Item 15AGENDA ITEM NO. 15
AGENDA STAFF REPORT
City of West Covina I Office of the City Manager
DATE: June 7, 2022
TO: Mayor and City Council
FROM: David Carmany
City Manager
SUBJECT: CONSIDERATION OF THE CITY OF WEST COVINA FISCAL YEAR 2022-23 ANNUAL
OPERATING AND CAPITAL IMPROVEMENT PROGRAM BUDGET
RECOMMENDATION:
It is recommended that City Council approve the Fiscal Year 2022-23 Proposed Operating and Capital
Improvement Program Budget by adopting the following resolution:
RESOLUTION NO. 2022-53 — A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST
COVINA, CALIFORNIA, ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT
PROGRAM BUDGET FOR THE CITY OF WEST COVINA, WEST COVINA PUBLIC FINANCING
AUTHORITY, WEST COVINA HOUSING AUTHORITY, AND THE SUCCESSOR AGENCY TO
THE FORMER WEST COVINA REDEVELOPMENT AGENCY FOR FISCAL YEAR 2022-23
BACKGROUND:
The FY 2022-2023 Proposed Budget was presented to Council on April 19, 2022. Since then, staff held
two community workshops on April 20, 2022 and May 4, 2022. Additionally, a Budget Survey was made
available to the public online from March through April.
Q March
Budget Survey
Q19Apr.
Proposed Budget
Presentation
Long -Range Financial
Forecast Filed
65 Apr.
Q 4 May
Community Workshop
Community Workshop
620 Apr.
Q 7June
Consider Budget
Adoption &
Appropriations Limit
Budget Status Update : New Fiscal Year Starts
617 May O 1 July
The FY 2022-2023 Proposed Budget is available online:
www.westcovina.org/annualbudget
DISCUSSION:
During the May 17, 2022 Council Meeting, staff provided City Council with the results from the Budget
Survey and feedback from the two Community Workshops. During this update, Council directed staff to
evaluate hiring full-time over part-time code enforcement officers. After examining operations, staff
recommends hiring 4 full-time code enforcement officers by utilizing 8 part-time positions to keep overall
expenditures the same:
Original Current
Code Enforcement FY2022-23 Recommendation
Officer Proposed for FY2022-23 Budget
Budget
Part -Time 14 7L 6
Full -Time L 4
Total F 14�l 10
The net impact of this change to the General Fund is zero. Additionally, no other changes have been
made to FY2022-23 proposed expenditures. However, staff has corrected accounting and grammatical
errors throughout. A summary of the FY2022-23 Budget is included as Attachment No. 2.
Summary of Community Workshops
At the April 20, 2022 meeting, there were approximately 10 residents, Councilmember Brian Tabatabai,
and four staff members in attendance. Staff addressed questions regarding the Health Department,
Sportsplex, sales tax projections, Long -Range Financial Forecast, proposed positions, Debt Service,
sewer fund, ARPA funding, and 2020 Bond issuance. There was one resident that wanted the City to
invest more in the Glendora corridor. There were also a few residents who spoke in opposition of creation
of a local Health Department.
At the May 4, 2022 meeting, there were three residents, Councilmember Brian Tabatabai, and six staff
members in attendance. Staff addressed questions regarding the Sportsplex; sources of funding for the
Capital Improvement Program; sales tax projections; proposed positions; sewer fund; Fire Department
overtime; and Animal Control. One resident was concerned with the sustainability of new positions and
another noted an increase in the number of potholes that need to be addressed.
Budget Survey
The City created and solicited a budget survey from March through April 2022. A total of 103 responses
were received - 85% were residents, 33% were property owners, and 14.6% were employed in West
Covina. Respondents ranked Infrastructure the most important followed by Police and then Fire.
Additionally, most respondents assigned their dollars to Police followed by Fire, then Infrastructure. In
comparison with the City's Proposed Budget, expenditures citywide have been similarly allocated to
Police, Public Services (which includes maintenance of City infrastructure), followed by Fire.
