City Council Meeting: June 23, 2009
Agenda Item: 8-B
To: Mayor and City Council
Chairperson and Housing Authority Members
Chairperson and Redevelopment Agency Members
Chairperson and Parking Authority Members
Subject: Adoption of the Fiscal Year 2009-10 Budget, Approval of Personnel Changes, Approval of Resolutions Adjusting and Establishing Various Rates and Fees and Accepting Federal Grant Funds, and Approval of Resolutions Establishing the City's GANN Appropriations Limit for FY2009-10
This report recommends that the City Council:
1) approve a resolution of the City of Santa Monica establishing new classification and adopting salary rates for various listed positions (Attachment C1) and approve the Position and Classification Changes (Attachment C2);
a resolution of the City of
a resolution of the City of
a resolution of the City of
a resolution of the City of
a resolution of the City of
7) approve a resolution of the City of Santa Monica establishing user fees for social service, recreation and community programs, classes and services of the Department of Community and Cultural Services (Attachment D6);
8) approve a resolution of the City of Santa Monica setting the amount of fees to be charged for the use of community and recreational facilities operated by the Community and Cultural Services Department, for the rental of Civic Auditorium parking spaces, and for the use of Beach parking lots and a definition of facility user categories (Attachment D7);
a resolution of the City Council of the City of
This report recommends that the City Council, Housing Authority, Redevelopment Agency and Parking Authority:
This report presents information and
requests actions necessary to adopt the Fiscal Year 2009-10 budget for the City
City released its Proposed Budget for FY2009-10 on May 15, 2009. Changes to the Proposed Budget for all funds
include an increase of $2.6 million in revenues, primarily due to $2.0 million
in projected revenues from the implementation of the Cemetery Business
plan. An additional $0.4 million
increase is budgeted in the General Fund, associated with revised revenue
projections for parking citations and the updating of Library fees and
fines. Revised appropriations in all
funds totaled $28.6 million, which includes funding for capital projects
through the Redevelopment Agency (RDA).
A significant change in appropriations was the addition of $1.9 million
in Public Works for the implementation of the Cemetery business plan. Other notable appropriation revisions include
$325,000 to upgrade the SCADA system for Water and Wastewater, $150,000 to
improve airfield lighting at the
Included in the changes above and presented for City Council review and approval are identified changes to compensation and position classifications for FY2009-10 (Attachments C1 and C2) and changes to existing fees and charges, with resolutions for their implementation (Attachments D1-D7), and establishment of the FY2009-10 GANN limit (Attachments F1 and F2).
The City Charter requires that the City Council adopt an annual budget, following a public hearing, on or before June 30 for the ensuing fiscal year. The budget to be adopted is presented to City Council by the City Manager at least 35 days prior to the start of the fiscal year in the form of a Proposed Budget.
During the City Council budget workshops on May 26 and 27, Council heard presentations on the Proposed Budget by the City Manager and each department. Based on the information presented, Council members asked questions and made comments regarding the Proposed Budget. Responses to the questions were included in a separate Information Item that was sent to Council on June 12 and posted on the City’s website.
Proposed Budget Revisions – General Fund and Capital Project Fund
The draft budget includes modifications to the Proposed Budget based on Council questions, new information and identified omissions. These changes, including capital projects, are:
1) FY2009-10 General Fund and Capital Projects Fund Revenue Revisions from Proposed Budget
General Fund revenues decreased by $215,389 compared to the Proposed Budget due to an adjustment to the City’s cost allocation plan (-$340,893) and the elimination of proposed adjustments for Swim Center fees (-$191,858) and building facility charges for the parks and Ken Edwards Center (-$41,738). Partially offsetting these decreases are increased revenue from parking citations fine revisions ($300,000) and revisions to certain Library fines and fees ($59,100).
2) FY2009-10 General Fund and Capital Projects Fund Expenditure Revisions from Proposed Budget
Overall General Fund appropriations increased by $1,527,463 over Proposed Budget appropriations.
The most notable change from the Proposed Budget in General Fund expenditures is an additional $1,613,594 for the Fire Vehicle Replacement Fund. This appropriation was funded by a release of funds from a previous designation of $3,067,600. The remainder of this designation was provided as part of the Fire Department’s FY2009-10 savings plan ($1,307,110) and for reclassification of six positions within the Fire Department ($146,896). The reclassification of sworn Fire personnel results in an additional cost of $48,965 in FY2009-10 and $97,931 in FY2010-11.
The Certified Unified Program Agencies (CUPA) program was also moved from the Office of Sustainability and the Environment (OSE) to the Fire Department, appropriating $288,815 from the OSE budget and adding $31,632 for personnel reclassification.
General Fund changes to the Proposed Budget
also included $32,000 for CalSAFE funding, $17,388 for the Serial Inebriate
Program, and $191,728 for the
3) FY2009-10 General Fund and Capital Project Fund Balance Sheet Revisions from Proposed Budget
Balance sheet changes reflect a loan of $1,200,000 from the General Fund to the Cemetery and the release of $3,067,600 from the Fire Vehicle Replacement designation.
The impact of the changes to the General Fund balance is as follows:
The original Proposed Budget continues to provide approximately $300,000 for discretionary Council appropriations.
Proposed Budget Revisions – Non-General Funds
1) FY2009-10 Non-General Fund Revenue Revisions from Proposed Budget
Non-General Fund revenues increased by
$2,827,719. Cemetery revenues increased
by $2,000,000, driven by increased sales of inventory created under the
business plan. An additional $293,838 in
revenues was added for grant funding for the Serial Inebriate Grant and
Homeless Prevention. An additional
$396,339 was included for Community Development Block Grant funding. Revenues from the
2) FY2009-10 Non-General Fund Expenditure Revisions from Proposed Budget
Non-General Fund Expenditures increased by
$27,111,900 compared to the Proposed Budget, primarily due to the addition of $32,909,933
in Redevelopment Agency (RDA) funding for capital projects and a decrease of
$8,580,000 in a Charnock Fund CIP.
