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06-02-2020 - PowerPoint FY 2020-21 Preliminary BudgetFY 2020-21 Preliminary Budget Presentation June 2, 2020 FY 20-21 Total Revenues by Fund Type SuccessorP 13% Enterprise 1% InternalSe 5! Total Revenues by Fund Type $117,301,786 Funds Funds 0% 21% General Fund 10 FY 20-21 Total Expenditures by Fund Type Succes Enterpris 1% Interne Total Expenditures by Fund Type $110,081,284 3% 0% 17% raneralFund 59% Financial Trends City -Wide Comparison Revenues vs Expenditures 14/15 Actual 15/16 Actual 16/17 Actual 17/18 Actual 18/19 Actual 19/20 Adopted 20/21 Proposed ■ Revenues ■ Expenditures 13 Major Revenue & Public Safety Comparison $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $- 14/15 15/16 16/17 17/18 18/19 19/20 20/21 Actual Actual Actual Actual Actual Projected Proposed Fiscal Year 14 General Fund FY 20-21 General Fund Revenues $66,672,236 Agencies 4% Other Taxes 13% & Permits tures Property 2% 16 Property Tax Revenues N $30.0 0 $25.0 $20.4 $20.6 $21.3 $20.0 $18.6 $19.1 ' $17.8 $17.8 $17.8 $15.0 $10.0 $5.0 $- 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 Fiscal Year $26.7 $27.4 $26.4 $23.9 M $24.0 16/17 17/18 18/19 19/20 20/21 17 Sales Tax Revenues $20.0 0 $18.0 $16.0 $14.0 $13.3 $12.5 $12.0 . $12.0 $11.0 $10.0 $8.0 $6.0 $4.0 $2.0 0 $17.2 $16.5 $16.3 ■ � $15.9 $14.7 $15.1 $16.9 $15.9 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 Fiscal Year 18 FY 20-21 General Fund Comparison Revenues vs Expenditures $80,000,000 $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $- 14/15 15/16 16/17 17/18 18/19 19/20 20/21 Actual Actual Actual Actual Actual Adopted Proposed Fiscal Year . Revenues . Expenditures 19 AGENDA Introduction and Overview • Operating Budget — All Funds General Fund — Revenues & Expenditures • Financial Trends Capital Improvement Pr(wram • Next Steps Questions Z FY 20-21 General Fund Expenditures $66,672,236 Public Services Fire $5,456,355 $20,021,267 Community 30% Development �8% $2,160,896 3% Transfers Out $1,620,322 3% Police $31,163,716 Support Services 47% $6,249,680 9% FY 20-21 General Fund Expenditures by Category $66,672,236 Salaries & Benefits 79% P Maintenance& Operations 21% 21 General Fund - Fund Balance 50000000 45000000 40000000 35000000 30000000 25000000 20000000 15000000 10000000 5000000 0 If do 101 If 10 411,1�do 411,do 44 ,tio 4 Revenues Payrol I CJPIA PERS Unfunded Liab 2018 Bonds AP Warrants TOTAL Est Rev less Est Exp FY 20-21 Cash Flows Jun 2020 Jul 2020 Aug 2020 Sept2020 Oct2020 Nov 2020 Dec 2020 $2,664,000 $2,371,000 $1,867,000 $1,350,000 $2,418,000 $2,004,000 $6,104,000 Jun 2020 Jul 2020 Aug 2020 Sept 2020 Oct 2020 Nov 2020 Dec 2020 ($3,500,000) ($5,100,000) ($3,500,000) ($3,500,000) ($3,500,000) ($3,500,000) ($5,100,000) ($1,500,000) ($1,125,000) ($1,125,000) ($514,000) ($700,000) ($600,000) ($1,000,000) ($800,000) ($900,000) ($700,000) ($700,000) ($5,700,000) ($7,339,000) ($5,625,000) ($4,300,000) ($4,400,000) ($4,200,000) ($5,800,000) ($3,036,000) ($4,968,000) ($3,758,000) ($2,950,000) ($1,982,000) ($2,196,000) $304,000 Current Cash Bal $12,800,000 $9,764,000 $4,796,000 $1,038,000 ($1,912,000) ($3,894,000) ($6,090,000) ($3,036,000) ($4,968,000) ($3,758,000) ($2,950,000) ($1,982,000) ($2,196,000) $304,000 Estimated Cash Bal $9,764,000 $4,796,000 $1,038,000 ($1,912,000) ($3,894,000) ($6,090,000) ($5,786,000) 23 FY 2020-21 Proposed Capital Improvement Program Budget FY 20-21 Capital Improvement Program Summary Category Five -Year Funding Schedule Five -Year Total Program 2020-2021 2021-2022 2022-2023 2023-2024 2024-2025 BUILDINGS 100,000 100,000 250,000 100,000 350,000 $900,000 GENERAL 320,000 - - - 125,000 445,000 PARKS