Summary of FY 2022-2023 Proposed Budget
Citywide Summary
West Covina's total projected operating and capital improvement expenditures for FY 2022-23 are over
$128 million. Revenues for all fund types combined is over $126 million and includes Property Tax, Sales
Tax, Revenue from Other Agencies, Charges for
Services, Licenses & Permits, Fines & Forfeitures, and
Revenue from Other Agencies. City-wide Revenue
Interdept 7
In addition, the Capital Improvement Plan budget, totaling
over $17 million for FY 2022-2023, is included in the number
above and is primarily funded from Special Revenue Funds
and grants obtained from various funding sources.
Property Tax remains the City's largest revenue source and is
projected be nearly $45 million. Sales Tax, the next largest
revenue source, has been increasing since FY 2020-21 and is
projected to be over $23 million in the next fiscal year. City
staff monitors sales tax quarterly and will amend the budgeted
Char es " """ utner
50 & Permits Revenues
3% 3%
Revenue From Property
Other Agencie Tax
10% 36%
Charges For
Service
11%
Other
numbers, as necessary. Overall, total revenues for FY 14;= Sa 18%Tax
2022-23 are projected to decrease due to one-time grant
funding received in FY 2021-22. The City received over $19 million from the American Rescue Plan Act
(ARPA) Coronavirus State and Local Fiscal Recovery Funds between FY 2020-21 and FY 2021-22.
Total expenditures (excluding transfers) for all budgeted funds are estimated over $128 million as shown
in the chart below. Many funds make up the total budgeted amount, with the largest being the General
Fund in the amount nearly $64 million, or 50% of the City's budget.
Salary and benefits are 44% of the City's total budget, as depicted in the chart below, which is up from
last fiscal year but still down from FY 2020-21. This decrease is a result of the issuance of Pension
Obligation Bonds for the Unfunded Accrued Actuarial Liability (UAAL) pension payment due to the
CalPERS in FY 2020-21. However, it should be noted that CalPERS pension costs and the cost of
health benefits provided to the City's employees continues to rise each year and must be monitored very
closely as City staff continues to identify alternatives to providing these benefits to City employees.
City -Wide by Expenditures Category
City -Wide Expenditures by Fund
Private
Internal
Capital
Purpose
Service
Projects
Debt
Allocated
Trust
Funds
3% Enterprise
Costs Capital
Funds
4%
Fund
Service
3% Assets
0%
16%
12%
4%
Debt
Service
12%
Materials
General
&
Fund
Services
50%
2S%
Salaries &
Special
Benefits
Revenue
44%
27%
General Fund
The General Fund provides basic services to the City (i.e. police, fire, planning, administrative services,
and parks and recreation). The City's primary financial goal is to provide an appropriate level of municipal
services with the ability to adapt to local and regional economic changes, while maintaining and
enhancing the sound fiscal condition of the City. The City's General Fund continues to be negatively
impacted by rising pension costs, the State's elimination of redevelopment, and the loss of major local
revenues due to the pandemic. Staff continue to identify revenue sources and cost-cutting measures to
offset these negative impacts.
The fund balance at fiscal year ending June 30, 2022 is projected to be over $24 million which is
approximately 31% of General Fund expenditures and transfers. Of this, over $3 million is assigned
which leaves approximately $21 million in unassigned fund balance. The City's budget policy requires
that the City's General Fund maintain an undesignated, unappropriated reserve amount equal to at least
17% of budgeted expenditures or approximately $10.8 million. At the close of each Fiscal Year, any
revenues over expenditures are generally transferred to fund balance reserved to be used for one-time
capital expenditures or the reduction of General Fund debt service requirements. Below is a chart
showing changes to Fund Balance over the past five years.
us $28
o $26
f $24
$22
$20
$18
$16
$14
$12
$10
General Fund Changes in Fund Balance
P5251,4
IP
� p
24
22
21��
19� 20
16/17 17/18 18/19 19/20 20/21 21/22 22/23
Actual Actual Actual Actual Actual Estimate Proposed
General Fund Revenues
This budget assumes continued recovery from the COVID-19 pandemic and an increase in revenues to
pre -pandemic levels. Total General Fund revenues are projected to be over $79 million, a 17.8% increase
from the FY 2020-21 Adopted Budget. This is largely due to an increase in Property Tax Revenue over
$782,000 and an increase in Sales Tax Revenue over $7.2 million from last year's original budget.