Additional increases in capital improvements were included for the CDBG
funded purchase and installation of new manufactured units at the Mountain View
Mobile Home Park ($796,889); and replacement of failing airfield power
regulators for runways and taxiways at the Airport ($150,000). The implementation of the Cemetery business
plan, including inventory development and increased marketing efforts,
increased appropriations by $1,185,619.
The Redevelopment Agency’s assessment for properties in the Bayside
District increased by $257,099, and $64,704 was appropriated to add a Warehouse
Worker for Big Blue Bus. Grant funds for
homeless prevention were appropriated ($276,500), as were additional CDBG funds
Proposed Budget Revisions – FY2010-11 Budget Plan
Administrative changes to the FY2010-11 Budget Plan are presented in Attachment B. They reflect the second year impacts of changes made to the FY2009-10 Proposed Budget, additional budget adjustments and changes to better reflect the priorities and needs expressed by Council and the community during the budget process as they impact FY2010-11.
As part of the budget process, proposed employee classification and compensation changes were reviewed by the Human Resources Department and City Manager’s Office. Resulting classification and salary changes are presented in Attachments C1 and C2.
Adjusting and Establishing Various Fees and Fines
1) Community & Cultural Services
The Department of Community and Cultural Services offers a wide variety of programs and activities for seniors, adults, young children, youth and teens. Attachment D6 proposes modifications to the existing fees including:
· Adjustment of tennis court reservation program fees
· CREST child care fee increases
· CREST youth sports fee increases
The Community and Cultural Services Department also establishes fees for the use of community and recreational facilities. Attachments D7, D7a, and D7b propose modifications to the existing fees including:
of the park buildings and
Adjustment of artificial turf field monitoring
staffing fee at
The intent of the
proposed revisions is to keep fee levels in line with those of local comparable
venues. As noted earlier, staff has
removed fee increases for the
2) Parking Citation Fines
Parking citation fine rates were last revised in 2003. Staff is proposing to increase all fines by an amount essentially equal to the change in the Consumer Price Index since those last revisions and to make the fine amounts consistent with those charged in neighboring cities. The proposed revisions also standardized most fines at the rate of fifty dollars ($50.00) with the exception of certain rates that are traditionally set at higher levels in Santa Monica and other jurisdictions including Preferential Parking, Street Sweeping, and Disobey Posted Signs, which are proposed at sixty-one dollars ($61.00), and disabled parking related fines, which are proposed at rates ranging from $301 to $396. Rates for license plate related correctable violations will be set at thirty five dollars ($35.00). Attachment D4 is the resolution showing the entire list of fines.
3) Library Fines/Fees
The Library is proposing to increase certain fines and fees, many of which have not been revised in over fifteen years. The proposed changes will bring these rates in line with the average charged in the area and also help the Library ensure that library materials are returned in a timely way so that libraries can serve their primary purpose. The proposed changes are included in the attached resolution (Attachment D3):
· Late fines: Adult: increase from $.20/day to $.25/day
Children: increase current $.10/ day to $.15/day
· Interlibrary Loan fees: increase from $2 per request to $3 per request
· High-resolution images : increase from $12/file to $15 per file
· Photocopying/Printing (B/W) increase from $.10/page to $.15 per page
4) Other Fee Revisions
Staff is proposing the establishment of a new
Tobacco Retailer License Fee and a revision to the
The City has been receiving Supportive Housing Program (SHP) funds for coordinated case management since 1996. At this time, staff is requesting authorization to enter into a grant agreement with the LAHSA for the SHP grant of $381,941.
On March 21, 2005, the U.S. Department of Housing and Urban Development (HUD) announced a $10 million funding initiative for housing for people who are homeless and addicted to alcohol. Staff is requesting authorization to enter into a grant agreement with the US Department of Housing and Urban Development for the Serial Inebriate grant of $491,791 for a one year renewal (for the third year of the grant).
Approving the resolutions at Attachment E1 – E4, will: a) adopt the FY2009-10 Budget revenue at the account level, with operating expenditure appropriations for the Salaries and Wages and Supplies and Expenses (including Capital Outlay) major expenditure categories within a fund for each department, and capital improvements within a fund; b) re-appropriate funds from FY2008-09 into FY2009-10 for: continuing capital projects (not to exceed $37,546,725 for General fund, not to exceed $273,207,987 for all other funds, and not to exceed $3,755,691 for the Disaster Recovery fund), and c) authorize staff to roll over appropriations for multi-year operating grants not completed at the end of the fiscal year, unspent donations dedicated to programs, and the encumbrances for goods and services purchased by FY2008-09 year-end but not delivered or provided until FY2009-10.
GANN Appropriations Limit
State law places limits on the amount of
The City’s GANN Appropriations Limit for FY2009-10 is $864,519,492. A comparison of the City's FY2009-10 GANN Appropriations Limit and FY2009-10 appropriations and tax proceeds subject to limitation as set forth in the City's Proposed FY2009-10 Budget is as follows:
Proposed GANN-related Spending for FY2009-10
Proposed GANN-related Tax Proceeds Spending for FY2009-10
FY2009-10 appropriations subject to limitation are $715,741,371 less than the City’s GANN Appropriations Limit. In terms of receipt of tax proceeds, the City is $709,897,822 under the GANN Limit. A resolution to establish the City's FY2009-10 GANN Appropriations Limit at $864,519,492 is at Attachment F1.
Adoption of the Proposed Budget as amended by Attachments A through F2 will establish FY2009-10 budget for the City’s programs and services.