt.the;proposed Resolutions s:/agenda/mid-year;budget adjustment.agenda bill •' • • • • 411 v x � a 0 ro = N � 3 Y o 0 w ,� w • X - N N N VD VD 7: j (7 b U ro N N a 7 F en en U x g L 69 O O O O in N N N O U be NI N • F N 0 0 Z 0) b b W 2 ti V `� G Q '9 N Q Q - O Q O 0 — 0 O O O O W O a E N E L q '> • M en F Q W .±.1 a O cn W m 69 o CZ. Q • � ° O O 0 0 0 0 m Cr V; z Q k E i •u o; U O. E • U 2 y •� o �I V) 69 6A CA U 0 0 U O O N 0.Q - O O D - vt 0 W 59 C. co O N- O O O' O co O. O O W O O O •7 O' O o O co! O O Q. a U. O i Q`. ' O sO' O O -O' _ O O, O vD CO co •-- co' O M vi v) 0 O '/1 00 iy N C V en • M 1p' • N N •-/-) C U C7 69 T b -- ' 7' 3 to �. x C y V C. U M di > 0' V 111 r. a .` Y , m ' d� .. 0 ° v . cW � W v o . m u C] '. u _ . 0 c0 > n•� ° > o C , c o _ V e . o — ,ou w' ! U � Ri m v � Q w v :° U, '� � _ 5 Q , a m m y : � o E E` ' a m : ` . Q s E E o v c o x m ° u y .0 E • m w x c U •. . E , �_. 0o . m u x x Q V o V°. u .F II m X Co O. k ` . Q a .U' ^ F F W W • o E _ U 'c S ic.. a° i�. U; i a F • ORDINANCE.NO. N.C.S. Introduced Seconded.By Councilmember' AN.ORDIANANCE AMENDING ORDINANCE NO. 2101 N.CS.,TO CHANGE CERTAIN APPROPRIATIONS FOR THE OPERATION OF THE CITY OF PETALUMA FROM JULY 1, 2000 TO JUNE 30;,2001 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF'PETALUMA AS FOLLOWS: Section 1. :Ordinance No. 2101 N.C.S. is hereby amended forfhe,fiscal year beginning,on July 1, 2000 and ending on June 30, 2001 in theamounts as set in the attached Exhibit A,.incorporated,herein by reference, and distributed;to the.various .funds-.as set out in said exhibit and shall be,expended and usediniaceordalice therewith.. Section 2. The City. Council hereby finds.and deterininesthat;the amount of appropriations provided hereby does.not exceed the estimated revenue, other sourcesland available fund balances in the amounts set in Exhibit A, which will be omfile with the.City Clerk,,for the,fiscal year ending June:30, 2001: Section 3. All ordinance or parts of ordinances in conflict herewith are hereby repealed. . Section 4. The City Clerk be, and she.is herebydirected to post/publish this ordinance for the period and in themanner required by the City Charter: • CITY:OFrPETALIIMA,CA Exhibit A APPROPRIATIONS ANDAMENDMENTS FISCAL YEAR2000-2001 • Department Adopted:Budget ,Amendments Revised Budget City Council $ 213 550 $ 1 $ .213,$50. City Clerk 31 1,600 4,900? ' 316500. City:Attorney. 189;150 189,150 City.Manager/General Plan/ . Geographic Information Sen ices and Information Services 1;846;000 .9.000 1,855;000 Human Resources 2;478,600 28;000 2;506;600 Finance • - 11349,450 `.190,442 1,539,892 Transient Occupancy Tax. .486;850 - 486,850 Police 10;915,600 <61220 10,976;820 Fire and Ambulance 6;525.950 155;000 6;680;950 Community Development, . 3;798,500 47,500 3;846.000 Public Facilities and Services 5;667,350 387,667 6,055;017 Parksand'Recreation 4;018,100 243098. 4261;198 Water Resources.and Conservation 12,450,250 20,000. 12,470,250 Capital Improvement Projects: Public Facilities and Services 13,781;700 - 13,781,700 Parks ,3,630,000 - 3,630,000 Water Resources and.Conservation. 20,807,600 - 20,807,600 Debt 813,850. 813,850 Trusts 1,200 - 1,200 Capital to be allocated within the General Fund -241,000 - '241;000 Total Appropriation 6y Department $ 89,526,300.: S __;1;146,827 $ 90;673,127 • APPROPRIATIONS;BY,FUND General Fund _. $ 27,761;450_ $ 561,640 28,323;090_ Special Revenue Funds Community Development-Block Grant' 540,350. 7,500 547,850 III Home-Begin Grants '1,277,050 - 1,277,050 Gas Tax 1,864,150 377,667 ' 2,241;817 Landscape Assessment Districts 252700 252,700 Supplemental Law Enforcement Services 1,091',650 - 1,091,650 Asset'Seizure -- 16,120. 