However, when compared to current year estimates, it is a conservative increase of 1.2% in Property Tax
and 1.5% in Sales Tax. Other revenue has been adjusted based on prior year actuals.
General Fund Expenditures
General Fund Expenditures for FY 2022-23 are projected to be nearly $64 million. This is a $9.8 million
increase from the current fiscal year's original budget, however, a decrease of nearly $6 million from the
prior fiscal year. This decrease is mainly due to the decrease in the Unfunded Accrued Liability (UAL)
payment to the CalPERS as a result of the pension obligation bonds issued in 2020.
General Fund Expenditures by category
Mal�rtenan[e8.� rvel GII afeE Costs
W ax
uses, 1.
— — —
M
Materials85erviaa —
alas
xr%'
MNuaI AiEOvertime_
VEPS UAL Payment
ne�rts Be=3%
Most General Fund expenditures go towards Salaries (41%) and Benefits (23%). Over the past year, the
City executed memorandums of understanding with eight out of nine of its bargaining groups. These
agreements included salary increases ranging from three to four percent per group and are offset by
employee contributions towards pension ranging from 1.5% to 6%. A significant increase in salaries and
benefits is primarily due to an increase in overtime salaries.
Expenditures overall were analyzed and projected to reflect the actual expense incurred based on the
current year estimate and prior years.
Overtime continues to be an increasing burden on the City. The FY 2022-23 Proposed Budget has been
projected on prior years' actuals with an estimated 3% increase, in line with base salary increases.
While estimated to be slightly more than the current year estimate of $6.1 million, General Fund Overtime
is proposed to be approximately $6.4 million. The majority of this overtime is from Fire (50.4%) and
Police (48.7%).
General Fund Overtime
7
0
6
5
4
3
2
flu_:
Prior Year Current Current Year Estimate Proposed
Actuals Budget Budget
■Administration ■ Community Development ■Finance
■ Fire ■ Human Resources ■ Police
■ Public Services
Fiscal Challenges
Short -Term Factors
As a result of the State and County stay-at-home orders during the pandemic, the City experienced a
decline in economic activity, which impacted the City's revenues. City staff estimated a potential loss of
$2.8 million in General Fund revenues for FY 2019-20 and a continuing loss of $2.1 million in General
Fund revenues in FY 2020-21.
In addition to the economic impacts from the COVID-19 pandemic, over the past 6 years, the City's
General Fund reserves had continued to decline — in FY 2014-15, the unassigned fund balance was
$20.5 million, in FY 2015-16, the unassigned fund balance was $15 million, in FY 2016-17, the
unassigned fund balance was $14.1 million, in FY 2017-18, the unassigned fund balance was $11.9
million, and in FY 2018-19, the unassigned fund balance was down to $9.8 million. During FY 2019-20,
despite the COVID-19 world-wide pandemic, the unassigned fund balance increased by $2.6 million to
$12.5 million. The General Fund unassigned fund balance at June 30, 2021 was over $21.4 million.
Through sound financial policies and procedures, the City managed rising costs and dwindling revenues
efficiently and effectively. This has resulted in the growth in the unassigned General Fund balance.
Going forward, the City will continue to face challenges. Rising costs of materials and services continue
to be a major concern. For many years, the infrastructure needs of the City were deferred and, as a
result, City buildings are in need of repair. Additionally, a labor contract for the last remaining bargaining
group is expiring in June 2022 and is in the process of being renegotiated.
Three specific challenges affect the City's annual budget:
Resident Engagement — Through civic engagement, resident and community partners define what
services are valued. The result is a budget that better reflects local priorities. Inclusive, open, and
collaborative budget processes and community declaration of principles help the municipal
organization better provide essential services.