PLAYGROUNDS AND FIELDS 880,000 340,000 340,000 340,000 340,000 2,240,000 REGIONAL 1,964,232 2,725,000 3,000,000 - - 7,689,232 SEWER 2,392,600 2,292,600 2,152,600 2,152,600 2,000,000 10,990,400 STREETS AND SIDEWALKS 4,777,148 3,642,148 3,642,148 3,717,148 3,642,148 19,420,740 TRAFFIC SIGNALS 590,000 670,000 170,000 270,000 140,000 1,840,000 VEHICLES 105,000 - - - - 105,000 TOTALS $11,128,9801 $9,769,7481 $9,554,7481 $6,579,7481 $6,597,1481 $43,630,372 M FY 20-21 Capital Improvement Program - $11.1 M EXPENDITURES BY IMPROVEMENT TYPE Buildings 100,000 1% Vehicles 105,000 1% Traffic Signals 590,000 5% Streel 4,777,] 43% General Regional 320,000 1,964,232 3% 1R/ Sewer 2,392,600 21% 26 Next Steps • Monitor revenues & expenditures timely & make necessary adjustments to the budget • Monitor cash flows of General Fund • Prepare a plan to resolve General Fund structural deficit & replenish General Fund Reserves per City Policy • Shift from reactive to preventive maintenance • Adopt alternative dispute resolution methods e.g. interest - based bargaining • Adhere to adopted budget policies 27 City of West Cc FY 20-21 Preliminary Buc Question 4 General Fund — Fund Balance/Reserves Fund Balance — The net position of a governmental fund (difference between assets and liabilities) Assigned Fund Balance — The portion of fund balance that represents resources set aside "earmarked" by the government for a particular purpose Committed Fund Balance — The portion of fund balance that represents resources whose use is subject to a legally binding constraint that is imposed by the government itself at its highest level of decision making authority and that remains legally binding unless removed in the same manner v Introduction and Overview General Fund — Fund Balance/Reserves Non -Spendable Fund Balance — The portion of fund balance that cannot be spent either because the underlying resources are not in spendable form or because the government is legally or contractually required to maintain the resources intact. Restricted Fund Balance — The portion of fund balance that represents resources subject to externally enforceable constraints Unassigned Fund Balance — The difference between the total fund balance and the nonspendable, restricted, committed and assigned components. 30 FY 2020-21 GOALS Respond to the global COVIDI9 Pandemic — As of May 31, 2020 Approximately $77,000 Achieve Fiscal Sustainability & Financial Stability Protect Public Safety Enhance City Facilities & Infrastructure • Enhance the City Image and Effectiveness • Engage in Proactive Economic Development 4 General Fund Expenditures Budget Actual Percentage Administration 2,813,405 2,031,234 72.20% City Clerk 627,497 244,237 38.92% Finance 2,310,558 1,661,542 71.91 Human Resources 806,648 574,866 71.27% Police 31,657,387 24,622,212 77.78% Fire 20,932, 204 17,003, 339 81.23 Public Services 5,850,838 4,052,673 69.27% Community Development 2,396,222 1,531,036 63.89% 67,394,759 51,721,139 1 76.74% Source: Eden Expenditure Status Report as of March 31, 2020 5 • Major Revenue Sources Are Stable • Sales Tax Adjusted Downward Due to COVID 19 • Property Tax Increases Slightly • Transient Occupancy Tax Remains Flat • Licenses & Permits Increasing to Reflect Rate Increases Budget Projections Based On Status Quo - No Pandemic No Cash Flow Problem • Decrease in Fire Department Overtime • No Layoffs • Hiring Freeze Instituted BALANCED BUDGET • Revenues Equal Expenditures Balanced With One -Time Solutions Includes 90 Sworn Police Officers & 67 Sworn Firefighters Fire Overtime Reduced to Approximately $783 Thousand Reduces Management & Management Support Positions 0 8 Operating Budget -All Funds