16,120 Transient Occupancy Tax 486;850 - 486;850 Park Development.Tees 3,630;000 - 3,630,000 Flood Mitigation and Drainage Fees 7;318,300 - 7,318;300 Housing in`LiettFees 500 - 500 Community,-Facilities Fees 2,777`750. - 2777;750 Traffic Mitigation Fees :9;1 39;800 - 9;139,800 Child Care , - 13,500 Turning Basi - - Debt Service ,813,850- - !813,850 -- Enterprise Funds: Water Utility 9,230,300 20,000 _ 9,250;300 Water.Pollution'Control 16;709,250 - 16;709;250 Public'Transporation I 1,253, 000, - 1;253,000 • Airport 870;950 - • 870,950 Ambulance . 1,216900 150,000 1,366,900 • Marina 329,250 - 329,250 Internal Service Funds: Information Services 581,150 10;900 592;050 Employee Benefits 371,500 - 371,500 Risk Programs 1,701,950 - 1,701,950 General Services 292,950 3,000! 295,950 Trust Funds Thomas Lee Charity _ 1;200 - 1,200 • Total Appropriations by Fund $ 89,526,300 $ 1,146,827 $ 90,673.127 Resolution No. N.C.S. of the-City of Petaluma, :California. • AUTHORIZING THE CITY-MANAGER.TO ESTABLISILA'YEHICLE AND EQUIPMENT REPLACMENT FUND;.(INTERNAL SERVICE'FUND) AND TRANSFERRING $1,000;000"FROM THE GENERAL FUND: WHERE'AS,.theCity•established a,Vehicle and.Equipnterit-Reserve in,th_es_GeneralFund of the City'ofPetalunia, CA;iana WHEREAS,,the City has reserved funds totaling $1,000,000-in the General Fund of the. City of Petaluma, California for the.purpose of providing future Vehicle and Equipment replacement; and WHEREAS, the.City desires to establish;a,separate fund to hold these funds for future Use, and WHEREAS;the GovemnientAccounting Standards.Board(GASB) allows,that an Interrtal'Service Fundrbe:established for this purpose; NOW, THEREFORE BE IT'RESOLVED,,that"the City Manager is•l erebyauthorized.to establish an-Internal Service fund for the,purpose:of accounting for Vehicle and:Equipment Replacement-funds;:and BE IT FURTHER'RESOLVED,that the City Manager is hereby.authorized to;transfer •$1 000,000"in,funds from the General.Fund that-are+reserved for Vehicle"and Equipment reserve to this fund. Under the power.and!authority.conferred upon'this Council'by the Chatter'of said:City: • • REFERENCE: Ithereby certify the foregoing`Resolution w"as introduced and adopted by the Council(of the City'of Petaluma at a Regular meeting'on;, 2000, Approvedas-.to by the.following vote: : form: City.Atiomey AYES. NOES: ABSENT: ATTEST: City Clerk Mayor Resolution.No. NCS • • • • Resolution No NC.S. of• the City of Petaluma; California • _ AUTHORIZING THE CITY MANAGEWTO TRANSFERS400,000 FROM THE GENERAL FUND TO THE RISK FUND WHEREAS, The City-ended fiscal yeaf2000 on June 30, 2000; and WHEREAS,at the end of that fiseal'year the General Fund realized a surplus of$1, 804, 551 which increased the unreserved fund balance to $3;030,886;and. WHEREAS, the City Council wishes to>use $400,000 of that surplus to further reduce the deficit in the Risk fund; NOW THEREFOREiBE IT RESOLVED, that the iCity Manager of the-City of Petaluma, California is authorized to transfer'$400,000 from the unreserved,fund balance of the General Fund to the Risk Fund. Under the power and authority conferred upon this Councilibyxthe Charter of said City. REFERENCE: I hereby certifythe foregoing Resolution was introducedandradopted by the Council of the City of Petaluma at Regular meeting on„2000 Approved as to • by the-following'vote: form: City Attorney AYES: NOES: ABSENT: ATTEST: City Clerk Mayor Resolution No. NCS R . • O U . 0' ' z .O . 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