Accountability Through Oversight — Continued improvement of the City's long-term financial health
requires ongoing close attention to timely implementation of the State Auditor's Financial Recovery
Plan. Institutionalizing accountability in the recovery process enhances public trust in municipal
governance.
Fiscal Prudence — Capital needs remain underfunded. Clearly, municipal facilities are not to
standard. Maintenance of buildings, streets, and parks has been deferred and as a result services
have suffered. Typically, assets operate until they break down. For example, Fire Station No. 1,
has been determined uninhabitable, forcing the City to set up temporary quarters. The City has
received some one-time funding to address critical immediate needs; however, additional funding
sources need to be identified to address future issues.
Long -Term Factors
The FY 2022-2023 Proposed Budget is structurally balanced; however, expenditures are increasing at a
faster pace than revenues. The City has attempted to attain fiscal sustainability by identifying and
implementing economies and efficiencies in its operations. Like most California cities, West Covina has
several unfunded liabilities - the biggest of these being the cost of employee pensions. The pension
obligations and payments for the UAAL is expected to worsen each fiscal year and the severity of the
problem is dependent on CalPERS earnings. This fact prompted the City to issue Pension Obligation
Bonds in July of 2020 to address the UAAL and attain more favorable interest rates to address the
pension problem.
The City's Long -Range Financial Forecast was updated in March 2022 and projected General Fund
budget deficits for each year in the forecast. Additionally, General Fund reserves were anticipated to be
depleted to 10% or $8 million by fiscal year ending 2027. The forecast recommended structural changes
to increase revenues and/or decrease expenditures in future years. Thus, this year's budget
incorporated the following changes that will have a long-term positive impact on the City's General Fund:
. Formally reduced Non -Sworn personnel in Police. The Police Department had three Community
Service Officers, two Dispatchers, and three Records Specialists that have been frozen the past
two fiscal years. The Long -Range Financial Forecast assumed these positions were
funded; however, the FY 2022-23 Proposed Budget does not include these positions or salaries.
. The False Alarm program and associated revenue were eliminated in prior years. The FY 2022-23
Proposed Budget assumes re -initiation of the program and associated revenue.
. Overall, historical revenues and expenditures were evaluated, and the FY 2022-23 Proposed
Budget was adjusted to prior year actuals. While this included both increases and decreases, the
overall net impact to the General Fund was positive.
. Revenue estimates included in the forecast were also updated based on current year actual
trends. At the time of the Long -Range Financial Forecast, it was uncertain whether the effects of
the pandemic would subside. Since then, it is apparent that the City's Sales Tax, Transient
Occupancy Tax, and Permit revenue will continue to remain level with the current and prior year.
Thus, revenue bases have been raised and are projected to increase conservatively with the
assumptions used in the forecast. While sales tax appears to be on the upswing from the kickstart
of reopening from the pandemic, it can easily turn downward. It is uncertain if the current trend is
just a post -pandemic spike that will bottom out to prior year levels. Therefore, it is not
recommended to commit this revenue to recurring obligations.
City Council Goals
The budget contains City Council goals for 2022 to guide the City. These goals are instrumental in
guiding the budget process. These overarching goals can be seen throughout the budget document as
follows:
Service Levels
The citizens of West Covina continue to expect a high level of service provided by the City. These
services are paid for with local tax dollars and include police; recreation and community service
programs for youth, adults, and seniors; park maintenance; street maintenance; transportation;
engineering; building & safety; housing programs; planning & development; code enforcement; animal
control; and environmental programs and services. Services levels are proposed to be enhanced by
adding funding for the following:
. Recreation and community service programs back to pre -pandemic levels.
. Special Events, such as, Spring Festival, 4th of July, Egg Hunt, Summer Concerts, Christmas
Parade, and Halloween.
. Quarterly Discover newsletter to inform and engage residents.
. An additional twelve Public Services positions have been included under the City's maintenance
funds to provide the highest level of service, while maintaining fiscal responsibility and improving
community image. These positions did not impact the General Fund.
. Increase in the tree trim cycle from seven to five years to reduce the need for emergency
maintenance, prevent liability problems, reduce tree mortality, and improve urban forest health over
the long-term.
. In the Police Department, a Forensic Specialist Supervisor position has been added to allow the
Department to properly manage and keep up with the changing demands of forensic investigations.
Conclusion
As the City recovers financially from the COVID-19 pandemic, it is with conservative optimism that this
budget is presented. Service levels are directly related to income from which public expenses are met.
Finding economies in municipal operations including privatization and reductions in the workforce, the
City has made gains toward attaining the goal of fiscal sustainability. Toward this goal, alternative
service delivery should continue to be given ongoing consideration to help position the City for long-term
financial success. Alternative service delivery is the approach of providing government services using a
non-traditional method to reduce costs, while maintaining or improving service levels. Examples of
alternative service delivery include shared service agreements, public -private partnerships and interlocal
government collaboration.
LEGAL REVIEW:
The City Attorney's Office has reviewed the resolution and approved it as to form.
Prepared by: Stephanie Sikkema, Finance Director
Fiscal Impact
FISCAL IMPACT:
FY2022-23 Proposed Budget
City Wide Summary
Revenue
Property Tax
38,4aS,653
40,711,032
45,S55,B00
46,007,228
44.955,200
(601,6001
Sales Tan
17,033,647
20,412,164
15,9W.000
22,800,0W
23,142,000
7,242,OW
Other Taxes
19,229,B37
19,069,959
18,458,400
19,343,S41
17,948,SW
i5a9,9091
Capital Assets
-
11,250
-
25,564
-
-
ChargesForService
13,055,204
12,952,470
12,163,100
14,143,BS1
13,737,9241
1,S74,7211
Fees
44,074
61,663
-
64,1B9
64,200
64,201)
Fines & FOrfelillres
873,497
1,1B3,233
608,OW
1,021,70-0
1.023,290
415,290
I nterdept Charges
8,501,438
6,259,912
6,781,700
7,192,700
6,248,060
(533,6401
Licenses & Permits
1,549,155
2,399,979
1,964,100
3,S44,873
3,633,S99
1,669,499
Other Revenues
4,046,413
216,704,235
422,300
6m,205
205,270
[217)0301
Reven ue F turn Other Age ncies
14,503,B04
12,715,513
26,252,4W
37,141,363
13,364,791
112,887,6091
Sales
1,312,90S
758,120
416,400
SO4,599
645,000
228,601)
Use of Money& Property
4,OB3,630
1,349,305
1,678,6W
1,2B9,196
1,562,04(1
1116,560)
Revenue Total
122,639,Z58
334,478,105
r :vi
V0,611SX9
Expowksuras
Materials & Services
41,255,867
46,155,205
31,276,100
32,618,469
31,573,264
297,164
Allocated Costs
5,822,911
4,172,096
4.1m,100
4.0aE,982
4,199,297
19,197
Capital Assets
5,753,&22
5,028,&28
38,752,2W
47,251,988
15,S51,S14
(23,201),6861
Salaries & Benefits
60,271,046
61.644,188
4S•813,5W
53,166,913
56,702,459
10,888,9S9
Debt Service
10,422,820
15,606,004
20,924,900
21,333,710
20,423,944
(501),9561
1"r42"04DO
15Ao3XNX2
General Fund Summary
Revenue
Property Tax
27,179,987
29,680,553
28,204,200
29,85,749
28,986,300
782,100
Sales Tax
17,033,647
20,412,164
15,9o0,OW
22,80OA00
23,14200
7,242,00
Other Taxes
9,3S&,188
8,834,366
8,157,2W
8,981,OW
9,445,000
1,278,80D
Charges For Servioe
5,957,071
5,601,191.
5,3361000
7,007,498
7,578,220
2,242,220
Fines & Forfeitures
873,497
1,1B3,233
608,000
1,021,700
1,023,290
415,290
Interdept Charges
1,415,799
1,189,215
1,423,800
1,423,BW
1,196,2W
(227,600)
U[enses&Permits
1,S48,859
2,3B9,53S
1,964,1W
3,544,084
3,167,810
1,203,710
Other Revenues
2,085,953
409,468
82,BW
64rS30
136,670
53,870
Revenue F rom Other Agencies
2,755,302
4,341,434
4,813,3W
3.431,118
3,994,52S
(818,775)
use of Money & Property
2,367,948
138,473
1,183,600
801rsW
1,078,3W
(1O5,3Wj
rrr12,OK315
Expcndltures
Materia is & Services
10,089,722
10,083,560
9,911,000
%, 83,135
11,13%16S
1,228,16S
Allocated Costs
1,707,227
2,444,202
2,579,900
2,486_4"
2,605,797
2S,897
Capital Astet5
231,058
-
-
29,995
-
-
Salaries & Benefits
54,922,906
56,956531
41,541,0O
47,838rS75
50,162,753
8,621,753
Debt SA r4ice-
rr
Revenues Less Expenditures
Net Transfers
Net Cha nge in Fund Balance
Beginning Fund Balance
Reserve Requirement (1796)
1,822,736 4,694,341 13,651,100 17,372,330 15,841,600
11,329,108j 1,118,412 (13,651,1W1 {18,72105} 115,325,255j
493,628 5,812,753 - (1,348,765) 516,345
19,181,696 19,675,324 25,488,077 25,488,077 24,139,312
I1,722,267 I2,812,840 9, 195,421 10,257,570 10,854,312
*For consistency, the FY2020-2021 Bond Transfer -In and Payment towards Unfunded Pension Liability have been excluded.
Attachments
Attachment No. 1 - Resolution No. 2022-53
Attachment No. 2 - FY 22-23 Budget
CITY COUNCIL GOALS & OBJECTIVES: Protect Public Safety
Enhance City Image and Effectiveness
Maintain Good Intergovernmental Relations
Achieve Fiscal Sustainability and Financial Stability
A Well -Planned Community
ATTACHMENT NO.1
RESOLUTION NO.2022-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF WEST COVINA, CALIFORNIA, ADOPTING THE
OPERATING AND CAPITAL IMPROVEMENT PROGRAM
BUDGET FOR THE CITY OF WEST COVINA, WEST
COVINA PUBLIC FINANCING AUTHORITY, WEST
COVINA HOUSING AUTHORITY, AND THE SUCCESSOR
AGENCY TO THE FORMER WEST COVINA
REDEVELOPMENT AGENCY FOR FISCAL YEAR 2022-23
WHEREAS, the City Manager has presented to the City Council a proposed budget for
Fiscal Year 2022-23 in compliance with Section 2-151(m) of the West Covina Municipal Code;
and
WHEREAS, at its regular meeting on April 19, 2022, the City Council received and filed
the proposed operating and capital improvement budget, directed that the proposed budget be
broadly publicly disseminated, including at Community Budget Workshops on April 20, 2022 and
May 4, 2022, and scheduled it for consideration at the June 7, 2022 City Council meeting; and
WHEREAS, on April 20, 2022 and May 4, 2022, the City held Community Budget
Workshops regarding the proposed budget; and
WHEREAS, the City also solicited and received input from the public in the form of an
online Budget Survey; and
WHEREAS, at its regular meeting on May 17, 2022, the City Council further considered
the proposed budget; and
WHEREAS, the City solicited and received input from the public at the April 19, 2022,
April 20, 2022, May 4, 2022, and May 17, 2022 meetings and workshops; and
WHEREAS, the City Council of the City of West Covina has considered the proposed
budget and input from the public and desires to approve and adopt the Fiscal Year 2022-23
Operating and Capital Improvement Program Budget for the City, West Covina Public Financing
Authority, Housing Authority and Successor Agency to the Former West Covina Redevelopment
Agency.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA,
CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The Operating and Capital Improvement Program Budget for the City of
West Covina, West Covina Public Financing Authority and West Covina Housing Authority for
Fiscal Year 2022-23 ("Fiscal Year 2022-23 Budget") is incorporated by this reference as if fully
set forth herein.
SECTION 2. The Fiscal Year 2022-23 Budget, as prepared and submitted by the City
Manager and as modified by the City Council, is hereby approved, adopted and appropriated. A
copy of said budget is hereby ordered to be filed in the Office of the City Clerk within thirty (30)
days and shall be certified by the City Clerk as having been adopted by this resolution.
SECTION 3. The budget for the Successor Agency to the Former West Covina
Redevelopment Agency for Fiscal Year 2022-23, as prepared and submitted by the Executive
Director and as modified by the Agency Board Members and included in the Fiscal Year 2022-23
Budget, is hereby approved, adopted and appropriated, on the express condition that said budget
be published the same as a separate component of the City of West Covina's budget, and further
conditioned on the City of West Covina, its General Fund and all its various other accounting funds
are not obligated to finance or fulfill any Successor Agency obligations. A copy of said budget is
hereby ordered to be filed in the Office of the City Clerk/Secretary within thirty (30) days and shall
be certified by the City Clerk/Secretary as having been adopted by this resolution.
SECTION 4. From the effective date of the Fiscal Year 2022-23 Budget, appropriations
may be reallocated from one activity account to another within the Operating Budget upon review
by the Finance Department and approval of the City Manager or his/her designee, provided there
is no change in the scope of service delivery level or increase in the appropriation as approved by
the City Council.
SECTION 5. As necessary, appropriations may be made for donations and grants received
during the fiscal year up to $60,000 per source or grantor upon review by the Finance Department
and approval of the City Manager or his/her designee. Donations and grant awards with matching
requirements, or exceeding $60,000 from a single source or grantor, require City Council approval.
SECTION 6. The approved budgets for the Capital Improvement Program remain as
authorized appropriations for the individual capital projects until these capital projects are
completed. Any unexpended authorized appropriations for each capital project is automatically
carried over from fiscal year to fiscal year, until the funds of the individual capital project are
expended or the capital project is canceled. Following the completion of the individual capital
projects, the unexpended appropriations of each completed capital project shall be canceled and
the capital projects funding sources shall be released from their unexpended funding commitment.
SECTION 7. The City Council does hereby authorize and approve the number and
classification of employees in the respective functions, departments and/or activities set forth in
the Schedule of Positions set forth in the Fiscal Year 2022-23 Budget. No increase shall be made
in the number of authorized full-time positions without City Council approval. However, the City
Manager is authorized to transfer positions within existing position classifications and reorganize
departments under the City Manager's authority, if in the City Manager's judgment such actions
will result in a higher degree of efficiency of overall operations of the City.
SECTION 8. At the close of the 2021-22 Fiscal Year, unexpended appropriations in the
Operating Budget may be carried forward to the 2022-23 Fiscal Year upon review by the Finance
Department and approval of the City Manager or his/her designee for the expense of outstanding
purchase commitments and programs.
SECTION 9. The City Clerk shall certify to the adoption of this resolution and shall enter
the same in the book of original resolutions and it shall become effective immediately.
APPROVED AND ADOPTED on this 7th day of June, 2022.
APPROVED AS TO FORM
Thomas P. Duarte
City Attorney
Dario Castellanos
Mayor
ATTEST
Lisa Sherrick
Assistant City Clerk
I, Lisa Sherrick, ASSISTANT CITY CLERK of the City of West Covina, California, do
hereby certify that the foregoing Resolution No. 2022-53 was duly adopted by the City Council of
the City of West Covina, California, at a regular meeting thereof held on the 7th day of June, 2022,
by the following vote of the City Council:
AYES:
NOES:
ABSENT:
ABSTAIN:
Lisa Sherrick
Assistant City Clerk
ATTACHMENT NO.2
CITY OF WEST COVINA,
WEST COVINA PUBLIC FINANCING AUTHORITY,
WEST COVINA HOUSING AUTHORITY, AND
SUCCESSOR AGENCY TO THE FORMER WEST COVINA REDEVELOPMENT AGENCY
FISCAL YEAR 2022-23 BUDGET
General Fund
Expenditures
Administration
2,463,677
- 2,463,677
City Clerk
543,713
- 543,713
Community Development
3,242,427
- 3,242,427
Finance
2,435,479
- 2,435,479
Fire
20,544,117
- 20,544,117
Human Resources
794,097
- 794,097
Police
27,844,530
- 27,844,530
Public Services
6,039,675
- 6,039,675
Transfers
Other Funds
117-Drug Enforcement Rebate
2,095,729
- 2,095,729
119-Air Quality Improvement Trust
402,000
- 402,000
121-Prop A
2,148,400
- 2,148,400
122-Prop C
2,323,529
- 2,323,529
124-Gasoline Tax
4,112,401
- 4,112,401
127-Police Donations
1,000
- 1,000
128-Transportation Development Act
70,000
- 70,000
129-AB 939
78,612
- 78,612
131-Community Dev. Block Grant
246,837
- 246,837
143-LA County Park Bond
19,350
- 19,350
145-Waste Mgt Enforcement Grant
115,700
- 115,700
146-Senior Meals Program
314,872
- 314,872
149-Used Oil Block Grant
14,700
- 14,700
150-Inmate Welfare
1,500
- 1,500
153-Public Safety Augmentation
821,045
- 821,045
155-COPS/SLESF
627,518
- 627,518
158-CRV Recycling Grant
28,000
- 28,000
160-Capital Projects
3,859,999
- 3,859,999
161-Construction Tax
20,000
- 20,000
162-Information Technology
88,842
- 88,842
164-Police Facilities Dev. Impact Fees
150,000
- 150,000
166-Park Facilities Dev. Impact Fees
130,000
- 130,000
181-Maintenance District#1
343,080
- 343,080
182-Maintenance District #2
159,891
- 159,891
Page 1 of 2
CITY OF WEST COVINA,
WEST COVINA PUBLIC FINANCING AUTHORITY,
WEST COVINA HOUSING AUTHORITY, AND
SUCCESSOR AGENCY TO THE FORMER WEST COVINA REDEVELOPMENT AGENCY
FISCAL YEAR 2022-23 BUDGET
183-WC CSS CFD
66,880
- 66,880
184-Maintenance District#4
1,160,285
- 1,160,285
186-Maintenance District #6
179,271
- 179,271
187-Maintenance District#7
178,596
- 178,596
188-Citywide Maintenance District
2,188,227
- 2,188,227
189-Sewer Maintenance
4,507,951
- 4,507,951
190-Auto Plaza Improvement District
62,264
- 62,264
191-General Plan Update
500,000
- 500,000
197-Measure W Stormwater
290,200
- 290,200
207-OTS Grants
19,120
- 19,120
208-Justice Programs (OJP)
100,000
- 100,000
212-Art In Public Places
199,998
- 199,998
220-WC Community Svcs Foundation
317,537
- 317,537
224-Measure R
1,554,410
- 1,554,410
225-CDBG - R
765,440
- 765,440
232-Non-Federal Grants
500,000
- 500,000
233-Taskforce Reg. Autotheft Prev.
214,317
- 214,317
235-Measure M
1,932,599
- 1,932,599
237-SB1- Road Maintenance Rehab
3,645,077
- 3,645,077
238-Law Enforcement Tobacco Grant
173,082
- 173,082
240-Measure H
50,000
- 50,000
242-Sportsplex
594,378
- 594,378
300-Debt Service - City
15,258,000
- 15,258,000
361-Self Insurance General/Auto Liab
1,650,000
- 1,650,000
363-Self-Insurance Workers' Comp
1,378,000
- 1,378,000
365-Fleet Management
1,474,865
- 1,474,865
367-Vehicle Replacement
375,000
- 375,000
375-Police Enterprise
241,831
- 241,831
376-Health Department
401,000
- 401,000
810-Redevelopment Obligation Ret.
1,432,558
- 1,432,558
815-Successor Agency Admin.
250,000
- 250,000
820-Successor Housing Agency
1,139,103
- 1,139,103
853-CFD Debt Service
5,202,421
- 5,202,421
Page 2 of 2